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| are operations systems that maximize the value added by each of a company’s activities by paring unnecessary resources and delays from them. |
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| Just-in-time (JIT) philosophy |
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| The belief that waste can be eliminated by cutting unnecessary capacity or inventory and removing non-value-added activities in operations. |
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| A system that organizes the resources, information flows, and decision rules that enable a firm to realize the benefits of JIT principles. |
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| A method in which production of the item begins in advance of customer needs. |
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| A method in which customer demand activates production of the service or item. |
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| is an organization-wide effort to improve the quality of a firm’s products by having employees act as their own quality inspectors, and never pass defective units to next stage. |
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| mistake-proofing methods aimed at designing fail safe systems that minimize human error. |
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| which gives machines and machine operators the ability to detect when an abnormal condition has occurred. |
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| A quantity of items that are processed together. |
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| The group of activities needed to change or readjust a process between successive lots of items. |
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Definition
| The goal of having a setup time of less than 10 minutes. |
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Term
| Uniform Workstation Loads |
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Definition
A lean system works best if the daily load on individual workstations is relatively uniform.
Service processes can achieve uniform workstation loads by using reservation systems (e.g., scheduled surgeries) and differential pricing to manage the demand.
For manufacturing processes, uniform loads can be achieved by assembling the same type and number of units each day, thus creating a uniform daily demand at all workstations. |
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| produces a mix of models in smaller lots. |
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| Managers of hybrid-office and back-office service processes can organize their employees and equipment to provide uniform work flows through the process and, thereby, eliminate wasted employee time. |
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| one-worker, multiple-machines (OWMM) |
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Definition
| approach, which essentially is a one-person line. |
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| plays a big role in lean systems and is a key to low-cost operations. |
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Term
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Definition
A methodology consisting of five workplace practices conducive to visual controls and lean production
Sort: Separate needed from unneeded items (including tools, parts, materials, and paperwork), and discard the unneeded.
Straighten: Neatly arrange what is left, with a place for everything and everything in its place. Organize the work area so that it is easy to find what is needed.
Shine: Clean and wash the work area and make it shine.
Standardize: Establish schedules and methods of performing the cleaning and sorting. Formalize the cleanliness that results from regularly doing the first three S practices so that perpetual cleanliness and a state of readiness is maintained.
Sustain: Create discipline to perform the first four S practices, whereby everyone understands, obeys, and practices the rules when in the plant. Implement mechanisms to sustain the gains by involving people and recognizing them via a performance measurement system. |
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Term
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Definition
means “card” or “visible record” in Japanese & refers to cards used to control the flow of production through a factory.
General Operating Rules:
Each container must have a card.
The assembly line always withdraws materials from fabrication (pull system).
Containers of parts must never be removed from a storage area without a kanban being posted on the receiving post.
The containers should always contain the same number of good parts. The use of nonstandard containers or irregularly filled containers disrupts the production flow of the assembly line.
Only nondefective parts should be passed along.
Total production should not exceed the total amount authorized on the kanbans in the system. |
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Term
| Value stream mapping (VSM) |
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Definition
| is a qualitative lean tool for eliminating waste (or muda) that involves a current state drawing, a future state drawing, and an implementation plan. |
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| Value stream mapping (VSM) |
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Definition
| spans the entire value chain, from the firm’s receipt of raw materials to the delivery of finished goods to the customer. |
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Definition
| Lean system implementation requires a high degree of regimentation, and sometimes it can stress the workforce. |
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Definition
| Workers and first-line supervisors must take on responsibilities formerly assigned to middle managers and support staff. |
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| Reward systems and labor classifications |
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Definition
| must often be revamped when a lean system is implemented. |
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Definition
| Daily production schedules in high-volume, make-to-stock environments must be stable for extended periods. |
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Definition
| If the inventory advantages of a lean system are to be realized, small lot sizes must be used. |
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Term
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Definition
| If frequent, small shipments of purchased items cannot be arranged with suppliers, large inventory savings for these items cannot be realized. |
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