Survey of Tactical Methods XONITEK Consulting Group Int’l Friday, August 13, 2010.

Survey ofTactical Methods

XONITEK Consulting Group Int’lFriday, August 13, 2010

Kaizen

What Is Kaizen?

Kaizen is the fundamental framework within with Lean-style process improvement happens.

It is a collaborative, team-centric method for analyzing and reducing the waste within a particular area of the business.

Presented by XONITEK Corporation 3

XONITEK Corporation 4

Types of Kaizens

Target Kaizen A focused event using a specific Lean tool Formal Value Stream Map (VSM) created during or immediately before

event Focused on a specific improvement area within the whole environment

Impact Kaizen (“Blitz”) An approach to identify “low hanging fruit” in waste reduction. Often done in lieu of a VSM – roughly overviews entire process area or

facility and interfacing groups. Fluid, fast moving framework to capture easy process gains – designed

to collect data in an informal fashion.

Process Steps of a Target Kaizen

Kaizen - new - no red.igx

How to Define a Target Kaizen Project

Process Analysis

Improvement Implementation

Standardization


Project Scope Document

The initiation of the Target Kaizen should be presented in a (semi-)formal proposal

The “Project Scope Document” is one such format to initiate this process


Project Scope Document sample


Reviewing the Process with the Team

Start with a rough walk through of current state of the selected process area

First, describe the process in words Commonly used name List inputs List outputs Give one sentence description of general activity performed Show “setup time”, “cycle time”, “takt time”


Key Definitions to Understand

Setup Time Duration of time between the output of the last good item from the

previous job to the first good piece of this job Example: Clock starts when last bottle of flavor A water hits the

crate and stops when the first verified good bottle of flavor B hits the next crate

Cycle Time How often a unit of output leaves this process.

Example: if one filled bottle of water appears at the output end of the process every 30 seconds, then cycle time = 30 seconds.

Takt Time How often a unit of output must leave the process to keep up with

customer demand. Example: if there are orders for 240 bottles of water per hour, takt

time = 15 seconds.


Take a Walk

Take the team to observe operation of the process:

Record the steps involved in the process using the Flow Process Form – at a rough level

Note cycle time estimates of each step

Categorize the wastes observed


Document the Findings

When complete, formalize the observation:

Account for any potential variances in the process. Are there typically differences due to:

Operator? Shift? Tools? Travel Distances – methods analysis.

Is there prep work for this process that may change how it operates?

Review the Process Inputs for opportunity.

Are there any factors in downstream processes that may impact the way this area performs?

Goal: A process description of the typical execution of the process backbone or any specific variant process steps that may exist.


Formalize the Map

Finally, verify the observation…

Bring each element of the process description to the team.

Verify its accuracy and realism.

Resolve any discrepancies now.

Do not shortchange this process!


Scope Validation

Verify the details of the Project Scope document:

Is the Mission of the project realistic?

Are the CAN/MUST DO’s and the MUST NOT DO’s reasonable?

Are the goals attainable, in a general sense?

If there are any concerns, stop now and review with project sponsor!


Scope Refinement

Validate that the goals are specific: Each goal should have a quantifiable target.

For example: “Reduce cycle time by 50%” Use the wastes identified in the walk through to perform rough

calculations.

Will the specific goals meet the required ROI of the Project Plan?

Consider reviewing the revised goals with the project sponsor to ensure continued support.


Visiting the Site

The Team has Decided to Go Forward…

Prepare for the team’s visit: Select an operator whose activities will be “typical”. Ensure entire team is available, without interruption, for length of

observation. Assign roles (examples next slide) to each team member

based on the pre meeting discussions.

Goal: Record solid data from a typical performance of the process.


Role Assignments… Assign roles based on talents:

Process observation coordinator

Machine observer

Stopwatch operator

Distance measurer

Photographer

Layout/Travel observer

Documentation coordinator


Role Descriptions

Process Observation Coordinator

Primary goal: Record the steps in the process, along with data from other observers (Flow Process Map)

Note when each step in the process starts. Note a short description of the step from the perspective of

the operator (“waits for data display”, “inspects diameter of cut”).

When a step ends, obtain and record time and distance measurements.

Note where machine observations belong in the flow.


