A Selected Glossary of Terms, Acronyms and Concepts in Alphabetical Order
for Kaizen / Lean
©
Marypat Cooper, September 2009
A Selected Glossary of Terms for Kaizen / Lean
Transformation Practitioners
©
Marypat Cooper, September 2009
14 Points
From a theory for management founded by Dr. W. Edwards Deming:
1. Create Constancy of Purpose toward improvement of product and
service,
2. Adopt the model across the board,
3. Cease dependence on mass inspection,
4. End the practice of awarding business on
pricetag,
5. Constantly and forever improve the system of production and
service to improve quality and
productivity
and thus constantly decrease costs,
6. Institute value adding
methods of training,
7. Institute value
enhancing methods of leadership both in supervision and in management -
leaders
whose
purpose is to help people and machines and fixtures do a better job,
8. Drive out Fear,
9. Break down barriers between departments,
10. Eliminate
slogans, exhortations and meaningless "fads of the
month",
11. Eliminate quotas,
12. Remove barriers that rob any worker of pride of workmanship,
13. Institute a vigorous program of education and
self-improvement,
14. Put everybody in the company to work to accomplish the
transformation. The transformation is
everybody's
job. (W.E. Deming, Out of the Crisis, MIT, 1982)
3 M's
Muda
- Waste, Mura - Irregular Actions, and Muri
- Strain,
are the “3 M's” of waste.
5 M's
Manpower, Machine, Material, Method and Measurement; the 5 M's, are
tried and true
headlines
for fishbone diagrams illustrating process cause and effect, each
headline it's own
path
of inquiry for cause and effect analysis.
5 S's
The five degrees of world-class workplace organization and cleanliness
translated from the
Japanese as Seiri,
Seiton, Seiso,
Seiketsu and Shitsuke meaning Sort,
Situate, Shine, Safeguard
and
Standardize.
7 Flows
Flow of: People, Raw Material, Sub Parts, Final Products, Equipment,
Information and
Engineering.
All of these must be evaluated in setting up a flow layout.
7 Wastes
Waste of: overproduction, correction, transporting, unnecessary stock,
unnecessary motion, waiting,
and
waste from the process itself.
Also: add waste of a person.
80 / 20 rule
Italian mathematician, Pareto, showed that 80 % of frequency is caused
by 20% of the issues.
Activity Based Costing
Method in accounting to allocate costs on the basis
of
cost drives such as number of purchase orders
isseue,
may encourage larger batches in order to
spread
the cost over a larger number of units to
reduce
the cost per unit. Compare to lean thinking
which
drives us to reduce or eliminate the cost,
not
just spread it out over more products or
Affinity Diagram
Tool used in initial stages of brainstorming to get
the
most thinking out a diverse group of people
regarding
a wicked problem. The brainstorming
topic
is posed in a question such as: "What issues
are
involved with solving X?" The group silently
writes
each possible issue component on sticky
notes,
one for each thought. The large number of
sticky
notes are arranged silently into related
groups.
Titles are written for each group. The
groups
with titles form the affinity diagram.
Annual Inventory
Annual inventory turns -- A measure of asset
management
that is calculated by dividing the
annual
cost of goods sold (for the most recent full
year)
by the average on-hand total inventory
value
at plant cost. Total inventory includes raw
materials,
work in process, and finished goods.
Plant cost includes material, labor, and plant
overhead.
Auto-NO- mation
Equipment running by itself that can stop if there
is
a defect, which takes one piece at a time - loads,
processes,
unloads, triggered by an operator who
needs
the part. Several
autonomated pieces set
together
in a circular feed pattern make up a chuka
chuka
line.
Back Office
The administration area of the company or
organization
that supports the core business, for
example
in the case of a community college:
Admissions, Human Resources, Security,
Community Relations are back office processes,
where
instruction is the core business.
Bar Codes
Bar coding -- A coding system used to identify
products,
packages or services by encoding
identification
data in a printed pattern that is then
placed
on an object. Data is retrieved with an
electronic
scanning device linked to a computer.
Bottleneck
Bottleneck -- Any point in
operations at which
movement
is slowed because demand placed on a
resource
is equal to or more than capacity.
