J I T, L E A N O P E R AT I ON S ,

A N D T H E T O Y O TA
P R O D U CT I ON S Y ST E M

Ing. Susana Soriano

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 • C l ose Supplier Ties
Because lean systems operate with
low levels of capacity slack or
inventory, firms that use them need
S UPPLY CHAI N to have a close relationship with their
suppliers.
C O N S I D E R ATI ON S
Supplies must be shipped frequently,
I N L E AN S Y S T EMS have short lead times, arrive on
schedule, and be of high quality. A
C l ose Supplier Ties contract might even require a
supplier to deliver goods to a facility
as often as several times per day.

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C LOSE SUP P LIER T IE S

• The lean system philosophy is to look for ways to

improve efficiency and reduce inventories
throughout the supply chain.

• Close cooperation between companies and their

suppliers can be a wi n–win situation for everyone.

• Better communication of component requirements,

for example, enables more efficient inventory
planning and delivery scheduling by suppliers,
thereby improving supplier profit margins.

• Customers can then negotiate lower component

prices. Close supplier relations cannot be established
and maintained if companies view their suppliers as
adversaries whenever contracts are negotiated

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SMALL LOT SIZES
• Lean systems use lot sizes that are as small as possible

• A lot is a quantity of items that are processed together. Small

lots have the advantage of reducing the average level of
inventory relative to large lots.

• Small lots pass through the system faster than large lots,
since they do not keep materials waiting. In addition, if any
defective items are discovered, large lots cause longer
delays because the entire lot must be examined to find all
the items that need rework.

• Finally, small lots help achieve a uniform workload on the

system and prevent overproduction. Large lots consume
large chunks of capacity at workstations and, therefore,
complicate scheduling. Small lots can be juggled more
effectively, enabling schedulers to efficiently utilize
capacities

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 Let's consider the following
characteristics of lean systems:

• Pull method of workflow,

• Quality at the source,
• Uniform workstation loads,
PR OCE SS
• Standardized components and
C O N S I D E R ATI ON S work methods,
I N L E AN S Y S T EMS • Flexible workforce,
• Automation,
• Five S (5S) practices
• Total productive (or preventive)

• Maintenance (TPM).

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PUL L ME THO D O F WO R KFLO W

Managers have a choice as to the nature of the material flows in a process or

supply chain. Most firms using lean operations use the pull method, in which
customer demand activates the production of a good or service.

A method often used in conventional systems that do not emphasize lean

systems is the push method, which involves using forecasts of demand and
producing the item before the customer orders it.

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 For an illustration of the pull method, consider a five-star
restaurant in which you are seated at a table and offered a
menu of exquisite dishes, appetizers, soups, salads, and
desserts. You can choose from filet mignon, porterhouse steak,
yellow fin tuna, eggplant parmesan, grouper, and lamb chops.
Your choice of several salads is prepared at your table. Although
PULL METHOD some appetizers, soups, and desserts can be prepared in
advance and brought to temperature just before serving, the
main course and salads cannot. Your order for the salad and the
main course signals the chef to begin preparing your specific
requests. For these items, the restaurant is using the pull
method. Firms using the pull method must be able to fulfill the
customer’s demands within an acceptable amount of time

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 For a n understandi ng o f the pus h metho d, co nsider a ca fe teria o n a busy
do wnto wn cor ner. Duri ng the busy perio ds aro und 12 p.m. and 5 p.m. li nes
develo p, with hungry pa tro ns ea ger to e at and then move on to other ac tivities.
The ca fe teria offers choices o f c hick en (ro aste d or de e p frie d), roas t bee f, pork
cho ps, ham burgers, ho t dogs, sala d, soup (chic ke n, pe a, and clam cho wder),
brea d (thre e ty pes), beverag es, a nd desserts (pies, i ce cr eam, a nd co okies).
Close coor dina tio n is require d betwe en the c afe teria ’s “front offic e,” where its
employe es' interfa ce wi th c ustom ers, and its “bac k offic e,” the kitc he n, where
the fo od is pre pare d and then pla ce d alo ng the c afe teria ’s buffe t line. Be ca use

PUSH METHOD it tak es subs ta nti al time to co ok some o f the fo od i tems, the c afe teria uses a
pus h metho d. The ca fe teria woul d have a diffic ult tim e using the pull metho d
bec ause it co uld not wait until a cus tomer aske d for a n i tem before aski ng the
kitc he n to begi n pro cessing it. After all, shor tag es in foo d co ul d ca use rioto us
conditi ons (recall tha t customers are hungry), whereas pre pari ng an excess
amount of fo od will be waste ful beca use it will go unea te n. To mak e sure tha t
nei ther o f these co nditi ons oc curs, the ca fe teria mus t acc ura tely for ecast the
number of customers it expects to serve.

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M A N U FA C T U R I N G :
PUSH OR PULL?
https://youtu.be/yQHZbMd4ydk

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 Q U A L I T Y AT T H E S O U R C E

Consistently meeting the customer’s expectations is an

important characteristic of lean systems.

