01 - Introduction Lean Thinking versus Muda.ppt

Engineering Management

MSE507

Lean Manufacturing

Introduction

Learning Objectives

 _{Present an overview of lean manufacturing concepts}

 _{Introduce methods and tools designed to put these concepts}

to work in a manufacturing environment

 _{This course will discuss the basic principles of:}

• Lean • Value

• The technical value stream • Flow

• Pull, and • Perfection

 _{Compare and contrast lean with the Theory of Constraints}

Background and Purpose

 _{Value is a key attribute of the technical professional is his/her}

emphasis on and interest in professional values and goals rather than those of an organization.

 _{Lean thinking principles are emerging as a method to improve}

the flexibility, reliability, and profitability of enterprises worldwide.

 _{Lean thinking is being used to reduce setup times, lot sizes, and}

inventories.

 _{Lean is all about removing waste in the enterprise.}

Required Textbooks

 Lean Thinking : Banish Waste and Create Wealth in Your

Corporation

• Womack, James P. and Jones, Daniel T. (2003)

• New York: Simon & Schuster

• ISBN: 0-7432-4927-5

 _{Learning to See Version 1.3}

• Rother, Mike Shook, John Womack, James and Jones, Dan. (1999)

• Lean Enterprises Inst Inc.

• ISBN: 0966784308

 Cellular Manufacturing: One-Piece Flow for Workteams (Shopfloor

Series).

• Productivity Press; 1st edition (1999)

• Productivity Development Team

Textbook 1

 _{Lean Thinking : Banish Waste and Create Wealth in Your}

Corporation

 _Hardcover

 _{List Price: $30.00}

Textbook 2

 _{Learning to See Version 1.3}  _{Spiral-bound paperback}

Textbook 3

 _{Cellular Manufacturing: One-Piece Flow for Workteams}

(Shopfloor Series)

 _Paperback

My Contact Info

 _{Hamid Gholami}

 _{E-mail Address}

• CSUN – [email protected]

 Office Hours

• 6:00-7:00PM Thursdays • JD 3308

My Work Experience

 _{Accurate Electronics}

• Vice President of Operations 2005-2012

 _{Hi-Temp Insulations Inc.}

• Engineering Manager 2001-2005

 _{Reinhold Industries}

• Production Manager1997-2001

 _{Superior Industries International Inc.} • Sr. Product Engineer 1994-1997

• Stress Analysis Engineer

My Academic Records

 _{California State University, Northridge-Dec 2001}

• Master of Science degree in Engineering Management

 _{California State University, Northridge-May 1994}

• Master of Science degree in Mechanical Engineering

 _{East Tennessee State University – Dec 1989}

• Bachelor of Science degree in Applied Mathematics

• Minor in Mechanical Engineering

Class Material

 _{Website URL}



http://www.csun.edu/~hamidg

Reading Assignments

 _{Essential for interaction and understanding}

 _{Read assigned chapter prior to class}

 _{Prepare to discuss issues/questions}

 _{Preparation will make the course more interesting}

Course Performance

Evaluation Structure

 30 % Mid-Term Exam  _{25 % Final Exam}

 _{25 % Team Research Project}  _{20 % Homework Assignments}

 _{Letter-Grade Scale}

 _{Plus/Minus will be used}

Score Grade Score Grade

90-100 A 70-74 C

88-89 A- 68-69

C-85-87 B+ 60-67 D

80-84 B 58-59 D-78-79 B- 0-57 F

Student Roles & Responsibilities

 _{Attend class sessions and to be prompt}

 _{Be a team player}

 _{Submit original work only}

• I was a student too…

 _{Be considerate and respectful of one another}

 _{Get the job done right and on time}

 _{Budgeting 5-6 hours per week for this course, in addition to}

Muda

 _{Muda means “waste”}

 _{Any human activity which absorbs resources but creates no}

value

 _{Mistakes which require rectification}

 _{Production of items no one wants so inventories and}

remaindered goods pile up

 _{Processing steps which aren’t actually needed}

 _{Movement of employees and transport of goods from one place}

to another without any purpose

 _{Groups of people in a downstream activity standing around}

waiting because an upstream activity has not delivered on time

 _{Goods and services which don’t meet the needs of the}

Lean Thinking

 _{Powerful antidote to muda}

 _{Provides a way to specify value}

 _{Line up value-creating actions in the best sequence}

 Conduct these activities without interruption whenever someone

requests them

 _{Perform them more and more effectively}

 _{Lean thinking is lean because it provides a way to do more and}

more with less and less

• Less human effort • Less equipment • Less time

• Less space

 _{Coming closer and closer to providing customers with exactly}

Lean Thinking

 _{Make work more satisfying by providing immediate feedback}

on efforts to convert muda into value

 _{Create new work rather than simply destroying jobs in the}

name of efficiency

 _{Lean thinking steps:}

1. Precisely specify value

2. Fully map the value stream for a specific product, and eliminate wasteful steps

3. Make the remaining, value-creating steps flow continuously

Step 1 - Specify Value

 _{The critical starting point for lean thinking}

 _{Value can only be defined by the ultimate customer}

 _{Only meaningful when expressed in terms of a specific product}

(a good or a service, and often both) which meets the customer’s needs at a specific price at a specific time.

 _{Value is created by the producer}

 _{From the customer’s standpoint, this is why the producers exist}

 _{Lean thinking must start with an attempt to precisely define}

value in terms of specific products with specific capabilities offered at specific prices through a dialog with specific

customers

Step 2 - Identify the Value Stream

 _{The value stream is the set of all specific actions required to}

bring a specific product (goods, services, or both)

 _{Through the three critical management tasks of any business:}

• Problem solving task – from concept through detailed design and engineering to production launch

• Information management task – from order taking through detailed scheduling to delivery

• Physical transformation task – from raw materials to a finished product in the hands of the customer

 _{Identifying the entire value stream for each product (or product}

Step 2 - Identify the Value Stream

(cont.)

 _{Value stream analysis will almost always show the three types}

of actions are occurring along the value stream:

1. Unambiguously create value

2. Create no value but necessary with current technologies and assets (type One muda)

3. Create no value and could be removed (type Two muda)

 _{Lean enterprise – a continuing conference of all concerned}

Flow

 _{Make the remaining, value-creating steps of the process flow}

 _{Redefine the work of functions, departments, and firms}

 _{Create single piece flow instead of batch processing}

 _{Ensure positive contribution to value creation}

 _{Speak to the real needs of employees at every point along the}

Pull

 _{Let the customer pull the product from you as needed rather}

than pushing products, often unwanted, onto the customer

 _{The demands of the customer become more stable when they}

know then can get what they want right away

Perfection

 _{There is no end to the process of reducing effort, time, space,}

1

2

3

4

Lean Manufacturing Cycle

Step 5 – CONTINUOUSLY IMPROVE

• Getting value to flow faster always exposes hidden muda in

the value stream.

Homework Assignment

 _{Lean Thinking Chapter 1}  _Value

• Pages 29-36



_Question:

1.

What do customers consider as value? Give examples

Explain why we need to define what value is before we