VALUE enablers_Introduction to lean_LLS-001_v1
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The document introduces Lean principles and Value Enablers, focusing on improving organizational performance metrics through Total Employee Involvement (TEI) and various methodologies like Lean, Six Sigma, and TQM. It outlines the evolution of manufacturing practices, the definition of Lean, and key principles advocated by Toyota, emphasizing waste elimination and continuous improvement. Additionally, the text highlights the current pressures for Lean adoption, such as customer price demands and technological changes.
VALUE enablers_Introduction to lean_LLS-001_v1
- 1. For learning purpose only. Not for commercial use Introduction to Lean Lean Learning Series (LLS-001_V1)
- 2. about VALUE enablers VALUE enablers are a consortium of professionals dedicated to enabling excellence in organizations’ Performance metrics (Productivity | Quality | Delivery | Cost | Safety | Morale ) through its unique approach of T.E.I (Total Employee Involvement). This is done through, ü PURPOSE alignment § BSC | TOC | Hoshin Planning ü PROCESS improvement § Lean | Six sigma | TQM | TPM | 5s | Agile ü PEOPLE development • TEI | Kaizen events | Gemba circles PURPOSE PROCESS PEOPLE PHILOSOPHY Achieving performance through the alignment of PURPOSE, PROCESS & PEOPLE with right philosophy VALUE enablers Mission: “To enable excellence in any organization through the best practices in the world.”
- 3. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Brief History of Lean
- 4. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Craft Manufacturing
- 5. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Mass Manufacturing Assembly line - Henry Ford 1920s • Low skilled labor, simplistic jobs, no pride in work • Interchangeable parts • Lower quality • Affordably priced for the average family • Billions produced – identical • Model ‘T’
- 6. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Lean History - Japan
- 7. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Lean Manufacturing • Cells or flexible assembly lines • Broader jobs, highly skilled workers, proud of product • Interchangeable parts, even more variety • Excellent quality mandatory • Costs being decreased through process improvement • Global markets and competition.
- 8. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Definition
- 9. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Why call it “LEAN” ?
- 10. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Definition of Lean Lean has been defined in many different ways – “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.” Definition by the MEP Lean Network Give the customers what they want, when they want it, and do not waste anything.
- 11. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Definition of Value Added
- 12. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Toyota Way – the 14 Principles by Jeffrey K. Liker 1. Base management decisions on long-term philosophy, even at expense of short-term financial goals. 2. Create continuous process flow to bring problems to surface. 3. Use pull systems to avoid overproduction. 4. Level out workload (heijunka); work like a tortoise, not a hare. 5. Build culture of stopping to fix problems, to get quality right first time. 6. Standardized tasks are the foundation for continuous improvement and employee empowerment. 7. Use visual controls so no problems are hidden. 8. Use only reliable, thoroughly tested technology that serves people and processes.
- 13. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Toyota Way - 14 Principles (cont.) 9. Grow leaders who thoroughly understand work, live philosophy, and teach others. 10. Develop exceptional people and teams that follow company’s philosophy. 11. Respect extended network of partners and suppliers by challenging them and helping them improve. 12. Go and see to thoroughly understand situation (genchi genbutsu). 13. Make decisions slowly by consensus, thoroughly considering all options; implement decisions rapidly. 14. Become a learning organization through relentless reflection (hansei) and continuous improvement (kaizen).
- 14. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Liker Model – 4 P’s
- 15. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Liker Model – 4 P’s
- 16. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Lean Principles: Womack & Jones Model
- 17. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Lean vs Traditional
- 18. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Lean vs Traditional
- 19. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Benefits of Lean manufacturing Real Results 0 50 100 Lead Time Reduction Productivity Increase WIP Reduction Quality Improvement Space Utilization
- 20. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Why the emphasis on Lean now? • Global economy • Pressure from customers for price reduction • Fast-paced technological changes (e.g. Internet auctions) • Continued focus on quality, cost, delivery • Higher and higher expectations of customers • Quality standards, such as QS-9000 (or TS 16949), the new ISO 9000:2000 • Holding on to “Core Competencies,” outsourcing the rest • Market-driven pricing: Customers expect better performance at lower prices year after year
- 21. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Pricing Model New Way Price - Cost = Profit Customers Demand Lower Prices If Costs Stay the Same Profits Decrease Costs Increase Increase Price Maintain Profits What can we do? Old Way Cost + Profit = Price
- 22. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Old Way Cost + Profit = Price New Way Price - Cost = Profit Customers Demand Lower Prices Costs Increase Increase Price Maintain Profits Implement Lean Increased Profits Pricing Model
- 23. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Introduction MUDA
- 24. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Introduction : MURA & MURI
- 25. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Introduction : MURA & MURI
- 26. www.valueenablers.com KAIZEN | LEAN | SIX SIGMA VALUE enablers enabling excellence © all rights reserved For learning purpose only. Not for commercial use Building Blocks of Lean Change Management 5SVisualLayout Standard Work Batch Size ReductionPOUS Autonomation JIT Quick Changeover Pull System & KanbanCellular & FlowTPM V S M Continuous Improvement & Kaizen Blitz Self InspectionPoka-yoke Teams
- 27. MK has a unique blend of 20 plus years experience in the areas of ü Operational Excellence (through Lean Six Sigma Training & Implementation) ü Total Productive Maintenance (TPM) ü Operations Management ü Project Management ü Channel Development ü Business Development ü Sales & Marketing A dynamic Leader & motivator with high energy levels, strong interpersonal & communication skills, strong technical and analytical skills. Muralidharan. K (MK) BE (Mechanical engg), MSc (Mathematics), MS, MBA (finance), MBA (Marketing), EGMP (IIM-B), (PhD) International Lean Six Sigma Master Black Belt. Founder | Director, VALUE enablers International coach, Author & Trainer With Strong educational background from IIM-B & BITS (Pilani), MK has diverse industry and global experience working with Saint Gobain, Jesons Corporation (China), Indiamarkets, Grindwell Norton & TVS.
- 28. D O N T Q U I T Ve v a l u e e n a b l e r s @ g m a i l . c o m | 9 8 4 5 0 0 8 4 4 6 We don’t have to be great to start But, we have to start to be great ~ Zig Ziglar