Lean Tools & Techniques

We provide training, consulting, on-site implementation and program development for the following lean tools and techniques.

Value Stream Analysis

A value stream refers to all the activities — connections and flows — that your company must undertake to produce and deliver a product or service to your customers. It consists of the flow of materials as well as the flow of information.

LLC offers a 3 day VSM workshop that includes training on how to develop a VSM while actually collecting the data, developing the current state, future state and ideal state maps for the host plant and developing a Master Schedule for improvements. Essentially it is training with productive application. Typical measurements for a VSM are: throughput time, units per hour, inventory reduction, transportation distance, scrap/rework, set-ups, and value-added versus non value-added. We typically also measure manpower and sometimes even cost versus revenue which is unusual for typical mapping. During a recent session at a Dana plant we identified a future state that takes the plant from a 7 day operation to a 6 day operation and an ideal state that takes them to a 5 day operation. The future and ideal states also provide for significant flexibility based on forecasted changes in demand.

Value stream mapping is a powerful tool that graphically represents this flow, providing a common language for everyone in your organization to facilitate discussions and evaluations. Mapping allows you to "observe" your entire value stream so that you can better envision and understand how the discrete parts of your company come together to create products and services. Our goal in value stream mapping is to help you easily identify waste and constraints in the value stream and to identify immediate areas for improvement.

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Process Mapping and Process Improvement (production and business)

A fanatical focus on process improvement, regardless of the type (production or business), is critical in an organization if there is any expectation to substantially eliminate waste, reduce cycle times, improve throughput, ensure quality and ultimately cut costs. Successful and breakthrough process improvement requires deep understanding of current reality coupled with a clear vision of the desired state. Unfortunately the ability to observe work (current reality) is one of the single biggest skills deficiencies in business today. Typically the "lens" of our current reality is a focus on the results. We review reports, listen to stories and even perform unstructured/unskilled management walks (we call this management tourism) looking for "stuff". A focus on results is not a true or accurate representation of current reality. What's done is done—it's too late. To deeply understand current reality you must be able to observe work as activities, connection and flows. The problems are that most people are not skilled at observing work as activities, connections and flows and there is no single person has a complete understanding of what happens in any particular process. We need a tool to help us.

Process mapping is the single most effective and accurate tool available to observe current reality. Our dual mapping approach (activity based mapping and product based mapping) is unparalleled in its' capability in observing work as activities, connections and flows, and in developing a deep and common understanding of the current reality. This approach is particularly effective when working on business/administrative processes that often are intangible (tough to see), not documented, not measured, very cross-functional and most often “tribal” in their application.

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Systematic Waste Elimination

You won't like this but it is documented and we can prove that every individual who work in your organization wastes two to six hours every eight hours they are at work. This is not an indictment of the people. It's am indictment of the processes and systems. Imagine if you could eliminate just 15 minutes of waste every day for every person. Do the math. The increase in capacity and productivity could be overwhelming. Finding 15 minutes is easy using a disciplined, structured and systematic approach to identifying and eliminating waste. Identifying waste in one or more of each of the 7 waste categories—overproduction, processing, defects, transportation, motion, waiting and inventory—provides an organization a common lens and language for waste elimination. A simple and highly effective mechanism for waste elimination is the frequent use of structured "waste walks" performed at all levels and within every that are difficult to observe. Systematic waste elimination is likely the quickest and easiest lean practice to achieve substantial measurable performance improvement.

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Five S

Five S is probably one of the most widely applied and most misunderstood lean tool used today because it's simple to apply and there are quick and visible results. However, although being quick and easy, it is also most difficult tool to sustain. One of the primary reasons it is difficult to sustain a Five S campaign is because people do not understand and recognize the real purpose of Five S's. Most companies look at Five S's as the "housekeeping" tool—a place for everything and everything in its place. Workplace organization is the result, it is not the purpose. The purpose is to enable the organization to immediately spot abnormal conditions. The spotlessly clean floor of a professional racecar teams' garage is not just because they want to be organized. It's because they can immediately spot a fluid leak and know immediately that they have a problem. The real value of Five S's becomes instantly apparent to the people only when the true purpose is recognized. Five S's is a powerful tool that consists of a simple set of sequential steps—sift, sweep, sort, sanitize and sustain—that can be easily applied to improve productivity, improve quality, improve the work environment and reduce waste when properly understood and executed.

