Kaizen Innovation PDF

Kaizen & Innovation in Manufacturing
DELL, Penang 27 Jun 2016
Dell Asia Pacific Sdn. Bhd.

Plot 76, Kawasan Perusahaan Bukit Tengah, 14000,
Bukit Mertajam, Pulau Pinang, Malaysia.
Tel 04-508 7119
TRAINERS PROFILE
Certified HRDF Trainer & Principal Consultant for Lean Management

and a Kaizen Specialist with 30 over years working experience.
International Educational Leadership Speaker.
Provides consultation on Lean and leads Kaizen,
TPM, Cellular system & Moonshine set up.
A multi skill Innovator with Mechanical background

that adopts Green Living and rode 18,290km thru 24
Countries over 5 months from Penang to London on
a 125 CC Kapcai.
Founder of Tims Waterfuel, an alternative HHO gas
supplement using Water that adds power, millage &
reduce Co2 emission on automobiles.
Timothy Wooi
Add: 20C, Taman Bahagia, An NGO Community worker for Prison, Drug
06000, Jitra, Kedah Rehabilitation and Crisis Relieve & Training (CREST)
timothywooi2@gmail.com Malaysia, an organization that respond to Crisis &
Flood.
Kaizen & Innovation in

Manufacturing
DESCRIPTION:
The Training is a 1 day course covering impartation
knowledge of Kaizen and its associated Tools and;
-application of Lean
concepts to lead
Kaizen Workshop/s
with Innovation
Projects for Change
in a World Class
Manufacturing
Environment.
Kai Zen (Continuous Improvement in Japanese)
-business philosophy or system based on making
positive changes to improve efficiency that focuses
on continuous improvement.
Gradual, unending
improvement, doing little
things better every day,
setting and achieving ever
higher standards
Although kaizen was first used to increase the
efficiency of manufacturing processes, it isnt limited
to that application.
COURSE OBJECTIVES
This training aims to impart a systematic review on all
the critical aspects of Lean use to;
lead Kaizen workshop

and presentation using
Standardize Kaizen form
and methodology with;
Innovation to be
competitive in the Global
Business Environment
COURSE CONTENT
Kaizen, its definition and Principles The 3 Pillars of Kaizen
Kaizen definition, Innovation Definition 1. 6S (5+1S) Housekeeping
Kaizen vs Innovation 2. Waste Elimination
Characteristics of a Lean Factory - Types of Waste CLOSEDMITT
Cellular Factory Layout - Valued-added vs Non-value
Multi-skilled Operators
6S and Visual Control added
3. Standard Operation
Kanban and Supermarkets
Rapid Changeover Three factors that accounts
Total Quality Approach the 3 Pillars Activities.
Right-sized, flexible equipment 1. Visual management,
Water Strider 2. The role of the supervisor,
Moving Production Lines 3. Importance of training and
Total Productive Maintenance
Continuous Improvement creating a learning
organization.
COURSE CONTENT (Continue noon)
Innovation & Workshop Projects
Types of Innovation in Kaizen. Why Innovation?
Degree of Innovation-the act of creating new products,
processes, ideas, etc...
Examples of Types of Innovation
Innovating Process using Typical Kaizen concepts (Lean
methods)
Phase 1: Pre-Planning for Innovation
Phase 2: Execution - Innovation Week
Role of Leader, Facilitator, Participant in Innovation
Projects
Innovation Projects Implementation using Kaizen Forms for:
Daily and Weekly Report Outs
Follow-up for further Innovation
Impact on You!!
People
First Time Quality
Skilled, multi-function
Standardized Work workers
Error Proofing Training
Employee development
Root Cause Analysis
Small Group Activity
Problem Solving Quality
Change Request Forms Safety
Productivity Just in Time
Predictable Processes
Cost Kanban production
Machine Reliability
Structured feedback
Total Productive Min / Max levels
meetings
Maintenance Empowerment Smaller Lots
Improved up-time Involvement Quick Change Over
Reduced scrap & repairs Accountability
Responsibility Less inventory
Authority Less reliance on
Safety & Ergonomics
schedules
Kaizen, its definition and Principles
Kaizen, Focused Improvement

The cumulative effect of
these many small changes
over time can be quite
significant, especially if all
of the employees within a
company and its leaders
are committed to kaizen..
Kaizen - A CONCEPT & TOOL FOR EMPLOYEES

INVOLVEMENT - a Japanese system of
incremental Innovation; -where
employees are
encouraged to
make small
changes in
their work area
on an ongoing
basis.
Typical Kaizen concepts uses (Lean methods) to
innovate processes.
The concept is equally
applicable to many types of
organizational functions,
such as accounting,
engineering and customer
service, and to improving
the efficiency of business
models and supply chains,
which extend beyond the
company.
Improvements through kaizen: a process focus.
The starting point of a process-emphasis approach is to map
the process in order to understand the flow of the product or
service.
Conventional approach Process-emphasis approach
Employees are the The process is the
problem
problem Helping to get things done
Doing my job Knowing how my job fits in
Understanding my job
the process
Measuring individuals Measuring performance
Change the person Change the process
Correct errors Reduce variation
Who made the error? What allowed the error to
occur?
Innovation
- a fundamentally different way of doing things with better,
and perhaps different outcomes. However many innovations
are merely improvements on things already exists. Its
important to create a culture of innovation within your
organization, - supporting productive failure.
-helps your organization
become
- successful in identifying new
ideas, implementing and
integrating them into
operations.
You must engrain this cycle into
the DNA of your organization.
Innovation
Innovation means first different, then better.
It is a fundamentally different way of doing
things with better, and perhaps different,
outcomes.
Both the 'different'
and the 'better'
must be
significant and
substantial.
Successful innovation is the use of new technological
knowledge, market knowledge, and business models,
that can deliver a new

product or service, or
product/service
combinations, to
customers who will
purchase at prices
that will provide
profits.
Examples of Innovation in Computers
Examples of Innovation in Computers
Kaizen vs Innovation
Kaizen is gradual & Innovation is more radical, both
are continuous Improvement.
And how it can be

applied to workshop
project settings, where
teams of people may
only be working together
for the duration of a
project.
Innovation vs Execution
Doing things radically differently rather than just doing
them well, are just triumphs of execution not Innovation
(Washor'spieceforTheHuffingtonPost, published in Oct, 2009)
Most people think innovation

is all about ideas, when in
fact it is more about delivery,
people, and process.
Innovation is execution of
ideas that produces
outcomes that are different
and better than before.
Characteristics of a World Class Manufacturers
Customer-Value Focused
Cost + Profit = Price

