IENG 451 / 452 MUDA (Waste): Waste’s Impact on Systems IENG 451 - Lecture 16 MUDA (Waste): Waste’s Impact on Systems 11/8/2018 IENG 451 Operational Strategies (c) 2016 D.H. Jensen
House of Lean CUSTOMER FOCUS: JUST IN TIME INVOLVEMENT: JIDOKA Highest Quality, Lowest Cost, Shortest Lead Time by continually eliminating Muda JUST IN TIME INVOLVEMENT: JIDOKA Flexible, motivated team members continually seeking a better way (Intelligent Human-Machine Systems) STANDARDIZATION STABILITY 11/8/2018 IENG 451 Operational Strategies
Eliminating Waste in Lean Systems Focus on VALUE: What the customer would be willing to pay for – if they knew we did it Value-Added – actual work of transforming the product or providing the service Auxiliary Work – (BNVA) – supports the work being done or required for regulatory purposes Non-Value-Added – if you stopped doing it, there would be no adverse effect on the product or service Japanese terms for waste: Mura – unevenness Muri – difficult to do Muda – wasted effort 11/8/2018 IENG 451 Operational Strategies
Eliminating Waste in Lean Systems Mura: Unevenness or fluctuation in work Ex. Batch Production – seeks to minimize set-up costs while still allowing the system to produce a mix of orders To save on multiple set-ups, make the batches as big as possible Problem – workers strain to produce the difficult items, then coast the other part of the time Solution(s) SMED – single minute exchange of dies (switch-overs) Reduce the sequential activities for set-up by concurrency Heijunka – production leveling Mix the models being produced in an even fashion 11/8/2018 IENG 451 Operational Strategies
Eliminating Waste in Lean Systems Muri: Difficult to do Ex. Variation in Production – seasonal customer orders shock the production system Ex. Poor Job Design – worker strain Ex. Inadequate Tools – difficult inspection using old tools Ex. Unclear Specifications – workers are not clear on what to do to produce what the customer desires We have many tools to fix these, if we allow ourselves the time to improve the system Ex. Bear Sneakers Ex. Bucksaw Sharpening 11/8/2018 IENG 451 Operational Strategies
Eliminating Waste in Lean Systems MUDA – 8 wastes: Waste of Motion (Un-)Ergonomic Strain Waste of Delay Lead Time = Process + Retention Waste of Conveyance Smaller batches, closer stations Waste of Correction Rework and scrap Waste of Over-Processing Delivering more than customer wants Waste of Inventory WIP – work in process Waste of Over-Production Things that don’t sell Waste of Knowledge Knowledge that is earned, but not shared Work Actual Work MUDA Motion MUDA Motion Auxiliary Work Motion Motion 11/8/2018 IENG 451 Operational Strategies
Manufacturing Cost Breakdown 40% 15% 5% 25% 15% Selling Price Manufacturing Cost Eng’g Admin, Sales, Mktg, etc. Profit Mfg Cost 50% 26% Parts & Mat’ls Direct Labor Plant / Mach. Depreciation, Energy Indirect Labor 12% R & D Fig. 2.5 Breakdown of costs for a manufactured product [Black, J T. (1991)] 11/8/2018 IENG 451 Operational Strategies
Value-Added Time in Manufacturing Time on machine Moving & Waiting Time in factory Time on machine 70% 30% Loading, Positioning, Gaging, etc. Cutting 5% 95% Fig. 2.3 How time is spent by a typical part in a batch production machine shop 11/8/2018 IENG 451 Operational Strategies
House of Lean CUSTOMER FOCUS JUST IN TIME INVOLVEMENT JIDOKA Hoshin Planning, Takt, Heijunka Involvement, Lean Design, A3 Thinking JUST IN TIME INVOLVEMENT JIDOKA Standardized Work 5S TPM Kaizen Teams Suggestions Safety Activities Hoshin Planning Flow Heijunka Takt Time Pull System Kanban Visual Order (5S) Robust Process Involvement Poke Yoke Zone Control Visual Order (5S) Problem Solving Abnormality Control Separate Human & Machine Work Involvement STANDARDIZATION Standardized Work Kanban, A3 Thinking Visual Order (5S) Hoshin Planning STABILITY Standardized Work, 5S, TPM Jidoka, Heijunka, Kanban 11/8/2018 IENG 451 Operational Strategies
IENG 451 Operational Strategies Questions & Issues 11/8/2018 IENG 451 Operational Strategies (c) 2016 D.H. Jensen