Lean Glozssary

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    LEAN GLOSSARY

    3P: Production Preparation Process. Rapidly designing processes and equipment to ensure

    capability, built-in quality, productivity, and Takt-Flow-Pull. The 3P minimies resourcesneeded such as capital, tooling, space, inventory, and time.

    3Ds: !orking conditions or "obs that are dirty, dangerous, or di##icult.

    3 ELEMENTS OF DEMAND: The three drivers o# customer satis#action are $uality, %ost, and&elivery.

    3 GEN PRINCIPLES:The three principles are '( o##ice #loor )gemba(, *( the actual product)gembutsu(, and 3( the #acts )gen"itsu(. The key to success#ul +aien is going to the worksite,working with the actual productprocess, and getting the #acts.

    3 ELEMENTS OF JUST IN TIME (JIT):The three elements o# T are '( takt time, *( #low

    production, and 3( the downstream pull system.4 Ms: /an!oman, /achine, /ethod, and /aterial.

    5 S: The overall idea behind the Five Ss is that there is 0a place #or everything and everythinggoes in its place.0 5S is a systematic process o# workplace organiation -- the principle o#waste elimination through workplace organiation. 1very item that is used in a businessprocess is clearly labeled and easily accessible. &iscipline, simplicity, pride, standardiationand repeatability, as emphasied in the Five Ss, are critical to the 2ean enterprise in generaland #low implementations speci#ically. The #ive terms, all beginning with S, are derived #romthe apanese words seiri, seiton, seiso, seiketsu, and shitsuke. n 1nglish the 5Ss are sort,set in order, shine, standardie, and sustain.

    Five SAMERICAN JAPANESE

    SORT 1valuate and eliminateeverything not required #orthe current work, keepingonly the bare essentials.

    Seiri4ay-ree5)6rganiation(

    4eparate needed tools, parts, andinstructions #rom unneeded materials7 instantly remove the latterunnecessary things.

    SET IN ORDER)4traighten(

    8rrange items in a way thatthey are easily visible andaccessible.

    Seito4ay-ton5)Tidiness(

    Put things in order9 :eatly arrangeand identi#y materials 7equipmenttools #or ease o# use

    S!INE)4weep(

    nspect, re#ine, and cleaneverything and #ind ways tokeep it clean. /ake this apart o# your everyday work.

    Seiso4ay-soo5)Purity(

    %onduct a cleanup campaign.%leanto original condition. &o cleaningwork positively.

    STANDARDI"E)4ystematie(

    %reate rules and proceduresby which the #irst 3 45s aremaintained. &ocument.

    Sei#ets$4ay-kit-sue5)%leanliness(

    %onduct the other 34s at #requent, in#act daily, intervals to maintain a workenvironment in per#ect condition.Free #rom bad habits.

    SUSTAIN)4el#-discipline(

    +eep the other ;4 activities#rom unraveling.

    S%its$#e4hit-uk-ay5)&iscipline(

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    5 &!'s: 8 very simple but e##ective method o# analying and solving problems by askingwhyB5 #ive times )or as many times as needed( to get to the root cause o# the problem. Therecan be more than one root cause, and in an organiational setting, usually a team would carryout a root cause analysis #or a problem. There is no special technique required #or this.

    NE& TOOLS: Problem-solving tools used #or +aien and Coshin +anri activities. They are'( matriD diagram, *( relationship diagrams, 3( process decision program charts, ;( activitynetwork diagrams, E( radar charts, ( tree diagrams and ?( a##inity diagrams.

    TOOLS OF C: &ata gathering and analysis tools used #or kaien activities originally by $%%ircles. They are '( check sheets, *( cause and e##ect diagrams, 3( Pareto diagrams, ;(histograms, E( graphs, ( scatter diagrams, and ?( broken line graphs.

    &ASTES: Taiichi 6hnoGs original enumeration o# the wastes commonly #ound in physicalproduction. These are overproductionahead o# demand, waiting#or the neDt processing top,unnecessary transporto# materials )#or eDample, between #unctional areas o# #acilities(, over-

    processingo# parts due to poor tool and product design, inventoriesmore than the absoluteminimum, unnecessary movementby employees during the course o# their work )looking #orparts, tools, prints, help, etc.(, and production o# defective parts.

    * &ASTES: There are H types o# waste that describe all waste#ul activity in a workenvironment. 1limination o# the H wastes leads to improved resultsoutcomes. The H wastesare '( 6verproduction, *( Transportation, 3( 1Dcess /otion, ;( !aiting, E( 6ver-processing, (nventory, ?( 1rrors&e#ects, and H( Inderutilied People.

    A3 REPORT: This 0830 sied )'' inches D '? inches( #orm is used at Toyota as a one-sheetproblem evaluation, root cause analysis, and corrective action planning tool. t o#ten includessketches, graphics, #low maps or other visual means o# summariing the process current

    condition and #uture state. t is evidence o# 83 thinking.

    A3 T!IN+ING: 83 Thinking is not the same as the 83 Report. The 83 report is the evidenceo# 83 logical thinking based on the scienti#ic method o# problem-solving, on the Plan-&o-%heck-8ct cycle. ts power derives #rom the development and sustainment o# a dynamicP&%8 cultural mindset and thought and dialogue process. The power o# the 83 report is itsre#lection o# the process leading to its development and management.

    83 Thinking #acilitates ob"ective, logical, and systematic thinking= integrates and visualies)visual communication( a concise, understandable learning #ramework= and requires alignment,buy-in, and systems thinking through dialogue. t is at its most power#ul when it becomes parto# the management philosophy.

