Manufacturing Management Assignment
Manufacturing Management Assignment
Manufacturing Management Assignment
Submitted by:
Apal TY C 3121
Introduction
Waste Creation(Muda)
Waste Elimination
Lean Manufacturing
Lean manufacturing is a production practice that considers the expenditure of resources for any goal other than the creation of value for the end customer to be wasteful, and thus a target for elimination. Working from the perspective of the customer who consumes a product or service, "value" is defined as any action or process that a customer would be willing to pay for. Lean manufacturing, also known as lean production, got its start in the mass production era. Specifically, Henry Fords standardization of tools and parts was the basis for what we call Lean Manufacturing today. Fords system utilized the principles of Scientific Management, it was these founding principles that were used as a basis for lean. Taiichi Ohno, the father of the Toyota Production System, was the visionary responsible for refining Fords system and taking it to the next level. Ohnos system was based around eliminating waste (known in Japan as Muda). Ohno considered anything that did not add value, waste. TPS was solely focused on eliminating waste, or non-value adding activities. The term Lean Manufacturing was coined by a team of MIT researchers in the book The Machine that changed the world published in the 90s. There is a second approach to Lean Manufacturing, which is promoted by Toyota, in which the focus is upon improving the "flow" or smoothness of work, thereby steadily eliminating mura ("unevenness") through the system and not upon 'waste reduction' per se. Techniques to
improve flow include production levelling, "pull" production (by means of kanban) and the Heijunka box.
Principles
The Five Simple Principles for Lean Manufacturing 1. Identify and understand what creates value for the customer: By accepting that only a fraction of the total time and effort expended in the organisation actually adds value for the customer; understanding what the customer wants is the first step towards identifying all the non-value added activities or waste within the organisation. 2. Identify, understand and map all the process steps required to fulfil the customer: By documenting the entire set of activities across all parts of the organisation involved in delivering products or services to the customer allows for an understanding how value is delivered to the customer in the current state makes it possible to identify the wasteful activities that can then be targeted for elimination. 3. Make the value-added actions within processes flow: Flow is about creating value for the customer with the minimum number of process steps with the minimum number of delays between those process steps and the minimum number diversions along the way. The value stream is used to identify wasteful activities to be eliminated; flow concerns the rethinking or reorganisation of the remaining activities to further eliminate waste. 4. Only make what the customer wants or Pull: If one objective for creating flow within processes is to minimize their throughput time. A clear second is to ensure that processes are only initiated when customer demand requires it. Essentially, this may mean only making
products or delivering services at the point the customer demands; just-in-time. As such as many process steps in the value stream should be triggered when there is a firm customer requirement. 5. Pursue Perfection through Continuous Improvement: Creating flow and pull begins with often radical changes to individual process steps, but the gains delivered by Lean principles really become significant as they are applied with increasing scrutiny. As this happens more and more layers of waste become visible and the cycle continues towards a theoretical end point of perfection; where every asset and every action adds value for the customer. Through continuous improvement the organisation should strive for incremental improvements in the value stream every single day. Go here for more information on Continuous Improvement In applying the five principles of Lean your organisation will encourage a culture of continuous improvement; it will become the way things are done instead of thats the way we've always done it. You will be ensuring that every asset and activity are driving towards the overall organisational strategy through constant review of processes and the targeted elimination of waste to ensure that they constantly and consistently deliver value to the customer.
Management technique rather than change agents has been a principle in Toyota from the early 1950s when they started emphasizing the development of the production manager's and supervisors' skills set in guiding natural work teams and did not rely upon staff-level change agents to drive improvements. This can manifest itself as a "Push" implementation of Lean rather than "Pull" by the team itself. This area of skills development is not that of the change agent specialist, but that of the natural operations work team leader. Although less prestigious than the TPS specialists, development of work team supervisors in Toyota is considered an equally, if not more important, topic merely because there are tens of thousands of these individuals. Specifically, it is these manufacturing leaders that are the main focus of training efforts in Toyota since they lead the daily work areas, and they directly and dramatically affect quality, cost, productivity, safety, and morale of the team environment. In many companies implementing Lean the reverse set of priorities is true. Emphasis is put on developing the specialist, while the supervisor skill level is expected to somehow develop over time on its own.
management down to the lowliest employee. The following steps can be followed by the organization which wants to practice Lean Manufacturing: Determine which aspects of lean manufacturing apply to you, prioritize according to your needs and abilities Categorize your people into groups according to similar training needs Identify your programs and make a matrix, or chart Decide whether you will hire an consultant or do it in-house Develop a time frame or schedule according to work area or personnel Prepare an immediate schedule and begin!
Benefits of Lean
Lean essentially aims to compress time required to deliver value to the customer. Typically, if you quarter lead-times, you will double productivity and reduce costs by 20%. This is known as the :2:20 rule. Typical results are as follows:
Halving of lead-times; doubling of stock turnover 30% to 50% reduction in floor space requirements 20% to 40% increase in Overall Equipment Effectiveness (OEE) 20% to 25% labour productivity gains Reduction in administration and co-ordination roles