LEAN

MANUFACTURING
PRINCIPLES
 Defining Lean
Lean is:

“A systematic approach to identifying and eliminating waste

(non-value added activities) through continuous improvement by

flowing the product at the pull of the customer in pursuit of

perfection.”
 Lean Goals

 Zero Defects
 100% Value – add
 Lot Size of One
 Pull of the Customer
 Why Become Lean?

• Improve Customer Satisfaction

• Increase Sales and Profits

• Insure Long-term Health of Company

• Survival

• Create Sustainable Competitive Advantage

Key Principles of Lean Thinking

 VALUE - what customers are willing to pay for

 VALUE STREAM - the steps that deliver value

 FLOW - organizing the Value Stream to be continuous

 PULL - responding to downstream customer demand

 PERFECTION - relentless continuous improvement (culture)

 Where has Lean been successfully
implemented?
•Manufacturing
Automotive
Industrial Products
Furniture
Textiles and Apparel
Printing and Packaging
Consumer Products
•Service Industries
•Military
•Healthcare
 Developing a Lean Factory
The Goal and Getting There from Here
•The Goal - Lean Throughout the Entire Enterprise
•Set Aggressive Improvement Goals
•Measurements of Existing Operations
•Recognize Current Problem Areas
•Apply the Lean Production System Concepts
•Commit to the Continuous Improvement Process
•Just do it!
 Value Added/Non-value Added
 Value-added:
 ANY ACTIVITY THAT PHYSICALLY CHANGES THE MATERIAL
BEING WORKED ON (not rework/repair!)

 Machining Knitting
 Drilling Spreading/Cutting
 Assembly Dying
 Painting Sewing

 Non-value added:
 ANY ACTIVITY THAT TAKES TIME, MATERIAL, OR SPACE
BUT DOES NOT PHYSICALLY CHANGE THE MATERIAL
 Sorting Stacking
 Counting Checking
 Lean = Eliminating the waste
Value
added
8 Wastes
5%  Overproduction
 Excess inventory
 Defects
 Non-value added
processing
 Waiting
 Underutilized
people
Non-value  Excess motion
added  Transportation

Typically 95% of Total Lead Time is Non-Value Added!!!

 Lean Production System
Goals - highest quality, lowest cost, shortest lead times
Involvement Jidoka
Just-In-Time
•continuous flow •separate man &
•takt time/pace machine work
•pull system •identify abnormal
•triggers conditions
•poka yoke

Kanban Standardized Work Kaizen

Stable Manufacturing Process

 Toyota’s Lean Philosophy
• Customer first
• People are the most valuable resource
• Kaizen (continuous improvement)
• Shop floor focus
 Keys To Success
 Focus on the goal – eliminate waste!
 Gather baseline information and measure results
 Get everyone involved
 keep it simple
Milk Run Concept

Customer End

Supplier End
Thank you