Lean Production Launch Tools

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1 Lean Production Launch Tools Achievable Build Plans & Lean Program Tracking Dennis L. Harvey SME Lean Product Development Conference Florence, Kentucky April 16,

2 What Is In This Presentation? Overview of Lean Production Launch A quick overview to show what needs to be in a Lean Product Development Process. Case Study of an Achievable Build Plan - Shows by example, how to take a first step towards establishing a process to create an achievable build plan (pilots, prototypes, production ramp-up builds). Lean Program Tracking Shows a versatile tool (Master Summary Report) for planning, tracking and control of complex programs that will require adjustments during execution. The tool uses visual control and has been value stream mapped for lean information flow. 2

3 What is Production Launch? Definition: Production Launch is all the activities necessary to get a manufacturing plant to line-rate for a product that is new to the plant. Comment: Production Launch is part of Product Development. Production Launch Process defines what Manufacturing needs to be successful within the enterprise activity we call Product Development. Because Production Launch was first developed from a manufacturing perspective, it s a natural for the application of lean principles and methodologies. 3

4 Production Launch Experience Lean Production Launch has been developed over more than 10 years with more than 53 program applications 11 Car and Truck Programs Each improvement to production launch embodied more lean principles and best practices 10 Locomotive Programs 17 Light Armored Vehicle and Turret Programs 11 Electrical Component Programs 4 Engine Programs 4

5 The Four Imperatives for Production Launch 1. Achievable Build Plan that comprehends a forecast of build problems and puts in place sufficient resources to resolve forecasted problem volume. Learning curve must also be comprehended. 2. Dynamic Integration of all functional area activities that have launch responsibility. Plans have to be readjusted as the program proceeds, yet the program must strive to maintain achievement of critical milestones as sacred. 3. Part Readiness activity that assures all tooling, parts and documentation are available for the start of every build event. Starting without all parts available precipitates extreme forms of waste and risk. 4. Build Issue Resolution must be fast and comprehensive so as to meet customer requirements for schedule (the Build Plan) and quality. 5

6 The Cost of Not Mastering These Imperatives 1. Achievable Build Plan extreme organizational waste if build events don t reveal problems in a timely manner so they can be solved. Having insufficient resources to meet problem demand results in schedule slippage, quality problems uncorrected, and reinforces the hidden factory. Additional information on this is coming next in this presentation. 2. Dynamic Integration The whole area of information flow is ripe for value stream type analysis to eliminate all forms of waste. A simple tool (Master Summary Report) is coming next in this presentation to help structure information necessary for program control and decision making. 3. Part Readiness Extreme waste results if the correct generation of parts, documentation and tooling is not available when each build event begins. 4. Build Issue Resolution is an important knowledge generator that must work well to support the above three imperatives. B.I.R. is an enabler. 6

7 Are These Imperatives Lean? The The BASELINE PRODUCTION LAUNCH PROCESS With With Lean Lean Principles at at its its Foundation White paper (10 pages) is available that explains how Lean Production Launch embodies all 14 Management Principles of The Toyota Way (Liker 2004) Dennis Dennis L. L. Harvey, Harvey President D. L. Harvey and Associates, Inc. First Reported: October 9, 2005 First Reported: October 9, 2005 This Revision: December 16, 2009 This Revision: February 28, 2007 Contact: Copyright All Rights Reserved Copyright All Rights Reserved 7

8 Take Home Question #1: Do your plans to implement a Lean Product Development Process cover the four imperatives of Lean Production Launch? Achievable Build Plans Dynamic Integration Part Readiness Build Issue Resolution 8

9 What s in an Achievable Build Plan Mock-up Start of Regular Production Prototype Pilot Ramp-up Builds Line-rate Builds A Build Plan is achievable if: You can start and finish the build event on time You build with the correct generation of all parts, tooling and documentation You can get corrected parts and processes into subsequent builds You can execute the build events with the budgeted resources You achieve the objectives of each build 9

Case Study - Achievable Build Plan Started with a concern that the company didn t have sufficient engineering resources to handle problem resolution on multiple product launches (10) over the next

