What is Lean? Lean Tools-5S, Takt time, Kaizen, SMED, A3, JIT, - - PowerPoint PPT Presentation

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What is Lean? Lean Tools-5S, Takt time, Kaizen, SMED, A3, JIT, - - PowerPoint PPT Presentation

Oct 21, 2022 169 likes •443 views

What is Lean? Lean Tools-5S, Takt time, Kaizen, SMED, A3, JIT, KANBAN Using the scientific method to continuously improve the business and other related parts of the entire value stream. A complete change in the way that we work as human beings

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What is Lean?

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Lean Tools-5S, Takt time, Kaizen, SMED, A3, JIT, KANBAN

Using the scientific method to continuously improve the business and other related parts of the entire value stream.

A complete change in the way that we work as human beings

  • From individual heroes to strong teams
  • From computer driven systems to simple, physical ones
  • From complex systems understood by experts to simple systems that give power to the

workers

  • From job=work to job=work + improving the work (kaizen)
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Nappanee Window Extrusion Mill

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Turning Point

  • Lost 40m/yr business in the downturn
  • Sold off assets and saw all of our mistakes
  • only dabbled with lean
  • Saw many of the same issues at Alum

Trailer but now saw thru lean eyes

Turning Point for Me

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Company Overview

▪ Founded 1999 ▪ Purchasing in Cargo

Trailer Co.

▪ Elkhart County- Trailer

Capital

▪ RVs ▪ Cargo Trailers

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Products

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Reason for Action – Phase 1

▪ 60% Drop in Sales from

’07-’09

▪ Relied heavily on tribal

knowledge

▪ Average Vendor paid

25 days late

▪ Negative equity ▪ 5 inventory turns

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Separated into 3 lines based on work content and complexity

Line 1 (Raven) Line 2 (Midline) Line 3 (Custom/Large)

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Value Streams

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Inside sales Production Drawings Purchasing and Scheduling Trailer Design Trailer Design Value Stream Leader Order Order Order Order Order Order Order Order Order Order Order Order Order Order Order Order Production team members

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Value Stream 2 Team

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Metrics

$(1,000,000) $- $1,000,000 $2,000,000

2 9 2 1 2 1 1 2 1 2 2 1 3 2 1 4

Net Income

0.000 10.000 20.000

2009 2010 2011 2012 2013 2014

Inventory Turns

  • 1,000,000

2,000,000 3,000,000

2009 2010 2011 2012 2013 2014

Long Term Debt

$- $10 $20 $30

2009 2010 2011 2012 2013 2014

Average Line Worker Pay per hour

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Phases of Lean at ATC Trailers

7 years of hard work!

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Improve Flow: 8 months

Before After

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Clean-up the mess: 3 years

Before After

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Sort, Set, Shine, Standardize and Sustain: 4 years

Before After

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Supermarket/Material Supply System: 3 years

Before After

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Value Stream Management: 2012 to present

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Phase 3: Lean Management System

Lean = Process Improvement Tools

Something was missing

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Lean Management System

“Everybody, every where, every day comes together in small teams and reflects on how we did yesterday, where was the waste, and how we can do better today” –Joe Murli

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Open Utility Frame Table

January 8, 2015 November 3, 2015

Cycle time 181 minutes Cycle time 134 minutes 1 Week Production Example

  • 5 People
  • 6 OCH
  • 8 OUT
  • $44,735/week

1 Week Production Example

  • 6 People
  • 11 OCH
  • 25 OUT
  • $93,242/week

Cycle time 84 minutes 1 Week Production Example

  • 7 People
  • 13 OCH
  • 25 OUT
  • $108,600/ week

February 24, 2016

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Daily Reflection/Tier Meetings

Tier 2-Market Tier 2-Final

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Changing the way we work as human beings -

CAN’T BE DELEGATED!

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Lean Accounting

Lean accounting is simple and just makes sense to lean

  • rganizations.
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