    A,NORMALIT' MANAGEMENT:

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    ANDON: 8 type o# visual control that displays the current state o# work )i.e., abnormalconditions, work instructions, and "ob progress in#ormation(. t is one o# the main tools o#idoka.

    8 tool o# visual management, originating #rom the apanese word #or GlampG. t is alineprocess stop. n the manu#acturing world, sometimes a cord that a worker can pull to stopthe assembly line when he or she detects a de#ect. /ost commonly, andons are lights placedon machines or on production lines to indicate operation status. 8ndons are o#ten color-codedgreen )normal operations(, yellow )changeover or planned maintenance(, and red )abnormal,machine down(. 6#ten combined with an audible signal such as music or alarms.

    ANDON,OARD: 8 visual control device in a work area )in a manu#acturing environment,typically a lighted overhead display(, providing the current status o# the process system andalerting team members to emerging problems.

    AUTONOMATION: 4topping a line automatically when a de#ective part is detected. /achines

    are given human intelligence5 and are able to detect and prevent de#ects. /achines stopautonomously when de#ects are made, asking #or help. 8utonomation was pioneered by4akichi Toyoda with the invention o# automatic looms that stopped when a thread broke,allowing an operator to manage many looms without risk o# producing large amounts o#de#ective cloth. 8utonomation is a pillar o# the Toyota Production 4ystem. J4ee also JidokaK

    AUTOMATIC TIME: The time when a machineequipment is running on auto cycle and aperson does not needed to be there to operate the machine. %ommonly used #or :% machinecycles, oven cycles, wash cycles, copiers, etc.

    ,AC+ FLUS!ING: 8 method o# recording accounting transactions #or labor and materialsbased on what was shipped rather than by using material issues or cards. The aim o# back

    #lushing is to reduce the number o# non value-added transactions.

    ,ALANCED PLANT: 8n o##iceprogram where the capacity o# all resources are balancedeDactly with customer demand.

    ,ALANCED SCORECARD: The

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    ,ATC!.AND.UEUE: Producing more than one piece o# an item and then moving thoseitems #orward to the neDt operation be#ore they are all actually needed there. Thus items needto wait in a queue. 8lso called 0

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    outside o# the cell. 6#ten, cellular manu#acturing has not taken into account waste eliminationor 4tandard !ork principles, and there#ore greater savings have not been realied.

    C!A+U.C!A+U LINE: 8 method o# conducting single-piece #low, where the operator

    proceeds #orm machine to machine, taking the part #rom one machine and loading it into theneDt. 8 production line where the only human activity is to GchakuG or GloadG the machines. Themachines e"ect the #inished parts automatically using hanedashi, so that the operators do nothave to wait. J4ee #O!$-#O!$K

    C!ANGE AGENT: 4omeone who will lead the organiation and its sta## #rom the traditionalmentality to becoming a 2ean 6rganiation -- who leads the cultural change in anorganiation. 4omeone whose ob"ective is to help cause the trans#ormation #rom %urrent4tate )traditional processing, e.g. push, batch and queue( to Future 4tate )2ean 1nterprise(.The catalytic #orce moving organiations and value streams out o# the world o# inward-lookingbatch-and-queue.

    C!ANGE MANAGEMENT: The process o# planning, preparing, educating, resource

    allocating, and implementing o# a cultural change in an organiation.

    C!ANGEO-ER: The time #rom when the last good piece comes o## o# a machine or processuntil the #irst good piece o# the neDt product is made. %hangeover time includes set up, warmup, trial run, ad"ustment, #irst piece inspection, etc. This includespreparation)getting ready tomake the change(, replacement)removing and replacing #iles, program, etc.(,positioning)locate the materials in the correct location #or use #or the taskstep(, and ad%ustment)#irst-iteminspection, materialsequipment tweaking, trial runs(.

    CONCURRENT ENGINEERING: &esigning a product )or service(, its production process, thesupporting in#ormation #low, and its delivery mechanism at the same time. The bene#itsinclude shorter development time #rom concept to market, a higher product quality, lower

    overall development cost and lower product or service unit cost. %oncurrent engineeringrequires up-#ront planning and dedicated resources early in the early stages o# development.

    CONSTRAINT: 8nything that limits a system #rom achieving higher per#ormance orT&O'(&)'T. 8lternate9 That *OTT#+N+Cwhich most severely limit the organiationGsability to achieve higher per#ormance relative to its purposegoal.

    CONTINUOUS FLO&: 1ach stepprocess )in the o##ice or plant setting( makes or completesonly the one piece that the neDt stepprocess needs, and the batch sie is one - single-piece#low or one-piece #low. This is the opposite o# batch-and-queue.

    CONTINUOUS IMPRO-EMENT:The never-ending pursuit o# waste elimination by continuallycreating a better workplace, better products, and greater value to society. The process is

    never per#ect -- as the name implies, with continuous improvement you are never done= eventhe improvement can be improved.

    t is to institutionalie the practice o# making many small improvements every day and improveoverall e##iciency. %ontinuous mprovement re#ers to the idea that a large number o# smallimprovements in processes are easier to implement than ma"or improvements and have alarge cumulative e##ect.

    CONTROL C!ART: 8 statistical problem solving tool that indicates control o# a process withinestablished limits.

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    CONTROL ELEMENT: 8ny speci#ic process variable that must be controlled. Themeasurement o# a control element indicates whether the process is operating under stableconditions.

    COST OF POOR UALIT': %osts associated with supplying a poor quality product.%ategories o# cost include internal and eDternal #ailure costs.

    COST OF UALIT': %osts associated with supplying a quality product. %ategories o# costinclude prevention, appraisal, and #ailure.