Quality Cost
Price Profit = Target Cost

LEAN PRODUCTION SYSTEM
Delivery Standard Takt
Mechanic Work Time
A
OK
JIT
JID
SWIP 1 piece
Material Flow
Lean Production System Kaizen Methodology Operational Pull
Machine Availability system
Level Production
People Based 5S / V i s u a l M a n a g e m e n t
System
Relentless R e m o v a l o f W a s t e
System
n
s io
Kaizen
s
gre
Equip and
P ro
Facility Kaizen
Shop Floor Kaizen

Radical Change Kaikaku
Kaizen Workshops
Daily Improvements Standard Work
Characteristics of a Lean Factory
Following are characteristics of lean manufacturing
systems:
Just-in-time (JIT) Inventory systems using Standard Work In Progress
(SWIP) and Lean Staffing with minimize Production buffers
Rapid machine setups & changeover to permit small production runs by

reducing times. Single Minute Exchange Die (SMED).
Use of team work on the production line
Extensive training to develop multi skilled workers
Job rotation to facilitate on-the-job learning of multiple tasks and skills
Off-line problem solving or quality circle groups that involve employees in

continuous improvement activities
Tools and practices commonly associated with the
Lean Production System include:
Cellular Factory Layout Right-sized, flexible Equipment
Multi-skilled Operators Total Quality Approach
6s and Visual Control Water Striders
Andon Lights Moving Production Lines
Kanban and Total Preventive Maintenance

Supermarkets
Continuous Improvement
Rapid Changeover
More
Cellular Factory Layout
Cellular Layout Concepts:

Product or Customer Focused
Womb-to-Tomb production
Co-located support staff
Standing workers
U-shaped layout
Teamwork and ownership
Multi-skilled Workers
A workforce that is cross trained to perform multiple
tasks in a lean factory.
Multi-skilled operators can be moved from position to
position to facilitate a continuous flow of products.
Multi-skilled operators have a wider
span of control and greater job
satisfaction
Operators in a Lean Factory are
provided the tools and training to
inspect their own products and are
responsible continuous
improvement.
6S 5S+Safety Program
(details on 3 Pillars of Kaizen)
ACM Kaizen Leader Certification

Course 28
Visual Controls
Visual Controls are Lean Tools, used to
communicate the status of a production
area in 5 minutes or less by simple
observation without use of computers or
speaking to anyone.
Visual controls are a component of the 5S process.

Visual controls allow us to tell at a glance how we are doing.
Using visual controls helps
Identify abnormal conditions immediately
Display standards and reliable methods
Prompt action and communication
Andon Lights
Andon Lights are a common visual control

used in a lean factory. The Andon signals a
problem or Request for help
Andons call attention to abnormalities.
Response must be immediate to be effective
Must have a clearly defined escalation of

response
The operator turns on the light.
The designated respondant turns off the light.

KANBAN simply means signal. A visual signal that
triggers Production movement of parts or material.
It is a primary tool for implementing Pull Production.
Its the pull signal from the customer
PRODUCTION KANBAN
Functions of Kanban
Part Number Description
Prevents over-production.
69B08170-69 Core Detail
Maintains inventory control.
Quantity Authorized by:
JCC
Serves as an authorization
1
Made by: Deliver to;

Core Cell Supermarket
to build.
Card 2 of 4
Supermarkets are Kanban controlled inventory
between processes.
Created between processes to
make SWIP levels visual.
(kanban zero stock)
Designed to allow for First-In-
First-Out (FIFO) method.
The customer process pulls components from the

supermarket and leaves a Kanban card authorizing
the supplier to build replacements items.
Rapid Changeover
Traditional Thinking:
Large Batch runs to maximize capacity because change-over
for a new product takes a long time and is costly.
Setup Reduction:
Quick-Release Die Exchange
Lean Thinking:
Large batch runs cause other
products to wait in queue Before
resulting in more inventory
and reduces ability to
respond to changes in
customer demand. How can
we reduce change-over time After
between products?
Rapid Changeover
Lean Factories Focus on Setup Reduction:

Quick-Release Die Exchange
Setup reduction to:
Increase available machine

capacity. Before
Reduce batch sizes to minimize

inventory and lead time.
Provide Flexibility to produce a

greater variety of products.
After
Total Quality Approach
Stop the Line Authority Jidoka - Autonomation
Poka Yoke Mistake Proofing

Quality Circles
Right Sized, Flexible Equipment
Takt time = 75 sec
$100,000
$1,500
Cycles every 1.2 seconds Cycles every 60 seconds

Water Strider
A Water Strider is a worker who collects and delivers
parts in kits or sets to multiple processes on a
just-in-time basis.
Purpose of a Water Strider:
Improve Operator
Performance by
eliminating their walking,
searching and sorting
Eliminates Operators
non-repetitive tasks so
that standard work may
be established
Moving Production Lines
Benefits of Moving Production Line
Provides a Pace-setter for takt-time production.
Is a tool to expose waste and eliminate problems.
Adds value to movement of product.
Timing Mark Baton-pass zone

Total Productive Maintenance
The Key to Lean Manufacturing is reliable, waste-
free processes and equipment.
TPM
Attack Six Quality Early

