Creating Mixed Model Value Streams : Practical Lean Techniques for Building to Demand, Second Edition book cover
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Creating Mixed Model Value Streams
Practical Lean Techniques for Building to Demand, Second Edition





ISBN 9781439868430
Published July 26, 2012 by Productivity Press
258 Pages 98 B/W Illustrations

 
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Book Description

Following in the footsteps of its bestselling predecessor, Kevin J. Duggan, an executive mentor and recognized authority on Lean and Operational Excellence, draws on more than 10 years of experience and learning to provide Creating Mixed Model Value Streams, Second Edition. This second edition takes a step-by-step approach to implementing Lean in complex environments and describes which Lean techniques to use when faced with difficult situations—including high product mix, scheduling problems, shared resources, and unstable customer demand. In addition to a new section on handling shared resources to support mixed model production, the second edition:

  • Contains updates to sections on mixed model value streams
  • Introduces new information on constructing product family matrices
  • Expands on the concept of takt in mixed models
  • Provides additional insights on existing mixed model concepts, such as determining product family, takt capability, and heijunka (load level scheduling)
  • Presents new concepts on sequencing work, such as offset scheduling and sequenced first-in, first-out (FIFO) lanes

Illustrated with a case study based on actual experience as well as a CD with helpful tools, the book walks readers through the reasoning the author has used with great success in practice. It delves beyond the basics of value stream mapping to explain how to create future states in a manufacturing environment characterized by multiple products, varying cycle times, and changing demand. Demonstrating advanced techniques for creating flow through shared resources, it also considers the concept of a guaranteed turnaround time for the shared resource.

The Accompanying CD Includes:

  • Spreadsheet and tutorial for sorting products into families
  • Spreadsheets for calculating equipment required and for determining the interval for Every Part Every Interval (EPEI)
  • Samples of visual method sheets for standard work
  • Case study value stream maps and mapping icons

Table of Contents

Introduction
     Questions for Mixed Model
Getting Started 
     Challenges of the Real Factory 
     A New Look at These Challenges with Value Stream Mapping 
     Where Do We Start?
Welcome to EMC Supply Company
     Our Visit to EMC Supply 
     Mixed Model Production

Product Families and the Pacemaker
Question 1—Do We Have the Right Product Families? 
     Product Families: A Closer Look 
     Developing the Product Family Matrix at EMC 
     Refining the Product Families 
     The Current-State Map
     Developing a Future State
Question 2—What Is the Takt Time at the Pacemaker?
     Takt Time
Question 3—Can the Equipment Support the Takt Time? 
     Cycle Time
Question 4—What Is the Interval? 
     Determining the Interval

Flow at the Pacemaker
Question 5—What Are the Operator Balance Charts for the Products? 
     What Time Do We Balance To? 
     Creating Operator Balance Charts 
     Balancing Machine Cycles 
     Identifying the True Pacemaker 
     Material Presentation
Question 6—How Will We Balance Flow for the Mix?
     Balancing Products with High Work Content into the Family
     Varying Labor: A Closer Look 
     Changeovers at the Pacemaker
Question 7—How Will We Create Standard Work for the Mix? 
     Documenting Standard Work 
     Visual Method Sheets 
     Smart Tools and Standard Work

Pitch and Scheduling
Question 8—How Will We Create the Pitch at the Pacemaker? 
     Leveling Using Pitch 
     The Schedule Box 
     Creating Pitch at EMC Supply 
     Inverse Pitch 
     The Future State
Question 9—How Will We Schedule the Mix at the Pacemaker?
     Mix Logic Charts
     Creating the Mix Logic Chart at EMC Supply 
     Leveling the Mix 
     Loading the Schedule Box 
     The Future State

Customer Demand
Question 10—How Will We Deal with Changes in Customer Demand? 
     Smoothing Demand with Dynamic Supermarkets 
     Building to Changing Customer Demand 
     Determining the Starting Point 
     The Future State

