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1、Michigan Manufacturing Technology Center2014 MMTCTen Ways Lean Systems Can Improve Your OrganizationMicroSkills Session:Lean Systems?What is it?A philosophy that demands short lead times to deliver defect-free low cost products and/or servicesA Lean system is achieved by eliminating waste in all asp
2、ects of product or service delivery processes.What it is not.A headcount reduction strategy Demanding more from workers without providing the tools and strategies to achieve moreLean Systems Improve Profits by Decreasing Time and Costs!2The Pricing Model TodayPrice(Fixed)Any increase in these areas
3、of cost squeezes the profit!Fixed (Set By The Customer)Our GoalOur Challenge!ProfitBurdenLaborMaterialsProfit = Price - Cost 3Why Lean Systems?4MicroSkill 1Strategic Planning Company VisionBreakthroughObjectiveTODAYA Measurable Strategic Plan is lacking in most organizations.It is impossible to begi
4、n with the end in mind if the end hasnt been defined.When people know what is truly important, their behaviors can help you close the execution gap.A strategic plan can typically be crafted in a day and can fit on one piece of paper. 8 Types of Waste in ANY ProcessDefectsOverproductionWaitingNon-uti
5、lized talentTransportation InventoryMotionExtra processingWould it be difficult to train everyone to recognize these wastes in their daily work? Would memorizing this be asking too much?Value Added5MicroSkill 2What Is Meant by Value Added?Value Added (CPR):Those activities that deliver a product or
6、create a service or information that meets customer requirements. Work that the Customer is willing to pay for (will they ever see it?)Work that Physically transforms the product, service or information (Are the before and after pictures any different?)Work that is done Right the first timeNon-Value
7、 Added ActivitiesThose activities that consume time, resources or space, but do not add to the value of the product or service itself.Non-Value Added but Necessary ActivitiesThose activities that do not add value but are CURRENTLY NECESSARY (legal, statutory, regulatory, etc.)6MicroSkill 3Would it b
8、e difficult to train everyone to recognize this in their daily work? Would memorizing this be asking too much?Why is Process Mapping Important?“If you cant describe what youre doing as a process, you dont know what youre doing.”MicroSkill 4W. Edwards DemingA process map is the best way to understand
9、 a process all the way through not just the pieces that we are already experts on.Every step in every process probably made perfect sense at one time, but rarely are they questioned in terms of value added.We trust everyone is doing their best and they dont try to make errors, however the magic is o
10、ften what happens in-between the value added work.Process Mapping Example:Hospital Inpatient SurgeryMicroSkill 4Red = Non-Value AddedYellow = Necessary, but Non-Value AddedGreen = Value AddedPurple = Review, Approve or InspectBlue (diamond) = Decision pointImpact of Batch Size Reduction30+ minutes f
11、or total order12 min. for total order3 min. for first partProcessProcessProcess One-Piece Flow Processing “Make one - Move one!”BAC10 minutes10 minutes Batch & Queue ProcessingLead Time:21+ minutes for first piece10 minutesProcessAProcessBProcessC9MicroSkill 5Local departmental efficiencies often co
12、me at the expense of the system5S Workplace Organization10MicroSkill 6A Simple Concept: If we expect our people to be as efficient and effective as possible, we must ensure that the workplace is as efficient and effective as possible.The 5S Recipe:SortSet-in-OrderShineStandardizeSustainThe Hidden We
13、ek: What if we waste 10 minutes per day because we are disorganized.?Standardized Work11MicroSkill 7The Scientific Method:A method or procedure that has characterized natural science since the 17th century, consisting in systematic observation, measurement, and experiment, and the formulation, testi
14、ng, and modification of hypotheses.StandardizationWorldClassContinuous ImprovementChangeStandardized Work:The documented best known method or procedure to produce quality outcomes. When our process deviates from its standard, we should expect variable outcomes. Variation is the enemy of any processE
15、rror Proofing12MicroSkill 8Assumption: People do not intentionally make errors, but they are capable of them. Three States of an Error:State 1The Error is about to occurState 2The Error occurred but no defect was recognized (yet).State 3The Error has resulted in a defect.Lots of attention is usually
16、 paid here, because this is where the “pain” occurs.Where we should be focusingActivity-Based CostingMicroSkill 9Objects of WorkActivitiesResourcesBuilding, Wages, Benefits, Vehicles, Machines, Offices, Computers, Warehouses, Quality Lab, etc.Case Management, Order Taking, Workforce Training, Docume
17、ntation, Meetings, Making Something,Performing a service , etc. Case # 12345, Job # 6789, Customer XYZ,Service ABCNot understanding true costs at the activity level often leads to poor decision making and excessive expense. Most accounting systems are not designed to answer these questions, therefor
18、e critical business questions are typically never truly answered.KaizenMicroSkill 10Assumption: There is always room for improvementRealities: There is rarely an established improvement methodology in most organizations. This is typically because there is no strategic plan that dictates what must be improved (i.e. how much and by when is never discussed or written down).Most people already have great ideas and they are DYING for you to ask!Kaizen is a rapid process improvement methodology with a simple pr
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