EDMM Cycle Time Definitions and Line Balancing (Yamazumi) Charting

Transcription

1 EDMM 487 Cycle Time Definitions and Line Balancing (Yamazumi) Charting 1

2 EDMM 487 2

3 EDMM 487 Ideal Cycle Time: The maximum time (generally in seconds) to perform a process; in terms of Standardized Work, it is the Total Time to perform the entire cycle. Actual Cycle Time: The maximum time (generally in seconds) to perform a process; in terms of Standardized Work, it is the Total Time to perform the entire cycle, plus the Periodic Work is added in. Cycle time definitions: 1. Where there are a series of processes that are linked, there will be a Maximum Cycle and a Minimum Cycle time. 2. The Ideal Process is where the Maximum and Minimum are equal. 3. Cycle time should not include delays and outside interference. It should include everything on the Standardized Work / Job Break down Sheet. 3

4 Seconds EDMM 487 Each of these operations is required to make one finished good. There are 8 operations and the critical cycle or bottle neck is 2 seconds Operation Operation Operation Operation Operation Operation Operation Operation Series

5 Seconds EDMM 487 Identifying Waste in Cycle Imbalance: 1. Find the Critical Cycle or Bottleneck 2. The time not being utilized by the other processes is waste Operation Operation Operation Operation Operation Operation Operation Operation Series

6 Seconds EDMM = 32. seconds waste Operation 1 Operation 2 Operation 3 Operation 4 Operation 5 Operation 6 Operation 7 Operation 8 Waste Seconds

7 EDMM 487 EXERCISE 1 Processes 1 through 6 are in series and will result in one (1) Unit Critical Cycle is 17.8 seconds How much labor is being wasted in this process? All the processes are limited by the bottleneck, which is 17.8 seconds x 6 operations = 6.8 seconds will be worked to produce one Unit. The Actual Labor is 12.35s s +17.8s s s s = seconds. 7

8 EDMM 487 EXERCISE 1 Processes 1 through 6 are in series and will result in one (1) Unit 6.8s s = seconds are being wasted per unit. In this example, let s say this is a supplier to you and you believe their price is too high. They disclose to you that their fully loaded cost is $68./hour, and you think they are about $. too high for the part that you are buying from them, is there hope to reduce the price? 8

9 EDMM 487 Remember: to convert seconds to hours; divide by 3,6. So,.58 / 3,6 =.79 hours. At seconds of wasted labor per part (which is.79 hours/part) and a loaded cost of $68./hour, the supplier has approximately ($68. x.79 = ) $.54 of added costs to the part. You thought we were paying about $. too much, does there seem to be some data to support that? 9

10 EDMM 487 Tasks move to Operations 2 and Process 1 Process 2 Process 3 Process 4 Process 5 Process 6 Working with the supplier and showing them some basic Lean principles and tools, the process has been better balanced (see chart on right). Critical or Bottleneck cycle is Process 2, and it is The new waste is now seconds; or.38 hours; at $68./hr. = $.95. This new line balance has reduced the wasted labor by (previous was) $.54 - $.26 = $.28. Now you can negotiate the $. price reduction, they keep the $.3, and all the learning from the improvement event.

11 EDMM 487 Line balancing (Yamazumi) Line Balancing is leveling the workload across all processes in a cell or value stream to remove bottlenecks and excess capacity. A constraint slows the process down and results if waiting for downstream operations and excess capacity results in waiting and no absorption of fixed costs. 11

12 EDMM 487 Yamazumi Chart (Stack or Pillar charting): 12

13 Line Balance Chart Takt Time (27sec) 13

14 Line Balance Show visually what each Team Member is doing How close each operation is loaded to Takt time Identify waste: Waste is incurred whenever there is unnecessary movement or excessive wait time or rework (Correction) Error of most companies is to balance the load among Team Members. This does not make the waste obvious Minimize walking time 14

15 Cycle Time Amount of time to process 1 unit Includes human & machine work, walking & waiting time Determine by taking the average time to process one part 15

16 Takt Time (27sec) Theoretical # of Associates = Total Work Time = = 3.6 = 4 Associates Takt Time 27 16

17 Methods for Loading Team Member Waste Waste Waste Waste Waste Takt Waste is not obvious! i.e. not likely to be addressed Waste Waste Takt When allocating work, try NOT to balance work between Team Members. Load individual Team Members as close to Takt time as possible! Make waste more obvious & more 17 likely to be addressed!

