3. HISTORY OF LEAN
• What is the secret of Toyota's success?
Toyota caught the world's attention by 1990s, it
became
apparent that there even more something
special about its
production system.
The Toyota production system (TPS) seeks to
eliminate or
reduce waste from everywhere in the factory,
through
improving overall performance and quality.
-THIS IS WHEN THE LEAN PRODUCTION WAS
FIRSTINVENTED
4.
5. Traditional
VS. Lean
production
Aspects Traditional
Manufacturing
Lean Manufacturing
No. of equipment and
people
High Less
Factory space for same
output
High Less
Production Lead time High Less
Defects High Less
Inventory level High inventory levels Inventory levels are
radically reduced.
Cycle time Long cycle time Short cycle time
Quality management Quality management
through inspection and
rework
management of quality
through prevention
6. Principles of Lean Manufacturing
• Define value: the Lean approach begins with this step. Value is what the customer is willing to pay.
Identify and give importance to what the customer expects in the products/services.
• Map the value stream: in this, the main aim is to use the customer's value as a "reference point" and
identify activities contributing to these values. Activities that do not add value to the end customer are
considered as waste.
• create flow: Once the value stream is mapped, create a workflow of the entire production process,
without any interruptions. A well-detailed workflow will ensure everything works in harmony, as efficiently
as possible and help eliminate waste.
• establish pull: everything is made at the right time and not ahead of time; nothing is made until the
customer orders. Therefore, resources will be aligned perfectly with demand, and waste will be reduced
dramatically.
• pursue perfection: In the final step, Lean thinking and process improvement should be part of the
corporate culture. Every employee should involve in implementing lean and gain benefits.
There are five basic principles(steps) of lean manufacturing:
7. Lean
production and
automation
• Both manufacturing automation and lean
manufacturing have the same goals: to satisfy
customers at the lowest possible cost. To
achieve these goals, both disciplines address
removing low-value or nonvalue activities,
reducing waste and producing predictable
quality.
8. Identification of
Major Lean
Production Waste • The seven wastes of Lean Production
are what we are aiming to remove from
our processes by removing the causes of
Mura and Muri as well as tackling Muda
directly. Industrial MUDA elimination is a
major challenge that is faced by the
experts in the "day to day" activities of
production systems. Mostly there are
seven types of Industrial MUDA in lean
systems .
9. There are two types of MUDAs:
• Muda is a Japanese word meaning wastefulness, the seven MUDAs
concept is considered one of the optimal resource allocation concepts
and should not be confused with waste reduction
MUDA type 1: Nonvalue-adding but they are necessary for the
customers causing them to be harder to eliminate
MUDA type 2: Nonvalue-adding and unnecessary for the customers and
should be eliminated
Seven MUDA
10. Inventory waste • In the normal setting of a factory or a plant, there
will be raw materials, work in process, finished goods,
etc. All of which are stored in some part of the plant,
and they won’t be of benefit until they are sold.
Transportation
waste
• Transportation waste comes from moving
the materials and goods in between processes
or what comes afterwards. Transportation adds
nothing to the value of the products .
11. Waiting waste • Waiting disrupts the flow of things and becomes
a bottleneck in production whether
it produces blocking or starving stations in the
workplace.
Motion waste • Motion waste is one of the hardest types of
waste to track and eliminate because it is hard
to monitor every worker in the facility. Any
unnecessary motion or action from equipment or
workers is considered motion waste.
12. Overproduction comes from producing products or parts that exceed
the market or customer demand, excess parts will require more effort in
transportation and motion which all pour into increasing the overall
cost on the manufacturer.
Over-
processing
waste
Defects waste
Overproduction
waste
A product can either have parts that provide no additional value, or it
can have parts that provide more value than what is actually needed.
Customers are not willing to pay for those extra features leading to an
increase cost on the manufacturer.
defects are the one of most driving factors of producing waste because
defects need more processing than usual products. Defects either go to
rework, or even worse, they go to scrap.
13. Basic Lean Tools & Techniques
• 1. Lean 5S
• 5S principles entail organizations to achieve a more stable and organized system. An organized
workplace paves the way for a safer, efficient and productive environment. The 5S principles 'Sort', 'Set
in Order', 'Shine', 'Standardize', and 'Sustain' .
• 2. Just in Time (JIT)
• JIT aims to ensure that inputs into the production process only arrive when they are needed ,This will
reduce unnecessary inventory cost and ensure that companies spend only on the produced stock.
• 3. kaizen
• Or "continuous improvement" is an approach of constantly introducing small incremental changes in
a business in order to improve quality and/or efficiency .
• 4. Kanban
• Kanban provides a visual demonstration of the ongoing process and ensures there is no interruption
in the flow.
. Lean manufacturing combines multiple tools and techniques to drive change in manufacturing and
production processes.
14. It is about scope and value
of the product
It has six different phases in its
life cycle
It's about the product quality
and its speed of development
it has seven principles in its
development model
It can be used for building as
small batches as possible
Agile Lean
VS.
Definition
Flexibility
Generality
Principle
Built in Facilities
It supports flexibility in different
frameworks usage
It is aims to improve the
process in order to make a
better product
It is focuses on how we can make a
better product
It supports in continuous
inspection and adaption of the
product.
It can be used for any product development
which is small or large and a
suitable framework can be chosen
15. • Lean is a business improvement philosophy developed over
the years that includes a set of lean manufacturing tools. It is a
way to focus your business on the real customer needs and
reduce waste in your operations. Lean has many benefits
associated with reducing waste.
17. • The stock drains a lot of cash from the cash
to store, transport and maintain it. Also, the
large stock may cause more than one problem
that also drains money to fix it. Here comes the
role of the lean in eliminating this problem by
getting rid of the stock in operations in general
to hide other problems, which It leads to
keeping money in your hands to use at work .
18. 3- Gaining Satisfied
Customers
• The Lean defines the value as the customer
wants it. If you can provide the customer what the
customer wants every time, you will ensure
customer satisfaction. If you can provide high
quality products at the specified time and place,
you will greatly guarantee the success of your
business due to the availability of satisfied
customers who will continue to buy from you
Which allows you to develop and grow your
business more .
19. 4- Improve
Your Profits
• Most companies work on this formula:
• Selling price = Profit + Costs
• But in fact, the selling price is
determined by the market, not you. So if
the selling price is very high, customers
will not buy from you. which leads to the
loss of your customers because your
selling price is not appropriate.
20. • Therefore, the most appropriate equation is:
• Profit = Selling price – Costs
• Lean reduces your costs. So the more you save, the
more you earn. Every dollar you save will be added to
your profit directly.
• Therefore, one of the most important reasons for
the great profitability of companies is the significant
cost savings without neglecting the quality .