Brainstorming
A confirmed process to creatively and efficiently
generate
a high volume of ideas through an
approach
that is free of criticism and judgment.
Buffer
Inventory - or a stack of files - put in a flow as a
protection
against fluctuations. A necessary evil
which
should be relentlessly pursued.
CAD - Computer
Computer-aided design (CAD) -- Computer-based
systems
for product design that may incorporate
analytical
and "what if" capabilities to optimize
product
designs. Many CAD systems capture
geometric
and other product characteristics for
engineering-data-management
systems, produce-
ability
and cost analysis, and performance
analysis.
In many cases, CAD-generated data is
used
to generate tooling instructions for
computer-numerical-control
(CNC) systems.
Catchball
Process of passing requests for resources and
responses
of commitments up and down the
organizational
food chain.
Cell
Cellular production -- an approach in which
equipment
and workstations are arranged to
facilitate
small-lot, continuous-flow production --
often
in a U-shaped cell. In a "cell," all operations
necessary
to produce a component or subassembly
are
performed in close proximity, thus allowing for
quick
feedback between operators when quality
problems
and other issues arise. Workers in a
cell
typically
are cross-trained and, hence, able to
perform
multiple tasks as needed.
Change
Conscious intervention by the leadership of a
company
to force different behavior by the people
in
the company, to build a new cycle of better
actions
causing better results that will in turn
reinforce
a new company culture. The intervention
should
be strong, immediate, clearly explained,
sustained,
and supported by expert knowledge of
the
improved actions system (such as lean
enterprise).
Change Over
Single Minute Exchange of Die
Checksheet
A clear, complete and easy way to collect process
performance
measures in the work area as they
happen.
A count, a yes/no audit, as little subjective
decision
making - no analysis - all just the
primary
element under study - whether number of
defects,
time lost in machine downtime,
the time
spent
in design of checksheet to save the
operators
time
which should not be taken away from the
value
stream to the customer. A
pilot's takeoff
checksheet.
Not to be insulting, or trying to
remember
- critical source of raw data with as little
interpretation
as possible.
Chucka
Chucka
A line set up with self loading and unloading
equipment,
triggered by an operator who is
smoothly
moving in a circular pattern between
stages
- taking/checking/placing parts from one
station
to the next in a choreography of value
adding
motions.
Code of Conduct
Ground Rules for Company Behavior, such as
Respect Others, Tell the Truth, Be Fair, Try New
Ideas, Ask Why, Keep the Promises and Do your
Share.
Common Cause
Abnormality that occurs within the control limits
of
a process.
Company Culture
Companies are made up of people who work
towards
something, under some common
understanding
about how certain actions bring
certain
results. This common understanding tends
to
be reinforced over time, often becoming numb
to
actual or potential changes outside.
Competitive
Formal programs that compare a plant's practices
and
performance results against "best-in-class"
competitors
or against similar operations.
Constraint
The prevention of motion towards a desired goal
except
in a reduced manner or direction that
causes
wasted time and effort.
Container
Anything that carries parts in a kanban
system.
Cleverly designing and using containers for
competitive
advantage is breakthrough thinking
put
into profitable action.
Control Chart
A run chart with upper and lower control limits
showing
the essence of common and special caused
variation.
Critical Path
Tool to schedule sequential and simultaneous
tasks
to allow a team to find both the most efficient
path
and most realistic schedule for the
completion
of a project.
Customer Service
100% Customer Service - often measured as 100%
on
time at a level of quality that surpasses
expectation.
Cycle Time
How long it takes in seconds to do something
from
start to finish.
DMAI
DMAI - From the 6 Sigma Approach: DEFINE - A
project
team will be set up to tackle a quality issue
based
on business and/or customer needs. A list of
'Critical to Quality Characteristics' (CTQs)
drawn
up
and measured. The best ones to look at are
termed
as the 'Big Y' the customers’ highest
priority.
MEASURE - From definition of CTQs,
the
next step is to look at processes which affect
CTQs.
