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Just-in-Time (JIT)
Producing the product at the correct time in the correct amount to meet the customers requirements No More, No less. The opposite of
Just-In-Time is Just-In-Case; avoid this temptation.

Change Agent
Someone who will lead the company from the traditional manufacturing mentality to becoming a Lean Organization. This person may come
from within or outside the company.

Error Proofing
(Japanese Poka-Yoke) Also called Mistake Proofing. A system that addresses both the product and the processes to detect errors before they
become defects.

Five S's
A method of workplace organization and visual controls developed by Hiroyuki Hirano.
Japanese "S" American "S"


Seiri (Organization) Sort
Seiton (Tidiness) Set in order
Seiso (Purity) Shine
Seiketso (Cleanliness) Standardize
Shitsuke (Discipline) Sustain

Inventory Turns
How many times you can Turn your money over in a year. This is expressed as a ratio of the total inventory to the annual sales. Example:
If the dollar value of the inventory (a number that probably must be reported to both your banker and the government) is $5,000,000 and
the annual sales is $25,000,000, the inventory turn is five. If the inventory can be reduced to $1,000,000, the inventory turns become
25. Increasing your inventory turns may require a paradigm shift by your banker, who may think inventory is something of value rather than
MUDA.

Just-in-Time (JIT)
Producing the product at the correct time in the correct amount to meet the customers requirements No More, No less. The opposite of
Just-In-Time is Just-In-Case; avoid this temptation.

Kaizen
The Japanese word for continuous improvement to eliminate waste. As the name implies, with continuous improvement you are never done;
even the improvement can be improved.

Lead Time
The time that is required from receipt of order until shipped to the customer.

MUDA
The Japanese word for waste or any activity that does not add value to the customer.

One-Piece Flow
Moving the product through each operation (both in the manufacturing and in the office) as a single part, never handled in batches.

Operator / Machine Balance Charts
A systematic method of measuring the work being done within the cycle time of the operation. The work is then divided into:
Value Added Time
Incidental Work
Waste (MUDA)

Parts Per Million (PPM)
The number of defective parts the customer receives per million parts shipped. This can be used to measure your supplies as well as your
customer use to measure you.

Paradigm Shift
Changing ones concept as what was believed to be correct. For example:
A production machine must be kept running all the time.

to

Its ok for a production machine to be idle, but not ok for an operator to be idle.

Waste is scrap and rework

2

to

Waste is anything that doesnt add value to the product

or

Waste is anything for which the customer is not willing to pay.

Poka-Yoke
Also called Error Proofing, Mistake Proofing or Zero Quality Control (ZQC). Poka-Yoke operators are not blamed for the errors, but instead find
ways to keep errors from becoming defects. When used with other Lean Principles, Poka-Yoke can be a very valuable tool in the overall Lean
Manufacturing process.

Production : Skilled
The ratio of the number of production operators to the number of skilled trades personnel.

Sensel
The Japanese word for teacher. In acquiring Lean Knowledge the Sensel often is personally involved with the student.

TAKT
The German word for Pace or Rhythm. Used in Lean as the rhythm of the plant; i.e., if the customer wants a part every 30 seconds, the plant
(or the Lean Cell) should feel the heart beat of producing a part every 30 seconds.

TAKT Time
Total available production time divided by the customer requirement. Note: Include all planned activities such as clean-up, safety meetings,
etc.

For Example:

(1) 8 Hour Shift = 480 Minutes (2) 10 Minute Breaks=460

1840 Pieces / Day Customer Requirements
TAKT Time = .25 minute or 15 seconds

Traditional Manufacturing
(Mass Production) Grouping like processes together (paint, welding fabrication, etc.) and then making large batches of a part and holding
them in queue waiting for the next process. Also called Batch and Queue.

Value Stream Mapping
A systematic method to identify all the activities (door-to-door) required to produce a product or product family. The Map will include both
the flow of the material and the flow of information. It should first be used to describe the current state and then redone to depict the future
state.

http://www.m2globalsolutions.com/definitions/value_stream_mapping.html ***** PHW 18122010