PRODUCTIONLOGISTICS

Trends in Production Logistics

Slovak University of TechnologyFaculty of Material Science and Technology in Trnava

Just in Time - Fundamentals

It is an inventory management philosophy that attempts to minimize inventories through the elimination of safety stocks (ie extra product to cover unexpected variations in demand)

Just in Time - Fundamentals

Under JIT approach product components or other materials are delivered at the precise moment an organization needs them or as close that moment as possible

JIT is in the contrast o the traditional philosophy Just in Case in which large inventories or safety stocks are held just in case they are needed

Main Principles of JIT

bull Planning and production for orderbull Production in small series ndash every

product (production batch) ndash is regarded individual unit

bull Loss eliminationbull Continuous flows in production

Main Principles of JIT

bull Quality guarantee in productionbull Respect (motivation) to employeebull Elimination casualness optimization of

inventories capacities utilizationbull Support the longtime and clear strategy

Benefits of JIT

bull Improved inventory turnsbull Improved customers servicebull Decreased warehouse spacebull Improved response timebull Reduced transportation costs

Benefits of JIT

bull Reduced transportation costsbull Reduced logistics costsbull Improved quality of vendor productbull Reduced number of vendorsbull Reduced number of transportation

carriers

JIT Approaches

Synchronising ndash the production and shipment of asked quantities in conventional frequency The results of this strategy are

bull Lower warehouse costsbull Higher costs for production of smaller bathesbull Higher costs for batches transport

JIT Approaches

Emancipation ndash the production of several bathes at once with lower production costs (lower number of production devices converting) Supplier will store some production amounts in his own field Then he will sending them by the elements to purchaser in conventional amounts and delivery frequency There are the results

bull Upper storage costsbull Lower production costsbull Higher supplier flexibility by oscillations of its

consumption

JIS ndash Just in Sequence

It is based on the principle of reserving the goods (products) by Sequence reference

Sequence reference ndash it is the parts reserving in sequence of assembling particular final products It is using in components with high number of variants which can not be assembled because of field reasons They are completed till the consumption place The implementation conditions of JIS are the same then JIT

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Just in Time - Fundamentals

It is an inventory management philosophy that attempts to minimize inventories through the elimination of safety stocks (ie extra product to cover unexpected variations in demand)

Just in Time - Fundamentals

Under JIT approach product components or other materials are delivered at the precise moment an organization needs them or as close that moment as possible

JIT is in the contrast o the traditional philosophy Just in Case in which large inventories or safety stocks are held just in case they are needed

Main Principles of JIT

bull Planning and production for orderbull Production in small series ndash every

product (production batch) ndash is regarded individual unit

bull Loss eliminationbull Continuous flows in production

Main Principles of JIT

bull Quality guarantee in productionbull Respect (motivation) to employeebull Elimination casualness optimization of

inventories capacities utilizationbull Support the longtime and clear strategy

Benefits of JIT

bull Improved inventory turnsbull Improved customers servicebull Decreased warehouse spacebull Improved response timebull Reduced transportation costs

Benefits of JIT

bull Reduced transportation costsbull Reduced logistics costsbull Improved quality of vendor productbull Reduced number of vendorsbull Reduced number of transportation

carriers

JIT Approaches

Synchronising ndash the production and shipment of asked quantities in conventional frequency The results of this strategy are

bull Lower warehouse costsbull Higher costs for production of smaller bathesbull Higher costs for batches transport

JIT Approaches

Emancipation ndash the production of several bathes at once with lower production costs (lower number of production devices converting) Supplier will store some production amounts in his own field Then he will sending them by the elements to purchaser in conventional amounts and delivery frequency There are the results

bull Upper storage costsbull Lower production costsbull Higher supplier flexibility by oscillations of its

consumption

JIS ndash Just in Sequence

It is based on the principle of reserving the goods (products) by Sequence reference

Sequence reference ndash it is the parts reserving in sequence of assembling particular final products It is using in components with high number of variants which can not be assembled because of field reasons They are completed till the consumption place The implementation conditions of JIS are the same then JIT

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Just in Time - Fundamentals

Under JIT approach product components or other materials are delivered at the precise moment an organization needs them or as close that moment as possible

JIT is in the contrast o the traditional philosophy Just in Case in which large inventories or safety stocks are held just in case they are needed

Main Principles of JIT

bull Planning and production for orderbull Production in small series ndash every

product (production batch) ndash is regarded individual unit

bull Loss eliminationbull Continuous flows in production

Main Principles of JIT

bull Quality guarantee in productionbull Respect (motivation) to employeebull Elimination casualness optimization of

inventories capacities utilizationbull Support the longtime and clear strategy

Benefits of JIT

bull Improved inventory turnsbull Improved customers servicebull Decreased warehouse spacebull Improved response timebull Reduced transportation costs

