Top Banner
Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson & Johnson Brandywine Manufacturing Center West Chester, PA
36

Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Feb 16, 2020

Download

Documents

dariahiddleston
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Page 1: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Deploying the Complete Lean Daily Management System

Matthew Diehl Lean Manager

DePuy Synthes Companies of Johnson & Johnson Brandywine Manufacturing Center

West Chester, PA

Page 2: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Deploying the Complete Lean Daily Management System

CONTENTS

• Lean Daily Management System

• Employee Improvement System

• Change Management

• Leader Development

• Coaching Strategies

• Business Results

Page 3: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Site Overview

• 285 Employees

• $70 MM operating budget

• 700K units per year

• 3,010 SKU’s

Page 4: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Site Overview

• Machining

• Chemical Finishing

• Assembly

• Laser Etching

• Packaging & Labeling

Page 5: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Product Overview

Page 6: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Operational Excellence Strategy

Page 7: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Theory Practice Results

Page 8: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Lean Daily Management System

A visual daily performance

management system is:

Visual Timely Drives Action

& Learning

Page 9: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Guiding Principles for Success

Page 10: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Critical Success Factors

Page 11: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Elements of a Lean Daily Management System

Page 12: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Visual Controls

Page 13: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Visual Controls

Page 14: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Visual Controls

P

Q

V

E

People

Quality

Velocity

Efficiency

Plant Level (Tier 3)

Department Level (Tier 2)

Cell Level (Tier 1)

Page 15: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Visual Controls combined with disciplined Leader Standard Work

P

Q

V

E

People

Quality

Velocity

Efficiency

Plant Level (Tier 3)

Department Level (Tier 2)

Cell Level (Tier 1)

Page 16: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Leadership is Essential

“more than 70 percent of failures are driven by unproductive management behavior and negative employee attitudes” Keller & Price authors of Beyond Performance

"Soft leadership and culture boosts or blocks strategy, structure, and change initiatives”

Jim Clemmer, author of The Leader's Digest

"Leadership and management are two distinctive and complementary actions. Both are necessary for success … The real challenge is to combine strong leadership and strong management and use each to balance the other." John Kotter, Author and Professor of Organizational Behavior, Harvard Business School

Page 17: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Manage Things and Lead People

Jim Clemmer, author of "The Leader's Digest: Principles for Team and Organization Success"

Page 18: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Leader

Standard Work Visual

Controls

Accountability

& Discipline + + Safety

Quality

Delivery

Cost

Complete Lean Management System

Management Leadership

- Standard Work

- Visual Controls

- Accountability

- Discipline

- Communication

- Trust

- Direction

- Coaching

LEAN DAILY MANAGEMENT

Beliefs Behaviors Actions LEAN

LEADERSHIP

Page 19: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Who was asked to Change?

• Plant Manager … morning meeting held on the shop-floor (not in his office)

• Business Unit Managers … Standard Mgt Work

• Supervisors … cell-by-cell daily performance reviews with operators

• Operators … update their own daily KPIs

• Engineers … engage operators in daily learning

Page 20: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Change Management was critical

Page 21: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Change Management was critical

Page 22: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

“First week” Results Machinists discuss rare scrap event,

identify inconsistency in inspection

standard work and triggers

management awareness to a non-

conformance quality problem

Page 23: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Assembly operators find new

communication techniques to

“see” delayed components

upstream in their value stream

that prevent assembly

production according to the

daily build schedule

“Next Week” Results

Page 24: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

The “soft stuff” is the hard work

Page 25: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Lean Leadership Development

Session #1 Lean Management

Session #2 Gemba Walk Coaching

Session #3 Lean Leadership

Page 26: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Results from our LDMS Deployment

Contributions in the first 90 days

• 66% reduction of historical

overtime costs

• Work Order lead time improved

20%

Page 27: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Visual Continuous Improvement Process

Page 28: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Employee Engagement is

Good for Business

Page 29: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

People in Teams Drive Performance

“Everyone has 3 Jobs”

Page 30: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Let Employees Drive Innovation

Visual Improvement Idea Management (by the employees for the employees)

Page 31: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Idea

Accepted

Generate

Ideas Engineer

WIP

Engineer

Complete

Idea

Accepted

Generate

Ideas

Operator

WIP

Engineer

WIP

Operator

Complete

Engineer

Complete

Our Employees Driving Innovation

The “OFI” Form

Page 32: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

The “OFI System” … our Kaizen Promotion Office

225

560

845

1,131

1,233

0

100

200

300

400

500

600

700

800

900

1,000

1,100

1,200

Jan

-10

Mar

-10

May

-10

Jul-

10

Sep

-10

No

v-1

0

Jan

-11

Mar

-11

May

-11

Jul-

11

Sep

-11

No

v-1

1

Jan

-12

Mar

-12

May

-12

Jul-

12

Sep

-12

No

v-1

2

Jan

-13

Mar

-13

May

-13

Jul-

13

Sep

-13

No

v-1

3

Jan

-14

Mar

-14

May

-14

Jul-

14

Sep

-14

No

v-1

4

Cummulative Number of OFI's ImplementedBrandywine Palnt 2010 - 2014 YTD

194

Page 33: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Brandywine Scrap and ReworkPlant Overall Percent - Last 13 Months

0

2,000

4,000

6,000

8,000

10,000

Jul-11

Aug-1

1

Sep-1

1

Oct-

11

Nov-1

1

Dec-1

1

Jan-1

2

Feb-1

2

Mar-

12

Apr-

12

May-1

2

Jun-1

2

Jul-12

Month

Un

its S

cra

pp

ed

/Rew

ork

ed

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

Perc

en

t

run scrap (units) rework (units)

setup scrap (units) run scrap + setup scrap + rework (%)

Linear (run scrap + setup scrap + rework (%))

1.89% 1.93%

1.24% 1.13%

Goal

1.73%

Q3- 2011 Q4- 2011 Q1- 2012 Q2- 2012

Impact on Quality

Page 34: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

YR -1

LDMS

YR 0 YR +1 YR +2

%

Improved

First Pass

Acceptance Rate

(%) 97.5% 98.5% 99.2% 99.2%

Non-Conformance

Rate (%) 2.5% 1.5% 0.8% 0.8% 68%

Scrap & Rework % 2.1% 1.9% 1.2% 1.0% 52%

Velocity (days) 5.9 4.0 3.3 3.5 41%

WIP Turns (component inventory)

8 26 31 23 188%

Long-Term Performance Trends

EfficiencyEfficiency

QualityQuality

Velocity

Page 35: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

DAILY VISUAL MANAGEMENT

“LEAN LEADER” STD WORK

COMMUNICATIONS

DAILY VISUAL MANAGEMENT

“LEAN LEADER” STD WORK

COMMUNICATIONS

Daily Communications for Great Performance

and Continuous Improvement

Page 36: Deploying the Complete Lean Daily Management System · 2015-10-27 · Deploying the Complete Lean Daily Management System Matthew Diehl Lean Manager DePuy Synthes Companies of Johnson

Thank You!

Please complete the session survey at:

www.ame.org/survey

Session: WP30 Deploying the Complete Lean Daily Management System

Matthew Diehl DePuy Synthes Companies of Johnson & Johnson

[email protected]