Kaizen
Continuous Improvement
Paul Howlett
Presentation Outline
Kaizen Introduction and examples Enablers for Kaizen
Lean Management Mentoring Metrics
Conclusions
Womack and Jones
Understanding Value Looking at the Value Stream Continuous Flow Pull Principle Pursuit of Perfection
DNA of the Toyota Production System
Steve Spear / Kent Bowen
Work is highly specified as to the content, sequence, timing, and outcome Customer-supplier relationships are direct Product or service pathway must be direct Improvements are to be made according to a scientific method
Answer this Question?
10 high paid experts (Six Sigma Type) save the company $250K per year per project for a total savings of $2.5M 1000 employees geared to save $200 per project per month for an annual savings of $2.4M
Look at it this way
If we happen to have 1000 problems solvers we gain Time Value of money Rapid detection of problems Minimizing Risk
How do we transform our enterprise?
Toyotas Kaizen Approach
Highly systematic Way of thinking Elimination of Waste Look for weaknesses and improve them All aspects of the business
Different Forms
Kaizen events Focused or Point Kaizen Kaizen Blitz A3 Problem Solving
Example 1
5 S workshops Kaizen Event
Example 2
Before
Excess Work in Process Inventory Operators waiting for machines No Teamwork
After
WIP is eliminated Continuous Flow in the line Everyone works as a team
Example 3
Evolution of process improvement during the past few years A series of Value Stream Maps events had been performed
Introduction
This example of Value Stream Mapping shows the proper use of the tool and provides an example of the effectiveness of the tool and how it is used to identify targets for improvement that are achieved through kaizen
Lost Core Manufacturing Cell
First VSM session
First VSM Session - Initiatives
Improve the FPY for the DFL area Minimize the inventory levels in this area Increase throughput by running masters at lunch breaks Recover metal rejects immediately
2nd Session
2nd Session Improvement - Initiatives
Focused on the reduction of WIP at the DFL area identified for rework Identify the need for a uniform relieve strategy for breaks and lunches Managing the WIP Inventory for the assembly cells
3rd VSM Session
Key Initiatives from 3rd Session
Improve the changeover for Assembly Cell 1 Develop a scrap team to focus on ABU and 'Curlies' Move to a 5 day work schedule from the current continental 7 day schedule Identify WIP inventory management
Improvement Findings
Head count Year '02 Mould Asm Inventory counts WIP FG Raw Scrap% OEE Availability Operating Efficiency Quality Rating Overall OEE '03 '04 20% decrease 25% decrease 50% Decrease 25% Decrease 60% Decrease 56% Decrease 25% increase 7% increase 6% increase 39% increase
Example 4 Kaizen in Process Development
No Flow Process
Developing a Systematic Approach
Starting with TAKT and moving through to station design Starting off with Continuous Flow Building Flexibility in equipment Balancing the workload and number of operators based on TAKT Incorporating Material Handling
Progression to Improvements
Initial Concept
Final Concept
Enablers for Kaizen
Lean Management Mentor or Facilitator Metrics geared toward behaviour change
Traditional Management
Functionally Oriented Organize
Manager Supervisor Supervisor
Job Classification Employees
Lean Management
Process Oriented Organize Coach
Teammates
Lean Management
Asks the questions Trying things out or getting others to try things Not trying to be right but trying to understand the problem in order to make it right Foster Learning by exposing problems, developing countermeasures and evaluating solution.
Lean Management adaptability
Set based product design J-I-T Capacity increase capacity incrementally Flexible operating pattern Manage production lines via TAKT Use standard work as the basis for continuous improvement
Lean Mentor
The facilitator helps people understand the method Provides guidance and education to the group Helps people through the obstacles to change
Metrics
Key performance indicators that reinforce a lean approach Not necessary for KPIs to be tied to the bottom line Understand how the KPIs affect the bottom line
Summary
Kaizen is at the heart of any Lean Transformation It helps if there are proper enablers Key element is for everyone to do their part and results will come
