Lean Manufacturing Opportunities for Loggingnrri.umn.edu/cartd/forestp/leanlogging.pdf · Lean Is...
Transcript of Lean Manufacturing Opportunities for Loggingnrri.umn.edu/cartd/forestp/leanlogging.pdf · Lean Is...
Lean Manufacturing Concepts Applied to Logging Businesses
Brian K. BrashawUniversity of Minnesota DuluthNatural Resources Research Institute
John McCoyEdge Forestry
2007 Logger ConferenceMinnesota Logger Education Program
OverviewHigh Performance Enterprise
The Competition is Fierce
Every morning in Africa, a gazelle wakes up. It knows it must run faster than the fastest lion or it will be killed. Every morning a lion wakes up. It knows it must outrun the slowest gazelle or it will starve to death.
It doesn’t matter whether you are a lion or a gazelle, when the sun comes up, you had better be running.
Presentation Overview
Overview of lean manufacturing8 WastesLean tools
Examples of lean wood products companies
Is any of this relevant to logging?
Natural Resources Research InstituteUniversity of Minnesota Duluth
NRRI Mission“To enhance near-term economic development of Minnesota’s natural resources in an environmentally responsible manner.”
Forestry/Forest Products works with 150+ companies and cooperators/year in Minnesota, Wisconsin, the Great Lakes region and throughout the world.
Wood Industry Sectors Served by NRRI
PrimaryLumber, OSB and composites, Paper residues, Pulp
SecondaryCabinetryMillwork and Fenestration (windows)Recreation ProductsWood FlooringWood FinishingFurniture (residential and office)Store fixturesHousingTransportation
Key Industry Issues in the Midwest
300,000+ employed in MN, WI, MI, IA
100,000 in primary (logging, lumber, paper and composites)200,000 in secondary (fenestration, millwork, cabinetry, flooring, furniture, and store fixtures among others)
Key Industry Issues
Slow implementation of new technology and best manufacturing practices
Key Industry Issues
Imported products/overseas manufacturing
Key Industry Issues
Reduction in resource availabilityHigh fuel costsHigh stumpage costsForest ownership changesSignificant equipment/technology investments
How can we improve?
NOTOCSix SigmaTPSAgileTQMLean Manufacturing
To help companies understand and implement lean . . .Our efforts have focused on:
Building capacity using wood specialistsCustomized wood industry manufacturing simulationsTraining in lean principles and transformationsTours of best practicesFacilitating initial project teams
Kaizen blitzesMultiweek events
Lean Manufacturing
Introduction toLean Building Blocks
Horner Flooring Company
Team “Panel Pushers”May 18, 2004
What is Lean Manufacturing and Continuous Improvement?
Lean Is ---
A business system for organizing and managing product development, operations, suppliers, and customer relations using systematic change and continuous improvement.
4 P’sDevelop long-term thinking and clear philosophy.The right process will produce the right results.Add value to your organization by developing your people and partners.Problem solving can drive organizational learning.
Lean
By accomplishing these activities we see more employee involvement
The ultimate Goal increased profit and competitiveness
The Work
Understand your value stream.Develop “eyes for waste” and remove it.Create process stability and flow.Standardize work and use visual controls.Change your culture by developing your people and partners.Become a learning organization through relentless reflection and continuous improvement.
Competitiveness = Time
“One of the most noteworthy accomplishments in keeping the price of Ford products low is the gradual shortening of the production cycles. The longer an article is in the process of manufacture and the more it is moved about, the greater is its ultimate cost.”
Henry Ford, 1926
Historic Ford Sawmill, Alberta, Michigan
Competitiveness = Waste
TPS is a management system in which the people are fully expected to fully utilize the facilities and machines to satisfy customer requirements while working towards absolute elimination of waste.
Taiichi OhnoPresident Toyota Motors
What is Value-Added?
Anything that someone is willing to give up or use resources for…
What is Waste (Non-Value)?
