Convey the Lean Spirit in PowerPoint: detailed slides on the implementation of lean management methods and tools such as the Pull Principle, the 5S concept, Kanban and lean management charts.

1. Lean management
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2. LEAN MANAGEMENT
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3. DEFINITION
APPROACH CUSTOMER
FOCUS QUALITY ON TOP COMMITTED
EMPLOYEES
VISIONS AND
OBJECTIVES
RESULTS AND
PROCESSES
FOCUS Better quality Decreasing costs Faster processes
ELEMENTS Standardization Just-in-time Stable processes Kaizen Team work
PRINCIPLES
 5S-Method
 Visual management
 Standardized
processes and
methods
 Pull production
 Continuous
production line
 Zero-defect-principle
 TPM (Total Productive
Maintenance)
 Value creation and
wastage
 Kaizen workshops
 Leadership/guidance
 Qualification
TOOLS
 Standard
worksheets
 5S
Audits/inspections
 Key figure boards
 Kanban regulation
 Setup time
reduction /
SMED
 Value stream
analysis
 Problem solving
techniques
 Q-control-circuits
 Autonomous/preventive
Maintenance
 Six Sigma
 Poka Yoke
 Improvement teams
 Idea management
 Target control sheets
 Management audits
 Qualification matrix
 Standard
communication
 Target agreement
MEASURES
 Audit results
 …
 Inventory
 Number of Kanban
cards
 Throughput time
 Number of change
overs
 Quality key figures
 Productivity
 GAE/OEE
 Number of stoppages
 Number of
proposals
 Number of
Improvement teams
 Number of
workshops
 Level of target
 achievement
 Audit results
 Multiple qualification
 Number of trainings
Best in class Financial success Secure jobs

4. Adding value is only about value
increasing activities, that are useful
for the customer and which he
is willing to pay for a higher
price
CUSTOMER NEEDS
Lean Management shows the way to
detect and organize value adding
activities, to eliminate any kind
of wastage
ORGANIZATION
Elimination of waste as main
target of Lean Management: every
activity, that spends resources of any
kind (work capacity, areas, machines
etc.), but is not creating value
WASTAGE
Applied in all corporate divisions:
production, service, administration,
distribution, storage etc.
APPLICATION
THE LEAN IDEA
Value Creation

5. LEAN MANAGEMENT PRINCIPLES
DRIVE TO
PERFECTION
DEFINE THE VALUE
FROM CUSTOMER
PERSPECTIVE
INTRODUCTION OF
THE PULL PRINCIPLE
(KANBAN)
IDENTIFICATION OF
THE VALUE CHAIN
IMPLEMENTATION OF
THE FLOW-PRINCIPLE
LM
1
24
3
5

6. OBJECTIVES OF LEAN MANAGEMENT
EFFICIENCY
Process oriented
business
management &
highest possible
effectiveness
clearness
Explicitly defined
processes and
workflows
Structure
Logical arrangement
of responsibilities &
communication
channels
Optimization
Minimization of
wastage and
optimization of
processes
Quality
Reduction of error
rates and functional
cases of damage

7. IMPLEMENTATION OF LEAN MANAGEMENT
7-Step-Model
 Will of
management
to introduce
Lean
Management
 Support of
implementati
on process
without
limitations
 Especially
important at
lacking
acceptance or
setbacks
 Support
implementati
on by Lean
Management
experts
 Have hands-
on experience
from
companies, in
which Lean
Management
was already
implemented
 Recognize
obstacles and
moderate
occurring
problems
 Management
objectives
have to match
objectives of
Lean
Management
 Identification
of rooms for
improvement
 Detect
possibilities
to eliminate
waste basing
on an analysis
of the current
state
 Where is the
value stream
unbalanced?
 Definition of
the current
state
 Aspired ideal
state often
documented
as a vision
 Provided with
the obligation
of the
management
to realize this
vision within
a fixed
schedule
 In pilot
projects,
employees
can be
persuaded of
the function
and use of
the concept
 Motivation
for further
projects
 No risk for
the
management
to threaten
the existence
of the
company
 Corrections of
the concept
are possible
 Implementa-
tion within
the whole
company
 Striving for
perfection
requires
continuous
advancement
 Lean
Management
as corporate
philosophy,
which has to
be carried
and
internalized
by every
employee
1 2 3 4 5 6 7

8. THE LEAN IDEA – TYPES OF WASTE
???
OVERPRODUCTION
???
WAITING TIME
a b
TRANSPORT
7+1 TYPES
OF WASTE1
2
3
4 5
6
INEFFICIENT PROCESS MOTION
MISTAKES / REWORK STOCK CREATIVITY