For instance if one of the CTQs is to look
at
customer
returns based on damaged packaging,
then
obviously the effectiveness of your packaging
process
is measured. ANALYZE - From
looking at
the
processes which affect the CTQs the next
step
is
to analyze which factors are causing the
processes
to vary in quality. In the packing
example
it could be that one packaging team may
be
using a different method to pack the products
IMPROVE - The project team from measuring and
analyzing
the CTQs should now be in a position
quantify
maximum and minimum ranges for
acceptable
performance.
DOE
Design of experiments is the application of
geometric
principles to statistical sampling to
obtain
desired results such as minimizing the
number
of experiments necessary to obtain the
answer
to a problem or minimizing the variance of
estimated
coefficients obtained through
regression.
The first result above affects quantity of
effort
and, hence, cost. The second affects quality
of
result. Cost and quality are the basic elements of
value.
Thus, DOE is a powerful tool in designing
for
value.
Dr. W. Edwards Deming
Internationally renowned consultant whose work
led
Japanese industry into new principles of
management
and revolutionized their quality and
productivity.
See also - Deming's 14 points for
management.
EBITA
Net Earnings adjusted to exclude Provision for
Income Taxes, Interest and Other Expensis,
and
Amortization of Goodwill and Other Intangible
Assets.
EBITDA
Net Earnings before Interest, Taxes, Depreciation
and
Amortization. EBITDA can be used to analyze
the
profitability between companies and
industries,
because it eliminates the effects of
financing
and accounting decisions.
ECN
Engineering Change Notice, an essential process
that
should be highly understood and documented
by a
process flow chart.
EDI
Electronic Data Interchange Information-system
linkages,
based on communication protocols and
document
formats, which permit inter-company
computer-to-computer
communications. EDI links
not
only speed communication, but also eliminate
re-keying
of information and reduce the
opportunity
to introduce errors. A typical EDI
application
might speed information exchange
between
a customer and supplier company for
purchase
orders, invoices, or other transactions.
EDI communications often are facilitated through
"electronic mailbox" systems on third-party
value-
added
networks.
Eyeball
A slang verb meaning to go out and look at
something.
In value stream mapping, a symbol to
indicate
the need for direct decision-making at that
point
in the process. The decision point may also
be
represented by a pair of eyeglasses.
Facilitator Role
Supporter of the process more than the topic, the
facilitator
does not contribute directly to the
objectives
of the team, but rather keeps the team
on
track along a standard approach.
FG
Finished Goods
FIFO
First In First Out - as in inventory flow to a rack
Fishbone Diagram
Originally developed by Professor Kaoru Ishikawa
to
show causes (the ribs) and the effect (the head).
A negative fishbone can be replaced by a positive
one
- as one of the 7 basic tools of problem-solving.
Flow Chart
Illustration of sequence of steps of any process
using
appropriate symbols to show inputs,
outputs,
actions, decisions, and direction.
Flow of Equipment
Equipment must be arranged in the sequence of
processes
and should make the flow of people and
materials
easy. Equipment should have narrow
fronts.
Loaded in the front, with waste and
maintenance
items in the back. Right
sized, small,
economical,
modular, home built equipment that is
easily
movable is best.
Poka yoke and hanedashi
devices
must bee incorporated into equipment
design.
Flow of Final Product
Consider the assembly of the final product from
the
bottom up, along a continuously moving line,
with
test and audits included.
Flow of Information
Information should always travel with the
material,
coming in such forms as signals,
kanbans,
lights, sounds, music, spaces etc. Only
release
the information needed at that time. Don't
allow
information to stack up and become a push
out
on the floor. Don't allow
people to sort
through
kanban cards to pick the job they want to
do
next. Don't have routine activities require
lights
or bells - you will wind up with a floor full
of
cacophony. Have a regular
route set up to pick
up
and/or drop of routine items.
Have the route
illustrated
by standard work, and have a card
travel
with the part. Use lights or bells to signal
non-routine
events - and work to make non-
routine
events not occur.
Flow of People
Standard work shows people's movement between
process
steps - movement should be unimpeded by
equipment,
tools, materials and other team
members.
Watch eyes, hands and feet for stopping
or
backing up - indicating disruption of the flow.