Anything that consumes resources without returning any value
Many of these wastes might still be considered necessary
Time In Manufacturing
5%
95%
Value AddedNon Value Added
Wood Education and Resource Center --- Princeton, WV 8-10 August, 2005
Daily
Stacking Drying Planing Shipping
Weekly
Customer
ProductionControl Weekly
Orders
PricingReport
TimberSale Inquiry
InvoiceWeekly
Schedule
C/T=6m C/T=3m F/T=15d C/T=2m
5 days
6 min
.5 days
3 min
22 days
15 days
15 days
2 min
15 days
VA = 15 dLT = 57.5 d
I35 MBF
I1.5 MMBF
I1 MMBF
I1 MMBF
1.36 MMBFmonthly
I374 MBF
Sawmilling
The Seven Deadly Wastes + 1
DefectsOverproductionWaitingNot using the talents of our peopleTransportationInventoryMotionExtra processing
Waste of Making and Correcting Defects
Money and time wasted to find and fix mistakes/defects
Waste of Overproduction
Making products Faster than needed!Making products Sooner than needed!Making More product than needed!
Waste of Waiting
Time lost when people, material or machines are waiting . . . . . . . .
Waste of not using the talents of our People
Considered by many to be the greatest waste . . the wasted potential for improvement that results when the people doing the work are not asked for their ideas on improving the manufacturing process.
Waste of Transportation
Transporting parts and materials around the plant
Waste of Inventory
Material in excess of the one-piece required for production
Waste of Motion
Any movement of people or machines that does not add value to the product.
Waste of Extra Processing
Activities that add no value to the product or service from the customer’s point of view
Visual example of a Lean OfficeValue Stream Walk-through
Current Process
PurchaseOrder
WorkOrder
Receive PO
Check Pricing
Check Date
Call Customer
Wait for Information from Customer
Receive Information
Create Yellow Sheet
Enter Partial Order Information
Copy Yellow Sheet
Deliver Yellow Sheet to Production Control
Deliver Yellow Sheet to QC
Wait for QC
Receive information
Wait
Look up Revision
Record Revision
Pull Print
Compare Information
Record Information
Log Information
Return Print
Deliver to Customer Service
Wait
Sign
Deliver to QC
Wait
Place in In Box
Wait
Make Copies
Wait
Highlight Recipients
Stamp Print
Staple Print
File
Deliver to Customer Service
Deliver to QC
Deliver to Tool Room
Deliver to Operations Manager
Deliver to Production Control
Wait
Confirm Date
Confirm Inventory
Create Sales Order
Create Work Order
End of Process
44 Process Steps5 People Involved
8 Waits1897’ of Travel
Typically 2-4 Weeks to Complete
New Process
Receive PO
Check Pricing
Call Customer
Create Sales Order
Look up Revision
Compare Prints
Check Material
Check Date
Create Work Order
End of Process
10 Process Steps1 Person Involved
0 Waits0’ of Travel
26 Minutes to Complete
Lean Building Blocks
MappingStreamValue
5S
Cellular/FlowPull/Kanban
Changeover Reduction
Teams
Supermarkets Quality
Batch Reduction
Standard Work Plant Layout
Visual Control
Continuous Improvement
TPM
Teams
ScroungeStealStashScrambleSearch
5 “S” – The 5 Pillars of the Visual Workplace
Sort – Clear out rarely used itemsStraighten – Organize and label a place for everythingShine – Clean itStandardize – Create procedures to maintain the first 3S’sSustain – Use regular audits.
Mill Work Benchs Before
After
Standard Work
Operations safely carried out with all tasks organized in the best known sequence, using the most effective combination of:
PeopleMaterialsMethodsMachines
PPE:9/5/2006 Tools:
Manager: Supervisor:Date: Date:
Auto Manual Wait Walk
Safety Poka Yoke In-Progress Stock
Use shadow markers to determine the board's width. Change the controls to accommodate the size.
5 s
Keep hands and loose clothing clear of log while it enters the Bull Edger.Feed into machine5
10 s
5 s1 Receive logs.
Check both sides of the log before running through the bull edger. If the log does not meet length or yield specs discard it in the slab chain.