    COUNTERCLOC+&ISE FLO&: 8 basic principle o# 2ean manu#acturing cell layout is that the#low o# material and the motion o# people should be #rom right to le#t, or counterclockwise. Theorigin o# this idea came #rom the design o# lathes and machine tools with the chucks on the le#tside, making it easier #or right-handed people to load #rom right to le#t.

    COUNTER MEASURES: 8ctions taken to bring less than eDpected results o# a process backup to targeted levels.

    CO-ARIANCE: The impact o# one variable upon others in the same group.

    CUSTOMER: %ustomers are the requestorsreceiversLpayersM o# the serviceoutput o# theprocess. %ustomers can include clients, their #amilies and #riends, re#erral sources, providers,payers, community, and other sta##. %ustomers can be internal )sta##, programs( to theorganiation or eDternal )clients, their #amilies, contractors, etc.( and both are key to thesuccess o# organiational changeimprovement. >enerally, organiational sta## are viewed asproviderssuppliers and clients as customers but both can be either at di##erent steps in aprocess.

    C'CLE TIME: %ycle time is the time it takes to do one complete repetition o# any particulartaskstep. %ycle time can be categoried into '( manual cycle time, *( machine cycle time, and

    3( auto cycle time. 8lso re#erred to as touc time or ands-on time. # cycle time #or everystepoperation in a complete process can be reduced to equal TaktTime, the serviceproductcan be made in 4ingle-Piece Flow.

    DAIL' MANAGEMENT: The day-to-day activities that are required to serve the customers andensure that the business is generating pro#it.

    DAS!,OARD: 8 visual tool used #or collecting and reporting in#ormation about vital customerrequirements andor your businessG per#ormance #or key customers. &ashboards provide aquick summary o# process andor product per#ormance.

    DA'S SUPPL' OF IN-ENTOR' (DSI): Total number o# days )i# the production level equalsero( that it would take to deplete #inished goods inventory #or the speci#ied product line.

    DEPENDENT E-ENTS: 1vents that occur only a#ter a previous event.

    DESIGNED FOR MANUFACTURING AND ASSEM,L' (DFMA): 8 way o# improving cost,quality, and sa#ety o# the manu#acturing and assembly processes by design.

    DESIGN OF E/PERIMENT (DOE): Planning and conducting eDperiments and evaluating theresults. The outcome o# a design o# eDperiment includes a mathematical equation predictingthe interaction o# the #actors in#luencing a process and the relevant output characteristics o#the process.

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    DO&NSTREAM PULL S'STEM: 4ee )'## S.ST+/.

    EIG!T &ASTES: J4ee 0 1!ST+SK

    ELEMENTS OF &OR+: The elements o# work are '( value-added work, *( non value-addedwork, and 3( waste. Thoroughly understanding the elements o# work is a key #irst step to 2eanthinking.

    ERROR.PROOFING: 8lso called /istake-Proo#ing. 8 system that addresses both theworkproduct and the processes to detect errors be#ore they become de#ects. J4ee )oka-.okeK

    E/TERNAL SET.UP: 8ll set-up tasks that can be done while equipment is still running.1Damples are collecting tools, the neDt piece o# material, preparing or #iDtures. /oving set-upactivities #rom internal to eDternal in order to reduce down time is a central activity o# set-upreduction and 4/1&.

    E-APORATING CLOUDS: 8 problem methodology used in TC16RN 6F %6:4TR8:T4.%on#lict Resolution.

    E-ER' PART E-ER' (EPE): /easured in terms o# time )hours, days, weeks, months, etc.(L1very Part 1very OM indicates the level o# #leDibility to produce whatever the customer needs.For instance, 1very Part 1very day would indicate that changeovers #or all products requiredcan be per#ormed each day and the products can be supplied to the customer.FAILURE MODES AND EFFECTS ANAL'SIS (FMEA): 8 structured approach to determiningthe seriousness o# potential #ailures and #or identi#ying the sources o# each potential #ailure.The aim is to identi#y possible #ailures and implement corrective actions to prevent #ailures.

    FIRST IN FIRST OUT (FIFO): 8 system o# keeping track o# the order in which in#ormation or

    materials need to be processed. The goal o# FF6 is to prevent earlier orders #rom beingdelayed un#airly in #avor o# new orders.

    FI-E S: 4ee 5 S.

    FI-E &!': 4ee 5 1&..

    FLO&: n its purest #orm continuous #low means that items are processed and moved directlyto the neDt process one piece at a time. 1ach processing step completes its work "ust be#ore

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    the neDt process needs the item, and the trans#er batch is one. 8lso known as 0one-piece#low0 and 0make one, move one0.

    FLO& C!ART: 8 problem-solving tool that maps out the steps in a process visually. The #low

    )or lack thereo#( becomes evident and the wastes and redundancies are identi#ied.

    FLO& +AI"EN: Radical mprovement, usually applied only once within a value stream. J4ameas !"!'K

    FLO& PRODUCTION: 8 way o# doing things in small quantities in sequential steps, ratherthan in large batches, lots or mass processing. Product )or service( moves )#lows( #romprocess to process in the smallest, quickest possible increment )one piece(. 6nly acceptablequality products or services are accepted by the downstream customer. 4ee also ON+-)"+C+F#O1.

    FUNCTIONAL LA'OUT:The practice o# grouping activities#unctions or machines by type o#operation per#ormed. For eDample, service request-entry and copiers 7 shredders. %ontrast

    with Cells.

    GEM,A: s a apanese word meaning 0actual place0 or the place where you work to createvalue. !ithin each organiation, the (embacan be a di##erent place.

    GEM,A PRODUCTION S'STEM: 8 manu#acturing operations trans#ormation strategy basedon the Toyota Production 4ystem.

