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JIT Implementation Manual

The Complete Guide to

Just-in-Time Manufacturing

Second Edition

Volume 3

JIT Implementation Manual

Flow Manufacturing –

Multi-Process Operations and Kanban

The Complete Guide to

Just-in-Time Manufacturing

Second Edition

Volume 3

HIROYUKI HIRANO

Japan.

CRC Press

Taylor & Francis Group

6000 Broken Sound Parkway NW, Suite 300

Boca Raton, FL 33487-2742

CRC Press is an imprint of Taylor & Francis Group, an Informa business

No claim to original U.S. Government works

Printed in the United States of America on acid-free paper

10 9 8 7 6 5 4 3 2 1

International Standard Book Number-13: 978-1-4200-9026-0 (Softcover)

This book contains information obtained from authentic and highly regarded sources. Reasonable efforts have been made to publish reliable data and

information, but the author and publisher cannot assume responsibility for the validity of all materials or the consequences of their use. The authors and

publishers have attempted to trace the copyright holders of all material reproduced in this publication and apologize to copyright holders if permission

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Contents

Volume 1

1 Production Management and JIT Production Management ...... 1

Approach to Production Management .................................................. 3

Overview of the JIT Production System ............................................... 7

Introduction of the JIT Production System ..........................................12

2 Destroying Factory Myths: A Revolutionary Approach ........... 35

Relations among Sales Price, Cost, and Proﬁt......................................35

Ten Arguments against the JIT Production Revolution ........................40

Approach to Production as a Whole ...................................................44

Volume 2

3 “Wastology”: The Total Elimination of Waste .........................145

Why Does Waste Occur? ...................................................................146

Types of Waste ................................................................................. 151

How to Discover Waste ....................................................................179

How to Remove Waste .....................................................................198

Secrets for Not Creating Waste ..........................................................226

4 The “5S” Approach .................................................................237

What Are the 5S’s? ............................................................................237

Red Tags and Signboards: Proper Arrangement and

Orderliness Made Visible ..................................................................265

The Red Tag Strategy for Visual Control ...........................................268

The Signboard Strategy: Visual Orderliness ......................................293

Orderliness Applied to Jigs and Tools ...............................................307

vi ◾ Contents

Volume 3

5 Flow Production .....................................................................321

Why Inventory Is Bad .......................................................................321

What Is Flow Production? .................................................................328

Flow Production within and between Factories ................................332

6 Multi-Process Operations ...................................................... 387

Multi-Process Operations: A Wellspring for Humanity on the Job .....387

The Difference between Horizontal Multi-Unit Operations and

Vertical Multi-Process Operations .....................................................388

Questions and Key Points about Multi-Process Operations ...............393

Precautions and Procedures for Developing Multi-Process

Operations ........................................................................................404

7 Labor Cost Reduction .............................................................415

What Is Labor Cost Reduction? ......................................................... 415

Labor Cost Reduction Steps ..............................................................419

Points for Achieving Labor Cost Reduction .......................................422

Visible Labor Cost Reduction ............................................................432

8 Kanban ................................................................................. 435

Differences between the Kanban System and Conventional Systems ...435

Functions and Rules of Kanban .......................................................440

How to Determine the Variety and Quantity of Kanban ..................442

Administration of Kanban ................................................................447

9 Visual Control ........................................................................ 453

What Is Visual Control? .....................................................................453

Case Study: Visual Orderliness (Seiton) .............................................459

Standing Signboards .........................................................................462

Andon: Illuminating Problems in the Factory ...................................464

Production Management Boards: At-a-Glance Supervision ................470

Relationship between Visual Control and Kaizen .............................471

Index ............................................................................................. I-1

About the Author ......................................................................... I-31

Contents ◾ vii

Volume 4

10 Leveling ..................................................................................475

What Is Level Production?.................................................................475

Various Ways to Create Production Schedules ..................................477

Differences between Shish-Kabob Production and Level Production ....482

Leveling Techniques .........................................................................485

Realizing Production Leveling ...........................................................492

11 Changeover ............................................................................ 497

Why Is Changeover Improvement (Kaizen) Necessary? ....................497

What Is Changeover? ........................................................................498

Procedure for Changeover Improvement ..........................................500

Seven Rules for Improving Changeover ............................................532

12 Quality Assurance ................................................................. 541

Quality Assurance: The Starting Point in Building Products .............541

Structures that Help Identify Defects ................................................546

Overall Plan for Achieving Zero Defects ...........................................561

The Poka-Yoke System ......................................................................566

Poka-Yoke Case Studies for Various Defects ......................................586

How to Use Poka-Yoke and Zero Defects Checklists .........................616

Volume 5

13 Standard Operations ............................................................. 623

Overview of Standard Operations ....................................................623