Autonomous Planned Big Losses Maintenance Equipment
Maintenance Maintenance Design and
Start up
Achieving and Management
Focus on sustaining quality
Operator assumes Moving from by maintaining
ownership for the
continuous New assets
reactive to reduction of equipment and meet
efficiency of their
asset(s)
proactive production processes production
maintenance losses needs
Training and Education

Continuous Improvement
Kaizen Methodology
Radical Change Kaikaku

Kaizen Workshops People
Based
Daily Improvements System
Standard Work
System
nio
Kaizen
ss
re
Equipment and
og
Pr
Facility Kaizen
Shop Floor Kaizen

The 3 Pillars of Kaizen
6S(5S+ Safety) (Standard Operation)
The management and employees must work together to

fulfill the requirements for each category with 3 Factors:
1. Visual management, 2. The role of the supervisor,
3. Importance of training and creating a learning organization.
1st Pillar: 6S (5S Housekeeping + Safety)
The 6S methodology is a simple and universal
approach that works in companies all over the world.
It is essentially a support to Lean

Manufacturing improvements as
just-in-time (JIT) production,
cellular manufacturing, total
quality management (TQM) or
six sigma initiatives, and also is a
great contributor to making the
workplace a safer and better
place to spend time.
1st Pillar: 6S (5S+Safety)
Many manufacturing facilities have opted to follow the
path towards a 6S workplace organizational
housekeeping with Safety as part of continuous
improvement or Lean Manufacturing processes.
5S Represents 5 Japanese
terminologies
1.Sort,
2. Set in order,
3. Shine,
4. Standardize and
5. Sustain
It is also sometimes known as the five pillars of a visual
workplace.
A process of managing the work place ,known as Gemba
(real workplace ) in Japanese, for improvement purposes
where value is added to the products or services before
passing them to next process.
1.Seiri
Sort
2.Seiton
Simplify
3.Seiso
Sweep
4.Seiketsu
Standardise
5.Shitsuke
Self discipline
6. Safety
3 rd Class Workplace
Necessary & Unnecessary items are mixed together in
the same workplace
2 nd Class Workplace
Necessary & Unnecessary items had been separated
within identified work area (including inventory)
1 st Class Workplace
Only Necessary supplies, tools and items are stored in
the Work Environment.
Why Do 5s?
5S
Safety Productivity
Practices Improvement
Trained &
Motivated Flexibility
Work Force (Short Load Time)
Multi
QCDSM One-piece flow
Processes Quick setup
handler
Quality
Assurance
Equipment
Process
REliability
Control
(TPM)
Mistake-
Proofing
5S+Safety is the basis for Continuous Productivity
& Quality Improvement being the foundation for
Lean Production System
LEAN PRODUCTION SYSTEM

Standard Takt
Mechanic Work Time
A
OK
1 piece
JIT
SWIP
JID
Material Flow
Operational Pull
Machine Availability system
Level Production
5S+Safety
Seiri (Sort)
To take out unnecessary items either sort , red tag
or even discard them if not used anymore.
Necessary: Unnecessary:
Used for daily work Unsafe
Used periodically Defective
I am the source Obsolete or outdated
Unused
Extra or duplicate
Seiton (Simplify)
To arrange necessary items in a proper order so that
they can be easily picked up for use
Consider:
Visual aids are encouraged in order to help understanding and
minimize complexity.
Labeling locations where necessary items are kept when not in
use, especially moveable items.
Labeling drawers and notebooks to identify their contents.
Label & shadow board
5s Map to decide location
"Anyone should be able to easily understand proper

arrangement and abnormalities."
Seiso (Sweep)
To clean your workplace completely so that
there is no dust anywhere
Seiketsu (Standardize)
To maintain a high
standard of
housekeeping and
workplace
organization at all
times
Visual checks to
maintain the process
Shitsuke (Self-discipline)
To train people to follow good housekeeping
discipline independently
Self Discipline to
follow 5S reduce
waste and optimize
productivity through
maintaining an orderly
workplace and using
visual cues to achieve
more consistent
operational results.
Safety, the honorary 6thS
The five in a 5S workplace organizational and
housekeeping methodology refers to five steps.
Safety should be the honorary sixth S.
An organized and safe workplace
is established towards a Hazard
free work environment with the
smallest amount of lost time due to
accidents.
Safety programs are mandatory,
implemented by teams working
together to identify and remove
potential hazards within
workplace.
Benefit of 5S with Safety
5S makes ones workplace more pleasant and safe to work
5S helps in work efficiency
5S and Safety must go hand-in-hand
5S leads to better quality products and higher productivity

Red Tag Sticker
Used to identify; Broken tooling and fixtures
Unnecessary equipment, fixtures and materials
Simple double sided

label to attach to
unnecessary items;
red so as highly
visible. Side 1;
simple identification of
item Side 2;
disposition of item
5S Red Red Tag Sample
Tag
Red Tags- used to keep the
process of change going
throughout the 5S program
while remaining organized
in the process.
Red Tags are used for
visual management of a
workspace, clearly marking
items that need to be
moved creating workplace
organization.
It identifies Broken tooling, fixtures, unnecessary

equipment and materials
Sorting
5S Level (Check this out)
Necessary and unnecessary items are mixed together in the work area
Level 1
Simplifying Tools, supplies and materials are randomly located