    GEM,UTSU: apanese #or Gactual thingG or Gactual productG. The tools, materials, machines,parts, and #iDtures that are the #ocus o# kaien activity.

    GENC!I GEN,UTSU: >o see= go to the real place and see what is actually happening. >osee the problem. This is the belie# that practical eDperience is valued over only theoretical

    knowledge. Nou must see the problem to know the problem. )6n 4ite, !ith the 8ctual Things(

    GENJITSU: apanese #or Gthe #actsG or Gthe realityG. The actual #acts or the reality o# what ishappening on the shop #loor and in the business.

    GREENFIELD: 8 new #acility in which 2ean principles are designed intoprocessingmanu#acturing and management systems #rom the beginning.

    !ANEDAS!I: 8uto-e"ect devices that unload the part #rom the machine once the cycle iscomplete. This allows the operators to go #rom one machine to the neDt without waiting,picking up and loading parts. Canedashi is a key component o# chaku-chaku lines.

    !EIJUN+A: +eeping total production volume as constant as possible. The overall leveling, inthe production schedule, o# the volume and variety o# items produced in given time periods.Cei"unka is a pre-requisite #or ust-n-Time delivery. J4ee #+2+#"N( 3 )O$'CT"ONS/OOT&"N(4!ISTOGRAM: 8 problem-solving tool that displays data graphically in distribution. t is o#tenused to reveal the variations that any processes contain.

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    !ORI"ONTAL !ANDLING: !hen tasks are assigned to a person in such a way that the #ocusis on maDimiing a certain skill set or use o# certain types equipment, this is called horiontalhandling. Coriontal handling does not bene#it #low. J%ontrast to 2+T"C!# &!N$#"N(4

    !OS!IN: >oals )with targets( and the means #or achieving them in order to address businesspriorities to move the organiation to a new level o# per#ormance= variable #rom year-to-year=could also be multi-year= and is developed by eDecutive management.

    !OS!IN +ANRI: 8 method o# policy deployment and strategic decision-making that #ocusesand aligns the organiation on a #ew vital LbreakthroughM improvements. The ob"ectives andmeans to achieve the ob"ectives are cascaded down through the entire organiation using aseries o# linked matrices. The process is sel#-correcting and encourages organiationallearning and continuous improvement o# the planning process itsel#. t is the selection o#goals, pro"ects to achieve the goals, designation o# people and resources #or pro"ectcompletion, and establishment o# pro"ect metrics9 the ship in a storm going in the rightdirection= shining needle= strategic policy deployment= a power#ul strategic planning system.

    &eveloped in apan in the 'A@Gs. J8lso known as )olic /anagement or )olic $eploment,&osin )lanningK

    n Coshin +anri, organiational leadership identi#ies critical )3-E( breakthrough ob"ectivesgoalsand subordinates all other goals or pro"ects to achieving those ob"ectives. Then a processcalled catc ball is used to assure that these ob"ectives are 4/8RT )4imple, /easurable,

    8ttainable, Realistic, Time-based( and, most important, that resources are available. Thiscatc ballgoes on back and #orth between di##erent levels o# the organiation until there isalignment and agreement that the breakthrough goals are not out o# sight.

    !OS!IN PLANNING: 8lso known as /anagement by Policy or, alternatively, 4trategy&eployment. 8 means by which goals are established and measures are created to ensureprogress toward those goals. CP keeps activities at all levels o# a company aligned with its

    overarching strategic plans. Coshin Planning typically begins with the 0visioning process,0which addresses the key questions9 !here do you want to be in the #utureB Cow do you wantto get thereB !hen do you want to achieve your goalB 8nd !ho will be involved in achievingthe goalsB CP then systematically eDplodes the whats, whens, whos and hows throughout theentire organiation

    IJO.+ANRI: J4ee!bnormalit /anagement4

    INFORMATION MANAGEMENT TAS+: The task o# taking a speci#ic product #rom order-takingthrough detailed scheduling to delivery. J4ee 2alue StreamK

    INFORMATI-E INSPECTION: 8 #orm o# inspection used to determine non-con#ormingproduct. J4ee "nspectionor Judgment "nspectionK

    INSPECTION: %omparing product, or component against speci#ications to determine i# suchproduct or component meets requirements. J4ee Judgment "nspection or "nformative"nspectionK

    INTELLIGENT AUTOMATION: J4ee!utonomation4

    INTERNAL SET.UP: 4et-up tasks that can only be done when the machine is stopped.1Damples are changing the #iDture, changing the tools, or making ad"ustments. 8#ter as manyo# the internal tasks have been eDternalied as is possible, the remaining internal changeovertime is reduced through use o# quick-change mechanisms.

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    IN-ENTOR': 8 ma"or cost #or most organiationsbusinesses= inventory is all raw materials,purchased parts, work-in-process components, and #inished products that are not yetprovidedsold to a customer. nventory may also include LconsumableM goods used in the

    processproduction itsel#.

    JIDO+A: 4topping a process automatically when a de#ective product is detected.8utomatically stopping abnormalities and immediately noti#ying the worker. The idea is to buildin quality by preventing any error #rom going to the neDt stepprocess. 1Dceptions are handledin real time. 1Damples include the andonandpokaoke-- also known as Lautonomation with ahuman touch.M t is one o# the two main pillars o# TP4. J4ee!utonomation4

    JIS!U+EN: /anagement driven kaien activity where management members identi#y areas inneed o# continuous improvement and spread in#ormation through the organiation to stimulatekaien activity. Fresh eyes= an important concept in 6bservation-

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    Time system. +anbans are attached to the actual workitemproduct, at the point o# use.+anbans are cards that have in#ormation about the parts )name, part number, quantity, source,destination, etc.( but carts, boDes, and electronic signals are also used. 4quares painted onthe #loor to indicate storage or incoming areas are #requently, but mistakenly, re#erred to as

    kanbans.

