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*The processes used to accomplish the assembly of the components can be divided into
three major categories,
Assembly Systems
*There are various methods used in industry to accomplish the assembly processes.
Major methods can be classified:
1. Manual Single-Station Assembly
*Consist of a single workplace to accomplish the product or some major subassembly of
the product.
*Generally used on a product that is complex and produced in small quantities, one or
more workers depending on the size of the product and the production rate.
*Such as machine tools, industrial equipment, aircraft, ships and complex consumer
products (appliances, car,)
2. Manual Multi Station Assembly
*Consist of multiple workstations in which the assembly work is accomplished as the
product (subassembly) is passed from station to station along the line.
*At each workstation one or more human workers perform a portion of the total
assembly work on the product, by adding one or more components to the existing
subassembly.
3. Automated Assembly System
*Use of automated methods at the workstations rather than human beings.
Disadvantages
- Disadvantages of assembly line production are based on the worker’s point of view.
Because little training is generally required, wages may not be very competitive. The
work itself can also be extremely repetitive and monotonous, offering little in the way of
mental stimulation and creative critical thinking.
- Large capital requirement
- long time to get set up
- not suited to custom parts or frequent design changes.
2. The Line Balancing
*The line balancing is to arrange the individual processing and assembly tasks at the
workstations so that the total time required at each workstation is approximately the same.
*If the work elements can be grouped so that all the station times are exactly equal, we have
perfect balance on the line and we can expect the production to flow smoothly.
*In most practical situations it is very difficult to achieve perfect balance. When workstation
times are unequal, the slowest station determines the overall production rate of the line.
3. 5’S or 5C
5’S technique was first developed and followed in Japan by Toyota. 5 C is British Term.
5C Workplace Organization:
5C workplace organization for lean manufacturing is a method to ensure that your working
environment is organized into a safe, efficient, ergonomic working space with clear visual
management. 5C has been developed from the Japanese tool 5S (Part of Lean Manufacturing) and is
basically the same thing by a different name. The idea of implementing 5C is to eliminate or reduce
the impact of the seven wastes on your working environment.
4. Lean Manufacturing:
A systematic approach in manufacturing to identifying & eliminating Muda -
waste through continuous improvement. It aims to provide perfect value to customer
through a perfect value creation process with Zero waste.
Lean manufacturing includes a set of principles that lean thinkers use to achieve
improvements in productivity, quality, and lead-time by eliminating waste
through kaizen. Kaizen is a Japanese word that essentially means "change for the
better" or "good change."
There are many tools and concepts that lean companies employ to support the above
principles and eliminate waste. Here are 12 of the most critical ones for you to know:
A. Just-In-Time (JIT)
B. Takt Time
Takt time is the pace of production (E.g. in Manufacturing one piece every
minute) that aligns production with customer demand
In plain English, it is how fast you need to manufacture product in order to fill
your customer demand
Takt Time is the pace or rhythm of work production needed to meet customer
demand. Takt time is the average rate at which a company must produce a product
based on the customer's requirements and available working time.
Takt = T/D
Process Steps:
a. Select a product family, b. Document the current state, c. Understand the customer
demand, d. Map the Process flow, e. Map the material flow, f. Map the information flow,
g. Calculate the total product cycle time, h. Develop future state vision, i. Create an
implementation plan, j. Implement the plan, measure improvement.
Symbols/icons:
Single-piece flow means that parts are moved through operations from step to step with no
work-in-process (WIP) in between either one piece at a time or a small batch at a time.This
concept emphasizes reducing the batch size in order to eliminate system constraints. In
this flow, either material can be move in sequence or man and material can be move in
sequence.
Kanban (literally signboard or billboard) is a scheduling system for lean and just-in-time
(JIT) production. Kanban is a system to control the logistical chain from a production point of
view, and is not an inventory control system. Kanban was developed at Toyota, to find a system
to improve and maintain a high level of production. Through Kanban System a customer
process signals a supplying process to produce a product or deliver product when it is
needed. Kanban is one of the Lean tools designed to reduce the idle time in a production
process. Kanban is the also called as a pull system.
