Ford Advanced Lean Value Engineering Time Line

Supplier Lean Value Engineering Timeline
SUPPLIER ADVANCED LEAN VALUE

ENGINEERING
(SALVE)
A proposal to establish self-sustained supplier Lean capability

with the integration of the benefits of Value Engineering at the early
stages of a new model programme
FORD ADVANCED LEAN VALUE ENGINEERING TIME LINE.PPT


ENGINEERING
(SALVE)
Up to now……….
Lean and Value Management work independently of each other, not

sharing the same supplier or product focuses.
We do not benefit from the synergies of product value enhancement with
the Lean manufacturing benefits.

ENGINEERING
(SALVE)
Current SALM (Supplier Advanced Lean Manufacturing)……….
The SALM effort has been directed at running a single workshop event,
having the objective of re-evaluating a supplier’s manufacturing plan,
training an on-site team and providing a Lean alternative in the space of 5 days.
•OUTCOME
•An improved manufacturing plan
•Limited residue of supplier Lean capability
•Low level of Lean Culture throughout the supplier site
•Risk of unsustained development of Lean…. low continuous improvement
Unfortunately, we get to the suppliers too late and facility is already ordered

ENGINEERING
(SALVE)
Why do our suppliers have problems improving?
Continuous improvement is dependant on transforming the culture of a critical
mass of employees across the whole spectrum of an organisation. Lean must be
driven from the very top and reach into all areas of the system. To accomplish
this, the minds and hearts of people need to be changed.
Seeing is believing, therefore demonstrating success is crucial. People have a
natural reluctance to change unless they perceive personal benefits from change.
“If I tell you…….. you will forget;

If I show you…… you may remember;
If I involve you.…you will understand”.

ENGINEERING
(SALVE)
What needs to happen?

LEAN
•Top management have to fully support Lean
•A shared vision that integrates Lean must exist
•A clear and communicated Lean strategy must be created
•Lean must be coordinated through in-house expertise
•Communication, training and re-enforcement activities must be in place

ENGINEERING
(SALVE)
What needs to happen?

VALUE MANAGEMENT & LEAN
•Need to co-ordinate VM and Lean focus for new model programmes
•Need to be proactive at the earliest stages to achieve Right First Time
•Need to share objective of increasing value by increasing function and
reducing cost.

ENGINEERING
(SALVE)
The Proposal

ENGINEERING
(SALVE)
Wk -108 Wk -106 Wk -100 Wk -96 Wk -92 Wk -84 Wk -70 Wk -56 Wk -36 Wk 0
1D 1D 1D 4D 2D 1D 5D 1D 5D 1D 5D 1D 5D JOB 1
Internal Lean Lean VM Supplier Site Management W/S SFW W/S SFW W/S SFW W/S SFW
Ford Review Quick Kick Off Lean diagnostic / VM workshop Prep Stabilisation Prep JIT Prep TPM Prep Advanced Lean
Assessment Meeting Event Workshop Workshop Workshop Workshop
(candidates selection)
(diagnostic period of XXX
weeks)
weeks)
INPUT CONSTRAINTS INTERNAL FORD REVIEW (CANDIDATE SELECTION)

Supplier information High level of Lean Manufacturing
Commodity requirements No involvement in VE programme
Who? TCM specialist, Lean team, Purchasing, STA.
Benchmarking Low commitment
Other considered: Global sourcing dev. Europe
No resources directed to improvement
No Long term prospect
Why? -To discuss and establish expectations for the Lean Deployment
Not meeting purchase selection criteria
-To discuss current supplier performance (I.e. cost, quality, delivery, Leanness, etc.)
-To review the opportunity and applicability of Lean Deployment tools and techniques
within the supplier’s production process.
-To propose the specific production processes which will be the focus of the Lean
INTERNAL FORD
REVIEW Deployment.
(CANDIDATES SELECTION) What? -Develop a consistent message to convey to the supplier at the Lean/ Value
Management Kick off meeting.
-Assess supplier candidate potential for the SALVE programme.
RESOURCES OUTPUT
Where? - Ford Basildon / Cologne / Valencia
Meeting Room List of potential candidates to
When? - 108 Weeks before Job1
TCM specialist [1] undertake the programme
Lean team rep [1]
How? - Face to face meeting, 3 hours long.
Purchasing [2]
STA [1]
Outcome: List of potential candidates to undertake the programme
Other considered:
Global sourcing devt. Eur [1]
Post event activities: Communicate to selected supplier candidates
weeks)
INPUT CONSTRAINTS LEAN - QUICK ASSESSMENT