Inspect logs.2
Take the logs from the Scragg and inspect the trimmed off sides. All waste and trim should go in the slab chain.
Key Quality Time Totals 0 25 s 0 0
7 Clean machine.
Periodically throughout the day and at each shift change clean the bull edger and the area surrounding it, especially the floor. This helps prevent accidents.
Sharpen the bull edger blades as needed or during downtimes as a preventative maintenance tool. Refer to the standardize procedure sheet for sharpening instructions.
Sharpen blade.6
5 s
4
3 Move to feeder Move log to bull edger feeder and line up on green line.
Determine size.
Work Elements Key Points Safety, Quality, Technique, Cost
Time Elements
Breakdown
Work Area Layout
Company: Cass Forest Products
Document #: Safety glasses, Steel toe bootsDate:
Approved By:
Standardized Worksheet Bull Edger Page 1 of 1
No.
This row of buttons determines the log widths.
Log feeds into here.
Shadow marker.
Plant Layout to create Flow
G L U EB O O T H
R u c k le s G u i l l o t i n e
Scrap
Clipper
SC
ISS
OR
LIFT
Table
Table
C H A L L E N G EG U IL L O T IN E
LO
NG
DE
IL
SP
LIC
ER
Head
Clipper
Table
Table
V e n e e rIn s p e c t i o n
SC
ISS
OR
LIFT
S i n k
K N IF E G R IN D E R
S t o r a g e C o n v e y o r V e n e e r S t r ip s
R i p S a w
B a n d S a w
D E I LS P L I C E R
Ruckles
Jointer
F I N I S H C L I P P E R
H O GS C R A P C O N V E Y O R
S U P VO F F I C E
D E I LS P L I C E R
CH
ALL
ENG
E
GU
ILLO
TIN
E
V e n e e rIn s p e c t i o n
V e n e e rIn s p e c t i o n
S t o r a g e C o n v e y o r V e n e e r S t r ip s
Visual control --- Like shelves in a supermarket, stock is replenished based on demand (customers go there to “shop”)
Communication between links in value stream w/o a written production schedule
Supermarkets
Filled supermarket
Changeover ReductionDefinition: The time between the last good piece off the current run and the first good piece off the next runBefore Shigeo Shingo’s “Single Minute Exchange of Die” (SMED), typical setup tasks and time breakdowns:
5%
15%
30%
50%
Preparation, after processadjustment, checking andmoving materials, parts andtools
Removing and mounting ofparts and tools
Machine measurements,settings, calibrations
Trial runs and adjustments
Visual Control
Total Productive Maintenance
A total quality management strategy focusing on improving equipment effectiveness and reliability. It is upper level directed and bottom driven.
Reduce maintenance costsEliminate equipment downtimeIncrease productivityAchieve a clean and safe workplaceProvide proper trainingEstablish open communicationPromote operator ownership of equipment Measure maintenance performanceSustain the improvements and gains
Sounds good…but how is this relevant for logging?
Continuous Improvement
A philosophy and a process in all organizational operations practiced by all employees.A creative methodology to increase the quality and value delivered to customers.A common sense, low cost approach to improvement.Little up, every day…
Three Improvement Systems
TIME
IMPROVEMENT
Co. B - Innovation Only
Co. C - Innovation, Standards, CI
Co. A - None
Every Problem is an Improvement Opportunity!
Few large issues
Few medium issues
Many small issues
Adapted from the Toyota Way Fieldbook (Liker and Meier 2005)
Typical companies
Few large issues
Few medium issues
Many small issues
Adapted from the Toyota Way Fieldbook (Liker and Meier 2005)
True lean improvements
Few large issues
Few medium issues
Many small issues
Adapted from the Toyota Way Fieldbook (Liker and Meier 2005)
The Work
Understand your value stream.Develop “eyes for waste” and remove it.Create process stability and flow.Standardize work and use visual controls.Change your culture by developing your people and partners.Become a learning organization through relentless reflection and continuous improvement.