To ensure a proper setup of Kanban in the workplace, Toyota has provided us with
six rules for an effective Kanban system:
Step -1 - Define the Non-Conformity - When and where did it occur? What is the
significance of the problem? The first step in the process is to define the problem.
Step -2 - Analysis the Root Cause - Once the problem is defined, it is important to
uncover the root causes of the problem and to understand how they interact with one another.
Collect a sample of data related to the problem and conduct a root cause analysis to identify the
reasons why the problem exists.
a) The ‘5 Whys’:
The ‘5 Whys’ is the simplest method for structured root cause analysis. It is a question
asking method used to explore the cause/effect relationships underlying the problem. The
investigator keeps asking the question ‘Why?’ until meaningful conclusions are reached.
Step -3 - Create Proposed Action Plan & Define Time plan- Identify solutions based on
the results of the root cause analysis and perform a cost/benefit analysis and schedule the time
plan to implement the solution. Solutions are specific actions that control root causes of the
problem.
Step -4 - Implement Proposed Action- Implementing the right solutions with scheduled
time plan.
Step -6 - Verification & Monitoring of Effectiveness - Controlling or monitoring the
results will keep the problem from happening again. The best solutions are those that prevent
problems from recurring, are controllable and meet the needs of the customer.
Single-Minute Exchange of Die (SMED) is one of the many lean production methods for
reducing waste in a manufacturing process. It provides a rapid and efficient way of converting a
manufacturing process from running the current product to running the next product. This
rapid changeover is key to reducing production lot sizes and thereby improving flow (Mura).
Reduce setup (changeover) time to less than 10 minutes. Techniques include,
Convert setup steps to be external (performed while the process is running)
Simplify internal setup (e.g. replace bolts with knobs and levers)
Eliminate non-essential operations
Create standardized work instructions
Lower manufacturing cost (faster changeovers mean less equipment down time)
Smaller lot sizes (faster changeovers enable more frequent product changes)
Improved responsiveness to customer demand (smaller lot sizes enable more flexible
scheduling)
Lower inventory levels (smaller lot sizes result in lower inventory levels)
Smoother startups (standardized changeover processes improve consistency and quality)
Kaizen Japanese for "improvement" or "change for the best", refers to philosophy or
practices that focus upon continuous improvement of processes in manufacturing,
engineering, business management or any process. It has been applied in healthcare,
psychotherapy, life-coaching, government, banking, and other industries. When used in the
business sense and applied to the workplace, kaizen refers to activities that continually
improve all functions, and involves all employees from the CEO to the assembly line workers. It
also applies to processes, such as purchasing and logistics that cross organizational
boundaries into the supply chain.
• These continual small improvements add up to major benefits. They result in
improved productivity, improved quality, better safety, faster delivery, lower costs,
and greater customer satisfaction.
• Kaizen provides immediate results. Instead of focusing on large scale
improvements, which involve capital intensive, Kaizen focuses on creative
investments that continually solve large numbers of small problems.
• Kaizen aims at below,
Planned Maintenance:
Quality Maintenance:
•Developing Perfect Machine for Perfect Quality.
•Eliminating In-Process defects and customer complaints.
Development Management:
•Developing machines for "high equipment effectiveness.
•Quick process for developing new products.
Office TPM:
•Offices oriented for Excellent support for manufacturing.
•Improving Offices Man-hour efficiency.
It calculates as,
Performance of the machine = Total Output (Ok+Rej Part) x Cycle time per part
Actual Available time after losses
L. 5 S
5S is a five step methodology aimed at creating and maintaining an organized
visual workplace. This system aids in organizing, cleaning, developing, and sustaining a
productive work environment.
A system for identifying and solving problems to their root cause and then
implementing counter measures with monitoring.
