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Class Notes - Article: Southwest Secret - Same type of...

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Article: Southwest Secret-Same type of airplane leads to cost savings (easily change if plane has delays, freeseating aboard plane, not assigning seats)-Check in you get a order line, then first come first serve-Don’t charge people for checked bags (99.93% completion rate on bags)-More direct flights-Ticket change (almost the same day), refund policy-Ticket Sales directly on website : no online third partiesKeep things simple:higher profitability, higher customer satisfaction, cost of customer is less,less turnaround timeLesson 5: LEAN SystemsArticle: In Lieu of Money, Toyota Donates Efficiency to NY Charity-Identified Issues:-Donate expertise vs. their money-Solution: Assign on employee to look for open seats, people should go in one by one sothat available seats could be easily seen,moved waiting area closer to reduce time-Organization: Everything by food group, label everything,Video: Metro World Child implementing Toyota Production System1)Smaller box2)Make a process line3)KaizenKaizen = Japanese philosophy; continuous improvementJIT (Just In Time) System = a system that incorporates lean principles-Belief that waste can be eliminated by cutting unnecessary capacity of inventory andremoving non value added activitiesExample: Aldi-Mostly private labels-You are responsible for bagging everything yourself-Smaller layout and fewer products-Quarter “borrowed” to use the carts-Train all employees how to do all roles in the store-Minimal people working in the register-Giant BarcodesCharacteristics of Lean Systems:1)Use the right work flow method
PUSH - Production of the item begins in advance of the customer needs (ex. Buffet line,PULL - Wait for customers to activate demand (ex. Custom items, fine diningrestaurants)2)Quality of the Source-Poka yoke:mistake proofing methods aimed at designing fail safe systems thatminimize human error (ex. Car prone accidents, hospital tubes (colored so that is clearfor people, code or input needed perfectly to use the machine in the first place)-Jidoka:automatically stopping the process when something is wrong and then fixingthe problems on the line itself as they occur (Make it right the first time) - ex. Jammedprinters-Andon:system that gives machines and machine operators the ability to signal theoccurrence of any abnormal condition - ex. Pharmacy prescriptions information system,OTC needed, online forms where you can’t skip to the next part,Article: Medical Record Mix Ups a Common Problem-Wristbands: using barcodes to match records-Video: Miami Children investing in LEAN-Single piece flow-Batching (PUSH method) changing to Value Stream Matching3)UniformityUniform Workstation Loads4)StandardizationStandardized Components - quick service restaurants, HP reducing their productofferings to get better agreements with suppliers (increase commonality of components)-Replicated McDonalds kitchen layouts5)FlexibilityFlexible Workforce: workers trained to do more than one job can be shifted amongworkstations as needed6)AutomationEx. Amazon Robots7)Five S Practices - Sort, Straighten, Shine, Standardize, SustainEx. Foodbank8)Total Preventative Maintenance (TPM)-Unplanned machine downtime can be extremely disruptive to lean systems-Maintenance is performed on a schedule (ex. Props on the movies, securitycomputer updates, Nascar pit stops, roller coasters, going to the dentist or doctorcheck up)

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Term
Spring
Professor
MeiLi
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