Lean Manufacturing 5 - Kaizen

Lean Manufacturing
Kaizen
Lean Manufacturing and Process
Improvement
Lecture 6, October 10, 2024
Week 6 Lean Manufacturing/ Process Improvement Slide 1

The Focused Improvement Approach -
Kaizen
(Good)“Thinking
“Changing” about
improvement”
“Changing for the better by eliminating

losses and waste.”
which leads to
CONTINUOUS IMPROVEMENT
What is a Kaizen
o Practices that focus upon
continuous improvement
o Continuous improvement
leads to eliminate waste
o Mindset and culture
o Suggestions system

Introduction
• Kaizen is a process of continuous incremental
improvement.
• The “kaizen blitz” is a five-day continuous
improvement activity focused on a very specific
process.

Background and History
 Kaizen (Ky’zen)
• “Kai” means “change”
• “zen” means “good (for the better)”
• Gradual, orderly, and continuous improvement
• Ongoing improvement involving everyone
 Modern Kaizen is based on the principles of the Toyota
Production System (TPS).
 TPS is a system used in repetitive manufacturing, but
the philosophy can be applied to all operations.
 Companies in the United States began to use the term
following the publication of Kaizen by Masaaki Imai in
1985.
Components and Implementation
 Selecting Projects
 Setting Goals
 The Team and Team Leader
 Support and Infrastructure
 The Kaizen Blitz
 Potential Roadblocks
 Kaizen Steps
• Set the scene
• Observe the current process
• Develop the future state process
• Implement the new process
• Report and Analyze
Selecting Kaizen Projects
 Desirable criteria for initial projects
• Unambiguously measurable
• Management enthusiasm
• A clear business need
• Highly visible process
• Fairly easy project
• Strong environment for follow-up
• Simple process
• Stable and repeatable process
• Allows contribution by all employees – not a technical
exercise
• Self-contained process

Selecting Kaizen Projects
 What to avoid with initial projects
o Out of control processes
o Unreliable equipment
o Incapable equipment
o Interdependent processes
o Improvement is not seen as necessary
o A process that may soon be obsolete

Types of Projects
o Productivity improvements
o Changeover or setup time improvements
o One piece flow
o Pull system projects
Any Process
Any Problem

Setting Goals

The Team
o 3 to 10 people
o From across all levels and functions impacted
by the project
o Include experts – if they have open minds
o Include people with prior kaizen experience
o Include outsiders from unrelated functions to
obtain different points of view
Entertain all questions and ideas

The Team Leader
 “Leader” is not “supervisor”
 Preferably has experience with the kaizen
process
 Should be willing to change and open-minded

Support and Infrastructure
o Eliminate interruptions for team members
o No cell phones
o No visitors
o Dedicated conference room
o Eat together
o Supplies
o Flip charts
o White board
o Snacks
o Management support
o Team members have full support of management
o Responsibilities are covered to eliminate interruptions
Conference Room or Gemba?
o Important to “go to the gemba”
o “Gemba”: where the process actually occurs
o Kaizen can happen right on the factory floor or
information can be gathered at the process
o Conference room can be used for analysis and
discussion
o Don’t be afraid of going back to the gemba to
challenge and test ideas

Kaizen “Blitz”
o Total focus on a defined process to create
radical improvement in a short period of time
o Dramatic improvements in productivity, quality,
delivery, lead-time, set-up time, space
utilization, work in process, workplace
organization
o Typically five days (one week) long

Kaizen Blitz Rules
o Be open to change
o Stay positive
o Speak out if you disagree
o See waste as an opportunity
o No blame environment
o Treat others as you want to be treated
o Ask the silly questions, challenge the givens
o Creativity before capital
o Understand the data and principles
o Just do it!
Potential Roadblocks
o Too busy to study it
o A good idea but the timing is premature
o Not in the budget
o Theory is different from practice
o Isn’t there something else for you to do?
o Doesn’t match corporate policy
o It’s not improvement – it’s common sense
o I know the result even if we don’t do it
o Fear of accountability
o Isn’t there an even better way?
Kaizen Blitz - Agenda
o Day 1: Setting the scene
o Meet the team, training
o Day 2: Observe the current process
o Flowchart, identify waste, identify root causes
o Day 3: Develop the future state process
o Brainstorm and flowchart (typically the longest day!)
o Day 4: Implement the new process
o Plan, communicate, implement, modify
o Day 5: Report and analyze
o Performance vs expectations

