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877.534.5157 | DuraLabel.com | GraphicProducts.com A Graphic Products Library Resource Kaizen A Lean Manufacturing Tool
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Bpg kaizen

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  • Kaizen A Lean Manufacturing Tool A Graphic Products Library Resource 877.534.5157 | DuraLabel.com | GraphicProducts.com
  • Informazioni: [email protected] Web: www.rebosystems.it
  • KAIZEN Contents of the Kaizen resource guide by Graphic Products, Inc. ORIGIN.............................................................................. pg 1 Origin of Kaizen WESTERN PHILOSOPHIES............................................. pg 2 . Traditional Western Business Practices -- Common Western Philosophies KAIZEN PHILOSPHIES.................................................... pg 4 Kaizen is Different -- Basic Kaizen Philosophies pg 1 BENEFITS......................................................................... pg 5 Benefits & Application of Kaizen -- Success Stories -- Application Elements -- Ranking -- Establishing Procedures -- Incentives & Rewards -- Customer Focus Origin of Kaizen SUSTAINING.................................................................. pg 11 Standardizing & Sustaining Kaizen -- Integration -- Issue Resolution -- Kaizen Leaders pg 11 Issue Resolution TORO Kaizen Kit available from DuraLabel See page 3 The information presented in this guide was obtained from sources whom we deem reliable; Graphic Products, Inc. has made every effort to ensure this information is correct. However, we do not guarantee accuracy or completeness. Graphic Products, Inc. makes no representations or warranties of any kind, express or implied. Information in this guide is subject to change without notice. Except as expressly provided for in writing, the liability of Graphic Products, Inc. arising from the use of this guide is specifically excluded and Graphic Products, Inc. disclaims all warranties and any liability for damages of any kind and any liability, whether in contract, tort under statute or otherwise, for any injury, damage or loss whatsoever. No reliance should be placed on information contained in, implied by or inferred from this guide. Users of this guide should verify all information with ANSI and OSHA sources directly.
  • 4 Informazioni: [email protected] Web: www.rebosystems.it 877.534.5157 DuraLabel.com
  • Origin ORIGIN OF KAIZEN Since the start of the industrial revolution, managers of facilities have spent a great deal of time looking for new ways to improve production and decrease costs. For more than 30 years, Kaizen has been a popular and successful management philosophy used to help facilities attain efficiency and production goals. Kaizen was first developed in Japan just after WWII. The literal translation is good (zen) and change (kai). The philosophic translation is to motivate people so they continuously improve their surroundings. As an industrial term Kaizen means the continuous search for imperfections and the willingness to continuously make small changes to correct these imperfections. The roots of Kaizen extend back to the late 1940s when Japans economy was still reeling from WWII. As we now know, Japan rapidly developed into an industrial power and is viewed today as one of the worlds most prosperous countries. By the late 1970s Japan was outproducing most other countries with better overall quality and pricing. Today, Japanese facilities are renowned for producing the highest-quality products and providing the world some of the most advanced innovations. In the years following the war, the U.S. provided aid to support Japans reconstruction. A number of prominent American industrial consultants were asked to participate in the effort. These consultants introduced many new efficiency methods to struggling facility managers. The managers embraced these methods and improved upon them by integrating many of their own cultural and business philosophies. This gave these methods broader application in their own facilities. Just like many other popular lean manufacturing methods and systems, Kaizen grew from this same seed. Since its early beginnings, the Kaizen philosophy has helped many Japanese facilities attain the highest levels of success. Today, Kaizen is helping increase profits and efficiencies at facilities around the globe. Success, however, takes time. Managers and workers must be open to accepting change and supporting the philosophy in all DuraLabel.com Kaizen is being successfully applied in a wide range of industries around the globe. With a willingness to change, most industrial facilities can successfully apply this philosophy. their work. Many roles and responsibilities will change with implementation. Management will turn to workers for ideas and workers will have greater responsibilities helping their facility succeed. Where Kaizen is successfully applied, managers support workers by helping them find and implement new methods of efficiency. Even top executives are expected to actively participate in Kaizen. This ensures all employees are unified in their effort to constantly improve their facility. Compared with many traditional Western management methods, Kaizen is often well accepted by workers from the very start. Their proactive participation and involvement in a facilitys success naturally promotes its continued application. 877.534.5157 5