10 Case Study - Achievable Build Plan Started with a concern that the company didn t have sufficient engineering resources to handle problem resolution on multiple product launches (10) over the next year Each product had between 1000 and 3000 new part numbers Each product was expect to reveal between 130 and 280 build issues prior to achieving line-rate With 8 months before first production builds were to start, a forecast of required resources was made Now a problem becomes visible! 10

Achievable Build Plan Capacity Analysis Case Study of Problem Solving Workload during multiple Production Launches EQUIVALENT HEADCOUNT Available

11 Achievable Build Plan Capacity Analysis Case Study of Problem Solving Workload during multiple Production Launches EQUIVALENT HEADCOUNT Available headcount for problem solving Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug MONTHS This workload forecast turned out to be accurate within <10% 11

12 Textbook Case of a Capacity Problem Unevenness (Mura): A flow of information or product processes that are not regular or constant causing many of the other types of waste; the lack of consistency in schedules, products, and info Unreasonableness (Muri): Pushing a machine or people beyond their capabilities or what is considered reasonable; overburden. EQUIVALENT HEADCOUNT Available headcount for problem solving Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug MONTHS 12

13 Making a Build Plan Achievable Now that you see what s coming, what options do you have to meet the challenge at least in the SHORT TERM: Re-adjust schedule to level it Pull ahead builds for earlier learning Assure parts are on-time Increase build resolution manpower Design for Manufacture Improve problem solving throughput High potential High potential Moderate to high potential Low to moderate potential Low to moderate potential Low potential Tackle this challenge with your Lean tools or Six-Sigma 13

14 Take Home Question #2: If your company could see that your problem resolution capacity is going to be overtaxed, would your company tackle the problem head on? 14

TOOL # 1 Forecasting Build Resolution Demand The graph in the case study took 12 person-hours to create. Don t need fancy statistics keep it simple If you have historical data GREAT!

15 TOOL # 1 Forecasting Build Resolution Demand The graph in the case study took 12 person-hours to create. Don t need fancy statistics keep it simple If you have historical data GREAT! If not, use expert opinion. WHAT YOU LL NEED: 1. An estimate of the total number of build issues per launch. This can be done by +/- to a reference product where historical data is available 2. How many builds it takes to find these problems (or at least say 95% of the problems). This is sometimes referred to as Name That Tune 3. How much time it takes to close the average build issue If you have a robust Build Issue Resolution Process (remember: that s one of the 4 Imperatives), you should have great data. 15

16 Build Issue Resolution Performance Case Study of Problem Solving Performance during Production Launch BUILD ISSUES TEST # BUILD STATION EARLY BUILDS LEGEND ALPHA PILOT 1 ST PRODUCTION 2 ND PRODUCTION 3 RD PRODUCTION Based on this data, 97% of problems in this Case Study were identified on first five builds 16

17 Build Issue Resolution Performance Percent of Total Problems Discovered During Each Build Event 100 % 50 % By build #1 = 50 % of problems By build #2 = 75 % of problems By build #3 = 87 % of problems By build #4 = 94 % of problems By build #5 = 97 % of problems Assumptions: All Engineering completed by #1 All Material available by #1 Total number of problems (100%) accounted for by 20 th build 0 % Build Event Each Build Problem took an average of 4 person-days to fully reconcile 17

18 Steps for Building the Graph Week of Program 1. ESTABLISH YOUR TIMELINE MARK IN THE DURATION OF BUILD EVENT 3. SPREAD OUT THE DISCOVERY OF ISSUES (44 total) 4. OVERLAY THE TIME TO PROCESS THE ISSUES (175 total) 5. SUM UP ALL THE BUILD EVENTS IN THE PROGRAM A HOW-TO NOTE: You don t have to use an Excel spreadsheet. Draw a timeline on a table and use poker chips for problems or person days and count them later. This allows you to move things around to find a best solution. Great visualization. 18

19 Take Home Question #3: Now that you know how Build Issue Resolution process performance data is used (to help create an Achievable Build Plan), why not include a measurable Build Issue Resolution process into your Lean Product Development approach? 19

