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JMTM
22,4 Design of lean manufacturing
systems using value stream
mapping with simulation
444
A case study
Received June 2009
Revised March 2010
Anand Gurumurthy
Accepted March 2010 Mechanical Engineering Group, Birla Institute of Technology and Science,
Pilani, India, and
Rambabu Kodali
Mechanical Engineering Group and Engineering Technology Group,
Birla Institute of Technology and Science, Pilani, India

Abstract
Purpose Generally, the implementation of lean manufacturing (LM) starts with the development of
value stream maps. However, it has been found that value stream mapping (VSM) suffers from various
shortcomings. Hence, researchers have suggested the use of simulation along with VSM. The purpose
of this paper is to present an application of VSM with simulation during the design of lean
manufacturing systems (LMS) using a case study of an organisation following a job shop production
system to manufacture doors and windows.
Design/methodology/approach Simulation models were developed using QUeuing Event
Simulation Tool for the case organisation to demonstrate how the case organisation will be changed
after implementing various LM elements, apart from analysing the impact of implementing these LM
elements on the organisations performance.
Findings Simulation studies were carried out for different scenarios such as before LM (current state
VSM) and after LM (future state VSM). It was found that the case organisation can achieve significant
improvement in performance and can meet the increasing demand without any additional resources.
Practical implications It is believed that this paper will enable practitioners to appreciate the role
of simulation in helping them understand how the operations department of the case organisation will
be transformed during the design of LMS.
Originality/value According to the authors knowledge, no case study exists in the literature that
discusses the application of VSM with simulation in an organisation that manufactures doors and windows
using a job shop production system. Furthermore, the paper simulates the impact of those LM elements
which were not considered by other researchers on the performance measure of the case organisation.
Keywords Lean production, Manufacturing systems, Computer software, Simulation,
Performance measures
Paper type Case study

The authors would like to thank Mr M.N. Sridhar, a student of Distance Learning Programmes
Division, BITS, Pilani, for sharing his knowledge during the viva-voce examination and for
Journal of Manufacturing Technology making use of his dissertation that was submitted as a partial fulfilment for his Masters degree.
Management
Vol. 22 No. 4, 2011 Similarly, thanks are due to Mr Gursharanjit Singh, a final year student of BE (Hons) Mechanical
pp. 444-473 Engineering Group, BITS, Pilani for his timely help in developing the simulation models using the
q Emerald Group Publishing Limited
1741-038X
QUEST software. Thanks are also due to Mrs M. Sowmiya for formatting this manuscript and
DOI 10.1108/17410381111126409 Ms A. Gayathri for proofreading this manuscript.
1. Introduction LMS using value
In recent years, many organisations both in India and other countries are implementing stream mapping
the principles and concepts of lean manufacturing (LM) with the objective of achieving
superior competitive advantage over other organisations. Few companies have attained
their objective, while many of them did not. For instance, Dunstan et al. (2006) examined
the application of LM in a mining environment. They described the implementation of
certain LM elements that are applicable in such organisations and noted that health- and 445
safety-related incidents were reduced from 154 to 67; absenteeism was reduced by
3.4-1.8 per cent, while about $2 million (Australian) were saved during the year 2006.
On the other hand, Bamber and Dale (2000) discussed the application of lean production
methods to a traditional aerospace manufacturing organisation. They found that there
are two main stumbling blocks to the LM application: the redundancy programme
and a lack of employee education in the concept and principles of lean production.
Mohanty et al. (2007) too supported this statement and noted that:
[. . .] many of the companies that report initial gains from lean implementation often find that
improvements remain localized, and the companies are unable to have continuous
improvements going on. One of the reasons, we believe, is that many companies or
individual managers who adopted lean approach have incomplete understanding and, as a
result, could not be able to gain all the benefits as Toyota enjoys.
Apart from these stumbling blocks, other reasons for failures include: the lack of
understanding by managers of the organisations regarding the following:
.
How to implement LM?
.
What changes will happen in an organisation as it gets transformed by
implementation of LM?
.
How LM will affect the performance measures of an organisation?

To overcome the first issue (i.e. how to implement LM), researchers have proposed
different methodologies and steps. For example, Womack and Jones (1996) enumerated
the five tenets of LM and emphasized that value stream mapping (VSM) has to be carried
out as the first step towards LM implementation. Recently, Grewal (2008) described the
application of VSM in XYZ bicycle manufacturing company, a small manufacturing
firm located in northern part of India. He explained in detail about the current state of
activities within the firm, the opportunities for improvement and the improvement
programmes required for achieving the future state apart from enumerating the benefits
obtained. It is evident from this case that VSM can also provide answer to both the
second and third questions to some extent.
But a literature review revealed that VSM suffers from several shortcomings (which
are discussed later). To resolve these shortcomings, researchers have suggested that
simulation can be utilised in conjunction with VSM. Few studies combining VSM and
simulation are available in the literature (which is reviewed in the next section).
However, according to the authors knowledge, no studies exist in the literature of LM,
which describe the application of VSM with simulation during the design of lean
manufacturing systems (LMS) in an organisation that manufactures doors and windows
using a job shop production system. Hence, an attempt has been made in this paper to
present the same. Furthermore, it will enable the practitioners to understand:
JMTM .
The feasibility of implementing LM tools/techniques/practices/procedures (in
22,4 short, it can be called as elements).
.
How an organisation will function after the implementation of LM?
.
What are the benefits or performance improvement due to LM implementation?

The paper is arranged as follows: Section 2 provides a literature review, which reveals
446 the research gaps, while Section 3 presents an overview about the case organisation.
Section 4 enumerates the design of LMS describing the initial steps taken by the case
organisation and Section 5 demonstrates the development of simulation models for
designing the LMS for the case organisation. Section 6 deals with results and
discussions and finally, Section 7 ends with conclusions.

2. Literature review
This section is divided into four sections. The first section provides a brief review of
literature related to case studies describing the implementation of LM while the second
section deals with the review of literature related to VSM. The third section reviews the
literature related to application of VSM with simulation during the design of LMS and
the last section highlights the various research gaps.

2.1 A brief review of case studies describing the implementation of LM


Many case studies exist that deals with the LM implementation in a wide variety of
industrial sectors other than manufacturing. For instance, Sreedharan and Liou (2007)
elaborated a case study of implementing LM principles in a university rapid
manufacturing laboratory. Although lean initiatives are undertaken in other sectors,
the number of LM implementations in the manufacturing sector is much higher when
compared to other sectors. Hence, this review focuses only on LM implementations in
manufacturing sector. Table I provides a list of case studies describing the LM
implementation in manufacturing sector.
From Table I, it can be found that LM has been implemented in variety of
manufacturing industries. A cursory review of these papers will reveal that these
industries have established different manufacturing systems such as project shop, job
shop, batch production, mass production and continuous production systems. Hence,
a classification scheme (taxonomy) is also established for the reviewed papers based
on the types of production system followed in each case organisation.