5. 7 Wastes
The Toyota Production System (TPS) identified three types of waste which should be
eliminated in their quest for Lean. Reducing waste is a good way to increase profitability. These
three types of waste – Japanese terms – are:
This type of waste can be reduced by keeping very little or no inventory. Inventory which is
produced and not sold, which then sits in a warehouse or on a shop floor merely taking up
space is wasteful. Rather, by introducing Just In Time (JIT) production strategies, little or no
inventory will need to be held because systems are in place to produce the right part at the right
time (i.e. only when needed) in the right quantities.
This type of waste can be reduced by ensuring standardization. To illustrate by example, let’s say for
instance that there are 3 separate groups of shift workers who do an identical work on Section A of the
assembly line. These 3 groups were trained separately, and were taught to do the same job in a slightly
different way. This inconsistency or non-standardized work could cause defects in the assembly line,
which could have a negative impact on the work done at Section B in a later part of the assembly line.
The defects are waste because they could cause rework at Section A and work stoppages at Section B
while Section B waits for Section A to complete the re-work. If these defective products make it onto the
shop floor, there is further waste as a result of customer returns.
When a product or service is produced or rendered, a certain amount of resources are required
to do so. When more resources are used than are truly required to do the work, this is
considered as waste. To eliminate this type of waste, processes are critically reviewed and
divided into either value-adding work, or waste. These processes are then redesigned to
eliminate non-value-adding work.
Waste reduction is a major part of lean manufacturing; the benefits of lean manufacturing are huge,
it can help reduce your costs significantly adding to your profit. As well as these monetary gains it
also helps you to reduce your lead times and service your customer much better. Reducing the
seven wastes as part of a waste prevention program will add a huge percentage to your bottom line.
A useful way to remember the seven wastes of lean manufacturing is the useful mnemonic
TIMWOOD;
The wastes of;
Transport,
Inventory,
Motion,
Waiting,
Overproduction,
Over-processing,
Defects.
It calculates as,
TQM Tools
The following are some of the most common TQM tools in use today. Each is used for,
and identifies, specific information in a specific manner. It should be noted that tools
should be used in conjunction with other tools to understand the full scope of the issue
being analyzed or illustrated. Simply using one tool may inhibit your understanding of
the data provided, or may close you off to further possibilities.
Histograms
· To illustrate and examine various data element in order to make decisions regarding
them.
· Effective when comparing statistical, survey, or questionnaire results.
Run Chart
· Follows a process over a specific period of time, such as accrual rates, to track high
and low points in its run, and ultimately identify trends, shifts and patterns.
2
Pareto Charts / Analysis (designed by Vilfredo Pareto)
· Rates issues according to importance and frequency by prioritizing specific problems
or causes in a manner that facilitates problem solving.
Identify groupings of qualitative data, such as most frequent complaint, most commonly
purchased preservation aid, etc. in order to measure which have priority.
· Can be scheduled over select periods of time to track changes. They can also be
created in retrospect, as a before and after analysis of a process change.
Tree Diagram
· To identify the various tasks involved in, and the full scope of, a project.
· To identify hierarchies, whether of personnel, business structure, or priorities.
· To identify inputs and outputs of a project, procedure, process, etc.
Relations Diagram
· To understand the relationships between various factors, issues, events, etc. so as to
understand their importance in the overall organizational view.
PDCA
· The Plan-Do-Check-Act style of management where each project or procedure is
planned according to needs and outcome, it is then tested, examined for efficiency and
effectiveness, and then acted upon if anything in the process needs to be altered.
· This is a cyclical style to be iterated until the process is perfected.
8. Time Based or Condition Based Maintenance
(TBM/CBM):
Condition-based maintenance (CBM), shortly described, is maintenance when
need arises. This maintenance is performed after one or more indicators show that
equipment is going to fail or that equipment performance is deteriorating.
This concept is applicable to mission critical systems that incorporate active
redundancy and fault reporting. It is also applicable to non-mission critical systems
that lack redundancy and fault reporting.
