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MGT2320 > Chapter 16: JIT and Lean Operations > Flashcards

Chapter 16: JIT and Lean Operations Flashcards

1
Q

TPS Definition

what it is and what does it stand for (test question)

A
  • focus on employee learning and improvement
  • continuous effort to product products under ideal conditions
  • high quality, cycle time as low as possible
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2
Q

JIT/Lean Operations

A

Good production systems require that managers address three issues that are pervasive and fundamental to operations management: eliminate waste, remove variability, and improve throughput

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3
Q

JIT

A

is a philosophy of continuous and forced problem solving via a focus on throughput and reduced inventory
- emphasizes forced problem solving

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4
Q

TPS

A

emphasizes continuous improvement, respect for people, and standard work practices
- emphasizes employee learning and empowerment in an assembly-line environment

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5
Q

Lean production

A

supplies the customer with their exact wants when the customer wants it without waste
- emphasize understanding the customer

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6
Q

Eliminate Waste

A
  • -Waste is anything that does not add value from the customer point of view
  • -Storage, inspection, delay, waiting in queues, and defective products do not add value and are 100% waste
  • -Other resources such as energy, water, and air are often wasted
  • -Efficient, sustainable production minimizes inputs, reduces waste
  • -Traditional “housekeeping” has been expanded to the 5Ss
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7
Q

Ohno’s Seven Wastes (good slide for test – refer to pg.582–> must know these in detail for test)

A
  1. Overproduction
  2. Queues
  3. Transportation
  4. Inventory
  5. Motion
  6. Overprocessing
  7. Defective products
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8
Q

The 5 Ss

A
  1. Sort/segregate
  2. Simplify/straighten
  3. Shine/sweep
  4. Standardize
  5. Sustain/self/discipline
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9
Q

Two additional Ss

A

Safety – build in good practices

Support/maintenance – reduce variability and unplanned downtime

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10
Q

Remove Variability

A
  • variability is any deviation from the optimum process.
  • inventory hides variability
  • less variability results in less waste
  • JIT systems require managers to reduce variability caused by both internal and external factors
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11
Q

Overproduction

A
  • producing more than what customer orders, producing oto early so then you will have to store.
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12
Q

Queues

A
  • wait time

- products waiting in idel time, storage time,

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13
Q

transportation

A
  • time spent moving from one place to another
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14
Q

inventory

A

-number one waste

  • wip inventory, raw materials in excess
  • excess operating supplies–> all of these are seen as waste
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15
Q

motion

A

-movement of equipment or staff–> doesnt at value to the product

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16
Q

overprocessing

A
  • any sort of work that is performed on the line or to the productthat doesnt add value to the product
17
Q

defective products

A
  • any kind of rework or scrap.
18
Q

Sources of Variability

A
  1. Incomplete or inaccurate drawings or specifications
  2. Poor production processes resulting in incorrect quantities, late, or non-conforming units
  3. Unknown customer demands
19
Q

Improve Throughput

A
  • -The time it takes to move an order from receipt to delivery
  • -The time between the arrival of raw materials and the shipping of the finished order is called manufacturing cycle time
  • -A pull system increases throughpu
  • -By pulling material in small lots, inventory cushions are removed, exposing problems and emphasizing continual improvement
  • -Manufacturing cycle time is reduced
  • -Push systems dump orders on the downstream stations regardless of the need
20
Q

Just-In-Time (JIT)

A
  • -Powerful strategy for improving operations
  • -Materials arrive where they are needed when they are needed
  • -Identifying problems and driving out waste reduces costs and variability and improves throughput
  • -Requires a meaningful buyer-supplier relationship
21
Q

JIT Partnerships (on the test)

A

JIT partnerships exist when a supplier and purchaser work together to remove waste and drive down costs

22
Q

Four goals of JIT partnerships are:

on the test

A
  1. Removal of unnecessary activities
  2. Removal of in-plant inventory
  3. Removal of in-transit inventory
  4. Improved quality and reliability
23
Q

