2nd Edition

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

By Kevin J. Duggan Copyright 2013
    258 Pages 98 B/W Illustrations
    by Productivity Press

    260 Pages
    by Productivity Press

    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 downloadable resources 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 Downloadable Resources Include:

    • 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

         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

    Lean Glossary
    EMC Supply Data Set

    Important Sources



    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.

    ... 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.