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Toyota Takaoka
16 hours
45 defects
2 hours
Chapter 15, Slide 2
Japanese Approach to
Operations
Maximize use of people
Simplify first, add technology second
Gradual, but continuous improvement
Minimize waste (including poor quality)
Led to the development of the
approach known as Just-in-Time
Chapter 15, Slide 5
Just-in-Time
JIT Goals
Eliminate disruptions
Make the system flexible
Reduce setup times and lead times
Minimize inventory
Eliminate waste
Waste
Definition:
Waste is anything other than the
minimum amount of equipment,
materials, parts, space, and workers
time, which are absolutely essential to
add value to the product.
Shoichiro Toyoda
President, Toyota
Chapter 15, Slide 10
Forms of Waste:
Overproduction
Waiting time
Transportation
Processing
Inventory
Motion
Product Defects
Chapter 15, Slide 11
Inventory as a Waste
Inventory as Waste
Examples of Eliminating
Wastes
Big Bobs Automotive Axles:
Wheels bought
from outside
supplier
BEFORE: Shipping in
Wheels
AFTER: Shipping in
Wheels
Process design
Personnel and organizational elements
Manufacturing planning and control
Process Design
Focused Factories
Group Technology
Simplified layouts with little storage
space
Jidoka and Poka-Yoke
Minimum setups
Chapter 15, Slide 22
Legs
Slats
Assembly
Seats
Personnel and
Organizational Elements
Workers as assets
Cross-trained workers
Greater responsibility at lower levels
Leaders as facilitators, not order
givers
Chapter 15, Slide 24
Kanban
Uses simple visual signals to control
production
Examples:
empty slot in hamburger chute
empty space on floor
kanban card
Chapter 15, Slide 27
Kanban Example
Empty box sent back. Signal to pull another full box into
Workcenter B.
DT(1 x)
y
C
y
D
T
C
X
=
=
=
=
=
Example
Note:
For a kanban system to work, we
NEED CONSISTENT demand across
the work centers
Example - think McDonalds
How do we ensure this?
Implementing JIT
What about
automation?