Toyota Production System and Lean Tools

Bill Costantino, Lean Mfg616-891-7578 EBCostantino@earthlink.net 1 SW 2-Day Training

Toyota Production System& Lean Tools

Feb 1, 2012

BGI MGT-564 Sustainable OperationsCollaborate Session #4

Feb 1, 2012

Note: This SlideCast has Audio. Please turn your speakers on!

MGT 564 - First Day of Class Roadmap

Operations Tools

MRP Waiting Lines

ForecastingInventory Management

Operations Tools

Lean Tools

MRP Waiting Lines

Kanban

Takt TimeOne Piece Flow

Standard Work

History of 5-S … Yes, Japan. SEIRI - Sense of Use (eliminate from the work place

everything not required to perform the work)

SEITON - Sense of Ordinance (efficient placement and

arrangement of equipment and materials)

SEISON - Sense of Cleanness (tidiness and cleanliness)

SEIKETSU - Sense of Health (ongoing, standardized,

continually improving ‘seiri’, ‘seiton’, ‘seison’)

SHITSUKE - Sense of self-discipline (discipline with

leadership)

Tool and WIP BoardTo Be

Ordered

In Process

Next Run

Spec Card

Maintenance Log&

Maintenance Request Forms

Organize & Demand the Maintenance of Tools

Everything has a Dedicated Home

Operating Room OrderlinessPit Crew Efficiency

A place for everything and everything in its place, clean and ready for use

The Next Step - Visual Factory

Ability to understand the status of a production area in 5 minutes or less by simple observation without use of computers or speaking to anyone.

Provides the ability for workers to make decisions / take actions based solely on the status of visual indicators.

MaintenanceReplacement PartKanban

Addresses

Establish Method of Ordering and

Tracking Replacement Parts

Visual Control of Seasonal Inventory

Visual scheduling boards

Takt Time

Standardized Work is only one part of a

fully integrated manufacturing system

Lean Philosophy Customer First

No defect shall be passed to the “customer”

People Are The Most Important Asset People’s ingenuity will eliminate waste and

lead to a better job

Continuous Improvement There is always more to improve

Shop Floor First The shop floor is where value is added

Lean Manufacturing

“All we are trying to do is

shorten the lead time…”

Taiichi Ohno

Lean Manufacturing is a manufacturing philosophy which shortens the time line between the

customer order and the product shipment by eliminating waste.

CustomerOrder

Waste ProductShipment

Business as Usual

CustomerOrder

Waste ProductShipment

CustomerOrder

ProductShipment

Time (Shorter)

Business as Usual

Lean Manufacturing

Product Leadtime

Value Added Time is only a very small percentage of the Leadtime.

Traditional Cost Savings focused on only Value Added Items.

TimeRawMaterial

FinishedParts

WaitingStagingTransportation Inspection Set-up

= Value Added Time

= Non-Value Added Time (WASTE)

Mixing Packaging

Raw MaterialProduction

Focused on Non-Value Adding Items

Large Amount of Time Eliminated

Traditional vs Lean Results

Traditional Results of Manufacturing Improvement

Small Amount ofTime Eliminated

Focused on Non-Value Adding Items

Large Amount of Time Eliminated

Traditional vs Lean Results

Traditional Results of Manufacturing Improvement

Small Amount ofTime Eliminated

Lean Results

“Anything that adds Cost

to the product

without adding Value”

“Anything that adds Cost

to the product

without adding Value”

7 Forms of Waste

Typesof

CORRECTION

WAITING

PROCESSING

MOTION

INVENTORYCONVEYANCE

OVERPRODUCTION

Repair orRework Any wasted motion

to pick up parts or stack parts. Also wasted walking

Wasted effort to transportmaterials, parts, or finished goods into or out of storage, or between processes.

Producing morethan is needed before it is needed

Maintaining excessinventory of raw mat’ls,parts in process, orfinished goods.

Doing more work thanis necessary

Any non-work timewaiting for tools, supplies, parts, etc..

WasteWaste

• Waste is unclear, not defined• Crisis corrections• Reactive improvement

Shift Mindset

Correction

Over-Production

MaterialMovement

Motion

Waiting

Inventory

Processing

WasteWaste TypesOf

• Waste is unclear, not defined• Crisis corrections• Reactive improvement

• Waste is tangible, well defined• Focus on “small” opportunities• Continuous improvement

Better Utilization

Work Waste

NewParadigm

Working Smarter through the Elimination of Waste

Three Components of Standardized Work

Standardized WorkWork

Sequence

StandardIn-Process

TaktTime

Takt Time

The production rate, in seconds, to satisfy

customer demand.

Takt Time

Amount of production time per shiftnumber of products needed by the customer per shift

= amount of time to produce one product

7.5 hrs/shift x 60 minutes/hr x 60 seconds/min.450 products needed by customer/shift

= 27,000 seconds/shift450 products

= 60 Second Takt Time

Example :

Cycle Time

The amount of time to process one unit

Includes human and machine work,

walking time, and waiting time

Determine by observing the actual time

to process one part

A B C D E

Step A1Step B1

Step A2Step B2

Step A3Step B3

Step C1

Step C2

Step C3

Step C4

Step C5

Step E1

Step E2

Step E3

Step E4

Step E5

Step D1

Step D2Step D3Step D4Step D5

Operators

Takt Time ( 60 sec )

Step A4

If Takt Time and Cycle Time are not the same, an imbalance exists in the operating system

If Cycle Time is less than or equal to Takt Time, production will satisfy customer demand

If Cycle Time is greater than to Takt Time, production cannot satisfy customer demand

Takt Time and Cycle Time

Takt Time and Planned Cycle Time

Takt Time is based ONLY on customer demand and available minutes for production.