Wood Education and Resource Center --- Princeton, WV 8-10 August, 2005
Delimb Skid Slasher Loading
Daily
Customer
ProductionControl
OrdersTimberSale Purchase
WeeklySchedule
C/T= C/T= C/T=
VA = d
LT = d
I I I I
Cords/week
Feller - B
C/T=
Eyes for Waste
Defects / fixing a mistakeOverproductionWaitingNot using the talents of your employeesTransportationInventoryMotionExtra or inappropriate processing
Eight Wastes
Defects / Mistakes
Violating sale requirements (rutting, not leaving species, outside boundary, damage to remaining trees, etc.)
Not understanding quality in a tree or logBringing rot into yardTree length vs. 100” (decay is hidden)Loss of weight/quality during summer
Logs dragged through dirtOut of spec logsMultiple handling damages logsLog split, shear potentiallyButt swell causes tree to be cut higher
Leaving “merchantable” or usuble material in the woods
Chipper Frass
ChipsLogging Debris
Timber sale losses
Lump sum sale volume to weight payment conversion loss
Customer receives lower value & increased process cost
Equal volumes of SpruceSound spruce aboveRed rot spruce below = 50% weight of sound spruce
Timber sale losses
Lump sum sale volume to weight payment conversion loss
Customer receives lower value & increased process cost
Sound Aspen aboveAspen with beginning & advanced decay (not dry rot)Rot in aspen usually retains water – aspen weight was 73% of sound aspen weightFactoring in dry rot & holes would likely increase wt loss to 30%
Overproduction
Winter logging 70+%Time limits – contract languageInventory volume is a target. Usually more wood than expected.Weather and road restrictionsMills over contract to ensure wood supplySpeculationContracts
WaitingWaiting for information from the owner, forester, county, buyer.Unbalanced production flow between feller-buncher, stroke delimber, skidders and slashers
Logs at landings waiting for pickup and deliveryTrucks waiting in wood to loadTrucks waiting at mill to unload
Wait for equipment, parts, maintenance, service truckRoad clearing, layout of road Transport to next job.Snow removal
Weather
People Talents (Unused employee creativity)
How well do we communicate between crews?Lack of standardized workDon’t track downtimeLack of operator driven maintenance Additional training opportunities
BenchmarkingBest practices, maintenance, simulation, techniquesMetrics productivity measurements
Current training Double shifting
Transportation or conveyance
Equipment is not taking an efficient entry rout or travel routsMovement around site, skiddingEmpty trucks lack of backhaulTrucks crossing taking wood to marketPlanning road vs. skidding distance
Motion or unnecessary movement
Multiple loading/unloadingPiles falling overPicking up/setting down in conventionalIn/out of equipment for maintenanceLooking for equipment, paperwork, etc.Organization of maintenance van, home, base, shopsMissed wood, visuals lackingSort in woods vs. sort at landing
Fellerbunchers, delimbers or slashers sort?CTL or forwarders sort?
Transportation, motion
Left: Dozer clears path around sale boundary for feller-buncherRight: GPS tracks feller-buncher as operator figures out lay of land & wood
People talents, motion
CTL processor GPS tract – 2 days.Operator efficiency can be increased with low cost, user friendly GPS technology coupled with basic operational planning.All subsequent operations – truck access, skidding, etc. benefit.
Sample of data available from GPS track log
**1221 feet total distance covered in one hour
3/12/07 Feller-Buncher movements in Feet
per Minute - From 10am to 11am
0:00:00
0:00:43
0:01:26
0:02:10
0:02:530:03:36
1
Distance (ft)
Tim
e (M
in:s
ec)
38 ft15 ft17 ft66 ft36 ft16 ft14 ft48 ft18 ft11 ft33 ft16 ft8 ft
Excess Inventory
Winter logging creates large inventoriesShutdowns by customersRoad restrictionsStanding inventory of purchased wood not loggedTops/ limbs/ biomassCut but not hauled, landings, concentration yardsCTL cut but not forwarded, and deliveredWeather (switching from winter to summer wood)
Extra or Inappropriate Processing
BMP’s – regulatory Cutting to 100” vs. tree length
Loses ?%Road building vs. skiddingBidding chaseOpen bid vs. sealed bidFixed length cutting
Variable length improves efficiency by 26%
Lean Building Blocks
MappingStreamValue
5S
Cellular/FlowPull/Kanban
Changeover Reduction
Teams
Supermarkets Quality
Batch Reduction
Standard Work Plant Layout
Visual Control
Continuous Improvement
TPM
Changing the culture . . Lean is not Mean!