Sweeping factory or office equipment is in poor repair. The work area is disorganized, unsafe and inefficient
Standardizing Work area and processes are not documented and work is completed as individuals not teams
Self-Discipline minimal attention is spent on the work environment in organization, cleanliness and neatness. There is no 5S awareness
Sorting Necessary and unnecessary items have been separated within the identified work area (including excess inventory)
Level 2
Simplifying A designated location has been established and agreed to for items found necessary from sorting
Sweeping Physical and visual sweeping is being implemented to maintain and improve work area organization, cleanliness and neatness
Standardizing Sorting, simplifying, and sweeping documentation has begun and is readily available and visible to area users
Self-Discipline Area users understand the basic 5S principles and are attempting to follow and implement 5S. Teamwork has begun.
Sorting Only necessary supplies, tools and equipments are stored in the work environment
Visual controls are in place to keep the necessary organized. Work processes are being simplified for competently skilled
Simplifying employees
Work/break areas are physically and visually cleaned and inspected on a regular basis to ensure area safety, equipment
Level 3
Sweeping functionality, supplies and work place organization is in a ready to use state
The work environment is standardized to an organizational level. Sorting, simplifying and sweeping activities have been
documented and are visual and easily understood. Work processes are discussed, standard work is being implemented and
Standardizing improved upon.
All 5S agreements and practices are part of daily management. Area users clearly keep the work environment neat & organized.
Self-Discipline Teamwork is evident.
A dependable, documented method has been established to maintain the work area free of unnecessary items and stocked with
Sorting what is necessary. Shop environments have established Lean Manufacturing Technology.
Simplifying A dependable, documented method has been established to maintain a visual control of all necessary items and processes
Level 4
A dependable, documented method has been established for area users to follow, fix and review work, tools, equipment and the
Sweeping environment.
Work processes and work environments have been documented for peak efficiency. Improvements are shared with others as they
Standardizing occur.
Self-Discipline The area users understand and follow all 5S documentation. The team is striving to improve the work environment and processes.
Sorting Employees continually review the work environment to seek and improve what is necessary or unnecessary
Simplifying Employees continually review the work environment to seek and improve visual understanding and simplifying of processes
Level 5
Sweeping Employees continually review the work environment to seek and improve ways to prevent cleaning and maintenance
Standardizing Employees continually review the work environment to seek and improve workplace organization and standard work processes
All 5S practices are followed by 100% of area users. All area users understand and continually seek to update and improve upon
Self-Discipline all 5S activities. Teaming is an inherent part of the work culture.
Muda in Japanese means Waste. The resources at each
process people and machines either add value or do not
add value and therefore ,any non-value adding activity is
classified as Muda in Japan.
In Kaizen philosophy, the aim is

to eliminate the seven 7 deadly
wastes caused by Waiting,
Defect, Motion, Over processing,
Overproduction, Transportation,
and Inventory.
The 8 Waste is Unused
Creativity (Talent)
2nd Pillar: WASTE Elimination - MUDA
WASTE Elimination - MUDA
Lean Manufacturing focus on Elimination of Waste
instead of improving Value Added Activities.
Toyota Production System (TPS) differs from traditional
approaches to improve productivity through adding
resources and illustrates the impact of waste elimination
on production lead-time.
11 Types of Waste
CLOSEDMITTS
Worst type of Waste
Valued-added vs Non-
value added
11 Types of Waste- CLOSEDMITTS
Find simple solutions in place of complex ones; complex solutions tend to produce more waste and are harder
Complexity for people to manage. Eliminate needless collection of information.
Eliminate all unnecessary movement and steps by people and other un-necessary non-valued
Labor added activities.
Produce only the exact amount of goods the customer wants when the customer wants it. Eliminate
Over-production any production beyond customer demand.
Improve poor arrangement of machines, people, conveyors or workstations, and storage of excess
Space raw materials, parts, work-in-process, finished goods and inventories.
Operate equipment and use person-power only for productive purposes; avoid false scale
Energy efficiencies, excess power utilization, and unproductive operations.
Strive to achieve the goal of no rework (no mistakes, rework, or defects.)

Defects
Convert all materials into products. Avoid scrap, trim, excess or bad raw materials.
Materials
Make sure that nothing sits so there is a steady flow to the customer. Any kind of idle inventory represents
Idle Materials waste, including raw materials in any form, information, WIP inventories, and finished goods.
Eliminate delays, long set-ups, and unplanned downtime of machines, processes, or people.These often result
Time from poor specifications, missing parts or information, late deliveries, and inadequate training.
Eliminate the movement of materials or information that does not add value to the product, such as
Transportation double and triple handling of goods.
Eliminate any unsafe conditions which might cause harm to any personnel in the area or machine
Safety Hazards down-time; such downtime affects the entire production cycle.
Worst Type of Waste?
Over-Production
Inventory
Hidden Transport
problems people
Delay/long & handling
lead time
production equipment
imbalance
long setups Wasted
Space
energy
late supplier Capital
deliveries Resources
downtime Storage
tied up
Cost
defects
Deterioration or
damage in storage
and handling
Results in greater cost and delays that reduce profitability

Valued-added vs Non-value added
CLOSEDMITTS Exercise
Area: Date:
Location: Conducted by:
Types of Waste Examples Location

Complexity
Labor
Over-production
Space
Energy
Defects
Materials
Idle Materials
Time
Transportation
Safety Hazards
3rd Pillar: Standard Operation
Standard Operation
-is the process of implementing and developing technical
standards for a Consistent work sequence. Standard
Operation maximize compatibility, interoperability, safety,
repeatability, and quality.
Standard Operation is one of the
most powerful but least used lean
tools. By documenting the current
best practice, standardized work
forms the baseline for kaizen or
continuous improvement.
As the standard is improved, it becomes the baseline for

further improvements. Improving standardized work is a
never-ending process.
3rd Pillar: Standard Operation
Basically, Standard Operation consists of three
elements:
1.Takt time, which is the rate at which products must be
made in a process to meet customer demand.
Takt-Time 2.The Standard Work

Sequence in which an
operator performs tasks
1
2
3 Standard Work within takt time.
4
5
6
Sequence 3.The Standard WIP
(SWIP), including units in
machines, required to keep
SWIP Standard
Work In-Process the process operating
smoothly.
1. TAKT TIME
The first element in developing Standard Operation is
calculating Takt Time.
Takt time is the pace at which a product is completed
in a continuous flow production, timed to Customer
Demand. Takt-time is calculated by:
Takt Time = Net Operating Time
Customer Requirements
*Time periods must be consistent (shift, day, week . . . )

