Professional Documents
Culture Documents
3 Lean Ops
3 Lean Ops
3 Lean Ops
Session 3
Professor Gad Allon Kellogg School of Management, Northwestern University
G. Allon
In this Session
!! !! !!
What is lean operations? What are the main tools? How do you continuously improve a processes?
G. Allon
G. Allon
G. Allon
The architect behind Lean Operations:! Toyotas Taiichi Ohno and waste elimination
!!
Taiichi Ohno: Toyota Production System: Beyond Large-Scale Production Sources of waste at Toyota:
1. Overproduction 2. Waiting 3. Non-value adding processing 4. Inventory in excess of immediate needs 5. Inessential motion 6. Correction necessitated by defects
!!
The architect behind Lean Operations:! Toyotas Taiichi Ohno and waste elimination
Lean operations has been dened as a business system for organizing and managing product development, operations, suppliers, and customer relations that requires less human effort, less space, less capital, and less time to make products with fewer defects to precise customer desires, compared with the previous system of mass production.
G. Allon
Experiment
Visibility
Lean Tools
11
G. Allon
Experiment
Visibility
Lean Tools
12
G. Allon
Experiment
Visibility
Lean Tools
13
G. Allon
Experiment
Visibility
Lean Tools
14
G. Allon
Experiment
Visibility
Lean Tools
15
G. Allon
Experiment
Visibility
Lean Tools
16
G. Allon
Lean Tools
G. Allon
Lean Tools
1.! 2.! 3.! 4.! 5.! 6.!
Quality at source Batch-size reduction Pull rather than Push Cellular layout Resource exibility / cross training Reducing processing variability
G. Allon
$ Minor Delay
$
Rework Resched. of work
$
Signicant Rework Delay in Delivery Additional Inspection
$
Warranty costs Administra tive costs Reputation Loss of Market Share
Having a stop and x-it mentality. Promoting standardized work." Performing a root-cause analysis.
!! !!
!!
21
G. Allon
G. Allon
B
1 min/job Resource B
C
1 min/job Resource C
D
1 min/job Resource D
What is the theoretical ow time of the process? 4 min !! What is the capacity of the process? 1 job/min !! What does that imply for the amount of inventory needed in the process?
!!
Model commonality helps cut costs at Sandouville Anna Kochan 13 January 2003 Automotive News Europe
G. Allon
Supplier
inputs
Process
outputs
Customer
Supplier
inputs
Process
outputs
Customer
Kanban
47
G. Allon
G. Allon
Cell 1 Department 2
Roof Roof Roof
Department 2
Base Base Base FA
Base Assy
Department 2
FA FA FA
Department 2
Base Assy Base Assy Base Assy Roof
Cell 2
FA Base Assy FA
Cell 3
Base Assy
Advantages
!! !! !!
Consistent with the moral ideal of autonomy. Empowers the workforce through participation and autonomy in managing daily activities Gives unprecedented responsibility to workers:
!!
!!
Challenges:
!! !!
Lean Tools
1.! 2.! 3.! 4.! 5.! 6.!
Quality at source Batch-size reduction Pull rather than Push Cellular layout Resource exibility (Ch. 4) Reducing processing variability (Ch. 4)
Continuous Improvement
G. Allon
Experiment
Visibility
Lean Tools
57
G. Allon
59
G. Allon
Increase Problem Visibility! Analogy: Lower the Water to Expose the Rocks
Inventory
Too much paperwork Engineering Change Orders Long queues Machine Downtime
100% inspection
Summary
!! !!
Quality at source Batch-size reduction Pull rather than Push Cellular layout Resource exibility (Ch. 4) Reducing processing variability (Ch. 4) Andon River Analogy
G. Allon
!!
Continuous Improvement:
!! !!
64
G. Allon