How Lean Saves Money. Joe Margarucci January Copyright Bureau Veritas

Transcription

1 How Lean Saves Money Joe Margarucci January 2016

2 Lean Initiative Objectives To Learn the 8 Wastes for Lean To understand several tools of Lean l 5S l Standardized Work l the Source l Total Productive Maintenance l Single Minute Exchange of Dies To see examples of how these tools can be used to save money 2

3 All we are doing is looking at the time line, from the moment the customer gives us an order to the point when we collect the cash. And we are reducing the time line by reducing the non-value adding wastes. Taiichi Ohno (father of the Toyota Production System, which became Lean Manufacturing in the U.S) 3

4 The 8 Wastes 1. Overproduction 2. Excess Inventory 3. Defects/Errors 4. Excess Motion 5. Excess Transportation 6. Waiting 7. Underutilized People 8. Non-value Added Process 4

5 8 Categories of Waste: 1. OVER PRODUCTION Making more, earlier or faster than is required by the next process Examples: High WIP between operations Over testing 5

6 8 Categories of Waste 2. DEFECTS / ERRORS Mistakes that cause us to rework or redo a task Examples: Rejected samples/lots Typos Missed tests Errors missed during first review Wrong Set-ups 6

7 8 Categories of Waste 3. EXCESS INVENTORY Any supply in excess of a one-piece flow through a process Examples: Large batches before sending to next step Too many directions (overly complicated procedures/too many procedures) Excess supplies 7

8 8 Categories of Waste 4. NON-VALUE PROCESSING Effort that adds no value to the product or service from the customers viewpoint. Examples: Adding product functionality or quality that the customer doesn t need or want Quality control not Quality Assurance Too many people involved in decisionmaking Requiring adjustments to be done by person with special qualifications or job title. 8

9 8 Categories of Waste 4 EXCESS MOTION 5. EXCESS MOTION Any movement of people that does not add value to the product or service. Examples: Moving tools around in tool box or at work station to find the right one Walking &/or over-reaching at work station Work elements not properly sequenced to promote flow Walking back & forth to get samples or paperwork 9

10 8 Categories of Waste 6. EXCESSIVE TRANSPORTATION Transporting inventory, forms & information within & between departments & offices Examples: Moving products/ paperwork/ samples to next step before it is finished then chasing. Spaghetti diagram 10

11 8 Categories of Waste 7. WAITING Idle time created when waiting for? Examples: Waiting for down or upstream production to be complete Change over Line / equipment cleaning Waiting while equipment or computer systems are down (or slow). Waiting for Quality Check before releasing results Waiting for pre-payment 11

12 8 Categories of Waste 8. UNDERUTILIZED PEOPLE The waste of not using people s KSA s. (Knowledge, Skills & Abilities). Examples: Using technical staff for Admin processing Putting creative people in isolated routine jobs Insufficient & improper training 12

13 5S 13

14 5 S s (+ 1) Workplace Organization Sort Keep only what is needed in your area. Shine Seiri Clean up the workplace Seiso Set in Order A place for everything and everything in its place Seiton Standardize Develop system (rules) to maintain what has been done Seiketsu Safety Exits clearly marked; unobstructed Floor openings covered Cords and wire off floor Stacked material stable Flammable materials properly stored Fire equipment clearly marked Sustain Self discipline to maintain established procedures. Shitsuke 14

15 Workplace Organization 15

16 Department Results: Facilities Sort Straighten Shine Standardize Sustain Avg Score Facilities Closets / Machine Shop First area 5S d with min/max quantities Machine shop much safer HIGHLIGHTS AREAS FOR IMPROVEMENT Need to expand sorting and straightening to mezzanine Identified area leader with regular checks 16

17 Department Results: Hardlines Sort Straighten Shine Standardize Sustain Avg Score Hardlines Lab Good surface taping of benchtop equipment Better management of samples within the lab HIGHLIGHTS AREAS FOR IMPROVEMENT Need to move to micro level in drawers and cabinets Need to assign owners to each area and institute checklist 17