The goal for workers is to act as their own quality inspectors

and never pass on defective units to the next pro

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Automatically stopping the process when something is wrong and then fixing the
problems on the line itself as they occur is also known as jidoka.

Jidoka tends to separate worker and machine activities by freeing workers from
tending to machines all the time, thus allowing them to staff multiple operations
simultaneously.
Jidoka represents a visual management system whereby status of the system in
terms of safety, quality, delivery, and cost performance relative to the goals for a
given fabrication cell or workstation in an assembly line is clearly visible to workers
on the floor at all times.

Q U A L I T Y AT T H E S O U R C E

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W H AT I S I T A N D
WHY IS IT
I M P O R TA N T ?

https://youtu.be/vCpjW-rnplc

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 JIDOKA

Jidoka represents a visual management

system whereby status of the system in
terms of safety, quality, delivery, and cost
performance relative to the goals for a given
fabrication cell or workstation in an assembly
line is clearly visible to workers on the floor at
all times.

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 H OM E WORK

• With a group of 4 classmates, select one company where you work for, develop the
following:

• A presentation demonstrating the 8 waste according to lean manufacturing.

• Please include pictures demostrating the waste.

• Presentations will be during class time on Monday, May 15, all team members
must attend and present in the English language

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I D E N T I FY T H E T Y P E
O F WA S T E

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I D E N T I FY T H E T Y P E O F WA S T E

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 • Poka-yoke, or mistake-proofing methods aimed at
designing failsafe systems that attack and
PO KA-Y OKE minimize human error. Poka-yoke systems work
well in practice.

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 O KA-Y OKE

An example of poka-yoke is the design of new fuel doors in automobiles. They

are mistake-proof, since the filling pipe insert keeps larger, leaded-fuel nozzles
from being inserted. In addition, a gas cap tether does not allow the motorist to
drive off without the cap, and is also fitted with a ratchet to signal proper
tightness and prevent over-tightening.

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INTRODUCTION TO
P O K A -Y O K E ( L E A N
SIX SIGMA)

https://youtu.be/ksm3crnQg
4o

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U N I F O R M W O R K STA T IO N L O A D S

• A lean system works best if the daily load on individual workstations is

relatively uniform. Service processes can achieve uniform workstation loads
by using reservation systems.

• example, hospitals schedule surgeries in advance of the actual service so

that the facilities and facilitating goods can be ready when the time comes.
The load on the surgery rooms and surgeons can be evened out to make the
best use of these resources

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U N I F O R M W O R K S TAT ION
LOADS

• For manufacturing processes, uniform

loads can be achieved by assembling the
same type and number of units each day,
thus creating a uniform daily demand at
all workstations.

• Capacity planning, which recognizes

capacity constraints at critical
workstations, and line balancing are used
to develop the master production
schedule.

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 • In highly repetitive service
operations, analyzing work
methods and documenting the
improvements to use can gain
great efficiencies.
• For example, UPS consistently
S TA N D A R DIZ E D monitors its work methods, from
COMPONENTS AND sorting packages to delivering
them, and revises them as
WORK METHODS necessary to improve service.
• In manufacturing, the
standardization of components
increases the total quantity that
must be produced for that
component.

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FL E X I BLE WO R KFORCE

• The role of workers is elevated in lean

systems. Workers in flexible workforces can
be trained to perform more than one job.

• A benefit of flexibility is the ability to shift

workers among workstations to help relieve
bottlenecks as they arise without the need
for inventory buffers—an important aspect
of the uniform flow of lean systems.

• Also, workers can step in and do the job for

those who are on vacation or who are out
sick

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 Although assigning workers to tasks
they do not usually perform can
temporarily reduce their efficiency,
FL E X I BLE some job rotation tends to relieve

W O R K F OR CE boredom and refreshes workers. At

some firms that have implemented
lean systems, cross-trained workers
may switch jobs every 2 hours

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A U T O M AT IO N

• Automation plays a big role in lean systems

and is a key to low-cost operations. Money
freed up because of inventory reductions or
other efficiencies can be invested in
automation to reduce costs. The benefits, of
course, are greater profits, greater market
share (because prices can be cut), or both.
Automation can play a big role when it comes
to providing lean services.

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A U T O M AT IO N

• For example, banks offer ATMs that provide

various bank services on demand 24 hours a
day. Automation should be planned
carefully, however. Many managers believe
that if some automation is good, more is
better, which is not always the case. At
times, humans can do jobs better than
robots and automated assembly systems. In
other instances, especially whenproduction
volumes are high, automation can result in
higher quality, precision, and productivity.

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FIVE S PRACTICES

• Five S (5S) is a methodology for

organizing, cleaning, developing, and
sustaining a productive work
environment. It represents five related
terms, each beginning with an S, that
describe workplace practices
conducive to visual controls and lean
production

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CLASS ACTIVITY
Research the meaning of each of the 5s and
share your answer in English during class.

Earn 1 point for HomeWorks

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