What Pull is Not!
Make-to-Order: MRP with firm orders on MPS is make-to-order. But it does not limit WIP and is therefore a push system. Make-to-Stock: Pull systems do replenish inventory voids. But jobs can be associated with customer orders. Forecast Free: Toyotas classic system made cars to forecasts. Use of takt times or production smoothing often involves production without firm orders (and hence forecasts).
Advantages of Pull Systems
Low Unit Cost: low inventory reduced space little rework Good Customer Service: High External Quality: Flexibility:
short cycle times steady, predictable output Stream
high internal quality pressure for good quality promotion of good quality (e.g., defect detection)
avoids committing jobs tooearly encourages floating capacity
Pull Benefits Achieved by WIP Cap
Reduces Costs prevents WIP explosions reduces average WIP reduces engineering changes reduces cycle time variability pressure to reduce sources of process variability promotes shorter lead times and better on-time performance Improves Customer Service: Improves Quality: pressure for higher quality improved defect detection improved communication Maintains Flexibility: avoids early release (like air traffic control) less direct congestion less reliance on forecasts promotes floating capacity
Just-in-Time
JIT is a philosophy of management extending from suppliers through production to distribution systems. Hence, JIT cannot be reduced to a "formula"; every firm may apply the philosophy differently .
The Goals of JIT
The ultimate goal of JIT is a balanced, smooth and rapid flow of materials through the system. This can be achieved by approaching the following supporting goals first: 1. Eliminate disruptions. 2. Make the system flexible. 3. Reduce set-up times and lead times. 4. Minimize inventories. 5. Eliminate waste.
JIT and Kanban System
The term "kanban" has sometimes been used as equivalent to JIT, which certainly is not the truth. Kanban is the associated manual information and
controlling system, to JIT philosophy. Kanban is a Japanese word for "card". They often use cards to signal the need for more material, hence the name kanban. The idea behind the kanban system is to authorize material for production only if there is a need for them. Through the use of this system, production is "pulled" through the production system; instead of "pushed" out before if is needed and then stored.
Figure (1) Kanban Process
Figure (2) kanban system
Figure (3) Sample of canban system
Objective of JIT
1. Produce only the products the customer wants . 2. Produce with perfect quality 3. Produce with minimum lead time. 4. Produce products with only those features the customer wants .
5. Produce with no waste of labor, material or equipment ,every movement must have a purpose so that there is zero idle inventory . 6. Produce with methods that allow for the development of people
Just in time success factors
Advantages or Benefits of Just in Time or JIT
Continuous improvement in quality Cost is reduced
Elimination of waste Manufacturing time is cut down Better productivity Lower Work in progress Better supplier relationships Cost efficient production Defect free output
Drawbacks or Disadvantages of Just in Time or JIT
JIT system may not be able to manage sudden variations in demand There is little room for mistakes as minimal stock is kept for re-working faulty product Production is very reliant on suppliers and if stock is not delivered on time, the whole production schedule can be delayed There is no spare finished product available to meet unexpected orders, because all product is made to meet actual orders however, JIT is a very responsive method of production
The relationship between JIT, TPS & Lean Manufacturing Systems
Lean Manufacturing System definition
Provide clients and customers of products or services they like when they want it and in the most effective and least loss in or missing.
The Seven Deadly Waste
We can identify seven types of losses in the traditional manufacturing system and the Lean manufacturing system must be fight it and uprooting of the foundations: 1. Over-Production 2. Waiting Time 3. Transportation 4. Over Processing 5. Inventory 6. Motion 7. Defective Products
The principles of lean manufcaturing system
1- Setup Time Reduction 2- Kanban system 3- Value Stream Mapping 4- Total Productive Maintenance 5- Cellular Manufacturing 6- Organization of the workplace (5S) as shown in figure below :
Toyota Production System (TPS)
The Toyota Production System (TPS) is an integrated socio-technical system, developed by Toyota, that comprises its management philosophy and practices. The TPS organizes manufacturing and logistics for the automobile manufacturer, including interaction with suppliers and customers.
Principles or Toyota way
Continuous Improvement Challenge (We form a long-term vision, meeting challenges with courage and creativity to realize our dreams.) Kaizen (We improve our business operations continuously, always driving for innovation and evolution.) GenchiGenbutsu (Go to the source to find the facts to make correct decisions.)
Respect for People Respect (We respect others, make every effort to understand each other, take responsibility and do our best to build mutual trust.) Teamwork (We stimulate personal and professional growth, share the opportunities of development and maximize individual and team performance.) The right process will produce the right results Create continuous process flow to bring problems to the surface Use the "pull" system to avoid overproduction Build a culture of stopping to fix problems, to get quality right from the first Standardized tasks are the foundation for continuous improvement and employee empowerment Use visual control so no problems are hidden
Use only reliable, thoroughly tested technology that serves your people and processes. Add value to the organization by developing your people and partners Grow leaders who thoroughly understand the work, live the philosophy, and teach it to others. Develop exceptional people and teams who follow your company's philosophy. Respect your extended network of partners and suppliers by challenging them and helping them improve.
Continuously solving root problems drives organizational learning Go and see for yourself to thoroughly understand the situation . Make decisions slowly by consensus, thoroughly considering all options ; implement decisions rapidly.
Determining Number of Kanbans
No. of Kanbans =
average demand during lead time + safety stock container size
N =
dL + S C
where N= number of kanbans or containers d= average demand over some time period L= lead time to replenish an order S= safety stock C= container size
Example
d = 150 bottles per hour L = 30 minutes = 0.5 hours S = 0.10(150 x 0.5) = 7.5 C= 25 bottles
Round up to 4 (to allow some slack) or down to 3 (to force improvement)
Refrences: 1. KatsundoHitomi, "Manufacturing Systems Engineering" 2. S.Anil Kumar, N.Suresh, " Operations Management " 3. Albert Porter, "Operation Management"