1. TAKT TIME
Takt-time Calculation Example
Net Operating Shift: 9.5 Hours @ 60 Min/Hour = 570
Time Per Shift: Breaks: 2 @ 30 minutes - 60
Meeting &5S : 30 minutes - 30
Net operating time per shift 480
Monthly requirements (19,200) 19,200

# Working days/month (20) 20
Customer Requirements /shift 960
Takt Time =
Net Operating Time / Shift 480 Min/shift
= 0.5 min/Unit
Customer Requirements / Shift 960 Units/day 30 secs/Unit
1. TAKT TIME
Enablers for Takt-time Production
Multi-skilled Operators
Water Strider
Cellular Factory Layout

2: Standard Work Sequence
Standard work sequence is the order of actions
must be performed within a given takt-time.
The Objective of Standard Work
Sequence:
Explicitly defines the workers
responsibilities by establishing a routine
series of steps to be repeated for each
piece.
Determines the amount of time allowed to
complete the sequence of steps.
The sequence may include valued added processes and non-

valued activities, but represents the current best method for
advancing a piece through the Manufacturing process.
Once a standard work sequence is established,
operators need to understand and follow the
routine work sequence.
There three basic methods for motivating
someone to follow any set of rules..
1. Fear of penalty or punishment
2. Demonstrated Best Performance

3. Make it obvious and simple
Observe the As-Is Process
To establish a workers standard work sequence you
must first understand the Status-Quo:
Takt time
Existing layout and
material flow
Existing work sequence
Quality, safety, waste,
ergonomics
Existing Layout and Material Flow
The first step to observing the as-is process requires mapping the
existing area layout to identify all work locations for the process.
FG
Trace the flow of materials

through the process,
RM indicating the amount and
location of idle inventory.
Existing Work Sequence
Document the
existing work
sequence for each FG
operator:
C E
D
A B
RM
3. Standard Work In Process (SWIP)
Standard Work-in Process (SWIP)
-the minimum number of pieces of in-process
inventory required to produce to takt-time
Rules for SWIP
One piece at the boundaries between two operators.
One piece at any machine which operates automatically, un-

attended by the operator.
When required for special processes like curing or cooling.
Special Process SWIP = Process Time

Takt Time
3.Standard Work In Process (SWIP)
Example
= WIP
Takt time = 57 sec
A = Auto
M = Manual
Cure Time = 280 Sec A
M M
5
RM
WIP =
Special B A
Process
Turntable
FG
M M
A
Standard WIP = 9 units

3.Standard Work In Process (SWIP)
SWIP Out-of Cell Special Process Example. A = Auto
M = Manual
RM FG
Given:
M M
One shift operation
480 minutes / shift
Takt time = 360 sec M M Special process WIP
= 480 x 60 360 = 80
A A Special
proces
s
A
A
Standard WIP = 86 units

Three factors that accounts the 3 Pillars Activities
Three factors that accounts the 3 Pillars Activities of
KAIZEN are;
1. Visual management 2. The role of the Supervisor
3. Importance of
training and creating
a learning organization.
1.Visual management (Visual Control)
Visual controls are for the people who work in the cell and
those who support the cell. Two purposes of Visual control;
1.To prompt action (or control actions) and
2.To identify abnormalities.
Visual Controls will:
Show how to do the job (standard
operations).
Show how things are used and where
things are stored.
Control inventory storage levels.
Show production status.
Indicate when people need help.
Identify hazardous areas.
Purpose:
Visual Controls tell at a glance what and how we
are doing. When someone walks into the work
place they should be able to determine:
What the process is
Who the customers and suppliers
are
What the deliverables are
Where and what resources are
being used in the process
There is an effective
measurement system in place
Examples of Visual Controls
Identity Markers Signboards, name labels, photos, or shapes of items.
Shadow Boards Identify tool storage locations
Location Markers Tape strips, color coding, numbering.
Quantity Markers Signs indicating number (min/max), standard containers, number of spaces for items.
Standard Methods Charts of standard cycle time and work sequence, standard procedures and flow charts
Andon Visual (lights, flags) and audible signals to draw immediate attention or help.
Kanban Card, empty container, or space signaling that production or movement is authorized.
Performance Display Production schedule, quality, cost, safety, or improvement activities.
Defect Display Boards showing defective product (quality maps), Pareto charge, fish-bone diagrams
Personnel Board Availability (in/out), assignment and location, cross-training status to plan.
Andon lights are used to call attention to abnormalities
that must be addressed in order to maintain a continuous
flow.
Prompt attention required by fellow
employees, supervisors, maintenance,
engineers, water striders, and
management who must respond
immediately to Andon signals.
Any andon signal must have a clearly defined
escalating response process that identifies
when is to respond to different conditions. If a
problem cannot be resolved by the first
responder the problem is escalated until it can
be resolved.
If an Andon signal is ignored by the designated responder,
soon the operator will simply stop using it. The Andon
signals an abnormality, an opportunity to identify and
eliminate a problem.
The number of times an andon
comes on is not important, but
how quickly it goes off is!
The mechanic who is having a problem must

turn on the andon light. The person
responsible for answering the andon signal is
responsible for turning of the light. It is poor
discipline for a mechanic to turn on and off
their own andon light. This behavior
represents a lack of commitment to lean
practices.
Material Resupply Andon