Benefits of JIT

bull Reduced transportation costsbull Reduced logistics costsbull Improved quality of vendor productbull Reduced number of vendorsbull Reduced number of transportation

carriers

JIT Approaches

Synchronising ndash the production and shipment of asked quantities in conventional frequency The results of this strategy are

bull Lower warehouse costsbull Higher costs for production of smaller bathesbull Higher costs for batches transport

JIT Approaches

Emancipation ndash the production of several bathes at once with lower production costs (lower number of production devices converting) Supplier will store some production amounts in his own field Then he will sending them by the elements to purchaser in conventional amounts and delivery frequency There are the results

bull Upper storage costsbull Lower production costsbull Higher supplier flexibility by oscillations of its

consumption

JIS ndash Just in Sequence

It is based on the principle of reserving the goods (products) by Sequence reference

Sequence reference ndash it is the parts reserving in sequence of assembling particular final products It is using in components with high number of variants which can not be assembled because of field reasons They are completed till the consumption place The implementation conditions of JIS are the same then JIT

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Main Principles of JIT

bull Planning and production for orderbull Production in small series ndash every

product (production batch) ndash is regarded individual unit

bull Loss eliminationbull Continuous flows in production

Main Principles of JIT

bull Quality guarantee in productionbull Respect (motivation) to employeebull Elimination casualness optimization of

inventories capacities utilizationbull Support the longtime and clear strategy

Benefits of JIT

bull Improved inventory turnsbull Improved customers servicebull Decreased warehouse spacebull Improved response timebull Reduced transportation costs

Benefits of JIT

bull Reduced transportation costsbull Reduced logistics costsbull Improved quality of vendor productbull Reduced number of vendorsbull Reduced number of transportation

carriers

JIT Approaches

Synchronising ndash the production and shipment of asked quantities in conventional frequency The results of this strategy are

bull Lower warehouse costsbull Higher costs for production of smaller bathesbull Higher costs for batches transport

JIT Approaches

Emancipation ndash the production of several bathes at once with lower production costs (lower number of production devices converting) Supplier will store some production amounts in his own field Then he will sending them by the elements to purchaser in conventional amounts and delivery frequency There are the results

bull Upper storage costsbull Lower production costsbull Higher supplier flexibility by oscillations of its

consumption

JIS ndash Just in Sequence

It is based on the principle of reserving the goods (products) by Sequence reference

Sequence reference ndash it is the parts reserving in sequence of assembling particular final products It is using in components with high number of variants which can not be assembled because of field reasons They are completed till the consumption place The implementation conditions of JIS are the same then JIT

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Main Principles of JIT

bull Quality guarantee in productionbull Respect (motivation) to employeebull Elimination casualness optimization of

inventories capacities utilizationbull Support the longtime and clear strategy

Benefits of JIT

bull Improved inventory turnsbull Improved customers servicebull Decreased warehouse spacebull Improved response timebull Reduced transportation costs

Benefits of JIT

bull Reduced transportation costsbull Reduced logistics costsbull Improved quality of vendor productbull Reduced number of vendorsbull Reduced number of transportation

carriers

JIT Approaches

Synchronising ndash the production and shipment of asked quantities in conventional frequency The results of this strategy are

bull Lower warehouse costsbull Higher costs for production of smaller bathesbull Higher costs for batches transport

JIT Approaches

Emancipation ndash the production of several bathes at once with lower production costs (lower number of production devices converting) Supplier will store some production amounts in his own field Then he will sending them by the elements to purchaser in conventional amounts and delivery frequency There are the results

bull Upper storage costsbull Lower production costsbull Higher supplier flexibility by oscillations of its

consumption

JIS ndash Just in Sequence

It is based on the principle of reserving the goods (products) by Sequence reference

Sequence reference ndash it is the parts reserving in sequence of assembling particular final products It is using in components with high number of variants which can not be assembled because of field reasons They are completed till the consumption place The implementation conditions of JIS are the same then JIT

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Benefits of JIT

bull Improved inventory turnsbull Improved customers servicebull Decreased warehouse spacebull Improved response timebull Reduced transportation costs

Benefits of JIT

bull Reduced transportation costsbull Reduced logistics costsbull Improved quality of vendor productbull Reduced number of vendorsbull Reduced number of transportation

carriers

JIT Approaches

Synchronising ndash the production and shipment of asked quantities in conventional frequency The results of this strategy are

bull Lower warehouse costsbull Higher costs for production of smaller bathesbull Higher costs for batches transport

