MGS8020 Improve.ppt/Apr 9, 2015/Page 1 Georgia State University - Confidential MGS 8020 Business...
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Transcript of MGS8020 Improve.ppt/Apr 9, 2015/Page 1 Georgia State University - Confidential MGS 8020 Business...
MGS8020 Improve.ppt/Apr 9, 2015/Page 1Georgia State University - Confidential
MGS 8020
Business Intelligence
Improve
Apr 9, 2015
MGS8020 Improve.ppt/Apr 9, 2015/Page 2Georgia State University - Confidential
Improve
Measure
Control
Analyze
Improve
Define
• Develop Potential Solutions – Identify potential solutions
through data analysis, brainstorming, benchmarking
• Create Future State– Develop and implement future
state process map and/or innovative solutions for the project
• Evaluate and Mitigate Risk– Analyze the impact of the
solution and error proof the process
MGS8020 Improve.ppt/Apr 9, 2015/Page 3Georgia State University - Confidential
Agenda
1. Kaizen Events
2. Capacity Planning
3. Defects vs. Mistakes
MGS8020 Improve.ppt/Apr 9, 2015/Page 4Georgia State University - Confidential
Lean Improve Activities
• Plan for and conduct a week long Kaizen event• Learn by doing, and doing it again
– Repeat Kaizen’s for key processes
The Lean Transformation
Fight FiresReact
Improve Processes
time
“Each new improvement reveals new problems!”Freddy Ballé
MGS8020 Improve.ppt/Apr 9, 2015/Page 5Georgia State University - Confidential
Kaizen Events
• The “Improve” process for Lean, where obvious waste has been identified
• A team-based, 3-5 day event with no down time
• Cross-functional teams meet full-time (100% of their time!) to solve a specific problem with pre-specified scope, metrics and goals
• Results presented to management at the end of the week, with project completion in 30 days
• Assumption is made that the team will have all the support and resources needed from management
MGS8020 Improve.ppt/Apr 9, 2015/Page 6Georgia State University - Confidential
Kaizen Events
• Meet within 100 feet and “walk” the process to identify opportunities that are not working right and do not require detailed data to justify change
• Count the number of steps within and between tasks; estimate task and handoff times; add improvement opportunities to Value Stream Map
• Share “peak” experiences (“Appreciative Inquiry”)
• Develop hypothesis and test immediately to see if it works
• Make quick and not so elegant changes
• Expect the unexpected!
MGS8020 Improve.ppt/Apr 9, 2015/Page 7Georgia State University - Confidential
Kaizen Event Team
• The team should include the following:
– 6-8 people– People who work in the process and will have to live with the changes and
at least one supervisor from this area– Representatives from upstream and downstream processes– Support personnel (IT, HR, etc.)– One neutral observer– Plus a neutral facilitator
MGS8020 Improve.ppt/Apr 9, 2015/Page 8Georgia State University - Confidential
Kaizen Event - Day 1
• Travel - am
• Lean Classroom Training - pm– All participants required to attend half-day Lean training (Intro, waste,
VSM, takt time, etc.)– Review plan for the week– Clarify charter and scope; special needs; available data– Clarify roles/form sub-teams– Distribute materials/post white paper on walls
MGS8020 Improve.ppt/Apr 9, 2015/Page 9Georgia State University - Confidential
Kaizen Event - Day 2
• Current State Mapping - am– Sub-teams create current process map using large yellow post-its– Label with key data; identify missing data– Identify major opportunities for improvement– Adjust project scope if required
• Interview Employees/ Collect Data - pm – Sub-teams time a sample of existing sub-processes (with stop-watches)– Key personnel interviewed for knowledge of problems, suggestions for
improvement, and reasons why sample data collection may not be “normal”
– May be preceded by a tour of the entire process