2.2 A brief review of literature related to VSM


Rother and Shook (1999) explained that a value stream is comprised of all the actions
(both value added (VA) and non-value added (NVA)) that are required to bring a product
or a group of products from raw materials to the arms of the customer. On the other hand,
VSM is a pencil and paper visualisation tool that shows the flow of material and
information as a product makes its way through the stream. Many researchers have
described the application of VSM. Table II shows a review of papers describing the
application of VSM.
From Table II, it can be found that VSM has been used in both manufacturing and
service industries; however, its application is more predominant in manufacturing. It is
used mostly for productivity improvements, but in recent times, it is also applied
LMS using value
Classification
S.no. scheme Industry type Author(s) and year stream mapping
1 Project shop Ship building Storch and Lim (1999)
2 Traditional aerospace manufacturing Bamber and Dale (2000)
3 Aerospace component suppliers Crute et al. (2003)
4 Job shop Specialist machinery manufacturers and aerospace Jina et al. (1997)
sector 447
5 Capital equipment Mottershead (2001)
6 Secondary wood products Czabke (2007)
High-mix, low-volume manufacturing (aerospace
7 component) Dudley (2005)
8 Batch Rough mill Gumbo et al. (2006)
production
9 Die casting industry (SME) precision machined Kumar et al. (2006)
components
10 Printing technologies Scott (2007)
11 Forging (supplier for railways, oil and gas and the Sahoo et al. (2008)
machine tool sector)
12 Mass production Automobile industry motor (compartment automated Braiden and Morrison
monorail system) (1996)
13 Automotive components (chassis systems) Mabry and Morrison
(1996)
14 Automotive components (windscreen wiper systems) Sohal (1996)
15 Auto component supplier (electro-mechanical Kasul and Motwani (1997)
components)
16 Auto component supplier (technical fastening Soderquist and Motwani
devices) (1999)
17 Automotive components (electro mechanical
components) Motwani (2003)
18 Truck manufacturing company Wallace (2004)
19 Continuous product line of a tyre manufacturing Mukhopadhyay and
plant Shanker (2005)
20 Auto component supplier (motorcycle frames) Seth and Gupta (2005)
21 Truck production Berg and Ohlsson (2005)
22 Robotic assembly cell in automotive component Abduelmula et al. (2005)
manufacturer
23 Automobile industries Mohanty et al. (2007)
24 Car manufacturer Lee and Jo (2007)
25 Automotive component assembly line (combustion Domingo et al. (2007)
injection valves)
26 Continuous Paper industries Lehtonen and Holmstrom
production (1998)
27 Steel manufacturing Brunt (2000)
28 Metal forming Lee and Allwood (2003)
29 Mining environment Dunstan et al. (2006)
30 Textile Goforth (2007)
31 SMEs Durable articles Gupta and Brennan (1995)
32 Automotive components (automobile lamps) Gunasekaran and Lyu
(1997)
Table I.
33 Electronic office equipment manufacturer Karlsson and Ahlstrom
A list of case studies
(1997)
34 Numerically controlled bagging machines Abdul-Nour et al. (1998)
describing the LM
35 Automotive components (wiper systems) Gunasekaran et al. (2000) implementation in
36 Small bicycle manufacturing company Grewal (2008) various manufacturing
industries
JMTM
Author(s) and
22,4 S.no. year Remarks

1 Hines and Rich Introduced seven more tools, which can be used in conjunction with VSM
(1997)
2 Hines et al. (1999) Discussed the application of VSM to the development of supplier network
448 3 Brunt (2000) Demonstrated how VSM can be used to map the entire processes along the
supply chain from steelmaking (i.e. raw material) to steel component
supplier
4 Freire and Detailed the application of VSM in the design process of construction
Alarcon (2002) projects
5 McManus and Explored the concept of value stream analysis and mapping as applied to
Millard (2002) product development (PD) efforts
6 Dhandapani et al. Constructed the current and future state VSMs of a steel company
(2004)
7 Emiliani and Stec Enumerated the role of VSM to determine leadership beliefs, behaviours
(2004) and competencies
8 Ozkan et al. Explained how VSM and its associated tools can be used to design a desired
(2005)) future state aligned with LM principles at a shop floor of an automotive
industry
9 Schulte et al. Documented how lean can apply in a PD test laboratory
(2005)
10 Seth and Gupta Described the application of VSM for lean operations and cycle time
(2005) reduction in an auto component supplier company
11 Taylor (2005) Applied lean value chain improvement techniques (i.e. VSM) to a complete
supply chain for a food product from farm to consumer
12 Braglia et al. Discussed about the new VSM approach for the design of complex
(2006) production systems
13 Endsley et al. Introduced the application of VSM in a hospital tracing the flow of a patient
(2006)
14 Lummus et al. Reported on a VSM project in a small medical clinic
(2006)
15 Parry and Turner Described the application of lean visual process management tools
(2006)
16 Grewal (2008) Detailed the application of VSM in small bicycle manufacturing company
17 Lasa et al. (2008) Presented a case study of a company in which the VSM has been created by
the team to improve the productive system of a manufacture for plastic
Table II. casings for mobile phones
A review of papers 18 Serrano et al. Commented about the applicability of VSM to redesign disconnected flow
describing the application (2008) lines based on manufacturing environments with a diversity of logistical
of VSM problems

for other purposes such as improving leadership, perform benchmarking and increase
value across the supply chain.

2.3 A brief review of papers describing the application of VSM with simulation
Chu and Shih (1992) commented that although several methodologies have been used in
studying just-in-time (JIT) production, simulation has attracted the attention of many
researchers and practitioners. In recent times too, many simulation studies were
reported in the field of LM. Table III shows a review of papers describing the application
of simulation and VSM during the design of LMS.
LMS using value
Author(s) and
S.no. year LM elements used Remarks
stream mapping
1 Czarnecki One piece flow, takt time Developed a simulation model to
and Loyd demonstrate the application of lean
(2000) principles to a high-volume
manufacturing facility and 449
transforming the case company into a
high-performing lean enterprise
2 Detty and Pull system, standard containers, Used the simulation to assist in the
Yingling small lot production, 5S and decision of implementing LM principles
(2000) pokayoke at an existing assembly operation of
consumer electronic product having a
volume of about 500,000 units per year
3 Dennis et al. LM elements were not discussed Utilised simulation in conjunction with
(2000) VSM to improve the performance of
British telecommunications PLC
4 Lian and Van Kanban, supermarkets, pull system Developed two simulation models for
Landeghem and U-shaped manufacturing cells the VSM following two scenarios: push
(2002) and pull (kanban) systems
5 McDonald Supermarket, kanban, heijunka box Described an application of VSM and
et al. (2002) and setup reduction simulation to a dedicated product line
in an engineer-to-order motion control
products manufacturing plant. They
used arena for the purpose of
simulation
6 Mittelhuber Description of LM elements were not Noted that using conventional
et al. (2002) available simulation systems to model complete
door-to-door production is an expensive
and time-consuming undertaking.
Hence, they presented a simulation
method that suits the practical
requirements of VSM
7 Schroer Line balancing against takt time, pull Presented the use of discrete event
(2004) versus push manufacturing and simulation to understand the concepts
kanban inventory control of LM
8 Huang and Setup time reduction using single Developed a simulation in arena to
Liu (2005) minute exchange of dies, use of new model a factory of Taiwan-funded
machines, reduced distances between enterprise in mainland China that
workstations produces oval-gear flow metres to
understand the effect of implementing
lean control approaches in the factory
9 Abdulmalek Total productive maintenance and Described a simulation model that was
and Rajgopal setup time reduction developed to contrast the before and
(2007) after scenarios of VSM constructed
for a large integrated steel mill
10 Duanmu and Takt time analysis and line balancing Improved the throughput using a
Taaffe (2007) combination of takt time and
simulation by understanding how each
stage of the system interacts with other Table III.
stages in a company that manufactures A review of papers
two main types of customised products describing the application
(continued) of VSM and simulation
JMTM Author(s) and
22,4 S.no. year LM elements used Remarks