Condition-based maintenance was introduced to try to maintain the correct equipment
at the right time. CBM is based on using real-time data to prioritize and optimize
maintenance resources. Observing the state of the system is known as condition
monitoring. Such a system will determine the equipment's health, and act only when
maintenance is actually necessary. Developments in recent years have allowed
extensive instrumentation of equipment, and together with better tools for analyzing
condition data, the maintenance personnel of today are more than ever able to decide
what is the right time to perform maintenance on some piece of equipment. Ideally
condition-based maintenance will allow the maintenance personnel to do only the right
things, minimizing spare parts cost, system downtime and time spent on maintenance.
The CM data collected is used in one of the following ways to determine the condition of
the equipment and to identify the precursors of failure:
o Trend Analysis. Reviewing data to see if a machine is on an obvious and
immediate “downward slide” toward failure. For trending purposes, a minimum of three
monitoring points before failure may reasonably be expected are recommended. Three
data points allow one to determine whether equipment condition depreciates linearly.
o Pattern Recognition. Looking at the data and realizing the causal relationship
between certain events and machine failure. For example, noticing that after machine x
is used in a certain production run, component ax fails due to stresses unique to that
run.
o Tests against Limits and Ranges. Setting alarm limits (based on professional
intuition) and seeing if they are exceeded.
o Statistical Process Analysis. If published failure data on a certain machine/
component exists, comparing failure data collected on site with the published data to
verify/disprove use that published data.
Improving Quality
Improving Efficiency
11. WIP Inventory/Turns – A commonly used ratio calculation to measure the efficient
use of inventory materials. It is calculated by dividing the cost of goods sold by the
average inventory used to produce those goods.
Ensuring Compliance
12. Reportable Health and Safety Incidents – A measure of the number of health and
safety incidents that were either actual incidents or near misses that were recorded as
occurring over a period of time.
13. Reportable Environmental Incidents – A measure of the number of health and
safety incidents that were recorded as occurring over a period of time.
14. Number of Non-Compliance Events / Year – A measure of the number of times a
plant or facility operated outside the guidelines of normal regulatory compliance rules
over a one-year period. These non-compliances need to be fully documented as to the
specific non-compliance time, reasons, and resolutions.
Reducing Maintenance
15. Percentage Planned vs. Emergency Maintenance Work Orders – This ratio
metric is an indicator of how often scheduled maintenance takes place, versus more
disruptive/un-planned maintenance.
16. Downtime in Proportion to Operating Time – This ratio of downtime to operating
time is a direct indicator of asset availability for production.
17. Rate of New Product Introduction – Indicates how rapidly new products can be
introduced to the marketplace and typically includes a combination of design,
development and manufacturing ramp up times.
18. Engineering Change Order Cycle Time – A measure of how rapidly design
changes or modifications to existing products can be implemented all the way through
documentation processes and volume production.
19. Total Manufacturing Cost per Unit Excluding Materials – This is a measure of all
potentially controllable manufacturing costs that go into the production of a given
manufactured unit, item or volume.
20. Manufacturing Cost as a Percentage of Revenue – A ratio of total manufacturing
costs to the overall revenues produced by a manufacturing plant or business unit.
21. Net Operating Profit – Measures the financial profitability for all
investors/shareholders/debt holders, either before or after taxes, for a manufacturing
plant or business unit.
22. Productivity in Revenue per Employee – This is a measure of how much revenue
is generated by a plant, business unit or company, divided by the number of employees.
23. Average Unit Contribution Margin – This metric is calculated as a ratio of the
profit margin that is generated by a manufacturing plant or business unit, divided into
a given unit or volume of production.
24. Return on Assets/Return on Net Assets - A measure of financial performance
calculated by dividing the net income from a manufacturing plant or business unit by
the value of fixed assets and working capital deployed.
25. Energy Cost per Unit – A measure of the cost of energy (electricity, steam, oil, gas,
etc.) required to produce a specific unit or volume of production.
26. Cash-to-Cash Cycle Time – This metric is the duration between the purchase of a
manufacturing plant or business unit’s inventory, and the collection of
payments/accounts receivable for the sale of products that utilize that inventory –
typically measured in days.
