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©2012-2013, IL Holdings, LLC All rights reserved 1 LEAN CONCEPTS The Thinking Approach

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Page 1: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

©2012-2013, IL Holdings, LLC

All rights reserved 1

LEAN CONCEPTS

The Thinking Approach

Page 2: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

©2012-2013, IL Holdings, LLC

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LEAN CONCEPTS

PROBLEM SOLVING

Replacing Firefighting with Permanent Solutions

Page 3: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

©2012-2013, IL Holdings, LLC

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WHY ARE WE HERE?

Interest in how

to solve

problems

Learn the problem

solving framework

Increase skill

through doing

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WHY PROBLEM SOLVING?

PHILOSOPHY

LEAN

CONCEPTS MODEL

GOAL: Highest Quality, Lowest Cost, Shortest Lead Time

PROBLEM SOLVING

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STANDARD APPROACH

Exposes problems

Uses a common language

Learns continuously

DEVELOP A CULTURE

WHY STANDARDIZE OUR

PROBLEM SOLVING THINKING?

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ROOT CAUSE:

Why did this happen?

ROOT CAUSE:

Why was this passed?

PRACTICAL PROBLEM SOLVING

POINT OF CAUSE

Bad Component

Supplier

Internal Process

Large Vague Problem

Problem Breakdown

Why

Why

Why

Why

Why

5 WHY ANALYSIS

Cause <> Effect

Grasp Current

Condition:

• Actual vs Standard

• Current vs Ideal

Page 7: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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KEY POINTS OF

PROBLEM SOLVING

Problem solving is critical because it:

1. Maintains the foundation of lean philosophy

2. Supports the high level tools of Lean Concepts

Page 8: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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Supports business objectives:

1. Stability

2. Built in quality

3. Efficient use of human resource

WHY PROBLEM SOLVING?

HIGHEST QUALITY

SHORTEST LEAD TIME

LOWEST COST

Page 9: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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PROBLEMS IMPACTING

STABILITY

MATERIAL MAN

METHOD MACHINE

• Equipment Failure

• Defects

• Rework

• Parts Shortage

• Absenteeism

• Morale

• Training

• Design

• Tooling

Page 10: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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4M’S IMPACTING STABILITY

Examples:

Good work habits

Proper training

Good attendance

Low turnover

1

2

MAN

MACHINE METHOD

3

Examples:

No breakdowns

Good maintenance

No bad parts

Examples:

No defects

No shortages

No wrong parts

4 Examples:

Standard processes

Standard mgmt rolls

Standardized

ownership of

processes

MATERIAL

Page 11: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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TRADITIONAL THINKING

To account for down time and instability

Maintain large inventories

Add more shifts

Work over time

Purchase more equipment

Not my problem

Page 12: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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LEAN CONCEPTS THINKING

Abnormality Management

Expose problems and bring them to the surface

Find the real root cause

Fix problems 1 by 1

KEY POINT:

Everything can’t be done at once! Identify the critical problem and solve before moving on

Page 13: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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TRADITIONAL VS LC

Problems to

be Solved MAN METHOD MATERIAL MACHINE

Customer Demand

1st Shift 1st Shift

2nd Shift

1st Shift 1st Shift

Management

works to

eliminate

obstacles

Break down problems,

make them manageable, and

solve 1x1

Ideal

Capacity

Actual

Capacity

Traditional

Thinking Lean

Concepts

Thinking

Efficiency Through

Problem Solving

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WHY STABILITY MATTERS

1. Foundation of LC

transformation

2. 100% Operational

Availability through

problem solving

ACTUAL

PRODUCTION

CAPACITY

IDEAL

PRODUCTION

CAPACITY STABLE PROCESS

Measurable

• Customer Satisfaction

• Operational Availability

• Increased Efficiency

• Cost Reduction

Immeasurable

• Communication

• Willingness to Solve Problems

• Value of Human Development

BENEFITS

Page 15: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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Supports business objectives:

1. Stability

2. Built in quality

3. Efficient use of human resource

WHY PROBLEM SOLVING?

HIGHEST QUALITY

SHORTEST LEAD TIME

LOWEST COST

Page 16: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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BUILD IN QUALITY

Traditional Thinking

Only inspect finished goods

No feedback to operations

generating the defects

Extra rework operation / cost

A C B

Rework

Scrap

Ship

Inspect

C B A

Page 17: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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BUILD IN QUALITY

LC Thinking

Do not pass defects – fix in

process

Immediate quality feedback

Defects are found at the source

Each Process only

ships quality product

C

A

B A

C B

Ship

Page 18: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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HOW WE BUILD IN QUALITY

1. Make abnormalities visible

2. Call for help quickly

3. Immediate response

4. Implement countermeasure

2

Call for help

Quick

Response

3

Countermeasure 4

1

Page 19: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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TOOLS TO BUILD IN QUALITY

Stop and notify of a problem

Tool for visual control

Practical, easy, inexpensive

Based on team member input

Go and see!

ANDON POKAYOKE Human

[Flag]

Machine

[Light]

Fixture

Page 20: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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Supports business objectives:

1. Stability

2. Built in quality

3. Efficient use of human resource

WHY PROBLEM SOLVING?

HIGHEST QUALITY

SHORTEST LEAD TIME

LOWEST COST

Page 21: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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SEPARATE MAN FROM MACHINE

1 Man – 1 Machine

1 Man – Several Machines

Unclamp Clamp

MAN MACHINE

Wait on

machine

Unclamp Clamp

MAN

MACHINE

Unclamp Clamp

MAN MACHINE

One cycle time

Turret A

Turret B

Page 22: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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EXAMPLE

VIDEO SHOWN IN WEBINAR

Page 23: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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WHY THIS MATTERS

PROCESS

Call for help

Quick

Response

Countermeasure

1

2

3

4

Build in quality

More effective use of

human resources

Highest Quality

Lowest Cost

Shortest Lead Time 1 Man – 1 Machine

1 Man – Several Machines

Unclamp Clamp

MAN MACHINE

Wait on machine

Unclamp Clamp

MAN

MACHINE

Unclamp Clamp

MAN MACHINE

On cycle time

Turret A

Turret B

Page 24: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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WHY PROBLEM SOVLING? [WITH LEAN CONCEPTS]

If the goal of the Lean

Concepts program is to

make problems visible…

Then problem solving is

the method for eliminating

these problems

Two sides of the

same coin!

Lean Concepts and

Problem Solving

Page 25: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

©2012-2013, IL Holdings, LLC

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CULTURAL BARRIERS TO

PROBLEM SOLVING

Page 26: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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A DIFFERENCE OF OPINION

Many ways to solve a

problem

Don’t be discouraged

by feedback

A change of course is

an opportunity to

confirm good thinking

SOLUTION

PROBLEM

Page 27: LEAN CONCEPTS · Unclamp Clamp MAN MACHINE Wait on machine Unclamp Clamp MAN MACHINE Unclamp Clamp MACHINE MAN One cycle time Turret A Turret B ©2012-2013, IL Holdings, LLC All

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QUESTIONS

CLOSING DISCUSSION