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					Lean Enterprise: A Comprehensive Overview

From Levinson Productivity Systems, P.C.

     Kaizen (continuous improvement) was a basic foundation of the original Ford
business system, along with standardization and best practice deployment. Ford also
described and implemented just-in-time (JIT) and most other quality and productivity
improvement techniques that we now think of as "Japanese." Lean enterprise's American
origin is a key asset in selling it in American workplaces.
     The package includes PowerPoint Notes pages for distribution to participants. The
license allows the user to make unlimited copies of these pages for use in training

    This day-long overview of lean enterprise is designed primarily for manufacturing
engineers, supervisors, foremen, and shop personnel.

What your participants will learn:

    Participants will learn the basic foundation of lean enterprise (recognition and
elimination of all forms of waste in the supply chain) as well as its true origin: Henry
Ford's automobile plants and their supply chain.

How your audience will use the knowledge:

     Upon completing this course, your audience should have learned and internalized the
ability to recognize most forms of waste on sight. Participants will no longer take waste
(friction, muda) for granted or accept it as a built-in part of the job that they should "live
with" or "work around." Front-line production workers should be using the new
knowledge to identify waste in their jobs and offer ideas for improvement.


   1. Why Lean Enterprise?
           o   This section shows how to sell lean enterprise to upper management and to the
               front-line manufacturing workers who have to make it happen.
                    Proven results in "the language of money" for upper management.
                    Lean enterprise's role in protecting jobs and creating higher wages for
                        front-line workers.
                    "Meet Your Real Instructor" or, "Who do you think taught Japan how to
                        make cars?" Taiichi Ohno, the father of the Toyota production system,
                        got his ideas directly from Henry Ford.
           o   Manufacturing is the foundation of national prosperity and military security.
   2. Lean Fundamentals
           o   This section introduces the concept of friction, waste, or muda. This is the
               foundation of everything that happens in a lean enterprise. Friction is easy to
               overlook and it often becomes built into the job.
                 Basic definitions: Toyota production system's seven forms of waste
                 False economy as waste
                 Value analysis and the process flowchart: identification of value-adding
                  and non-value-adding activities
               Transportation as a non-value-adding activity  spaghetti diagrams and
                  factory layout
      o   The improvement cycle: standardization, best practice deployment, and
          continuous improvement (kaizen)
               Closed-Loop Corrective Action  project completion, standardization,
                  and best practice deployment
3. Lean Techniques
      o   This section introduces specific techniques for suppressing friction or waste.
               Design for Manufacture (DFM) and Design for Assembly (DFA)
               Group technology
               5S-CANDO
               Visual controls and visual production management
               Small-lot and single-unit processing  Cycle time reduction
               Single-Minute Exchange of Die (SMED)
               Error-Proofing (Poka-Yoke)
4. Lean Production Control
      o   Push versus pull production control
               Kanban
      o   Synchronous flow manufacturing (SFM) and the Theory of Constraints (TOC)
               Role of linear programming (LP) under TOC: identification of
                  constraints and optimization of the product mixture.
      o   Suppress variation in arrival and processing times to reduce inventory and cycle
          time in queue.
               The matchsticks-and-dice experiment in Goldratt and Cox's The Goal
                  shows why 100% utilization "cannot" be achieved in a balanced factory.
               This course reconstructs the techniques Henry Ford used to achieve close
                  to 100% utilization in a balanced factory!
5. Supply Chain Management
      o   Extension of lean manufacturing to the supply chain  a lean enterprise
               Every supply chain element must add value
               Suppliers must be capable of just-in-time delivery
               Supplier development = teaching suppliers lean techniques
      o   Freight management systems (FMS) and third party logistics (3PL) systems
6. Lean and ISO 14000
      o   Lean manufacturing is synergistic with the ISO 14000 standard for
          environmental management systems (EMSs), as well as with ISO 9000.
               Henry Ford made enormous profits by avoiding or finding ways to reuse
                 environmental waste.
7. Change Management
      o   Organizational psychology/ organizational behavior aspects
               Changing the company culture: "How we do things around here"
               Benefit of the kaizen blitz
               The need for upper management commitment
      o   Lean does not mean downsizing. Cutting jobs when workers improve
          productivity guarantees failure of the transformation. This is a very important
          consideration when it is necessary to get a union to buy into lean.

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