Manage continuous improvement process (Kaizen)

level –V

Tarcha, Jan,2016
LO 1: Diagnose the current status
 At the end of this session you will be
able to:-
o Study current situation
o Analyze internal and external
environment
o Analyze and identify problems
o List alternatives
o Select the best alternatives
1. Analyzing internal and external environment
• If you're not constantly searching for
problems, how will you know if they
exist? and how can you solve problems or
take advantage of opportunities if you
don't know they exist? most strategists
believe that firms must be prepared to
respond quickly to problems and
opportunities in order to be successful in
the future.
 Cont…
• Thus being able to recognize problems
and opportunities as soon as they occur,
or even before they occur, is vital to
success. Both internal and external
organizational environments must be
constantly and carefully monitored for
signs of problems or opportunities.
 2. Recognizing problems
• You should have to be aware that a
problem or opportunity exists before
you can solve it.
• It is from the information gathered in
analyzing the environment that you
will learn that a problem exists.
 3. Analyzing problems
a. Making Assumptions
It is necessary to make assumptions
about the condition of future factors in
the problem situation.
Remember that assumptions may be a
major constraint on the potential success
of a solution.
For example, what will the state of the 5S
when the new implementation to be
practiced?
 Cont..
b. Break down problems
Once it’s been recognized that there’s in
fact a gap or a problem between the current
and ideal situations, more often than not the
reasons for this gap are many as well as
ambiguous.

Ideal situations
current situations
 Cont…
The first steps we need to take are to
breakdown and organize the original
large problem into smaller, more
concrete problems.
Tools to Break down the Problem
 There are many tools that can help you
visualize the what, where, when and who
of a problem such as Pareto Diagrams,
Tree Diagrams, Pie charts and Scatter
plot diagrams.
 3. Generating Alternatives
• Generating alternatives involves
cataloging the known options (a rational
act) and generating additional options (a
rational and intuitive act). It is in this
stage that most of the creativity processes
is very helpful.
• To the extent that you can clearly identify
and formulate useful alternatives, you can
maximize the chances that a problem will
be solved satisfactorily.
 Cont….
 The purpose of generating
alternatives is to ensure that you
reach the selection stage of enough
potential solutions.
 Creative techniques for generating
alternatives can help you develop
many more possible solutions than
you might come up with otherwise.
 4. Selecting among alternatives
• Decision making should be based on a
systematic evaluation of the
alternatives against the criteria
established earlier. A key, very rational
part of this process involves
determining the possible outcomes of
the various alternatives. This
information is vital in making a
decision.
 Cont…
• The better job is done in generating
alternatives and determining their
possible outcomes, the greater the
chance that an effective choice will
be made.
 LO 2: Design an effective
continuous improvement process
This guide will assist you to attain the learning
outcome stated in this session.
you will be able to
 Check Values, the Mission and the Goals of the
Kaizen management system.
 Prepare Kaizen management model.
 Confirm if master and detailed plans are
prepared.
 Choose an effective Kaizen tools for application.
 Check if Gemba activities are identified.
 Cont…
How to answer the date of delivery?
 Set the possible day of the date of
commitment considering the capacity of
manufacturing, raw materials, parts and
necessary time for manufacturing.
 Keep the date of delivery which customer
committed strictly.
 Try to put close the date of commitment
to the date of request with in stock.
 Cont..

How to deal with requests from customer on the date of

delivery?
 Request of front-loading delivery date
 Inquiry of the date of delivery of the order
already ordered
 Inquiry of date of delivery of the new order which
is now going to be given
• Inquiry of critical order which has possibility of
delay
• Request of bringing the date of delivery customer
request close to one of customer commit
 I. Process flow
• A process flow diagram will aid in
determining the scope of the
characterization effort. The flow chart
should be developed with inputs from
engineering, design, manufacturing,
suppliers, and customers to identify all
potential design and process
characteristics.
 Cont..

It includes items such as:

• Sequential process steps and/or material flow
• Relationship between process steps
• Rework loops
• List process step, setups, inputs (i.e.,
temperature, pressure, force)
• List outputs (i.e., epitaxial thickness, pull
strength, wavelength, power)
• Decision points
• Process control and yield points
 II. People involvement
People at all levels are the essence of an
organization and their full involvement
enables their abilities to be used for the
organization’s benefit. This requires:
• Employees must be treated with dignity and
respect.
• They must be trained to build competence
where required.
• Each employee must know what exactly is
required to be done and where possible must
be able to assess the quality of his work.
 Process effectiveness
o A desired result is achieved more
efficiently and effectively when related
resources and activities are managed as a
process.
Lean support system
o Lean is a philosophy that seeks to
eliminate waste in all aspects of a firm’s
production activities: human relations,
vendor relations, technology, and the
management of materials and inventory.
 Principles of Lean
1. Value - specify what creates value from the
customer’s perspective.
2. The value stream – identify all the steps along
the process chain.
3. Flow - make the value process flow.
4. Pull - make only what is needed by the customer
(short term response to the customer’s rate of
demand).
5. Perfection - strive for perfection by continually
attempting to produce exactly what the customer
wants.
 Effective kaizen tools
1. 5S (a visual workplace management)
5S is a fundamental tool that serves as the foundation
for many tools such as Lean, Six Sigma, TPM (Total
Productive Maintenance), and Waste Management.
2. 7QC tools
I. Histograms:
II. Fish bone diagram:
III. Pareto diagram:
IV. Control chart:
V. Graphs
VI. Scatter diagram:
VII.Check sheet:
 Brainstorming

