Lean Management for Efficiency
Lean Management for Efficiency
MUDA
MUDA
Level - 3
1
Content
1)The concept of MUDA/Waste
2)Methods for categorizing types of Muda
3)MUDA identification
4)Elimination of Muda
5)Methods for Muda prevention
6)TPM concepts and its pillars
1) The concept of Muda
What is Value?
Value is defined by your customer.
There are two types of Customers:-
-Internal customer
-External customer
Then Value is the activity/effect
what the customer exactly is
going to pay for/needs.
What is Waste/MUDA?
• Waste/MUDA is any activity of
workers/machines which consumes resources
such as money, time, energy, materials, etc
without adding value.
The main elements of KAIZEN
management
On time
Delivery
M
I
Reasonable N
Price I
RE
R M
C TU
N UF
A I
MA
Z
Higher E
CUSTOMER
Profit
COST
6
The concept of cost
Cost minimization
• Determination of the sales price of the product
Sales price=(manufacturing)cost + profit
• Manufacturing cost=(material + labor +
facility + utility + others)cost
Company sets price(Demand>Supply)
Traditional Thinking
PRICE=COST + PROFIT
Kaizen Thinking
8
9
• Therefore, since today’s economy is
market based, we should focus on
minimizing our COST to get
higher profit.
10
The three categories of Operations
12
The three categories of
Operations
(2) Non-Value adding Operations
15
“Muda” are activities which use resources,
time or cost without adding value.
17
Product Lead-Time
Raw Finished
Materials TIME Goods
Value Added
Time
Non- Value
Added Time
freeleansite.com
Very Simple Drill
• Operation to staple two papers using a
stapler when work place is disorganized
19
Very Simple Drill
Result in a disorganized environment
N0. Activities Time Type of Measure How
Operation
1 Searching for 35 Sec Muda Eliminate 5S(Set-in-order)
Stapler
2 Searching for 30 Sec Muda Eliminate 5S(Set-in order)
Staples
3 Putting the Staples 8 Sec Non-Value Minimize Load staples
into the stapler adding ahead
20
Lessons from the drill
• Total time of operation=78 Sec
21
Lessons from the drill
• Can you imagine by how much the total time
of the operation can be improved if we try to
eliminate the Muda and minimize non value
adding operations by applying 5S?
22
MUDA = Anything Unnecessary
23
2)Methods For Categorizing Types of Muda/Wastes
Classification of waste
A number of methods for classification of waste have
emerged. Here are some of them:-
The 3MU’s
5M+Q+S
The flow of goods
The Seven deadly wastes
1) The 3MU’s
Muda
Muri
Mura
The Three MU’s
27
The Three M’s (Cntd)
Muri
• Mental and physical overburden on
operators, and overburden on
production machinery
29
The Three M’s (Cntd)
Muri
We should not force hard work on
Employees in the name of
productivity improvement
34
IN OUT
Relationship between the 3 M’s
• Usually Mura creates Muri which in turn
lead to generation of Muda
36
Relationship between the 3 M’s
• Therefore, mura creates muri that
undercuts previous efforts to
eliminate muda.
1) “Muda” of Overproduction
2) “Muda” of Inventory
3) “Muda” of Waiting
4) “Muda” in Transporting Cost Reduction by Elimination
5) “Muda” of Defect-making of muda
6) “Muda” of Motion
7) “Muda” in Processing
Over Produced
Motion
7 Categories
Transportation
of Waste
Inventory Waiting
Defect Making
Over Processed
47
1)“Muda” of Overproduction
To produce things more than necessary in
terms of type, time, and volume. It is called
“the worst kind of Muda” since it hides all the
other wastes.
48
1)“Muda” of Overproduction
[Cause] [Effect ]
Excessive work Increase in inventory
force and facilities Outbreak of defects
Big and fast Deterioration of turn-
production machine over ratio of funds
Lack of customer Advanced preparation of
focus materials and parts
Consumes resources
Needless wear on
machines
49
2) “Muda” of Inventory
The situation where items such as raw
materials, parts, and finished goods are
stagnant or which are not having value added
to them. Some are located in the warehouses,
and others are in-process inventory.
50
2) “Muda” of Inventory
[Cause] [Effect ]
Weak consciousness Waste of space
for inventory Needs for inspection,
Bottle-neck processing and transportation
stage Expansion of working
Advanced Production fund
Approximate production Shelf life may expire
Unreliable suppliers It ties up cash
Makes FIFO inventory
management more
difficult
51
Examples of Inventory Wastes
3) “Muda” of Waiting
53
3) “Muda” of Waiting
[Cause] [Effect ]
54
4) “Muda” in Transporting
It is Unnecessary movement of parts
between processes caused by unnecessary
transportation distance, temporary storage,
relocations or re-piling up.
55
4) “Muda” in Transporting
[Cause] [Effect ]
56
5) “Muda” of Defect-Making
This includes defects,
inspections for
defects in-process, and claims,
rescheduling, and resource loss.