Observe people flow between steps, and at the step
itself:
it should be one touch - for loading a
machine,
making an assembly installation, quality
check,
etc. Each "one touch"
should be less than
10 seconds.
Flow of Process
The arrangement of machines, materials, people,
and
information in the order of processing so that
work
flows without interruptions or waste.
Flow of Raw Material
Make a fishbone on the table or floor, with the
exploded
parts - showing how they come together.
Connect the fish bones to
maximize the control of
production
on minimize the amount of material in
the
system - materials should be ordered,
produced
and delivered when they are needed,
where
they are needed, in the amount needed,
presented
in order of use.
Flow of Sub Parts
Flow of sub assemblies to a main line should be
single
piece, fed to the main line at point of use,
with
sub assemblies as complete as possible so that
hooking
up to the main line does not slow it
down.
Modules should plug in easily.
FMEA
Failure Mode and Effect Analysis - tool used to
predict
and eliminate in advance any potential
design
defect in a new product by analyzing the
effects
of failure modes of component parts on the
final
product.
Fresh Eyes
Has no knowledge of existing process, responsible
to
ask why and help team find new ideas.
Gantt Chart
Tool that uses horizontal bars to show which
tasks
can be done simultaneously over the life of
the
project. Its primary
disadvantage is that it
cannot
easily show which tasks are specifically
dependent
on each other.
Gemba
The place where the work is done.
"Go to the
Gemba!"
is the constant refrain of people who
know
how to practice the Toyota Production
System.
In Japanese, gemba means 'real place' the
place
where real action occurs.
Japanese use the
word
gemba in their daily speech.
When the
earthquakes
shook
reporters
at the scene referred to themselves as
'reporting from gemba'…In
business, the value-
adding
activities that satisfy the customer happen
in
gemba." Quoted from
Gemba Kaizen by Masaaki
Imai, McGraw Hill, 1997, page
13.
Group Norms
Form, Storm, Norm, Perform
Heijunka (Heijunka Box)
A "heyjunka" box is where production
instruction
kanban
cards are sorted into the most economical
and
effective order for quickly meeting customer
demand.
An essential tool for level loading. It takes
the
shape of a matrix of slots, horizontally and
vertically
arranged by chunks of time and work
cells.
Production instruction cards representing
chunks
of time are placed into each slot as the
signal
for what to make, where.
Heinrich's Law
A principle related to occurrence ratio of accidents
with
injuries. Serious injury is to minor injury is
to
no injury = 1:29:300
Histogram
One of the seven data tools for problem solving - a
bar
chart that shows the curve of variation in the
output
data of a process, collected over time,
illustrating
the process output's center, spread,
and
shape by presenting its frequency distribution
in
a bar form.
Hoshin
Kanri
From the Japanese meaning the physical property
of
magnetically charged iron pointing in the same
direction.
In organizations, the unified pull
towards
a long term strategy - a continuing cycle
of
planning built on open discussion of available
resources
and prioritization of breakthrough
themes
down to the few simple goals agreed upon
by
leadership expressed in measurable targets to be
achieved
by a given point in time. These targets,
resources
and dates are shared through a policy
deployment
process and grid.
House of Quality
The HOQ is a storehouse of information that the
team
analyzes to make decisions as to the most
important
and most difficult areas for
improvement.
The input to the HOQ are the
Customer needs, called the "WHATS". These
WHATS are translated into performance
measurables,
called the "HOWS". The HOWS
represent
the measurement systems we will use to
compare
concepts in order to select the best one.
The HOWS are not design solutions.
In addition
to
the customer needs, the needs of the
organization
and the mandates of the regulatory
agencies
need to be addressed through the HOQ
Interrelationship Diagraph
Tool to systematically identify, analyze and classify
the
cause and effect relationships that exist among
all
critical issues so that key drivers or outcomes
can
become the heart of an effective solution.
Topics are arranged in a large circle, and one way
arrows
are assigned from cause to affect. The topics
with
the higher number of outgoing arrows are
the
most likely candidates for immediate action.
Intranet
Intranet -- A secure, internal corporate Internet-
based
network.
