2nd Edition
Lean Production for Competitive Advantage A Comprehensive Guide to Lean Methodologies and Management Practices, Second Edition
Lean Production for Competitive Advantage: A Comprehensive Guide to Lean Methodologies and Management Practices, Second Edition introduces Lean philosophy and illustrates the effective application of Lean tools with real-world case studies. From fundamental concepts to integrated planning and control in pull production and the supply chain, the text provides a complete introduction to Lean production. Coverage includes small batch production, setup reduction, pull production, preventive maintenance, standard work, as well as synchronizing and scheduling Lean operations. Detailing the key principles and practices of Lean production, the text also:
- Illustrates effective implementation techniques with case studies from a range of industries.
- Includes questions and completed problems in each chapter.
- Explains how to effectively partner with suppliers and employees to achieve productivity goals
Designed for students who have a basic foundation in production and operations management, the text provides a thorough understanding of the principles of Lean. It also offers practical know-how for implementing a culture of continuous improvement on the shop floor and in the office, creating a heightened sense of responsibility in all stakeholders, and enhancing productivity and efficiency to improve the bottom line.
In this second edition, the author addresses management’s role in Lean production. Early observers of Japanese methods focused on the shop floor to see amazing things unlike anything practiced elsewhere. And the thinking was, if the "methods" could be adopted by companies elsewhere, those companies would experience the success of the Japanese. What the early observers hadn’t considered were dramatic differences in the way those companies were managed, both daily and strategically. The "management side" of Lean production is addressed in two new chapters, one devoted to daily management, the other to strategy deployment. Additionally, there is a new chapter that addresses breakthrough improvement and an approach to achieving it called Production Preparation Process.
Every chapter has been revised and expanded to better tell the story of Lean production—its
history, applications, practices, and methods.
Foreword
Preface
Second Edition
Acknowledgements
1 Race without a Finish Line
Competitive Advantage: Better, Cheaper, Faster, More Agile
Lean Production and Total Quality Management
Lean Production and the Production Pipeline
The Lean Difference
Evolution of ManufacturingToyota Production System—Prototype for Lean ProductionTraining Within Industry
America’s Fall from Manufacturing Grace
The Imperative
Organization of Book
Notes
Suggested Reading
Questions
Research Questions
Section I. Continuous Improvement, Waste Elimination, Customer Focused Quality
2 Fundamentals of Continuous Improvement
Continuous Improvement as Tactics and Strategy
Finding and Implementing Improvements
Consensus Building
Summary
Notes
Suggested Reading
Questions
Problems
3 Value Added and Waste Elimination
Value-Added Focus
Sources of Waste
Lean Principles
The Meaning of Lean Production
Summary
Notes
Suggested Reading
Questions
Problems
4 Customer-Focused Quality
Quality Defined
Total Quality Management
Six Sigma
Statistical Process Control
Employee Involvement and Quality Ownership
Implementing TQM
TQM and Lean Production
Summary
Notes
Suggested Reading
Questions
Section II. Elements of Lean Production
5 Small Lot Production
Lot Size Basics
Lot Size Reduction
Facilitating Small Lot Sizes
Continuous Improvement
Summary
Notes
Questions
Problems
6 Setup-Time Reduction
Improve Setups? Why Bother?
