Kaizen bcic

World Class Series:Kaizen

The BCIC Manufacturing committee

2010- Session 1

World Class Manufacturing• QUALITY

– QA,TQC,TQM, ISO– ZD,COQ,PDCA, 6σ

• DELIVERY– SCM, ERP– CELL, JIT,KANBAN

• COST– 5S,VE,WoW– Value Chain, Cost drivers– TCM,LEAN,TPM

KAIZEN UMBRELLA OF WCM

WHY KAIZEN1. Universally applicable to various industries and context2. Directly impacting on all customer satisfaction

parameters of business3. Easy to implement at grass-root level compared to

other tools4. Accomplish self sustainable benefits through people

involvement5. Kaizen generates process-oriented thinking since

processes must be improved before we get improved results

• Support & Stimulate Efforts for Process improvement rather than Control and Command for Performance/Results improvement

My Gurus….

• MASAKI IMAI– KAIZEN

• RICHARD SCHONBERGER– Building a Chain of

customers• PHIL CROSBY

– Quality is Free• MICHEL GREIF

– Visual Factory

MASAAKI IMAI SAN

• Born in Tokyo, 1930• Founded Kaizen Institute in 1986.• Wrote best seller “Kaizen : Key to

Japan’s Competitive Success.”• Was translated in 14 languages.

KAIZEN GURU

Theme: Improvement in bracket bellow support assembly for machine assembly

Before Kaizen:There was a strain in mounting the Bracket bellow support on to slim3 machine. 2 persons required to assemble the cover

After Kaizen:Fixture made by using simple frame from in-house parts. Single person can assemble the cover. Easy handling of part since crane will be used

Illustration of Individual Kaizen

• Easy to understand

• Easy to implement

• All functions can participate

• Does not involve much expenses

• Does not need any major tool,Except ….. Motivation

• No expensive training required to implement

WHY KAIZEN

DEFINITION OF KAIZEN

KAI = CHANGE

ZEN = GOOD (FOR THE BETTER)

(Next Elevated State)

KAIZEN = CONTINUAL IMPROVEMENT

Stumbling blocks for change

1. I have done it before… it did not work

2. It is not my idea…. it will not work

3. Why change …..while I am comfortable

4. Nobody has ever tried…. so it will not work

CHANGE

Paper does not burn in sunlight

Paper burns

Improvement Focused Improvement

Improvement is like sunlight:• Lot of energy, but dispersed (wasted)• Small improvements• Slow progress.

Focused improvement concentrates the energy:• Little energy, but concentrated and aligned• Enables significant (large) improvements• Small time required• Rapid progress

KAIZEN

KAIZEN – FOCUSED IMPROVEMENT

TRADITIONAL ORGANIZATION

Customer

expectations

G e m b a

TopMgmt.

MiddleMgmt.

Customer

satisfaction

ORGANIZATION FOR KAIZEN

Customer

expectations

G e m b a

Organizationto

support

Customer

satisfaction

THE THREE GOALS OF OPERATIONS-QDC• Customer expectation is

three fold: QDC– QUALITY– DELIVERY– COST

Customer is satisfied• The Firm’s response

should be: BFC– BETTER– FASTER– CHEAPER

Firm develops competitive advantage!

QUALITY-Better

DELIVERY-

FasterCOST-Cheaper

firmcustomer

QDC DEFINITIONS & CONCEPTS• QUALITY

– It is “conformance to customers requirements”– Its target is “zero defect”– Its measure is “cost of nonconformance”– Its system is “prevention”

• DELIVERY– Meeting the promised time– Delivering by expected time– Crashing leadtimes & cycletimes– Meeting schedules

• COST– Value derived by customer– Driver of Competitive advantage– Nonvalue adding activities(NVA)-Waste

