LEAN MANUFACTURING DEVELOPMENT TIMELINE Global competition Inception The rise of global competition begins with American domination of the internation auto market. Toyota Motor Corporation is Early developments in lean manufacturing center around automation, standardization of work and developetd in Japan, largely in response to low domestic sales developments in manufacturing theory. of Japanese automobiles. Lean manufacturing begins Henry Ford KIICHIRO TOYODA Alfred P. Sloan Ford GM 1913 first turns on his assembly 1921 visits U.S. textile 1923 becomes president of 1925 begins assembly in 1927 begins assembly in Japan, at with advancements in line, signaling a new era in factories to observe General Motors, institutes Japan, under their their subsidiary company, automation and year manufacturing year methods year organizational changes year subsidiary company, year GM-Japan interchangeability, dating back as far as the 1700s. 1924: Jidoka Coninuous flow Sakichi Toyoda perfects his automatic production leads to 15 million Kiichiro Toyoda loom and coins the term”Jidoka,” units of the Ford Model T over 15 owned a textile company, and actively meaning “machine with a human touch,” In the late 1920s and years sought ways to improve the manufacturing referring to the automatic loom’s ability to process 1930s, American detect errors and prevent defects. automaking dominates the global market, including the Japanese market. Ford and GM “A Bomber an Hour” expand operations Ford-run, government-funded Willow Run Bomber plant mass produces the B-24 WORLD WAR II ENDS WORLD WAR II begins in the Pacific, 1937 World War II TOYOTA MOTORS Germany formally with the Japanese 1937 TOYODA COMPANY surrenders, followed 1945 invasion of China YEAR leads to rationing, materials Toyota Motor Corporation 1937 1927 shortages and other - established, with Kiichiro adapts assembly line to months later by Japan year loom production year YEAR challenges to manufacturing 1945 Toyoda as President WORLD WAR II begins in Europe, with the German invasion of 1939 During World War II, both Poland YEAR Flow production in practice Factory laid out according to a plan Ford and Toyota are forced Economic strains and wartime policies present to divert resources into authored by Kiichiro Toyoda, optimized for early flow production military manufacturing. UNITED STATES unique challenges to the manufacturing Scarcity of materials slows joins World War II, 1941 industry, along with opportunities to test new, some progress, but declaring war on Japan YEAR eicient methods of production. encourages greater eiciency Wartime shortages Just in Time manufacturing systems still modeled aer this process MANAGING DIRECTORS SUPERMARKET SYSTEM NORMAN BODEK John Krafcik JAMES WOMACK In recent decades, lean 1950 of the Toyota Motor 1954 of supplying parts in 1979 begins transcribing 1988 A student at MIT, coins 1990 publishes “The Machine manufacturing has Corporation train with the Toyota plant is first Japanese literature on the phrase “lean that Changed the World” continued to expand year the Ford Motor Company year implemented year manufacturing eiciency year production” in a paper year through industries around the world, both in practice and theory. Following the conclusion of World War II, the United States and “Lean manufacturing” enters the industrial and academic lexicon, and both Japan begin collaborating to further develop manufacturing manufacturers and researchers work to adapt the theory and practices developed eiciency, especially in the automotive industry. in the auto industry to apply to a wide range of industries. Peacetime cooperation Translation and Expansion Prepared by the Eagle Group | www.eaglegroupmanufacturers.com Consider this “weakest link.” How can it be strengthened, replaced or with employees and witnessing the production process firsthand. eliminated? By adopting a culture of gemba, companies can improve in several ways, including: Building communication chains between the shop floor and the executive oices tools Cellular Manufacturing Promoting a more thorough understanding of issues that aect production Cellular manufacturing is the practice of grouping equipment and processes Cultivating a more harmonious work environment of lean manufacturing around specific parts, rather than grouping them based on equipment type or process type. Traditionally, manufacturing environments are organized so that all parts go through one process, and are then transported to another area to undergo another process. In cellular manufacturing, a part stays inside a single “cell” to undergo several processes. In setting up manufacturing cells, Kaizen Developed over decades, the following tools can be used manufacturers must plan and execute the following: