Lean Training New PDF

Lean Manufacturing
P. Ananth 
Hash Management Services LLP
www.hashllp.com
Session 1: Introduction to Lean
Manufacturing
2
What is Lean Manufacturing?
• A set of Management practices originated in Japan, useful in
eliminating non-value added activities and improving the
productivity in a faster and efficient manner!
• A systematic approach to identifying and eliminating waste (non-
value-added activities) through continual improvement by flowing
the product or service at the pull of the customer.
• Doing More with Less

3
What is Lean Manufacturing?
• A philosophy that constantly eliminates non-value added activities
• Originated in Toyota Motor Company in the late 60’s
• Driven by all the employees in the company through participation
• Continual Improvement
4
Value Added (VA) & Non-Value Added (NVA)
Value Added Activity Non-Value Added

(VA) Activity (NVA)
A process step that Process steps that take time,
physically or chemically resources, space and effort but
transforms or shapes a do not add any value to the
product or service which is product or service
eventually sold to a customer.
5
Value Added (VA) & Non-Value Added (NVA)
• All companies have NVAs. Studies show that in a typical
manufacturing unit, VA time constitutes to less than 5% of the
total time
• One cannot eliminate all the NVAs. Some of them can be
eliminated and many of them can be reduced
6
7 Wastes in Lean Mfg
Transportation
Defects
Inventory
7 Wastes
OverProcessing
Motion
OverProduction
Waiting
7
Waste no: 1 - Transportation
Examples Characteristics
•Any unnecessary material •Multiple storage locations

movement that does not support •Multiple movement of material
the lean manufacturing system •Poor facility layout
•Return of materials not used in
•Conveyors production
•Forklifts
•Transfer Carts
•Movement between shops
Waste no: 2 – Inventory
•Any unnecessary supplies or •Extra space on receiving docks

materials that do not support the •Build up of material between
‘Just In Time Production System’ processes
•Material on site (WIP) •Long lead times for engineering
•Strategic Buys change
•Long Supply Channels
Waste no: 3 – Motion
•Any movement of people which •Looking for tools and parts

does not add value to the product •Excessive reaching or bending
•Material too far apart (walk time)
•Poor plant layout
Waste no: 4 - Waiting
•Idle time in which no value   •Person waiting for a machine

added activities take place •People watching machines run
• Person wait time •Machine or materials waiting for
• Machine wait time a person
• Material wait time •Lack of concern for equipment
breakdowns or downtime
•Long setup times
•Unbalanced operations
•Inconsistent work methods
Waste no: 5 – Over-Processing
•Effort which adds no value to a •Process bottlenecks

product or service •Lack of clear customer
• Work that can be combined expectations
with other processes •Lack of customer input
• Enhancements that are  concerning requirements
transparent to the customer •Redundant approvals
•Multiple Tests •Extra copies and excessive
•Parts Handling information
•Inspections •Inefficient policies and
procedures
Waste no: 6 – Over-Production
•Producing more than needed •Inventory stockpiles

• ‘Work ahead’ •Extra or oversized equipment
•Producing at a faster pace then •Unbalanced material flow and
needed confusion about priority
•Extra parts storage racks and
•Stock manpower
•Over build of capacity •Build ahead of demand
•Unbalanced production •Large lot sizes or batch
processing
Waste no: 7 – Defects
•Repair of a product or service to •Extra floor space, tools and

fulfill customer requirements equipment
•Extra manpower to inspect,
•Warranty rework and repair
•Rework •Additional inventory
•Scrap •Questionable quality
•Lower profits due to scrap
•Incapable processes with
excessive variation
•Inadequate tools or equipment
Session 2: How to implement Lean
Manufacturing
15
7 wastes - Before Lean Implementation
Wastes
RM WIP FG
16
Step 1 - Reduce WIP
Wastes Wastes
RM WIP FG
All the tools of Lean manufacturing, helps in reducing WIP
17
Step 2 - Reduce RM and FG stock - depending on the
Industry.
Wastes
Wastes
RM WIP FG
After reducing WIP, focus should be on reducing RM and FG
18
Lean tools
• Some of the lean tools are
mentioned in the picture
• Appropriate tools need to be
used depending on the type
of wastes
19
VSM - How to identify these wastes?
• Value Stream Mapping
• Clearly explains what are VA activities and NVA
• VSM gives exact NVA time as a percentage of total time
• For most companies, NVA is more than 95%
20
Sample VSM
21
Takt Time
• “Heartbeat” of the line
• For e.g. if the customer demand is 500 numbers for a particular product and
if the company works 1 shift:
• 8 X 60 X 60 sec = 28800 sec (available time)
• Efficiency of 90% = 0.9 X 28800 = 25900 sec
• Takt time = 25900/500 = 51.84 sec
• i.e. Every 52 seconds, the line should give 1 output
22
Bottleneck Operation
• Any process whose cycle time is more than 52 sec will become
bottleneck operation
• There can be more than 1 bottleneck operations in a line
• All the improvement projects should be done on the bottleneck
operations
23
Bottleneck Process - Example
A B C
1 min 2 min 1 min
Output of the line after 1 hour = ?