11 Kannan et al. Maintenance process improvement Emphasized that the traditional VSM
(2007) activities cannot be utilised as is for the
maintenance activities. Hence, they
450 developed a VSM specifically for
maintenance to evaluate the NVA
activities and provided
recommendations to reduce the mean
maintenance lead time through
simulation
12 Lian and Van Supermarkets, pull system and Enumerated the application of VSM-
Landeghem kanbans based simulation generator in the shop
(2007) floor of poultry and pig raising
equipment manufacturer for feeding,
drinking, feed storage and feed
transportation systems
13 Narasimhan LM elements were not discussed, as it Introduces a new approach known as
et al. (2007) is applied for engine testing the simulation-aided Value Stream
Mapping (saVSM), and illustrated a
case study, showcasing the successful
application of saVSM approach, at a
global engine manufacturers test
Table III. environment

From Table III, it can be inferred that some of the studies focused only on simulation.
For example, Detty and Yingling (2000) demonstrated the application of simulation during
the design of LMS for a case organisation. However, they did not discuss about the role of
VSM and did not integrate VSM in their simulation. Some of the studies explored the
simultaneous application of simulation and VSM in industries having different types of
production system/process. Abdulmalek and Rajgopal (2007) and Comm and Mathaisel
(2005) described the application of VSM with simulation in a continuous process industries
such as steel mill and textile industry, respectively. Lian and Van Landeghem (2007)
discussed the application of VSM-based simulation in a low-volume and high-variety
component production shop of a poultry and pig raising equipment manufacturer. On the
other hand, Dennis et al. (2000) demonstrated the application of VSM with simulation in a
service industry. From Table III, it can also be concluded that application of VSM with
simulation is more prevalent in manufacturing than service.

2.4 Research gaps


Although significant work has been carried out in the recent past in the areas of LM
implementation, VSM and VSM with simulation, various research gaps were identified
from these three different reviews.
A review of case studies in Table I revealed that:
.
LM can be applied in any type of industries irrespective of the size and the type of
production system/process involved. It can be applied even in a small die-casting
unit or in a large aerospace manufacturing organisation. Although LM is being
applied in industries irrespective of the type of production system (such as project,
job, batch, mass or continuous production systems), the number of case studies
in the category of project or continuous production is very less, while that in mass LMS using value
production category is more. The number of case studies for the remaining stream mapping
two production systems (job shop and batch) lies in between the project and mass
production systems.
.
As mentioned by Karlsson and Ahlstrom (1997), most of the case studies are
from automotive sector, comprising of component suppliers and automobile
manufacturers. Nearly, 45 per cent (i.e. about 16 out of 36) of the reviewed studies 451
are from the automotive sector.
.
The number of case studies dealing with LM implementation in small- and
medium-sized enterprise(s) SMEs is very less. Only six papers are available,
which specifically mentioned about implementation of LM in SMEs, However, if
some of the industries dealing in metal forming, die casting, etc. are included, it
may increase to eight, which is again comparatively less.
.
The number of papers describing LM implementation in Indian industries is also
very less. Out of the 36 papers reviewed, only six papers dealt with LM
implementation in Indian industries. Similarly, a cursory review of these case
studies reveals that even in India, LM is predominantly getting applied only in
the automobile sector.

Hence, in this paper, an attempt has been made to present a case study to overcome
most of these issues. This case study is different from the reported case studies in the
following ways:
.
It demonstrates that LM can be implemented in an organisation which
manufactures doors and windows using a job shop production system. This case
study of door and windows manufacturing organisation is unique in the category
of job shop production and according to the authors knowledge no such case
studies exist in the realm of LM till date. Although a couple of wood products
companies were identified in the review, these industries produce only the raw
materials (i.e. properly cut and saw wood) for furniture making, whereas the case
organisation considered for this study uses different materials such as poly-vinyl
chloride (PVC) for manufacturing doors and windows.
.
Second, this case study is different from the reviewed ones, as it is not from the
automotive sector. Furthermore, it details the LM implementation and application
of VSM with simulation in an organisation under the furniture industry sector.
.
Third, it reports about the LM implementation especially in an Indian
organisation from non-automotive sector to emphasize that LM implementations
are getting widespread attention among the Indian industries.
.
Finally, the case organisation can fall under the category of SME, as it is
relatively a small facility both from the perspective of size, number of employees,
capital invested, equipments, etc. when compared with an organisation in the
automotive sector.
On the other hand, a review of papers related to VSM in Table II revealed that:
.
VSM is also utilised in any manufacturing organisation irrespective of the type of
production system. But, the application of VSM in a doors and windows
manufacturing environment is yet to be documented till date. Although Czabke (2007)
JMTM and Gumbo et al. (2006) have described the application of LM in wood industry, they
22,4 did not demonstrate the application of VSM with simulation in their study.
Similarly, a review of papers related to application of simulation and VSM in Table III
revealed that:
.
Most of the simulation studies that were carried out from the early 1990s to present
452 are addressing the areas of kanban, pull/push, mixed model assembly/production,
inventory control (small lot production), etc. But adequate importance is not given to
other JIT/LM elements such as multi-machine activities, kaizen (continuous
improvement), cycle time reduction, pokayoke, visual management, process
improvements, automation, floor space reduction, etc. Very few papers have
attempted to address or incorporate these LM elements during the simulation.
.
Apart from this, most of the simulation studies are focused on analysing one or
few issues such as finding the optimal size of kanbans or developing an optimal
schedule for mixed model assembly or analysing the performance of push/pull
systems. According to authors knowledge, very few studies have been
undertaken considering a combined implementation of JIT/LM elements.
.
No paper exists in the literature which demonstrates the application of VSM with
simulation apart from considering various LM elements such as layout change,
multi-machine activities, kaizen (continuous improvement), takt time analysis, cycle
time reduction, pokayoke, visual management, process improvements, automation,
floor space reduction, etc. simultaneously in developing the simulation models during
the design of LMS especially for a door and window manufacturing organisation.

