Lean system - completed

Lean system - completed - Lean System Just-in-Time and...

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1 DSC 335 Lean System Just-in-Time and Toyota Production System DSC 335 Zhibin Yang Assistant Professor, Decision Sciences
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2 DSC 335 Outline q Introduction to Toyota Production System q Just-in-Time (JIT), “pull” system, and Kanban system q Analysis of Kanban (and “pull”) system q Lean system philosophy – continuous improvement
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3 DSC 335 Toyota: The (once) Auto Giant Source: Market cap data from Reuters.com (as of 4/18/06)
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4 DSC 335 Toyota: Growing Market Share 2007 January q Toyota Motor Sales (TMS) reported best-ever January sales of 175,850 vehicles, an increase of 5.1% over January 2006. q GM reported deliveries of 247,464 vehicles in January, down 19.7% from January 2006. q Ford’s January sales totaled 166,835, down 19% compared with a year ago. q Chrysler Group reported sales for January 2007 of 156,308 units; an increase of 1% compared January 2006, based on Solid Retail Sales
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5 DSC 335 Toyota Production System – Key to Success q A production system that is steeped in the philosophy of the complete elimination of all wastes and what imbues all aspects of production with this philosophy in pursuit of the most efficient production method. From www.toyota.co.jp/en
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6 DSC 335 Elimination of wastes: 8 Types of Wastes Waste Definition 1. Overproduction Manufacturing an item before it is needed. 2. Inappropriate Processing Using expensive high precision equipment when simpler machines would suffice. 3. Waiting Wasteful time incurred when product is not being moved or processed. 4. Transportation Excessive movement and material handling of product between processes. 5. Motion Unnecessary effort related to the ergonomics of bending, stretching, reaching, lifting, and walking. 6. Inventory Excess inventory hides problems on the shop floor, consumes space, increases lead times, and inhibits communication. 7. Defects Quality defects result in rework and scrap, and add wasteful costs to the system in the form of lost capacity, rescheduling effort, increased inspection, and loss of customer good will. 8. Underutilization of Employees Failure of the firm to learn from and capitalize on its employees’ knowledge and creativity impedes long term efforts to eliminate waste.
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7 DSC 335 House of Toyota (key building blocks) Highest quality, lowest cost, shortest lead time by eliminating wasted time and activity Just in Time (JIT) § Takt time § One-piece flow § Pull system Culture of Continuous Improvement Jidoka § Manual or automatic line stop § Separate operator and machine activities § Error-proofing § Visual control Operational Stability Heijunka Standard Work TPM Supply Chain
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8 DSC 335 Outline q Introduction to Toyota Production System q Just-in-Time (JIT), “pull” system, and Kanban system q Analysis of Kanban (and “pull”) system q Lean system philosophy – continuous improvement
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This note was uploaded on 04/05/2012 for the course DSC 335 taught by Professor Tolgaaydinliyim during the Fall '10 term at Oregon.

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Lean system - completed - Lean System Just-in-Time and...

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