IT-465

Introduction to
Lean

Introduction
Outcomes
Discuss the origins of Lean
Learn why Lean is important in manufacturing
and service industries

IT-465 lean Manufacturing

Lean Operating Concepts

Developed and refined by the Japanese
The Toyota Production System (TPS) and
later in the USA as Lean

Based on the works of Taiichi Ohno,

Taguchi, Shigeo Shingo, Deming, Juran,
and others.
The fathers of TQM, Lean, and Six Sigma
have many common sources with modern
Lean approaches
IT-465 lean Manufacturing

History of Lean Production System

IT-465 lean Manufacturing

Another Definition of Lean

IT-465 lean Manufacturing

Another Definition of Lean

Lean Tool Box
Introduction to Lean
Prominent figures of Lean
Lean is not just for
manufacturing
Value add and waste
Waste walks
Spaghetti charts
Hoshin planning
Value Stream Mapping
5S
Poka-yoke, error proofing

Total Productive
Maintenance (TPM)
Kaizen
Quick changeover/SMED
Pull systems/supermarket
Standardized work
Cellular manufacturing
Theory of constraints
Barriers to
implementation
Quick response mfg

IT-465 lean Manufacturing

History of Lean Production

Systems
A Lean Focus: Continuous elimination of waste
driven by customer satisfaction
Customer Satisfaction:
Meeting (or exceeding) customer expectations
for the cost, quality, delivery, and suitability of
products and services provided
Delighting the customer means providing the
(benchmarked) best quality, service, and
delivery at a fair market price.
IT-465 lean Manufacturing

Customer Satisfaction
Conventional wisdom: Satisfying
customers costs more
Wastes and Opportunities
Wastes are any form of wasted
resources or effort beyond the
minimum required to satisfy
customer perceived valueadded activities in products
and services provided
Opportunities are
revenue/value-generating
activities that are being overlooked or not optimized in the
current business system
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Adding Value
Value
Anything the customer is willing to pay for
Must satisfy all three of the following:
It changes the shape or form of the process or product
The customer cares about it
Its done right the first time
The Paradox
Waste elimination increases customer satisfaction while
at the same time reduces costs to produce goods and
services
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Summary
Lean has been around a long time
Lean is based on the collective learning of
many gurus and many thousands of
companies over the last 100 years.
Any kind of business can benefit by
applying the concepts.
Lean focus: reducing time and wastes in
processes, focus on the customer.
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Prominent Figures of Lean

Outcome
Become familiar with the important figures
in the history of Lean Six Sigma

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The Origins of Lean

Henry Ford
The Father of Lean
Considered human waste
to be the worst form
Used time and motion
studies to develop
assembly line
Moving assembly line
reduces operator motion
and reduces lead time
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The Origins of Lean

Sakichi Toyoda
Noticed that if there
was a problem in
production, it was
produced over and
over, creating a lot of
waste
Developed the
concept of Poka-yoke
mistake proofing
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The Origins of Lean

Kiriichi Toyoda (Sakichis son)
Wanted to create a car company
Studied Ford Noticed that too much material
created delays
Created concept of Just-In-Time Producing
the right part in the right place at the right time

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The Origins of Lean Six Sigma

Taiichi Ohno
V.P. of Engineering at
Toyota
Founder of Toyota
Production System (TPS)
Believed in creating a
profound image for
people to grasp
Challenged employees by
telling them what to do,
but not how to do it.
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The Spread of Lean Six Sigma

Shigeo Shingo
Worked at Toyota with Taiichi
Ohno
Perfected the art of Single
Minute Exchange of Dies
(SMED)
Promoted TPS principles and
setup reduction
Helped to create material
replenishment based on US
supermarket concepts
kanban feed me next
Sprea Lean principles around
the world
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The Spread of Lean Six Sigma

Dr. William Edwards
Deming
Was sent to Japan after
WWII to assist with
quality issues
Developed Plan-DoCheck-Act (PDCA)
approach to defect
reduction
Change agent for Japans
economy
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Lean
It is not only for manufacturing
Principles apply to service and process
industries also

Based on the Toyota Production System

Make sure that everything flows
Look for waste at every step of the
process, eliminate it, and make sure it
never comes back
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Lean
Lean Service
Focus on reducing service time
Every process has waste, regardless of industry

Lean Process
Create product just-in-time

Deliver what the customer needs, in the quantity

needed, when the customer needs it.
Continue to focus on improvement

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Value Add and Waste

Outcomes
Understand the concept of value add
Understand the types of waste
What is Lean Manufacturing
The fundamental principal of Lean
Manufacturing is to eliminate waste
Create flow, eliminate waste
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What is Lean manufacturing

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Five Steps of Lean Implementation

1. Specify value identify what is value and what
is not

2.
3.
4.
5.