57
5)“Muda” of Defect-Making
[Cause] [Effect ]
58
6) “Muda” of Motion
59
Example:
60
6)“Muda” of Motion
[Cause] [Effect ]
No education or Increase in
training manpower and
No standard processing
operating Unstable operation
procedure Increases
Isolated operation production time
Bad facility lay Can cause injury
out
62
7) “Muda” in Processing
63
7)“Muda” in Processing
[Cause] [Effect ]
Lack of analysis of the Unnecessary processes
contents of operation or operation
Improper tools and Increase in manpower
their use and man-hour
Insufficient Lower workability
standardization Increase in defects
Attitude - ‘Always do Can reduce life of
it like this’. components
64
Benefits of identifying & Eliminating
waste
1. To the company
Cutting the hidden costs of production.
Increased customer satisfaction.
2. To Shop floor worker
Increased job satisfaction:- work with less energy,
work in safe conditions etc.
Contributing for improvement:-
Steps to effective Muda identification
1. Making waste visible
2. Be conscious of the waste
3. Be accountable for the waste
4. Measure the waste
1.Making waste visible
Shop layout/process flow analysis using :-
• Arrow Diagram
• Summary chart of flow analysis
• Operation analysis Table
• The standard operation combination chart
• Workshop checklist for major waste finding
The Arrow Diagram
• It focuses on the flow of goods to discover waste
• Factors to be identified in arrow diagram are:-
Retention, Conveyance, Processing & Inspection.
• Helps to get a good understanding of production
processes and to see where the waste exists.
Arrow Diagram symbols
Analysis Symbols Description Amount of
Factors waste
74
The steps to effective waste
elimination
1.Make waste visible
Draw and analyze the current facility
layout.
Prepare a process flow chart to see the
number and movement of workers, order of
processing, type of processing and so on
Prepare standard operation sheet.
75
The steps to effective waste
elimination
2. Be conscious of the waste
When something is denied as waste, it
also cannot be stopped.
76
The steps to effective waste
elimination
3. Be accountable for the waste
77
The steps to effective waste
elimination
4. Measure the waste.
when the waste is not measured, people
may think it is small or insignificant and
therefore will not be motivated to stop it.
“What is not measured, is not improved”.
Appreciate its size and magnitude.
78
The steps to effective waste
elimination
5. Eliminate or reduce the waste
When the great Italian sculptor Michelangelo
was asked what he was sculpting, he
responded he was not sculpting but releasing
the figure inside by removing the unnecessary
rocks (wastes). Like Michelangelo, we should
eliminate all forms of wastes in any process or
product until only what is valuable remains.
79
5.How to eliminate “Muda”?
1) “Muda” of Overproduction
Produce not more than is needed by
your customers.
you MUST know what your customers
need and use.
Have standardized work or work
instructions for your processes.
80
5.How to eliminate “Muda”?
2) “Muda” of Inventory
Implement 5S and avoid unnecessary
items
Use just-in-time system
3) “Muda” of Waiting
Proper alignment of work processes,
Consistent machine maintenance (to avoid
machine downtime.)
81
5.How to eliminate “Muda”?
4) “Muda” in Transporting
Design production lines and materials
flow paths in a way that minimizes the
distances between workstations and
temporary storage sites.
5) “Muda” of Defect-making
Build quality into each process, using
tools like Poka-Yoke, JIDOKA, Andon
etc.
82
5.How to eliminate “Muda”?
6) “Muda” of Motion
Minimize unnecessary movements
7) “Muda” in Processing
Improving processing efficiency to
achieve the same customer
satisfaction .
use of low-cost automation, smaller,
and more flexible equipment
83
5.How to eliminate “Muda”?
7) “Muda” in Processing(Cntd)
84
Tools for Eliminating “Muda”
1. Andon
2. U-line
3. In-lining
4. Unification
5. Multi-process handling & Multi-skilled
Operators
6. A.B. control (Two-Point Control)
7. Cell production line
85
Tools for Eliminating “Muda”
1. Andon
An “Andon” is an indicator informing
team leaders and supervisors of the
current workshop situation with color
boards, flash lights, and automated
announcement.
86
Tools for Eliminating “Muda”
Types of “Andon”
1) Calling “Andon”-Used for requesting
parts.
2) Warning “Andon” -Used to inform
occurrence of irregularities
on the lines.
3) Progress “Andon” -Used to identify the
progress of operation on the
lines with a short Takt Time.
87
Tools for Eliminating “Muda”
2. U-line
A U-line is a layout in which the inlet and
outlet are positioned in the same direction to
avoid walking back for a single operator.
88
Tools for Eliminating “Muda”
3. In-lining
In-lining is a way to make the production
lines simple and effective by integrating
the parts processing into the main line in
the unit production.
89
Tools for Eliminating “Muda”
4. Unification
Even if a flowing line
cannot be formed, odd
operations can be
combined together in
a place into an Unification of
several
operator’s work. processes
90
Tools for Eliminating “Muda”
92
Tools for Eliminating “Muda”
6. A.B. control (Two-Point Control)
A.B. control is a devised automatic control
function. It controls the machine movement
when they come to start or stop working
depending upon the number of work pieces
piled up between the preceding process and
the following process.