    LAST IN FIRST OUT (LIFO): The result o# a typical material or in#ormation #low systemwithout FF6, resulting in earlier orders being perpetually delayed by new orders arriving ontop o# them.

    LEAD.TIME: The total time a customer must wait to receive a product or service a#ter placingthe request. !hen a scheduling and production system is running at or below capacity, 2eadTime and Throughput Time are the same. !hen demand eDceeds the capacity o# a system,there is additional waiting time and 2ead Time eDceeds Throughput Time.

    LEAN: #eanis simply a thought process or approach, not a tool, used to look at your business

    whether it is service, manu#acturing, or any other activity where you have a supplier and acustomerreceiver. The key thought processes within 2ean are identi#ying GwasteG #rom thecustomer perspective and then determining how to eliminate it. !aste is de#ined as theactivity or activities that a customer would not want to LpayM #or andor that add no value to theproduct or service #rom the customerGs perspective. 6nce waste has been identi#ied in the%urrent 4tate, a plan is #ormulated to reach the Future 4tate in an e##ective manner thatencompasses the entire system. The term 0lean0 was coined by ames P. !omack and&aniel T. ones in their 'AA classic #ean Tinking, based on theToyota Production 4ystem)TP4(.

    LEAN MANUFACTURING: 8 business practice characteried by the endless pursuit o# wasteelimination. 8 manu#acturer that is lean uses the minimum amount o# manpower, materials,

    money, machines, space etc. to get the "ob done on time.

    LEAN ENTERPRISE: 8 2ean 1nterprise is an organiation that is engaged in the endlesspursuit o# waste elimination. 8 2ean 1nterprise has a culture that does not tolerate waste o#any kind.

    LEAN TRANSFORMATION: &eveloping a culture that is intolerant to waste in all o# its #orms.8 success#ul 2ean Trans#ormation should result in a 2ean 1nterprise, an organiation that isengaged in the endless pursuit o# waste elimination.LE-ELING: 4moothing out the production schedule by averaging out both the volume andmiD o# products. Production leveling allows a consistent work#low, reducing the #luctuation o#

    customer demand with the eventual goal o# being able to produce any product any day.2eveling is the #oundation o# a >emba Production 4ystem.

    LOAD.LOAD: 8 method o# conducting single-piece #low, where the operator proceeds #ormmachine to machine, taking the part #orm one machine and loading it into the neDt. J4ame as%haku-%hakuK

    MAC!INE AUTOMATIC TIME: The time it takes #or a machine to produce one unit, notincluding the manual time to load and unload.

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    problemwaste and generating solutionschanges, implementing the solutionschanges,evaluating the solutionschanges, and acting on what you5ve learned as a result, the cyclestarts all over again.

    PLAN0 DO0 C!EC+0 ACT

    P12The visioning process in the conteDt o# the

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    to be done over again, work is reviewed multiple times at various stages o# the process,services do not match or meet the needs o# the clientcustomer, etc. Problems are solved bymaking changes that close these discrepancies. )4ee /uda71aste(

    PROCESS: The #low o# material in time and space. The accumulation o# sub-processes oroperations that trans#orm material #rom raw materialinput to #inished products. Processes arethe series o# action steps taken to convert inputs into outcomes. 8ll processes have inputs,steps, and outcomes. /easurements can be made, data collected, and changes made andtested #or improvements to these.

    6rganiations eDist to serve customers. %ustomers are served by processes. Theoverwhelming ma"ority o# problems that organiations eDperience in serving clients are causedby their processes. There#ore, i# the organiation is to improve its client service, it must solvethe problems in its processes.

    PROCESS CAPACIT' TA,LE: 8 chart primarily used in machining processes that compares

    set-up and machine load times to available capacity. J8lso Table of )roduction Capacit b)rocessK.

    PROCESS +AI"EN: %ontinuous improvement through incremental improvements. J4ame asai6enK

    PRODUCT UANTIT' PROCESS ROUTING ANAL'SIS (PPR): The P$ )Product $uantity(re#ers to Pareto analysis to determine the H@*@ rule o# the top products or services that makeup H@ o# work volume. The PR )Process Routing( re#ers to the Parts-Process /atriD analysisto determine product #amilies by grouping o# products with similar process #lows. The result o#a correct P$PR results in a de#inition o# value streams and su##icient process #low data tobegin designing one-piece #low cells.

    PRODUCTION PREPARATION PROCESS (3P): Rapidly designing production processes andequipment to ensure capability, built-in quality, productivity, and Takt-Flow-Pull. TheProduction Preparation Process minimies resources needed such as capital, tooling, space,inventory, and time.

    PRODUCTION SMOOT!ING: +eeping total manu#acturing volume as constant as possible.J4ame as &ei%unka. 4ee #evelingK

    PRODUCTION PREPARATION PROCESS: J4ee 8)K

    PULL S'STEM:To produce or process an item only when the customer needs it and hasrequested it9 Ise 6ne= /ake 6ne. The customer can be internal or eDternal. 8n essentialpart o# any *uild-To-Orderstrategy. Caving set up the #ramework #or Flow, the neDt step is toonly produce what the customer needs. )ullmeans that no one upstream should producegoods or services until the customer downstream asks #or it. %ontrast this concept to )us.

    6ne o# the 3 1lements o# Just-"n-Time. The pull system enables the production o# what isneeded, based on a signal o# what has "ust been Lsold.M The downstream process takes theproduct they need and GpullsG it #rom the producer. This Gcustomer pullG is a signal to theproducer that the product is sold. The pull system links accurate in#ormation with the processto minimies overproduction.