18 Value Added, generally are defined as any processing that is converting raw materials / components to what the Customer wants. Here are some examples: 1. It must transform the product or service. 2. The customer must be willing to pay for it. 3. It must be done correctly the first time. Therefore, anything that does not fit these definitions, will fall in the category of waste. Corrections Reworking Over Producing Motion that adds no value Movement / Transportation and Handling Waiting (machine and/or Team Member) Inventory Process Inefficiencies 18

19 EDMM 487 The Team Member is working in a process where the equipment cycles every seconds. How much Idle (Waste) did the Engineer who launched this process design for this Team Member? Cycle Time = s;. (All Value Added Time; 1.89s s + 2.s +.89s.) = seconds. 19

20 EDMM 487 If this Team Member is being paid $16.5 / hour and Fringes and Benefits increase this cost to $23.6 / hour and the team member will work at this job all year, how much are they being paid to add no value to the product? (Reminder; the process makes a part every seconds and for this exercise, the process runs 7.2 hours a shift and there are 245 working days in a year. Because most hourly Team Members are paid by the hour, we need to convert the wasted time of seconds into hour s:.49 hour per part of wasted time x ((7.2 hours x 36)/ seconds per part) x 245 working days a year) x $23.5/hour (including fringes) = $29, of the $48,88 (2,8 hours x $23.5) is paid to this team member to do nothing that adds value to the product; almost 6%. 2

21 Example 1: In this process, there is only one team member performing all the processes. Please note that the time to get the raw material from the tote is included in the total cycle time of Process 1. Also, Process 4 includes the time to perform Process 4 and place the item in the Finished goods container and step back to the Raw container. Question 1; Question 2: Question 3; How much total Labor is there for making one complete unit? How much Line Imbalance it their in this layout? If this process runs 3 shifts a day, 245 days a year and there is 32 minutes per shift (with OEE and PFD removed), how many parts will this process manufacture in a year? Raw Process 1 Process Finished Process 4 Process Process 1 Process 2 Process 3 Process 4

22 Example 1: In this process, there is only one team member performing all the processes. Please note that the time to get the raw material from the tote is included in the total cycle time of Process 1. Also, Process 4 includes the time to perform Process 4 and place the item in the Finished goods container and step back to the Raw container. Question 1; Question 2: imbalance. Question 3; Raw How much total Labor is there for making one complete unit? s + 28s+ s + 17s = 95 seconds How much Line Imbalance it their in this layout? None. With only one team member operating each station, there is no If this process runs 3 shifts a day, 245 days a year and there is 32 minutes per shift (with OEE and PFD removed), how many parts will this process manufacture in a year? (245 days x 3 shifts x 32 minutes/shift x 6 seconds/minute ) / 95 seconds = 148,547 per year. Process 1 Process Finished Process 4 Process 3 22 Process 1 Process 2 Process 3 Process 4

23 Example 2 The process is not different for cycle time and activity per process, however, your customer has called and their annual demand is increasing from 14, units a year, to, units a year. Question 1; Question 2: What do you propose be done to meet the new demand? How much Line Imbalance it their in this layout? Raw Process 1 Process Finished Process 4 Process 3 23 Process 1 Process 2 Process 3 Process 4

24 Example 2 The process is not different for cycle time and activity per process, however, your customer has called and their annual demand is increasing from 14, units a year, to, units a year. Question 1; Question 2: Raw What do you propose be done to meet the new demand? Add a team member and combine processes. Because Process 1 and 3 are the same value, there is no advantage if process 1 and 2 are combined, versus 2 and 3; they will always add up to 53 seconds, while the other process is ( + 17) 42 seconds. Using the total of 14,112, seconds in a year and divide this by 53 seconds (the critical cycle time) = the annual yield is 266,264; which exceeds the Customer requirement of, units per year. How much Line Imbalance it their in this layout? Refer to the answer in Question 1; where we see 42 seconds and 53 seconds; so the line balance is (42 / 53 ) = 79%. Process 1 Process Finished Process 4 Process 3 24 Process 1 Process 2 Process 3 Process 4

25 Example 3 The process is not different for cycle time and activity per process, however, the process is now staffed with four (4) Team members; one at each station. Still 32 minutes per shift x 3 shifts x 245 working days/year. Question 1; Question 2: What is the potential yield per year? How much Line in the same layout, but staffed with four team members? Question 3; How much waste is there in this line balance ( in seconds )? Raw Process 1 Process Finished Process 4 Process 3 Process 1 Process 2 Process 3 Process 4

26 Example 3 The process is not different for cycle time and activity per process, however, the process is now staffed with four (4) Team members; one at each station. Still 32 minutes per shift x 3 shifts x 245 working days/year. Question 1; Question 2: What is the potential yield per year? 14,112, seconds/year divide by maximum cycle time (28 seconds) = 54,/yr. What is the new line balance? Minimum Cycle / Maximum Cycle 17 / 28 = 6.7% Question 3; How much waste is there in this line balance ( in seconds )? Maximum Cycle time x number of Team Members Aggregated Time; 28 seconds x 4 = 112 seconds 95 seconds (s + 28s+ s + 17s) = 17 seconds Raw Process 1 Process Finished Process 4 Process 3 26 Process 1 Process 2 Process 3 Process 4