Machine Abnormality Andon
Operator Status Andon

Line Status Andon
2. The role of the Supervisor in KAIZEN
2. The role of the Supervisor in KAIZEN
Role of a Good Kaizen Supervisor (Team Leader)
(extract from Kaizen for the shop floor)
A good Supervisor should have previous leadership
experience, not necessarily only management. It can be
experience as a scout leader, club presidents etc.
Ideally have been a leader or co-leader in other
Kaizen events. Must at least participated in one
previous event.
Have an awareness of lean production
methods.
Not dictatorial in his or her leadership style
Understand participative management.
Be able to be fair but firm, aggressive but
friendly
Be able to take control when necessary
Be willing to be on the shop floor and not out
of reach or in the office Table.
Role of: Leader, Facilitator, Participant in
Innovation Projects
Ten Kaizen Events Rules
(extract from Kaizen Shop Floor Series)
1)There is no rank among team members one person,
one vote
2)Keep an open mind to change
3)Change is good, more change is better
4)Maintain a positive attitude
5)Dont blame anyone for anything
6)Respect one another
7)There is no such thing as a dumb question
8)Plans are only good if they can be implemented.
Plans succeed only if the gains are sustained
9)There is no substitute for hard work
10)Just do it!
3. Importance of training and creating a
learning organization.
Training is learning that is provided in order to
improve performance on the present job.
- Dr. Leonard Nadler
It is an activity that increases
the capacity and willingness of
individuals, groups, and
organizations to acquire and
productively apply new
knowledge and skills. It
empowers individuals, apply
their knowledge to make
changes for better.
Training helps new recruits to perform assigned tasks
effectively and helps existing employees to prepare
for higher level jobs.
It enables employees to keep
in touch with latest
developments to cope with
changes in Continuous
Improvements.
It makes employees more versatile, mobile and

flexible to the job demands to allow an employee
gain acceptance and job satisfaction.
Types of Innovation in Kaizen. Why Innovation?
Degree of Innovation-the act of creating new products,
processes, ideas, etc...
Examples of Types of Innovation.
Innovating Process using Typical Kaizen concepts (Lean
methods)
Role of Leader, Facilitator, Participant in Innovation
Projects
Innovation Projects Implementation using Kaizen Forms
for:
Types of Innovation in KAIZEN

Here is one way of looking at the different types of innovation.
One type isn't necessarily better than another for a given
occasion - just different.
Types of Innovation
Why Innovation
Research shows that innovation is correlated with
competitive positioning and financial performance to
provide sustainable strategic value to:
Increase revenues
Decrease costs through increased efficiencies
Reduce competitive and financial risk
Create better positioning and performance outcomes
Lead to higher levels of customer satisfaction
Elevate employee behaviors and actions beyond that
of competitors, which are not capable of being imitated
by competitors
Degree of Innovation in Manufacturing
Degree of Innovation in Manufacturing
Examples of Incremental Innovations
INCREMENTAL INNOVATION
Component: Making an improvement on an
existing product or service.
example:
Adding a camera feature to
a cell phone;
Increasing the
displacement of an engine
to increase horsepower
and/or torque;
Adding a new ingredient to
a plastic formulation to
increase its strength.
Examples of Incremental Innovations
INCREMENTAL INNOVATION
System: Improving service or the process that
makes the product.
example: Reducing the number of steps
necessary to manufacture the cell
phone;
Increasing the speed of machining

the engine block;
Implementing a lower-cost process

to manufacture and deliver less-
than-bulk quantities of plastic
compounds
Examples of Radical/Non Linear Innovations
RADICAL / NONLINEAR INNOVATION
Component: Developing a new product based on an
entirely new concept that didn't exist before;
example:
The iPod (a case of "Invention is the mother
of necessity", and a "gotta have it" product);
Gasoline-electric hybrid and fuel cell-based

automotive power trains;
An entirely new polymer that does

something existing ones couldn't, e.g.,
polycarbonate in the '60's: a virtually
unbreakable, transparent, high heat
material that enabled new applications for
plastics.
Examples of Radical/Non Linear Innovations
RADICAL / NONLINEAR INNOVATION
System/Business Concept: Introducing a new way of doing
things. Wireless phone providers selling airtime, and
example: providing cell phones at low prices for you to
use their services on an ongoing basis.
The establishment & growth of car-sharing

services in cities or at colleges - for those who
need one on a regular or occasional basis (an
alternative to owning a car).
Stereo lithography - a process for quickly

creating a first product prototype by using 3D
CAD data and liquid polymers to generate a
part in minutes, vs. days or weeks.
Innovating Process using Typical Kaizen concepts
(Lean methods)
Role of: Leader, Facilitator, Participant in
Innovation Projects
Innovation Projects Implementation using Kaizen
Forms for:
(Lean methods)
(Lean methods)
Before the KAIZEN event
Select the team members obtain superior approval prior to
selection
Gather information necessary for the event
1.Event target, scope and procedures
2.Layouts, flow charts, process sheets
3.Cycle times versus takt time charts
4.Staffing goals
Prepare the area for the event
1.Mark the boundaries of the area visibly
2.Use the materials and equipment checklist provided. Add
anything you will need that is not included and gather the
materials and equipment needed for the event.
3.Prepare the team kits
4.Follow the Kaizen Event Preparation Checklist, making
assignments and insuring that everything is ready for the
event in time
Kaizen Event Preparation Checklist By Time Frame
Time Frame Description Who Status Date
Select area for improvement and choose the Kaizen Leader. Process Owner
Prepare Target and Scope Form that identifies Kaizen objectives. Kaizen Leader
Identify Key Metrics to measure improvements on Kaizen Leader

Progress/Results Form.
Select team members and obtain approval for their participation. Kaizen Leader
4 Weeks Meeting to review Target and Scope, and Progress/Results Sheet Kaizen Leader
with Process Owner and Kaizen Promotion Office. Process Owner
KPO Specialist
Before Develop build-ahead plan if production will be affected during
Kaizen week.
KAIZEN Reserve a room or prepare an area for daily meetings and to Kaizen Leader
display collected data.
Select data collection team members and obtain approval for Kaizen Leader
their participation for the weeks before the Kaizen Event.
Walk through the area to familiarize data collection team with Kaizen Leader
area and Kaizen objectives. Data Collection
Team
Identify and assign Before Kaizen data collection activities. Kaizen Leader
Data Collection
Team
During the event
1.1 Keep up to date on what everyone is doing
2.Chart takt time and cycle times during time studies
3.Coordinate preparation of final presentation
After the event

