1. The Seven Deadly Wastes Course Objectives Learn what the Seven Deadly Wastes are and how they affect our business. Identify the Waste in our business and develop an action plan to eliminate it. Develop an action plan to teach others what the Seven Deadly Wastes are and how to eliminate them.

2. First – The History Lesson Have you heard of Mass Production? This method of production was brought to the forefront with Henry Ford’s invention of the automobile.

3. Dr. Deming Enters the Scene Following WWII, the lean manufacturing approach was developed by American Dr. Edward Deming, to assist the Japanese economy in rebuilding from the impacts of war. The scarcity of raw materials provided the basic premise for lean manufacturing, i.e., use what is on hand in the most efficient manner.

4. Great Cars from Japan? How were the first cars from Japan viewed? How are cars from Japan viewed today? Welcome the age of Lean Manufacturing.

5. The Toyota Production System In the early 1960’s TPS was pioneered by Taiichi Ohno to reflect the philosophies of waste elimination and time management Highly skilled “work cell” jobs Emphasis on quality and efficiency

6. TPS Top Three 1. The team must embrace a philosophy of having zero tolerance for waste 2. Activity on a daily basis is focused on creating a stable production environment. 3. Systems are set up to create customer “Pull” or Just-in-Time Delivery

7. Zero Tolerance For Waste All unnecessary waste can be eliminated Stated simply, the goal is perfection

8. Stable Production Environment The highest quality product can only be achieved in a stable environment. Problems are instabilities that must be surfaced quickly and solved permanently Standardization, consistency and predictability and repeatability are the goals. Improve from there!

9. Customer Pull/JIT Delivery A product should only be built to meet customers demands. Build only what the customer wants, deliver it when it is expected and with perfect quality This approach results in the best use of the company’s resources, which leads to greater profitability

10. Let’s get into the Waste

11. What are you willing to pay for? Dough, Sauce, Toppings, Toppings dropped on the floor, Labor cost for delivery driver, Labor cost for delivery driver to stop at girlfriend’s house on the way? What are our customer’s willing to pay for? VALUE ADDED ACTIVITY

12. Value Added Activity Value is added to a product when it changes the fundamental nature of the product. Examples:  Stamping a bracket out of a coil of steel All other activities are non-value added or waste

13. And here they are... 1. Overproduction 2. Inventory 3. Transportation 4. Waiting 5. Motion 6. Over Processing 7. Correction or Rework W A S T E

14. Overproduction Overproduction is making more of something than the customer requested Examples:  Running a machine for 16 hours when only 10 are required  Making 2 day’s worth of product when only 1 day’s worth is required

15. Inventory Inventory waste occurs when there is more product on hand than the customer requested. Examples:  More raw material than needed for smooth production  More work-in-process

16. Transportation Transportation waste is moving the product more than is necessary Examples:  Having three storage locations for the same material  Moving raw materials to an offsite warehouse

17. Waiting Anytime value cannot be added because of a delay is defined as the waste of waiting Examples:  Waiting for material  Waiting for a machine to be fixed  Unbalanced assembly sequence

18. Motion The waste of motion refers to any extra movement of the operator when they are performing the work sequence (excessive or repetitive motion also increases ergonomic issues) Examples:  Walking 10 feet to retrieve a part or tool  Twisting around to grab a part in the back of the workstation

19. Overprocessing Over processing is doing more to the product than the customer requested Examples:  Plating a product for four hours when only two are required  Testing a product three times when the specification calls for one test

20. Correction/Rework Anything that is not “done right the first time” and requires rework inspection or touchup (Also includes scrap and appearance issues ) Examples:  Re-torquing a bolt  Sorting incoming materials  Checking a key dimension  Trimming thread or flash from a component

21. Waste in my cell!! Waiting Inventory Motion Transportation Overproduction Over Processing Correction

22. Action Plan for Eliminating Waste and Teaching Others 1. 2. 3. 4. 5. Discuss this with my coach.