Introduction To Lean And Kaizen - OwnersEdge Inc

Introduction to Lean and Kaizen

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Introduction to Lean Initiatives and Methods Learn it. Lead it. Live it. History and Definition of Lean Value vs Waste Tools Value Stream Map (identifying value and waste) Sig Sigma (eliminating variability) Quick Response Manufacturing (QRM) (eliminating wait time) 5S (organization) Nominal Group Technique (team-based problem solving) Kaizen (team-based improvement event)

Click to edit Definition of Lean Master title style Quick history: https://www.youtube.com/watch?v v2KN8CCfu E https://sixsigmastudyguide.com/history-of-lean/ Definition Lean is a methodology that focuses on minimizing waste within a business or process while working to maximize quality and productivity. Define value Map the value stream Create flow Establish a pull system Pursue perfection (continuous improvement) 4

Click to Value vsedit Waste Master title style *As a customer, define what value means to you (raise hands) Value Anything the customer is willing to pay for. Process: must change the form or function of the product or service. Waste (aka Non-Value Add) Any expense or effort that is expended but which does not transform raw materials into an item the customer is willing to pay for. Essential waste is any waste that cannot be removed from the process. It must be done, but the customer doesn’t value it. The goal in lean is to eliminate as much waste as possible. So, how do we do that? 5

Click to edit Master Understanding the types title style of waste *Give me examples of waste in your processes. (chat) The 8 Wastes of Lean Defects - Products or services that are not acceptable to the customer. Overproduction - Making products faster, sooner, or in greater number than needed. Waiting - Employees waiting for products to be worked on or for information to be processed. Transportation - Transportation as a waste means that products are moved from Point A to Point B without adding any value. Inventory - Materials, information, work in process and finished goods that are not stocked and supplied in the most efficient way possible. Motion - Wasted movement that does not add value. Extra processing - Doing more steps than required within a process or more than what customers will pay for. Non-utilized talent - Not using everyone’s talent to solve challenges, or even worse, not consulting them at all. 6

Click to Value Stream edit Master Maps title style Value stream mapping (VSM) is a visual lean tool that utilizes a standardized flowchart documenting system to capture every step in the lifecycle of a process. It is a fundamental tool to identify value, waste, ownership, and implement process improvement. The map enables a team to: 1. Analyze the current state. 2. Identify waste and problems. 3. Design the future state to eliminate waste. 4. Work through change management. 5. Measure changes and adjust. 6. Hold everyone accountable. 7

Click to Value Stream edit Master Maps title style 8

Click to Value Stream edit Master Maps title style 9

Click Six Sigma to edit Master title style Six Sigma is a lean methodology that focuses on the reduction of variability to increase quality and productivity. Six Sigma is rooted in a quantitative set of tools to drive process improvement. Such tools include statistical process control (SPC), control charts, failure mode and effects analysis (FMEA), and process mapping. The intent is that decisions are made using verifiable data and statistics, rather than assumptions. Creating consistency and reliability within the business, which builds quality, efficiency, and trust. Sig Sigma uses the DMAIC process Define Measure Analyze Improve Control 10

Click Six Sigma to edit Master title style Six Sigma is highly dependent on math and data. A six sigma process is one in which 99.999% (often called 5 9’s reliability) of all opportunities to produce something is statistically expected to be free of defects. What does 5 9’s reliability look like? It means 5.25 minutes of downtime per year, or 3.4 defects in a million opportunities. *What types of business require Six Sigma quality? (chat) What products or services does your company produce that meets that? Which ones do not? 11

Click to Quick Response edit Master Manufacturing title style (QRM) Summary: Manufacturing approach focused on reduction of wait time within internal and external lead times. 1. Time has value 2. Org Structure 3. System Dynamics 4. Must be Enterprise-Wide Principles can apply to the office in the form of a Quick Response Office Cell 12

Click to Quick Response edit Master Office title Cell style (Q-ROC) Example: Server Manufacturing – Standard Product Line Traditional Linear Release Process 12 weeks Departments Involved: Customer Service Purchasing Project Management Design Engineering Materials/Inventory Management Manufacturing Engineering Production Customer wants a quick time to market on slight modifications. 13

Click to Quick Response edit Master Office title Cell style (Q-ROC) Example: Server Manufacturing – Modification to Standard 3 team members cross trained in all processes. Team members rotate roles (PM, Engineer, Operations) Co-located in the same "Office Cell" Q-ROC Release Process 2-3 weeks Goal/Metric 10 business days or less Departments Involved: Q-ROC Production 14