Resources
•Manufacturing Metrics Confidentiality
Who? –Lean Team, Supplier Management Team
(FTT, OEE, Downtime)
•Customer Volume
Requirement
Why? – To gain understanding of Level of Lean.
•Production Time
•Short Lean Assessment Tool
What? – Short LAT assessment
Where? –Supplier Site

LEAN QUICK
ASSESSMENT
How? -1 day plant tour
RESOURCES OUTPUT
Outcome: -Go/No Go decision
Lean Team [2] Lean Level Indication
STA [1] Go/No Go decision
Site Management [2]
Post event activities: (Lean Team) – Feedback to Internal Ford Review Team
On site room
weeks)
INPUT CONSTRAINTS LEAN / VM KICK OFF MEETING

VE: None Supplier commitment
LT: Programme overview Supplier participants Who? VM team, Buyer, Component/System engineer, Lean Team, Supplier (Commercial,
Information pack Ford participants Manager, Operations)
LAT blanks
Lean background Why? -To introduce supplier management to the SALVE process and obtain high level buy-
in to participate.
-To identify the resources requirements for the process;
What? -Explain the SALVE programme & objectives

-Reconcile supplier & Ford expectations
LEAN / VM
KICK OFF MEETING Where? -Ford Basildon / Cologne / Valencia

RESOURCES OUTPUT
How? -Group Meeting, 3 hours long
VM team
Buyer [1] VM: VE workshop
Outcome: - Supplier agreement to the SALVE programme
Component/Systm engr [1] Schedule w/s
- Lean Champion commitment by Week -92
Lean Team rep [1] resources requirement
Supplier: VE scope & objectives
Post event activities:
Commercial [1] Team tasks
-Supplier to carry-out the Lean Assessment
M.D. [1] LT: Supplier agreement to
-Supplier to communicate the SALVE intentions to the plant personnel
Operations Man [1] programme
- To recruit a Lean Champion if necessary
Meeting Room Go/No Go Decision
- VE team tasks
weeks)
INPUT CONSTRAINTS SUPPLIER SITE LEAN DISGNOSTIC / VM EVENT

-Data gathered from Kick off -Resources
meeting -Lack of commitment Who? -Complete VE team, Lean Team, Supplier’s management team
-Outputs from the kick off meeting -Programme resources
-Diag Material -Programme timing Why? -To establish the objectives of the programme
-VE: to optimise product value
-To confirm the supplier site is an appropriate candidate for the SALVE programme
-To analyse the current state/opportunity and develop a general Lean depl. strategy
-To carryout and assign Set-up activities (pre-workshop steps suppliers completes
such as personnel & resource designation, facilities arrangements, metrics data to
prepare for workshop, inform the workforce/union, etc…)
SUPPLIER SITE
LEAN DIAGNOSTIC / What? -LAT assessment
VM EVENT -Presentation of Lean to plant
Where? -Supplier site

RESOURCES OUTPUT
When? -96 weeks before Job1
- Complete VE team -VE ideas, implementation plans
- Lean Team [1&2] -LAT assessment result How? -4 days meeting with the supplier management/ VM team / Lean Team
-Supplier’s team -Lean Measurables
Onsite room -Identified opportunities Outcome: Assessment of the Lean Level, confirmation of the supplier’s commitment
-Programme content Go / no go decision
-Go/No Go Decision
Post event activities: Supplier to ensure facilities & equipment for w/s. Communicate to w/s
participants
weeks)
INPUT CONSTRAINTS MANAGEMENT WORKSHOP