Setup-Reduction Methodology
Minimum Setup Time
Techniques for Setup Reduction
Setup-Reduction Projects
Setups Everywhere
Summary
Notes
Suggested Reading
Questions
Problems
7 Maintaining and Improving Equipment
Equipment Maintenance
Equipment Effectiveness
Preventive Maintenance Program
Total Productive Maintenance
Implementing TPM
Summary
Notes
Suggested Reading
Questions
Problems
8 Pull Production Systems
Production Control Systems
Pull Systems and Push Systems
How to Achieve Pull Production
Continuous Improvement
Practical Matters
Summary
Notes
Suggested Reading
Questions
Problems
9 Focused Factories and Group Technology
Ways of Doing Work
Facilities Layout
Group Technology
Focused Factory
Product-Quantity Analysis
Establishing Product-Machine Groups
Advantages and Disadvantages of Focused Factories
Summary
Notes
Suggested Reading
Questions
Problems
10 Workcells and Cellular Manufacturing
Workcell Concepts
Workcell Applications
Workcell Design
Workcells Beyond Manufacturing
Workers in Cells
Equipment Issues
Cell Automation
Implementing Cellular Manufacturing
Getting Started
Summary
Notes
Suggested Reading
Questions
Problems
11 Standard Work
Standard Work
Takt Time
Completion Time Per Unit
Standard Operations Routine
Standard Quantity WIP
Standard Operations Sheet
Standard Work and Continuous Improvement
Conditions for Successful Standard Work
Standard Work in the Service Sector
Leader Standard Work
Summary
Notes
Suggested Reading
Questions
Problems
12 Quality at the Source and Mistake-Proofing
SPC Limitations
100% Inspection (Screening)
Jidoka
Source Inspection and Pokayoke
Summary
Notes
Suggested Reading
Questions
Problems
13 Production Preparation Process, 3P
Breakthrough Redesign
Product Development Approaches
3P: Integrated Rapid-Learning
3P Events
Phases of 3P
Case in Point: Redesigning the Emergency Department
3P Necessary Conditions
3P Benefits
Summary
Notes
Suggested Reading
Questions
Section III. Lean Production Planning, Control, and Supply Chains
14 Uniform Flow and Mixed-Model Scheduling
Leveling Production
Mixed-Model Production: Heijunka
Production Planning and Scheduling in Different Circumstances
Final Assembly Scheduling versus Master Production Scheduling
Summary
Notes
Suggested Reading
Questions
Problems
15 Synchronizing and Balancing the Process
Synchronization
Bottleneck Scheduling
Balancing
Adapting to Schedule Changes
Summary
Notes
Suggested Reading
Questions
Problems
16 Planning and Control in Pull Production
The Whole Enchilada
Centralized Planning and Control System
Decentralized Planning and Control System
Shop-Floor Control
Adapting MRP-Based PPC Systems to Pull Production
Summary
Notes
Suggested Reading
Questions
Problems
17 Lean Production in the Supply Chain
Produce versus Buy
Relying on Suppliers
Supply Chain Management
Customer–Supplier Relationships
Partnership Relationships
Supplier Selection
Purchasing
Lean in the Supply Chain
Summary
Appendix: Supplier Kanban
Notes
Suggested Reading
Questions
Problems
Section IV. Lean Management System
18 Daily Management
Sustaining Gains
Lean Culture
Lean Transformation = Management/Leadership Transformation
Daily Management: Maintain Process Stability and Improvement
Tiers of Standardized Reviews and Accountability
Performance Measurement and PDCA
Leader Standard Work
Visual Management
Daily Huddles
Gemba Walks and Audits
Daily Readiness
Rapid Response and Escalation
Continuous Improvement and New Standard Work
Implementing Daily Management
Summary
Notes
Suggested Reading
Questions
19 Strategy Deployment
Improvements Tied to Strategies; Strategies Tied to Vision
Origins
Common Practices and Themes
Strategic Planning Preparation
Develop a Future Vision
Develop High-level Objectives and Strategies
Develop Annual Plan for High-Level Strategies
Deploy Strategies and Plans
Implement Plans
Review Progress
Control Departments
Strategy Deployment Calendar
Top Management Initiation
Benefits and Limitations
Summary
Notes
Suggested Reading
Questions
Index
About the Author
Biography
John Nicholas is professor of operations management at Loyola University Chicago where he teaches in the areas of production and operations management, healthcare management, project management, and global operations management. He first introduced a course on lean production at Loyola in 1990. As a management consultant he has conducted productivity improvement projects and training programs in process improvement, quality circles, project management, and teamwork.
He is the author of numerous academic and technical trade publications and four books, including The Portal to Lean Production: Principles and Practices for Doing More with Less and Project Management for Business, Engineering and Technology: Principles and Practices.
Prior to Loyola John held the positions of test engineer and team lead for Lockheed/Martin Corporation, senior business analyst at Bank of America, and research associate at Argonne National Laboratory. He has a BS in aerospace engineering and an MBA in operations research and management, both from the University of Illinois, and a PhD in industrial engineering and applied science from Northwestern University.
"In the outpouring of writings on Lean production, the single work that tells it all and tells it well is this book by John Nicholas."
-- Richard J. Schonberger, author of Japanese Manufacturing Techniques; World Class Manufacturing; World Class Manufacturing Casebook; Building a Chain of Customers; and Best Practices in Lean Six Sigma Process Improvement.