20 TOOL # 2 Lean Program Tracking MASTER SUMMARY REPORT One page tracking document for complex programs Became the lean program management control document today there are well over 100 applications Developed with rigorous elimination of waste as the driver Made it easy to standardize day-to-day program mgmt. Particularly effective for programs that will experience changes to plan during execution A MASTER SUMMARY REPORT is not just another pretty face, it s a program control document 20

21 Master Summary Report -Example Product XXX: Production Launch (w/joint Venture Partner) - Master Summary Report Funct. PLP Issue # Area Owner Task Description M J J A S O N D J F M A M J J A Status Issue # Escalated Comments 1 Engrg WR Design freeze A C xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 2 Engrg WR CR release R 6,7,10 xxxxxxxxxxxxxxxxxxxxxxxxxxxx 3 Proc E EA Mfg. Model BOM - first variant G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 4 Proc E EA Routings with progressive release R 14 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 5 Proc E EA Routing package for DSI G 25 xxxxxxxxxxxxxxxxxxx 6 Config AS Specification Center operational G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 7 Config AS Common change mgmt process with JV Partner R 9,31,33 6-May-02 xxxxxxxxxxxxxxxxxxxxxxx 8 Facil WL Dynamometer G xxxxxxxxxxxxxxxxxxxxxxxxxxxx 9 Facil WL Laser cutting system G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 10 Facil WL Robotic welding station G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 11 Facil WL Test station R 15,16,18 xxxxxxxxxxxxxxxxxxx 12 Facil WL Facilitization of Dept 110 parts G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 13 Facil WL Facilitization of Plant 2 G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 14 PLP JB Staffing Plan - hourly increases R 8 xxxxxxxxxxxxxxxx 15 PLP JB Staffing Plan - salaried increases R 8,11,12 xxxxxxxxxxxxxxxxxxxxxxxxxxxx 16 PLP JB DSI (Deferred System 60 vehicle R 17 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 17 PMC RC Detailed production schedule - all variants G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 18 PMC RC Storage, float, and flow to JV Partner schedule R 21,22,23 xxxxxxxxxxxxxxxxxxx 19 Purch TC Outsource of dynamometer work for capacity R 3,4 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 20 Purch TC Outsource of laser cutting work for capacity R 5 xxxxxxxxxxxxxxxxxxxxxxxxxxxxx 21 Purch TC Painting supplier up to capacity G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 22 Purch TC Supplier readiness / sourcing all other parts R 28 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 23 Qual DR Progressive FPVI first variant at Plant 1 G xxxxxxxxxxxxxxxxxxxxxxxxxxxx 24 Comm BF Communications / promotional activities G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 25 Train'g GK Training for welders, testers and maintenance G xxxxxxxxxxxxxxxxxxx 26 IS&S MA Lotus Notes upgrade for Issue Resol. Process C xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 27 IS&S MA Electronic routing transfer R 39,36 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 28 IS&S MA Electronic data transfer between JV Partners R Jun-02 xxxxxxxxxxxxxxxxxxx 29 JV Partner RM Temporary solution on routings for JV Partner G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 30 JV Partner RM Job shadowing - process validation activities R 27,28 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 31 JV Partner RM Process validation for Dept 112 activities C xxxxxxxxxxxxxxxxxxxxxxxxxxxx 32 JV Partner RM Process validation for Dept 118 and up activities R 30 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 33 JV Partner RM FPVI for ICV G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 21