A B C
X
1 min 2 min 1 minX
30 Sec 45 Sec
Output of the line after 1 hour = ?

Bottleneck
Process
A B C
1 min 2 min 1 min

No use No use
Unless we improve the

30 Sec bottleneck activity, the output 45 Sec
will not increase
Establishing Single Piece Flow
Single Piece Flow / Continuous Flow

Batch Processing
Processing
• High Work-In-Progress items (WIP)
• Quality Problems could be identified only at • Less Work-In-Progress items
the end of the processes

• Quality Problems could be identified
instantly and can be corrected
27
Session 3: 5S
28
5S
What is 5S ?
• A set of five words starting with “S” –

about good housekeeping
• Five steps to the culture of keeping the
work place clean, organized, systematic
and Safe
• A foundation for all improvements and
Lean Journey
• Continual Process
• Every associate is engaged and
empowered.
• Reveal the wastes and their causes in the
process not seen by observation.
• To put it simply “Work Place Organization”
• Culture of an organization
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What is 5S ?
Seiso Shitsuke
Seiri

Sort out Shine Sustain
1 3 5
2 4
Seiton Seiketsu
Set in Order Standardize

Explanation of 5S
(Seiri) – Sort Distinguish between what is necessary and unnecessary items. Remove
unnecessary items from the workplace
Seiton – Set in Order / Straighten Set a place for everything and everything in its place.
Seiso – Shine Clean up the workplace and look for ways to keep it clean.
Seiketsu - Standardize Maintain and monitor adherence to the first three Ss.
Shitsuke – Sustain Follow the rules to keep the workplace 5S-right.

1S - SORT
Separate what is necessary and unnecessary
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© Hash Management Services LLP. 2013
Sort – How to do it ?
• Determine red tagging criteria
• Designate red tag holding area

Red Tag
• Identify person responsible for holding area
Item Name:__________________
• Obtain red tags
• Talk to area workers Item Code :___________________
• Perform red tagging and record tagged items

Quantity Available :_____________
in log book
• Move tagged items to holding area Reason for nil usage :____________
• Disposition tagged items.

Disposal Plan / Target Date :_______

Category-wise separation of items
Waste Special
Scrap iron
paper refuse
Separate unnecessary from the necessary ones,

collect category-wise for easy disposal

Analyze the unnecessary items
No Value. Easy to Dispose off

Dispose Immediately
Unnecessary Items Retains Some
Unnecessary Items Look out for sale
Value
No Value. But Analyze disposal
Costly to dispose methods
Before Disposing take care to go through due process of Checking with Finance etc.
Only the
Next ‘S’
Necessary Items

2S – SET IN ORDER
A PLACE FOR EVERYTHING AND EVERYTHING
IN ITS PLACE
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Set in Order
• After Sorting out the unnecessary items, the needed

items have to be classified by use and arranged:
o To minimize search time and effort.
o To facilitate easy return and retrieval.
o Place each item in a designated address
• In simple terms
o “A place for everything and everything in its place”.