 Brainstorming is used extensively by QC

Circles at various stages in their problem-
solving activities.
 This technique was developed in 1930 by
Alex Osborne as a way of encouraging
groups to be more creative with their ideas.
 JIT
 Just-in-time (JIT) concept was first developed
and implemented over a span of many years by
Toyota Motor Corporation under the designation
of the Toyota Production System (TPS).
 Its all-encompassing goal is to enable
production of a variety of end items in a timely
and efficient manner, smoothly synchronized
with the production and delivery of component
materials and without reliance on the
conventional stratagem of keeping extra work-
in-process and finished goods inventory.
 Three Pillars of Just-In-Time
Smoothing of volume and variety
 Production leveling is smoothing of volume as
well as variety to achieve uniform plant loading is
imperative for JIT implementation.
Development of a flexible, multi-skilled workforce
 Under one-piece flow production, different
operations are potentially required for each
succeeding item being produced.
Implementation of continuous improvement
 To achieve defect-free production, JIT production
systems emphasize continuous improvement.
 Poka-yoke

A poka yoke is a Japanese term that means “mistake

proofing.” All inadvertent defects can be prevented
from happening or prevented from being passed along.
Poka Yokes use two approaches:
1. Control systems
 stop the equipment when a defect or unexpected
event occurs.
 This prevents the next step in the process to occur
so that the complete process is not performed.
2. Warning systems
 Signal operators to stop the process or address the
issue at the time.
 LO 3: Develop Change Capability
1. The structure of kpt
How get started KPT activities
Preparation
I. Finding a rationale for KPT activities
II. Management indoctrinated in QC Circle
activities
III. Management attendance at QC Circle
convention
Installation
 Implementation
Implementation Procedure Flowchart
Designing and using visual aids
 Any training session can be made more visual and thus
more interesting by using visual aids.
 We will give you some more information on, and
examine the uses of, the following:
 Overhead projectors
 Overhead transparencies
 Flipcharts
 Handouts.
Kaizen Training methods
 There are wide varieties of training method from which
you can select.
 The method you select will depend upon the subject and
the preferences of your trainees.
Demonstrations
 The purpose of demonstrations is to pass on
skills by imitation and practice.
 A good demonstration should include the
following:
 A step-by-step demonstration of the sub-
tasks;
 Some explanations from the trainer at
important points;
 An opportunity both for the trainees and
trainer to ask questions;
 An opportunity for the trainees to practice
Presentations and discussions
Giving presentations is a common way of giving
information to a group of people where the trainer
shares his or her knowledge and expertise and the
group listens.
A discussion is an exchange of opinion and
knowledge between the trainer and the trainees that
generates ideas and allows people to learn from each
other.
Videos and DVDs
A large number of professionally produced videos are
available on the market, covering a wide range of
topics.
 LO 4: Implement improved processes
Promote continuous improvement
 Continual improvement requires the ability to
understand the processes that impact on the
objectives of the organization; to measure
process effectiveness and efficiency; and, to
make changes to these processes based on
factual information and knowledge.
 The Ultimate Goal of continuous improvement
Strategy
 Quality refers not only to the quality of
finished products or services but also to the
quality of the processes that go into those
products or services.
 Cost refers to the overall cost of designing,
producing, selling, and servicing the product or
service.
 Delivery means delivering the requested
volume on time. When the three conditions
defined by the term QCD are met, customers
are satisfied.
Brainstorming
 Brainstorming is way of developing many
creative possible solutions to a problem. It works
by focusing on a problem, and then coming up
with very many radical solutions to it.
 Ideas should deliberately be as broad and odd as
possible, and should be generated as fast as
possible by all participants. During
brainstorming sessions there should be no
criticism of ideas. Brainstorming is trying to
open possibilities and break down wrong
assumptions about the limits of the problem
 Implementation of improved process
The Steps of process improvement
1. Process improvement is identified
The scope of the process to be improved should
also be agreed to by the KPT team leader and the
KPT team sponsor. Therefore, it is necessary to
define the scope of the process to be improved;
the customer of the process who is influenced by
process improvement; and, who uses the output
of the process.
2. Capture the performance of the current process
The team should produce a more detailed map of the ‘as-is’
process to facilitate an accurate understanding of the current
process.
The process improvement project team should collect data
on the current performance of the process to be improved.
The work within a process can be categorized as follows:
 Value-adding
Value adding work produces or delivers a service or product for
which a customer in some form or other is prepared to pay.
 Non-value-adding.
Non-value adding work is work for which the customer
normally does not want to pay (but may have to due to
organizational or regulatory requirements).
3. Quantify and prioritize the process improvement possibilities
 Data is gathered to identify opportunities, quantify problems,
