Results using preventive maintenance

Results using preventive maintenance:

• Productivity improvement - up to 30%
• Reduction of scrap and repair time
• Stabile processes
• Reduced maintenance cost
• Reduction of general waste (waiting time)
• Reduced time for re-planning - when maschine breakdown
• Reduced stocks because of reduced uncertainty
• Improved customer service

Remember change management - the technical part is not enough

The technical part of Lean
To many companies Lean is all about the tools - 5S, OEE, Kanban, Kaizen etc. The tools themselves are very effective and can give significant results in a production. But many companies tend to forget, that to make the tools become a part of the company-culture, then the organisation have to have training and more training in using these tools. Too many internal/external consultants run the process using the tools when they are on the shop floor - and forget to train the foremen, planners, production technicians and operators - those who should use the tools when the consultants have moved on. On the other hand it is difficult to blame the consultants, as they are under pressure from the company management.

Short term Lean will only work for a while
When companies implement Lean as mentioned above it only works for a while - the time the consultants are on the shop floor. After the consultants have left the organisation might still use the tools, but only because Lean-audits force them to do so.

Many are disappointed with Lean
Questionnaires show that many companies are disappointed with the effect of Lean. They are told that they can gain 30% increase in productivity, reduce stocks with 30% etc. Actually some “Lean-projects” reach very good results after a short time, but after the consultants have left the organisation gets back to normal. Maybe the productivity has increased - but not a 2-digit number.

Allow time enough for Lean - or accept short term results
When companies choose to boost a Lean-implementation the overall result for the company might be negative. The long term effect on productivity, capacity, stocks etc. is moderate but visible. Some workflows are changed, some change over times are reduced etc. But at the same time employees might be stressed and irritated with the quick change. They have properly not be involved in the decision process at all and only feel that something has been change “for the sake of the company”. Yes maybe there are some results for the company, but if the consultants have had the time to involve the operators, they might also have changed to the better for the operators.A more long term objective and more involvement will for sure give a better understanding for the organisation. Take a machine (bottleneck) where OEE was continuously measured when the consultants where present. After they have left the operators do not see “why” - and soon the OEE-measure has stopped. If the operators where trained in etc. OEE the measure would have continued and the results would have been long term!

“Allow time enough for Lean - and remember change management!”

By Mikkel Smith
Flexkom – Download Lean tools online >
Website on Scandinavian Lean Courses >

Lean flow minimizes waste

How does flow minimize waste in production?

Flow minimizes waste in the following ways:

• Waste: Over-production. Flow improved the leadtime and thereby the need for forecasting is removed (maybe still necessary at a higher level). With short leadtime over production is not necessary - production is “make to order”.
• Waste: Transportation. By creating flow the need for transporting goods to/from shelves/stocks and transporting goods between processes is removed.
• Waste: Waiting. Because processes are stabile (a condition for flow) and in time-balance, neither processes nor persons should wait for other processes.
• Waste: Excess processing. Flow can not remove this waste. It is a management job to identify the customer needs and only meet this demand.
• Waste: Inventory. Flow removes all need for inventory.
• Waste: Rework or correction. Flow will not remove rework or correction, but the stabilization process before flow was created, demands that time spend on rework and correction is minimized.
• Waste: Motion. A lot of unnecessary motion is cause by a lack of flow. With flow parts are automatically moved to the process.

Remember to adjust Lean to culture

Many tend to forget, that Lean was developed in Japan. Japan has a culture of its own like any other country or region. Therefore it is important to remember, that Lean has to be implemented with respect to the culture where it is implemented.

More later…

The goal is a Lean Culture

The ultimate goal when implementing Lean is a Lean Culture. A culture where the top management focuses on Lean in all decisions, where the top management is visible in the production every day, where foremen spend 95% of their time on the shop floor, where production technicians and other supporters really work proactivity with the production as a team, where the operators have real influence and participate in daily production planning and problem solving…etc.

More later

High utilization of your machines before you invest

It is a “must” to know your OEE on the existing machines (bottlenecks) before you invest in extra capacity. Many companies invest in extra capacity, even though the have a very low OEE on the existing equipment. They could have saved a lot of money by using some simple tools like SMED, 5S and Lean tools to reduce the change over time and increase the up time.

More later

Example of change to one-piece flow

Example of a change from batch production to one-piece flow
Last week I observed a change from batch production to one-piece flow in a local factory. I will write more about this later…

Remember: One-piece flow is not always in one piece!

It is important to notice, that the phrase “one-piece” is not necessarely referring to the fact that products are moving piece by piece. Often it does make sence to accept a small buffer between processes. This often depends on the value of the products.

Make one-piece flow that addapts to real life

Just remember to use common sense when implementering flow and one-piece.
Think of things like

• Time for operators to have a short brake - e.g. toilet
• Is the quality of the product unknown or known - if you know that the Q is good buffer is more accepted

What is Lean Administration?

Lean Administration is all about creating value with minimum effort!
Lean Administration is all about creating value in the administrative value stream. Lean Administration is the heading for a list of tools to work with Lean in your administrative activities. Mainly the tools helps you to indentify the value stream and to minimize/eliminate the waste found in this value stream. The tools are all closely linked to the five Lean principles.
The tools can be used in any kind of administrative flow. In these flows you will always find waiting, rework due to bad quality, stocks seen as overloaded mailboxes or files, change in responsibility and missing standard work. Non of these create value to your customers.
Possible results using Lean in your administration:- Improved customer service- More simple and visible flow- Reduced waste (in Lean = Muda) and less rework- Improve throughput time- Etc.

Implementation of Lean Manufacturing takes time

My experience when implementing Lean seen from a strategic point of view is, that there are four main phases:

1. The strategic decision.
2. Ensure the basis for Lean changes.
3. Continous Improvements.
4. Maintain the gained level and extend the value stream.

Article will be finished soon! So come back!

The 5 Lean Principles

Lean is all about creating the right value for customers with minimum effort!

The 5 Lean principles are:

1. Define value seen from the customers/markets point of view.
2. Identify the value stream (activities) that delivers the value defined in point 1.
3. Create flow in the value stream.
4. Create pull (order driven) in the value stream.
5. Create a culture of continuous improvement (Kaizen) in the organisation.

The principles in short:

Principle 1: Customer value

Lean Thinking is all about delivering the value demanded by the customers. No more. No less.
The principle applies not only to the physical product. It also applies to service, logistics, information etc.
The principle of ”customer value” permeates a Lean organization.

Principle 2: Define the value stream

When the value has been defined, the value stream that creates the value must be identified and optimized.
The value stream is mapped and optimized step by step.
The target is to minimize waste.

Principle 3: Create flow

The most powerful tool to minimize waste in the value stream is flow.
The value for the customer should be created in a flow of activities and processes.
Flow with a minimum of unnecessary stops in the steps.
Flow gives significant results.

Principle 4: Create pull

Among other things, the target with flow is to minimize the through put time of a value stream, so that most activities and processes are based on firm customer orders and not forecasting.
Principle no. 4 is about carrying out as many steps as possible in the value stream based on customer demand.

Principle 5: Continuous improvement

Principle no. 5 is to create a culture of continuous improvement.
It is more about culture and attitudes than management Lean-tools.
The organization should continuously strive to become better. Every day.
Continuous improvement is also known as ”Kaizen” (Japanese).

By Mikkel Smith
Flexkom - download Lean tools online >
Scandinavian website with Lean courses >