Concerns of Suppliers

A
  • Diversification – ties to only one customer increases risk
  • Scheduling – don’t believe customers can create a smooth schedule
  • Lead time – short lead times mean engineering or specification changes can create problems
  • Quality – limited by capital budgets, processes, or technology
  • Lot sizes – small lot sizes may transfer costs to suppliers
24
Q

JIT Layout Tactics

A
  • Build work cells for families of products
  • Include a large number operations in a small area
  • Minimize distance
  • Design little space for inventory
  • Improve employee communication
  • Use poka-yoke devices
  • Build flexible or movable equipment
  • Cross-train workers to add flexibility
25
Q

JIT Work cells : Distance Reduction

A
  • Large lots and long production lines with single-purpose machinery are being replaced by smaller flexible cells
  • Often U-shaped for shorter paths and improved communication
  • Often using group technology concepts
26
Q

JIT Increased Flexibility

A

Cells designed to be rearranged as volume or designs change
Applicable in office environments as well as production settings
Facilitates both product and process improvement

27
Q

JITImpact on Employees

A

Employees may be cross trained for flexibility and efficiency
Improved communications facilitate the passing on of important information about the process
With little or no inventory buffer, getting it right the first time is critical

28
Q

JIT: Reduced Space and Inventory

A

With reduced space, inventory must be in very small lots

Units are always moving because there is no storage

29
Q

JIT Inventory

A

Inventory is at the minimum level necessary to keep operations running
–JIT Inventory Tactics

  • Use a pull system to move inventory
  • Reduce lot sizes
  • Develop just-in-time delivery systems with suppliers
  • Deliver directly to point of use
  • Perform to schedule
  • Reduce setup time
  • Use group technology
30
Q

Reduce Inventory

A

Reducing inventory uncovers the “rocks”
Problems are exposed
Ultimately there will be virtually no inventory and no problems
Shingo says “Inventory is evil”

31
Q

JIT Scheduling

A 
Schedules must be communicated inside and outside the organization
Level schedules
Process frequent small batches
Freezing the schedule helps stability
Kanban
Signals used in a pull system
32
Q

Kanban

A

Kanban is the Japanese word for card
The card is an authorization for the next container of material to be produced
A sequence of kanbans pulls material through the process
Many different sorts of signals are used, but the system is still called a kanban

33
Q

Advantages of Kanban

A
  • Allow only limited amount of faulty or delayed material
  • Problems are immediately evident
  • Puts downward pressure on bad aspects of inventory
  • Standardized containers reduce weight, disposal costs, wasted space, and labour
34
Q

JIT Quality Tactics

A 
Use statistical process control
Empower employees
Build fail-safe methods (poka-yoke, checklists, etc.)
Expose poor quality with small lot JIT
Provide immediate feedback
35
Q

Lean Operations

A

Different from JIT in that it is externally focused on the customer
Starts with understanding what the customer wants
Optimize the entire process from the customer’s perspective

36
Q

Building a Lean Organization

A

Transitioning to a lean system can be difficult
Lean systems tend to have the following attributes
–Use JIT techniques
–Build systems that help employees produce perfect parts
–Reduce space requirements

37
Q

how to build a Lean Organization

A 
Develop partnerships with suppliers
Educate suppliers
Eliminate all but value-added activities
Develop employees
Make jobs challenging
Build worker flexibility
38
Q

Lean Operations in Services

A

The JIT techniques used in manufacturing are used in services
Suppliers
Layouts
Inventory
Scheduling
—This slide identifies example areas where lean techniques apply to services. First, virtually every restaurant deals with its suppliers on a JIT basis due to the perishability of the inventory. Second, lean layouts are required in restaurant kitchens, where cold food must be served cold and hot food hot. Third, McDonald’s reduces inventory waste by maintaining a finished-goods inventory of only 10 minutes; after that, it is thrown away. Fourth, at airline ticket counters, ticket counter personnel show up just-in-time to cover peaks in customer demand.

MGT2320 (8 decks)

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