The Challenge
“Change is never easy… particularly when things are going well”
“By re-inventing ourselves...and our companies...regularly...we will better serve our customers...prosper...and preserve our planet for future generations.”
Fujio ChoPresidentToyota Motor Corporation
Lean Manufacturing for the Wood Products IndustryBayport Public Library --- Bayport, MN 11-13 December, 2006
CitizensAgainst
EverythingVirtually
Assistance is Everywhere
www.lean.orgLocal lean manufacturing extension partnershipsTalk to industry adoptersBuy a book and get startedAttend a short courseHordes of lean consultants
Lean Implementation – How to Do It?
Find a change agent. This could be you—or anyone of the organization: the key is that this must be a leader who will take personal responsibility for the lean transformation. Get the lean knowledge. It’s important to draw from a true and thorough source of lean, whether from an ex-Toyota sensei or some other reputable source, so your internal change agents master lean thinking to the point where it becomes second nature. And always implement lean techniques as part of a system, not as isolated programs.Find or create a crisis. Unfortunately, few if any firms will take the necessary steps to adopt lean thinking across the board unless they are facing a crisis. Forget grand strategy for the moment. Start by simply eliminating waste everywhere possible. Map the value streams, beginning with the current state of how material and information flow now, then drawing a leaner future state of how they should flow and creating an implementation plan with timetable. (For the best resource teaching you how to do this, try Learning to See). Begin as soon as possible with an important and visible activity. Demand immediate results. As soon as you’ve got momentum, expand your scope. Link improvements in the value streams and move beyond the shop floor to office processes. Practice kaizen, or constant improvement, relentlessly!
#2 – Create/Implement the Plan
Training for ownership and managementLean manufacturingContinuous Improvement
Create the training planDocument expectations of employeesEstablish criteria for lean project selectionsDefine the structure for task teamsCreate a team and get a project completed.Assess results and continue to reap the benefits!
Building the Capacity of Minnesota’s Wood Products Industry
Kaizen Blitz (3-5 days)
ProduceImproveImplementObserve,Organize,& Define
Train
Building the Capacity of Minnesota’s Wood Products Industry
Multi-week blitzesStep 1 - Company selects a project
Can be completed in 8 weeksMust be measurable with significant impactBoundaries established
Step 2 - Meeting of team participantsCreate team charterLean training– Continuous improvement– Lean manufacturing tools
– Value stream mapping– Pull inventory replenishment systems– Setup reduction– Cellular manufacturing
Building the Capacity of Minnesota’s Wood Products Industry
Multi-week blitzes
Step 3 - Team meetingsFacilitate weekly team meetingsMonitor team progressAssure supportProvide assistance - training, advice
Step 4 - Meeting of all team participants plus company top management
Team presentations to the groupFull team participationUse visuals - Powerpoint presentation, video, digital photos, etc.Metrics of accomplishment
Lean Outcomes
Reduced work in progress25-90%
Decreased lead times25-90%
Increased floor space10-80%
Workforce developmentIncreased salesCost reductionsImproved quality
5-80%Improved worker motivation and productivity
25-70%
Economic
Economic
Stability and
Stability and
Growth
Growth
Ongoing Activities
Our team is continuing to work with new companies and is cooperating with our outstanding Manufacturing Extension Programs in Wisconsin, Minnesota, Michigan and Iowa by providing wood industry specific lean training and implementation assistance.
Thank you!
Project funding provided by USDA Forest Service WERC.