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Lean is different from the traditional western, mass production model that relies on
economies of scale to create profits. The more you make the cheaper the product will
become, the greater the potential profit margin. It is based on predictions of customer needs,
or creating customer needs. It has difficulty dealing with unusual changes in demand.
Lean production responds to proven customer demand. Pull processing the customer pulls
production. In a mass system the producer pushes product onto the market, push processing.
LEAN REQUIRES:
On eliminating mistakes
On eliminating waste
Waste = using too many resources (materials, time, energy, space, money, human resources,
poor instructions)
WASTE:
overproduction
defects
unnecessary processing
waiting (wasting time)
wasting human time and talent
too many steps or moving around
excessive transportation
excessive inventory.
Lean production includes working with suppliers, sub contractors, and sellers to streamline
the whole production process. The goal is that production would flow smoothly avoiding
costly starts and stops.
Just in time produce only what is needed, when it is needed, and only in the quantity
needed. Production process must be flexible and respond quickly.
In mass production = just in case inventory. Extra supplies and products are stored just in
case they are needed.
LEAN PRINCIPLES
5S
Seiri (Sorting) Getting rid of anything that is not necessary, store or discard
Seiton (Straighten) workplace arranged for efficiency, clean orderly, limit movement or
effort required to locate parts and then transport parts.
Seiso (Shine) keep the place clean and neat so that the visual cues of problems can be noted
right away, daily activity
Seiketsu (Standardize) operations - what is to be done and who will do it, measurement of
quality work, make sure everyone knows the standards.
Costs are lowered in a lean system by eliminating waste including non-value added
activities
Muda Waste
Waiting for parts or decisions or other work to be done (wrench time versus think time)
Inventory only stock the parts or materials and supplies you need material supply process
Information need the right information at the right time (not too much, not too little, not too
late)
Principles
Pull processing (demand drives the work) in maintenance the demand is no (or very few)
breakdowns and no defects
Eliminate waste
Continuous improvement
Flexibility
Poka-yoke mistake proof determining the cause of problems and then removing the cause to
prevent further errors (root cause analysis)
Kaizen = continuous improvement is both a philosophy and a formal process with kaizen
meetings to solve problems