JIT Approaches

Emancipation ndash the production of several bathes at once with lower production costs (lower number of production devices converting) Supplier will store some production amounts in his own field Then he will sending them by the elements to purchaser in conventional amounts and delivery frequency There are the results

bull Upper storage costsbull Lower production costsbull Higher supplier flexibility by oscillations of its

consumption

JIS ndash Just in Sequence

It is based on the principle of reserving the goods (products) by Sequence reference

Sequence reference ndash it is the parts reserving in sequence of assembling particular final products It is using in components with high number of variants which can not be assembled because of field reasons They are completed till the consumption place The implementation conditions of JIS are the same then JIT

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Benefits of JIT

bull Reduced transportation costsbull Reduced logistics costsbull Improved quality of vendor productbull Reduced number of vendorsbull Reduced number of transportation

carriers

JIT Approaches

Synchronising ndash the production and shipment of asked quantities in conventional frequency The results of this strategy are

bull Lower warehouse costsbull Higher costs for production of smaller bathesbull Higher costs for batches transport

JIT Approaches

Emancipation ndash the production of several bathes at once with lower production costs (lower number of production devices converting) Supplier will store some production amounts in his own field Then he will sending them by the elements to purchaser in conventional amounts and delivery frequency There are the results

bull Upper storage costsbull Lower production costsbull Higher supplier flexibility by oscillations of its

consumption

JIS ndash Just in Sequence

It is based on the principle of reserving the goods (products) by Sequence reference

Sequence reference ndash it is the parts reserving in sequence of assembling particular final products It is using in components with high number of variants which can not be assembled because of field reasons They are completed till the consumption place The implementation conditions of JIS are the same then JIT

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

JIT Approaches

Synchronising ndash the production and shipment of asked quantities in conventional frequency The results of this strategy are

bull Lower warehouse costsbull Higher costs for production of smaller bathesbull Higher costs for batches transport

JIT Approaches

Emancipation ndash the production of several bathes at once with lower production costs (lower number of production devices converting) Supplier will store some production amounts in his own field Then he will sending them by the elements to purchaser in conventional amounts and delivery frequency There are the results

bull Upper storage costsbull Lower production costsbull Higher supplier flexibility by oscillations of its

consumption

JIS ndash Just in Sequence

It is based on the principle of reserving the goods (products) by Sequence reference

Sequence reference ndash it is the parts reserving in sequence of assembling particular final products It is using in components with high number of variants which can not be assembled because of field reasons They are completed till the consumption place The implementation conditions of JIS are the same then JIT

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

JIT Approaches

Emancipation ndash the production of several bathes at once with lower production costs (lower number of production devices converting) Supplier will store some production amounts in his own field Then he will sending them by the elements to purchaser in conventional amounts and delivery frequency There are the results

bull Upper storage costsbull Lower production costsbull Higher supplier flexibility by oscillations of its

consumption

JIS ndash Just in Sequence

It is based on the principle of reserving the goods (products) by Sequence reference

Sequence reference ndash it is the parts reserving in sequence of assembling particular final products It is using in components with high number of variants which can not be assembled because of field reasons They are completed till the consumption place The implementation conditions of JIS are the same then JIT

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

JIS ndash Just in Sequence

It is based on the principle of reserving the goods (products) by Sequence reference

Sequence reference ndash it is the parts reserving in sequence of assembling particular final products It is using in components with high number of variants which can not be assembled because of field reasons They are completed till the consumption place The implementation conditions of JIS are the same then JIT

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Problems Associated with JIT

1 Production Scheduling (plant) ndash higher levels of inventory coupled with a uniform production schedule can be more advantageous than fluctuating schedule with less inventory

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Problems Associated with JIT

2 Supplier production schedules ndash success of JIT depends on suppliersrsquo ability to provide parts in accordance with the firmrsquos production schedule Smaller more frequent orders can result in higher ordering costs which must be taken into account when calculating and costs savings due to reduced inventory levels Suppliers incur higher production and setup costs due to the large number of small lot quantities produced The result can be an increase in the costs of procuring items from suppliers unless they are able to perceive the benefits they can receive from being part of JIT system

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Problems Associated with JIT

3 Suppliers Locations ndash as distance between the firm and its suppliers increase delivery items may become more erratic and less predictable Transport costs also increase as small shipments are made Transit time variability can cause inventory stock out that disrupt production scheduling When it is combined with higher delivery costs per unit total costs may be greater than savings in inventory carrying costs

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

JIT II

It applies JIT concepts to the purchasing functions by having a representative of the supplier locate at the buying organizationrsquos facility This approach improves mutual understanding between the buyer and supplier reduces waste and redundancy of efforts improves supplier responsiveness and creates a positive working environment