  • Western Philosophies TRADITIONAL WESTERN BUSINESS PRACTICES Traditional Western philosophies and methods have been used for centuries and were most successful during the Industrial Revolution. However, newer management philosophies and methods have proven these are less effective. At the core of traditional Western business philosophies is division, which is a segregation by work type. Western businesses generally segregate management, labor, and specializations into separate divisions. Most managers in Western businesses are seen as the leaders. They develop the ideas, propose them, and implement them. Their role is to be in charge. Managers in these businesses generally spend much of their time working in an office and are usually not expected to make regular visits to work areas. In some facilities, this may serve as a buffer so managers have space to work. This can, however, actually reduce communication and, in turn, reduce their effectiveness to manage. Common Western Philosophies Innovation: Developed by those designated to do so Reliability: Good machinery means reliable production Performance: Managers only visit work areas to make improvements Specialization: Learning other jobs may result in a lay-off due to redundancy Bottom Line: Changes are implemented only when money can be saved Repetition: The more you do the same job, the better you get at it Tradition: If it aint broke, dont fix it Direction: Wait for management to tell you what to do or produce Profit Sharing: Rewards go to employees producing measurable profits (e.g. Sales) Inventory: Inventories are well stocked to avoid running out Quality: Good designers produce quality products 6 Not My Job: Venturing outside of your job description may result in an additional expected duty Loyalty: Always take care of Number One 877.534.5157 DuraLabel.com
  • Kaizen Philosophies BENEFITS KAIZEN IS DIFFERENT In recent history, Kaizen-influenced business philosophies have helped to shape new roles for much of the worlds management and labor. As a result, many facilities are experiencing greater efficiencies and organization than ever before. More and more facilities are finding that Kaizen increases efficiency and lowers costs. These vary from traditional Western business methods and help to create an environment in which all employees participate in finding efficiency improvements. Workers are never afraid to contribute to their facilitys success under Kaizen. Kaizen takes worker empowerment seriously. In facilities where Kaizen is applied, workers arent just encouraged to contribute ideas for facility improvementsits expected. The philosophy is shared by all and creates an atmosphere where teamwork and achievement are promoted. The benefits of switching to Kaizen include increased production, morale, and communication. In Kaizen, all suggested ideas are reviewed by management and given serious consideration without preferential treatment. Ideas found to have merit are quickly implemented. Rapidly turning good ideas into action motivates workers to constantly strive for improvement and work to keep their facility competitive. Kaizen encourages regular communication between workers and management. Management supports this by remaining open to new ideas from all employees. Basic Kaizen Philosophies Innovation: Comes from anyone and ideas with merit are supported by all Reliability: Machine operators maintain and improve their own machines for greater reliability Performance: Managers spend time in work areas so performance improvements are well-communicated Specialization: Learn your job first and then learn everything related to your job Bottom Line: Cost reductions involve many small steps by both management and labor Repetition: The more one improves, the more a facility saves, the more employees are compensated Tradition: A company should only have a tradition for change Direction: Rely on visual communication to tell you what to do next Profit Sharing: All employees are rewarded for finding efficiency improvements that increase profits Not My Job: Find ways to make your job easier and more interesting Inventory: Lower inventories reduce waste and help uncover flaws in the system Goals: Managements goal is the same as yours Quality: Quality comes from constant attention to all levels of product design, development, and production DuraLabel.com Loyalty: Lookout for your company 877.534.5157 7