ISO 9000-9004
ISO is the general name for the quality standard
accepted
throughout the European Economic
Community, initially adopted in 1987, a series of
documents
on quality assurance published by the
Geneva-based International Standards
Organization.
Contents of each: 9000 = selection
and
use of quality systems contained in 9001-9003.
9001 QA in design, development, production,
installation
and servicing. 9002= QA in production
and
installation. 9003 = QA for
final inspection
and
testing. 9004 = guidelines for QA management
and
quality system elements.
ISO International Standards
A worldwide federation of national bodies,
established
in 1947, representing approximately 90
member
countries, covering standardization in all
fields
except electrical and electronic engineering
standards,
which are the responsibility of the
International Electrotechnical Commission
(IEC).
Together, the ISO and IEC form the specialized
system
for worldwide standardization - the
world's
largest nongovernmental system for
voluntary
industrial and technical collaboration at
the
international level. Published standards
include
those for grading of steel, testing strength
of
woven textiles, storage of fruits, magnetic codes
on
credit cards, for automobile safety, and for
ensuring
the quality and performance of the
world's
diversity of products.
Jidoka
A device that stops a machine whenever a defective
product
is produced. It was the
essential
introduction
of true JIT to Mr. Toyoda - thorough
his
mother's weaving equipment - a steel wire
would
drop when a thread was broken, saving
endless
hours of rework and waste.
Mr. Toyoda
built
on this central idea to found the
Production System.
Just In Time
Produce only what is needed, where it is needed,
when
it is needed.
Kaikaku
Larger than kaizen, radical change, reform and
innovation
beyond the scope of average
operations.
Rethinking the very purpose of what
you
do -along the lines of 3P
Kaizen
Defined in 1993 edition of the New Shorter Oxford
English Dictionary as continuous improvement of
working
practices, personal efficiency, etc. as a
business
philosophy. Kaizen is Japanese for ‘a
change
for better’ which results in ‘continuous
improvement’.
Kaizen logic was first enshrined in
written
text with Masaaki Imai’s book ‘KAIZEN -
The Key To Japan’s Competitive Success’
(1996).
Kaizen uses the Japanese logic of bringing
improvements
internally from within the
workplace
along with the American logic of
scientific
thing and data-based decision making.
Kaizen Forms
THE WAY KAIZEN FORMS ARE USED TO SAVE
TIME AND MAKE EACH EVENT A
ROUTINE.
The names of the sheets may vary in translation
such
as the BIG IDEA SHEET is called a summary
sheet,
but it has also been translated as an area
profile
or activity sheet.
Kaizen Promotion
People helping others practice kaizen have many
titles.
A KPO (kaizen promotion officer), Kaizen
Coordinator, Internal or external consultant, all
are
experts charged with promoting a successful
kaizen
event that results in the safe and significant
achievement
of company goals.
Kanban
A kanban is a signal to produce or to
withdraw
supplies.
Kanban is attached to a given number of
parts
or products or files in the process,
instructing
the delivery of a given quantity.
In the
case
of a withdrawal kanban, when the
parts/supplies
have all been used, the kanban is
returned
to its origin as a signal for re-supply. As
a
kanban for production instruction; the
kanban
represents
a set of work and goes to
where it
becomes
an order to produce more.
Kanban Post
Place to hold kanban cards
Key Measures
Key Measures reflect progress towards the overall
goals
through numbers unclouded by ratios and
complex
formulas focusing on the
health of the
organization
and the joy of the customer.
Layout
Scaled map of an area showing position of people,
equipment
and wip - using the standard work
form.
Lead Time
Process time plus inspection time plus move time
plus
wait time.
Leader
Has clearest view of vision and objectives; keeps
team
on track; assigns action items; leads
presentations
Lean Sigma
Advanced version of statistical process analysis
and
control put forth in TQC of the 80's, centering
improvement
activities on the reduction of
variation
combined with lean practices and
application
of the Toyota Production System. See
also
Six Sigma, Control Charts and design of
experiments
to achieve best practices in meeting or
exceeding
customer requirements.
Least-Waste-Way
The lowest, repeatable, reasonably understood to
be
the best way to do something with the least
possible
non-value-adding action or expense.