22 Anatomy of a Master Summary Report TASK NUMBER Identifier that is not necessarily unique as TASKS are added or deleted. FUNCTIONAL AREA The FUNCTIONAL AREA that is responsible for executing the TASK OWNER Person who is on the team representing their FUNCTIONAL AREA. They are Identified by their last name or initials. They are responsible for reporting status of their TASKS TASK DESCRIPTION A brief description of the appropriate level of TASK. These TASKS may have more detailed schedules managed my others. If so, then this TASK DESCRIPTION will likely represent a summary Product XXX: Production Launch (w/joint Venture Partner) - Master Summary Report Funct. PLP Issue # Area Owner Task Description M J J A S O N D J F M A M J J A Status Issue # Escalated Comments 1 Engrg WR Design freeze A C xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 2 Engrg WR CR release R 6,7,10 xxxxxxxxxxxxxxxxxxxxxxxxxxxx 3 Proc E EA Mfg. Model BOM - first variant G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 4 Proc E EA Routings with progressive release R 14 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 5 Proc E EA Routing package for DSI G 25 xxxxxxxxxxxxxxxxxxx 6 Config AS Specification Center operational G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 7 Config AS Common change mgmt process with JV Partner R 9,31,33 6-May-02 xxxxxxxxxxxxxxxxxxxxxxx 8 Facil WL Dynamometer G xxxxxxxxxxxxxxxxxxxxxxxxxxxx 9 Facil WL Laser cutting system G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 10 Facil WL Robotic welding station G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 11 Facil WL Test station R 15,16,18 xxxxxxxxxxxxxxxxxxx 12 Facil WL Facilitization of Dept 110 parts G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 13 Facil WL Facilitization of Plant 2 G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 14 PLP JB Staffing Plan - hourly increases R 8 xxxxxxxxxxxxxxxx 15 PLP JB Staffing Plan - salaried increases R 8,11,12 xxxxxxxxxxxxxxxxxxxxxxxxxxxx 16 PLP JB DSI (Deferred System 60 vehicle R 17 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 17 PMC RC Detailed production schedule - all variants G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 18 PMC RC Storage, float, and flow to JV Partner schedule R 21,22,23 xxxxxxxxxxxxxxxxxxx 19 Purch TC Outsource of dynamometer work for capacity R 3,4 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 20 Purch TC Outsource of laser cutting work for capacity R 5 xxxxxxxxxxxxxxxxxxxxxxxxxxxxx 21 Purch TC Painting supplier up to capacity G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 22 Purch TC Supplier readiness / sourcing all other parts R 28 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 23 Qual DR Progressive FPVI first variant at Plant 1 G xxxxxxxxxxxxxxxxxxxxxxxxxxxx 24 Comm BF Communications / promotional activities G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 25 Train'g GK Training for welders, testers and maintenance G xxxxxxxxxxxxxxxxxxx 26 IS&S MA Lotus Notes upgrade for Issue Resol. Process C xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 27 IS&S MA Electronic routing transfer R 39,36 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 28 IS&S MA Electronic data transfer between JV Partners R Jun-02 xxxxxxxxxxxxxxxxxxx 29 JV Partner RM Temporary solution on routings for JV Partner G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 30 JV Partner RM Job shadowing - process validation activities R 27,28 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 31 JV Partner RM Process validation for Dept 112 activities C xxxxxxxxxxxxxxxxxxxxxxxxxxxx 32 JV Partner RM Process validation for Dept 118 and up activities R 30 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx 33 JV Partner RM FPVI for ICV G xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx SCHEDULE A visual representation of the overall program without too much detail. It is usually measured off in weeks or months. Sometimes end dates for the TASK are indicated. This SCHEDULE must not be automatically tied to project planning software. STATUS Best practice is to STATUS a TASK every week as either: G On schedule for completion or timing was changed to customer s satisfaction R Schedule will be missed if issues are not solved C Task is completed COMMENTS Generally, on a weekly basis, each TASK must have a one line comment on its STATUS, regardless of whether it is Green or Red. This minimizes the need for follow-up questions which can be wasteful of the OWNER s time ESCALATION If the team can t resolve the issues that keep a TASK on schedule, the ISSUE can be escalated in the organization for executive resolution. Escalated issues are the PULL SIGNAL to upper management for help. ISSUE NUMBER Any TASK which has a STATUS as RED must have an accompanying issue logged in the Issue Register. Displaying the ISSUE NUMBER here makes it easy to find the accompanying issue details. These issues are the PULL SIGNAL for help. 22