Setting the Scene
o Identify the customer
o Define the project scope
o Write a concise statement that expresses the scope,
boundaries, and expectations of the project
o Agree it is reasonable within the timeframe allotted

Identify the Customer
o Value added is always determined from the
customer’s perspective.
o Who is the customer?
o Every process should be focused on adding
value to the customer.
o Anything that does not add value is waste.
o Some non-valued added activity is necessary
waste (“NNVA”)
o Regulatory
o Legal

Observe the Current Process
o Crucial first step in process improvement
o Deep understanding of the existing processes and
dependencies
o Identify all the activities currently involved in developing
a new product
o Observe the process first hand
o Flowchart the process
o Take measurements – time, yield, travel distance
o Identify Value Added (VA), Necessary Non-Value
Added Required (NNVA), and Non-Value Added (NVA)
o Generally creates more questions than answers

Types of Waste
o Overproduction
o Excess inventory
o Defects
o Non-value added processing
o Waiting
o Underutilized people
o Excess motion
o Transportation

Flowchart

Identify VA, NNVA (or NVA-R), and NVA

Identify Root Causes
o Flow Charts
o Cause and Effect Diagrams
o Check Sheets
o Histograms
o Pareto Charts
o Scatter Diagram
o Control Charts

Develop the Future State

Brainstorm and Analyze
o Kaizen team brainstorming to develop new
process
o Post improvement ideas on map or by category
o Workflow
o Technology
o People / Organization
o Procedures
o Develop detailed future state map
o New workflow
o Value Add and Non-Value Add
o Cycle times
o Identify Kaizen “bursts” (immediate radical change)
Implement the New Process
o Plan
o What specific changes need to occur
o In what sequence
o Resources needed – get commitment
o Impact on existing activities and functions
o Responsibilities
o Communicate
o Who, what, when
o Implement
o Execute the plan
o Modify
Implement the New Process
o Think global / systems optimization
o Maximum impact to process
o Speed of implementation – create small
victories
o Cost-benefit analysis

Implementation Plan
o Will new skill sets be required, and how to achieve them?
o Is the current organization structure sufficient?
o Are there cultural issues?
o Is there potential for “push back”?
o Any implications for suppliers?
o Implications for customers?
o Implications for team members?
o Do current technologies support the new process? Are they
available and cost justifiable?
o Technology is an enabler, not a solution.
o Does the reward system support the new process?

Execute
o Develop a concise, achievable milestone plan
o Communicate the plan to everyone
o Suppliers
o Team members
o Customers
o Track activities in public
o Celebrate small victories and publicly analyze
failures

Check and Sustain
o Meet regularly (weekly?) to review status of
open implementation items
o Re-evaluate Future State regularly (quarterly?)
for additional improvement
o Track results on a public Kaizen Board

Typical Results
o 40 – 60% reduction of lead time
o 10 – 15% productivity improvement
o 10 – 20% reduction in rework
o Improved communication between functions
and departments
o Clearly defined customer needs throughout the
value stream
o Improved customer satisfaction

Key to success
o Daily process
o Empower employee
o Sense of ownership

Keys to implement kaizen
o Top management commitment
o A culture to promote kaizen
o Best people to manage kaizen
o Education and Training
o Following step by step approach

Kaizen Steps
o Employee identifies a problem, a waste or an
opportunity for improvement
o Employee develops an improvement idea and
discusses with supervisor
o Supervisor reviews the idea and encourages to
take an action
o Employee implements the countermeasure