1.Compile hard copy of the presentation and circulate it
to management and anyone else who should have it
2.Complete a follow-p list, making assignments for
completion of any outstanding steps.
3.Communicate with the next team leader about the
experiences of this event
Time Frame Description Who Status Date
Daily Morning Review with Team Members to: Kaizen Leader
Identify tasks to accomplish during day. and Team
Update and review Kaizen Newspaper. Members
JUST DO IT! Team Members
Get to the Gemba and start making improvements.
Prepare Cartoons to document improvement ideas.
Update Progress Results Sheet. Kaizen Leader,
Assign tasks and direct sub-team activities KPO
Teach, coach and encourage team members. Specialist.
Review and update Kaizen Newspaper.
Daily review meeting with Management staff to review Kaizen Leader,

progress of improvements. KPO
Present updated Progress/Results sheet and Kaizen Specialist,
Kaizen Newspaper.
Present improvement cartoons, bar charts or other
Management
staff and
Week supporting data. visiting
dignitaries
Prepare for Final Report Out Kaizen Leader

Revise and update Progress/Results sheet and Kaizen and KPO
newspaper. Specialist
Plan final report-out contents, materials for presentation,
order and length of presentation.
Prepare Final Report-out materials and practice Kaizen Leader
presentation. and Team
Members.
Presentation of Final Report Out Kaizen
Leaders and
Team
Members.
Innovation Projects Implementation using
Kaizen Forms Daily and Weekly Report Outs
MORNING KICKOFF MEETING
1.Target & Scope 2. Progress Result Report 3. Standard Work Comb.Sheet

List all current status data and the At least one for major process
target for the week
Date:
Venue:
Target:
Problem statement:
Kaizen target:
Scope:
List of members:
4. Percent Loading Chart 5. Std. Work Sheet People flow 6. Std.Work Sheet Product flow
Takt time vs Cycle time. Each bar Show people travel i.e spaghetti Show process flow, product travel
represent one operator/ process chart and equipment utilization
Percent Loading Chart (Bar Chart)
Process Name: Find Core Remnant Scope Of Operation Date: 31/3/03 - 4/4/03
Model Number: 777 Cutting Core From: Core Store Area: Core Area
Model Name: 777 To: Core Area Team Leader: Mohd Noor
CYCLE TIME TO FIND CORE REMNANT
160
140
120
Target 100 sec
TIME (Sec)
100
80
60
40
20
0
BEFORE DAY 1 DAY 2 DAY 3 DAY 4 DAY 5
KAIZEN
DAY
Kaizen Forms Daily Report Outs
1. Progress Result Report

Day to day progress
Process:
Progress / Results Report
Takt Time:
Use any combination of chart to show what
has been accomplished during the day
Date: Team Leader:
Kaizen Progress Cycles
Metric Cost Before Target 1s t 2nd 3rd 4th
1 Inventory -
Cycle Time (10 cent per sec) 0.1
Standard work Sheet

2
Crew Size (Productivity Gain)
3 (RM 1,000.00 per crew) 1000
4 Space (RM300.00 per sq Ft) 300
5 Quality (D efects) -
Percent Loading
6 5 S's Level of Excellence -
7 Visual Controls -
8 Set-up Time (10 cent per sec) 0.1
9 Lead Time (10 cent per sec) 0.1
Standard Combination Sheet

10 NVA Tasks -
11 VA Tasks -
12 People Travel (10 cent per feet) 0.1
Kaizen Improvement Cartoon

13 Product Travel (10 cent per feet) 0.1
14 Queues -
15 Safety -
16 Cost -
2. Kaizen Newspaper Key points during daily report out

17 Volume (units/week) -
Action items identified & What effect Kaizen is having on goals

Daily closure What was accomplished today
What is your plan for tomorrow
Process:
KAIZEN NEWSPAPER
Any help needed
Team Leader: Date:
PERSON
ITEM # PROBLEM CORRECTIVE ACTION STATUS DUE DATE
RESPONSIBLE
6
Kaizen Forms Weekly Report Outs
1. Target & Scope 5. Standard Combination Sheet (After Kaizen)
Standard Work Combination Sheet
Manual
Date: 8 - 12 JUL 2002
Date:
Automatic
Walking
Wait
Product: CORE BLOCK SAW Requirements: 1 Takt Time: 1200 SEC Area: CORE AREA
Venue: Process:
St ep Time 1 2 3 Ope. Time
Team Leader: MOHD HAZLI
6 7 8 9 10
Target: #
1 Target and scope
Hazli
Operation/Process M anual
2
M ach Walk
Problem statement:
2 Progress report out 2
Sommat
3 Kanban system 4
Hazli
Kaizen target:
4 Work instruction for block saw machine 2
Bashri
5 5S practice 2
Osnizal
Scope: 6 Process improvement cartoon

Fauzi
7 Kaizen Newspaper
Hazli
3
List of members: 8
10
2. Progress Result Report (Daily progress 6. Kaizen Improvement Cartoon

throughout the week) Process:
Process Improvement
Area:
Date: Team Leader:
Item # Problem Measures / Action Needed Results
Progress / Results Report
P rocess: Takt Time:
D ate: Team Leader:
Kaizen P rogress Cycles
Metric Cost Before Target 1st 2nd 3 rd 4th
1 Inventory -
2 C ycle Time (10 cent per sec) 0.1

