The Lean Toolkit

The Lean Tool Kit I have mentioned that TPS (Toyota Production System) is built on 3 pillars in the article published in the March edition. But, there are a number of tools available to us to improve operational efficiencies and this is known as the Lean Tool Kit. Though there are a number of tools, please be aware that not all tools can be used in every situation. One has to pick ‘n’ choose the right tools required based on the opportunities identified in an organisation. In this article, I shall cover these tools in brief and later I shall cover them in detail. Value Stream Mapping (VSM) is the fundamental tool used to identify opportunities for improvement within an organisation. The Value Stream Mapping maps both material flow and information flow from the customer to the supplier. It also looks at the value-added time among the processes. The main use of VSM is to improve the lead time but can also be used for identifying various other improvement opportunities based on the wastes identified. 5S and Visual Systems are part of creating a high performance workplace through visual workplace. 5S is a simple 5 step process and all the 5 words / phrases starting with an S. The 5 steps are Sort (sort the needed items from the unneeded), Set-inOrder (a place for everything and everything in its place or POUS, Point of Use Storage), Shine (keeping a area clean so that if something is out of its place, one can identify easily), Standardise (to have a consistent way of doing things irrespective of who does it) and finally Sustain (to keep it going through self-discipline). 5S uses visual systems to communicate, as the saying goes “A picture is worth 1000 words”. 5S is a foundation stone of TPS. Total Productive Maintenance (TPM) – This is the other foundation stone of TPS, and is used to keep the uptime of the machines and equipment high. TPM is a combination of Preventive Maintenance (maintenance which is done periodically) and Autonomous Maintenance (uses the operators to do some basic maintenance activities such as greasing, oiling etc). TPM is a necessary condition to increase the life expectancy of machines. OEE (Overall Equipment Effectiveness) is a tool used in TPM and is a factor of availability, performance and quality. Standardised Work is used as a means of doing work consistently to reduce the variability in the processes. Standard Operating Procedures and Visual procedures form part of this. Plant Layout – Having a proper layout of plant and equipment, such as manufacturing cells is a necessary condition to minimise the 7 deadly wastes on the shop floor. Load Levelling (or Heijunka, in Japanese) is a methodology used to level the production there by being able to produce small batches every day or week. PO Box 24499 Royal Oak Auckland Ph: 64 21 173 1060 Email: [email protected] Visit our Website: www.solutions4productivity.com

Continuous Improvement (or Kaizen, in Japanese) is methodology used to make small changes over a long period of time to get maximum advantage from the idea generation. This methodology us used to improve every aspect of the business. Also, PDCA (Plan-Do-Check-Act) which is also known as Deming’s Wheel is used extensively as part of the Kiazen approach. Kaizen has 2 parts to it. Kai means taking it apart and Zen means making it better or seen as a whole, Kaizen means change for the better. Kaizen approach is fundamental to changing the culture of an organisation. Just-in-Time (JIT) is a philosophy of producing what’s needed, when it is needed and in the right quantities. It has four components to it, Takt Time, Flow, Pull and SMED. Takt is a German word, meaning Target and is used to synchronise the pace of sales with pace of production. Flow is the term used to denote smooth flow of material between the processes without the build up of inventory or WIP, and without any bottlenecks. Pull is used as a methodology to produce only what has been consumed by the downstream activity. Customer requirement signals the need for production and every downstream activity is treated as a customer of upstream process. The end result is nil or minimal inventory of both finished goods and work in process. Remember Inventory consumes cash resources and may not add any value (Waste) and some industries have the issue of materials potentially becoming obsolete. Kanbans are the most commonly used tool while implementing a Pull system. Kanban is nothing but a signal to say that something needs to be done. The last concept here is SMED and it stands for Single Minute Exchange of Dies, i.e, doing the set-up or changing over a machine or equipment in less than 10 minutes. Beware that SMED is easier said than done. If one can automate everything it is possible to change the dies in less than 10 minutes with minimal manual intervention and has been proved in automotive and related industries. In most other industries, we can use the same concept to reduce the change-over times drastically thereby increasing the uptime and throughput. Continuous Flow is the ideal state is wherein 1 piece is produced at a time and works only in certain industries and where 1 piece flow can not be used, one needs to use an optimal lot size by decreasing the batch sizes slowly. Jidoka in Japanese means building quality at source, or doing the right thing the first time every time. Also, this is known as STOP the line culture, i.e., when someone detects an error or a defect, it needs to be fixed then and there rather than continuing to produce defective parts. Problem solving tools such as Root Cause Analysis (RCA) using Cause and Effect diagrams (or commonly known as Fish bone diagram) and 5 Why analysis are extensively used to identify the root cause and fix it once for all. Also to avoid making errors, Mistake Proofing (or Poka-Yoke in Japanese) concept is used. As a final thought, I would like to point out that, though there are a number of tools available, tools only represent 20% and the rest 80% is represented by the people component. i.e., it is very important to get the attitudes and culture right to sustain the benefits the Lean tools can offer.

PO Box 24499 Royal Oak Auckland Ph: 64 21 173 1060 Email: [email protected] Visit our Website: www.solutions4productivity.com