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

KANBAN - Definitions

1048708 Used as part of a just-in-time production operation where components and sub-assemblies are produced based upon notification of demand from a subsequent operation Historically kanban has been a physical notification such as a card (kanban cards) or even an empty hopper or

tote sent up the line to the previous operation

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

KANBAN - Definitions

1048708 A method which during storage uses standard units or lot sizes with a single card attached to each A pull system used at a stock point in which a supply batch is ordered only when a previous batch is withdrawn Kanban in Japanese means loosely translated card or sign

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

KANBAN - Definitions

1048708 A means of communicating need for products or services It is generally used to trigger the movement of material where one piece flow cannot be achieved but is also used to ldquosignalrdquo upstream processes to produce product for downstream processes

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Kanban Rules

The subsequent Process should withdraw the

necessary products from the preceding process in the

necessary quantities at the necessary point of time

The preceding process should produce its products in

the quantities withdrawn by the subsequent process

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Kanban Rules

Defective products should never be convened to the

subsequent process The number of Kanbans should be

minimized Kanban should be used to adapt to small

fluctuations

in demand (less than 10)

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

KANBAN - Fundamentals

It goes out the organizational rules of an americans supermarkets activities applied in production

If the goods was sold in the supermarket then kanban was left at the cash ndash desk It was fixed on every good and it allows to control the sale capacity by this simply way The cards was send to warehouse in some intervals and the inventories was completed this way If something missed in stock then the cards will move to production for warehouse completing

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Utilization

In repeated production of the identical parts with high uniformity of sale

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

KANBAN - Card

It contains following information bull who (production place) bull what (product ndash description graphic

representation identification number) bull For whom (the consumption place)bull How many (quantity batch size vehicle

capacity) Classical card has not used yet The palette

vehicle or bar codes are information holder

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

KANBAN ndash Types of Cards

Operating ndash they manage the material and information flows Operating card moves from consumption place to the order place ndash previous production level When the Kanban card is coming it is the impulse for segment flow to the consumption place

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

KANBAN ndash Types of Cards

Transport ndash they manage the material transfer and semi-finished products from warehouse to technologies workplaces They are used in double card Kanban systems

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

KANBAN ndash Types of Cards

Signal ndash supplement to operating Kanban cards It is used at positions with high time demands then the production make the stocks This kind has been used when the stock go down under some limit or they rise over it

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

KANBAN ndash Types of Cards

Additive ndash they are in still in circulation They are used when rises e g necessity of parts because of failures machine and devices fail etc

Express ndash The utilisation is similar then additive ones When express card will come it must be processed at firs

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

DBS- Drum Buffer Rope

It is the system of production process management using the bottle neck It will create the buffer before the bottle neck and the bottle neck is working out to maximum The running rhythm gives the bottle neck and the buffer pulls the semi-finished product form previous position

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

KAIZEN

It is the method of continuous improving as the opposite to big innovation and investment changes The aim of Kaizen is to eliminate the often revolt the people to great changes by break or jump (great changes mean the investment and also great losses)

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Kaizen Performances

bull System in everything ndash at operator workplace and in management as well There is necessary to shift essential thinks from irrelevant everywhere and to work systematically

bull System organization ndash in production set up in production and in tasks and management too

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Kaizen Performances

bull Systematic cleanness maintenance ndash systematic service maintenance and safety

bull Continued control ndash of the operations components products the results and quality control

bull Deficits remove immediately ndash of individual in team and in whole company

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

The Main Principles of Kaizen

bull Every improvement and also the small one needs the attention

bull Everyone can work by Kaizen method and everywhere

bull There is necessary to make small innovative steps and continuous improvement

bull To ensure fellowship of all the staff on improvement (to make the trust the work of innovators)

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

LEAN PRODUCTION

It is the production without everything needless However it means the strong pace time and faults and costs reduction in production

The correction is about the production administration (lean leadership) management (lean management) and whole business (lean enterprise )

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Lean Production Principles

1 Maximal customer orientation

2 Decentralization of production units

3 Cooperation with customers and suppliers and subcontractors too

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Lean Production Principles

4 High qualification of the staff ndash operation and managerial ones

5 Continual activity of colleagues in improvement by Kaizen

6 The customers and the suppliers are regarded the members of the organization in this system and they nearly communicate

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Lean Production Principles

7 High quality soundness reliability of production

8 Good organised and transparent information system

9 Team work team organization and team management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Lean Production Principles

10 Flexible production toward the innovative changes and changing the market requirements

11 TQM application

12 JIT application

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Lean Production Principles

13 Lean distribution channels

14 Improvement of the organization

15 Minimize all the kinds of inventories

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management

Lean Production Principles

16 Maximal reduction of delivery time by JIT

17 Outsourcing of some activities

18 Qualitative management