Presented By: Vineet Inamdar Khyati Parmar Rahul Bandri Aditi Aggarwal Vishwanath BorHade Dhiraj manik

Lean Manufacturing working on flowing production Aimed at cost reduction by eliminating waste Two Assumptions about production environment 1. True needs deviate from the production plan 2. Problems would crop up

Solutions incorporated in the system: 1. JIT (Just in Time) What, How much and When. Deviation form true production-waste

2. Jidoka Make production problems self evident and stop production when faults arise. Aid problem detection and Visual Control
3. Human Infrastructure Good thinking, good products

Kaizen - change for the better

Thus, pursue goals continuously and indefinitely

BACKGROUND:

Plant set up in Kentucky by Toyota Motor Corporation (TMC) Toyota Motor Manufacturing , Georgetown, 1988 to increase volume of cars produced Toyota strives in making quality cars at affordable prices for a diverse range of customers. Georgetown Ramp up: Simulate model in Japan and get people from Japan who knew the process and how to handle the situations

TMM faces increasing problems with its seat supply (KFS) Responsible for the problems with material flaws and missing parts Problems increase with an increase in varieties of and demand for the seats

Sees a deviation from the policies and procedures under the TPS
As TMM ramps up for the production of the Camry Wagon, it must address the seat issue.

CAUSES OF OVERLOAD AT THE KENTUCKY PLANT: Production for North America and European markets was being handled. Line utilization rate was below the projected target Compensation for time lost over defective or no seats URGENCY TO HANDLE THE SEAT PROBLEM: Trying to solve the seat problem could hurt the line utilization.

Produce only
What is needed How much is needed When it is needed

Process designed to eliminate waste

Ji self, do movement, ka ize At Toyota, do motion + person = work

The aim is investing machines with human like intelligence

Making processes defect free by use of fail safe features

Kaizen is designed to improve production in 7 categories :

Overproduction Waiting imposed by an inefficient work sequence Handling inessential to a smooth work flow Processing that does not add value Inventory in excess of immediate needs Motion that does not contribute to work Correction necessitated by defects

Agenda for ramp up

Assign production of Camry to TMM Replication of Tsutsumi line Reduce the pace of ramp up schedule

Recruitment of personnel from top to bottom of hierarchy One-on-one training by personnel from Tsutsumi Focus on problem-solving capacity of human infrastructure

Assembly line

Production control

Quality control

Line operations Standardized work chart

Green line, red line and yellow line

Andon board and cord

Production control
Fore

casting and planning

Practicing
Kanban

heijunka

card

Instant feedback to direct operation

Proactive : preventing problem from occurring

With

QC and PC taking care of delivery and quality problems, Purchasing dept. was focusing on managing costs

Low Cost

Low manufacturing cost

Estimate Manufacturing cost

Manufacturing and Installation of Seats

TMMs sole supplier was Kentucky Framed Seat(KFS), with whom it operated on Sequential pull

How did they achieve such magic?

TMM managers marveled at KFS ability to keep up with the sequential pull system KFS applied itself to learning as much as it could from TMC TMC itself wanted to spread TPS in KFS The next Challenge the fall 1991 model change

Problems caused by defective or damaged seats TMM USA's threefold seat problem: 1) Actual defects with the hooks 2) Violation of jidoka principles 3) Built up of cars with seat problems

Seat very delicate, bulky and very costly about 470 $ Consists of:
Left Assembly Right Assembly Rear Seat Bench Backrests Rear Side Bolsters

 Toyota Motor Manufacturing (TMM) Sole Manufacturer of Toyota Camry Wagon worldwide Increase in the number of Seat Variations

United States

Europe

Middle East and Japan

Total Variants

10

18

36

This Led to: 1.Increase in Car Inventory and High Inventory Costs 2.Reduction in Run Ratio i.e. No. of Cars produced per shift 3. Bottom line and Top line margins affected

Correct the faulty production plan Review the process of seat manufacturing Prepare Process Charts to minimize Human error during Seat installation Review deal with single manufacturer

Ensure no communication gap between TMM and KFS

Increased training provided to the managers Computerized Seat Reorder Process between KFS and TMM Allocated Separate Area within overflow parking area for seat defective cars Altered lighting at Seat Inspection area at KFS

Pursued engineering change request related to hook problem