Planned Cycle Time is the required production rate to satisfy customer demand allowing for scrap, downtime, change-overs, inefficiency, or other losses to production.

A B C D E

Step A1Step B1

Step A2Step B2

Step A3Step B3

Step C1

Step C2

Step C3

Step C4

Step C5

Step E1

Step E2

Step E3

Step E4

Step E5

Step D1

Operators

Step A4

Planned Cycle Time ( 52 sec )

Work SequenceWork Sequence refers to the series of steps in a single process that is

fastest, most efficient, of acceptable quality, and safe. When the work

sequence is carefully followed, the cycle time will be constant, no steps

will be forgotten, and the chance of equipment damage or other major

problems will be minimized.

2 3 45

10 9 8 76

Poor Good

Standard In-Process Stock

Sample Standard Worksheet from Toyota

Stack Chart - Line Balance

A B C D E

Step A1Step B1

Step A2Step B2

Step A3Step B3

Step C1

Step C2

Step C3

Step C4

Step C5

Step E1

Step E2

Step E3

Step E4

Step E5

Step D1

Operators

Step A4

# 1Blank

Cut &Fold

GlueUp

TissueCandy

43 sec

33 sec

Operators

# 2Blank

50 sec 48 sec

15 sec

Theoretical # Workers =Total Work Time

Takt Time=

43 + 33 + 50 + 48 + 15

72= 2.6 = 3 Workers

A B C D E

Step A1Step B1

Step A2Step B2

Step A3Step B3

Step C1

Step C2

Step C3

Step C4

Step C5

Step E1

Step E2

Step E3

Step E4

Step E5

Step D1

Operators

A B C D E

Step A1Step B1

Step A2Step B2

Step A3Step B3

Step A4 Step C1

Step C2

Step C3

Step C4

Step C5

Step E1

Step E3

Step E4

Step E5

Step D1

Step D2Step D3Step D4

Step D5

Operators

Step A4

Step E2

One Piece Flow

Just-In-Time Systems

Mass ProductionMaterial

ReceivingWarehouse

Rework

Storage Weld

Assembly

ShippingWarehouse

Storage

Value added time =minutes

Time in plant =WEEKS

Mass ProductionMaterial

ReceivingWarehouse

Rework

Storage Weld

Assembly

ShippingWarehouse

Storage

Value added time =minutes

Time in plant =WEEKS

Two Big Problems Large Batch Production Poor Flow

Within processes Between processes

Station CStation A

Station BBatch & Queue

The Basic Philosophy of Lean Production

What is Needed (Sold) When it is Needed In the Amount Needed (with the Minimum Materials, Equipment, Labor and Space)

HOW TO MANUFACTURE MOST ECONOMALLY:

But This Assumes: Equal Cycle Times Physical Proximity of Processes Highly Stable Processes Little/No Changeover Time

IDEAL = One Piece FlowIDEAL = One Piece Flow

Station CStation A

Station BBatch & Queue

Workcell

One Piece Flow

But This Assumes: Equal Cycle Times Physical Proximity of Processes Highly Stable Processes Little/No Changeover Time

IDEAL = One Piece FlowIDEAL = One Piece Flow

Just-In-Time is NOT a Zero

Inventory System.

Kanban Tool for Real Time

control of MaterialsPart #

Storage Area Address

Flow Rack 15CDescription

Quantity / Box

Number of Cards:

Date Issued:

_______ of ________

February 1, 2012

Production Withdrawal Kanban

11227T

Left Hand Headrest Tube

Goal: Elimination of waste.

Lean Production: Model = TPS

Customer Order

FG Delivery

Customer Order

FG Delivery

Kanban: Order to Make

Replenish FG Taken

Part #

Quantity / Box

Number of Cards:

Date Issued:

_______ of ________

February 1, 2012

11227T

Production Instruction Kanban

Replenish Parts Taken

Kanban: Order to Take

Part #

Quantity / Box

Number of Cards:

Date Issued:

_______ of ________

February 1, 2012

11227T

Kanban: Order to Take

Part #

Quantity / Box

Number of Cards:

Date Issued:

_______ of ________

February 1, 2012

11227T

Information flow

Material flow

Lean Production: Model = TPSPart #

Quantity / Box

Number of Cards:

Date Issued:

_______ of ________

February 1, 2012

11227T

Information flow

Material flow

Time Cash

Part #

Quantity / Box

Number of Cards:

Date Issued:

_______ of ________

February 1, 2012

11227T

Information flow

Material flow

Time Cash

Taiichi Ohno: “Reduce the time line by removing non-value added wastes.”

Operations Tools

Lean Tools

MRP Waiting Lines

Kanban

Standard Work

Operations Tools

Lean Tools

MRP Waiting Lines

Kanban

Standard Work

TPSGenchi Genbutsu

Heijunka

Kaizen

Toyota Production System and Lean Tools

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