Thus, this paper attempts to address some if not all of the above-mentioned research
gaps by developing a simulation model for designing aN LMS based on a real-life data
for the doors and windows manufacturing organisation. This paper demonstrates how
a simulation model can be constructed, if a combination of above-mentioned LM
elements were implemented and analyses what will be their impact on the performance
measures of the case organisation.

3. An overview about the case organisation


The company considered is named as ABC Limited (ABCL) to maintain the
confidentiality. ABCL is a unit of XYZ Limited, which has an annual turnover of
about Rs. 2,500 crores and has 30 years of experience in managing large-scale
process industries. The company had launched the business of PVC door and window
manufacturing systems in India from 2003 in technical collaboration with a UK plastics
company with its state-of-the-art PVC profile extrusion plant at Rajasthan facility. The
fabrication units are located in Bhiwadi apart from other metros such as Hyderabad,
Bangalore, Mumbai and Chennai. The total production capacity of all these fabrication
units is about 100,000 windows per annum. The LM implementation is currently carried
out in the fabrication unit located in Hyderabad, which has strength of about 80 people.
Currently, the Hyderabad unit manufactures five types of products, namely:
(1) casement window;
(2) casement door;
(3) sliding window;
(4) sliding door; and LMS using value
(5) ventilators, stream mapping
as per the customer sizes and designs (Sridhar, 2007). Since, the windows are
custom designed and the volumes for individual design are very less, this
industry falls under the job shop production process.
453
3.1 Problems faced
In recent times, the construction sector in India is booming. Naturally, the demand for
windows and doors is also increasing. For instance, the demand for the Hyderabad plant
is expected to increase from 40 windows per day to 60 windows per day. As the market is
increasing, naturally the case organisation has to compete not only with similar
industries, but also with local manufacturers, who make wooden doors and windows.
Analysing the production system, they found lot of areas, where significant areas of
improvement are required. For example, the production rate of the cell, which is
measured in number of squares produced per shift is 160 (i.e. 160 squares/shift of
8 hours). This rate is sufficient only to meet the existing demand of 40 windows per day
and the cell suffers from under-capacity to meet the future demand. Another aspect of
the case organisation is that the inventory level within the plant is found to be higher.
The current work in progress (WIP) for entire fabrication unit is 1,000 squares per day,
i.e. an average of 125 squares is held before each work station (Sridhar, 2007). Because of
the lower production rate, lower capacity and higher inventory, the top management of
the ABCL was planning to implement the principles and concepts of LM to remain
competitive and meet the ever increasing demand without much increase in the
resources by eliminating the wastes plaguing the operations.

4. Design of LM systems
The management of ABCL started their lean journey and named their production
system as ABCL Production system similar (TPS). The reason is that the top managers
had a strong belief that LMS has originated from the automotive sector and it cannot
be copied into their production system. They believed that the concepts of TPS have to
be adapted, customised and suited to their production system. As a starting point, to
enable the employees of ABCL to understand the new principles and procedures of LM,
necessary training sessions were arranged in the following tools and techniques:
.
5S;
.
kaizen (continuous improvement);
.
VSM; and
.
muda (wastes), etc. (Sridhar, 2007).

After their initial training, the team started to collect the details regarding the existing
situation of the shop floor. The production process is analysed and the different stages
involved in making a window/door were identified as shown in Figure 1.

4.1 Value stream mapping


The next step is to draw the VSM, for which an understanding regarding the process
sequence is a pre-requisite. Drawing VSM involves two steps: step 1 is to draw the
JMTM Profile cutting
22,4

Processing (drainage/
v-groove/routing/single
454 head welding)

Reinforcement cutting
and fixing

Fusion welding

Assembly

Bead cutting

Glazing

Figure 1. Packaging and dispatch


Process sequence of
making the window
Source: Sridhar (2007)

current state map, while step 2 is to draw the future state map. Similarly, for the case
organisation the current state VSM has been developed as shown in Figure 2.
From Figure 2, it can be found that the VA time for the cell is just 1,476 seconds, while
the production lead time is about 12.53 days or 360,864 seconds. The process ratio is
found to be just 0.0041, which clearly reveals that the manufacturing process involves lot
of NVA activities. The next step is to compute the takt time. Currently, the demand is
only 40 windows or 160 squares. The plant works for a single shift of 8 hours, which does
not include the lunch breaks of 30 minutes and tea breaks of 15 minutes. Therefore, the
available time is found to be 8 60 60 28,800 seconds. Hence, the takt time for the
current state is found to be 8 60 60/160 180 seconds/square. From Figure 2,
it can be found that the stages such as profile cutting, processing (i.e. drainage,
V-groove, etc.), reinforcement assembly and fusion welding have cycle times less than
the takt time, while the time taken for the remaining stages are greater than the takt time.
This is one of the reasons for storing an excess amount of inventory in the shop floor.
Current State Value Stream Map
Customer demand 40 windows/day

Production Forecast
Monthly forecast control

Profiles
Sales order Dispatch
Expedite orders Team leader
through phone 40 windows per
day or 160
squares per day

Delivery at the end


Weekly of shift

RM Profile Processing Bead cutting Glazing Packing


Reinforcement Welding Assembly
stores cutting
Assembly No. of No. of
No. of No. of
No. of No. of No. of operators = 2 operators = 3
Contains operators = 2 No. of
operators
operators = 3 operators = 3 operators = 5 CT = 205 CT = 210
raw CT = 152 sec. operators =4
CT = 85 sec. CT = 150 sec. CT = 320 sec. sec. sec.
materials CO = 60 sec. =2 CT = 296 sec.
CO = 30 sec. CO = 600 sec. CO = 180 sec. CO = 0 CO = 0
and other AT = 28800 CT = 58 sec. CO = 30 sec.
AT = 28800 AT = 28800 AT = 28800 AT = 28800 AT = 28800
hardware CO = 0 AT = 28800 sec.
sec. sec. sec. sec. sec. sec.
AT = 28800 sec.
items

I I I I I I I I
1120 150 85 120 250 125 100 55
squares squares squares squares squares squares squares squares

7 days 0.94 days 0.53 days 0.75 days 1.56 days 0.78 days 0.63 days 0.34 days
152 58 150 320 296 205 210
85 sec. sec. sec. sec. sec. sec. sec. sec.

Value added time: 1476 sec. Takt time: 180 sec.