27. EBITDA – This metric acronym stands for Earnings before Interest, Taxes,
Depreciation, and Amortization. It is a calculation of a business unit or company's
earnings, prior to having any interest payments, tax, depreciation, and amortization
subtracted for any final accounting of income and expenses. EBITDA is typically used
as top-level indication of the current operational profitability of a business.
28. Customer Fill Rate/On-Time delivery/Perfect Order Percentage - This metric is
the percentage of times that customers receive the entirety of their ordered
manufactured goods, to the correct specifications, and delivered at the expected time.
1) Manual Cycle Time: The time loading, unloading, flipping/turning parts, adding
components to parts while still in the same machine/process.
2) Machine Cycle Time: The processing time of the machine working on a part.
3) Auto Cycle Time: The time a machine runs un-aided (automatically) without manual
intervention.
4) Overall Cycle Time: The complete time it takes to produce a single unit. This term is
generally used when speaking of a single machine or process.
5) Total Cycle Time: This includes all machines, processes, and classes of cycle time
through which a product must pass to become a finished product. This is not Lead
Time, but it does help in determining it.
(TCT) = Machine Cycle Time (MCT) [Man time + Machine Auto time] +
Set-Up Time (SET) per piece.
12. Bottleneck
Within a set of dependent steps, there is generally one step that defines the speed
at which the entire operation can run. This step is called the bottleneck because, just
like liquid coming out of a bottle, it limits the speed of the entire operation. The
bottleneck is often an important area of focus for improving the capacity of an
operation, since if the bottleneck's capacity can be increased it will often increase
overall capacity, while increasing the output of a non-bottleneck step may have no
effect.
14. Buffer
Interim storage where Work-in-process can be stored between steps in a process.
Sometimes an operation will have storage space where WIP from one step can
accumulate before being worked on by the next step. There can be a large number of
reasons for having a buffer. In larger operations, a buffer may be important in order to
make sure that the bottleneck is never starved for inputs. Since the bottleneck sets the
pace, loss of production there may imply lost production for the entire operation.
This simple rule makes sense if you imagine the path a new set of inputs must follow in
order to pass through the operation. As each unit of WIP moves forward, the new set of
inputs takes its place. Each move occurs once per cycle, so multiplying cycle time times
WIP will give us our total lead-time.
Lead Time terminology has been defined in greater detail. The Supply
Chain from customer order received to the moment the order is delivered is
divided into five lead times.
Order Lead Time - Time from customer order received to customer
order delivered.
Order Handling Time - Time from customer order received to sales order
created.
Manufacturing Lead Time - Time from sales order created to production
finished (ready for delivery).
Production Lead Time - Time from start of physical production of first
sub module/part to production finished (ready for delivery).
Delivery Lead Time - Time from production finished to customer order
delivered.
Lead times are then calculated based on the bills of material and routing.
Step 1
Create a bill of materials (BOM) for the end product and calculate the number of units required of each
component in the BOM. This list may refer to materials, assemblies and components required to produce
the end product.
Step 2
Calculate the time period between the material order date and the delivery date for each item in the bill of
material. This time period should be determined in light of the vendor's raw material requisition,
manufacture and transportation times as well as the calendar work weeks of both your organization and
that of your vendor or sub-contractor. This time period is referred to as a materials lead time.
Step 3
Identify the material or component in the bill of material with the greatest lead time. Review the lead
times for each material in the bill of material as determined in Step 2 to identify the item with the greatest
materials lead time.
Step 4
Review the production schedule to determine specific dates and times between which the product
quantities will be produced. This time period will yield the number of days and hours that are required to
produce a product. This number of days, which should be adapted to your organization's work week to
accommodate weekends and holidays, is the production operations lead time.
Step 5
Calculate the administrative lead time. This is the time required to process paperwork and to complete
any requirements of the materials purchase. Estimate the time required to select a supplier, prepare
purchase orders, obtain purchase authorization, and transmit the order to the supplier.
