Lecture 1: Lean Enterprise / Lean Thinking Flashcards
What does Lean mean?
An approach that emphasizes the smooth flow of items synchronized to demand so as to identify waste.
Which costs can you reduce by being efficient? (4)
- Working hours
- Transportation costs
- Material costs (less waste)
- Manufacturing costs
What is Six Sigma?
A disciplined methodology of improving every product, process, and transaction.
What is a defect?
when one aspect of the product/service does not meet the requirements
What is a defective product?
When a product does not perform as it should
What is the question lean six sigma asks?
How can we make our process as efficient as possible
What does effective mean within the context of lean six sigma?
Reduce variation and defects
What does efficient mean within the context of lean six sigma?
Reduce waste, lean value-added steps
What did Hawthorne’s experiments show?
How worker productivity could be improved by worker participation
What does TQM stand for?
Total Quality Management
What does JIT stand for?
Just in Time Principle
What is the JIT principle?
The planning of materials in time for production, to make sure they arrive on time for production
Who taught of the JIT principle?
Taiichi Ohno
What are the five key principles of lean?
- Define value add and nonvalue add
- Map the value stream
- Establish process flow
- Shift from push to pull systems
- Strive for perfection/ zero defects
Who came up with the five principles of lean?
Womack
When is it not necessary to shift from push to pull systems?
When demand is fixed
When do you perform a Lean Six Sigma quality?
When 3.4 in 1 million products or less are not functioning well
What are reasons companies might not find it worth investing to reach six sigma levels? (4)
- one of the only companies that offers a product
- Not enough budget
- the market does not care about quality
- A product is really cheap (only when it is not critical)
What are the six sigma goals? (6)
- Higher quality of a product
- Reduce variation
- Higher customer satisfaction
- Reduce variation by eliminating waste
- High customer retention
- Increase in shareholder value
What does USL stand for?
Upper spec limit
What does LSL stand for?
Lower spec limit