A Lean RACE Model for Continuous Improvement in Four Possible Directions

Transcription

1 A Lean RACE Model for Continuous mprovement in Four Possible Directions Hung-da Wan, Associate Professor Department of Mechanical Engineering Center for Advanced Manufacturing and Lean Systems The University of Texas at San Antonio (UTSA) University of Texas at San Antonio (UTSA) 1

2 Current State mapped. Now what? How do we identify improvement opportunities? Which lean tools should be used? Coils 5 days Michigan Steel Co. Tues.+ Thurs. Stamping 200 T 4600L 2400R Weekly Fax 6 week Forecast Production Control MRP Weekly Schedule Daily Order 90/60/30 day Forecasts Daily Ship Schedule S. Weld#1 S. Weld#2 Assembly#1 Assembly# L L L L 600R 850R 640R 1440R State Street Assembly 18,400 pcs/mo -12,000 L -6,400 R Tray= 20 pieces 2Shifts 1X Daily Shipping Staging? C/T=1 sec C/O=1 hour Uptime=85% 27,600 sec. av. EPE=2weeks C/T=39 sec C/O=10 min Uptime=100% 2 Shifts sec. Av. C/T=46 sec C/O=10 min Uptime=80% 2 Shifts sec. Av. C/T=62 sec C/O=0 Uptime=100% 2 Shifts sec. Av. C/T=40 sec C/O=0 Uptime=100% 2 Shifts sec. Av. University of Texas at San Antonio (UTSA) 2

3 The 7+1 Types of Waste in TPS 8 Types of Waste Defects Overproduction Waiting Non-utilized Resources/Talent Transportation nventory Motion Excess Processing After current state mapped, we often do Waste Audit based on Toyota s 8 wastes. The 8 types of wastes are symptoms of problems, not root causes. Good starting point, but not necessarily leading to good improvement opportunities. University of Texas at San Antonio (UTSA) 3

4 Process mprovement Methods Lean Daily Management Value Stream Mapping Six Sigma s DMAC Deming s PDCA A3 + 8 Step How to prioritize the improvement targets? How to identify opportunities for improvement? How to define the target to be measured and analyzed? How to pick the right target for the problem solving cycle? How to set correct targets for root cause analysis? University of Texas at San Antonio (UTSA) 4

5 Let s zoom out and think about the fundamentals. What should a good value stream do? Route jobs through the processes Take jobs in 6 week 90/60/30 day Michigan Forecast Forecasts State Street Steel Co. Weekly Assembly Production Control Fax Daily Order 18,400 pcs/mo -12,000 L -6,400 R MRP Tray= 20 pieces Tues.+ 2Shifts Thurs. Weekly Schedule Daily Ship Schedule 1X Daily Stamping S. Weld#1 S. Weld#2 Assembly#1 Assembly#2 Shipping 200 T Staging Coils 4600L L L L L 5 days 2400R 600R 850R 640R 1440R C/T=1 sec C/T=39 sec C/T=46 sec C/T=62 sec C/T=40 sec C/O=1 hour C/O=10 min C/O=10 min C/O=0 C/O=0 Uptime=85% Uptime=100% Uptime=80% Uptime=100% Uptime=100% Production 27,600 sec. av. 2 Shifts 2 Shifts 2 Shifts 2 Shifts Lead = 23.6 days EPE=2weeks sec. Av sec. Av sec. Av sec. Av. Time Value- 5 days 1 second 7.6 days 39 sec. 1.8 days 46 sec. 2.7 days 62 sec. 2 days 40 sec. 4.5 d. Added = 188 sec. Time Provide value to customers Consume resources and time Lean: Route the jobs through the system effectively and efficiently. Performance: Cost, Lead Time, Value Provided University of Texas at San Antonio (UTSA) 5

6 Four Aspects of Continuous mprovement - The Lean-RACE Model Reduce non-value-added (NVA) activities to decrease interruptions in flow Accelerate valueadded processes to improve throughput and lead time Production Routing (i.e., Value Stream) Seven Zeros of An deal System Zero Defects Zero (Excess) Lot Size Zero Setups Zero Breakdowns Zero (Excess) Handling Zero Lead Time Zero Surging Edwards, J.N. (1983) Consolidate valueadded processes into fewer steps to shorten the value stream Enhance Value-Cost ratio of products and processes to improve competitiveness in marketplace University of Texas at San Antonio (UTSA) 6

7 1) Reduce NVA Necessary NVA Value Adding Waste! Reduce non-value-added (NVA) activities to decrease interruptions in flow Methods All Lean-Six Sigma tools to stabilize & standardize processes and to eliminate the 8 wastes. Examples 5S, Visual Aid, Standardized Work: Standardize processes and stabilize the performance Kanban, Heijunka, SMED: Streamline the job flow (Non-Value Adding) University of Texas at San Antonio (UTSA) 7