Step 6
Calculate the Inter-operations lead time. This is the time required for a manufacturing job to move from
one work center to another during the production process. Calculate and sum together the individual
elements of inter-operations lead time including queue time, preparation time, post-operations time, wait
time and transmit time.
Step 7
Determine the total lead time for the manufacturing production schedule. Add the greatest material
acquisition lead time for any material or component in a bill of materials to the final product's
manufacturing lead time, administrative lead time and inter-operations lead time to determine the total
lead time for the product to be manufactured.
Things Needed
Routing sheets
Bills of material
16. Capacity:
The maximum rate of output of a process, measured in units of output per unit of
time. The unit of time may be of any length, a day, a shift, or a minute
Capacity Strategies
There are three basic capacity strategies used by different organizations when they consider
increased demand; lead capacity strategy, lag capacity strategy and the match capacity
strategy.
There are 3 steps: wash, dry, fold. If we assume the time to do each load is 30, 45 and 30
minutes, respectively, what are the Lead Time and Cycle Time of the process?
You may notice that this link is not on Lean or Six Sigma but general business (operations)
management. These terms and concepts are not developed by, or limited to, Lean or Six Sigma.
In summary, here are what I use to help understand the difference and their relationship.
1. Lead Time and Cycle Time don’t have the same unit although their names are both “Time.”
Lead Time is measured by elapsed time (minutes, hours, etc.), whereas Cycle Time is measured
by the amount of time per unit (minutes/customer, hours/part, etc.). It does not make any
sense to add one to, or subtract one from, another.
2. Cycle Time is actually a measure of Throughput (units per period of time), which is the
reciprocal of Cycle Time. This relationship is analogous to Takt Time (amount of time per unit),
which is the reciprocal of customer demand rate (units per period of time). Note that by
definition, Cycle Time (or Takt Time) is an average value.
3. Lead Time and Cycle Time are related by Work-in-progress (WIP) in the entire process, in a
relationship described by the Little’s Law:
Lead Time = Cycle Time * WIP
Or,
Lead Time = WIP/Throughput
5. The Cycle Time above must be the process cycle time, which is determined by the
bottleneck. Cycle Times of individual steps cannot be used alone to calculate the process
Lead Time without knowing the WIP.
20. 3C in Manufacturing
The 3C's Model is a business model, which offers a strategic look at the factors
needed for success. It was developed by business and corporate strategist Kenichi
Ohmae.
The 3C’s model points out that a strategist should focus on three key factors for
success. In the construction of a business strategy, three main players must be taken
into account:
1. The Customer
2. The Competitors
3. The Corporation
Only by integrating these three, a sustained competitive advantage can exist. Ohmae
refers to these key factors as the three C’s or strategic triangle.
There are certain needs that arise from the customer end. They include core benefit or
service and expected product. Recognizing this need the corporation or company offers
a basic product. To cater to their expectations and also to differentiate from competitors
who tend to morph their products, corporations offer augmented products. Also, both
the corporation and the competitors eventually tap the existence of potential products.
There is also a new 3 C's model emerging which centers on sustainability. This model is:
1. Capability
2. Consistency
3. Cultivation
The idea behind the new 3 C's model revolves around the concept of shared value to the
firm, the environment, and the community.
3C is a business method which uses process control techniques to measure, manage
and improve customer performance and customer focus.
The customer performance factors are:
• Customer Value
• Customer Behavior
• Customer Satisfaction.
3C may consist of Contain, Control, and Correct in Autonomous Maintenance.
21. Daily Routine Management (DRM)
Daily Routine activities needs to do by production lead for achieving Production
targets, Quality rate, reducing cost involved and meeting the on time delivery in a
manufacturing line.
1. Responsible for managing & improving all manufacturing 4 M’s for meeting the
required Line Efficiency.
Following Material from previous stage, Stores and even supplier end.
Managing Manpower attendance & performance for meeting require OPP.
Improving their Skill & Knowledge by involving them in various Kaizen &
Small Group Activities.