93
Tools for Eliminating “Muda”
6.A.B. control (Two-Point Control)(Cntd)
Up to Three
94
Tools for Eliminating “Muda”
7.Cell production line
This is a production line that a single
operator manages all the machining or
assembly operations in unit production.
95
Tools for Eliminating “Muda”
7. Cell production line(Cntd)
Advantages
Quality assurance can be ensured.
The production output or efficiency of each
achievement.
96
To summarize
• The Customer should not pay any price
for cost of wastes that we make.
97
5)Methods for Muda prevention
business.
108
Cont…
109
Cont…
110
History
111
TPM Targets
• Reduce manufacturing cost
Conventional TPM
114
Principles of TPM
Use Overall Equipment Effectiveness (OEE) as a compass for
success.
115
Types of maintenance
Breakdown maintenance
Preventive maintenance
Corrective maintenance
Maintenance prevention
116
Breakdown maintenance
-Predictive Maintenance
Long-term benefits of preventive maintenance:
119
Periodic maintenance
Time based maintenance consists of periodically inspecting,
servicing and cleaning equipment and replacing parts to
prevent sudden failure and process problems.
Benefits:
Extended life and use of the equipment.
Reliable production at the times when machine is needed
most.
120
Predictive maintenance
121
Benefits of predictive maintenance
• Increased plant readiness due to greater reliability of the
equipment.
• increase predictive maintenance practices increase the
productivity of equipments.
• Reduced expenditures for spare parts and labor.
• Reduces the probability of a machine experiencing a
disastrous failure, and this results in an improvement in
worker safety.
122
Corrective maintenance ( 1957 )
- Safety
- Design weakness( material, shapes)
- Existing equipment undergoes structural
reforms
- To reduce deterioration & failures
(maintenance free eqpt)
Maintenance prevention (1960 )
124
PILLARS OF TPM
1.Autonomous maintains
2.Planned maintains
3. Equipment and process improvement
4.Early management of new equipment
5.process quality management
6.TPM in the office
7.Education and training
8.Saftey and environmental management.
125
PILLARS of TPM
1 2 3 4 5 6
7
8
126
1.Autonomous Maintenance
• Train the operators to close the skill gap between others and
the maintenance staff, making it easier for both to work as one
team.
• There are Seven (7) steps implemented to progressively
increase operators knowledge, participation and responsibility
for the equipment.
127
cont…
128
2.Equipment and process improvement
Objectives: Maximize efficiency by eliminating waste and
manufacturing loss
129
. Equipment losses
. Equipment failure / breakdowns
DOWNTIME LOSS
Set-up / adjustments
Minor stopping
Speed loss
Reduced speed
Process errors
Quality loss
Rework / scrap
130
Manpower and material losses
Cleaning and checking
• .
Waiting materials
Manpower losses
Waiting instructions
Material yield
131
3.Planned maintains
Objectives : Establish periodic and predictive maintenance system
for equipment and tooling.
• Natural life cycle of individual machine elements must be achieved
correct operation
correct set-up
cleaning
lubrication
feedback and repair of minor defects
quality spare parts
132
4.Early management of new equipments
Objective: : start-up, commissioning and stabilization time for
quality and efficiency
New equipment need to be :
• easy to operate
• easy to clean
• easy to maintain and reliable
• have quick set-up times
• operate at the lowest life cycle cost
133
5.Process quality management
134
6.TPM in office
135
7.Education and training
136
8.Safety and environmental management
137
Overall Equipment Effectiveness
138
Overall Equipment Effectiveness
(OEE)
• .
Overall Equipment Effectiveness = Availability *performance * Quality yield
1. Breakdowns
2. Setups and adjustment
3. Idling and minor stoppages
4. Speed
5. Quality defects and rework
6. Start-up (loss of yield)
141
Overall equipment effectiveness = Availability x Performance rate x Quality rate
(OEE)
Breakdown
Setup and adjustment
Others Idling & minor stoppages Quality defects & rework
Reduced speed Start-up yield
Example: OEE Calculation
Item Data
Shift length 8 hrs = 480 min.
Short Breaks 2@ 15 min. = 30 min
Meal Break 1 @ 30 min = 30 min
Down Time 47 min
Ideal Run Time 60 pieces per min
Total Pieces 19,271 pieces
Reject Pieces 423 pieces
Availability =
Operating time
Planned production time
148
TPM Implementation
Announcement to TPM introduction
preparation Introductory education campaign for workforce
• . TPM promotion
Establish basic TPM policies and goals
Preparation and formulation of a master plan
150
Introductory education campaign
151
TPM Promotion
152
Establishing basic TPM policies and goals
153
Preparation and Formulation of a master plan
• A master plan lays out your goals, what you will do to achieve
them and when you will achieve them
• Detailed plans for each pillar have to be prepared
154
TPM Kick-off
employees.
companies .
155
Develop an equipment management program
machines
maintenance.
156
Cont..
157
TPM Benefits
158
conclusion
• TPM may be the only thing that stands between success and
159
Any questions…….?
160
THANK YOU
161