Flow Process Map

This chart allows you to map the activities in a process very specifically.

Draw connecting lines or “X” out the activity of each step.

Tally the number of each symbol and time at each step to overview the process.

Distance and time should be common units of measure… a good choice is feet and minutes.


Role Descriptions

Machine Observer

Primary goal: Record the steps in machine operations Similar to process observation role. Observe and record when machine begins distinct steps in

its processing. Obtain and record time measurements as each step begins. Make notes of the magnitude and nature of significant

movements within machine at each step. Use same stopwatch as process observer!


Role Descriptions

Stopwatch Operator

Primary goal: Provide time measurements as prompted by observation coordinator/machine observer

In preparation, learn the function of all controls on stopwatch. Start stopwatch at beginning of first step and leave running. Listen carefully to observation coordinator and machine

observer calls of “next step”. Provide time on stopwatch at that moment.


Role Descriptions

Distance Measurer

Primary goal: Measure the physical distances walked/moved by operator

Use a distance wheel and walk the same paths the operator walks, without interfering.

Note the nature of any smaller motions in each process step (“three wrist turns”, “one waist twist”).

Provide measurements to observation coordinator when prompted.


Role Descriptions

Photographer

Primary goal: Create a visual record of the process and the Kaizen blitz event

In advance of the event, take pictures of all areas, machines, and equipment involved in the process.

During the event, take pictures of the operator at each step as the process unfolds.

Use angles/locations that provide useful identification/illustration of the steps in the process.

Note any safety hazards observed, along with time they were observed.

Photograph all inventory areas. Take a few pictures of the Kaizen team during the event. After the event, take pictures of the final layout/process operation.


Role Descriptions

Layout/Travel Observer

Primary goals: Illustrate the work area layout; document travel and transport of the process.

In preparation for the event, draw work area layouts for all areas involved in this process.

If possible, fit everything on one sheet. During the event, use “spaghetti diagram” techniques to draw

movements on the layouts. Consider using fresh layout copies for every 10-15 activities. Take measurements of inventory found within the work area.


Role Descriptions

Documentation Coordinator

Primary goal: Collect and assemble the documentation related to the process.

Assemble all input and output documentation to the process. Note when in the process each is received/created. After event, collect copies of any documents the operator

used for guidance before/during operation. Create detailed lists of equipment and tools in the work area. Describe all inspection points in the process.


Role Descriptions

You can add or modify these roles as appropriate

Additional roles should be discussed and added as necessary Likewise with the elimination of roles


Waste Analysis

Collect the observational paperwork created during the event.

For each step observed, categorize as a particular waste or value add.

Sum the durations in each category.

Make other calculations (see next slide).

Re-evaluate the goals of the event (discussed in later slides).


Waste Analysis

Additional information to compute from observations Sum the distances traveled.

Sum the categories of motion observed.

Sum the safety hazards observed.

Calculate the space utilization in the work areas of the process.

Obtain (or estimate) scrap and rework rates for the process.

Validate inventory measurements taken.


Waste Analysis

Build a (semi-)formal Value Stream Map (VSM)

Re-evaluate the goals of the event

Are they achievable, based on the wastes observed?

If not, discuss with project sponsor.

Make any updates necessary and agreed upon by the team and the sponsor.

Move on to making improvement recommendations.

I

Daily

Coils 5 days supply

SteelSupplier

500 ft coilsCustomer

Stamping

1

Weld 1

2

Assem. 1

1

Shipping

1

C/O = 60 min

C/T = 1 min.

Util. = 85 %

Scrap 1 %

460 min. avail.

EPE = 2weeks

C/O = 10 min

C/T = 3 min.

Util. = 77 %

417 min. avail.EPE = 2weeks

Scrap 3 %

C/O = 30 min

C/T = 5 min.

Util. = 93 %

Scrap 3 %

EPE = 2weeks

450 min. avail.

C/O = 0 min

C/T = 8 min.

Util. = 88 %

Scrap 0 %

460 min. avail.EPE = Day

I

4600L2400R

I

1100L600R

I

1200L 640R

ProductionControlWeekly Fax

6-week forecast

90/60/30 dayForecast

Daily Order150sets/day

1 minute 3 minute 5 minute 8 minute VA = 17 min.