  • Benefits BENEFITS BENEFITS & APPLICATION OF KAIZEN Where Kaizen is properly applied, facilities will experience many benefits. Managers often become more effective leaders, workers are motivated and employees begin to operate as a cohesive unit. The end-result is an environment fostering teamwork and employees working together to achieve common goals. Not only does Kaizen help all employees improve the workplace, facilities experience many economic benefits. Often, these include increased profits and lower costs. Kaizen provides managers with access to a constant flow of facility improving ideas and stand to benefit the most from its implementation. Many ideas will be ones management would never hear without Kaizen in place. Once implemented, the impact of these ideas can ripple throughout a facility and positively influence many unforeseen elements. Hidden issues that may have gone unnoticed are often revealed. Of course, these are benefits only realized by disciplined managers. To attain facility goals managers must work to support Kaizen at every given opportunity and continually seek new ideas from workers. Over time, workers place greater value on managements roleincreasing respect and making them more effective leaders. This management style not only helps managers, it empowers workers. They are more likely to implement a change when its their own idea. Supporting this empowerment brings focus to achieving the same efficiency-improving and profit-increasing goals as management. The application strategies provided in this guide are designed to help a Kaizen Leadership Team adapt Kaizen to their own facility. Since no two facilities are the same, the suggested strategies provided should be modified to best suit your facilitys individual needs. Success Stories One of the largest auto manufacturers in the world is a well-known pioneer in Kaizen. The company is credited with being the first to formalize the philosophy and bring 8 Kaizen was implemented by one of the worlds largest auto manufacturers to great success it global acceptance. Officially applied during the 1960s, the company credits the philosophy for fostering many successes. Over a one-year-period the company recorded over 75,000 suggestions from 7,000 employees. The company reported a 99 percent implementation rate for the ideas submitted. These are unusual results, but clearly achievable with proper application of Kaizen. One can only imagine how much money the company saved with this many improvements. In Kaizen, facility employees must view each idea as only one small improvement in their continual search for ideas. Improvements add up over time and are known to provide substantial benefits throughout a facility. Quality, customer service, and even sales can be positively influenced. Safety issues and sick leave are known to decrease as well. In addition, employees working in a Kaizen facility generally find work to be easier and more enjoyable. This results in higher employee morale, job satisfaction, and lower turn over. 877.534.5157 DuraLabel.com
  • BENEFITS With every employee looking for ways to make improvements, facilities may see several fundamental benefits: Improved productivity Improved quality Reductions in safety issues Quicker deliveries Lower costs Increased customer satisfaction Kaizen is known to be beneficial to facilities facing economic challenges. In Japan, facilities applying Kaizen overcame many great challenges. Post-WWII Japan would be considered far from an ideal environment for unbridled economic growth. Yet, it occurredthanks, in part, to Kaizen. Like the implementation of any new method or process, applying Kaizen requires a period of adjustment. At first, employees and managers may be reluctant to make changes. Their roles, after all, will be significantly different. Holding meetings to discuss Kaizen with management and workers will go a long way to helping a facility overcome resistance and open the door to greater acceptance. Ensure every employee understands the benefits of applying Kaizen. In general, facilities are going to benefit from Kaizen differentlyas will many employees. However, there will be facility-wide benefits all employees will enjoy equally. Early on, these benefits should be documented and shared with employees. Use banners, newsletters, and announcements at regular meetings to foster Kaizens continued acceptance and use. DuraLabel.com Worker ideas can be as simple as adding visual communication at strategic locations to help workers find inventory easier. Application Elements The following elements describe several key concepts used to successfully apply Kaizen: Make continuous small improvements based on employee suggestions Hold facility-wide meetings where employee suggestions are always the central theme Treasure all employee suggestions as a positive contribution to improve operations Move the flow of ideas up and down the chain of command Foster the open sharing of ideas Create a simple suggestion form Assign categories for suggestions Develop a process to manage suggestions Ensure suggestions are taken seriously 877.534.5157 9
  • Informazioni: [email protected] Web: www.rebosystems.it