Production lead time: 12.53 days Process ratio: 0.0041 or 0.41%

Source: Sridhar (2007)

the doors and windows


stream mapping
LMS using value

fabrication line
Current state VSM for
Figure 2.
455
JMTM However, if the future demand is considered, which is about 60 windows per day or
22,4 240 squares, the mismatch between the cycle times of different processing stages and
the takt time is very high. The takt time according to the future demand is found to be
8 60 60/240 120 seconds, in which case only the first stage can meet the future
customer demand, as it has the lowest cycle time of 85 seconds.
Hence, to reduce the problems revealed by the current state VSM, the team was
456 contemplating on implementing the following elements of LM:
.
5S for organising the work place;
.
kaizens to simplify the process by combining/eliminating/simplifying the
operations;
.
line balancing for achieving continuous flow processing;
.
layout change to reduce the people movement and unnecessary transportation of
materials;
.
establish supermarket at various places of the manufacturing line to reduce
inventory; and
.
work towards mixed production at the pacemaker assembly.

They also developed a future state VSM to visualise how their organisation will be,
after eliminating the wastes by applying the LM elements mentioned above. Figure 3
shows the future state VSM for the doors and windows fabrication line.
From this figure, it can be found that the team estimated that the total inventory can
be reduced to just 1.45 days of stock. Similarly, they also foresaw a reduction of
processing times through process improvement techniques. Based on their estimates,
they predicted that the process ratio can be increased to 0.018 from 0.004.
4.1.1 Shortcomings of VSM. Thus, by drawing the VSM, the practitioners were able to:
. visualise and clearly see the entire flow;
.
identify the waste in the value stream;
.
establish the linkage between the information flow and the material flow; and
.
understand how the organisation will be in the future, if all the improvement
activities are implemented properly and if the identified wastes were eliminated
or removed.

Although the VSM has the above-mentioned advantages, it suffers from the following
shortcomings:
.
The VSM as a tool is static in nature and can capture only a snapshot view of the
shop floor on any particular day. For instance, on a given day, the production
might be running smoothly without any problems, while on the other day, there
might be various delays due to breakdowns of machines, late delivery by key
vendors, quality problems, etc. In these circumstances, the VSM tend to vary
according to the situations that prevail in the organisation.
.
The future state map which is drawn is based on the assumption that all the
issues in the problematic areas will be completely resolved. However, in practice,
the entire problem may not be completely resolved.
Future State Value Stream Map
Customer demand 60 windows/day

6 Month forecast+ Production Forecast


Monthly forecast+ Control
Weekly forecast

Profiles
Sales order Dispatch
Expedite orders Team leader
through phone

Line balancing
Combine two stages
Profile cutting and Reinforcement Glazing Packing
Assembly Bead cutting
processing Assembly and
welding No. of operators =3
No. of operators =4 operators =3
No. of Process No. of operators =2
No. operators= 3 No. of operators =3 CT = 110 sec. sec. to
CT = 132 sec.
CT = 115 activities
CT = 146 sec. improvements Kaizen
CO = 0 sec.
CT = 147 sec. CT = 120 sec. CO = 30 sec. CO = 0 sec.
CO = 180 sec. improve
AT packing
= 28800 sec.
CO= 20 sec. CO = 60 sec. AT = 28800 sec. AT = 28800 sec.
AT = 28800 sec.
AT = 28800 sec. AT = 28800 sec.
5S and layout change

Super market forI I I I I I


inventory reduction
240 30 20 20 20 20
squares squares squares squares squares squares
1 day 0.13 days 0.083 days 0.083 days 0.083 days 0.083 days
.
147 120 146 132 110 115
sec. sec. sec. sec. sec. sec.

Value added time: 740 sec. Takt time: 120 sec.


Production lead time: 1.4 days Process ratio: 0.018 or 1.8%

Source: Sridhar (2007)

the doors and windows


stream mapping
LMS using value

fabrication line
Future state VSM for
Figure 3.
457
JMTM .
Similarly, the reduction in NVA, the increase in process ratio and the benefits
22,4 that are assumed to be obtained after carrying out possible improvements are
based on estimates. But, in practice, similar benefits may not be achieved.
. Drawing VSMs by hand, displaying them and making changes to them is a
cumbersome process and it takes a lot of time.

458 Similarly, other researchers too have identified the shortcomings of VSM. Lian and
Van Landeghem (2002) commented that:
.
VSM is composed by physically walking along the flow and recording what
happens on the floor. Hence, the level of detail and the number of different
versions that can be handled is very limited.
.
In real-world situations, many companies are of a high variety, low volume type,
which many result in composing many value streams of many industrial parts
and products, which further adds a level of complication (and variability).
Finally, they noted that:
[. . .] revealing VSM as a map may hamper many people from failing to see how it translates
into reality. So, the VSM risks ending up as a nice poster, without much further use.
Similarly, McDonald et al. (2002) cautioned that VSM may not serve the purpose, when it
is used to map a production line which produces different types of product families that
are having different processing times and set up times for each processing step apart
from different number of shifts. Hence, to overcome these shortcomings, researchers
have suggested the use of simulation models in conjunction with VSM as it is an
effective tool to simulate both the current and future state of the case organisation.

5. Development of simulation models for the design of LMS


It should be remembered that this simulation study is not meant for optimisation
purposes. Rather, it is to provide an idea to the managers of the case organisation a
real-time perspective of how the organisation will be after getting transformed through
the LM elements and how the implementation of these LM elements will affect the
performance measures of the organisation. The simulation models were developed
using QUeuing Event Simulation Tool (QUEST), a simulation software package which
can emulate a complete three-dimensional digital factory environment. It is possible to
experiment with parameters such as facility layout, resource allocation, kaizen practices
and alternate scheduling scenarios, which can help in quantifying the impact of the
decisions on production throughput and cost. The most commonly needed behaviour
logic can be selected from comprehensive logic menus that are parameter driven. On the
other hand, for handling unique problems, it has a robust and flexible simulation
language which provides distributed processing with access to all system variables.
This high-level, structured language allows users to define custom behaviours and gain
unlimited control over the simulation (www.delmia.com).

5.1 Simulation data for the current state map


The data which were collected during the development of current state VSM are used for
developing the simulation model. Apart from this, additional data such as setup time,
number of operators, uptime of the machine, space available, machine arrangements, etc.
were also collected. For instance, Table IV shows the details of manpower requirement LMS using value
and operations carried out in each stage. stream mapping
From Table IV, it is found that 24 people (12 technicians and 12 casuals) are required
to meet the demand of 40 windows per day. On the other hand, the total available shop
floor area of the Hyderabad plant is about 1,791 square metres, out of which 1,400 square
metres of the area is used by the manufacturing line.
5.1.1 Assumptions. However, to ensure that the model replicates exactly the actual 459
production happening in their organisation, the following assumptions were made:
.
The inventory is taken entirely to be the initial inventory. Before the start of
the simulation, this inventory will be built up before the workstations. This is due
to the fact that a VSM captures the snap shot picture of the shop floor at any given
point of time. Hence, the simulation too starts with the current situation
as obtained from the current state VSM.
.
The setup time in seconds is included as per the current state VSM and it has
been assumed that setups are performed during the start of production. The setup
involves fixing the tool, cleaning and ensuring that materials required are ready
for production.