27 Example 4 The process is not different for cycle time and activity per process, however, the process is now staffed with four (4) Team members; one at each station. Still 32 minutes per shift x 3 shifts x 245 working days/year. Question 3; How much waste is there in this line balance ( in seconds )? Maximum Cycle time x number of Team Members Aggregated Time; 28 seconds x 4 = 112 seconds 95 seconds (s + 28s+ s + 17s) = 17 seconds Question 1: Referring to the answer from Example 3, if our fully burdened cost is $75. per hour, how much is this imbalance costing us? Raw Process 1 Process Finished Process 4 Process 3 27 Process 1 Process 2 Process 3 Process 4

28 Example 4 The process is not different for cycle time and activity per process, however, the process is now staffed with four (4) Team members; one at each station. Still 32 minutes per shift x 3 shifts x 245 working days/year. Question 3; How much waste is there in this line balance ( in seconds )? Maximum Cycle time x number of Team Members Aggregated Time; 28 seconds x 4 = 112 seconds 95 seconds (s + 28s+ s + 17s) = 17 seconds Question 1: Referring to the answer from Example 3, if our fully burdened cost is $75. per hour, how much is this imbalance costing us? Convert the 17 seconds of wasted labor into hours (17 / 3,6 ) and multiply by the Fully Burdened Cost (17 / 3,6 ) =.47 hours x $75./hour = $.3542/part. Raw Process 1 Process Finished Process 4 Process 3 28 Process 1 Process 2 Process 3 Process 4

29 Example 5 The customer has communicated that they will be needing 45, units per year. The challenge is that the overall costs are still too high by $.4 per part. All material costs are reduced as low as possible and there is no other place to look, except in labor. The good news is that some C.I. type team members have evaluated the processes and have determine the following about process 4. Question: Seeing this new data, what do you propose the team try out? Raw Process 1 Process Finished Process 4 Process 3 29 Process 1 Process 2 Process 3 Process 4

30 Example 5 The customer has communicated that they will be needing 45, units per year. The challenge is that the overall costs are still too high by $.4 per part. All material costs are reduced as low as possible and there is no other place to look, except in labor. The good news is that some C.I. type team members have evaluated the processes and have determine the following about process 4. Question: Seeing this new data, what do you propose the team try out? A first step is in determining what the Customer Takt time is. All along we have assumed that they only thing made on this process is for this one customer, and for this example, that is correct. So, we know our allocated time from earlier examples and it is 14,112, seconds per year, so with the new demand of 45, units, the equation is as follows: Allocated Time 14,112, = seconds Takt Time Customer Demand 45, Raw Process 1 Process Finished Process 4 Process 3 3 Process 1 Process 2 Process 3 Process 4

31 Example 5 - Continued The customer has communicated that they will be needing 45, units per year. The challenge is that the overall costs are still too high by $.4 per part. All material costs are reduced as low as possible and there is no other place to look, except in labor. The good news is that some C.I. type team members have evaluated the processes and have determine the following about process Question: Seeing this new data, what do you propose the team try out? Answer: See if a three (3) TM process will work by combining the loading process (3.38 to Process 3) and adding the packing of the part to Process 1; which will increase it to ( = ) Using the 14,112, seconds/year divide by 3.17, the annual capacity is 467,749; in excess of the Customer Demand and Takt Time. Return to testing machine., Get part and step to Finished Goods container and pack, 3.76 Tester Cycle time and auto ejects from tester, 8.45 Get part and place in tester and activate tester, Process 4 Raw Process 1 Process Finished Process 4 Process 3 31 Process 1 Process 2 Process 3

32 Example 5 - Continued The customer has communicated that they will be needing 45, units per year. The challenge is that the overall costs are still too high by $.4 per part. All material costs are reduced as low as possible and there is no other place to look, except in labor. The good news is that some C.I. type team members have evaluated the processes and have determine the following about process 4. Question: Did the proposal reduce the labor cost by $.4/part? Answer: Original Cost is 28s x 4 TM s = 112s; 112/36 x $75 = $ per unit. New layout is seconds x 3 team members = 91.51s; / 36 x $75. = $ per unit $ $ = $.4477 cost reduction; Target Achieved! Also; line balance improved to 92.8%. Raw Process 1 Process Finished Process 4 Process 3 32 Process 1 Process 2 Process 3