Chapter 16 Lean Systems Russell and Taylor Operations and Supply Chain Management, 8th Edition.
-
Upload
drake-beed -
Category
Documents
-
view
273 -
download
13
Transcript of Chapter 16 Lean Systems Russell and Taylor Operations and Supply Chain Management, 8th Edition.
Chapter 16
Lean Systems
Russell and Taylor
Operations and Supply Chain Management, 8th Edition
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Lecture Outline
• Basic Elements of Lean Production – Slide 4• Implementing Lean Systems – Slide 47• Lean Six Sigma – Slide 49• Value Stream Mapping – Slide 50• Lean and the Environment – Slide 54• Lean Services – Slide 56
16-2
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Learning Objectives
• Explain how the basic elements of lean eliminate waste, create flow and continuously improve operations
• Assess the benefits of lean, as well as the difficulties in implementing lean systems
• Explain how the complementary concepts of lean and six sigma work together for process improvement
• Construct and interpret a value stream map• Create strategies for implementing lean in service
industries• Use lean concepts and techniques to enhance
environmental initiatives
16-3
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Basic Elements of Lean Production
• Doing more with less inventory, fewer workers, less space
• Just-in-time (JIT)• smoothing the flow of material to arrive just as it is
needed• “JIT” and “Lean Production” are used interchangeably
• Muda• waste, anything other than that which adds value to
product or service
16-4
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Waste in Operations
16-5
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Waste in Operations
16-6
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Waste in Operations
16-7
Elements of Lean Production
1. Flexible resources2. Cellular layouts3. Pull system4. Kanbans5. Small lots6. Quick setups7. Uniform production levels8. Quality at the source9. Total productive
maintenance10. Supplier networks
16-8© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Flexible Resources
• Multifunctional workers• perform more than one job
• General-purpose machines perform several basic functions
• Cycle time• time required for the worker to complete one pass
through the operations assigned• Takt time
• paces production to customer demand
16-9
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Standard Operating Routine for a Worker
16-10
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Cellular Layouts
• Manufacturing cells• comprised of dissimilar machines brought together to
manufacture a family of parts
• Cycle time is adjusted to match takt time by changing worker paths
16-11
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Cells With Worker Routes
16-12
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Worker Routes Lengthen as Volume Decreases
16-13
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Pull System
• Material is pulled through the system when needed
• Reversal of traditional push system where material is pushed according to a schedule
• Forces cooperation• Prevent over and underproduction• While push systems rely on a predetermined
schedule, pull systems rely on customer requests
16-14
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Kanbans
• Card which indicates standard quantity of production
• Derived from two-bin inventory system• Maintain discipline of pull production• Authorize production and movement of goods
16-15
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Sample Kanban
16-16
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Origin of Kanban
16-17
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Types of Kanban
• Production kanban– authorizes production of
goods• Withdrawal kanban
– authorizes movement of goods
• Kanban square– a marked area designated
to hold items
• Signal kanban– triangular kanban to
signal production at the previous workstation
• Material kanban– to order material in
advance of a process
• Supplier kanban– rotates between the
factory and suppliers
16-18
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Dual Kanban System
16-19
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Other Kanbans
16-20
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Other Kanbans
16-21
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Determining Number of Kanbans
where
N = number of kanbans or containersd = average demand over some time periodL = lead time to replenish an orderS = safety stockC = container size
No. of Kanbans =average demand during lead time + safety stock
container size
N =dL + S
C
16-22
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Determining Number of Kanbans
d = 150 bottles per hourL = 30 minutes = 0.5 hoursS = 0.10 (150 x 0.5) = 7.5C = 25 bottles
N = =dL + S
C
16-23
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Determining Number of Kanbans
d = 150 bottles per hourL = 30 minutes = 0.5 hoursS = 0.10 (150 x 0.5) = 7.5C = 25 bottles
Round up to 4 (to allow some slack) or down to 3 (to force improvement)
N = =
= = 3.3 kanbans or containers
dL + SC
(150 x 0.5) + 7.5
2575 + 7.5
25
16-24
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Small Lots
• Require less space and capital investment• Move processes closer together• Make quality problems easier to detect• Make processes more dependent on each other
16-25
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Inventory Hides Problems
16-26
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Less Inventory Exposes Problems
16-27
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Components of Lead Time
• Processing time• Reduce number of items or improve efficiency
• Move time• Reduce distances, simplify movements, standardize
routings
• Waiting time• Better scheduling, sufficient capacity
• Setup time• Generally the biggest bottleneck
16-28
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Quick Setups
• Internal setup– Can be performed
only when a process is stopped
• External setup– Can be performed in
advance
• SMED Principles– Separate internal
setup from external setup
– Convert internal setup to external setup
– Streamline all aspects of setup
– Perform setup activities in parallel or eliminate them entirely
16-29
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Techniques for Reducing Setup Time
16-30
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Uniform Production Levels
• Result from smoothing production requirements on final assembly line
• Kanban systems can handle +/- 10% demand changes
• Reduce variability with more accurate forecasts• Smooth demand across planning horizon• Mixed-model assembly steadies component
production
16-31
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Mixed-Model Sequencing
16-32
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Quality at the Source
• Visual control– makes problems visible
• Poka-yokes– prevent defects from
occurring
• Kaizen– a system of continuous
improvement; “change for the good of all”
• Jidoka– authority to stop the
production line
