What is Lean Production?
Lean Manufacturing (also known as the
Toyota Production System (TPS)) is, in its most basic form, the
systematic
elimination of
waste overproduction, waiting,
transportation, inventory, motion, over-processing, defective units
and the implementation of the concepts of
continuous flow and customer pull.
Five areas drive lean manufacturing/production:
-
cost
-
→
quality
-
delivery
-
safety, and
-
morale.
Benefits of Lean Production
Establishment and mastering of a
lean production system would allow you to achieve the following benefits:
-
Waste
reduction by 80%
-
Production cost reduction by 50%
-
Higher
→
quality
-
Manufacturing cycle times decreased by 50%
-
Labor reduction by 50% while maintaining or
increasing throughput
-
Inventory reduction by 80% while increasing
customer service levels
-
Capacity in current facilities increase by
50%
-
Higher
→
profits
-
Higher system flexibility in reacting to
changes in requirements improved
-
More strategic focus
-
Improved cash flow through increasing
shipping and billing frequencies
However, by continually focusing
on waste reduction, there are truly no end to the benefits that can be
achieved.
→
Kaizen: 5 Principles
Management Philosophy
Toyota
perfected lean manufacturing in the 1990s, and now the concept is being put
to use in other areas, such as organizational structures, distribution and
logistics.
Though books have been written detailing the steps to achieving
lean manufacturing and many manufacturers have tried to emulate Toyota's
success, few have actually done so. Why? Because they have failed to adopt
lean manufacturing as a management philosophy that encompasses the entire
organization. Instead, they see it only as a departmental solution.
→
Lean Enterprise:
Kore 10 Tips
Basic Elements of Lean
Manufacturing
The basic elements are waste
elimination, continuous one piece workflow, and customer pull. When these
elements are focused in the areas of cost, quality and delivery, this forms
the basis for a lean production system...
More
The lean production concept was to
a large extent inspired by the
→
Kaizen
the Japanese strategy of
continuous improvement. Employee empowerment and
promotion among them of a way of thinking oriented at improving processes,
imitation of customer relationships, fast product development and
manufacturing, and collaboration with suppliers are the key strategies of
leading lean companies.
→
Kaizen Culture:
8 Key Elements
→
Implementing Kaizen:
7 Conditions
Five Ss:
The Five Ss refer to the five dimensions of of workplace
optimization:
Seiri (Sort),
Seiton (Set in order), Seiso (Shine), Seiketsu (Standardize), and
Shitsuke (Sustain)...
More
Lean Production Overview
Non-value added activities or waste are
eliminated through continuous improvement efforts
Focus on continuous improvement of processes
rather than results of the entire
value chain
The lean manufacturing mindset: concept, way of thinking
not techniques;
culture
not the latest management tool
Continuous product flow is achieved through
physical rearrangement and system structure & control mechanisms
Single-piece flow / small lot production:
achieved through equipment set up time reduction; attention to machine
maintenance; and orderly, clean work place
Pull reduction /
Just-in-Time
inventory control
Characteristics
of Lean Manufacturing Systems
-
Close integration of the whole
→
value chain from raw material to finished product through partnership
oriented relations with suppliers and distributors.
-
→
Team based work
organizations with multi skilled operators empowered to make decisions
and improve operations with few indirect staff...
More
Toyota
Three Small- and Medium-Sized Firms, U.S.A.
Smaller and
mid-sized organizations pride themselves on being nimble quick to respond
and to
seize
opportunities. Many believe smaller size is more manageable; and that
internal communications in a
smaller group
can be maintained so employees can take ownership of more than their own
corner of the enterprise. One key to success is maximizing resources and
discovering inventive ways to overcome budget limitations. Another trend is
moving from a PUSH system
building to
forecasts
to a PULL system, building in response to
orders...
More
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