MGS8020 Improve.ppt/Apr 9, 2015/Page 10Georgia State University - Confidential
Kaizen Event - Day 3
Complete Current State - am– Report-outs of key learnings– Addition of collected data – Identify key opportunities– Experiments to test viability– Management progress review
Create Future State - pm– Perform experiments– brainstorm improvement
opportunities and potential benefits
– Create high level future state (“desired” state)
Current State Value Stream Map
3 min5 min6 min
Supplier
I110 units
RECEIVERECEIVE PRECUTPRECUT PRE SPICEPRE SPICE
ServiceService
Customer
MondayMonday
I92 units
I130 units
CT = 6 min
FPY=92%
CT=5 min
FPY=90%
CT=3 min
FPY= 94%
FINAL ASSEMBLYFINAL ASSEMBLYI
125 units
CT=5 min
FPY= 95%
138 min 143 min 101 min
Lead Time = 503 min
Process Time = 19 min
5 min
Throughput Time = 522 min
3.6% cy EfficienProcess
036.0522
19
Time Throughput Total
Time ProcessTotal cy EfficienProcess
Future State Value Stream Map
3 min6 min
RECEIVERECEIVE PRE SPICEPRE SPICE
ServiceService
Customer
I46 units
I130 units
CT = 6 min
FPY=92%
CT=3 min
FPY= 94%
FINAL ASSEMBLYFINAL ASSEMBLY
CT=5 min
FPY= 95%
121 min 143 min 50 min
110 units
Supplier
I
MondayMonday
Lead Time = 314 min
Process Time = 14 min
5 min Throughput Time = 328 min
4.2% cy EfficienProcess
042.0328
14
Time Throughput Total
Time ProcessTotal cy EfficienProcess
MGS8020 Improve.ppt/Apr 9, 2015/Page 11Georgia State University - Confidential
Kaizen Event - Day 4
• Complete Future State Map - am– Include full value stream linked to customer– Return to plant to test proposed final recommended changes– Fine tune improvements– Create high-level documentation of new standard procedures
• Create presentation - pm
MGS8020 Improve.ppt/Apr 9, 2015/Page 12Georgia State University - Confidential
Kaizen Event - Day 5
• Practice Presentation - am• Noon - Lunch• Presentation to management• Debrief; Discuss obstacles to success• Next Steps/Responsibilities/Kaizen “Newspaper”• Create new standard procedures• Write report /Send to stakeholders• Celebrate!!!
# Action steps to achieve goal Responsibility Due Date Date Completed % Complete
Goal_________ Date__________Implementation Team______________
1. Defects vs. Mistakes
MGS8020 Improve.ppt/Apr 9, 2015/Page 13Georgia State University - Confidential
Agenda
1. Kaizen Events
2. Capacity Planning
3. Defects vs. Mistakes
MGS8020 Improve.ppt/Apr 9, 2015/Page 14Georgia State University - Confidential
Capacity Planning
• Capacity is the largest amount of output that can be produced in a specified amount of time.
• It is computed by taking the hourly production rate and multiplying by the
number of hours in the specified time period.
• Like cycle time, it is constrained by the slowest step in the process.
• In addition, it will also be constrained by the type of resource that limits the
output of the slowest step.
• It can also be increased by flexible plants, processes and workers.
MGS8020 Improve.ppt/Apr 9, 2015/Page 15Georgia State University - Confidential
Capacity Planning - Balance
Unbalanced Process: Capacity is limited by the slowest step (smallest output in time period!)
Balanced Process: The output of one stage is the exact input requirement for the next stage!
Stage 1 Stage 2 Stage 3Units per month 7,0007,000 7,000
Stage 1 Stage 2 Stage 38,000 7,000 6,000
Units per month
MGS8020 Improve.ppt/Apr 9, 2015/Page 16Georgia State University - Confidential
Capacity Planning - Example
• A company manufactures a toy automobile. The toy requires three steps: drilling, sanding and painting and final assembly. The company currently operates one 8-hour shift, 5 days per week.
• There are 7 drilling machines. Each drilling machine produces 20 units per hour, Sand and Paint produces 100 units/ hour, assembly produces 80 units per hour.
• What is the bottleneck activity, and what is the weekly capacity?