9. LEAN MANAGEMENT TOOLS
Q7 – 7 Statistical Quality Tools
 Registration of errors
within the company
processes
 Most frequent errors,
causing the highest costs,
can be eliminated through
improvement projects
ERROR REPORT
 Shows frequency
distribution of classified
and ordered data
 Data outside of the
tolerance area are the
basis for projects to
reduce deviation
HISTOGRAM
 Monitoring production
processes and timely
prevention of
discrepancies
 Records of observed data
allow conclusions to be
drawn about the course of
the processes
QUALITY CONTROL CARD
 Arrange characteristics
of processes according to
their importance
 Focus on activities with
highest impact on business
objectives
PARETO-DIAGRAM
 Correlation coefficient
expresses intensity and
direction of two
parameters
 Creates basis for
improvement measures
 Data are visualized within
the diagram
CORRELATION
DIAGRAMM
 Phase 1: collection of
proposals and ideas
concerning the problem
without limitations
 Phase 2: proposals and
ideas are ordered and
valued; realizable
suggestions become visible
BRAINSTORMING
 Cause and effect diagram
 Definition of cause
categories (e.g. human,
machine, material,
method)
 Results hint to
improvement measures
within the process
ISHIKAWA-DIAGRAM

10. MILK RUN
 Rotation truck, drives to several
suppliers every day on the same
route
 Picks up daily needs for the
production
 Supply volume complies with the
daily requirement of the fabrication
 Unnecessary storage is avoided
Lean Management and the Pull-Principle
(Demand-Oriented Fabrication)
LIEFERANTEN
A
B
C
D

11. SHOP STOCK
 Storage of the output of the
production unit
 Flow racks directly at the machine
 Assurance of FIFO
 Kanban regulates volume within
the Shop Stocks
 Visualization of process quality
and process safety
Lean Management and the Pull-Principle
(Demand-Oriented Fabrication)

12. HEIJUNKA
 Heijunka Board schedules tact of
the Small Train
 Assures graded production process:
balance between delivered material
and finished products
 Visualization of process instabilities
Lean Management and the Pull-Principle
(Demand-Oriented Fabrication)

13. LEAN METHODS
Lean Management and Visual Management
 Flow of material and
information from
customer to purveyor
 Target: shortening of the
throughput time
 Value processes from
customer perspective
and test them for
wastage
 Distinction between
value adding and non
value adding processes
 Production plant stops
automatically as soon as
an error is recognized
 Employee has to solve
the problem within a
fixed time, otherwise he
has to contact his next
superior
 Shall protect customer
from defective
fabrication and forces
the company to solve
the problem
 Zoning: mapping of the
standardized destination
of a moveable item
 E.g. colored tapes on the
floor or shadow-boards
 Andon: Visualization of
the current state of the
production plant
 Involved employees see
anytime if machine
produces or stops
 Principle: “You cannot
regulate what you
cannot measure.”
 Few selected key figures
are enough to run a
business
 E.g. OEE (Overall
Equipment
Effectiveness) and TEPP
(Total Effective
Equipment Productivity)
as requirements for Lean
Concepts
KEY
PERFORMANCE
INDICATORS (KPI)
ZONING /
ANDON
VALUE STREAM
MAPPING - VSM
JIDOKA/
FIRST DEFECT
STOP

14. LEAN METHODS
Further Methods, to make complex contexts transparent
 Key figure systems make progress visible
 Comprises OEE (Overall Equipment Effectiveness), stock, throughput
time, performance time, working time, number of employees and
others
Key figure
SYSTEMs
 Involvement of employees into conception and implementation of
measures as well as their sensitization for mistakes
 Strengthens employee motivation and uses their Know-how
Involvement
of employees
 To use improvement potentials, several methods can be applied, e.g.
Kanban-System, One-Piece-Flow, SMED (Single Minute Exchange of
Die)
 Lean Management concept places great emphasis on visualization to
disburden the employees from the application of the methods
Further
METHODs

15. THE LEAN COMPANY
Lean
ProduCtion
Lean
MAINTENANCE
Lean
ADMINISTRATION
Lean
Service
Lean
DEVELOPMENT
Lean
COMPANY
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16. LEAN MANUFACTURING
SHORT
CYCLES
CONTINUOUS
IMPROVE-
MENT
TOTALQUALITY
FOCUS
SYSTEMs
Level load & Balanced Flow
Preventative Maintenance
Supplier Partnerships
Pull Systems
LEAN
PRODUCTION
Total employee
Involvement
Control through
visibility
Housekeeping
Total quality
focus
peopleStructured flow
manufacturing
Small lot
production
Setup reduction
Fitness for use
Technology
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