measure results and provide information to enable situational and
trending analyses to be carried out using tools and techniques
appropriate to the improvement initiative.
4. Identify improvement options
 In this step, the KPT team identifies options to
correct true causes of process problems or to seize
improvement opportunities.
 The process improvement team should develop
potential improvement options that:
• Meet the goals set;
• Attack verified true causes or focus on
particular aspects of good practices or ideas;
• Meet customer requirements;
• Deliver value to the organization; and,
• Take into account any constraints such as
regulatory requirements.
5. Map the improved process
 Implementation should focus on an improved
process that makes significant progress towards
the ideal. This leaves the team with an option to
return later to make further improvements. The
team should map improved processes so that the
changes can be easily identified when compared
to the current process.
 Mapping of the improved processes can take
place in an earlier step if it is more logical to do
so.
6. Plan the implementation of the improved process
 At this step, the implementation of the improved process
should be fully planned and resourced using different
techniques to manage each improvement. At this stage the
need for a pilot or trial for each improvement.
 Each major activity of the project plan should be
identified and then broken down into tasks and
responsibilities with any dependencies between tasks
identified.
 Each activity should be scheduled into a timeline and
sequenced in a logical manner (sometimes referred to as a
critical path network).
 The skills and resources (equipment, people, and money)
necessary to implement the improvement should be
identified in the plan and sought from those controlling
the resources.
7. Formalize and implement the improved process
 The improved process should be fully implemented only
after all supporting documentation has been formalized
and is in place.
 Process changes may be formalized in documents such
as procedures, policies, work orders, training programs,
and guidelines.
 The improved process should be given to the process
owner for implementation.
 The process owner should ensure that staff are
competent; understand the improved process; and,
support the implementation.
 Organizations should strongly consider the merits of
running both old and new processes in parallel until the
new one is proven to be acceptable.
8. Monitor and measure implementation
 It is essential to monitor and review the
implementation of process improvements using
the previously identified performance measures
to demonstrate successful implementation.
 The SMART measures for each improvement
that were identified earlier should be monitored
to ensure that the targets are achieved.
 It is important to measure actual results and to
compare them to expected results.
 Checks should also be carried out to ensure that
the goals and objectives contained in the terms
of reference have been realized.
9. Identify lessons-learned from the
improvement
 The lessons-learned from implementing each
process improvement should be examined and
analyzed to identify
problems/difficulties/successes so that the
lessons-learned can be utilized to ensure the
success of other process improvements.
 This is intended to ensure that learning is used
to improve the continual improvement
programme and the process improvement
methodology adopted by the organization.
10. Formally close each improvement
process
 Each process improvement is formally
closed down when it has been fully
implemented and the lessons-learned
have been applied.
 Process improvement should be formally
closed to demonstrate to staff that the
improved process is now part of normal
operations.
 LO 5: Establish direction & Control
System audit tools
1. 5S audit
 Using the same Chart for the 5S Audit Rating
Chart & 5S Levels of Achievement Chart
 Filled out automatically & Color code the chart
 The 5S Levels of Achievement are connected
with the 5S Audit Tool
 There are only “two” levels of achievement for
the first 3S’s (Sort, Store, & Shine). Standardize
has 3 levels and Sustain has 4 levels of
achievement.
2. Patrol system
 Top management Patrol
Must
Check Up the activities Comprehensively
Give emphasis on sustaining of the activity
consider committees feedback
 5S Committee members and Promotion office Patrol
Must
Evaluate “5S Check List”
Record problems on”5S check findings”
Tack picture of 5S problems
 Mutual patrol
 Check mutually among 5S groups.
 Self-patrol
 5S leader and members check the results of activity by
themselves.
 Checklist patrol
 Point out the problems by themselves at site as well as
evaluate the results and encourage members to urge
KAIZEN.
 Camera patrol
 Visibly highlight the problems and progress of the
activity using photographs.
3. Kaizen board (visual management board)
 Visual boards show team successes and
provide communication without the need for
every team member to be present. A visual
management system normally consists of some
type of large whiteboard that has key points,
which are important to each team member.
4. Key performance indicators (KPIs)
 KPI provides the most important performance
information that enables organizations or their
stakeholders to understand whether the
organization is on track toward its stated
objectives or not.
 Help organizations understand how well they are
performing in relation to their strategic goals and
objectives.
Implementing and Using KPIs Effectively
1. Creating good key performance questions
(KPQs)
2. Deciding on the Right KPIs
3. Deciding on How to Collect the Data
4. Finalizing Your KPIs: Applying the KPI
Design template
•Thank you/
Amesegnalew!/