Implementation of Set in Order
Frequently Used / Place near Point of

Fast Moving Use
Moderately Used /
Necessary Items Place it distantly
Slow Moving
Keep Separately
Rarely Used
with labels

Set the parts near the point of use
Before Set in Order
Workstation 100 Workstation 200 Parts
More material and men movement before set in order
After Set in Order

Workstation 100 Parts Workstation 200
Parts placed in between the machines to reduce transportation and

movement
Set in Order techniques
• Points to be remembered when Set in Order:

• Search free
• Air space free Air-Free racks
• Climb/Bend free
Large air gap –
• Count free Count-Free racks wastage of space
• FIFO
0 1 2 3 4
5 6 7 8 9
10 11 12 13 14
14 items in the
rack
15 16 17 18 19

Examples for Point of Use
Tools on revolving trolley Tool Board at machine Tool rack

Examples for Point of Use
Supply of the necessary things at the correct place  

What? How much? Where? For what ? Tool Trolly

Set in Order – in office




3S – SHINE
Cleanliness is next to godliness
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Shine
• This involves cleaning the work place including machines, tools,
floor, walls and other areas.
• On cleaning, a lot of abnormalities like cracks, loose nuts, bolts,
oil leakage, loose wires, etc. can be detected and rectified
• Cleaning is inspection and a health check.

How to start cleaning ?
• Start with a Shiny-day – a company-wide participation for at
least “one hour”. Collective cleaning makes the job lighter.
• Maintain the record of abnormality observed and their removal
• Continue this process till a basic level of Cleanliness is reached.
• Sustain by: 5-Minute Shining every shift
• Develop a Cleaning Calendar and maintain

Steps in cleaning
Unnecessary Items Sort/Discard
Necessary Items Arrange/Order
Instant Maintenance
Defect or
Clean/Inspect Irregularity
Found Planned
Maintenance

Shine
• Each employee cleans his job area and/or machines or plants

themselves.
• The advantage: Defects are promptly discovered
Cleaning is checking
Maschine 03
A B C
MAX 1 2 3
4 5 6
MIN 7 8 9
MAX
MIN
MAX
MIN

Collective Cleaning

Cleaning Calendar / Autonomous maintenance Schedule
Colour-Coded Stickers facilitate

• Lubrication Daily
• Checking for abnormalities
Weekly
Cleaning Calendar for a
Machine - Example
Monthly
Quarterly

Checklist for maintaining Shine
• Check the following in the workstation you are

working:
– Are floors kept shiny and clean?
– Is the floor free of any trash, stain, etc.?
– Are the machines clean?
– Are the equipment, papers, materials, kept orderly?
– Are there items on top of machines, cabinets, etc.?

4S – STANDARDIZE
Continue and standardize the efforts
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Standardize
• Standardization here refers to the System required:

– To continually practicing 3 Ss
– In a well planned and regular fashion.
– To assure continuity of the process
• Following will help in putting such systems:
– Develop 5-S Map
– Conduct 5-S Audit.
– Visually display on gemba
– Trend charts of 5-S index
– Latest Audit Form
– Improvement projects and their status

How to standardize ?
• Improvement projects originate from abnormalities identified in

audit.
• Area Owners named in 5 S Map are responsible for:

– Completing the restoration/ improvement projects
– Find root cause and take preventive projects to avoid such abnormalities
• Some standard Preventive Projects:

– Make all storage areas transparent.
– Develop system to trace the movement of reusable tools etc.
– Make the locations visual for all items.
– Kaizens to eliminate the source of dirt, dust, contamination, etc.

Standardize - Visual Management
Tent card placed to

indicate that mould
has been taken for
production.

Standardize – Visual Management
Transparent containers
litres marked;
Level reorded
Drip catcher
Standardize
Systamatise and standardize 3 Ss involving employees and use their experiences
-Work instructions - Monitors - Markings

- procedure guidelines - Indicators - inscriptions
Instructions
Color standard 1 2 3
Cleaning plan 4 5 6
7 8 9
# 0 > Ordner 1
Ordner 2
Ordner 3
32°
Ordner 4
Ordner 5
Activities
Monday
Tuesday MAX
GF 100
Wednesday
MIN
Thursday
Friday

5S – SUSTAIN
Sustain and continuous improvement
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Sustain
• Means the first 3Ss should become:

– a culture
– a part of the daily work.
• The first 3 Ss are easy to start, 4th and 5th focus on sustaining the
effort.
• The greatest benefit of the 5S is, it helps people to focus and acquire self
discipline.
– A self disciplined employee always shows positive interest and overcomes resistance to change.
• People’s behavior is a reflection of the environment.
• So it is our responsibility to first create a clean, pleasant and a safe

working environment

How to sustain ?
• Publicize Systems for doing 5S
• Rules for Audits and evaluations.
• Conduct Regular 5-S Patrol, Audit
• Conduct Periodical 5-S Contest
• Actively Promote 5-S
• Make doing 5S a matter to be proud of
• Train to Standardize make it a culture

Sustain - Token systems for tools

Session 4: SMED
66
Are Change-Overs difficult?
67
Benefits of small lots production
• Less manufacturing lead time
• Quick delivery to the customer
• Low risk of product obsolescence
• Improved cash flow because of less inventory
• Less space for storage
68
Change-Over / Set-up time reduction
• Changeover time is the time between completion of the current processing task up to
the time when the next processing task produces the first defect-free product
• Change Over includes:
• Preparation and after process adjustments, checking of materials, tools
• Removing and mounting tools / parts
• Measurements, settings and adjustments
• Trial runs and adjustments
69
Classification of Change-Over time
● Change over time (C/O) = Internal C/O + External C/O
To be performed can be performed

inside the machine, outside the
when the machine is machine, when the
stopped machine is running
Both may
have Muda
70
Method to implement SMED
• Go to the Gemba
• Observe the changeover
• Record on camera if possible
• Identify the Muda, Muri and Mura
• Analyze and apply Temporary Countermeasures
• Verify result
• Standardize with permanent solutions
71
Which method is faster?
72
Observations?
73
Observations?
• Tasks done ?
• Time taken?
• Total no of people involved?
• No of people involved per task?
• Resources ?
• Positions of people?
74
Step 1: Analyse Internal and External activities
• Analyze from changeover results table
• Ensure tasks identified as external are performed when machine
is running
• Support by eliminating waste in external c/o
75
Identify and Eliminate External Waste
Preparation waste – searching

For tools, carts, jigs etc
External C/O waste
Clean up waste – putting back
Above items
Apply 1S and 2S principles
• Discard unwanted items
• Place Indicators, colour coding
• Changeover trolley
• Check tools/parts before changeover
• Keep ready near machine

76
• SMED Trolley
77
Step 3 – Convert Internal tasks to External
• Look at true function and purpose of each operation in the current internal setup
• Identify ways to convert these steps to external by
• Advance preparation of operating conditions – getting next Parts, tools ready
• Function standardization
• Using intermediary jigs for positioning
78
Step 4: Improve Internal Set-up
• Identify and eliminate replacement waste – removing and fastening of bolts etc.
• Can we do without this – for e.g. Eliminate need to remove nuts and washers fully
• Can we reduce the number of times this operation must be done – for e.g. no. of
turns to fasten a bolt
• Implement parallel operations – develop procedural chart indicating sequence of
tasks which each operator will perform
79
80
• Identify and eliminate adjustment waste – fine tuning after c/o to get defect free
• Have standards (visual) and adhere strictly to them
• Standardize die /job height or length using space blocks etc
• Visible centerlines and reference planes
• Use shims, gages to reliably set gaps etc
81
3 Golden Rules in SMED
• Do not mind deploying additional people to do a changeover
• Record changeover every time and create a visual display
• Run Changeover competitions frequently
82
Session 5: Kaizen
83
Kaizen
• Small change leading to large improvement
Kaizen is small change

that leads to
Large Improvement
84
Kaizen - Popular Misconceptions
• Kaizen is only for employees.
• Kaizen is only a sort of a suggestion scheme.
• Any implemented improvement is Kaizen
• Kaizen is SMALL improvements (only).
• Kaizen is one time improvement
85
Focused Improvements
Improvement is like sunlight:

Focused improvement concentrates the
• Lot of energy, but dispersed (wasted)
energy:
• Small improvements
• Little energy, but concentrated and aligned
• Slow progress.
• Enables significant (large) improvements
• Small time required
• Rapid progress
86
What is Kaizen?
• Kaizen/ Focused Improvement is:
• Process Improvement
• in Strategically Important Areas (bottleneck Operations)
• Significant Improvements
• (and small ones that go with it)
• Sustainable Improvements
• Speedily Executed Improvements
87
Kaizen Rules
Ready to give up traditional thinking, question everything
Ask 5x “WHY” and find problem‘s root cause
Ask what can be done, not explain why something cannot be done
Imperfect progress is better than postponed perfection
Produce only perfect quality and correct mistakes immediately
Invest time and creativity in Kaizen, not money.
Solve problems in the team
Kaizen does not have any end
88
Kaizen Principles
Go to Gemba - When Abnormality occurs
Check Gembutsu - Machine, Material, Failures, Rejects etc.
Search for - Muda (waste), Mura (inconsistency), Muri