Manpower required
S.no. Operation T C Operations involved

1 Profile cutting 1 2 Study the drawing and select the profile as per drawing
Collect the profiles from the rack
Set the machine and cut as per the length
Write the location code on all profile cut pieces
2 Processing 2 Study the drawing, collect the profiles from trolley and make
necessary holes to fit the hardware elements
3 Reinforcement 1 1 Insert the cut galvanised iron (GI) reinforcement into the PVC profile
assembly as per drawing and fix the screws
Drill the fisher holes in the outer frame pieces
4 Welding 2 1 Collect the profiles, clean at the corners and weld as per drawing
5 Assembly 3 2 Clean all welding flashes and assemble the weather seal gasket
Select the hardware such as handle, lock, etc. as per the specifications
and drawing
Assemble as per the drawing
6 Bead cutting 1 3 Drill fisher holes which are not possible in reinforcement assembly
stage
Assemble the fire tree gasket, measures the bead length and cut in the
machine
7 Glazing 1 1 Collect the window panels and glasses as per the location codes
available on windows and glasses
Then assemble the bead to the window
8 Inspection and 1 2 Inspect the windows for sizes and visual defects in couplers,
packing hardware, etc.
Paste all six varieties of stickers on the windows
Pack the window by keeping the window on bubble roll sheet on floor Table IV.
Total 12 12 Details of manpower
requirement and
Notes: T technicians; C casual labourers operations carried out
Source: Sridhar (2007) in each stage
JMTM .
The labour for each stage is allocated as per Table III.
22,4 .
Each day consists of one shift with each shift having two 15-minute tea breaks
and a 30-minute lunch break, which is separate and does not interfere with the
production hours of 8 hours in each shift.
.
The source is an active source and the inter-arrival time of each part is made
equal to the cycle time of the first machine in each line. This is due to the fact that
460 the organisation follows a push system of operation in the shop floor.
.
If an operation has two similar machines performing the same operation, then the
machining time of all such similar machines is assumed to be a constant.

5.2 Simulation model for the current state map


A snap shot of the simulation model for the current state VSM is shown in Figure 4.
In the simulation model shown in Figure 4, the templates of different machines are
identified from the software library and are placed in the simulation world.
The existing layout of the factory was replicated by placing the machines as per the
exact distances and the labour was allocated to each machine as per Table IV. For each
machine, the details of cycle time, setup time, etc. are entered in its associated data boxes.
The material flow logic was established based on the sequence of the operations for
making doors and windows shown in Figure 1. Before each workstation, both input
and output buffers in the form of wooden pallet are placed. The raw materials, i.e. profile
pieces, glasses, etc. are supplied as per the size of the drawing. Ten different sources were
placed at one corner of the layout from which the necessary raw materials are supplied.
With these actual data, the current state VSM is simulated.

Figure 4.
Snap shot of the
simulation model for the
current state VSM
5.3 Simulation data for the future state map LMS using value
As said earlier, the current state VSM revealed different types of wastes. Hence, to stream mapping
reduce these wastes and meet the increase in demand, the team identified the following
LM elements for improvement.
Layout change. Layout improvement was planned to reduce various wastes such as
unnecessary transportation and motion. The team estimated that the total area
utilisation can be reduced to 12 60 720 square metres, while it was about 461
1,400 square metres in the existing layout.
Line balancing. From the current state VSM shown in Figure 2, it can be found that the
operations were not balanced. For instance, the profile cutting operation takes only
85 seconds; while the fusion welding process takes 150 seconds and the bead cutting
consumes 296 seconds. Hence, the focus is to balance the line by ensuring that the
processing time in each stage is equally distributed apart from making it more or less
equal to the takt time. To accomplish this, the production engineers proposed combining
the different stages of manufacturing. For instance, they proposed combining the
operations of profile cutting machine having one technician and two casuals with
processing machines of two technicians (i.e. in total, three technicians and two casuals).
They identified that manpower of two technicians and two casuals is sufficient for the
merged stages, as both the profile cutting machine and processing is doing
overproduction. However, to integrate these two stages, the layout has to be changed,
which will naturally eliminate the previously held inventory between these work stations.
In a similar manner, they proposed combining the reinforcement assembly and welding
machine operations. Initially, they had one technician and one casual in reinforcement
assembly and two technicians and one casual in welding work station (total of three
technician and two casuals). Again, by proposing a layout change to place these two
stages nearer and fine-tuning the process through some kaizens (described below), they
estimated that one technician and two casuals are sufficient to work in both the stations.
Naturally, the inventory between these two stages will become zero. Similarly, they
performed various process improvements to balance the line and reduce the cycle time.
Table V shows the revised manpower requirement for the improved layout.
Kaizens. The team also identified kaizen activities for other stages such as assembly,
bead cutting and glazing operations to eliminate NVA activities, which will result in
reduction in process time apart from improving the safety. A sample of proposed kaizen
activities are as follows:
.
Use of double bead block in bead cutting machine. Earlier, they were using a
mono-block (work holding device) to hold the PVC and perform the bead cutting
operation. They planned to redesign the work holding device in such a way that it
can hold two PVCs of same size at the same time, and the bead cutting can happen
simultaneously in both the PVCs, which can lead to productivity improvement.
.
Packing area improvement. From the current state map, it can be found that
packing and dispatching were taking more time. Hence, they studied the process
in detail and came out with lot of process improvements. Earlier, the bubble sheet,
which is used to pack the window/door, is used to be un-rolled on the floor and cut
by the operator manually according to the size of the window/door. The operator
has to sit and bend to perform the cutting, which was unproductive due to
increased strain and fatigue for the worker. The production engineers suggested
the use of a trolley, in which the bubble sheet roll can be mounted at the top
22,4

462

Table V.
JMTM

improved layout
Revised manpower
requirement for the
Manpower required
S.no. Operation T C Operations involved Modifications

1 Profile cutting 1 1 Study the drawing and select the profile as per Combined the operational responsibility for both technicians, which will also
drawing reduce the inventory held between these stages
Collect the profiles from the rack
Set the machine and cut as per the length
Write the location code on all profile cut pieces
2 Processing 1 Study the drawing, collect the profiles from trolley
and make necessary holes to fit the hardware
elements
3 Reinforcement 1 Insert the cut GI reinforcement into the PVC profile Combined the operations of reinforcement fixing and welding with one
assembly as per drawing and fix the screws technician and two casuals, which will also reduce the inventory held between
these stages
Drill the fisher holes in the outer frame pieces
4 Welding 1 1 Collect the profiles; clean at the corners and weld as
per drawing
5 Assembly 2 2 Clean all welding flashes and assemble the weather Can assemble 60 windows/shift on an average with additional operations of
seal gasket stickers pasting and couplers attachments
Select the hardware such as handle, lock, etc. as per
the specifications and drawing
Assemble as per the drawing
6 Bead cutting 1 2 Drill fisher holes which are not possible in Takes the responsibility of glazing operation also and support the members as
reinforcement assembly stage and when it is required
Assemble the fire tree gasket, measures the bead
length and cut in the machine
7 Glazing 1 1 Collect the window panels and glasses as per the
location codes available on windows and glasses
Then assemble the bead to the window
8 Inspection 2 Inspect the windows for sizes and visual defects in
and packing couplers, hardware, etc.
Paste all six varieties of stickers on the windows
Pack the window by keeping the window on bubble
roll sheet on the packing fixture
Total 7 10
Source: Sridhar (2007)
on a roller and it can be easily unrolled by pulling it and can be cut without LMS using value
bending. The next step is to pack the windows using these cut bubble sheets. stream mapping
Previously, the packing is performed by placing the window on the floor and
covering it with bubble sheet. Since, it was taking too much time, the engineers
were interested in developing a rotary packing table, in which the windows can be
placed and can be rotated according to the orientation required for packing. The
bubble sheet is rolled around it and an adhesive tape is affixed over it. Thus, they 463
believed that the bending of operator can be completely avoided thereby the
productivity loss due to fatigue can be eliminated.
These improvements can lead to drastic reduction in the cycle time and the engineers
have attempted to reduce it to half the existing cycle time for these stages such as
packing, bead cutting, assembly, etc.