Lengthy Setup Causes
Setup procedure is not standardized. Procedure is
not
properly practiced. Completion of setup is
uncertain
to operator. Adjustments and re-
adjustments.
Materials & tools not properly
prepared
beforehand. Attaching & detaching
fixtures,
tooling, etc... The setup has not been
properly
evaluated. Unproven & incorrect CNC
programs.
Level Loading
many
methods to make work processes smooth in
the
face of changing customer demands, including
product
family grouping / streamlining, product
design
to eliminate unneeded variations, flexible
staffing,
smed, cell layout for flexibility, mixed
modeling
and heijunka systems.
Size of batch of work sent through the stream of
events
Material Control Board
Place where cards, or magnets representing cards,
are
visually displayed and acted upon. Usually
divided
into zones for SKU types, various
suppliers,
areas of use, etc. Usually using color
codes
of red, yellow and green to indicate danger
level
of "running out"
Matrix
From mathematics: An array of elements in rows
and
columns, as the coefficients of a set of linear
equations,
treated as a unit to make the relations
between
elements visible. From the
latin meaning
womb,
source, that which originates, used as
breeding
records, turned into the meaning for
public
registers, original music recordings, host
rock
for crystal formations and intercellular
substances
in biology.
Matrix Diagram
Tool to systematically identify, analyze and rate
the
presence and strength of relationships between
two
or more sets of information, such as customer
criteria
to functions responsible (HOQ) or target
dates
and teams responsible (Policy Deployment)
or
possible kaizen topics to impact on key
measures.
Mixed Modeling
Making daily totals in a pattern of A B A B A C
instead
of 3 A's, 2 B's and 1 C, reducing lead time
and
increasing production flexibility through
seamless
changeovers.
Mizusumashi
Waterspider or waterstrider to provide just
what is
needed
in value stream. Please see Waterspider.
Navigator
Has knowledge of kaizen format, forms, data
collection
and charting; responsible for the
construction,
documentation and presentation of
standard
work.
OEE
Overall Equipment Effectiveness.
Outdated ratio
measurement
best replaced by real time data posted
on
the equipment by operators and reviewed
regularly
by leaders and TPM to take action on.
OEM
Original Equipment Manufacturer
One Piece Flow
One Piece Flow is one of three primary principles
of
lean enterprise - make it one at a time - it is not
more
efficient to batch, when considering the
performance
of the whole company.
Operator
Has most extensive knowledge of existing process;
is
responsible for keeping an open mind,
communicating
possible issues, and participating
in
improvements.
Overall Quality
is
measured and communicated differently in every
organization.
Quality can mean % of things done right
the
first time, relying on after the fact inspection.
In lean enterprise, it more likely means upstream
audit
of process and is measured as: (# audits - #
defects)
/ # audits. Ultimately, the customer of the process
is the only entity that decides
quality.
Overhead
is
any business expense such as rent, office expense, taxes or
depreciation which is not directly
chargeable to production.
Overhead Projector
The least-waste-way of making real-time
presentations
during the kaizen event - reducing
the
cycle time of preparing and giving
presentations
through computers
P/E Ratio
Price/Earnings ratio, a metric used to evaluate a
company's
stock.The current stock prices of a
company
divided by its earnings per share
(EPS).Simple to calculate, difficult to interpret
because
earnings is an accounting figure that
includes
non-cash items, can be applied differently
in
different countries,affected by inflation,
and can
change
over time.
Paradigm
A paradigm is defined as the basic way of
perceiving,
thinking, valuing, and doing
associated
with a particular vision of reality.
A
dominant
paradigm is seldom if ever stated
explicitly;
it exists as unquestioned, tacit
understanding
that is transmitted through culture
and
to succeeding generations through direct
experience
rather than being taught.
Pareto
One of the seven data tools for problem solving - a
bar
chart that shows the greatest potential for
improvement
by showing issues ranked by their
frequency
in a descending bar chart. The chart also
shows
a running sum of the percentage of each
Performance
Numeric indicators or metrics of specific process
outputs
that illustrate the company's competitive
strengths
and weaknesses in achieving goals. The
"score." The true picture of a company to
evaluate
progress.