3 Mu Checklist of Kaizen activitiesMUDA( Waste) MURI( Strain) MURA( Discrepancy)

1 Manpower Manpower Manpower

2 Technique Technique Technique

3 Method Method Method

4 Time Time Time

5 Facilities Facilities Facilities

6 Jigs and Tools Jigs and Tools Jigs and Tools

7 Materials Materials Materials

8 Production time Production time Production time

9 Inventory Inventory Inventory

10 Place Place Place

11 Way of Thinking Way of Thinking Way of Thinking

Appendix A of page 231 “Kaizen” Masaki Imai

Kaizen & Management

Top ManagementMiddle Management

Supervisors/ Team leadersWorkers





Top ManagementMiddle ManagementSupervisors/ Team leadersWorkers

Improvement

Maintenance

InnovationMaintenance

Innovation Kaizen

Maintenance

Innovation

Maintenance

Japanese Perception

Western Perception

Innovation Centered High Tech

The 4M ChecklistA. Man ( Operator)

1. Does he follow standards?2. Is his work efficiency acceptable?3. Is he problem- conscious?4. Is he responsible/accountable?5. Is he qualified?6. Is he experienced?7. Is he assigned to the right job?8. Is he willing to improve?9. Does he maintain good human

relations?10. Is he fit and healthy?

B. Machine (Facilities)

1. Does it meet production requirements?2. Does it meet process capabilities?3. Is the lubrication adequate?4. Is the inspection adequate?5. Is operation interupted due to machine

trouble?6. Does it meet precision requirements?7. Does it make any unusual noises?8. Is the layout adequate?9. Are there enough machines/facilities?10. Is everything in good working order?

The 4M Checklist

C. Material

1. Are there any mistakes in volume?2. Are there an mistakes in grade?3. Are there any mistakes in the brand

name?4. Are there impurities mixed in?5. Is the inventory level adequate?6. Is there any waste in material?7. Is the handling adequate?8. Is the work-in-progress abandoned?9. Is the storage layout adequate?10. Is the quality standard adequate?

D. Method

1. Are the work standards adequate?2. Is the work standard upgraded?3. Is it a safe method?4. Is it a method that ensures a good

product?5. Is it an efficient method?6. Is the sequence of work adequate?7. Is the setup adequate?8. Are the temperature and humidity

adequate?9. Are the lighting and ventilation adequate?10. Is there adequate contact with the

previous and next processes?

The 5 W and 1 H of Kaizen

Who? What? Where?1. Who does it?2. Who is doing it?3. Who should be doing it?4. Who else can do it?5. Who else should do it?6. Who is doing 3-Mus?

1. What to do?2. What is being done?3. What should be done?4. What else can be done?5. What else should be done?6. What 3-Mus are being done?

1. Where to do it?2. Where is it done?3. Where should it be done?4. Where else can it be done?5. Where else should it be done?6. Where are 3-Mus being done?

When? Why? How?1. When to do it?2. When is it done?3. When should it be done?4. What other time can it be done?5. What other time should it be

done?6. Are there any time 3-Mus?

1. Why does he do it?2. Why do it?3. Why do it there?4. Why do it then?5. Why do it that way?6. Are there 3-Mus in the way of

thinking?

1. How to do it?2. How is it done?3. How should it be done?4. Can this method be used in other

areas?5. Is there any other way to do it?6. Are there any 3-Mus in the

method?

Masaki Imai “ Kaizen” page 235 Appendix C

3 KAIZEN elements & QDC• Man• Machine• Material• Method

QUALITY-MURA

DELIVERY-MURI COST-MUDA

4Mx3mu=12 point improvement opportunity

Flexibility & Agility

1. Small batch production2. Variation in products

or manf design3. Adaptation of new

manufacturing processes for higher productivity

4. Significant fluctuation in market demands

5. Manufacture of completely new products.

Kaizen & Competitive Advantage!

