2. CMTC
• Private non-profit corporation affiliated with the
National Institute of Standards & Technology –
Manufacturing Extension Partnership (NIST-
MEP)
• We are in the top 5% in NIST-MEP Client
Satisfaction
• Our Mission is to ―Make a Difference in
California‖ by enhancing manufacturing
• Our ―Hands On‖ approach is different from other
consulting organizations
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3. Kim Victorine
• Has worked with over 200 client
organizations since 1998.
• Has conducted over 100 QMS &
Lean project implementations
• Broad & deep experience:
– Quality Circle Facilitator
– JIT, TQM, SPC
– Zenger Miller certified facilitator/trainer
– Achieve Global certified facilitator/trainer
– NIST/MEPU certified Lean
facilitator/trainer
– Lean Competency in Value Stream
Mapping, 5S, Kaizen, TPM, SMED, TWI,
Problem Solving, and Standard Work
4. What is Lean?
• Lean is the identification of waste in our systems
and processes
• Lean is a organizational pursuit of the removal
and prevention of waste (9 types of NVA waste)
• Lean methodologies were developed at Toyota
and are known as the Toyota Production System
(TPS)
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5. Defining Lean
Lean is:
“A systematic approach to identifying and eliminating
waste (non-value-added activities) through continuous
improvement by flowing the product at the pull of the
customer in pursuit of perfection.”
The MEP Lean Network
6. Why Do We Follow the Lean Path?
• SURVIVAL!
• Our global economy and growing competition
requires all organizations to improve
performance ―rapidly‖
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7. What Has Changed to Require
Us to Follow a Lean Path?
• The financial model that all companies have to
apply in today's environment has changed
• The Old Equation for Profit
– Cost + Defined Profit = Sales Price
• The New Equation for Profit
– Price (Fixed by Consumer) – Cost = Profit
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8. Typical Benefits from Lean
Percentage of Benefits Achieved
0 25 50 75 100
Lead Time Reduction
Productivity Increase
WIP Reduction
Quality Improvement
Space Utilization
9. Definition Of Value-Added
Value-Added
Any activity that increases the market form or function of
the product or service. (These are things the customer is
willing to pay for.)
Non-Value-Added
Any activity that does not add market form or function or
is not necessary. (These activities should be eliminated,
simplified, reduced, or integrated.)
10. The 9 Wastes
Value-Added
Non Value-Added
1. Overproduction
2. Waiting
3. Transportation
4. Non Value-Added Processing
5. Excess Inventory
6. Defects
7. Excess Motion
8. Underutilized People (NIST-MEP)
9. Resistance to Change (CMTC)
Typically 95 % of all process time is non value-added
11. Traditional Approach to Improvement
90% of the lead time 10%
V
NVA time
A
25% improvement in Value added time
90% 7.5%
V
NVA time
A
Very little effect (2.5%) on the total lead time
12. Current Approach for Kaizen Improvement
90% of the lead time 10%
V
NVA time
A
25% improvement in Non Value added time,
67.5% 33.5%
V V V
NVA time
A A A
Significant reduction (22.5 %) in total lead time
13. Continual Improvement
Old Adage:
“If you always do what you always did, you’ll always get
what you always got.”
Competitive Corollary:
“If the other guy gets BETTER, you’re gonna get LESS.”
14. Why Introduction to Value Stream
• See the sources of waste in the
Value Stream... basis for an
implementation plan
• Linkage between information and
material flow
• Qualitative tool: What you are going
to do to affect the numbers
• Helps to see and focus on flow with a
vision of an ideal
15. Value S The Value Stream
VALUE-STREAM
PROCESS PROCESS PROCESS
Create art Molding
Assembly
Cell
Raw Finished
Material Product
16. ―Rocks in a Stream‖ or
Process Flow Optimized
How it is today
How it can be
How it should be
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17. Walking the Flow (Muda Walk)
• The first step in in identifying where things stand
(your current state) is to ―walk the process or
flow‖
• Waste (Muda) walk; Walk the flow looking for
the 9 types of waste
• Document what waste is found and where it is
located
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18. What Do We Do Next?
• Identify areas with the most potential for
improvement
• Develop a workplace diagram
• Go back to the action and collect more data
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19. Workplace Diagram
• Draw a layout of the work area showing points of
entry/exit, key equipment, storage areas,
materials
• Diagram the flow of personnel performing work
• Measure distance traveled
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20. Gather Information: Start with a Map
Pallet
Worker
Mobile Equipment
20
360v
LE203 Workplace Organization and Standardization — SM
u
02/02 v1
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22. Example: Office Area Map
File Cabinet
Files
Bookcase Bookcase
File
Boxes
Chair Table
Desk
Computer
Door Bookcase
22
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LE203 Workplace Organization and Standardization — SM
u
02/02 v1
2002
23. Example: Workplace Scan Display
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u
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24. Gather Information:
Take ―Before‖ Photos
• Photograph major problem areas
– Photos provide a visual measurement of current
and improved conditions
• Choose strategic locations
• Remember to mark the locations
• Record locations and subjects
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360v
LE203 Workplace Organization and Standardization — SM
u
02/02 v1
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25. Example: Workplace Scan
Display, with Photo’s
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360v
LE203 Workplace Organization and Standardization — SM
u
02/02 v1
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31. Kaizen Methodology
• A focused team approach towards eliminating waste in
the operation
• Lightning fast…….Just do it!
• Minimize brainstorming….‖Try-storm‖ instead!
• Fast and crude is better than slow and elegant
• Breaking the status quo by making immediate change
• Quantify the results of the change
• Involve everyone in the process
• Do it with minimal cost or no cost
32. Contact Info
Kim Victorine, Senior Consultant CMTC
BB: 310-984-0938
Cell: 951-203-3672
Email: victorin@cmtc.com
Email: kdvictorine@aol.com
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