Lean Manufacturing Implementation: A Complete Execution Manual for Any Size Manufacturer

389 Pages·2003·2.48 MB·English

by  Dennis P. Hobbs

LEAN Manufacturing Implementation: A Complete
Execution Manual for Any Size Manufacturer
by Dennis P. Hobbs ISBN:1932159142
J. Ross Publishing © 2004
This manual illustrates the methodologies that will
help you produce higher quality products at a lower
cost with faster response times to result in improved
profit margins and increased market share.
Table of Contents
LEAN Manufacturing Implementation—A Complete Execution
Manual for Any Size Manufacturer
Preface
Introduction
Part I - The Benefits of Implementing a Lean Manufacturing System
History and Modern Applications of Lean
Chapter 1 -
Manufacturing
Chapter 2 - Performing a Strategic Business Analysis
Part II - The Methodologies for Transforming Your Facility to Lean
Manufacturing
Understanding Your Products, Processes, and
Chapter 3 -
Demand
Line Layout and Workstation Identification with
Chapter 4 -
Process Linking and Balancing
Chapter 5 - The Kanban Strategies
Chapter 6 - Managing Inventory with the Kanban System
Part III - Project Management for Implementation, Line Start-Up,
Daily Operations, and Performance Measurement
Chapter 7 - Team Establishment
Chapter 8 - The Lean Implementation Milestones Checklist
Chapter 9 - Managing the Lean Manufacturing Line
Index
List of Figures
Back Cover
This project management approach to Lean manufacturing
implementation does not require help from expensive
consultants. The proven, objective, standard, and complete
“how to” sequential series of progressive steps are easy to
understand and use to effect factory transformation to Lean.
This manual illustrates the methodologies that will help you
produce higher quality products at a lower cost with faster
response times. The results: improved profit margins and
increased market share. The author also provides a toolbox of
techniques for problem solving, continuous improvement, and
for operating a Lean manufacturing facility on a day-to-day
basis after the initial line design is completed.
KEY FEATURES
Provides complete guidance for factory conversion to
Lean manufacturing without the aid of a consultant
Discusses how Lean lines are designed to meet future
demand and the factors that impact throughput, scrap,
rework, and optionality
Covers resource identification, calculation, line design
operational definition, and quality at the task level
Explains pull chains and pull sequences and how
replenishment time is used to effect inventory velocity
and impact inventory turns
Explores how company culture is changed, the
challenges of implementation, and justifies Lean
transformation in dollars and cents, and much more
About the Author
Dennis P. Hobbs, CPIM, has over 30 years of line and staff
experience in production planning inventory control, and
materials and operations management in both the
pharmaceutical and electromechanical manufacturing
industries. A graduate of the University of Missouri with a BBA,
he has led the implementation of two MRP systems that later
achieved Class A status. He has also developed, implemented,
and operated an industry-recognized Supplier Certification
program for the pharmaceutical industry. As the Director of
Program Development, he has designed and delivered training
programs, seminars, conferences, and workshops for FDA
GMP validation technologies.
Over the last decade, serving as Vice President and Senior
Consultant, Mr. Hobbs has concentrated on the implementation
and education of Lean manufacturing systems. During that
time, as a professional instructor, he has trained over 2500
manufacturing professionals in the Lean manufacturing
techniques.
Currently a Principal Member of Mfg Matters, LLC, a leading
boutique consulting firm that specializes in the Lean
manufacturing methodologies, Mr. Hobbs continues to help
manufacturers from a wide variety of industries transform their
current operating systems from the traditional order
launch/expedite to a Lean manufacturing system. He has
implemented Lean methodologies at many well-known
companies, including General Electric, Nissan, Stanley Tools,
Industrial Dynamics, Ingersoll Rand, Litton Industries, and
Signet Scientific. The author of numerous articles and a
sought-after speaker, Mr. Hobbs has presented as APICS
annual conferences and other meeting and remains active in
APICS.
LEAN Manufacturing Implementation—A
Complete Execution Manual for Any Size
Manufacturer
Dennis P. Hobbs CPIM
J. ROSS PUBLISHING
APICS®
THE EDUCATIONAL SOCIETY
FOR RESOURCE MANAGEMENT
Copyright © 2004 J. Ross Publishing, Inc.
1-932159-14-2
10 9 8 7 6 5 4 3 2 1
Library of Congress Cataloging-in-Publication Data
Hobbs, Dennis P., 1947–
Lean manufacturing implementation: a complete execution manual for
any size manufacturer / by Dennis P. Hobbs
p. cm.
ISBN 1-932159-14-2 (alk. paper)
1. Production management—Handbooks, manuals, etc. 2. Costs,
Industrial—Handbooks, manuals, etc. I. Title.
1936–
TS155.H575 2003
658.5—dc22
2003013930
This publication contains information obtained from authentic and highly
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sources are indicated. Reasonable effort has been made to publish
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assume responsibility for the validity of all materials or for the
consequences of their use.
All rights reserved. Neither this publication nor any part thereof may be
reproduced, stored in a retrieval system or transmitted in any form or by
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The copyright owner's consent does not extend to copying for general
