Lean manufacturing is the continuous improvement methodology
of choice for companies around the world. It’s a people-oriented practice that
focuses on reducing production lead times within your operations. These
practices create a framework that emphasizes eliminating activities that do not
add value for the customer, and focuses on reducing cycle, flow, and throughput
times.
These Lean principles can be applied to any team, in any
organization, in any industry. Practicing Lean effectively hinges on knowing
how to apply Lean principles effectively in your business environment. The main
thing to remember: Lean management principles focus teams on driving continuous
improvement. When Lean is implemented effectively, teams and the processes they
use to deliver value to customers grow stronger over time.
For me there are 3 key principles that guide the Lean
Philosophy:
Lean Principle #1 – Make to Use (the ideal Target
Condition, “True North”)
A Lean process emphasizes getting the right things to the
right place at the right time in the right quantity. These Lean ideals are a vision for your
organization. They provide ‘True North’ direction toward which every member of your
organization is commonly striving, and yet may never fully reach.
•
Process parts one at a time ( i.e. not batch
processing )
•
Make
the exact amount the customer ordered, when it’s ordered.
•
Product conforms to customer’s specifications
and expectations.
•
Look
for simple low cost solutions.
•
The “system” should tell you immediately if
there is problem.
•
Physically AND emotionally
Lean Principle #2 – Eliminate Waste
Lean principles aim to identify the waste found in nearly
every business and minimize or completely eliminate it, if possible. Using the
acronym “DOWNTIME” reveals the 8 types of waste Lean Manufacturers target:
- Defects can
lead to rework/salvage and scrap. It is arguably the most costly type of
waste, especially if a defective product makes it to the customer.
- Overproduction is
making more products than that which is ordered, potentially causing an
inventory shortage and wasting labor hours that could be used elsewhere.
Additionally, the manufacturer runs the risk of having obsolete inventory
if the customer that generally uses the product decides not to order more.
- Waiting comes
in several forms. The most obvious, perhaps, is a line shutdown while
waiting for parts or equipment repair. Finally, there is in-process
waiting that occurs when an employee has to wait for a machine to process
before he or she can take the next step in the process.
- Not
using people’s talents is a waste of their abilities, and it
could hold a manufacturer back when it comes to innovation.
- Transportation happens
throughout the manufacturing process, from the supply chain to material
delivery and specific production areas.
- Inventory has
five major categories: finished goods, sub-assembly, raw component, office
supplies and Maintenance, Repair and Operations (MRO). Obsolete or
overlooked inventory can build up in all of these areas, taking up
valuable space.
- Motion includes
bending, reaching, lifting and walking. Something as simple as sharing a
tool between workstations can lead to a lot of wasted motion in retrieving
it.
- Excess
processing happens whenever time is spent on product features
that do not impact part functionality. For example, painting a part that
won’t be seen is non-essential and excessive, provided it still functions
properly without paint.
Lean Principle #3 – People are the Cornerstone
Empowering employees is the ongoing process of providing the
tools, training, resources, encouragement and motivation your workers need to
perform at the optimum level. When you show an employee you trust them and give
them timely information and the authority to find solutions, they will be able
to solve problems and provide solutions more rapidly than someone without that
empowerment.
- Engage all human resources toward the effort of reaching
True North
- Provide information:
lack of knowledge is a limiter to waste elimination.
- Knowledge = Speed (Knowledge is the limiter to waste
elimination)
Lean management derives from the Toyota Production System
(TPS) where a set of rules provide a structured approach to improvement. They create
structure in our systems. Without rules there would be in chaos. Lean rules
provide the guidance needed to implement improvement, explaining the “why”
behind lean tools and the Six Sigma methodology. Lean rules also help develop
new solutions to problems. For everyone in an organization, these rules help
structure activities, connect customers and suppliers, specify and simplify
flow paths, and bring improvement through experimentation at the right level.
The Principles of the Toyota Production System can be
summarized into four basic rules.
Rule 1: All work shall be highly specified as to
content, sequence, timing, and outcome.
Specify in advance the exact Content, Sequence, Timing, and Outcome of work.
- Content
(what is being done?)
- Sequence
(in what order?)
- Timing
(how long should it take?)
- Outcome
(what clearly defined measurable results are expected?)
Establish predictable outcomes for each process so
shortfalls and over production are immediately apparent.
Rule 2: Every customer-supplier connection must be direct, and there must
be an unambiguous yes-or-no way to send requests and receive responses.
Interaction between Humans, Materials, and Information should be Clear, Direct,
and Binary. No ambiguity.
Create a workplace that is:
Self-ordering
Self-improving
Self-regulating
Self-explaining
What is supposed to happen, does happen, on time, every time.
Rule 3: The pathway for every product and service must be simple and
direct.
Organize for uninterrupted flow with simple, direct paths for work flow. The
pathway should not be subject to interpretation on a case-by-case basis. Build
in self-diagnostics so when a path is not being followed, it should be obvious
and immediately correctable without too much time passing or outside
intervention required.
Rule 4: Continuously Improve
Develop leaders who can apply the scientific method to improve anything. Allow
improvement to come from the source by those doing the work - as close to the
problem as possible. Respond directly to any problem that arises with clear
helping/coaching chains. Whenever possible, start as an experiment supported by
a coach.
When it comes to using Lean principles in your organization,
let these Lean management principles guide you. Embrace the Lean mindset.
Consider your options carefully – even if it means making organizational
changes to fully support your initiatives. This will lay the foundation for a
successful Lean experience.
