About Boeing

American multinational aerospace and defense corporation founded in 1916 by William E. Boeing in Seattle Boeing is made up of multiple business units, which are Boeing Commercial Airplanes (BCA); Boeing Defense, Space & Security (BDS); Engineering, Operations & Technology; Boeing Capital; and Boeing Shared Services Group. Boeing is among the largest global aircraft manufacturers, and the third largest aerospace and defense contractor in the world based on defenserelated revenue.

Manufacturing Strategy used by Boeing

Lean Production System Kanban Production Control System Kaizen

Lean Production System

Waste Elimination Philosophy and Respect for people

Primary Purpose: Profit through cost reduction (or improvement of Productivity)

Identification and elimination of waste is the central theme of a lean manufacturing production system Lean manufacturing is a dynamic and constantly improving Process is dependent upon understanding and involvement by all employees Successful implementation requires that all employees must be trained to identify and eliminate waste from their work

Seven Types Of Wastes

 Over Production Waste: Producing more than needed Producing faster than needed Wait Time Waste: Idle Time that is Produced When two dependent Variables are not Fully Synchronized. Man Wait Time Machine Wait Time Transportation Waste: Any Material Movement That Does Not Directly Support a Lean Manufacturing System

 Processing Waste: Effort Which Adds No Value To a Product or Service, enhancements which are Transparent to The Customers or Work Which Could Be Combined with Another Process. Inventory Waste: Any Supply in Excess of Process Requirements Necessary to Produce Goods or Services Just in Time. Motion Waste: Any Movement of People Which Does Not Contribute Added Value To The Product or Service Rework or Correction Waste: Repair of a Product or Service To Fulfil Customer requirements

Kanban Production Control System

It uses a signaling device to regulate JIT flows Kanban means sign or instruction card in Japanese

The card or container make up the Kanban pull system

The authority to produce or supply additional parts comes from downstream operations Kanban is a means to fine tuning

Kaizen
In Japanese, the definition of kaizen is improvement and particularly, "continuous improvementslow, incremental but constant Key Characteristics:
Permanent method changes continuous flow of ideas Immediate, local implementation The quick and easy process

It encourages everyone to make small improvement that are within their control to implement.

Sequence of events for a quick & easy kaizen

An employee identifies the problem,waste,defect or something not working. He/She writes it down. Employees later develops an improvement idea and goes to immediate supervisor. Supervisor reviews it and encourages immediate action. The idea is implemented. The idea is written up on a simple form in less than three minutes. Supervisor posts the form to stimulate others and recognize the accomplishment.

Need for Lean

A deregulated commercial airline industry that had begun to focus on profitability. Need to become leaner in order to offer its customers airplanes at reduced costs and improved quality. Lean philosophy touches suppliers and procurement to engineering and design to manufacturing and delivery.

Lean principles embraced by the Boeing Company

Identify the value stream Make value flow Pull value through from the customer Remove waste Pursue perfection

Wastes Eliminated at Boeing

Complexity Labor Overproduction Space Energy Defects Materials Idle materials Time Transportation Unsafe acts

Lean Manufacturing at Boeing

Started in the Commercial Airplanes Division in February 1996 Substantial investment in Lean reflects belief that the strategy plays a critical role in the companys efforts to provide customer responsiveness, reduce costs, and systematically improve operational performance on a continual basis. Reduced the amount of energy, raw materials, and nonproduct output associated with its manufacturing processes Realized resource productivity improvements ranging from 30 to 70 percent

Robust Waste Elimination Culture

Boeing employees: accomplishing significant environmental improvements. Firstly systemic evaluation of waste throughout the entire product value chain Actively engage employees on an on-going basis depend on and reflect close coordination with customers and suppliers develop, track, and publicly display performance metrics. These Lean cultural attributes are highly apparent at the Auburn and Everett facilities.

Boeing utilizes environmentally progressive painting practices

Boeings Machine Fabrication Manufacturing Business Unit (MBU)

6-10 months processing time

 Batch and queue production system: large quantities of goods were produced in a function-driven structure A complex flow with substantial product travel among functional departments a large support staff with specific production skills Need to acquire large and complex equipment to support a constantly changing volume of goods Substantial floor space for WIP

After Lean Implementation

 Rearranges production activities from departments and batches into continuous flow processing steps of different types are conducted immediately adjacent to each other in product teams production floor will wait for the specific customer demand, or pull a shift in demand can be accommodated immediately Elimination of waste due to uncertain forecasting /unsuccessful forecasting overall productivity at the plant has improved by 39 percent

4 Strategies
Whole system thinking
View of the companys manufacturing system and associated costs as a whole, rather than by functional department.
Produce substantial overall cost savings throughout the production cycle

For Boeing, paying more for lower value components within the system (e.g., raw materials) so that the high value products cost less overall.
For example, in Boeings Machine Fabrication factory, regular bulk ordering of supplies has been eliminated. Although it is cheaper to buy raw materials in large quantities, the costs associated with having the larger quantities on hand increased the overall cost of the finished product.

4 Strategies
A value chain
Specific activities required to design, order, and provide a specific product, from concept to launch, order to delivery, and raw materials into the hands of the customer. Evaluation of the value chain means performing systematic assessments of production process steps.

4 Strategies
Product-Aligned - Cross Functional Manufacturing: Addresses inefficiencies of manufacturing systems that are compartmentalized according to function. For example, a Lean Team was created at Auburns Machine Fabrication Shop. This team represented various entities throughout the production process, including management, tooling, quality assurance, Safety, Health and Environmental Affairs (SHEA), production staff, programming, and more.

