Chapter three Lean

supply
 KEY AREAS OF
THE CHAPTER
What is lean?
Value and waste
History behind lean
Tayota production
Lean tools
Lean culture
Organizational principles
Six sigma rule
 WHAT IS LEAN?

Lean is a philosophy and methodology aimed at improving efficiency, reducing

waste, and creating value in processes, products, and services. Originating from
manufacturing, particularly the Toyota Production System (TPS).
Here are the key concepts of lean:
1.Value: Focus on what the customer considers valuable and eliminate anything
that does not contribute to delivering that value.
2.Value Stream: Map out the steps required to deliver a product or service and
identify waste in the process.
3.Flow: Ensure a smooth, uninterrupted flow of tasks, materials, or information to
reduce delays and inefficiencies.
 CONT..
Value - Value refers to any activity, process, or feature that
directly contributes to meeting the needs and requirements of
customers or stakeholders.
Waste - Any activity that consumes resources but creates no value
(waste).
4. Elimination of Waste: Lean identifies 7 types of waste
1. Overproduction
2. Waiting time
3. Transportation
4. Over-processing
5. Excess inventory
6. Motion
7. Defects
 GENERAL DEFINITION:

•Waste is material, energy, or effort that has no use or value in a particular

process or system.
•Examples: Garbage, food scraps, industrial by-products, or wasted time.
•Types include:
•Solid waste (e.g., household trash, packaging)
•Liquid waste (e.g., chemical by-products)
•Hazardous waste (e.g., toxic chemicals)
•E-waste (e.g., discarded electronics)
 WHAT IS LEAN ?
Lean is a systematic approach to the reduction or
elimination of actions that do not add any value.
The process focuses on removing wasteful steps and is
designed to be continually assessed to help promote a
continuous chain of improvements. Using lean can:
i. Lower process cycle time
ii. Improve product or service delivery time
iii. Reduce or eliminate the chance of defects
iv. Decrease the amount of inventory
v. Optimize resources for key improvements
vi. Allow higher level of quality
vii. Increase customer satisfaction
 History behind Lean
Lean is rich in history with its origins able to be
traced back to 1574 when King Henry III of
France observed the Venice Arsenal complete
gallery ships using continuous flow processes.
Since then, history has shown us numerous
examples of lean processes, including Benjamin
Franklin establishing principles regarding waste
and excess inventory in the 18th century and
Frank and Lillian Gilbreth pioneering motion
efficiency in the late 19th century.
Toyota Production
System (TPLS)
The Toyota Production System (TS) is a management
strategy that consists of the philosophy and practices of
its creator, the automobile manufacturer Toyota.
The system's main objectives are to remove
inconsistencies and eradicate waste by designing out
any flaws.
It's key that the process remains as flexible as possible
and is not overburdened with any added stress. Any
tactical improvements for waste reduction should
also be applied.
Toyota of waste
TPS process also highlights eight types of
waste . there are
i. west of the over production
ii. west of waiting
iii. west of transportation
iv. west of processing
v. west of excess inventory
vi. west of movement
vii. west of making defective product
viii.west of underutilized workers
SEVEN WASTES OF LEAN
 lean tools