The Focused Improvement Approach - PDCA
STANDARDIZ FIND THE

E SOLUTION
 Implement  Fact Finding and Analysis
 Maintain  Diagnosis – Root Causes
 Disseminate  Choose & Plan Actions
CHECK
RESULTS PERFORM A
Key to success is to TRIAL
 Measure Results not skip steps and  Experiment
 Monitor follow a structured  Test Countermeasures
approach.
Kaizen: Theme – Team – Plan
Describe the Problem/ Phenomenon
Project ID #:
Jan XX XXXX
STANDARD KAIZEN PDCA Kaizen Number:
Plant:
Project
Machine/Area/Station
Name:
1 - Problem Description (Mandatory) - 2 - 4M1D - Potential Phenomena -
5) DO
Actions and Countermeasures
Initial Problem
Statement: Solution Description After Sketch
What:
When:
Where:
Theme:
Who:
What is the problem
Which: Task Responsibility Target Date Expected Results Status
Team:
How: People on the team
Revised Problem or
Phenomenon
3 - 5 Why - Root 4 - SMART Target
Plan:
Description: Cause
Provide a sketch of the problem Why 1
How to solve the problem
Why 2
Why 3
Why 4
Why 5
Action
7) Act 6) Check (Results)

Expansion Sustain Benefit
Cost
Project Leader: Starting Date: Benefit ($): Cost ($): Savings ($): Benefit/Cost Ratio: Verifier & Date:
$0

1 - Describe the Problem/ Phenomenon
Project ID #:
Jan XX XXXX
Plant:
Project
Name:
5) DO
Initial Problem
What:
When:
Where:
Problem Description:
Who:
WHAT IS THE ACTUAL
PROBLEM?
How:
Revised Problem or
Phenomenon
“In God Believe”- All
Description: Cause
others please bring facts
Why 2
5W1H
Why 3
Why 4
Why 5
Action

Cost
$0

Sketching
Project ID #:
Jan XX XXXX
Plant:
Project
Name:
5) DO
Initial Problem
What:
When:
Where:
Who:
How:
Sketching for
Revised Problem or
Phenomenon
Description:
3 - 5 Why - Root
Cause
4 - SMART Target
Understanding
Why 2
Why 3
Why 4
Why 5
Action

Cost
$0

2 - Brainstorming
Project ID #:
Jan XX XXXX
Plant:
Project
Name:
5) DO
Initial Problem
What:
When:
Where:
Who:
Brainstorming
How:
Revised Problem or
Phenomenon
Description:
3 - 5 Why - Root
Cause
Man4 - SMART Target
PM/ Key way
Machine 4M1D
Worn Spindles Part cool off wait
Why 2
App. Manpower P-Machine capacity Machine gaging
Why 3
App. training Hoist condition bad Faulty arbour
Why 4Follow procedure Summary adjustment TP loss due
to cutter
Why 5
change
Action
Std. Procedure Inserts shortage process
Expansion SWI
Sustain Optimal
Benefit P. flow Tool life Wrong tool
Control Plan
Tools available
Method Cost Material
$0

3 - Root Cause Analysis
Project ID #:
Jan XX XXXX
Plant:
Project
Name:
5) DO
1st Why 2nd Why 3rd Why 4th Why Actions and Countermeasures
5th Why ACTIONS
Initial Problem Reduce part

CMM machine Part waiting to
Statement: Solution Description cool of f related
After Sketch
capacity cool of f
waiting time
What:
When: Wait time f or

Ensure
part testing f rom Manpower appropriate MP
P-machine
Where:
Root Cause
Who: Multiple cutter
CMM machine Re-v isit test
changes at a
capacity capacity
time Task Responsibility Target Date Expected Results Status
Which:
How:
Revised Problem or 4 - SMART Target
Phenomenon
3 - 5 Why - RootMaster Interruptions/ Dev elop PM
Summary Machines not in
summary no wrecking/ plan f or re-
adjustment Cause Lack of PM
Description:
gage
activ ated crashing gaging
Why 2
Longer tool
Change Over Why 3 Bad bearing on investigate an
process time cutter body ensure rectification
Bad tool/ cutterWhy 4
Why 5 Repetitiv e work

Miss built causing Verification system
Bad setup
cutters In place
mistakes
Action