23 Is the Master Summary Report Really Lean? STANDARDIZES WORK of the team and standardizes meeting agendas Uses VISUAL CONTROL to see status and problems from a distance Enables Dynamic Integration (real-time program adjustments) of teams activities REDUCING WAITING Documents PULL SIGNALS to organization the issues log which is referred to after the status column Eliminates need for redundant reporting, memos and meeting minutes MSR serves all reporting needs from team meetings to upper management status report and is updated real time at meetings Product A: Production Launch (w/joint Venture Partner) - Master Summary Report 3-Aug-06 Funct. PLP Issue Area Owner J A S O M A M J Escalated # Task Description M J N D J F J A Status Issue # Comments 1 Engrg WR Design freeze for hulls C Complete with ICV build # Engrg WR CR release for ICV R 6,7,10 Progressive release late on some systems 3 Proc E EA Mfg. Model BOM (ICV only) G Work around in place 4 Proc E EA Routings minus DSI with progressive release R 14 Progressive release late on some systems 5 Proc E EA Routing package for DSI G 25 Schedule not yet determined 6 Config AS Close Specification Center G Started late but expect on time completion 7 Config AS Common change mgmt process with JV Partner R 9,31,33 Process needed now, not scheduled yet 6-May-06 8 Facil WL Dynamometer G Requires outsourcing for capacity 9 Facil WL Laser burner system G Requires outsourcing for capacity 10 Facil WL Robotic welding station G Work around not required 11 Facil WL Test building R 15,16,18 Schedule and req'ts not finalized 12 Facil WL Facilitization of Plant 2 - Dept 110 parts G Work around not required 13 Facil WL Facilitization of Plant 2 - upper hulls G Work around not required 14 PLP JB Staffing Plan - hourly increases R 8 Availability of testers at issue 15 PLP JB Staffing Plan - salaried increases R 8,11,12 Not all requirements in, Quality missing 16 PLP JB DSI (Deferred System 60 vehicle R 17 Work content has grown over 2 DSs 17 PMC RC Detailed production schedule - all variants G On track 18 PMC RC Hull storage, float, and flow to JV Partner schedule R 21,22,23 Strategy decision req'd in July- still missing 19 Purch TC Outsource of dynamometer work for capacity R 3,4 Source not yet identified 20 Purch TC Outsource of laser cutting work for capacity R 5 Two sources identified - not yet selected 21 Purch TC Painting supplier up to capacity G No work around required at this time 22 Purch TC Supplier readiness / sourcing all other parts R 28 Late releases hampering timing 23 Qual DR Progressive FPVI for ICV at Plant 1 G Doable but plan not yet in place 24 Comm BF Communications / promotional activities G But budgets not yet determined 25 Train'g GK Training for welders, testers and maintenance G No problems anticipated 26 IS&S MA Lotus Notes upgrade for Issue Resol. Process C Was completed but late 27 IS&S MA Electronic routing transfer R 39,36 Requirements not yet established 28 IS&S MA Electronic data transfer between JV Partners R Jun-06 Behind schedule, JV Partner late 29 JV Partner RM Temporary solution on routings for JV Partner G This is a work around plan 30 JV Partner RM Job shadowing - process validation activities R 27,28 Plan not yet determined 31 JV Partner RM Process validation for Dept 112 activities C Completed on time 32 JV Partner RM Process validation for Dept 118 and up activities R 30 Plan not yet determined 33 JV Partner RM FPVI for ICV G Timing between JV Partners should be coincident 34 JV Partner RM Paint requirements and validation G Plan not yet determined Highlights the PULL SIGNAL when upper management has been notified that help is needed on an issue Versatile format can be used on any type of project not just Lean Product Development which is STANDARDIZED WORK Provides snap shot for permanent record reducing LOSS OF KNOWLEDGE 23

24 Where Are You Now? Four Imperatives of Lean Production Launch The scope of what needs to be included in your Lean Product Development Process Case Study of Achievable Build Plan Importance of forecasting your build issues and then tackling it using Lean methodologies Lean Program Tracking Master Summary Report A simple Lean control tool that can be implemented quickly into any program 24

2017 KEY INSIGHTS ON. Employee Attendance and Tardiness

2017 KEY INSIGHTS ON. Employee Attendance and Tardiness 2017 KEY INSIGHTS ON Employee Attendance and Tardiness THE AVERAGE NUMBER OF MINUTES THAT EMPLOYEES IN THE XIMBLE SYSTEM ARE LATE IS MINUTES. 114.2 MINUTES Statistical sample of 263258 clock-in records,