18 Department Results: Softlines Sort Straighten Shine Standardize Sustain Score Softlines Lab Good identification for samples in progress Some excellent examples of micro level 5S in drawers Good visual controls HIGHLIGHTS AREAS FOR IMPROVEMENT Need to sustain items placed incorrectly Still some macro sorting in some areas Shine needs to be sustained 18

19 Department Results: Mailroom / RG Sort Straighten Shine Standardize Sustain Score Mailroom / RG Good macro and micro level labeling with min/max marking Weekly 5S checklist posted and completed HIGHLIGHTS Need labeling of paper storage in RG area AREAS FOR IMPROVEMENT 19

20 5S 2016 Improvement Focus Focus on Standardization and Sustain Implement and standardize 5S checklist for all departments using same format. Identify area leaders. Begin doing your own audits. 20

21 Our Next Steps (year 2) Finish any areas that were missed/incomplete in 2015 Focus on 4 th and 5 th S. Create and implement a 5S checklist with images of how you want the area to look. Think about flow and work-in-progress. Spaghetti diagrams are a great way to check that you have optimized your set-up. Can you identify what the status of each sample is? Perform one last centralized audit Q1. After that, each area will perform their own audit and provide results in Q2, Q3, and Q4. 21

22 Standardized Work Establishing precise procedures for each person s work in a process, based on three elements: 1. Takt time 2. work sequence 3. standard inventory 22

23 Standardized Work 1. Takt time - the rate products/services must be made in a process to meet customer demand. 23

24 Standardized Work Takt Time Calculation Work Time Available Number of Units Sold / Period = TAKT Time Work Time Available / Period (one shift) Shift Time (ex. 8 hrs.) Breaks - 10 minutes Clean-up at end of shift Other non-prod. time Work Time Available: 480 mins mins. - 5 mins. - 5 mins. 450 mins. = 27,000 secs. 27,000 secs./shift TAKT Time = = 54.0 secs. 500 units/shift Working to a TAKT Time is one step in getting production to flow smoothly. 24

25 Standardized Work 2. The work sequence, in which a person performs tasks within takt time. Need to find the most efficient effective way and implement it 25

26 Standardized Work 3. The standard inventory, required inventory to keep the process operating smoothly. Keep just what is needed now to perform the function in the work area. 26

27 Quality at Source Each person must take full responsibility that what they pass along to the next person is within acceptable quality limits. To do this, each person must be supplied with a way to perform an inspection at the source and have simple & clear standards and documentation regarding acceptable quality limits. 27

28 Quality at the Source How did we do it? 28

29 Quality at the Source Start by understanding/defining Inputs & Outputs. 29

30 Quality at the Source Brainstorm with team to define inputs and outputs (post-it notes on a flipchart) Group by affinity 30

31 Quality at the Source Group to vote on most important 31

32 Quality at the Source Supervisor/Manager to help define cutoff (shoot for 3 to 6 Inputs and 3 to 6 outputs per process step. Document Train Implement Update as appropriate 32

33 TPM Total Productive Maintenance 33

34 The Flame Lab 1610 Chamber 09/25/2015

35 Total Productive Maintenance } Seven (7) steps are implemented to progressively increase operators knowledge, participation and responsibility for the equipment. } 1. Conduct initial cleaning and inspection } 2. Eliminate sources of contamination } 3. Establish provisional standards } 4. General inspection, development, and training } 5. Autonomous general inspection checks } 6. Improve workplace management and controls } 7. Participate in advanced improvement activities. 35

36 STEP 1 - Perform initial cleaning and inspection Cleaning as form of inspection! Purpose: To show the value cleaning as inspection Control equipment deterioration Establish team ownership through physical contact with equipment Involve team in identifying and addressing abnormal conditions By removing dirt and grime this results in discovery of abnormal conditions through the use of senses. 36

