Tag: lean management

LEAN MANAGEMENT

LEAN MANAGEMENT

Maximizing customer value through reduction of work wastes.

OR

To eliminate muda/waste in all aspects of firm’s production activities: human relations, vendor relations, technology , the management of materials and inventory.

WHAT IS MUDA / WASTE?

Any activity that consumes resources but creates no value is muda/ waste.

SEVEN MUDA IN LEAN MANAGEMENT:

  • Transportation 
  • Inventory 
  • Motion
  • Waiting
  • Overproduction
  • Overprocessing
  • Defects

THE CONCEPT OF LEAN MANAGEMENT:

The concept of lean management was developed by the Toyota executive, “Taiichi Ohno “who first identified the seven types of muda / waste. Toyota motor corporation is the world largest automaker by volume. Its vehicle production system is a way of “making things” which is well known and studied worldwide.

The Toyota production system (TPS) was established based on two concepts: 

JIDOKA – means when problem occurs, the equipment stops immediately, preventing defective products from being produced.

JUST IN TIME (JIT)  –  In this second concept, each process produces only what is needed, when it is needed and in the amount it is needed, in a continuos flow.

ISSUES ADDRESSED BY LEAN MANAGEMENT:

  • Low productivity
  • Prolonged cycle time
  • Costly organization
  • Wastage
  • Dissatisfied customers and employees

LEAN MANAGEMENT APPLICABLE TO:

  • Manufacturing industries but can be equally applicable to both services and administration processes.
  • Currently also adopted by food manufacturing and meat processing sectors.

5S IN LEAN MANAGEMENT:

5S represents 5 disciplines for mainting a visual workplace ( visual controls and information system). Its basically a strategy for creating a well organized, smoothly flowing manufacturing process. 5S is short for;

SORT (SEIRI) – Sort through items and keep only what is needed while disposing what is not.

STRAIGHTEN (SEITON) – “A place of everything and everything in its place”.

SHINE (SEISO) – The cleaning process often act as a form of inspection that exposes abnormal and pre- failure conditions that could hurt quality or cause machine failure.

STANDARDIZE ( SEIKETSU) – Develop systems and procedures to maintain and monitor first three S’s.

SUSTAIN (SHITSUKE) – Maintain a stabilized workplace is an ongoing process of continuous improvement.

PDCA – PROBLEM SOLVING CYCLE IN LEAN MANAGEMENT:

INTRODUCTION TO PDCA

PDCA was created by W Edward Deming in the 1950’s . His purpose was to use it with a continuous improvement process to help rebuild Japanese industries so that they could compete in the world market in the future.

PDCA cycle consists of ; Plan , Do, Check and Act.

PLAN

INVESTIGATE

  • clarify objectives
  • Identify possible causes
  • Benchmark best practice
  • Identify team roles
  • Implement quick fix

DO

IMPLEMENT

  • Carry out trials to prove causes
  • Analyse data to understand how problem occurs
  • Identify possible solution

CHECK

EVALUATE AND VALIDATE

  • Data
  • Countermeasure
  • Training
  • Communication

ACT

CORRECT AND STANDARDISE

  • Review feedback and make corrections
  • Standardise Do, Check, Act.

    WHY LEAN MANAGEMEMT IS GOOD:

    Because by following lean management concepts organizations can,

    • Reduce costs
    • Eliminate waste
    • Increase productivity
    • Maintain high level of quality
    • Significant increase in profit

    To conclude, I would like to say that Lean management is the process from “Muda” to “Shinrai”.

    MUDA /WASTE – ( REDUCE WASTE)

    KACHI /VALUE – (ADD VALUE FOR CUSTOMER) 

    SHINRAI /TRUST- (GAIN TRUST OF YOUR CUSTOMER)

    Keep Smiling 😊,

    Noor Saeed.

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