1. Kaizen Eventing: The process of observation and the elimination of waste in a process

2. What does Kaizen mean and why is it an important for process improvement? Definition: The Japanese term for improvement; continuing improvement involving everyone-mangers and workers. In manufacturing, kaizen relates to finding and eliminating waste in machinery, labor or production methods. This is also known as continuous improvement-CI. (APICS Dictionary 13 th edition) In Lean practices, there is a process of Systematic Waste Elimination. By eliminating waste, processes become more robust and the products and services produced are of more value to the customer.

3. Lean Systems Principles

4. Systematic Waste Elimination Lean, in its simplest form, is the relentless pursuit and systematic elimination of waste. By performing a Kaizen Event, the entire process is reviewed and process improvements are suggested and then tested to see if the waste has been eliminated!

5. Lean Systems Rules 1. Structure every activity 2. Clearly connect every customer – supplier 3. Specify and simplify every flow path 4.Improve through experimentation Lean rules are specific and they guide you on how you should view a process and improve the process.

6. Seven Types of Waste Transportation Inventory Motion Waiting Overproduction Over-processing Defects

7. Definition of Waste Waste is anything beyond the absolute minimum amount of materials, manpower, machines, methods and measurement needed to add value to a product or service.

8. Why Learn About Waste?  Because there is a great deal of opportunity to improve  So that we have a common way of looking for and talking about opportunities as part of our Lean Transformation  Because no matter how well we plan or design, waste always creeps back into our processes  Even a minimal amount of waste is non value-added.

9. What is the Lean Enterprise? An ideal state of delivering what the customer wants, when they want it, at a price they are willing to pay, with zero defects, zero waste, and where everyone is safe.

10. Value-Added Definition Must meet all three criteria: 1. Something the customer is willing to pay for. 2. Alters the product or process output; the product must change. 3. Must be done right the first time.

11. Typical Causes of Waste Operational Issues – Long set-up times – Lack of PM, TPM – Layout (Distance) Flow – Work methods – Incapable processes – Supplier quality – High inventories – Process variation – No standards – Obsolescence – Unbalanced workload – Batch and queue – IT technical gaps

12. The Waste Walk As a team we can find many opportunities to eliminate waste

13. Purpose - Committed time and focused effort produces results - Separate the looking for waste from the elimination of it - This is our opportunity

14. Guidelines 1. Be specific - details matter 2. Quality, not quantity 3. Don’t solve it on the spot, just identify: DON’T JUMP TO SOLUTIONS 4. Be considerate of those in their working environment 5. Take digital pictures (if available) 6. Complete the Waste Observation Form 7. Report out

15. Waste ObservationType*Location WASTE OBSERVATION FORM *Transportation, Inventory, Motion, Waiting, Overproduction, Over-processing, Defects

16. Principles for Eliminating Waste 1.Throw out all your fixed ideas about how to do things. 2.Think about how the new method will work – not how it won’t 3.Don’t accept excuses. Totally deny the status quo. 4.An idea that can be implemented today is better than one requiring perfection (Ready, FIRE, Aim) (Fail Fast) 5.Don’t spend a lot of money on improvements – creativity before capital. 6.Problems give you a chance to use your brain. 7.Get high agreement of what and how. 8.Improvement knows no limits. 9.Apply certain tools from the Lean Tool Box.

17. Establishing a New Lens: the “Customer Lens” To eliminate the Waste of Over-processing: – Examine every process from the customers’ point of view. – Error Proof processes to eliminate defects and the need for human inspection

18. Standardized Work Helps us eliminate many wastes: motion, defects, over-processing, waiting….

19. When opportunities are found, use the Waste Elimination Worksheet; be sure to identify the type of waste. Occasionally plan and execute TEAM waste walks to maintain common language. Spend time eliminating, not just identifying – it’s everyone’s job Next Steps

20. Specific Observation Type of Waste: Overproduction Waiting Transportation Over-Processing Inventory Motion Defects Measurable Impact: Safety Delivery Quality Cost Specific example/explanation Originated by:Owned by: Initiated Date:Completed/Verified Date: Who else can Benefit from Idea: Waste Elimination Worksheet Current StateFuture State

21. WHO SHOULD BE INVOLVED IN A KAIZEN EVENT-WASTE WALK? Supervision Shop floor personnel Quality Materials: Purchasing, Planning Inventory Control Manger Manufacturing Engineering Information Technology You may not need a representative form each of these areas, but keep an open mind! Sometimes someone from outside of the area that is going to be observed, will look at things with a different set of lenses! A non-bias view!

22. WHAT SUPPLIES SHOULD BE AVAILABLE TO PERFORM THE KAIZEN EVENT? Flipchart Dry markers in various colors Digital still camera Digital video camera Pads, pencils and pens Stickers of different shapes and colors; Post-It notes in different colors Tape measure at least 25 feet long

23. REVIEW Kaizen: Is a process of Continuous Improvement and the elimination of WASTE through observing processes. Lean is compilation of Principles: Have a high level of agreement on the what and how; Directly observe work as activities, interconnections and flows; Systematic waste elimination; Systematic Problem Solving. Rules of Lean: Structure every activity; Clearly connect every customer and supplier; Specify every flow path; Improve through experimentation at the lowest level possible towards the Ideal State. The Seven Types of Waste-TIMWOOD: Transportation, Inventory, Waiting, Over Processing, Over Production, Defects. Value Added Definition Must Meet all Three Criteria: Something the customer is willing to pay for; Alters the product or process output-the product must change; Must be done right the first time. Establishing a new lens-The Customer’s Lens Standardize Work: Eliminates Waste-TIMWOOD