Lean performance measures should: 1.
support
the company's strategy, 2. be few in
number,
3. be mostly non-financial, 4.
be
structured
to motiviate the right behavior, 5.
be
visual
and easy to understand 6. measure the
process,
not the people, 7. measure actual results
versus
goals, 8. not combine measures of different
things
into a single index, 9. be timely, e.g.,
weekly,
daily or hourly, 10. show trend lines.
Plan Do Check Act
Plan, Do, Check and Act is the Shewhart
Cycle of
Process Improvement, which became known as the
Deming Cycle because as
Shewhart's protégé, Dr.
Deming put the cycle to use across the world.
Plan To Actual
Boards showing production plan based on
customer
demand - against actual performance.
Plan, Do, Check and Act
Plan, Do, Check and Act is the Shewhart
Cycle of
Process Improvement, which became known as the
Deming Cycle because as
Shewhart's protégé, Dr.
Deming put the cycle to use across the world.
PLM
Product Lifecycle Management - information
driven
approach to all aspects of a product's life
from
design thru manufacture, deployment,
maintenance,
removal from service and final
disposal
that facilitates horizontal collaboration
with
multiple suppliers and business partners.
Born in Auto and aerospace industries but also
applied
to service industries.
Poka
Yoka
Commonly referred to as "fool proofing", poka
yoka
is uncommon genius built into products and
processes
to prevent defects. At the
heart of the
poke
yoke can be as simple as a half moon hole for
a
half moon grommet to prevent the improper
placement
of the grommet into the hole.
It can be
a
fixture that is shaped in such a way as to
physically
prohibit the improper assembly of a
part.
Post, Kanban Post
Place to hold kanban cards.
Process Capability
A mathematical analysis of a collection of output
data
to determine whether a process, given its
natural
variation, is capable of meeting established
customer
requirements or specifications.
Process Capacity
The analysis and display of the maximum possible
output
of each primary step of a process.
Such
analysis
illustrates where the constraint is.
Process Improvement
Take a process, and improve it.
Lean enterprise is
a
business model that combines Deming's quality
theory:(
How do you know you are really
improving
the process, and not tampering with
the
structure of the organization?) with 50+
years
of
best practices of the Toyota Production System
Production
A kanban card that instructs production to
make
something
the customer has bought
Production
Major tool of product or process development,
bigger
than a kaizen, could be a kaizen theme or
hoshin.
Standard work for profitable creativity.
Prerequisite: profound knowledge of customer
criteria.
PRODUCTIVITY
SALES PER EMPLOYEE = last 12 months net sales
divided
by total FTE (full time
equivalent)headcount
SALES PER EMPLOYEE =
last
12 months net sales divided by total FTE
headcount
Pull Systems
Pull production is one of the three basic
requirements
of JIT production: the previous
process
produces only as many products as are
consumed
by the following process.
Push production
The opposite of pull production.
The previous
process
produces as much as it can without regard
to
the actual requirements of the next process, and
sends
them to the next process whether there is a
need
or not.
QFD
Quality Function Deployment - a practice using
visual
tools such as a "house of quality" matrix
which
illustrates the voice of the customer
throughout
the design and implementation of a
new
product, or the overhaul of an existing
product.
Quality
"Anything that can be improved."
Masaaki Imai
Quality Function
A proactive development methodology that can be
used
for products and services.
By using QFD, a
team
can systematically translate the voice of the
customer
(VOC) into appropriate requirements at
all
stages of development. A
concise definition is
"Customer Driven Product
Development"
Quality Goal
50% Reduction in Defects - Each Year
Radar Chart
Shows the gaps among a number of current and
ideal
performance measures
ROI
Return on Investment: An accounting summation
of
all the activities of every individual on every day
of
the period being measured. ROI is a resulting
affect,
not a cause in itself. Working on the right
causes
will result in an improved ROI affect.
Root Cause Analysis
Asking why 5 times to get to the real bottom of a
problem.
Run Chart
A graph plotting individual points over time.
Y
axis
is the measure being studied; X axis is always
in
sequence of date/time.
Scatter Diagram
Tool to measure relationships between variables,
especially helpful in measuring the changes in