individually or in combination to improve eiciency and make One of the cornerstones of lean manufacturing, Kaizen focuses on continuous manufacturing “leaner.” When embarking on a journey towards Product grouping: combine parts based on key production similarities (size, improvement in the manufacturing process. It’s obvious that any business lean manufacturing, each company must decide which tools to equipment used, common processes) would want to improve their processes as much as possible, but Kaizen is more about creating an environment that allows continuous, incremental implement, and how to customize each one to fit their particular Cell design: organize equipment within the cell, taking into account movement improvement. To use Kaizen, companies should: needs. of personnel and production flows Promote communication between shop-floor employees and management Shop floor layout: organize cells on the shop floor, maximizing eiciency of storage and transportation Regularly request feedback from employees at all levels 5S Separate, record and quantify all aspects of production Schedule: starting and carrying out jobs in each cell 5S is oen the launching point for businesses just starting with lean The primary goal of cellular manufacturing is to reduce a part’s movement Continually stay abreast of technological advancements manufacturing. Much of 5S seems intuitive, but implementing each step can around the shop floor, which can be highly eective in reducing lead times, result in significant improvements in eiciency and quality. inventory buildup and production errors. Sort - Organize every workspace by separating the necessary (materials, tools) from the unnecessary (waste, scrap, redundancies) and remove KPIs (Key Performance Indicators) anything unnecessary from the production area Continuous Flow KPIs are performance indicators that align closely with broad company goals. Set In Order - lay out the necessary inputs of production (tools and When developed correctly, they oer a roadmap to all employees, and a way to materials) in an easy, intuitive manner Also known as one-piece flow, continuous flow is closely related to cellular self-evaluate success and improvement while on the job. Ideal KPIs should: manufacturing. In contrast to traditional “batch” manufacturing, continuous Shine - Clean the workspace and remove any clutter flow focuses on processing limited numbers of parts, one aer another. Involve measurement of waste For example, in a well established manufacturing cell, a part may go through Standardize - Make a list of instructions for repeating the first three steps, three or four dierent processes. As soon as the part has completely moved Be directly aected by shop-floor employees. so that any employee who arrives in the workspace knows exactly how to through the cell, the next part is taken and the processes repeated. As proceed continuous flow is perfected, any downtime or extraneous processes are While not everyone at the company attends the board meetings, KPIs can get removed from production. everyone on the same page and drive the company toward success. Sustain - Rinse and repeat. Sort, Set In Order and Shine on a regular basis, so that the workspace stays clean and clutter-free at all times. One of the major benefits of continuous flow production is that parts can be produced to match customer demand, and production can stop whenever demand is met. This way, standing inventory can be kept to a minimum. Muda Bottleneck Analysis Muda simply means “waste.” In manufacturing, muda is anything in the process that fails to add value to the customer’s purchase. Muda could be Bottleneck analysis is the practice of finding bottlenecks and reducing them, or Gemba excessive packaging, or unnecessary finishing processes, or even vending eliminating them entirely. machines in the break room stocked with unpopular snacks. Gemba is more of a philosophy than a concrete set of steps. Translating Evaluate the manufacturing chain, and look for the slowest or least stable roughly to “the real place,” gemba encourages executives and upper Muda comes in almost infinite shapes and sizes, and its elimination is the basic aspect of the process. management to spend as much time as possible on the shop floor, interacting tenet of lean manufacturing. Prepared by the Eagle Group | www.eaglegroupmanufacturers.com SMART goals are another example of a highly flexible lean tool, widely Early Equipment Management: apply knowledge of failures and issues to applicable in just about any industry. SMART is an acronym to help improve installation or production of new equipment OEE (Overall Equipment decision-makers design company goals. Using SMART, all goals should be: Training and Education: make sure everyone, from headquarters