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Error Proofing

Error proofing is generally regarded as the lean tool and technique used to prevent errors/mistakes from occurring—but it's much more. More error proofing initiatives would be successful if organizations understood all three error proofing applications and opportunities.

  • The first objective of error-proofing is to eliminate the possibility of any mistakes. This is accomplished by removing variables from a process or by putting mechanisms in place that permit only one correct way to perform an activity. For example; if I were asked to make a color choice between light blue and baby blue, there would be no possibility of choosing incorrectly if one of the colors (variables) was eliminated from the selection process. In other words, fewer variables — fewer opportunities for errors.
  • Preventing all errors is impossible, which brings us to the next error-proofing technique — apply mechanisms and methods that signal when a mistake has been made before it becomes a defect. Keep in mind, mistakes don't always result in defects. I can drive on the wrong side of the road (mistake), for instance, and be warned by another motorist (signal) before I get in accident (defect).
  • The third technique is used when you can't prevent an error, nor can you signal when an error occurs. The next best thing, then, is to signal when a defect occurs at its' point of origin, before the defect gets deeper into the process. The further away a defect gets from the origin, the more it will cost.
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Visual Management

Visual Management is not only a tool for lean application; it is also a common thread through most of the lean tools. For example, visual management is a significant element of Five S's, standardized work, material control systems, quality alert systems, and many others. However, as is the case with many lean tools, the purpose and the full application of visual management is not thoroughly understood or appreciated and therefore not nearly as impactful as it could be. The purpose is to provide "status at a glance" and to enable the rapid absorption of information for quick and effective decision making. Visual management decentralizes decision making and creates a more standard work environment. What is seldom realized however is that there are various levels of visual management? The first level is "visual display". At this level you either simply trying to share information (information boards, maps, signage, etc.) or trying to create standardized practices (SWI's. address grids, Kanban cards, etc.). The second level is "visual control". At this level you are warning of defects or abnormal conditions (andon cords, defect boards, templates, etc.) or attempting to prevent defects (light screens, motion sensors, lock out tags, etc.). At most railroad crossings you experience each level of visual management. The color and shape of the railroad crossing sign communicates that there is a crossing and establishes the standard for a railroad crossing (the sign is always the same). The flashing lights are a visual control warning you a train is coming and the crossing gate is a visual control preventing you from crossing the track. Visual management is a very effective and a low cost opportunity to develop standards and control behaviors. Search for every opportunity to have in your organization to use visual management but be sure you understand what you are trying too achieve, visual display or visual control, before designing the visual management mechanism.

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Standardized Work

The absolute foundation of lean systems is the principle of high agreement, more commonly known as standardization. But it's not just about high agreement of what you want to accomplish, it's also high agreement how you are to act and the work that needs to be performed to accomplish the what. For example, most of us agreed that we needed to drive to work this morning (what), but what if all decided to travel using our own set of rule and regulations (how). Chaos would be inevitable. It's no different in our businesses every day. Standardization is the enabler for all the conditions required for superior performance. There is less waste, fewer problems, abnormal conditions are visible and controllable, and without standardization, there cannot be continuous improvement. We are often asked to describe the Toyota Production System (TPS). Not easy to do, but when pressured, the response is always the same-standardization in everything they do. Standardized activities, standardized processes, standardized flows, standardized connection, and certainly standardized thinking. Standardization is the fabric of TPS.