Click to edit Master title style 5S Originated from "Just in Time" manufacturing concepts developed in Japan. Sort (seiri) Remove any unnecessary items from the workspace Set in Order (seiton) Optimize placement of needed items for optimal efficiency Shine (seiso) Sweeping, cleaning and inspecting tools or machines consistently Standardize (seiketsu) Establish expectations and metrics for the prior 3. Sustain (shitsuke) Training, reinforcement of expectations and celebrate success 15

Click to edit Master title style 5S The spirit of 5S is “a place for everything, and everything in its place”. What areas of your business (or home) do you think could use some 5S? 16

Click to edit Nominal Group Master Technique title style When trying to solve a problem, especially a complex one, there is a set of tools that when brought together make a powerful process that can draw out ideas, create natural groupings, and determine the best solution options. The more cross functional the team involved, the more successful this process is. 4 Step Process: 1. Brainstorming (Ideation) 1. A means to draw out both problems and solution ideas from the team. 2. A freethinking process intended to get outside the norms to discover “how might we” define and solve a problem. 3. Team members briefly present their ideas to group with a small amount of time allotted for clarification. 2. Affinity Diagram (grouping) 1. A team-oriented process of finding natural groups and relationships of the brainstorming info. 17

Click to edit Nominal Group Master Technique title style 3. Decision Making (impact analysis, ranking, and voting) 1. This process uses the information from the Affinity Diagram and steps through a simple analysis to understand things like probability, risks, how solving the problem might positively impact the business, and how much effort it will take. Then then team can rank the solutions and vote on which actions to move forward with. 4. Execution 1. Now the team can use whatever project management techniques they are familiar with to execute the actions, along with measuring the results over time and reporting with some regular frequency back to the team and leadership. 18

Introduction to Kaizen Learn it. Lead it. Live it. Define Kaizen Understand the spirit of Kaizen Team approach The process

Kaizen - Definition Click to edit Master title style 改善 *What does Kaizen mean? (chat) Change – Good Lean tool used for continuous improvement and waste elimination. “Change can be threatening when done to us, but exhilarating when done by us.” 21

Kaizen Event - Definition Click to edit Master title style A kaizen is a highly focused event aimed at producing a stepfunction process or performance improvement in a short amount of time, in a narrowly targeted area. 22

Kaizen Event – The Spirit of Kaizen Click to edit Master title style 1. Applies almost anywhere. 1. *Building a Deck analogy. 2. Kaizen example. 2. Make an improvement in a short amount of time and make your world better now! 3. Team oriented 1. Goal oriented, cross functional, collaborative, energetic, results (the desire to win!). 4. Cross the finish line! 23

Kaizen Event – The Spirit of Kaizen Click to edit Master title style 5. Learn the process, do the process, master the process, teach the process. Roles Learn Do Master Teach Particpants Co-Leader Leader Coach 24

Kaizen Event – Team Rules Click to edit Master title style The following team rules are a best practice guideline and can be adjusted as necessary for each event. In some cases, the team rules can be created by the team themselves with guidance from the leader. Titles are checked at the door Participation is required Be honest and respectful There are no stupid questions Be on time Complete the kaizen goals! Have fun! Or else! 25

Kaizen Event - Phases Click to edit Master title style There are 5 phases to running a successful kaizen event: 1. Charter (Evaluation/Approval) 2. Planning Plan the work 3. The kaizen event itself work the plan 4. Report out 5. Follow-up (actions and communication) 26

Summary Learn it. Lead it. Live it. Lean is focused on the elimination of waste Tools Value Stream Map (identifying value and waste) Sig Sigma (eliminating variability) Quick Response Manufacturing (QRM) (eliminating wait time) 5S (organization) Nominal Group Technique (team-based problem solving) Kaizen (team-based improvement event)

Click edit Master title style Any toquestions or comments? Thank you! 28

Kaizen Event -The Spirit of Kaizen 1. Applies almost anywhere. 1. *Building a Deck analogy. 2. Kaizen example. 2. Make an improvement in a short amount of time and make your world better now! 3. Team oriented 1. Goal oriented, cross functional, collaborative, energetic, results (the desire to win!). 4. Cross the finish line!