5.4 Simulation model for the future state map


Considering these improvements, the simulation model of the current state map as
shown in Figure 4 is modified to develop the simulation model for the future state map as
shown in Figure 5. A cursory look at Figure 5 will reveal that various stages were
combined and the layout got changed to accomplish the same. Apart from this, the
parameters associated with simulation such as initial inventory, cycle time, etc. has been
modified for each stage as per Table V. Similarly, the number of workers, distance
travelled by a window, etc. also got reduced. However, the assumptions for the future
state simulation model are same as that of current state simulation model. Similarly, the
method of building the simulation model is also the same as that of current state map.

Figure 5.
Snap shot of the
simulation model for the
future state VSM
JMTM 6. Results and discussions
22,4 The models for both the current state and future state are simulated for 30 days to
represent a months production. To compare these two models, various performance
measures identified in our earlier study (Anand and Kodali, 2008) are used to quantify
the degree of improvements. Table VI shows the comparison of performance measures
of the case organisation for the current state and future state VSMs.
464 In Table VI, the number of units produced is measured in number of squares.
Generally, in any industry, the production rate is measured in units/hour. As per this
convention, the production rate for the case organisation should be measured as number
of windows/doors produced per hour or number of windows/doors produced per 8-hour
shift. However, in this case, the size of window/doors differs considerably and hence this
unit of measurement may not adequately reflect the daily production. For instance,
if the size of window is more, then the complexity associated with it will affect the
manufacturing and handling, naturally leading to lesser number of windows/doors on a
particular day. Hence, to overcome this problem and to establish the uniformity in
computing the total production, the case organisation has a practice of counting the total
production based on number of squares in that window/door. If the window/door size
exceeds more that 1.5 metres in size, then it is counted as two squares. Hence, utilising
this convention, the total production and productivity was calculated based on number
of squares produced in a shift of 8 hours.
In addition to this, Table VI reveals that all inventories are represented in the form of
days. This is due to the fact that to calculate the total production lead time in a VSM, the
inventory is considered as the number of days a part waits before it gets processed.
Hence, based on the daily demand, the inventory is converted into number of days by
dividing the available inventory by per day requirement. For instance, in the current
state VSM (Figure 2), profile cutting has an inventory of about seven days. Since per day
requirement is 40 windows or 160 squares, it is equal to 7 160 1,120 squares. Other
processes such as reinforcement assembly, bead cutting, etc. have an inventory of 85 and
125 squares, respectively. Hence, dividing the inventory at various stages by the per
day demand, we will get 85/160 0.53 days for reinforcement assembly and
125/160 0.78 days. In other words, reinforcement assembly and bead cutting stages
hold about 0.53 and 0.78 days of stock, respectively, which are yet to be processed. In a
similar manner, the stock details for other stages were calculated. In the case of future
state VSM, the demand per day should be taken as 240 squares instead of 160 to
calculate the inventory details. Another important aspect in VSM is the calculation of
process ratio. As explained earlier, the process ratio is defined as the ratio of VA time
and total production lead time. For instance, from the future state VSM (Figure 5), the
sum of VA time of all stages is found to be 740 seconds, while the total production lead
time, which includes the waiting time of the parts before the machines in the form of
inventory, is found to be 1.45 days or 41,760 seconds. Hence, the process ratio of future
state VSM is 740/41,760 0.018. In a similar way, the process ratio for current state
VSM is also calculated.
Apart from this, the results obtained from the simulation models have revealed that the
case organisation can achieve the following benefits:
.
The distance a part travelled from raw material to finished products such as
windows/doors got reduced. When the organisation had the existing layout
(Figure 5), the total distance travelled by the part is found to be 62 metres.
S.no. Performance measures Current state Future state

1 Demand per day


In number of windows 40 60
In number of squares 160 240
2 Initial inventory of squares at the beginning of simulation (in number of days)
Profile cutting 1,120 (7) 240 (1)
Drainage, V-grooving and other profile machining operations 150 (0.94)
Reinforcement assembly 85 (0.53) 30 (0.125)
Fusion welding 120 (0.75)
Assembly 250 (1.56) 20 (0.083)
Bead cutting 125 (0.78) 20 (0.083)
Glazing 100 (0.63) 20 (0.083)
Packing and dispatch 55 (0.34) 20 (0.083)
3 VA time (in minutes) 63.36 42.72
4 Production lead time (in days) 37.87 12.68
5 Process ratio (%) 0.17 0.39
6 Takt time (in seconds) 180 120
7 Cycle time (in seconds)
Profile cutting 85 147
Drainage, V-grooving and other profile machining operations 152
Reinforcement assembly 58 120
Fusion welding 150
Assembly 320 146
Bead cutting 296 132
Glazing 205 110
Packing and dispatch 210 115
8 Total WIP inventory after 30 day simulation (in numbers)
In number of squares 4,992 1,196
In number of windows 1,248 299
9 Parts produced after 30 day simulation (in numbers)
In number of squares 7,956 10,535
In number of windows 1,989 2,561
10 Distance travelled by a single window (in metre) 62.5 54
11 Manpower used (in numbers) 24 (12 technicians 12 casuals) 17 (ten technicians seven casuals)
12 Floor space used (in square metres) 1,587 720
stream mapping
LMS using value

future state VSMs


the current state and
performance measures of
Comparison of

the case organisation for


465

Table VI.
JMTM After the revised layout, the travel distance from profile storage to dispatch is
22,4 found to be 54 metres, a reduction of about 8 metres per window.
.
Inventory level at various stages can be reduced drastically by 76 per cent on an
average. For instance, the WIP of windows after 30 days of simulation was found
to be 1,248 numbers, which can be reduced to just 299 windows in the future state.
.
The introduction of kaizen and line balancing has resulted in a reduction in cycle
466 time at various stages of the manufacturing line. Hence, the total number of
windows that can be produced may increase by 28.5 per cent. If further process
improvements are undertaken, then the entire shop can become more productive
and it can meet the future demands of 85 windows per day with the existing
capacity itself.

