Introduction to Lean Manufacturing

Introduction to Lean Manufacturing

- OUTLINE 1.1 History of Lean Manufacturing

1.2 The Principles of Lean Thinking

1.3 Production Wastes + Group Assignment (5%)

What is Lean Manufacturing?

The core idea is to maximize customer value while

minimizing waste.

Simply, lean means creating more value for

customers with fewer resources.

"value" is defined as any action or process

that a customer would be willing to pay for.

$1

$1

$1

$1

$2

$3

$1

$1

$0.8

Which one is lean?

TOYOTA
PRODUCTION
SYSTEM

1912 - 1990

1909 - 1990

At Toyota Motor Company, Taichii Ohno and Shigeo

Shingo, began to incorporate Ford production and
other techniques into an approach called Toyota
Production System (TPS) or Just In Time (JIT).

TPS discovered some weaknesses from the Ford

production:

Job structure

Product variety

Quality
movement

Set-up/
changeover time
Continuous flow

All of this took place between about 1949 and

1975. To some extent it spread to other Japanese
companies. When the productivity and quality
gains became evident to the outside world,

American executives travelled to Japan to study it.

Norman Bodek first published the

works of Shingo and Ohno in English.
He did much to transfer this
knowledge and build awareness in
the Western world.

In 1990 James Womack wrote a book called

The Machine That Changed The World".
Womack's book was a straightforward account
of the history of automobile manufacturing
combined with a comparative study of Japanese,
American, and European automotive assembly
plants.
What was new
Manufacturing."

was

phrase

--

"Lean

John Krafcik
Former collaborator of James Womack and
reputed originator of the term "Lean
Manufacturing

got d idea

The Principles of
Lean Thinking

1. Customer Value
4. Pull
2. Value Stream
5. Perfection
3. Continuous Flow

The Principles of
Lean Thinking

1. Customer Value

Value is what the customer wants and only what

the customer wants.

The Principles of
Lean Thinking
2. Value Stream

The value stream are those activities that, when

done correctly and in the right order, produce the
product or service that the customer values.

The Principles of
Lean Thinking
Quality
problems

3. Continuous Flow

In a lean organisation work should flow steadily and

without interruption from one value adding or
supporting activity to the next
bottleneck

breakdown

Mc
stoppage

The Principles of
Lean Thinking
4. Pull

The system should react to customer demand.

In non-lean organisations, work is pushed though
the system at the convenience of the operators
and so you produce outputs that are not required.

The Principles of
Lean Thinking
5. Perfection

As the first four principles are implemented you should get to

understand the system ever better and from this
understanding you should generate ideas for more
improvement.
A lean system becomes yet more leaner and faster and waste
is ever easier to identify and eliminate. A perfect process
delivers just the right amount of value to the customer.

How to practice the

Principles of Lean
Thinking?

1.
Overproduction

2.

7.

Inventory

Over-processing

6.

SEVEN (7)
Production
Wastes

3. Waiting

Defects

5.
Transportation

4.
Motion

7 Wastes
1. Over-production

Producing more than is needed

hides a multitude of problems.
Excessive set-up times
Machine faults
Risk of producing obsolete stock.

7 Wastes
2. Inventory

Carrying stock attracts cost & storage problems.

Storage leads to stacking, racking, sophisticated
computers, bar coding & automation, all for an
activity that adds no value to the product.

7 Wastes
3. Waiting

Typically, waiting for products & services from

preceding operations, waiting for work from their
previous set-up or waiting for cycles to finish, or
meetings to start.

7 Wastes
4. Unnecessary Motion

Typically, single handed operations where both should

be used, stretching unnecessarily or awkwardly and
walking between things. All of these take time or use
time poorly, none add value.

7 Wastes
5. Transporting
This may appear
unnecessary but does add
value. Large transport is
easily identified but small
transport such as manual
labour may not be so
noticeable. These can be
improved by changes to the
work environment.

7 Wastes
6. Defects (Bad Quality)
Rejects are always produced by
systems and procedures created
by management.

REWORK
ONLY

If operators fail it is because

process allowed them to
through inadequate training
because the process was
capable in the first place.

the
fail
or
not

7 Wastes
7. Inappropriate Processing
Adds cost but no value!
e.g. trimming & moulding to a level that is beyond the
required standard adds extra time that customers
do not want to pay for.

7 Wastes The Elimination of Waste

So, now we understand the 7 wastes, we can:
Produce only what is needed...
Carry only essential stock...
Use transportation more wisely...
Produce work to the standard required...
Plan our production processes...
Put our efforts to the best possible use...

Train to make quality work every time!

Oooooooo