  • BENEFITS Ranking As shown in the sample forms below (Fig 1 & 2), each facility needs to develop a system of ranking suggestions. Ranking helps managers sort ideas worth implementing from those without merit. Depending on the facility, medium-quality suggestions with less complexity could be categorized for implementation by work area personnel (WAP). Suggestions with higher levels of complexity can be categorized for management implementation or involvement (MNG). In either case, all suggestions should be easily and simply ranked. This way, managers can give serious consideration to suggestions with the greatest merit. Ensure all suggestions are reviewed without bias and seriously considered. Failing to properly review suggestions would be counterproductive. To help rank suggestions by merit, establish a point system. Criteria used to rank suggestions can then be categorized. The members of the Kaizen leadership team should develop a point system tailored to fit their facility. Ranking examples include: Quality, Complexity, and Supervisory Attention. Always work to encourage suggestions. This is accomplished by ensuring contributors know their ideas will be reviewed and seriously considered. Implementing most reasonable ideas encourages future contributions and allows for testing before elimination. If an idea works, standardize it. If not, provide a reason to the employee who made the suggestion. By creating this avenue for contributions, the overall quality and quantity of ideas should improve and help put Kaizen suggestions into action. SUGGESTION FORM NAME: Kim Richards WORK AREA: Station 15 DATE: 7/4/2011 #27327B PROCESS OR STATION AFFECTED: Packaging Machine #3, Stapling Spring ISSUE: Machine #3 does not properly staple packages because the spring cannot properly penetrate packaging 10% of the time. This issue is slowing production and delaying delivery. SUGGESTION: Replace spring on machine so packaging can be properly stapled, or allow us to hand-staple packaging instead. This would require the purchase of a hand-stapler to replace the current machine. Fig 1 SUGGESTION RANKINGS NAME WORK AREA SUG. # DATE Rick Spencer Station 3 27323B 7/1/2011 3 1 4 3/WAP Bill Coffee Station 27 27324B 7/1/2011 8 3 1 8/WAP Jill Gentry Station 11 27325B 7/1/2011 7 2 1 7/WAP Joe Anderson Station 11 27326B 7/2/2011 6 2 6 6/WAP Kim Richards Station 15 27327B 7/4/2011 8 7 8 8/MNG Don Cross Station 27 27328B 7/5/2011 3 2 5 3/WAP Julie Fields Station 2 27329B 7/8/2011 5 3 3 5/WAP Tim Gross Station 1 27330B 7/9/2011 1 1 1 1/WAP QUALITY COMPLEXITY SUPERVISORY RANK/ ATTENTION IMP. Fig 2 DuraLabel.com 877.534.5157 11
  • BENEFITS Establishing Procedures Incentives & Rewards Remember to DRYER #4 allow workers to STARTUP PROCEDURE implement the 1. START BLOWER AND RUN FOR 3 MINUTES 2. OPEN GAS SUPPLY TO PILOT LINE ideas they suggest 3. PRESS LIGHTER 4. VERIFY PILOT FLAME IS BURNING 5. OPEN GAS LINE TO BURNER 1 whenever possible. 6. OPEN GAS LINE TO BURNER 2. Implementation CONTACT CARL JONES AT 555-1673 WITH QUESTIONS may still require management participation, but empowering a worker to actively lead a procedure implementation often brings greater acceptance and lasting adoption by workers. As soon as a new procedure is implemented, incorporate it into the work areas standard operating procedures. Post new standard operating procedures on or near locations-of-use to reduce mistakes, improve efficiency, and reduce injury. Never miss an opportunity to reward a good idea. Incentives show your facility values all suggestions and encourages more. Monetary incentives work well, but in some situations other rewards may be just as effective. Facilities often find a great return on these investments. The cost of a bonus generally saves a facility much more in return. In Japan, employees are known to have furnished their entire homes through bonuses, while the facilities they work at realized great savings through implementation of quality ideas. Depending on how a Kaizen system is structured, rewards can go to individual employees or to work areas where an idea originated. Rewarding workers by work areas helps encourage teamwork, but individual rewards can also breed more competition and better suggestions. Visually communicate weekly progress reports within work areas. Workers can then track the progress of the procedures they implement. Progress charts are ideally printed on labels and signs and adhered to walls or equipment at strategic locations. When handled in this manner, workers are motivated to see their ideas succeed and open to implementing more. This increases their performance and lifts morale. Plus, employees are known to take greater pride in a procedure they helped define and implement. To track a facilitys progress, chart all successfully implemented ideas on a banner and post it for all employees to see (Fig 4). This creates competition and becomes a very effective tool in attracting more inventive ideas. When properly implemented, both monetary and non-monetary incentive programs have the potential to snowball into a facility-wide competition amongst workers. KAIZEN 2011 SUGGESTIONS Status as of: 1/11 100 90 80 70 60 50 40 30 20 10 0 S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N S T A T I O N 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Display bar chart banners in the work areas to help workers track the progress of their contributions and compare them with others. 12 877.534.5157 DuraLabel.com
