Kaicho Masaaki Imai

KAIZEN BASICS- Need for Kaizen In Everyday Business Life

2011 Kaizen

Welcome !

KAIZEN Basics & Need for Kaizen for Trainees @ PGPEL-Tri 1, SCMLD 18th Jul 11
2011 Kaizen

= KAI = CHANGE

= ZEN = GOOD (FOR THE BETTER)

= KAIZEN = CONTINUAL IMPROVEMENT

KAIZEN Journey
A C S D

A C A C S D

P D P: Plan D: Do C:Check A:Act S: Standardize D: Do C:Check A:Act

2011 Kaizen

KAIZEN is: Focused Improvement. [Improvement is different from Focused Improvement] Focused Improvement Improvement

KAIZEN
Paper does not burn in sunlight

Paper burns Focused improvement concentrates the Improvement is like sunlight: energy: Lot of energy, but dispersed (wasted) Little energy, but concentrated and aligned Small improvements Enables significant (large) Slow progress. improvements Small time required Rapid 2011 Kaizen progress

Isnt KAIZEN supposed to be small improvements? Kaizen is small change that leads to Large Improvement

KAIZEN: Succession of small changes (steps) that result in large improvement

2011 Kaizen

KAIZEN is:
IDENTIFYING STRATEGICALLY IMPORTANT AREA AND IMPROVING THERE

UTILITY COST PER CAR

100.0%

8%

OTHERS Shop C

C O S T I N %

80.0%

POWER
72%

20%

60.0%

30%

Shop B

40.0%

20.0%

13%
9%

0.0%

1.5%

4.5%

FUEL AIR STEAM WATER

2011 Kaizen

42%

Shop A KAIZEN (FI) Project should focus here

KAIZEN is: making Sustainable Improvements

Improvement with involvement gives sustainability
Study machines & methods Involve people in improvement process Involve managers in improvement process
Managers must sustain improvements by practicing SDCA cycle
2011 Kaizen

A C

S D

S: Standardize D: Do C:Check A:Act

What really is KAIZEN?

Kaizen is process improvement: which is significant (large) done in strategically important areas speedily in sustainable manner using data, not opinion using tools & techniques not anyhow
2011 Kaizen

GEMBA
GEM
means

+ +

BA
means

Real

Place

GEMBA is where : Real Work Is Done Value Is Created Problem Is Solved

2011 Kaizen

Organization for Kaizen

Gem ba

Customer expectations

Customer satisfaction

Organizati on to support

2011 Kaizen

PDCA
Act Plan

Check
TheImprovementCycle
2011 Kaizen

Do

5 Golden Rules of Gemba Management

1.Go to gemba 2.Check gembutsu, collect data 3.Take temporary countermeasure on the spot 4.Diagnose Root Cause 5.Standardize to prevent recurrence
2011 Kaizen

MUDA

Elements of process- that add time, effort, cost, but no value

Things to Remember about Waste:

MUDA is really a symptom rather than a root cause of the problem MUDA points to problems within the system (At both process & value stream levels)

2011 Kaizen

Essence of KAIZEN Philosophy

Kaizen focuses on -

Muda

2011 Kaizen

Essence of KAIZEN Philosophy

Kaizen acts on-

Muda

Dont attack; it is useful !

Attack first
2011 Kaizen

Convention chases this !

7 Types of Muda In Processing

TYPES 1) Defects 2) Waiting 3) Processing

EXAMPLES Scrap, rework, replacement , inspection Stock-outs, lot processing delays, equipment downtime, capacity bottlenecks Unnecessary or incorrect processing there are no orders, no requirement from internal / external customers

4) Overproduction Manufacturing the Items in anticipation, for which

5) Motion 6) Inventory 7) Transport

Human motions that are unnecessary or straining Excess - Raw Material or WIP or Finished Goods Carrying WIP to long distances, inefficient transport
2011 Kaizen

2011 Kaizen

Mura - Inconsistencies
Happens only sometimes? Mura! Happens to only some people? Mura! Happens only some places? Mura! -Ask Why five times -Use diagnostic 2011 Kaizen method like

Mura - Inconsistencies EXAMPLE

All Quality Problems are examples of MURA

2011 Kaizen

Muri - Physical Strain

Bend to work? Muri ! Noisy? Muri ! Polluted air? Muri ! Vibrating machine? Muri !

2011 Kaizen

Kaizen Action Sequence Always I. R. E. : MUDA First MURA Next MURI Last

2011 Kaizen

2011 Kaizen