MGS8020 Improve.ppt/Apr 9, 2015/Page 17Georgia State University - Confidential
Process Capacity Calculation Example
Drill Sand &Paint Assemble
8-hour shift, 5 days per week
k units/wee3200 5day/week * hour/day8 *r units/hou80 Assemble
k units/wee4000day/week 5* hour/day8*r units/hou100 Capacity Paint &Sand
k units/wee5600day/week 5* hours/day8 *r units/hou20 *drills 7 Capacity Drill
units/week 6400 5day/week *hour/day 16 *units/hour 80 Assemble
units/week 4000day/week 5*hour/day 8*units/hour 100 Capacity Paint & Sand
units/week 5600day/week 5*hours/day 8 *units/hour 20 *drills 7 Capacity Drill
k units/wee6400 5day/week * hour/day16 *r units/hou80 Assemble
k units/wee6000day/week 5* hour/day8*r units/hou150 Capacity Paint &Sand
k units/wee5600day/week 5* hours/day8 *r units/hou20 *drills 7 Capacity Drill
MGS8020 Improve.ppt/Apr 9, 2015/Page 19Georgia State University - Confidential
Bottlenecks
• The sales team strives to drive new business to the restaurant. Based on the dinning hall capacity, it can only have 100 customers per hour. The dinning hall becomes a bottleneck
• The restaurant struggles to enlarge the capacity of the dinning hall, by increasing the dinning area, adding more dinning tables, and increasing the table turnover rate. The capacity of dinning hall becomes 250 customers per hour.
• However, the kitchen can only book 200 meals per hour, so the kitchen becomes a new bottleneck.
Sales Capacity
250 customers per hour
Dinning Hall Capacity
100 customers per hourKitchen Capacity
200 meals per hour
MGS8020 Improve.ppt/Apr 9, 2015/Page 20Georgia State University - Confidential
Ways to Reduce Bottlenecks
• Identify possibilities to split or share tasks (workload balancing), use line balancing
• Determine possibilities to perform parallel work
• Consider cellular layout
• Reduce setup/ changeover time and/or requirements
• Improve employee productivity
• Increase work time through overtime
• Cross-train employees
• Redesign the process
• Use flexible facility layouts
• Reduce batch size/ approach single-piece flow
• Others?
MGS8020 Improve.ppt/Apr 9, 2015/Page 21Georgia State University - Confidential
Agenda
1. Kaizen Events
2. Capacity Planning
3. Defects vs. Mistakes
MGS8020 Improve.ppt/Apr 9, 2015/Page 22Georgia State University - Confidential
Defects vs. Mistakes
Defects and mistakes are not the same thing!– A Defect is the result of a mistake– A Mistake is the cause of defects
Mistakes are inevitable!– People are human and can not be expected to concentrate all the time on
the work in front of them.– People don’t always completely understand the instructions they are
given.– Machines are not always perfect.– Complexity factors such as number of parts or lack of commonality.
The goal of Mistake Proofing is to engineer the process so that mistakes can be prevented or immediately detected and corrected.
MGS8020 Improve.ppt/Apr 9, 2015/Page 24Georgia State University - Confidential
Mistake-Proofing (Poka-Yokes)
• Keeping a mistake from becoming a defect
– Prevention • Determine potential problems• Develop fault-proof designs• Create prevention plans
• A proactive approach– Detection
• Develop signaling system/identification
• Plan for quick response at operator level
• Do root cause analysis; use “5 Whys”
• Eliminate special causes
MGS8020 Improve.ppt/Apr 9, 2015/Page 25Georgia State University - Confidential
Technique Prediction Detection
WARNING
CONTROL
SHUTDOWN
Some cameras will not function whenthere isn’t enough light
Vendor delivery time quote exceedsspecs
Some dryers have a overheat shutdowndevice
Employee starts a fist fight - gets fired
Unleaded pumps have smaller fill hose
Product # entered by scanner
Scale system automatically enters data
Cars have warning system for seat belts
Receive warning that 2 days left beforereturn date
All apples pass by sizer to sort
Application will not accept out of rangedata
Smoke detectors provide warning
Application startup for day lists all latecars
Mistake-Proofing Examples
MGS8020 Improve.ppt/Apr 9, 2015/Page 26Georgia State University - Confidential
Types of Mistake Proofing Devices
Mistake Proofing devices fall into two major categories:
Prevention - the process is engineered so that it is impossible to make a mistake at all
• Example: 3.5 inch computer diskette
Detection - a device that signals the user when a mistake has been made, so that the user can quickly correct the problem.
• Example: Limit switch signals loading jam
Let’s hope those guys use prevention type mistake
proofing!