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    PUS! S'STEM: To produce or process an item without any real demand #rom the customer usually creates inventory and all other GwastesG. n contrast to the )ull system, theserviceproduct is pushed into a process, regardless o# whether it is needed right now. Thepushed product goes into inventory, and lacking a pull signal #rom the customer indicating that

    it has been usedbought,, more o# the same serviceproduct could be overproduced and put ininventory. n a )us4ystem, creatingproducing more o# an item or service is based on theanticipation o# its use. 8 Push system attempts to predict when the itemservicematerial willbe needed and will launch its processing in anticipation o# this need.

    SE-EN AND T!E NE& SE-EN: The seven statistical tools, and the seven additional toolsthat have been the cornerstone o# problem solving in the #ield o# quality. J4ee 9 TOO#SaboveK

    UALIT': /eeting eDpectation and requirements, stated and un-stated, o# the customer.$%& )$uality, %ost, and &elivery(9 8lso the 3 1lements o# &emand9 $uality, %ost, and &eliveryare the key customer satis#action metrics that determine i# a company is competitive. +aien

    activity #ocuses on improving $%& metrics.

    CDSM ($21it0 Cost0 De1iver . S2et 6 Mor21e): 8 set o# per#ormance managementmeasures that includes employee satis#action )sa#ety 7 morale( as well as customersatis#action. 2ean Trans#ormation aims to eliminate waste, improve $%&4/ metrics, andincrease pro#itability.

    UALIT' FUNCTION DEPLO'MENT (FD): 8 methodology involving a cross-#unctionalteam to reach consensus that the #inal product speci#ications are based on the wishesvoice o#the customer. t is a visual decision-making procedure #or multi-skilled pro"ect teams whichdevelops a common understanding o# the voice o# the customer and a consensus on the #inalspeci#ications o# the service or product that has the commitment o# the entire team. t

    integrates the perspectives o# team members #rom di##erent disciplines, ensures that theire##orts are #ocused on resolving key trade-o##s in a consistent manner against measurableper#ormance targets #or the product, and deploys these decisions through successive levels o#detail. The use o# $F& eliminates eDpensive back#lows and rework as pro"ects near launch.

    UEUE TIME: The time an itemworkproduct spends in a line awaiting the neDt design,request-processing, or processing step

    UIC+ C!ANGEO-ER: The ability to change tooling and #iDtures rapidly )usually minutes(, somultiple products can be run on the same machine.

    REAL -ALUE: 8ttributes and #eatures o# a product or service that, in the eyes o# customers,

    are worth paying #or. J4ee 2alue-!dded, Non-2alue-!ddedK

    REENGINEERING: The engine that drives Time-

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    RESOURCE UTILI"ATION: Ising a resource in a way that increases Throughput. J4eeesource !ctivationK

    RIG!T.SI"E: /atching human, #inancial, and equipmentsupply resources to the )2ean(

    process requirements.

    ROOT CAUSE: The most basic underlying reason #or an event or condition. The root causeis where action must be taken to prevent recurrence.

    SENSI: The apanese word #or teacher -- an outside master or teacher that assists inimplementing 2ean practices. n acquiring 2ean +nowledge, the 4ensi o#ten is directlyinvolved with the student.

    SEUENTIAL C!ANGEO-ER: 8lso sequential set-up. n a #low process, when changeovertimes are within Takt Time, changeovers can be per#ormed one a#ter another. 4equentialchangeover assures that the lost time #or each process in the line is minimied to one GTaktG

    beat. 8 set-up team or eDpert #ollows the operator, so that by the time the operator has madeone round o# the #low line )at Takt time(, it has been completely changed over to the neDtproduct.

    SEUENTIAL SET.UP: J4ee se:uential cangeover4

    SET.UP REDUCTION: Reducing the amount o# time a machine or a stepprocess is downduring changeover #rom the last good piece to the #irst good piece o# the neDt product.

    SE-EN &ASTES: Taiichi 6hnoGs original enumeration o# the wastes commonly #ound inphysical production. These are overproduction ahead o# demand, waiting #or the neDtprocessing top, unnecessary transporto# materials )#or eDample, between #unctional areas o#

    #acilities(, over-processingo# parts due to poor tool and product design, inventoriesmore thanthe absolute minimum, unnecessary movementby employees during the course o# their work)looking #or parts, tools, prints, help, etc.(, and production o# defective parts.

    S!USA: The leader o# the team whose "ob is to design and engineer a new product and put itinto production.

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    SI/ SIGMA: 8 methodology and set o# tools used to improve quality to less than 3.; de#ectsper million or better. 4iD 4igma is a statistical term that equates to 3.; de#ects per one millionopportunities. Typical organiationsmanu#acturers operate at around three sigma, or ?,@@@

    de#ects per million. 4iD 4igma can achieve dramatic improvement in business per#ormancethrough a precise understanding o# customer requirements and the elimination o# de#ects #romeDisting processes, products and services. +ey tenets o# 4iD 4igma9 &e#ine, /easure,

    8nalye, mprove, %ontrol. To #ully embrace 4iD 4igma, an organiation must work intimatelywith all internal disciplines in addition to eDternal suppliers and customers.

    SMED: )4ingle /inute 1Dchange o# &ies.( 8 system o# a series o# techniques pioneered anddeveloped by 4higeo 4hingo #or set-up reduction and quick changeovers. The long-termob"ective is always Sero 4etup, in which changeovers are instantaneous and do not inter#ere inany way with continuous #low.

    STANDARDS: These involve comparison with accepted norms, such as are set by regulatorybodies. 1Damples include the standards #or roadhighway development and repair, #orprogram and individual licensure, #or conducting health 7 environmental tests, etc.