Many lean tools contribute to achieving high agreement. Visual Management, Five S's, and Error Proofing are just a few. However the backbone of high agreement is Standardized Work. Standardized work consists of 4 essential elements:

  • Standard Work Instructions (SWI's)-SWI's are the first step toward standardized work. SWI's are the means to ensure that operations are executed the same way, every time. They provide the means to minimize the human input variable. The focus becomes "what changed in the process" not "who made the mistake".
  • Standard Layouts-Standard layouts are applicable to same and similar operations and promote flexibility and interchangeability. At a Bosch plant they have 9 people in their organizational development staff that can sit at any OD station and effectively and efficiently perform the work required. Standard layouts are a perfect complement to SWI's.
  • Standard Work-in-Process (SWIP)-SWIP is simply a specific number of minimum and maximum pieces of in-process inventory required to conduct the work sequence on demand. SWIP is generally recognized for the positive impact it has on inventory management and inventory reduction but SWIP is so much more. SWIP provided an obvious and visible signal (andon) of process problems either upstream or downstream of the SWIP location. It signals abnormalities.
  • Control Point Standardization (CPS)-Standardization is often thought to apply only to repetitive activities that are subject to little variability. That couldn't be further from the truth. Certainly the more variability in a person's day the more difficult it is to standardize their activity but certain activities can be and should be standardized. There are critical daily, weekly, and monthly activities that must be always performed to maximize performance. We call these critical activities control points. CPS applies to supervisors and mangers. It similar to what is required of an airline pilot. They fly different aircraft, to different locations at different times of the day but they always do a preflight checklist, check certain critical parameters during flight (altitude, speed, direction, fuel, etc.) and perform a post flight checklist before turning the aircraft over to the next pilot. The process is remarkably effective. Supervisors and mangers should be required to live by the same standard.

ADI has helped companies apply each and every one of these techniques, not just in production, but throughout their entire enterprise. Additionally, ADI pioneered the design, development, and implementation of CPS. Standard Work is the basic of lean implementation that must exist if you expect to successfully grow and sustain a lean initiative.

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JIT Material Control

This technique will help to eliminate waste, simplify processes, and reduce set-up time and batch-size. JIT is a system for producing and delivering the right items at the right time, in the right amounts.

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One-Piece Flow/Pull Systems

Reduce lead times, staffing requirements and defects through continuous flow production where items are produced and moved from one processing step to the next one piece at a time, as opposed to large batch production. Each process makes only the one piece that the next process needs.

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Set-Up Reduction

Set-Up Reduction is likely one of the oldest and most enduring tools in the lean tool box. What is Set-Up Reduction? It is simply the "improvement process used to eliminate or reduce the time and resources required to change over a piece of equipment from the last good product of the prior job to the first good product of the next job". Every product or service goes the same four elements of their production cycle-queue, set-up, run, wait and move. Simply focusing on the run element (for example: increasing speeds and feeds), which by the way is the ONLY value-added element, you will improve the overall production cycle time and lead time. However, by focusing on reducing the set-up time, and by subsequently reducing your lot sizes, you will significantly reduce the time and resources required in all of the elements and substantially reduce cycle times and customer leads times. Although Set-Up Reduction is typically considered a "shop floor" equipment application, we have found that the same elements and opportunities exist in the office/administrative environment. The budget cycle for example. Ultimately the objective is clear. Eliminate and/or reduce the human resources, materials and machinery it takes to transition a product or service from one operation or job to another.

The benefits are overwhelming:

  • Instant capacity with no capital investment
  • WIP and finished goods inventory reduction and the accompanying carrying costs.
  • Shorter lead times for customers
  • Greater flexibility and adaptability to changing customer and business demands
  • Reduce costs and improve productivity

In one plant in one company, in less than a year, they were able to:

  • Increase capacity by 4500 hours with no new equipment or any significant capital investment
  • Reduce overtime by $800,000 while producing an equal amount of product
  • Reduce WIP and finished foods inventory by $1,400,000
  • Improve throughput from 85 days to 14 days capturing additional new business in a very competitive environment

The best feature may be how simple a Set-Up Reduction program is to implement. ADI has assisted aerospace, automotive, printing, food process , electronic any many other industries in the design and implementation Set-Up reduction programs. Typically we just need to get you started-you can do the rest.

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For more information, please contact us or call 561-626-0676.

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