(physical strain)
Speak With - Take temporary countermeasures on the

spot
Make Kaizens - Remove Root Causes
Standardize - Prevent recurrence of the problem

89
Kaizen requires a non-blaming culture
Blaming Non-Blaming
• Fault-finding • Fact-finding
• Focus on individual • Focus on process
• Ask “Who?” • Ask “Why?”
• Zero in on function • Look for systems issues
• Make assumptions • Determine needs
• Blame
• Control
X • Hold accountable
• Assist
• Inspect/sort
• Improve capability 90
Benefits of Kaizen
• Evaluates system with data
• Allows “real” issues to emerge
• Decreases negative blaming activity
• Increases trust
• Increases quality of communication
• Increases capability
91
Kaizen Promotes Process Oriented Thinking
• Self-Discipline: Apply a common process
• Time Focus: How long does the process take?
• Skill Focus: What skills are required?
• Participation: How can I make improvements?
• Morale: How will changes affect others?
• Communication: Why are changes made?
92
Kaizen
If you do not understand, it does not

change anything.
If you understand, it does not change

anything.
- Zen Saying
93

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Lean Manufacturing

Hash Management Services LLP

• A set of Management practices originated in Japan, useful in

eliminating non-value added activities and improving the

productivity in a faster and efficient manner!

• A systematic approach to identifying and eliminating waste (non-

value-added activities) through continual improvement by flowing

the product or service at the pull of the customer.

• Doing More with Less

• A philosophy that constantly eliminates non-value added activities

• Originated in Toyota Motor Company in the late 60’s

• Driven by all the employees in the company through participation

Value Added Activity Non-Value Added

• All companies have NVAs. Studies show that in a typical

manufacturing unit, VA time constitutes to less than 5% of the

• One cannot eliminate all the NVAs. Some of them can be

eliminated and many of them can be reduced

•Any unnecessary material •Multiple storage locations

•Any unnecessary supplies or •Extra space on receiving docks

•Any movement of people which •Looking for tools and parts

•Idle time in which no value •Person waiting for a machine

•Effort which adds no value to a •Process bottlenecks

•Producing more than needed •Inventory stockpiles

•Repair of a product or service to •Extra floor space, tools and

All the tools of Lean manufacturing, helps in reducing WIP

After reducing WIP, focus should be on reducing RM and FG

• Some of the lean tools are

mentioned in the picture

• Appropriate tools need to be

used depending on the type

• Value Stream Mapping

• Clearly explains what are VA activities and NVA

• VSM gives exact NVA time as a percentage of total time

• For most companies, NVA is more than 95%

• “Heartbeat” of the line

if the company works 1 shift:

• 8 X 60 X 60 sec = 28800 sec (available time)

• Efficiency of 90% = 0.9 X 28800 = 25900 sec

• Takt time = 25900/500 = 51.84 sec

• i.e. Every 52 seconds, the line should give 1 output

• There can be more than 1 bottleneck operations in a line

• All the improvement projects should be done on the bottleneck

1 min 2 min 1 min

Output of the line after 1 hour = ?

Output of the line after 1 hour = ?

1 min 2 min 1 min

Unless we improve the

Single Piece Flow / Continuous Flow

• High Work-In-Progress items (WIP)

• Quality Problems could be identified only at • Less Work-In-Progress items

the end of the processes

• A set of five words starting with “S” –

www.hashllp.com © Hash Management Services LLP. 2013

www.hashllp.com © Hash Management Services LLP. 2013

Shitsuke – Sustain Follow the rules to keep the workplace 5S-right.

www.hashllp.com © Hash Management Services LLP. 2013

• Determine red tagging criteria

• Designate red tag holding area

• Talk to area workers Item Code :___________________

•Idle time in which no value   •Person waiting for a machine

Supply of the necessary things at the correct place  