37 Step 2 eliminating sources of contamination and inaccessible areas The focus here is to prevent contamination and eliminate obstacles to effective cleaning and inspection. 37

38 Step 3 Develop provisional Standards Cleaning Standards Lubrication Standards Inspection Standards Calibration Standards Schedules 38

39 Step 4 General inspection, developement, and training Purpose: Build team knowledge and equipment inspection/diagnostic skills Expand the scope of routine inspection Promote systematic restoration activities Enhance preventive maintenance through visual controls Focus on the 6 subsystems: Lubrication Machine elements Pneumatics Hydraulics Electrical systems Drive systems 39

40 Step 5 Autonomous general inspection checks Purpose: Train teams in general inspection Continue to establish partnerships Optimize periodic inspection Match routine cleaning/ inspection standards with general inspection standards 40

41 Step 6 Workplace Management and Controls Determine scope of expanded improvement activities Train groups in 5S and visual controls Before After 41

42 Step 7 Ongoing General Inspection and Improvement This is the milestone in the journey where we are partnering with each other. Speaking each others language. We now have Process Owners Communication Collaboration No Blame Cooperation Leadership in no particular order This step follows up on continuing projects, expands team participation to other equipment-related improvement projects, and continues to build operator diagnostic and maintenance skills. 42

43 D M A I C TPM Total Productive Maintenance 1610 Flame Chamber Background (Define) Flame labs #1 piece of Key Critical Equipment(KCE) is the 1610 flame Chamber. Any downtime increases costs in testing, repair, and scheduling. Our goal is to increase the Overall Equipment Effectiveness(OEE) of this chamber. Current Condition (Measure) Target Condition (Improve) We gathered the appropriate team consisting of operators, maintenance, and management to focus on the Autonomous Maintenance pillar of TPM which uses a 7 step process. Implement provisional standard for Inspection and cleaning. Flame Chamber is run until failure. Gas flex lines wear and are inspected daily. Gas line changeovers are manually done. Most supplies needs and checks are done when needed and not planned Annual Chamber calibration for timer and flame gage Cause Analysis (Analyze) No collaboration. Operators, Facilities, and Management have specific roles and separate views on what their role is on this piece of equipment. Operators run it, Facilities maintains/repairs it, and Management schedules it. No systematic method for improving routine inspections and maintenance Eliminate soot buildup by replacing lower front cover with Plexiglas for immediate and simple visual aid. Eliminate hazardous flexible gas lines. Hard pipe back wall of hood and install quick disconnects for easy gas changeover and improved safety. Confirmation (Control) [90days] Elimination of gas line replacements and reduced daily inspection time. Reduction of machine contamination through visual control. Team based provisional standard has produced ZERO downtime since implementation No control over contamination to the internal parts of this machine. Gas lines wear out quickly and operators are inspecting gas lines. This takes caution and time. 43

44 Quick Changeover/Setup Reduction SMED (Single Minute Exchange of Dies) Identify internal vs. external changeover tasks Analyze each task s real purpose and function Focus on no/low cost solutions Aim to eliminate changeover time 44

45 SMED Example Not quick: Must heat molds and plates before changeover Quicker: Test stand with hot plates to pre-heat molds and plates Courtesy of Playtex Panama, Santo Domingo, DR 45

46 How Lean Saves Money? Space savings Fewer defects/errors Find problems earlier Less searching/movement First impression Increased morale Improved Safety Fewer Breakdowns 46

47 Reference Materials Lean Thinking by Jim Womack and Daniel Jones (What is Lean) Getting the Right Things Done by Pascal Dennis (Strategy Deployment) Learning to See, by Mike Rother, John Shook, (Value Stream Mapping) Toyota Kata by Mike Rother (How does Toyota do improvement) Work that Makes Sense by Gwendolyn Galsworth (Visuality) Creating Level Pull by John Shook (Pull Systems) And many more for specific applications (Finance, Design, IT, etc.) 47

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