NVA = 35.7 days10.3 days 8.2 days 12.1 days


Improvement Development

Identify the bottleneck in the process How can we improve the bottleneck? Which points will then be the next one or two bottlenecks? How can those be improved?

Which Lean tools are best to tackle the bottleneck’s waste? Is it a setup issue? (QCO) Search/motion? (5S) Inventory? (Kanban)

Based on the proposed changes, build a Future State Value Stream Map now


Plan the Changes

Discuss each phase of the change and what resources are required and when…

Mechanical – moving or modifying equipment, connecting machines.

Electrical – redistribution of power, conduits.

Tooling – retool, procurement of tools, creation of new tools, spares.

Additional Training – is the operator qualified to work in an expanded cell structure, revised machine parameters may necessitate additional instructions.

Specialized Resources – outside contractors for specialized needs.


Develop a Timeline

Start with a schedule of activities by sequence…

Review and optimize the activities to be most productive.

Put timing around “groups” of actions to maintain flexibility.

Confer with all impacted departments to minimize disruptions and possibly enable them to modify some operational plans to sustain customer service.

Review all plans with the Kaizen team involved to assure no misses…


Announce the Changes

Formally announce to the impacted area.

Post in public places to inform employees with action dates.

Electronic postings to support personnel may be appropriate as well…

You can never have TOO much communication.


Make the Changes

Get it done.

Don’t be afraid to step back into previous steps in the Kaizen as new information is available.

Adjust. Repeatedly, if necessary. It’s ok.


Create the “Leave Behind”

Use “Leave Behind Template”

Quantify the benefits measured “Cycle Time Reduced 50% from 1:30:50 to 0:45:25” “Set-up Time Reduced 80% from 100 seconds to 20 seconds” Etc.

List each improvement action implemented

Use this form as a template to measure continued use of the improvements implemented



Clearly document hard benefits attained

Calculate time savings attained on an annual basis

Multiply by the appropriate labor rate to get a dollar amount

Remember: It’s only a hard benefit if there is something productive for freed labor to do!

If there is machine time saved, use the appropriate charge rate to calculate the annual benefit, but only if the extra time can be productively used immediately!

Remember: Hard benefits are realized by the time the event is finished; soft benefits require some additional action to accomplish!



Document other hard benefits

Calculate annual dollar value cost of space freed, but only if it can immediately be productively used for something else or sold / unleased!

If there is an immediate sales gain due to orders that can now be fulfilled from extra capacity, that revenue is also a hard benefit

If there is an immediate reduction in inventory, the annual carry cost can be counted as a hard benefit

If there is a reduction in material used, including reduction in scrap, the annual cost of material saved can be counted as a hard benefit

The liquidation value of any equipment sold during the event can be counted as a hard benefit


Example: Hard Benefits Chart

Category Amount Reduced

Improvement

$ %

Labor Savings due to Cycle Time Reduction

01:30:00 $25,000 30%

Floor Space reassigned to Production Line X

2500 sqft $40,000 50%

Surplus Hardware sold to Customer Q

5 wrenches

$500 --

Etc.

…



Create an action plan for “soft” benefits identified List each action that must be taken to convert all identified soft

benefits to hard benefits Assign a resource to each Identify a due date for reporting back to the team

Action Payback Assigned To Due Date

Implement on water production line B $50,000 Tim Comfort 31-Mar-2011

Cross-train operators on prod. line Q $30,000 Ed Giles 31-Jan-2011

Sell extra clamp set $5,000 Amit Pujara 31-Dec-2010



List ideas for additional improvement opportunities

Use the additional improvement ideas generated during the event that were not chosen

List no more than three

Consider those rejected on basis of time/resource constraints, but not those with low payback

Assign each to a particular resource, with a due date!


Closing Events

Make sure the team is publicly recognized!

Make sure all outstanding improvement implementation is completed.

Make sure there is a plan to convert the soft benefits !!!

Schedule periodic (monthly?) reviews to ensure changes are still utilized every time process operates.

Schedule follow-up kaizen events (twice a year?) to repeat the cycle!


Update Standard Work Procedures

Using the appropriate company format update the new work procedures that are validated by the Kaizen Team. Update the standard work document for the process Train all affected employees in the new procedures

Expect that you will need a few cycles to observe before this finalization can be done.