To obtain these benefits, the engineers have planned to implement the following
elements: VSM, process simplification, line balancing, layout change, job enlargement,
floor space reduction, etc. However, since the case organisation has just started with
the LM implementation, other LM elements such as kanban system, pull system, mixed
model manufacturing/scheduling, load levelling and other supplier-related elements,
etc. are not implemented. This may be taken up in the future.

6.1 Validation
The simulated values were verified by checking the same with the company personnel.
It was found that most of the simulated values are matching. For instance, due to the
changed layout, the distance a part travelled from raw material to finished products such
as windows/doors got reduced. According to the simulation model, the total distance
travelled by the part from profile storage to dispatch is found to be 62 metres in the
current state layout. However, in reality, it was around 66 metres on an average, while
the travel distance after revising the layout is found to be 51 metres, a reduction of about
15 metres per window. In addition to the elements that were planned, the case
organisation also implemented the following additional LM elements, as advised by
their external consultants.
5S. It refers to five different stages for housekeeping. To provide a confidence to the
workers about the LM principles, the engineers actually started their lean journey with
the 5S implementation in various areas. They trained the shop floor employees on 5S
concepts and the employees were made to identify unnecessary objects, which were
removed from the work places. Further, the employees are trained on how to keep the
work environment clean and ensure that they clean their work place before and after the
shift. Similarly, they were encouraged to keep the tools, fixtures and other accessories in
clearly marked positions and those who maintain it properly were rewarded every
month, based on the 5S audit. This improved the motivation of employees and numerous
5S activities were carried out at different stages of manufacturing, which ensured that
their work environment was clean. Similarly, all the production stages were properly
identified based on the process carried out, the gangways are marked and tools are kept
in proper position. Naturally, these activities resulted in productivity improvement
(Sridhar, 2007). Plate 1 shows a sample 5S implementation in the storage of PVC squares
in profile storage area, which are stored according to its sizes.
Suggestion schemes. The suggestion schemes, which was introduced as part of
operators involvement resulted in many improvement ideas and one of the idea
LMS using value
stream mapping

467

Plate 1.
A sample 5S
implementation in the
storage of PVC squares
in profile storage area
Source: Sridhar (2007)

was provided by the operator from the reinforcement assembly stage. In this stage, one
of the activities is to insert a wool pile into the PVC block. Previously, these wool pile,
which is in the form of a roll, are kept over the table, unrolled, cut according to the length
of the PVC and then it is inserted. It took a significant amount of time. Later, the operator
gave an idea of mounting the pile roll in a shaft on the table, which facilitated easy
un-rolling. The wool pile is inserted directly in the PVC block for the desired length and
then it was cut. This simple idea eliminated unnecessary measurement activity before
cutting and thereby reduced the cycle time (Sridhar, 2007).
Although, various LM elements as mentioned above were implemented, the case
organisation could not drastically reduce the inventory as predicted in the future state
map. They could reduce only by half of the current state map, as the supervisor and his
team of employees were hesitant in reducing it to such a low level. Since, the process
variability and supplier variability are not yet improved; the operation manager and
supervisor still preferred having some WIP. Nonetheless, the case organisation has
achieved a significant improvement and with the continuous efforts from the LM team
the inventory can be slowly reduced by implementing additional LM elements.

7. Conclusions
This paper started with the claim that one of the reasons for an organisations failure in
their LM implementation efforts is due to the fact that the managers do not fully
understand how an organisation will be after it gets transformed by the principles of
LM. Even though VSM can resolve the above issue to some extent, the literature review
revealed that it suffers from various shortcomings. Researchers have commented
that simulation can be utilised along with the VSM. However, most of the simulation
studies in the literature focused on studying about the LM elements such as kanbans
JMTM (finding the optimal number of kanbans), push and pull systems (comparison),
22,4 mixed model assembly (sequencing and scheduling), etc. Other LM elements such as
multi-machine activity ( job enlargement), cycle time reduction, process improvements,
etc. have not been given adequate importance. This paper attempted to overcome all
these issues by using simulation in conjunction with VSM to model the current state and
future state VSM of a door and window manufacturing organisation following a job
468 shop production system/process. A literature review related to case studies of LM
implementation too revealed that no case study exists which described the
implementation of LM in such an organisation.
Thus, utilising the simulation models, the impact of implementing some of the basic
LM tools such as line balancing, multi-machine activity, 5S, etc. on the performance of
the organisation was analysed by comparing the performance measures for current and
future state VSM. It was found that there was significant improvement in the
productivity, while there was significant reduction in inventory, cycle time, floor space,
manpower, etc. Thus, these simulation models also proved effective for the managers
and engineers to actually see and feel how their manufacturing system will be in the
future before the actual design of LMS. It should be noted here that the case organisation
has just started off with their LM implementation efforts and hence only a few LM
elements such as line balancing, job enlargement, layout change, process improvements,
5S, etc. have been implemented and advanced LM elements such as kanban, pull system,
load levelling, etc. are not implemented. However, it can be concluded that the
organisation is in the right track of LM implementation and if the managers and
engineers of the organisation implement the remaining LM elements properly, then the
case organisation ABCL is bound to achieve a superior competitive advantage over its
competitors in the near future.

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About the authors


Anand Gurumurthy is an Assistant Professor in the Mechanical Engineering Group of Birla
Institute of Technology and Science (BITS), Pilani, India. He completed his PhD in the area of LM
and ME degree in Manufacturing Systems Engineering at BITS, Pilani, India, while he received his
BE degree in Mechanical Engineering from the University of Madras, India. He has around seven
years of teaching/research experience and two years of industrial experience as a Production
Engineer with one of Indias leading industrial houses the TVS Group. He has published around
25 papers in peer-reviewed national and international journals and presented many papers
in various national/international conferences. His current research interests include LM, LMS using value
operations management, maintenance management and world-class manufacturing (WCM).
Rambabu Kodali is a Professor in the Mechanical Engineering Group of BITS, Pilani, India. stream mapping
He is also the Group Leader of both the Mechanical Engineering Group and Engineering
Technology Group, since 1994 and 2004, respectively. Till date, he has around 25 years of
teaching/research experience and 15 years of administrative experience as a Group Leader. He has
published around 200 papers in various national and international journals and has been an
invited speaker for various national/international conferences. His research areas are: 473
manufacturing excellence/WCM, LM systems, supply chain management, computer-integrated
manufacturing systems (CIMS), flexible manufacturing systems (FMS), world-class maintenance
systems and innovative product design and development. He has completed several research
projects in CIMS, FMS and WCM. He has developed the curriculum of 16 integrated first-degree,
higher-degree, work-integrated learning and collaborative learning programmes apart from
establishing the FMS Laboratory at BITS, Pilani. Rambabu Kodali is the corresponding author
and can be contacted at: proframbabukodali@gmail.com

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