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permission must be obtained from J. Ross Publishing for such purposes.
Direct all inquiries to J. Ross Publishing, Inc., 6501 Park of Commerce
Blvd., Suite 200, Boca Raton, Florida 33487.
Phone: [phone]
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Web: http://www.jrosspub.com
THE AUTHOR
Dennis P. Hobbs, CPIM, has over 30 years of line and staff experience
in production planning, inventory control, and materials and operations
management in both the pharmaceutical and electromechanical
manufacturing industries. A graduate of the University of Missouri with a
BBA, he has led the implementation of two MRP systems that later
achieved Class A status. He has also developed, implemented, and
operated an industry-recognized Supplier Certification program for the
pharmaceutical industry. As the Director of Program Development, he
has designed and delivered training programs, seminars, conferences,
and workshops for FDA GMP validation technologies.
Over the last decade, serving as Vice President and Senior Consultant,
Mr. Hobbs has concentrated on the implementation and education of
Lean manufacturing systems. During that time, as a professional
instructor, he has trained over 2500 manufacturing professionals in the
Lean manufacturing techniques.
Currently a Principal Member of Mfg Matters, LLC, a leading boutique
consulting firm that specializes in the Lean manufacturing methodologies,
Mr. Hobbs continues to help manufacturers from a wide variety of
industries transform their current operating systems from the traditional
order launch/expedite to a Lean manufacturing system. He has
implemented Lean methodologies at many well-known companies,
including General Electric, Nissan, Stanley Tools, Industrial Dynamics,
Ingersoll Rand, Litton Industries, and Signet Scientific. The author of
numerous articles and a sought-after speaker, Mr. Hobbs has presented
at APICS annual conferences and other meetings and remains active in
APICS.
Preface
Usually with much enthusiasm and fanfare, companies launch their
projects to implement Lean manufacturing in the factory. A project leader
is appointed and a team of strong individual contributors is drafted to
participate in the Lean project. Shortly after start-up, the current-state
nonvalue-added analysis and a vision of a future are soon developed.
Once developed, though, it is not uncommon for the project team to
begin to struggle with just how to implement its future-state vision and
where to begin.
There is no shortage of good ideas, and all team members will have an
opinion. The good ideas become projects themselves and often return
mixed results. More often than not, the original enthusiasm wanes and
companies become frustrated as their Lean project stalls. Unfortunately,
the promised benefits of a Lean factory implementation may evade the
project team, sometimes with career-changing consequences!
This is too bad. Lean manufacturing is too important a methodology to
give up on because of frustration. The reasons for this frustration are
understandable, however. It is usually not due to the competence or the
enthusiasm of the project leader or the manufacturing personnel charged
with the job of implementing Lean in the factory. Hard-working, dedicated
manufacturing professionals are always first in line to champion a better
way.
It is certainly not because of the glowing success stories and reports from
consultants who implement Lean methodologies every day as part of
their consultancy. There is plenty of consulting expertise available, and
consultants will be more than happy to contract with you for projects to
help implement your Lean initiative. While there are good reasons for
contracting with external consulting groups to lead or assist with your
Lean implementation project, doing so should be considered an
alternative strategy.
From the Current-State to the Future-State Vision
Most manufacturing companies have excellent project managers who are
capable of leading projects to implement Lean manufacturing
methodologies and find it difficult to justify hiring consultants to do what
they know they can do themselves. Many other companies that sorely
need to implement the Lean manufacturing methodologies simply do not
have the funds available to contract with a Lean consulting group for an
implementation project. The truth is that a factory conversion to Lean
manufacturing can be accomplished using a company's internal
resources.
It is from this point that most manufacturers start their factory
transformation to Lean manufacturing, and it is no small task! It is a wide
gap from the current Material Requirements Planning (MRP) shop floor
execution systems to a Lean manufacturing methodology. It is not difficult
to understand why it is easy for manufacturers to become frustrated
when faced with the challenge of changing their current operating
system.
What is lacking is a step-by-step, "how-to" methodology or recipe book
that explains to internal project managers exactly how to accomplish their
Lean factory transformation project. They need guidance to choose from
the dozens of good ideas and sort through the opinions being offered.
Project managers need a set of "Lean manufacturing methodologies" to
describe a series of consistent, repeatable procedures and techniques
that can be applied to move manufacturers from their current-state
analysis through to their desired future-state vision.
I have written this book to provide the manufacturer with a sequential,
step-by-step methodology that can be used to systematically transform a
manufacturing facility from its traditional batch-based, computer-driven