Toyota Production System or Lean Manufacturing has become an imperative to sustain the current hyper competitive scenario . This presentation looks at the basic tenets of Lean Manufacturing as a philosophy as well as a practicing regime.

1. Lean Manufacturing &
Philosophy
S G Deshmukh

2. Motivation..

3. Taichi Ohno (1912-1990)
Taiichi Ohno was a
Japanese industrial
engineer and businessman.
He is considered to be the
father of the Toyota
Production System, which
became Lean
Manufacturing in the U.S.
He devised the seven
wastes as part of this
system.

4. Lean Manufacturing Definition
“A philosophy of production that
emphasizes the minimization of the
amount of all the resources (including
time) used in the various activities of the
enterprise. It involves identifying and
eliminating non­value­adding activities in
design, production, supply chain
management, and dealing with the
customers. . .”
–– APICSAPICS

5. Youtube : Toyota Global Story
(20. minutes)
• https://www.youtube.com/watch?
v=T5zcCk-uF3g

6. Lean Enterprise Definition
“An enterprise with a focus on waste elimination and
the customer’s needs in all parts of its operations,
manufacturing, and administration. Emphasis is
given to lean structures and processes, flexibility of
response, and methods and techniques to
continually seize new opportunities as they arise.”
– APICS

7. Lean Thinking Principles
1. Accurately specify the value of the products or services
(applies to both factory and office areas, not just to
manufacturing).
2. Identify the value stream for each product or service
and remove wasted actions
3. Make the product or service value flow without
interruptions.
4. Let customers pull products or services from the
producer.
5. Pursue perfection and continuously improve.

8. Lean Manufacturing Characteristics
• Focus is on the improvement of
resource utilization:
– Equipment setup time reduced
– Scheduled machine maintenance
– Orderly, clean workplace
– Pull production being used
– JIT inventory control
– Factory layout in workcell
arrangement by products
– Active error elimination
– Improved quality, etc.

9. Importance of Waste Elimination
Lean deals with the elimination or reduction of
many types of non value­ added activities, often
referred to as waste
The driving force for waste elimination is improved value in
the products and services customers buy.
Anything that DOES NOT add VALUE is waste

10. Lean Manufacturing System (LMS)
The Lean Manufacturing system has been
described as one,
which seeks to eliminate unnecessary wasteful
processes,
to align processes in a continuous flow
to use resources in order to solve problems in a
never­ending process.

11. Lean Manufacturing System
(Some more definitions)
More and more with less and less-
less human effort, less equipment, less time and
less space-while coming closer to providing
customers with exactly what they want .
A comprehensive process improvement
methodology that streamlines operations from
concept to customer delivery, reduces inventory,
speeds production, reduces cost and improves
quality and response time using state of art
Industrial Engineering tools.

12. NIST perspective on Lean
• A systematic approach in identifying and
eliminating waste through continuous
improvement, flows the product at the pull
of the customer in pursuit of perfection

13. Basic tenets of Lean
• Understand customer value
• Appreciate Pull system
• Deploy Value stream mapping
• Follow the principle of “Flow”
• Aim at perfection

14. Comment.
• The perfection is basically with an
understanding that : There is no end to
reduce time, cost , space, mistakes and
efforts” Once we manage these, we get
closer to Lean

15. Lean Organization Characteristics
• Strong leadership committed to all lean principles.
• Effective production & delivery of products and services
based on customer demand.
• An exceptionally safe orderly and clean work
environment
• A commitment to design & build quality in to products,
services & supporting processes.
• A team work culture where every one is empowered to
make and act upon decisions.
• Appropriate and active use of visual management
tools.
• Continuous improvement is an obvious way of life
throughout the organization
• A strategy embracing Lean principles

16. Steps of Lean Manufacturing System
Implementation
• Step 1: Specify Value: Define value in terms of a specific product,
which meets the customer's needs at a specific price and at a specific
time.
• Step 2: Map Identify the value stream: The set of all specific actions
required to bring a specific product through the three critical
management tasks of any business: the problem-solving task, the
information management task, and the physical transformation task.
Create a map of the Current State and the Future State of the value
stream. Identify & categorize waste in the Current State, & eliminate it!
• Step 3: Flow: Make the remaining steps in the value stream flow.
Eliminate functional barriers and develop a product-focused
organization that dramatically improves lead-time.
• Step 4: Pull: Let the customer pull products as needed, eliminating the
need for a sales forecast.
• Step 5: Perfection: There is no end to the process of reducing effort,
time, space, cost, and mistakes. Return to the first step and begin the
next lean transformation.

17. Benefits of Implementing Lean
Manufacturing System
a. Elimination of waste
b. Lower cost
c. Higher quality
d. Shorter throughput
e. More flexibility through flexible production lines
f. Customer satisfaction
g. Less inventory
h. Speedy execution of orders
i. A force of dedicated, motivated, multi-skilled
workmen
j. Optimal resources
k. Increased productivity
l. Perfect first time quality
m. Continuous improvement
n. Improved confidence and mutual trust at every
level of organization

18. Seven Popular Wastes from TPS
1. Defects
2. Overproduction
3. Transportation
4. Waiting
5. Inventories
6. Motion
7. Processing

19. Youtube video on Seven
Wastes
• https://www.youtube.com/watch?
v=mAYMcSUDcX0

20. Getting Started..1..
• Identify potential companies interested in
LMS (auto component is one of them
(Gurgaon, Noida))
• Identify imperatives for these companies to
get started
• Sensitize the company personnel
• Understand the existing system and ways of
migrating to LMS

21. Getting Started..2..
• Learn from best practices of each other
(German and Indian companies)
• Document these practices Train and
Educate
• Prepare repository of knowledge base in
LMS
• Exchange notes between stakeholders

22. Remarks..
• According to Ohno, Lean Philosophy is
directed to
• :Maximize the work effort of a company’s
number 1 resource, namely “people”.

23. Youtube on “ Toyota Lean
Manufacturing System” (15 Minutes)
• https://www.youtube.com/watch?
v=8KJaEOiHxNw

24. Lean Manufacturing at Boeing
• https://www.youtube.com/watch?
v=9_9WyiPhoHA

25. Remark..
• Lean may not operate where customer
demand is unstable, unpredictable

26. Lean on Facebook !
• https://www.facebook.com/pages/Lean-
On-Discovering-Lean-
Manufacturing/1531276217158436
https://www.facebook.com/LeanMentality

27. Thanks