-Company Mission statement -Lack of Mgt commitment Who? -Lean team, Supplier’s senior management team
-Mfg strategy with Lean input -Correct audience participation
-Outputs from Lean -Timing Why? - To establish if there is a manufacturing strategy which incorporates Lean thinking,
Diagnostic event and is also aligned to the overall Business Vision and Mission.
-Benchmark Data -To ensure that there is a clear understanding between Ford and supplier senior
management of the purpose, objectives and resources needed for the SALVE programme.
- To build the way forwards and agree the priorities for both the business and Ford.
What? - Introduction by the supplier about their business and manufacturing strategies.
- Strategic Era Analysis (by Lean Team) to establish whether all the management
team are aligned and pulling in the same direction.
MANAGEMENT WORKSHOP
- Agreement on the direction and support requirements from the entire management team.
- Feedback on the results of the LAT and the priority areas indicated.
- Decision on the way forwards, involvement, commitment and outline timing plan.
RESOURCES OUTPUT
Where? - Supplier locality; preferably off-site.
Agreed vision for
-Supplier senior management manufacturing aligned to
team [6] overall business needs
-Ford Lean Team [2] -Commitment from the senior
How? - 2-Day senior management workshop facilitated by the Lean Team.
-Suitable facilities local to management team
supplier site -Indication of the priorities
Outcome: - Understanding of the potential, commitment and opportunities.
-Workshop Materials (incl -Programme support team
- Site Management Buy-In
cost calc tools) -Overall timing plan
- Final decision point on whether to proceed with this supplier.
Post event activities: Supplier to commit to workshop series, selection of teams.
weeks)
INPUT CONSTRAINTS SITE FOCUS WORKSHOP - STABILISATION

Training Material Resources
Who? Lean team, Supplier team (Lean Core team + Ancillary team members), Lean
Handouts
Champion.
Data Gathering Proformas
Why? To develop stability in Supplier manufacturing system.
What? -Standard operation process, OEE, Lean Metrics

-Workplace organisation
-Visual management
-5S
SITE FOCUS WORKSHOP Where? Supplier site

STABILISATION WORKSHOP
How? 5 day workshop, comprising of Lean training and implementation on CURRENT
production.
RESOURCES OUTPUT
Outcome: -Supplier team trained on Lean concepts of stabilisation
-Established data collection systems
Lean Team Site team understanding of
-Established post event activities and timing
Lean Champion Stabilisation
Site Core Lean Team Activity Plan to implement:
Post event activities: Follow-up of suppliers activities by weekly report sent to Ford.
Ancillary Team Members •5s
(Will be generic. Typically, communication, cascade training, proposal implementation,
On site room & equipt •Data Gathering/Analysis
monitoring and extrapolation to agreed areas).
•Std Operation Process sheets
Post event activities agreed
weeks)
INPUT CONSTRAINTS SITE FOCUS WORKSHOP - JIT

Handouts
Champion
Why? To develop ability to recognise and eliminate waste in the manufacturing system.
What? Elimination/reduction of 8 wastes

Labour Balancing
Layout Optimisation
Where? Supplier site

SITE FOCUS WORKSHOP
JIT WORKSHOP How? 5 day workshop, comprising of Lean training and implementation on CURRENT
` production
Outcome: -Supplier team trained on Lean concepts of working smarter not harder
RESOURCES OUTPUT
Lean Team Site team understanding of
Lean Champion Waste Elimination, Labour
Site Core Lean Team balancing and layout
Ancillary Team Members optimisation..
On site room & equipt Activity Plan to implement:
•Workshop Proposals
Post event activities agreed
weeks)
INPUT CONSTRAINTS SITE FOCUS WORKSHOP - TPM

Handouts
Champion
Why? To develop understanding of autonomous maintenance. (Possibly develop understanding

how to drive Quick Change Over and/or understand material flow control systems.
What? Basic TPM, autonomous maintenance

Quick Change Over 5 Phase approach
Material Flow Systems
SITE FOCUS WORKSHOP Where? Supplier site