    STANDARD &OR+: 4peci#ying tasks to the best way to get the "ob done in the amount o#time available while ensuring the "ob is done right the #irst time, every time. 4tandard !ork isthe most e##icient, optimum combination o# man, machine, and material. The three elements o#standard work are '( Takt Time, *( !ork 4equence, and 3( 4tand !ork-in-Process.Per#orming standard work allows #or a clear and visible GstandardG operation. &eviation #romstandard work indicates an abnormality, which is then an opportunity #or improvement.

    4tandardied work is organied around human motion and creates an e##icient productionsequence without any waste. t consists o# three elements9 Takt-Time, !orking 4equence,and 4tandard n-Process 4tock.

    STANDARD IN.PROCESS STOC+:This is the minimum quantity o# partsitems always onhand #or processing on and between sub-processes. t allows the worker to do hisher "obcontinuously in a set sequence o# sub-processes, repeating the same operation over and overin the same order.

    STANDARD &OR+ COM,INATION S!EET (S&CS): 8 document detailing the sequence o#production steps assigned to a single worker per#orming 4tandard !ork. This documentoutlines the best combination o# worker and machine.

    STANDARD &OR+ S!EET (S&S): 8 visual work instruction drawing #or 4tandard !ork.4hows the work sequence, takt time, standard working process, and layout o# the cell or

    workstation.

    STANDARD &OR+ IN PROCESS: 8lso 4tandard !P, or 4!P. The minimum work-in-process needed to maintain standard work. 4tandard !P parts are '( parts completed and inthe machine a#ter auto cycle, *( parts placed in equipment with cycle times eDceeding Takttime, and 3( the parts currently being worked on or handled by the operators per#ormingstandard work.

    STATISTICAL FLUCTUATIONS: +inds o# in#ormation that cannot be precisely predicted.

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    STOP.T!E.LINE AUT!ORIT': !hen workers are able stop the line to indicate a problem,this is stop-the-line authority. The production line or machine remains stopped until thesupervisor, manager, engineer, maintenance personnel, support sta## or president haveidenti#ied the problem and taken corrective action.

    STRATEGIC PLANNING: &eveloping short and long-term competitive strategies using toolssuch as 4!6T 8nalysis to assess the current situation, develop missions and goals, andcreate an implementation plan.

    SU,.OPTIMI"ATION: 8 condition where gains made in one activity are o##set by losses inanother activity or activities, created by the same actions creating gains in the #irst activity.4ub-Processes9 8 series o# operations combined. Part o# a process.

    SUGGESTION S'STEM: n a suggestion system workers are encouraged to identi#y wastes,sa#ety, and environmental concerns and submit improvement ideas #ormally. Rewards aregiven #or suggestions resulting in cost savings. These rewards are typically shared among the

    production line or by the kaien team.

    SUN+ COST: 8ny eDpenditure that has already taken place and can not be undone.&ecisions should not be made based on sunk costs.

    SUPERMAR+ET9 8 supermarket is a tightly managed amount o# inventory within the valuestream to allow #or a pull system. t is a tool o# the pull system that helps signal demand #or theproduct. n a supermarket, a #iDed amount o# raw material, work in process, or #inished materialis kept as a bu##er to schedule variability or an incapable process. 8 supermarket is typicallylocated at the end o# a production line )or the entrance o# a u-shaped #low line(.

    SUPPL' C!AIN E/ECUTION (SCE): 8 business strategy to improve stakeholder and

    customer value by optimiing the #low o# products, services, and related in#ormation #romsource to customer.SUPPL' C!AIN MANAGEMENT (SCM): 4upply %hain /anagement encompasses theprocesses o# creating and #ul#illing the demand #or goods and services and involves a tradingpartner community engaged in a common goal o# satis#ying the end customer. t is businessstrategy to improve shareholder and customer value by optimiing the #low o# products,services and related in#ormation #rom source to customer.

    SUPPL' C!AIN PLANNING (SCP): 8 subset o# 4upply %hain /anagement, this is theprocess o# coordinating assets to optimie the delivery o# goods, services, and in#ormation#rom supplier to customer, balancing supply and demand. 8 4upply %hain Planning suite

    overlays a transactional system to provide planning, what-i# scenario analysis capabilities, andreal-time demand commitments.

    TA,LE OF PRODUCTION CAPACIT' ,' PROCESS: J4ee )rocess Capacit Table4

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    TA+T TIME: Takt time is the pace at which the customer is buying a particular product orservice. Takt time is the total net daily available LoperatingM time divided by the total dailycustomer demand. Takt time is not how long it takes to per#orm a task. Takt time cannot be

    reduced or increased eDcept by changes in production demand or available time to work. Isedin 2ean as the rhythm o# the process, i.e., i# the customer wants a service every hour, theprogramo##ice should #eel the heartbeat o# producing a service every hour. Takt is a >ermanword #or pace,5 Gbeat,G or GrhythmG. Takt time is one o# the 3 1lements o# T.

    T8+T T/1: Total available processing time )minus all planned activities such asbreaks, check-ins, sa#ety meetings, etc. not available( divided by the customer5srequirementdemand.

    For 1Dample9

    )'( H Cour 4hi#t ;H@ /inutes minus )*( '@ /inute

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    is an integrated set o# activities aimed at maDimiing equipment e##ectiveness by involvingeveryone in all departments at all levels, typically through small group activities. TP/ usuallyentails implementing the E 4 4ystem, measuring the siD big losses, prioritiing problems, andapplying problem-solving with the goal o# achieving Sero breakdowns. t is a series o#

    methods, originally pioneered by :ippondenso )a member o# the Toyota group(, to ensure thatevery piece o# equipment in a process is always able to per#orm its required tasks so thatprocessingwork is never interrupted.