Always involve the front line employees…

*** Questions and Discussion ***

Kaizen

Quick Changeover

AKA: Single Minute / Moment Exchange of Dies (SMED)


The Effect of QCO

Set Up 60 min. Produce Parts 120 pcs.

Elapsed Time 3 hrs or 180 minutes

Elapsed Time 3 hrs or 180 minutes

• Change Over of 1 hour is 30 sec/pc

• SKU lot size produced to absorb SU costs = 1 SKU

• Change Over is reduced to 10 minutes and kept at 30 sec/pc

• SKU can be changed to 20 pc lots = 6 SKU’s in same time frame


Something to consider…

In an 8 hour shift:

Old scenario – 2 SKU’s and part of a third. Downstream processes waiting Inventory increased.

New Scenario – 16 SKU’s produced More downstream processes supported Less, if anything, put into inventory.


External vs. Internal

External Activities Happen outside of the physical machine Do NOT require the machine to be stopped to be performed

Finding tools Finding dyes Retrieving anything needed to start the production run Locating employees to help with set up Moving inventory out of the way

Internal Activities Actions that require the machine to be stopped

Inserting a dye into the machine Locking it in place


Internal and External… External Activities:

Tools – Hand tools or machine tools necessary to perform the next job. Fixtures – Jigs, templates or dies used to make a specific SKU. Parts – Materials necessary to produce the job, usually from a

stockroom. Material Handling – Hoists, booms or other devices used to move the

previous job or the current job. Completed Jobs – Parts from orders done that are now moved to the

next operation. Instructions – Includes setup check lists and job work parameters.

Internal Activities: Changeover - Placement of tools into the machine or workstation done

while the machine is NOT running.


The Process

A. Observe and record the process as it currently existsB. Pull all External activities to the beginningC. Convert Internal activities into External activitiesD. Conduct activities in parallel


The Observation Techniques

Based on the actual duration of the changeover: < 2 hours… first hand observations with a

stopwatch. First hand observations are best done with one person timing

key activities and the other making any required notes...

> 2 hours use a video camera with a visible timer to record and later review the activities.


Pareto the Activities

Resolve “isolated” incidences Don’t waste time on incidences that rarely occur… establish the operator’s

responsibility to avoid or minimize… Authority not to do… Notification of Line Leadership for resolution…

Identify true waste factors – Non Value Add Standardization of the hardware… the length is waste… only the last quarter

turn tightens the bolt… Quick Clamps to replace manual tie downs… Suspended Tools, pneumatic or electric to improve cycle time. Pre Condition the dies…

Establish Go Forward Momentum… Define Lean tools to facilitate the QCO.


Examples of Quick Change Hold Downs...Quick Turn Clamps replacing screws…


Put Change Over into Perspective…

Question…

How can a pit crew change tires, fill the vehicle with fuel, and inform the driver in less than 30 seconds?

What changes in your business could be facilitated by such a dramatic improvement?


Quick Change Over

Assorted Topics in Lean

Standard Work

Every process should have a standard procedure with expected durations

Without Standard Work, improvement implementation will not “stick”

Development of Standard Work is the most important (and most often overlooked) element of 5S

Presented by XONITEK Consulting Group Int’l 57

Poka Yoke

“Mistake Proofing”

Reduce the incidence of defects by ensuring a process MUST be completed correctly, by design

Warning poke yoke – an alert that something is about to go wrong Control poke yoke – it is physically impossible to make a mistake


Poka Yoke

Contact Method A physical attribute prevents the defect

“Keyed” cabling, polarized plugs, uniquely shaped slots

Fixed-value Method An alert to the operator that a number of movements have not been made

Motion-step Method An alert that a particular sequence has not been followed


Visual Management

As much as possible, integrate visual workplace tools in process improvement activities

An observer should be able to determine, at a glance, what the current state of the process environment is

Examples: Red/Yellow/Green status lights 5S style floor outlines Work scheduling board



Assorted Topics in Lean

Survey of Tactical Methods XONITEK Consulting Group Int’l Friday, August 13, 2010.

Documents

Transcript of Survey of Tactical Methods XONITEK Consulting Group Int’l Friday, August 13, 2010.