How Will Upstream Processes Support the Pacemaker?
Offset Sequencing
Sequenced FIFO

Putting It All Together
How Does It All Work?
     Running the Future State 
     What’s Next for the Team?
Kevin J. Duggan on Lean

Appendices
Lean Glossary
EMC Supply Data Set

Important Sources

Index

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Author(s)

Biography

Kevin J. Duggan is a renowned expert with more than 30 years of experience in applying advanced Lean techniques to achieve Operational Excellence. He is the author of three books on the subject: Design for Operational Excellence: A Breakthrough Strategy for Business Growth (McGraw-Hill, 2011), Creating Mixed Model Value Streams: Practical Lean Techniques for Building Demand (Productivity Press, 2002), and The Office That Grows Your Business—Achieving Operational Excellence in Your Business Processes (The Institute for Operational Excellence, 2009).

In 1998, he founded Duggan Associates, an international training and advisory firm, to assist companies applying advanced lean techniques into their operations. In 1999, Duggan began working with the Lean Enterprise Institute as a faculty member and also as a Director for the Lean Enterprise Institute Canada while he continued to mentor companies implementing lean. He has developed several advanced workshops such as Creating Mixed Model Value Streams, Creating Flow Through Shared Resources, Creating Flow Through The Supply Chain, Creating Business Process Value Streams, and Lean Product Development that have been adopted by major corporations as part of their production systems. In 2007, he founded the Institute for Operational Excellence, the leading educational center on Operational Excellence, to provide resources including classroom workshops, online training, how-to articles, and books on how to achieve Operational Excellence to a global community of members.

Duggan has assisted many major corporations worldwide over the past 12 years, including United Technologies Corporation, Caterpillar, Pratt & Whitney, Singapore Airlines, IDEX Corporation, GKN, FMC Corporation, and Parker Hannifin.

A recognized authority on Operational Excellence, Duggan has contributed to publications such as Industry Week, Aviation Week, and American Executive, and has appeared on CNN and the Fox Business Network. Duggan is a frequent keynote speaker, master of ceremonies, and panelist at international conferences such as the Australian Operational Excellence National Forum, the European and American Manufacturing Strategies Summit, European Process Excellence in Manufacturing, and Aviation Week’s Management Forum. He also guest lectures graduate students in business at colleges throughout the United States, including the University of Michigan and Ohio State.

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Kevin Duggan

Founder, Institute for Operational Excellence
North Kingstown, RI, USA

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Reviews

... required reading for most firms that are serious about Lean transformation. It not only addresses a critical need for companies in a high-variety product environment, but also covers many details in developing your Lean system. It deals with more complex issues, but it is written clearly and presented in a very digestible form. It is one more step toward moving beyond copying what we see in Toyota plants and developing our own Lean production systems.
—Jeffrey K. Liker, University of Michigan and Shingo Prize-Winning Author of The Toyota Way

Praise for the Bestselling First Edition:

Finally, a book that addresses the real world complexity of implementing lean in a mixed model environment! Creating Mixed Model Value Streams is must reading for anyone who is trying to make improvements beyond a basic value stream map. From selecting a product family to scheduling and dealing with customer demand, this book shows you how to implement a lean value stream in a way that everyone will understand.
—Glynn Miller, Director, Consumer Centered Enterprise

This excellent how-to guide will help set free those of us who have been handcuffed by complexity in our manufacturing systems. It translates theoretical lean into practical guidance for use in the trenches.
—Al Mason, Manager, Process Improvement, Goodrich Corporation

We work with companies across all industry sectors enabling them to keep increasing their levels of Lean expertise. One of the issues we see them struggle with time and again is, 'How do we make product flow when there are a variety of products in the same value stream?' Without any quality books on the topic, it has been no easy task to explain - until now. This book demystifies and simplifies the concept of Flow in complex environments. When you put the book down, you will understand there is a solution to your situation. Your only regret will be - why didn't I have this knowledge sooner.
—Larry D. Cott, Lean Advisors Inc.

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