    TSURU,E S'STEM: 8 way to keep product #low continuous even when there areinterruptions such as outside processing or batch operations. The tsurube system is o#tenused when the workproduct leaves the #low line #or processing through equipment that cannot be placed into the cell )vendor operations, heat treat, plating, anodiing, etc.(. 8lso calledthe L!ell !heel 4ystemM because o# the similarity to how water is drawn out o# a well usingtwo buckets and a pulley wheel.

    T&O.,IN S'STEM: 8n eDample o# both visual management and the pull system, whereby

    two bins or containers are used trigger reorder o# parts or materials. 1ach bin contains enoughparts to last during the delivery lead-time. !hen one bin is empty, it is time to reorder the two-bin quantity.

    UPTIME: The time a person, program, printer, copier, etc. is available compared to the timeeach is eDpected to be availablerun #or the steptask. For eDample, the time a supervisor isavailable #or signatures, the time a copier works and is available. Isually eDpressed as anpercentage, uptime is the ratio o# the availability time to the actual workproduction time.

    -ALUE: 8 product or serviceGs capability provided to a customer at the right time, at anappropriate costprice, as de#ined in each case by the customer. !hat does and does notcreate value is to be speci#ied #rom the customerGs perspective and not #rom the perspective o#

    individual organiations, #unctions, and departments.-ALUE.ADDED ANAL'SIS: !ith this activity, a process improvement team strips the processdown to its essential elements. The team isolates the activities that, in the eyes o# thecustomer, actually add value to the service or product. The remaining non-value-addingactivities )0waste0( are targeted #or improvement or eDtinction.

    -ALUE.ADDED &OR+: 8ctivities or work essential to ensure a product or service meets theneeds o# the customer -- work that the customer is willing to pay #or. 8 trans#ormation o# theshape or #unction o# the materialin#ormation in a way that the customer will pay #or. 8ctivitiesor actions taken that add real value to the product or service. J4ee Non-2alue-!ddedK

    -ALUE STREAM: 8ll activities, both value-added and non-value-added, required to bring aproduct or service #rom requestorder to the hands o# the customer, and a design #rom conceptto launch to production to delivery.

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    in#ormation #low #rom customer request through order #ul#illment #or an operation. Qalue4tream /apping can be done at an enterprise level )showing customer-supplier relationshipsas well as distributors(, a door to door level showing the #low o# material and in#ormationprimarily within a #actory, o##ice, or hospital operation, and a process level map with a narrower

    scope and more detail. The G%urrent 4tateG is how the process works today and the GFuture4tateG map shows improvements towards a long-term Gideal stateG.

    t is a hands-on, pencil-and-paper tool used9 a( to #ollow a product or in#ormation )or both(activity path #rom beginning to end and draw a visual representation o# every process )valueand non-value( in the material and in#ormation #lows= b( then to design a #uture state mapwhich has waste removed and creates more #low= and c( to end up with a detailedimplementation plan #or the #uture state.

    -ERTICAL !ANDLING: !hen tasks are assigned in such a way that the materials processesare being progressively worked towards completion, this is vertical handling. This in contrastto horiontal handling which only #ocuses on the output o# a speci#ic process

    -ISUAL CONTROLS: &isplaying the status o# an activity so every employee can see it andtake appropriate action. t is the placement in plain view o# all tools, parts, processingactivities, and indicators o# process system per#ormance, so everyone involved can understandthe status o# the system at a glance. Qarious tools o# visual management such as color-coding, charts, andons, schedule boards, labels and markings on the #loor. Isedsynonymously with Transparency.

    -ISUAL MANAGEMENT: !hen the normal state and abnormal state can be clearly andvisually de#ined, visual management is possible. n visual management, simple visual tools areused to identi#y the target state, and any deviance is met with corrective action

    &ASTE: 8nything that uses resources, but does not add real value to the product or service.8nything that does not add value to the #inal product or service, in the eyes o# the customer.8n activity the customer wouldnGt want to pay #or i# they knew it was happening. The 3 #ormso# waste are muda )non-value-added tasks(, mura )inconsistency(, and muri )eDcessive stress7 strain(. J4ee the muda 0 1astesK

    &ELL &!EEL S'STEM: J4ee Tsurube SstemK

    &ATERSPIDER: The waterspider is a skilled and well-trained person who makes the roundssupplying parts, assisting with changeover, providing tools and materials, and any additionalhelp needed to maintain 4tandard !ork and keep the #low going. The waterspider has aroutine and knows all processes thoroughly enough to step in i# needed. 8t Toyota, per#orming

    the waterspider role is a prerequisite #or supervision and management positions. :amed a#terthe whirligig beetle that swims about quickly in the water.

    &OR+ IN PROCESS: tems )people, material, or in#ormation( between steps or processes oractivities waiting to be processed.

    &OR+ SEUENCE: The de#ined steps and activities that need to be per#ormed in order #orthe work to be completed. !orking 4equence re#ers to the sequence o# operations in a singleprocess which leads a worker to produce quality goodsservices e##iciently and in a mannerwhich reduces overburden and minimies the threat o# in"ury or illness.

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    'AMA"UME:8 yamaumi board is a bar graph typically showing the balance o# workloads asoperator cycle times. The yamaumi can also be sued #or load planning and scheduling. Theword 0yamaumi0 literally means 0to stack up0.

    'IELD: Produced product related to scheduled product.

    'O+OTEN: n#ormation sharing= sharing o# common activities, countermeasures, and ideas.8cross everywhere. )8ctivities andor countermeasures that are communicated organiation-wide and with other organiation a##iliates(.