Before Kaizen After Kaizen
C rew Siz e (Productivity Gain)
3 (RM 1,000.00 per crew) 1000
4 S pace (RM300.00 per sq Ft) 300
5 Quality (Defects) -
6 5 S's Level of E xcellence -
7 V isual C ontrols -
8 S et-up Time (10 cent per sec) 0.1
9 Lead Time (10 cent per sec) 0.1
10 N VA Tasks -
11 V A Tasks -
12 P eople Travel (10 cent per feet) 0.1
13 P roduct Travel (10 cent per feet) 0.1
14 Queues -
15 S afety -
16 C ost -
17 V olume (units/week) -
3. Standard Work Sheet (1.Process flow before & 7. Kaizen Newspaper (Items that still needs follow up)
after Kaizen 2.People flow after Kaizen) KAIZEN NEWSPAPER
Standard Work Sheet
Process:
Process Name: Mohd Noor S cope of Operations Date: 31/3/2003 - 4/4/2003
Model Number: 737/747/767/777 From: Core Store Team Leader: Date:
Model Name: Boei ng To: Core A rea Manager: Ku Mohd S offi PERSON
Before kaizen ITEM # PROBLEM CORRECTIVE ACTION STATUS
LAYUP ROOM
RESPONSIBLE
pot ting area
1
CTT RACK REMNANT RACK DOWNDRAFT
B TABLE CHAMFER S AW
2
REMNANT RACK CTT RACK
A
CUTTING
REMNANT RAC K
D OWNDRAFT REMNANT R ACK
3
QA TA BLE
TA BLE
B
3
REMNANT RACK
CUTTING REMNAN T RA CK
SANDING CUTTING QA TABLE
TABLE
REMNANT RAC K
2 4
CHA MFE R SAW C C
163 ft PEOPLE TR AVEL

CUTTING CUTTING
51 ft PRODUCT TRA VEL
CTT R ACK 5
A)REMNANT BEHIND TORRIT BOOTH CHAMFER SA W
B)REMNANT AT C ORE AREA CHAMFER S AW
C)REMNANT UNDE R TABLE
Quality Safety Standard Work # of pieces of Std. Takt Operat or

Check Precaution in Process Work-in-Process Time Number
6
19
4. Percent Loading Chart (Before & After Kaizen) 8. Lesson learned ( Issues or suggestions for future event
Process Name: Find Co re Remnant
Model Number: 77 7 Cutting Core
Percent Loading Chart (Bar Chart)
Scope Of Operation
From: Co re Sto re
Date: 31 /3/03 - 4/4/03
Area: Core Area
to be more successful)
Model Name: 777 To: Core Area Team L eader: Mohd Noor
CYCLE TIME TO FIND CORE REMNANT
160
140
120
TIME (Sec)
Target 100 sec

100
80
60
40
20
0
BEFORE DAY 1 DAY 2 DAY 3 D AY 4 DAY 5
KAIZEN
DAY
After the event

1.Compile hard copy of the presentation and
circulate it to management and anyone else who
should have it
2.Complete a follow-p list, making assignments for

completion of any outstanding steps.
3.Communicate with the next team leader about

the experiences of this event
A major innovation is a
breakthrough that
changes the rules of
the game and the terms
of competition.
& The Trainer
This training course is developed and conducted by IVERSON &
its Trainer who is a certified Kaizen Leader driving Lean & Kaizen
Improvement Projects and also a Consultant for LEAN with 30 over
years of Hand-On Manufacturing exposure .
We provide Technical Consulting services on TPM, Kaizen, Quick
Changeover, Cellular system set up, Production Line Balancing,
Factory Layout Planning and Small Group Activities.
We also conduct Team Building & Lean Production Training
Course Series.
For further enquiries, please contact us:
Iverson Associates Sdn Bhd
No.52-1, First floor, Bayan Bay, Persiaran Bayan Indah, 11900
Bayan Lepas Penang.
T: 04 641 2760, 638 3179 | F: 04 641 2761
E: sales-pg@iverson.com.my | W: www.iverson.com.my

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Kaizen & Innovation in Manufacturing

DELL, Penang 27 Jun 2016

Dell Asia Pacific Sdn. Bhd.

Certified HRDF Trainer & Principal Consultant for Lean Management

A multi skill Innovator with Mechanical background

Kaizen & Innovation in

lead Kaizen workshop

Kaizen, Focused Improvement

Kaizen - A CONCEPT & TOOL FOR EMPLOYEES

that can deliver a new

And how it can be

Most people think innovation

Cost + Profit = Price

Price Profit = Target Cost

Shop Floor Kaizen

Rapid machine setups & changeover to permit small production runs by

Use of team work on the production line

Extensive training to develop multi skilled workers

Job rotation to facilitate on-the-job learning of multiple tasks and skills

Off-line problem solving or quality circle groups that involve employees in

Cellular Factory Layout Right-sized, flexible Equipment

Multi-skilled Operators Total Quality Approach

6s and Visual Control Water Striders

Andon Lights Moving Production Lines

Kanban and Total Preventive Maintenance

Cellular Layout Concepts:

ACM Kaizen Leader Certification

Visual controls are a component of the 5S process.

Andon Lights are a common visual control

Andons call attention to abnormalities.

Response must be immediate to be effective

Must have a clearly defined escalation of

The operator turns on the light.

The designated respondant turns off the light.

Made by: Deliver to;

The customer process pulls components from the

Lean Factories Focus on Setup Reduction:

Increase available machine

Reduce batch sizes to minimize

Provide Flexibility to produce a

Poka Yoke Mistake Proofing

Cycles every 1.2 seconds Cycles every 60 seconds

Timing Mark Baton-pass zone

Attack Six Quality Early

Training and Education

Radical Change Kaikaku

Shop Floor Kaizen

6S(5S+ Safety) (Standard Operation)

The management and employees must work together to

It is essentially a support to Lean

LEAN PRODUCTION SYSTEM

5s Map to decide location

"Anyone should be able to easily understand proper

5S helps in work efficiency

5S and Safety must go hand-in-hand

5S leads to better quality products and higher productivity

Simple double sided

It identifies Broken tooling, fixtures, unnecessary

Simplifying Tools, supplies and materials are randomly located

In Kaizen philosophy, the aim is

Strive to achieve the goal of no rework (no mistakes, rework, or defects.)

Results in greater cost and delays that reduce profitability

Types of Waste Examples Location