  • BENEFITS The goal of charting successfully implemented ideas is to provide employees with the feedback and motivation they need to continue to make more suggestions. Ultimately, their ideas will lead to facility improvements. Management should make every effort to help the process be as pleasant as possible for all employees. Customer Focus Ultimately, the main goal of Kaizen is to satisfy the customer. To help achieve this, the customers needs and requirements must be understood. The following list provides several sample questions facilities may find useful in learning customer attitudes: Treating fellow co-workers as customers helps to fix problems and ensure quality end products. When workers see co-workers as customers, more care is put into the products they produce. They may notice inconsistencies in the product they are assembling. Instead of overlooking the issue and passing-it-on to the next station they ask, why is the product inconsistent? What does the customer want from this product? Why do they like our product? What makes the product more acceptable to the customer? Would I want the product? In Kaizen, the term customer applies to much more than just external individuals. Employees at a Kaizen facility consider everyone they come into contact a customer. Employees are willing to trace these issues up the line to the root cause. The issue can then be eliminated by suggesting an improvement. The ultimate goal is to provide the highest level of customer satisfaction. SMS-900 DuraLabel.com 877.534.5157 13
  • Sustaining EXAMPLE HEADER STANDARDIZING & SUSTAINING KAIZEN Employees need uniform, facility-wide policies to ensure Kaizen is properly followed. Procedures should be established to describe how ideas are collected, rewarded, and implemented. Managers should make every effort to keep the lines of communication between work area personnel and mangers open. Their offices should be made as accessible as possible to all employees. As an example, product design engineers should be communicating directly with production managers on the floor. This feedback helps designers recognize issues sooner and well before production of a new product begins. Evaluate current facility goals and consider setting new ones Goals should focus on reducing production time, cost, and waste Changes made to meet these goals should be reviewed and adjusted wherever necessary Organizational structure and policies should be closely analyzed so Kaizen is uniformly applied Information and ideas should travel up and down the chain Executives should commonly walk into work areas and talk face-to-face with workers Executives should often ask workers about their families and jobs Integration Kaizen should be viewed as a facilitys umbrella philosophy, one that covers all other lean manufacturing systems, methods, and processes. This helps to ensure Workers solve many common work area issues by forming a Quality Control Circle (QCC). the successful implementation of ideas, by binding each into a single efficiency-improving movement. In addition, facilities experience many side benefits by integrating Kaizen with other lean manufacturing processes, systems, and philosophies. By doing so, techniques can be modified to better suit unique facility requirements. Therefore, its a good idea to implement Kaizen first. Once fully implemented, employees will often be ready to accept more complex and challenging implementations. Issue Resolution Set goals to reduce production time, cost, and waste. 14 In the spirit of Kaizen, a facility always views itself as imperfect. Issues are inevitable, but some issues will require more expertise than any single person may have. This is where a small group activity known as Quality Control Circles (QCC) can be used. QCC is specifically designed to help workers resolve more complex issues within their own work areas. QCC is rarely used for formal assignments and generally formed, ad-hoc, by the employees themselves whenever a complex issue arises. 877.534.5157 DuraLabel.com
  • SUSTAINING Kaizen Leaders In many facilities, middle managers are the leading Kaizen advocates. Their regular interaction with workers gives them ability to encourage employee suggestions and ensures good suggestions are implemented. Once fully applied, middle managers will find Kaizen to be an invaluable tool in aiding application. Keep in mind, converting a facility to Kaizen will take time, patience, and dedication. Use the following tips to help improve the conversion process: Make meetings more efficient by developing employee problem-solving-skills Show employees the many ways Kaizen benefits them and the facility in which they work Ensure a facility is Kaizen-conscious by applying the philosophy daily Never miss an opportunity to reward a suggestion. Identify good problem solvers in your facility and look to them for ideas in solving complex issues The more employee-solved-issues, the easier it is to meet goals set forth by upper management Standardized policies help to maintain direction and achieve goals Since Kaizen promotes constant change, policies must remain flexible for continued adjustment As a Kaizen Leader, you must be willing to continuously encourage workers to develop new ways to improve efficiency. Never hesitate to change policies when they become outdated or no longer useful 2012 Graphic Products, Inc. All Rights Reserved. Informazioni: [email protected] Web: www.rebosystems.it DuraLabel.com 877.534.5157 15
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