8 2) Accelerate VA Accelerate value-added processes to improve throughput and lead time Methods Theory of Constraints (TOC), Technology Deployment Examples Add more operators at the bottleneck to improve system capacity Use better/faster equipment and/or automation to increase throughput University of Texas at San Antonio (UTSA) 8

9 3) Consolidate VA Pre-application Gather financial data = 15 m Run credit report = 15 m Determine prgm = 120 m Application 8 hrs 80 hrs 80 hrs Verify emply & Order appraisal assets = 60 m & title = 20 m Underwriting = 120 m Approval/Title File paperwork pending = 5 m Closing Prep Notify parties & confirm = 120 m Schedule location = 5 m Print docs = 120 m Production Cell Consolidate value-added processes into fewer steps to shorten the value stream Methods Time Study, Workload Balancing, Cellular Layout, Moving Flowline, Technology Deployment,... Examples Combine dispersed processes in an inefficient routing into a production cell Use moving flowline to conduct processes (assembly, baking, etc.) while being moved University of Texas at San Antonio (UTSA) 9

10 4) Enhance Value Provided Enhance Value-Cost ratio of products and processes to improve competitiveness in marketplace Methods VOC & CTQ, Value Engineering, SPC, Marketing, Examples Ball Bearing: mprove process capability Higher-grade products Awning: Faster & more accurate delivery Higher-end market 6s 3s University of Texas at San Antonio (UTSA) 10

11 No just yet! Runner Pre-application Standard Work Application Pitch Folders Client Approval/Title Folder System Closing Prep Kanban Supplies Gather financial data = 15 m Run credit report = 15 m Determine prgm = 120 m 8 hrs 80 hrs 80 hrs Cross 40 hrs Verify emply & Order appraisal Notify parties & Training assets = 60 m & title = 20 m confirm = 120 m 5S Underwriting = 120 m File paperwork pending = 5 m FFO Lane Schedule location = 5 m Print docs = 120 m Leveling (1 day) 8 hrs (10 days) (10 days) (5 days) 80 hrs 80 hrs 240 hrs 150 min 180 min 25 min 245 min Before the future state is mapped, the trade-offs of improvement opportunities should be evaluated. University of Texas at San Antonio (UTSA) 11

12 5) Tradeoffs Force Field Analysis Be aware that a solution for one performance metric may have adverse impact on others. Examples: Replace a manual operation by robot Throughput Cost Time Value Higher Output Overproduction? High investment Reduced Cycle Time Stable quality mprove Error-Proof device Higher Yield nvestment offset by less inspection Less inspection time Better quality University of Texas at San Antonio (UTSA) 12

13 Days to ssue an nvoice Case #1 A DMAC Project of a University Service Center Define Measure Analyze mprove Control Time to issue invoice: 6 8 weeks Reduce NVA - VSM: Lead Time 245 hrs 44 hrs 80 University Center - Billing Process Days to ssue nvoice Events Target (USL) Accelerate & Consolidate Two Graduate Assistants per Area Empowerment of GA Staff Workload Balancing Cross Training Track Weekly Progress Do, Doing, Done Board Enhance - Less dispute - More satisfied customers University of Texas at San Antonio (UTSA) 13

14 Case #2 Shop Floor Kaizen Event: An Engine Assembly Line Reduce NVA Spaghetti Map and Point of Use Storage Accelerate VA Added an adaptor to help the operator maintain a better posture to torque the filters and perform the operation 15% faster. Consolidate VA Moving an installation of connector to a different workstation allows combined tasks. Reduced both VA & NVA time. (Photo is not the actual production line) University of Texas at San Antonio (UTSA) 14

15 Case #3 Reporting mprovements through RACE Analysis Define Current State Map with 7 processes Measure VA Time >100 hrs Total Lead Time >480 hrs Analyze CTQ, SPOC, Fishbone, Pareto, CPM mprove Future State Map with 5 processes VA Time reduced by 14 hrs Control Automated standardized process mprovements Summary Reduce NVA Quality at source Accelerate VA Saved 14 hrs Consolidate VA Combined 3 reports in 1 Combined statement format with E-bill Enhance Value Reduced billing errors and disputes Automated bill format to meet customer s needs University of Texas at San Antonio (UTSA) 15

16 Process improvement methods plus Lean RACE Model to identify more potential opportunities Lean Daily Management Value Stream Mapping Six Sigma s DMAC Deming s PDCA A3 + 8 Step Lean RACE gives 4 directions of potential improvements Enhance Value Reduce NVA Consolidate VA Accelerate VA University of Texas at San Antonio (UTSA) 16

17 Conclusion of Lean RACE Model A method to identify improvement opportunities in process excellence practices. Thank you! Continuous improvement in 4 possible directions. Value Stream Reduce NVA Accelerate VA Consolidate VA Enhance Value Trade-offs University of Texas at San Antonio (UTSA) 17