Lean tools are techniques and practices derived from the principles of lean manufacturing, which aim to eliminate
waste, improve efficiency, and enhance overall performance in various processes and industries.
1. Value Stream Mapping (VSM): VSM is a visual representation of the steps and flow of materials and
information required to deliver a product or service. It helps identify areas of waste and opportunities for
improvement within the value stream.
2. 5S: 5S is a methodology for organizing and maintaining a clean, orderly, and efficient workplace. It consists of
five steps:
i. Sort (remove unnecessary items).
ii. Set in Order (organize remaining items),
iii. Shine (clean and inspect the work area),
iv. Standardize (establish procedures and standards), and
v. Sustain (maintain the improvements).
 lean tools
3. Kanban: Kanban is a visual scheduling system that
uses cards or signals to control the flow of work. It
ensures that work is pulled only when there is
capacity and helps prevent overproduction and
bottlenecks.
4. Just-in-Time (JIT) is an inventory approach that
aims to produce and deliver items exactly when
needed, minimizing inventory levels and waste
5. Heijunka is a way of controlling the amount of
material processed over time to assist with the takt
time approach. It also helps in increasing
operational stability and reducing variability in
resource utilization off raw material
 Lean tools
6. Poka-Yoke is error-proofing techniques that design processes/systems
to prevent mistakes and defects, reducing rework and improving
quality.
7. Kaizen is a philosophy of continuous improvement through small,
incremental changes in processes and systems. It emphasizes
employee involvement, fosters a culture of learning, and drives
ongoing improvement efforts.
8. Total productive Maintenance maximizes equipment effectiveness,
minimizes breakdowns through proactive maintenance and employee
involvement.
9. Single minute exchange dies( SMED) is the act of simplifying a
changeover through systematically analyzing all the tasks
performed during the process. It's also an important part of
process operations as changeovers are often more expensive and
complex than in discrete manufacturing.
 Lean tools

10.Five whys?
Five Whys The 5 whys process involves asking the question of 'why'
multiple times to understand the underlying cause of a problem.
A typical 5 whys analysis will involve:
1.Appointing a facilitator
2.Building a team with relevant knowledge
3.Creating a problem statement
4.Asking why the issue happened
5.Recording the response
 Typical example of why tool?
Problem: The machine in a manufacturing facility has stopped working.
1.Why did the machine stop working?
Answer: The machine overheated and shut down.
2.Why did the machine overheat?
Answer: The cooling system failed.
3.Why did the cooling system fail?
Answer: The cooling fan in the system stopped rotating.
4.Why did the cooling fan stop rotating?
Answer: The motor that drives the cooling fan burned out.
5.Why did the motor burn out?
Answer: The motor was old an d not properly maintained, leading to excessive wear and tear.

By repeatedly asking "why," we were able to identify the root cause of the problem: the lack of proper maintenance for
motor. This analysis helps guide corrective actions to address the issue effectively. In this case, the organization can
implement a maintenance schedule, perform regular inspections, and replace motors as part of preventive maintenance
 Summery
We have learned that,
Lean is a systematic approach to the reduction or elimination of actions that do not add any
value
The Toyota production system (TPS) is a management strategy created by the automobile
manufacturer Toyota to remove inconsistencies and eradicate waste by designing out any flaws
Lean has about 10 tools including ,
1. value stream mapping
2. 5 S,
3. Kanban
4. just intime
5. hijunku,
6. poka yoke
7. Kaizen
8. Total productive Maintenance
 ORGANIZATIONAL
CULTURE
Organizational culture is the set of values, beliefs,
attitudes, systems, and rules that outline and
influence employee behavior within an
organization.
The culture reflects how employees, customers,
vendors, and stakeholders experience the
organization and its brand
ORGANAZATIONS PRINCIPLES
Each organizations has typically number
of principles which help to guide and
define how it works
1. Informal

Collaboration and Teamwork, Flexibility

and Adaptability, Respect and Trust

2. formal.
Mission and Vision, Code of Conduct,
Quality and Excellence ,Environmental
and Social Responsibility
HURDLING ROADBLOCK
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SIX SIGMA
RULE
What is six sigma?
Is a systematic method using of
improvement using management
tools and techniques
History of six sigma
Originally started in the late 1980s
by Motorola CEO Bob Galvin, the
Six Sigma was designed to help
manage the company's issues over
meeting customer expectations
affordably.
The company also added an extra
phase, known as DMAIC, to define
and manage improvements.
 FIVE KEY
PRINCIPLES OF
SIGMA
Understand and focus on
the customer
Measure the value stream
Remove the waste
Involve and equip
individuals
Establish a flexible process
Two main methodologies of
six sigma
End