TOYOTA PRODUCTION SYSTEMS & THE 7 WASTE’S MANAGEMENT

“Safety First, Quality Must, Kaizen Forever”

“Waste costs you and your customers money.”

How much waste does your organization produce?

Do you ever have to wait for someone else to finish a task before you can get on with your own work?

Do you have a large inventory of unsold stock?

Do you order materials months in advance of when they are needed?

And if your customer has to pay more because of your wastes, He might as well go elsewhere.

Lean Manufacturing

A theory that can help your work environment

Simplified and Organized

to

Reduce Waste and

Keep your people, process and physical evidence* (3P)

Responsive

*Physical Evidence: Physical cues that help customers evaluate the product before they buy it.

TPS – Toyota Production System

Originally called “JIT”

Just in Time, invented by

Kiichiro Toyoda.

TPS is a set of principles (The Toyota Way) which have been adopted and

imitated all over the world. The Toyota Way

TPS – Goals And Outcomes

Goals: Elimination of waste, overburden and unevenness for a smooth

work and efficiency. Ensure Continuous Improvement, Maximize Quality, Improve

Efficiency and Eliminate wastes.

Outcomes desired for Toyota: Highest quality vehicles, at lowest possible cost, in a timely

manner with the shortest possible lead times. To provide members with work satisfaction, job security and fair

treatment It gives the company flexibility to respond to the market, achieve

profit through cost reduction activities and long-term prosperity

7 Different Mudas*

What does TPS eliminate?

Waste of over production (largest waste) Waste of time on hand (waiting) Waste of transportation Waste of processing itself Waste of stock at hand Waste of movement Waste of making defective products

* Muda (Japanese), means waste or any activity that consumes resources without adding value.

Waste of Over Production

CAUSES:• Creating enough stock to replace the number of defective

parts produced• Over staffing or too much equipment• Poor Quality • Blockage of flow of goods• Miscommunications or Gaps between suppliers of raw

materials and Producers• Large-lot-production• Anticipatory Production

How can this be eliminated?

• More inventory

• Inventory keeping costs

• Higher transportation costs

• Properly planned processes

• Well planned storage systems

• Using smaller & Simpler machines

• Use methods like SMED

• Improve product quality to avoid remanufacturing for

damaged goods. Or just use systems like JIT.

What does it lead to?

Waste of Time On Hand

Lack of trained staffShortages of materialInefficient PlanningThe result of other

mudas

Waiting

Slowed ProductionDelayed ShipmentsMissed deadlinesPayment made for unproductive time

Waste of Transportation

• Carrying WIP long distances, creating inefficient transport, or moving parts in and out of storage facility.

•Inefficient layouts and facility design results in conveying parts, materials and people more than is necessary.

•Material should progress from one cell or position to the next as quickly as possible without stopping at any intermediate storage place.

•Shipping areas should be close to the end of the process. Work teams and support units should be located close together.

Waste of Processing

• Taking unneeded steps to process the parts.

•Inefficient processing due to poor tools and product design, causing unnecessary motion and producing defects.

•Waste generated when providing higher-quality products than is necessary.

Waste of Stock at Hand (Inventory)•Excess of Raw Materials/Work-In-Progress/Finished Goods block Working Capital

•Consumes Physical space

•Can lead to Product obsolescence

•Additional burden of Maintenance Cost

Toyota’s Strategy:

• Use of “Pull System” to prevent overstocking

• Use of “Kanban System” to achieve “Just-In-Time” Production

• “Heijunka” - leveling volume and variety

Waste of Movement

Motion of man or equipment not adding any value to the product or service

Unnecessary movement due to:• Poor storage• Poor Ergonomic design of work areas

It Leads to :• Lesser work efficiency• Deterioration of machines

Toyota’s Strategy:

• Lean Storage

• Small Batch Processing

• Kaizen

Waste of Making Defective Products

• Creates unnecessary paper work.• Extra Money and time has to be spent.• Rework on items.• May have to pay the customer to dispose off the product.

Genchi Genbutsu

● This means to "go and see" ● It is a key principle of the Toyota Production System. It

suggests that in order to truly understand a situation one needs to go to gemba or, the 'real place' - where work is done.

● Based on the principle that no decisions can be made made by sitting in the board room alone.

Continuous Improvement (Kaizen)

The day-to-day improvements that members and their Team Leaders make to their working practices and equipment are known as “Kaizen”.

A continual striving for improvement in every sphere of the Company's activities - from the most basic manufacturing process to serving the customer and the wider community beyond.

Simple Message (Kanban)

• A simple message

Example:

In the assembly shop this message takes the form of a card attached to every component that is removed and returned when the component is used.

The return of the Kanban to its source stimulates the automatic re-ordering of the component in question.

• Paperwork is minimized. Efficiency is maximized

Automation with Human Touch (Jidoka) Contd…

Jidoka gives the machines ability to react instead of the operator.

Designing equipment and processes to stop and call attention to problems immediately when they sense a problem is a central concept of TPS.

Jidoka = (detection + stop) + (eliminate root causes analysis of cause)

Automation with Human Touch (Jidoka)

 The operator does not need to be aware of to ensure that machines are operating properly. An operator can thus meet several machines: productivity increases. 

But in this case it is desirable to have a system that allows an operator to see at a glance if everything is working as it should, this is the function of the "Andon".

Principles of Zero-Defects

Principles: One should not accept a default One should not deliver a defect One should not produce a defect When detected defects must be resolved immediately

What to do?

First reaction: preventing its spread: STOP Attacking the causes: step solution or possibly inform the process that produced it. This is imperative in a continuous flow, and sometimes gives the operator the power to stop an entire production line to prevent the spread of the defect

Cause and Prevention of Defects – 5Ms

Man

Versatile and Standard forms, DisciplineMachine

Jidoka, Poka-YokeMaterials

Involve ProvidersMethods

Clear view, Facilitate operator inputs to improved methods, Genchi Genbutsu Media

Identify channels for occurrence of defects.

Poka Yoke• The Idea to eliminate defects by mistake proofing• Poka-yoke refers to techniques that make it impossible to

make mistakes

It can be of following types: • Prevention-Based Poka-Yokes

• Control Method

• Warning Method

• Detection-Based Poka-Yokes• Contact Method

• Fixed Value Method

• Motion Step Method

Toyota Inheriting Ford

• Breaking down work into simple steps and distributing those steps amongst employees on the line.

• Employees in the Toyota system are in charge of their own jobs, run their own worksites in teams.

• They identify opportunities for making improvements and take the initiative in implementing those improvements in co-operation with management.

Principles of Flow

Advantages:1. Save Spaces2. Facilities Control of Production3. Prevention of Defects4. Facilities the OrganizationDisadvantage:5. Overload (MURI) increases with more assistance2. Operation should be provided withsame cadence which is waste (MUDA)

Principles of Cadence

• 1. Repetition of phenomena that occur regularly . 2. Series of sounds or movements that occur on a regular basis or measured.

• A process must run like clockwork. In its ideal representation, products move from one operation to another so rhythmic, so that all operations are the same length, and the rate of production is what makes the client. Only way to ensure JIT delivery.

Principles of Traction

• Fundamental ideas governing the Lean Manufacturing• This marks the end customer the need to process

shipments, this the final quality control in the manufacturing process it ... and so the acquisition of raw material.