Exam 1: Lean Operations Management & 5S – Flashcards

Capacity (10-20% improvement by optimizing bottlenecks) Inventory (30-40% reductions in FG and WIP) Cycle Time (throughput time reductions of 50-75%) Lead Time (50% or more reduction for order fulfillment) Product Development Time (35-50% reduction) Space (35-50% reduction) First-pass-yield (5-15% increase) Service (delivery performance of greater than 99%)

Creates an environment that anticipates customer needs and improves response times, establishes organizational strengths that are sustainable competitive advantages, establishes benchmark performance and best practices against which competitors will be judged, yields higher profitability, product margins, and stock prices, reduces waste in inventory, reduces costs, improves quality, increases flexibility, and reduces response time, and facilitates customer and supplier involvement from design to production to design.

views customers, suppliers, and the internal organization as a single enterprise model, aligns people and systems to build vision and strategy into daily operations, provides an integrated framework for improving the total business, simplifies organizational structures by linking people together across key business processes, provides a means of correlating day-to-day improvement activities with the overall business strategy, drives information across and within functions via simple visual practices, leverages the productive capacity of all employees, and expands organizational knowledge.

Value Stream Mapping Poka-yoke Point of Use Storage 5S Visual Management (Implement 1st) One-piece Flow Production Total Preventative Maintenance Level Mix Model Production Kanban Demand Pull Failure Mode and Effects Analysis (FMEA) Quick Changeover Kaizen Standard Work/Standard Operating Procedures (SOP's) Six Sigma

Sort (Seiri): Differentiate between the necessary and the unnecessary. Remove all items that aren't currenlty needed. The fine art of throwing junk away.

Set in Order/Straighten (Seiton): A place for everything and everything in it's place. Put needed items in an easily accessible place. Label everything so it's easy to find and put away.

Shine/Clean (Seiso): Keep everything clean and orderly while working. Leave things clean. Pinpoint the cause of dirt and eliminate.

Standardize (Seiketsu): Create a consistent way that tasks and procedures are done (SOP's) Establish standards to measure by and practice simple visual management. Helps to maintain the results of Sort, Set in Order, and Shine.

Sustain/Discipline (Shitsuke): Make it a habit and responsibility to follow workplace rules (the first 4 S's). 5S is everybody's responsibility. Motivate through procedures to standardize and measure performance.