1. Differentiation- you have to be different from others; and you have to sustain that over time

2. Cost Leadership- you have to be the lowest cost producer; and you have to sustain that over time

• A company takes one of the above paths to win; in both, there is need for Continual Improvement to sustain the competitive advantage-market share gain or higher profitability or both

COMPETITIVE STRATEGIES AND QDC

• Unique and Intense Q &D performance leads to DIFFERENTIATION STRATEGY

• Unique and Intense C performance leads to COST LEADERSHIP STRATEGY

Differentiation strategy

Cost Leadership StrategyD

IVER

SIFIED

FOC

USSED

KAIZEN & BUSINESS EXCELLENCE!• EFFECTIVENESS-Q &D

– Fulfillment of External purpose of the firm

– Do the right things• EFFICIENCY-C

– Internal purpose of the firm– Do things right– Resource deployment– Resource Utilization

EEE measures Business as well as Operational Excellence

EFFECTIVENESS

CUSTOMER GOALS

EFFICIENCY

FIRM’S GOALS

Q&D C

Balancing Act Of QD &CBalancing Act Of QD &C

IMPROVEMENT ;INTERNAL CONSISTENCY

• Improve over time– Firm’s own past record

• Improve over space– Competitive benchmark

Leadtime reduction( D)Waste Reduction (C) Zero Defects (Q)

All three can go hand in handCan there be a conflict??If so, Stress at nodes can be relieved through Kaizen

Mutual Forces & Stress at Nodal points

Q

D C

Management Kaizen and “BUILDING A CHAIN OF CUSTOMERS”

• Business enterprise is a chain of customers– DESIGN TO SERVICE

• Integration of operational excellence to strategic goals of a business enterprise

Kaizen

Kaizen

Kaizen

Design&Dev

SupplyChain

Sales& Service

JIT & Group KAIZEN• 3 JIT CONCEPTS

– PULL: Kanban– SMALL LOTSIZE: Single

Pc Flow– FLOW: No online buffers

• 3 CELL benefits– Q: Dynamic & Autonomous

quality correction– D: Shorter throughputs– C: Lower rework, Higher

productivity

• 3 Mus and 4 MsCELL MFG

5S & KAIZEN:

ASSEMBLY PRACTICES

Production schedule

Check Sheets

Color Coding of parts with respect to sub-assembly

Labeling of Part Nos. and Part Name

DELIVERY

QUALITY

COST

HOUSEKEEPING SAFETY

Kaizen Pentagon

Who does Kaizen?Management Kaizen Group Kaizen Individual Kaizen

Involves Managers and Professionals QC Circle members;SGA members

Everybody

Tools Professional skills; QC tools Brainstorming; QC tools Common sense; QC tools

Target Focus on systems & procedures Within the same workshop or workplace

Within ones own work area

Period Lasts for duration of the project Requires 4 or 5 months to complete

Anytime

Achievements As many as management choses 2 or 3 per year many

Implementation cost Small investment may be required to implement the decisions

Mostly inexpensive Inexpensive; zero cost

Result New system and facility improvement

Improved work procedures; revision of standard

On the spot improvement

Booster Improvement in Managerial Performance

Group Morale improvement; participation; learning experience

Individual Morale improvement; Kaizen awareness; Self development

Direction Gradual and visible improvement; marked upgrading of current status

Gradual and visible improvement Gradual and visible improvement

Ref: Masaki Imai “ Kaizen”- the practice Fig4.1 The 3 segments of Kaizen

KAIZEN ORGANISATION CHART

TOP MANAGEMENT

KAIZEN SECRETARIAT

Kaizen steering committee

Kaizen Championsfrom All functions

• Originality of idea

• Multiple Area of ideas

• Business Impact of the idea

• Innovation involved

• Implemented & benefits realised

• Low investment

Criteria for the Kaizen committee

GENERAL RULES OF KAIZEN

• Do it Today • Do not take NO for an answer• Do not find out why it cannot or should not

be done. Do it.• Do not wait for perfection; 60% is good

enough. Move!

KAIZEN and NEW VENTURES1. The journey of Kaizen cannot ignore any of the QDC parameters-

yet any one of them is always more critical than the other two depending upon the business context at a given point in time

2. During the startup of new ventures, • high emphasis should be given to innovation and quality assurance,

and once high level of confidence was built on product reliability, • thereafter the management priority shift to shorter lead-times and

promised dates, and • once that was settled finally cost efficiencies and business

profitability become important. 3. The top management keep an eye on the earlier objectives so

that it is not diluted during the process of shifting Kaizen focus subsequently from Q to D and later from D to C.