TPM
How? 5 day workshop, comprising of Lean training and implementation on CURRENT
production
RESOURCES OUTPUT
Outcome: -Supplier team trained on Lean concepts of self management of equipment and as
Site team understanding of
required the benefits of QCO and ability to analyse and reduce set-up time and/or
Lean Team basic TPM, alt QCO and/or
implement material pull systems.
Lean Champion Matl Flow control
Site Core Lean Team Activity Plan to implement:
Ancillary Team Members •Workshop Proposals
On site room & equipt Post event activities agreed
weeks)
INPUT CONSTRAINTS LEAN / VM INTERFACE

Product data Low level of Lean
Lean systemic thinking Champion’s assimilation of Who? Lean Champion and site VE representative.
Lean acumen
Why? To ensure best level of product knowledge is available for commencement of
Lean manufacturing planning
What? Full consultation interface between Lean Champion and VE representative
How? Regular local meetings. Sharing of product development details, timing, capacity
LEAN / VM INTERFACE requirements and manufacturing strategy.
Outcome: Clear understanding of product and process optimisations as a going in point for
Advanced Lean workshop.
RESOURCES OUTPUT Cumulative Outcome from Lean programme: Site core team led by Lean Champion
that are knowledgeable and capable of creating a Lean Manufacturing System for the
VE site representative Alignment of Advanced Lean current and incoming production processes.
Lean Champion workshop focus with product
design, variance and volume Post event activities: Check programme timing, facility and equipment lead time for potential
planning. system.
weeks)
INPUT CONSTRAINTS SITE FOCUS WORKSHOP – ADVANCED LEAN

-Product Information -Late design/other product
-Timing decisions Who? Lean team, Supplier team (Lean Core team + Ancillary team members), Lean
-Volume/Complexity -Longer Lead time Items Champion
Requirements -Lean Champion not available
-Manufacturing Metrics; Why? To create and simulate with metrics a Lean concept for the new product
historic and synthetic manufacturing system.
What? Minimisation of waste

Labour efficiency
Equipment effectiveness
SITE FOCUS WORKSHOP Layout optimisation
ADVANCED LEAN
How? 5 day workshop to create specific Lean manufacturing system for the future product
RESOURCES OUTPUT line.
Lean Team [1 or 2] Lean Concept Outcome: Right First Time, Lowest Cost manufacturing plan.
Lean Champion [1]
Site Core Lean Team [4] Post event activities: Follow-up of suppliers activities by weekly report sent to Ford.
Ancillary Team Members [4] Flawless Launch (Will be specific. Typically, communication, cascade training, proposal implementation,
Commercial Rep [1] and monitoring).
Programme VE Rep [1]
On site room & equipt

ENGINEERING
(SALVE)
The Approach Options
SALVE Site Focus Workshops

Dedicated team covering 5 suppliers + Remaining teams 4 x 5 suppliers
Or
5 Teams, 1 supplier each + Same 5 teams x 4 suppliers


ENGINEERING
(SALVE)
Rolling Supplier Cluster

J1
abc
bcd
cde
fgh
ijk
Stringent Time Management


ENGINEERING
(SALVE)
Impact on Resources
•“Current” Site Focused Lean Deployment Process = 1325 man-days/year
•SALVE
•1 dedicated SALVE team, 4 SFW team = 1225 man-days/year
•5 teams covering SALVE (1 supplier each)
+ 5 teams covering SFW (4 suppliers each) = 1225 man-days/year

ENGINEERING
(SALVE)
Enablers……
•A formal commitment from the Supplier
•A long term relationship between Ford and the
chosen suppliers
•A strong Supplier-Lean deployment link
•Empowered Teams

ENGINEERING
(SALVE)
Next Steps……

Ford Advanced Lean Value Engineering Time Line

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Ford Advanced Lean Value Engineering Time Line

Uploaded by

Copyright:

Available Formats

Supplier Lean Value Engineering Timeline

SUPPLIER ADVANCED LEAN VALUE

A proposal to establish self-sustained supplier Lean capability