Verifying Machines First Line Maintenance, Poka-Yoke functions,
Preventive or Time Based Maintenance, Machine Tools & wear part
changing frequency for reducing Breakdown hours and improving its
Overall Efficiency.
Improving method of doing a process to reduce cycle time & for operator
easiness.
2. Monitoring Daily Routine Activities with Planned & actual data. And doing Gap
Analysis for Planned & Actual Data. Analyzing the real route cause of the problem
and taking temporary remedial action & counter measure for preventing the
problem with CFT members.
- Work Ethics
- Values
- Communication ability
4) Competency Mapping is done by defining the JDs and the skills required for those JDs.
5) When the rating of the superior does not match with the actual rating, that employee (whose
competencies are mapped) goes for the training....
Skill Matrix is implemented in terms of four quadrants. Consider a circle with four
quadrants. 1st quadrant (90 degree) refers to person "Under training". 2 quadrants (180
degrees - 1st and 2nd both) refer to person who is trained but he needs supervision. 3rd
Quadrant (270 degree - 1st, 2nd & 3rd all three) refers to person who can do his work
independently. 4th Quadrant (360 degree - all quadrant including) refers to person who
can trained other person.
23. 7 QC Tools
The Seven Basic Tools of Quality is a designation given to a fixed set of graphical
techniques identified as being most helpful in troubleshooting issues related to quality.
They are called basic because they are suitable for people with little formal training in
statistics and because they can be used to solve the vast majority of quality-related
issues.
The seven tools are:
Cause-and-effect diagram (also known as the "fishbone" or Ishikawa diagram)
Check sheet
Control chart
Histogram
Pareto chart
Scatter diagram
Stratification (alternately, flow chart or run chart)
Quality Control Tools for Problem solving
Generate ideas
Improve planning
Persuade powerfully
25. 7 QC Story
A 7- Quality storyboard is a visual method for displaying a Quality Control story
(QC story). Some enterprises have developed a storyboard format for telling the QC
story, for example at Yokogawa-Hewlett-Packard in Japan, the story is told using a flip
chart which is 6 feet by 6 feet (2 x 2 meters). The project team uses colored markers to
show the PDSA cycle (Shewhart cycle) plus the SDSA cycle (SDSA = Standardize, Do,
Study, Act).
A QC story is an element of Policy Deployment (Hoshin Kanri). After each manager
writes an interpretation of the policy statement, the interpretation is discussed with the
next manager above to reconcile differences in understanding and direction. In this way
they play "catchball" with the policy and develop a consensus.
2. Problem Observation
This step involves observing the time, place, type and symptoms of the problem. It
involves data gathering and display in an attempt to understand the important aspects
of the problem.
3. Problem Analysis
In this step the various tools of quality analysis are used, such as Control charts,
Pareto charts, cause-and-effect diagrams, scatter diagrams, histograms, etc.
4. Corrective Action
Based on the analysis, an action is taken.
5. Check
The results are studied to see if they conform to what was expected and to learn from
what was not expected. Data are taken to confirm the action.
6. Standardization
Appropriate steps are taken to see that the gains are secured. New standard procedures
are introduced.
26. Productivity
Productivity is the ratio of output to inputs in production; it is an average measure
of the efficiency of production. Efficiency of production means production’s capability to
create incomes which is measured by the formula real output value minus real input
value.
Increasing national productivity can raise living standards because more real income
improves people's ability to purchase goods and services, enjoy leisure, improve housing
and education and contribute to social and environmental programs. Productivity
growth also helps businesses to be more profitable.
27. Work Study
Work study is a means of enhancing the production efficiency (productivity) of the
firm by elimination of waste and unnecessary operations. It is a technique to identify
non-value adding operations by investigation of all the factors affecting the job. It is the
only accurate and systematic procedure oriented technique to establish time standards.
It is going to contribute to the profit as the savings will start immediately and continue
throughout the life of the product.
Method study and work measurement is part of work study. Part of method study is
motion study; work measurement is also called by the name ‘Time study’.