In conclusion….

• CUSTOMER SATISFACTION– QUALITY, DELIVERY, COST

• COMPETITIVE ADVANTAGE– FASTER, BETTER, CHEAPER– OVER PAST, OVER OTHERS

• CONTINUAL IMPROVEMENT– MURA, MURI,MUDA– STRAIN, DISCREPANCY, WASTAGE

• Close correlation with worldclass practices in manufacturing and success of business

KAIZEN DELIGHTS ALL THREE STAKEHOLDERS

CUSTOMER! EMPLOYEE! SHAREHOLDER!

Thank you and Have a Happy Kaizen Day!!!

Actual Examples

CONTINUAL IMPROVEMENT

Before Kaizen:No coolant filtration unit for ID grinding machine

After Kaizen:Coolant filtration unit created using existing tank. Chip filtration ensured

Before Kaizen:No support for casting. Hence was being placed on critical machined surface

After Kaizen:Small supporting fixture provided. Avoids any damage to machined surface. Also safe method of placing component


Before Kaizen:There was no method other than CMM to check the final size of Ø 58 F8.Separate inspection time was required and machine was kept idle to check this diameter in CMM.

After Kaizen:Special Gauge is made to check the size,QC inspection is not required before I/D grinding.

Ø 58 F8


Theme: Improvement in bracket bellow support assembly for slim3 assembly

Before Kaizen:There was a strain in mounting the Bracket bellow support on to slim3 machine. 2 persons required to assemble the cover

After Kaizen:Fixture made by using simple frame from in-house parts. Single person can assemble the cover. Easy handling of part since crane will be used


QUALITY IMPROVEMENTSTheme: Process improvement for 21M120A717 (Bearing screw)

Before Kaizen:Concentricity between OD & ID was achieved about 50 microns against required 30 microns

This was due to the holding of work piece with 3 jaw chuck

After Kaizen:Process changed by completing the OD grinding, assembling part on to mating component and ID grinding after the assembly

This ensures that both OD & ID are concentric (within 10 microns) and no distortion of parts

QUALITY IMPROVEMENTSTheme: Storage of spindle shafts for Slim3

Before Kaizen:The storage of spindle shafts was being done with the help of a wooden V block fixture. This method was prone to damages

After Kaizen:

Special trolley introduced for storage of spindle shafts. Easy handling of spindle shafts. No damages will be caused during transport

CONTINUAL IMPROVEMENTTheme: Dummy probe pocket for CMM

Before Kaizen:

CMM probe was kept on a surface table. Due to this being a regular working area there were chances of probe getting damaged . The probe is very expensive and costs.

After Kaizen:

Probe damage avoided completely. House keeping also improved on CMM surface table

Before Kaizen:There was no fixture for proximity tightening.

After Kaizen:Two holes made on the table so that proximity can be fixed while tightening the connectors


KAIZEN CELEBRATION

•Good response to Kaizen movement

•Motivation levels of employees very high

•Total employee involvement

SHOP FLOOR PRACTICES

•Material issued to Shop will contain a MO copy

•Material moves between work centers with MO

ASSEMBLY PRACTICES

•Identification and location for every component

•Modular work benches for Sub assemblies

•Storage of tools and fixtures at required locations

ASSEMBLY PRACTICES

•Components of the work bench

•Color coding for parts sub assembly wise

Production schedule

Check Sheets

Color Coding of parts with respect to sub-assembly

Labeling of Part Nos. and Part Name

ASSEMBLY PRACTICES

Storage of tools and fixtures in assembly

MATERIAL SEGGREGATION

•Rework and rejection separately identified

•Yellow tag for rework components

•Red tag for rejections

STORES

Thank you

Education

Kaizen bcic