Smaller f loat Low cost Re-visit the float

No inserts No inv entory emphasis size and make
size app. adjustment
Unplanned Excessiv e Lack of training/ Ensure proper

No cutter Cost
increase in wreckages / New team training (by CG/
av ailable
demand sudden crash leaders lab) also SOP/OPL
Equipment Machine Lack expert Lack of cross Cross training is

breakdown Lack of PM resource training
Project Leader: Starting Date: down Benefit ($): Cost ($): Savings ($): Benefit/Cost Ratio: critical& Date:
Verifier
$0

4 - Realistic Targets
Project ID #:
Jan XX XXXX
Plant:
Project
Name:
5) DO
Initial Problem
What:
When:
Where:
Target
Who:

S: Specific
How: M: Measureable
Revised Problem or
Phenomenon
A: Attainable
Description: Cause
R: Relevant
Why 2
T: Timely
Why 3
Why 4
Why 5
Action

Cost
$0

5 – Actions and Countermeasure
Project ID #:
Jan XX XXXX
Plant:
Project
Name:
5) DO
Initial Problem
What:
When:
Where:
Actions and
Who:
Countermeasures
How:
Phenomenon
3 - 5 Why - Root
Description: Cause
Why 2
Why 3
Why 4
Why 5
Action

Cost
$0

6 – Results
Project ID #:
Jan XX XXXX
Plant:
Project
Name:
5) DO
Initial Problem
What:
When:
Where:
Validate improvement
Who:
How:
Phenomenon
3 - 5 Why - Root
Description: Cause
Why 2
Why 3
Why 4
Why 5
Action

Cost At least 3 months

$0

7 – Expansion
Project ID #:
Jan XX XXXX
Plant:
Project
Name:
5) DO
Initial Problem
What:
When:
Where:
Standardization and
Who:
Horizontal Expansion
How: What other areas/

Revised Problem or
Phenomenon
machines the solution
Description: Cause
applies to?
Why 2
Why 3
Why 4
Why 5
Action

Cost
$0

The Improvement Project

Importance of Time Standards
Time standard enables us to provide answers for the

following questions:
1) Determine the number of machine tools to buy
2) Determine the number of operators to employ
3) Determine manufacturing costs and selling prices
4) Schedule the machines, operations and people to
do the job and to deliver on time with fewer
inventories
5) Determine the assembly line balance
6) Determine individual worker performance
7) Evaluate cost reduction ideas
8) Develop operation personnel budgets
Fred E Meyers, Mathhhew L. Stephens


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Lean Manufacturing

Week 6 Lean Manufacturing/ Process Improvement Slide 1

“Changing for the better by eliminating

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Entertain all questions and ideas

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Week 6 Lean Manufacturing/ Process Improvement Slide 36

STANDARDIZ FIND THE

7) Act 6) Check (Results)

Week 6 Lean Manufacturing/ Process Improvement Slide 38

7) Act 6) Check (Results)

Week 6 Lean Manufacturing/ Process Improvement Slide 39

Which: Task Responsibility Target Date Expected Results Status

7) Act 6) Check (Results)

Week 6 Lean Manufacturing/ Process Improvement Slide 40

Method Cost Material

Week 6 Lean Manufacturing/ Process Improvement Slide 41

Initial Problem Reduce part

When: Wait time f or

Bad tool/ cutterWhy 4

Why 5 Repetitiv e work

7) Act 6) Check (Results)

Smaller f loat Low cost Re-visit the float

Unplanned Excessiv e Lack of training/ Ensure proper

Equipment Machine Lack expert Lack of cross Cross training is

Week 6 Lean Manufacturing/ Process Improvement Slide 42

Which: Task Responsibility Target Date Expected Results Status

7) Act 6) Check (Results)

Week 6 Lean Manufacturing/ Process Improvement Slide 43

7) Act 6) Check (Results)

Week 6 Lean Manufacturing/ Process Improvement Slide 44

Which: Task Responsibility Target Date Expected Results Status

7) Act 6) Check (Results)

Cost At least 3 months

Week 6 Lean Manufacturing/ Process Improvement Slide 45

How: What other areas/