Anything the customer is willing to pay for

The process object has to be physically changed
Must be done right the first time

Map the value stream

Create flow
Pull
Pursue perfection

Waste is not value added

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Eight Types of Waste

Downtime
Defects
Overproduction
Waiting
Non-utilized talent
Transportation
Inventory
Motion
Extra processing
The 8 types of waste take up 9598% of all lead time.

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Defects
Definition:
Any part not made, or service rendered, to the
customers specifications the first time
Money and time wasted
Causes
Lack of process controls
Poor quality of incoming materials
Inadequate operator training
Poor work instructions
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Overproduction
Faster than needed
Sooner than needed
More than needed

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Waiting
Time lost when people, material or
machines are waiting
Causes:
Unbalanced workload
Equipment breakdowns
Long set-up times
Poor material handling practices
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Non-Utilized Talent
Wasted potential for improvement results
when people doing the work are not
consulted for ideas on improving the
methods of work
Causes:
Old guard thinking, politics, business
culture
Low or no investment in training
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Transportation
Transportation of parts and materials around
a facility creates waste
Causes:
Poor plant layout
Large batch sizes
Large storage areas
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Inventory
Any material in excess of the one piece required for the
next step in production
Three Types:
Raw material
Work-in-progress
Finished goods
Causes:
Inventory held just-in-case problems arise
Unreliable shipments by suppliers
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Motion
Movement of people or machines that does
not add value to product
Causes:
Poor plant or workstation layout
Poor workplace organization and
housekeeping
Sorting/looking for items
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Extra Processing
Doing more than minimum required to transform material
into an acceptable product
Causes:
Accommodate perceived customer needs
Redundant approvals/inspections required
Unnecessary reports produced
Examples
Duplication
Rework
Engineering changes
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Wrap Up
8 types of waste:
D.O.W.N.T.I.M.E.
3 parts to Value Add
Customer willing to pay for it
Changes the process object
Done right the first time
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Five Steps of Lean Implementation

1.
2.
3.
4.
5.

Specify value
Map the value stream
Create flow address defects to create flow
Pull
Pursue perfection

Poka-yoke (mistake proofing)

The removal of all potential causes of error through design,

process, or mistake-proofing devices, to ensure consistent
process results
Poka-yoke helps build quality into processes to achieve zero
defects
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Zero Defects
The goal is to understand the concept and practice
of zero defects and how to develop Poka-yoke to
eliminate these defects
If 99.9% were acceptable, you would not mind if..
Connection post offices would lose 10,271
pieces of mail per day
OHare International Airport would have 1,264
unsafe arrivals/departures per year
Doctors at New York hospitals would drop 288
newborn babies per year.
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Tracking Defects
Typically defect rates are tracked by:
Quantity
Kind
Percent
With zero defects thinking they are tracked at:
The point at which defect is discovered
The point at which defect occurred
Attitude
I do not ACCEPT defects
I do not MAKE defects
I do not PASS ON defects

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Defects vs. Errors

Poka-yoke methods or devices to improve product quality
and ensure consistent process results
These devices:
Prompt feedback and action as soon as the defect or
error occurs
Perform 100% auto-inspection
The first step to Source Inspection is to distinguish between
errors and defects
Defects are the results
Errors are the causes of the results
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Cause-Errors
The most common manufacturing errors:
Processing errors or omissions
Assembly omissions or inclusion of the wrong part
Processing wrong work piece
Conventional Approach to Human Error
Make excuses
Place blame and/or expect defects
Catch at final or sampling inspection
Mistake-proofing Approach to Human Error
Eliminate the possibility of the mistake
Find the root cause and eliminate
Ask why the process failed
Apply mistake-proofing device for 100% inspection
No defects generated
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Machine/Equipment Error
Recognize that machines make errors (drills break, tools
become dull, fixtures wear, etc.)
A methodology for developing Poka-yoke
A reliable method
A standard a work method or procedure
A reliable method an effective standard
A reliable method includes only those elements which,
when followed, cause a predictable/desirable result, and
when not followed, result in a predictable defect.
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Summary
Error Proofing
Poka-yoke Japanese for error proofing
To achieve zero defects
Make it impossible to produce defects

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