Introduction to Lean Manufacturing Principles (40

For learning purpose only. Not for commercial use
Introduction to Lean
Lean Learning Series (LLS-001_V1)

about VALUE enablers
VALUE enablers are a consortium of professionals
dedicated to enabling excellence in organizations’
Performance metrics (Productivity | Quality |
Delivery | Cost | Safety | Morale ) through its unique
approach of T.E.I (Total Employee Involvement).
This is done through,
ü PURPOSE alignment
§ BSC | TOC | Hoshin Planning
ü PROCESS improvement
§ Lean | Six sigma | TQM | TPM | 5s | Agile
ü PEOPLE development
• TEI | Kaizen events | Gemba circles
PURPOSE
PROCESS PEOPLE
PHILOSOPHY
Achieving performance
through the alignment of
PURPOSE, PROCESS & PEOPLE
with right philosophy
VALUE enablers Mission:
“To enable excellence in any organization through the
best practices in the world.”

www.valueenablers.com
KAIZEN | LEAN | SIX SIGMA
VALUE enablers
enabling excellence
© all rights reserved
Brief History of Lean

VALUE enablers
enabling excellence
Craft Manufacturing

VALUE enablers
enabling excellence
Mass Manufacturing
Assembly line - Henry Ford 1920s
• Low skilled labor, simplistic jobs,
no pride in work
• Interchangeable parts
• Lower quality
• Affordably priced for the average
family
• Billions produced – identical
• Model ‘T’

VALUE enablers
enabling excellence
Lean History - Japan

VALUE enablers
enabling excellence
Lean Manufacturing
• Cells or flexible assembly lines
• Broader jobs, highly skilled
workers, proud of product
• Interchangeable parts, even
more variety
• Excellent quality mandatory
• Costs being decreased through
process improvement
• Global markets and
competition.

VALUE enablers
enabling excellence
Definition

VALUE enablers
enabling excellence
Why call it “LEAN” ?

VALUE enablers
enabling excellence
Definition of Lean
Lean has been defined in many different ways –
“A systematic approach to identifying and eliminating waste (non-value-added activities)
through continuous improvement by flowing the product at the pull of the customer in
pursuit of perfection.”
Definition by the MEP Lean Network
Give the customers what they want, when they want it, and do not waste anything.

VALUE enablers
enabling excellence
Definition of Value Added

VALUE enablers
enabling excellence
Toyota Way – the 14 Principles by Jeffrey K. Liker
1. Base management decisions on long-term philosophy, even at expense of short-term
financial goals.
2. Create continuous process flow to bring problems to surface.
3. Use pull systems to avoid overproduction.
4. Level out workload (heijunka); work like a tortoise, not a hare.
5. Build culture of stopping to fix problems, to get quality right first time.
6. Standardized tasks are the foundation for continuous improvement and employee
empowerment.
7. Use visual controls so no problems are hidden.
8. Use only reliable, thoroughly tested technology that serves people and processes.

VALUE enablers
enabling excellence
Toyota Way - 14 Principles (cont.)
9. Grow leaders who thoroughly understand work, live philosophy, and teach others.
10. Develop exceptional people and teams that follow company’s philosophy.
11. Respect extended network of partners and suppliers by challenging them and helping
them improve.
12. Go and see to thoroughly understand situation (genchi genbutsu).
13. Make decisions slowly by consensus, thoroughly considering all options; implement
decisions rapidly.
14. Become a learning organization through relentless reflection (hansei) and continuous
improvement (kaizen).

VALUE enablers
enabling excellence
Liker Model – 4 P’s

VALUE enablers
enabling excellence
Lean Principles: Womack & Jones Model

VALUE enablers
enabling excellence
Lean vs Traditional

VALUE enablers
enabling excellence
Benefits of Lean manufacturing
Real Results
0 50 100
Lead Time
Reduction
Productivity
Increase
WIP
Reduction
Quality
Improvement
Space
Utilization

VALUE enablers
enabling excellence
Why the emphasis on Lean now?
• Global economy
• Pressure from customers for price reduction
• Fast-paced technological changes (e.g. Internet auctions)
• Continued focus on quality, cost, delivery
• Higher and higher expectations of customers
• Quality standards, such as QS-9000 (or TS 16949), the new ISO
9000:2000
• Holding on to “Core Competencies,” outsourcing the rest
• Market-driven pricing: Customers expect better performance at
lower prices year after year

VALUE enablers
enabling excellence
Pricing Model
New Way
Price - Cost = Profit
Customers
Demand
Lower
Prices
If Costs
Stay the
Same
Profits
Decrease
Costs
Increase
Increase
Price
Maintain
Profits
What
can we
do?
Old Way
Cost + Profit = Price

VALUE enablers
enabling excellence
Old Way
Cost + Profit = Price
New Way
Price - Cost = Profit
Customers
Demand
Lower
Prices
Costs
Increase
Increase
Price
Maintain
Profits
Implement
Lean
Increased
Profits
Pricing Model

VALUE enablers
enabling excellence
Introduction MUDA

VALUE enablers
enabling excellence
Introduction : MURA & MURI

VALUE enablers
enabling excellence
Building Blocks of Lean
Change Management
5SVisualLayout Standard Work
Batch Size ReductionPOUS
Autonomation
JIT
Quick Changeover
Pull System & KanbanCellular & FlowTPM
V
S
M
Continuous Improvement & Kaizen Blitz
Self InspectionPoka-yoke
Teams

MK has a unique blend of 20 plus years experience in the areas of
ü Operational Excellence (through Lean Six Sigma Training & Implementation)
ü Total Productive Maintenance (TPM)
ü Operations Management
ü Project Management
ü Channel Development
ü Business Development
ü Sales & Marketing
A dynamic Leader & motivator with high energy levels, strong interpersonal &
communication skills, strong technical and analytical skills.
Muralidharan. K (MK)
BE (Mechanical engg), MSc (Mathematics), MS, MBA (finance), MBA (Marketing), EGMP (IIM-B), (PhD)
International Lean Six Sigma Master Black Belt.
Founder | Director, VALUE enablers
International coach, Author & Trainer
With Strong educational background from IIM-B & BITS (Pilani), MK has diverse industry and global
experience working with Saint Gobain, Jesons Corporation (China), Indiamarkets, Grindwell Norton & TVS.

D O N T
Q U I T
Ve v a l u e e n a b l e r s @ g m a i l . c o m | 9 8 4 5 0 0 8 4 4 6
We don’t have to be
great to start
But, we have to
start to be great
~ Zig Ziglar

Introduction to Lean Manufacturing Principles (40

Recommended

Recommended

More Related Content

What's hot

What's hot (11)

Similar to Introduction to Lean Manufacturing Principles (40

Similar to Introduction to Lean Manufacturing Principles (40 (20)

Recently uploaded

Recently uploaded (20)

Introduction to Lean Manufacturing Principles (40