• Andons– call lights that signal quality
problems
• Under-capacity scheduling– leaves time for planning,
problem solving, and maintenance
16-33
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Examples of Visual Control
16-34
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Examples of Visual Control
16-35
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Examples of Visual Control
16-36
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
5 Whys
• A key part in an effective Kaizen is finding the root cause of a problem and eliminating it
• A practice of asking “why?” repeatedly until the underlying cause is identified (usually requiring five questions)
• Simple, yet powerful technique for finding the root cause of a problem
16-37
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Total Productive Maintenance (TPM)
• Breakdown maintenance• Repairs to make failed machine operational
• Preventive maintenance• System of periodic inspection and maintenance to
keep machines operating
• TPM combines preventive maintenance and total quality concepts
16-38
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
TPM Requirements
• Design products that can be easily produced on existing machines
• Design machines for easier operation, changeover, maintenance
• Train and retrain workers to operate machines• Purchase machines that maximize productive
potential• Design preventive maintenance plan spanning
life of machine
16-39
5S Workplace Scan
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Seiri (sort)
Seiton (set in order)
Seisou (shine)
5S ScanKeep only what you
need
A place for everything and everything in its place
Cleaning, and looking for ways to keep clean and organized
GoalUnneeded equipment, tools, furniture;
unneeded items on walls, bulletins; items blocking aisles or stacked in corners; unneeded inventory, supplies, parts; safety hazards
Items not in their correct places; correct places not obvious; aisles, workstations, & equipment locations not indicated; items not put away immediately after use
Floors, walls, stairs, equipment, & surfaces not clean; cleaning materials not easily accessible; lines, labels, signs broken or unclean; other cleaning problems
Eliminate or Correct
16-40
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Seiketsu (standardize)
Shisuke (sustain)
5S ScanMaintaining and
monitoring the first three categories
Sticking to the rules
GoalNecessary information not visible; standards
not known; checklists missing; quantities and limits not easily recognizable; items can’t be located within 30 seconds
Number of workers without 5S training; number of daily 5S inspections not performed; number of personal items not stored; number of times job aids not available or up-to-date
Eliminate or Correct
5S Workplace Scan
16-41
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Supplier Networks
• Long-term supplier contracts• Synchronized production• Supplier certification• Mixed loads and frequent deliveries• Precise delivery schedules• Standardized, sequenced delivery• Locating in close proximity to the customer
16-42
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Benefits of Lean Production
• Reduced inventory• Improved quality• Lower costs• Reduced space requirements• Shorter lead time• Increased productivity
16-43
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Benefits of Lean Production
• Greater flexibility• Better relations with suppliers• Simplified scheduling and control activities• Increased capacity• Better use of human resources• More product variety
16-44
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Implementing Lean Systems
• Use lean production to finely tune an operating system
• Somewhat different in USA than Japan• Lean production is still evolving• Lean production is not for everyone
16-45
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Drawbacks of Lean Production
• Highly variable demand• Large variety of low-volume products• Custom engineered products• Mass production parts• Unexpected changes in demand or supply
16-46
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Lean Six Sigma
• Lean and Six Sigma are natural partners for process improvement
• Lean• Eliminates waste and creates flow• More continuous improvement
• Six Sigma • Reduces variability and enhances process capabilities• Requires breakthrough improvements
16-47
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Value Stream Mapping (VSM)
• A tool for analyzing process flows and eliminating waste
• Specialized icons related to • lean production• material and information flows• “aha” Kaizen bursts
16-48
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
VSM Shapes
16-49
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
VSM for Milling & Welding
16-50
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
VSM for Emergency Room
16-51
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Lean and the Environment
• Identify environmental waste along with other forms
• These can indicate poor process design• Reduce costs of
• material• energy• regulatory compliance
• Reduce worker health and safety risks
16-52
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
US EPA Recommendations
• Commit to eliminate environmental waste• Involve staff with environmental expertise in
planning for & implementing lean events• Find & drive out environmental waste in specific
processes by using lean tools• Empower & enable workers to eliminate
environmental waste in their work areas• Use environmental, health & safety icons in VSM
16-53
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Lean Services
• Basic elements of lean production apply equally to services
• Most prevalent applications• lean retailing• lean banking• lean health care• supply chain
16-54
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Leaning the Supply Chain
• “pulling” a smooth flow of material through a series of suppliers to support frequent replenishment orders and changes in customer demand
• Firms need to share information and coordinate demand forecasts, production planning, and inventory replenishment with suppliers and supplier’s suppliers throughout supply chain
16-55
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Leaning the Supply Chain
• Pull a smooth flow of material through the system
• Build a highly collaborative business environment
• Adopt the technology to support your system• Consider “near shoring”
16-56
© 2014 John Wiley & Sons, Inc. - Russell and Taylor 8e
Copyright 2014 John Wiley & Sons, Inc.All rights reserved. Reproduction or translation of this work beyond that permitted in section 117 of the 1976 United States Copyright Act without express permission of the copyright owner is unlawful. Request for further information should be addressed to the Permission Department, John Wiley & Sons, Inc. The purchaser may make back-up copies for his/her own use only and not for distribution or resale. The Publisher assumes no responsibility for errors, omissions, or damages caused by the use of these programs or from the use of the information herein.
16-57