4 Strategies
Together, this team analyzed and documented factory data associated with quality, cost, delivery, safety and morale, and assessed the production costs associated with the Manufacturing Business Unit (MBU) at Auburn. More specifically, one of the Lean Teams vision was for product/process focused cells, which combined processes and equipment re-located from functional areas, employed multiskilled personnel, and could be utilized to manufacture and assemble single ship-set quantities. The cell structure addresses problems associated with batch and queue operations, and compartmentalization according to function.

4 Strategies
Design for Manufacturability Optimizes product design such that the design is simplified as much as possible. Boeings Lean efforts with the 777 Overhead Storage Bin Arch provide a good example of DFM. the number of components in the arch has gone from 40 to 26 and the arch is now produced from a monolithic plate instead of numerous sheet metal parts.

 The Stow Bin Arch cell also incorporates several key Lean tools that have been designed into the manufacturing process, including small, right-sized equipment for specific production operations (e.g., a table top boring mill and tapping machine). As a sub-strategy, right sizing is used as a production device that allows for a component to be fitted directly into the flow of products within a product family, so that unnecessary transport and waiting do not occur. For example, there is a right-sized hand drill tool, which requires no flooding lubricants and can be turned off when not in use. The rightsized machines are often built on wheels, increasing production flexibility. Overall, right sizing can result in less energy use, less chemical usage, reduced scrap, and less utilized space.

 The Stow Bin Arch cell also contains a chaku chaku line for production of sheet metal clips, brackets, and angles. The line consists of right-sized table top blanking, holing, and tapping machines. This allows an operator to produce only the parts that are needed at a specific time. Overall, DFM enables facilities to reduce costs, design in quality and reliability, and realize increased time to market.

Lean Manufacturing in different work areas

Lean Manufacturing Assessment- every aspect of a specific work area is examined and its performance evaluated develop an implementation plan- Lean Manufacturing strategies, tools, and techniques employee participation- Accelerated Improvement Workshops (AIWs): a rapid learn/do process where the people who do the work reorganize it to achieve major reductions in cost and flow time

Lean Green Training Machine brings classroom to factory floor

an innovative classroom on wheels developed by a group of instructors from Boeing's Learning, Education and Development organization take training out of the classroom and into the manufacturing areas.

Lean Efforts
Development and implementation of an alodine pen to be used prior to primer touch up, has reduced hazardous waste generation by approximately 36, 55-gallon drums per year. Small tool recycling and reconditioning program: 777 Wing Majors shop is recycling plastic spatulas used to apply sealant, reducing hazardous waste generation by approximately 90 percent.

Project 1: 777 Floor Grid Component Delivery Improvements

777 moving line

 New shipping process

Resource productivity gains

Multiple transfers, rail travel, and truck travel to the rail heads completely eliminated. Eight days of travel and three days of receiving and inspection eliminated. Approximately $7,900 has been saved per shipset or $396,000 in annual transportation costs. Floor grid inventory has been reduced by 25 percent. Each ship set uses 50 percent less transportation Overall handling of materials has been reduced, yielding a reduction in forklift use. floor grid component suppliers have adjusted their manufacturing schedules so that they do not produce and accumulate excess inventory at their production sites.

Project 2: 747 Line Side Supply and Simplified Ordering System

Designed by Wing Responsibility Center, using a specially-chartered team working with the Parts Control Organization across the Boeing Commercial Airplane Group focuses on improving the inventory and supply chain systems for fiberglass panels comprising wing trailing edge areas kanban cart system Fiberglass panel inventory will be reduced from 14 ship sets to 4

 Rework due to handling damage will be virtually eliminated. Approximately 350 cubic feet of cardboard and bubble wrap packaging will be eliminated per wing ship set. Parts and mechanics travel will be reduced because parts will be shipped directly to the point of use in the wing assembly area.

Project 3: Chemical Point of Use Stations

Safety, Health, and Environmental Affairs organization (SHEA) developed the Point of Use system for chemical materials. enables the storage of materials where the production process utilizes them reductions in mechanic travel and better control of the supply, use, and distribution of hazardous materials reduced mechanic travel time was the primary financial driver for this change

 chemical use per airplane has been reduced by approximately 11.6 percent; the amount of chemicals on the shop floor has been reduced by 23 percent; overall material waste has been reduced due to the use of right-sized containers and easier mechanic access to materials; mechanic travel has been reduced by 56 percent, representing an average of 567 fewer trips and 95 hours of less travel per day.

Project 4: 767 & 747 Wing Seal Moving Lines

Everett Wing Responsibility Center examined the 767 and 747 wing sealing processes reconfigured these sealing operations into two moving lines, for 767 and 747 wings no more than four wings receiving work at a time: one 767 and 747 wing on the moving lines, and one of each in the vertical paint booth

 Flow days have been reduced from 13 to 6 for the 747 and from 12 to 6 for the 767. Crane moves, required to move the assembled wing throughout the factory, have been reduced from 7 to 5. Reduced the amount of both chemical inventory and waste. Fixed position sealing requires less sealant, thereby producing less hazardous waste. In addition, because there is less inventory on the floor, (i.e., 4 wings versus 12) Less overall chemical inventory spread throughout the building There have also been significant gains in available floor space

Project 5: 747 Horizontal Stabilizer Project

Everett Wing Responsibility Center also has examined the possibility of establishing a moving line for the 747 Horizontal Stabilizer A reduction from 16 to 4 flow days. Elimination of 23 overhead crane moves, reducing the total number from 31 to 8. Space requirements reduced from 29,600 to 14,800 square feet. Significant energy savings due to the reduction in crane moves and space required for production. An approximate 10-20 percent reduction in paint overspray and solvents required for component applications due to the use of small, in-line chemical operations.

Thank You