Competitive Production System Lecture w41

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1 Competitive Production System Lecture w41 Yuji Yamamoto Industridoktorand d Deva Mecaneyes AB IDP Mälardalens Högskola

2 Contents Personal experience with Toyota Change to lean Improvement: Kaizen & Kaikaku Exercise

3 Personal Experience At work Compare how they work

4 Differences noticed during the work Whole supply chain is strong Do not make the same mistake Less late changes Avoid to be supplier dependent, they keep core technologies in house Communication based on trust not much politics Long working hours Long meetings and decision making Less specified job description

5 Differences noticed during the work Very tight margin in operation Help suppliers when they are in trouble Many TPS trainings Jishuken Stability of business vs tough cost & quality requirement

6 Change to lean- One example Experience of working together with an experienced Japanese TPS consultant Pictures

7 MIN NIMUM M MAN POW WER J U S T I N T I M E Lean bas process TOOLS KANBAN CHANGE MODEL MULTIPLES KILL GENBA KAIZEN U-LINE ANDON SEIRI, SEITON, SEIKETSU, SEISOU, SHITSUKE, SAFETY. STANDARDIZED WORK LEVELED PRODUCTION FLOW PRODUCTION Basic of innovation 5S & 3FIX S TOOLS JIDOUKA MIZUSUMASH I TPM POKAYOKE ONE By ONE SAFITY TRAINING PULL PROD N Fixed Location Fixed Indicator Fixed Quantity VISUAL CON NTROL We can see so many MUDA in our factories. SURVIVAL INNOVATION MINDED Profit means

8 Change to lean in reality Top Management s commitment and involvement is the most important factor for success. One must have a clear goal and production strategy. Lean is not the goal but means to achieve the goal and realize the strategy. Implantation of the tools is not the goal, they are simply the help of problem solving.

9 Change to lean in reality It is much about changing soft part of the organization (leadership, mindset & behavior, culture, alignment). 70% efforts can be related to this. It is not a liner but complex process that involves not only technical but cultural, political, and learning dimensions. The change is much context dependent. There is no one best way to change to lean.

10 Contents Personal experience with Toyota Change to lean Improvement: Kaizen & Kaikaku Exercise

11 24Kaizen 2.4 Concept of Kaizen Kaizen method A Action Check P Plan Do Change Problems in Standerdization 5S 7Muda Built in Quality Visualization Standardized work

12 Kaizen Advantage Smaller risk for each changes No need for large investment Stimulates person s motivation and involvement Necessary to build and sustain Just In Time production May become large impact when accumulated Concept and method are well established Disadvantage Improvement is based on previous experience Scope is small thus improvement is often small Improvement speed may not catch up with the speed of change in the business environment

have no choice but to resort to drastic changes or reform:

13 Need for Kaikaku Toyota could achieve its goals through kaizen. In today s world, however, when the rate of change is too slow we have no choice but to resort to drastic changes or reform: kaikaku Watanabe, förre CEO för Toyota (Source: Stewart and Raman, 2007)

14 Kaikaku- radical/innovative improvement Pro oduction perform mance Kaizen Time Kaikaku k Higher speed of improvement than Kaizen Top down initiative Stretched goal setting Fundamental rethinking of the current production system Innovative thinking Large scale of change

15 Stretched goal It is impossible to achieve the goal with the current system/ way of working. You have do in another way! Target Creative tension Current Think outside of the box

16 Some examples: Innovations in factories

17 Some examples: Innovations in factories

18 Contents Personal experience with Toyota Change to lean Improvement: Kaizen & Kaikaku Exercise

19 Exercise Now you are probably fed up with hearing all those lean things? Let s do some more practical things!

20 Exercise Each group select one of the five questions Discuss with group members and try to find answers Present your answers after one hour

21 Question 1 1) You are the president of a medium sized manufacturing company. You want t to reduce inventory stock. But when you do it, the income statement looks worse. How do you tell the owner or bank that it is still ok? Financial benefit of reducing the inventory? Oh Other benefit of reducing the inventory? 2) You are the production manager. Operators seem to worry that they might loose their jobs when they do Kaizen. How do you reduce their worry?

22 Question 2 You are the owner of a Pizzeria. You are weekly investigating customer satisfaction about the taste of a certain Pizza. You have a problem of a high variation of the customer satisfaction.

23 Question 2 Taste good Taste bad Weeks How do you reduce the variation of the taste? Chose one type of pizza Use your imagination about the possible causes Use seven QC tools

24 Question 3: Kanban 1 Toyota continuously requests to or work with suppliers to reduce the number of kanban between toyota factories and suppliers (Suppliers delivery kanban). Why is that?? (hint) check how to calculate number of suppliers delivery kanban.

25 Question 4: Kanban 2 You are a consultant. A client wonders if they can introduce Kanban in their operation. However, in order to operate Kanban in an effective way, there are several preconditions the company must meet. What are the preconditions? Pick up at least 5 preconditions. For example.. Machining Final-assembly Sub-assembly

26 Question 5: Cell design You will have a work instruction of a certain product (modem). Design a one-piece-flow cell based on the instruction. Volume: 480pcs/day Work hours: 8h/day Hint: Use the concept of standardized work.

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