How to Establish Standard Operations .............................................628

How to Make Combination Charts and Standard Operations Charts ....630

Standard Operations and Operation Improvements ..........................638

How to Preserve Standard Operations ..............................................650

14 Jidoka: Human Automation ................................................... 655

Steps toward Jidoka ..........................................................................655

The Difference between Automation and Jidoka ..............................657

The Three Functions of Jidoka .........................................................658

Separating Workers: Separating Human Work from Machine Work ....660

Ways to Prevent Defects ...................................................................672

Extension of Jidoka to the Assembly Line .........................................676

viii ◾ Contents

15 Maintenance and Safety ........................................................ 683

Existing Maintenance Conditions on the Factory Floor .....................683

What Is Maintenance? .......................................................................684

CCO: Three Lessons in Maintenance ................................................689

Preventing Breakdowns ....................................................................683

Why Do Injuries Occur?....................................................................685

What Is Safety? ................................................................................. 688

Strategies for Zero Injuries and Zero Accidents .................................689

Volume 6

16 JIT Forms ...............................................................................711

Overall Management ........................................................................ 715

Waste-Related Forms ........................................................................730

5S-Related Forms .............................................................................. 747

Engineering-Related Forms ...............................................................777

JIT Introduction-Related Forms .........................................................834

321

5Chapter

Flow Production

Why Inventory Is Bad

Why Does Inventory Accumulate?

Every year, when heavy rains hit the forest, the streams

and rivers suddenly swell and sometimes overﬂow. Most

river ﬂooding is caused by localized downpours. The rivers

become wider and sometimes adjacent forks are reunited as

a single large river.

In factories, goods and materials should ﬂow in the fac-

tory much as water ﬂows in a river. But things tend to accu-

mulate. We could say that the “river”—the ﬂow of in-process

inventory—tends to “ﬂood.” Needless to say, it would be

better if this river of in-process inventory ﬂowed smoothly

and briskly. The following are some of the main reasons for

such “ﬂooding ” in factories.

Reason 1: Inventory ﬂow is behind the times

It has been a long time since large lot production gave

way to the era of wide-variety, small lot production, but

some manufacturers still have not caught up. They try to

use the old “shish-kabob” production schedules to turn

out orders for a wide assortment of product models in

small lots and, not surprisingly, “ﬂoods” often occur at

certain processes.

322 ◾ JIT Implementation Manual: Volume 3

Reason 2: Old habits are hard to change

Some factory managers understand quite well that this

is the era of wide variety and small lots. But they do not

have the energy and courage to let go of old familiar ways

and make the necessary changes. Rather than trying to

“go with the ﬂow,” they are just trying to stay aﬂoat for

the years remaining until their retirement age.

Reason 3: Unbalanced capacity brings unbalanced inventory

Inventory shoots through the “rapids” of high-capacity

processes, but it naturally gets backed up when it reaches

processes having lower capacity.

Reason 4: Inventory is sometimes gathered from several

processes

Some processes, such as painting and rinsing processes,

often use large equipment that can handle in-process inven-

tory sent from several processes. Naturally, the in-process

inventory from several processes accumulates at such

large equipment before being processed by it.

Reason 5: Inventory must wait to be distributed from large

processes

This is what happens at the downstream side of the large

equipment described under Reason 4. Each kind of pro-

cessed inventory must wait its turn to be sent on to one

of several downstream processes.

Reason 6: Inventory must wait for a busy operator

Sometimes operators work sequentially on a number of

machines. We call this “caravan” operations. In-process

inventory tends to gather at each machine until the oper-

ator gets a chance to process it. In other words, inventory

gathers wherever the operator is not.

Reason 7: Inventory accumulates when operators dislike

changeovers

Inventory tends to gather at presses and other processes

where changeover is regarded as arduous work. The

operators would much rather do fewer changeovers by

handling large lots.

Flow Production ◾ 323

Reason 8: Inventory accumulates in factories that have

“end-of-the-month rushes”

This tends to happen at factories that have monthly

volumes to meet. The assembly line is especially busy

during the last ﬁve days of the month. In fact, workers

from all over the factory are called over to the assembly

line for the end-of-the-month rush. By the middle of the

month, the factory is chock-full of in-process inventory,

lined up to be assembled during this rush period.

Reason 9: Inventory accumulates due to faulty production

scheduling

Sometimes production planners are not knowledgeable

enough about inventory and include some noninventory

items as inventory. Such misunderstandings can lead to

incorrect inventory distribution planning when drawing

up production schedules.

Reason 10: Inventory accumulates when people forget to

revise standards

Once standards are set for lead-time, lot sizes, or accept-

able defect rates, people forget to revise them. Soon

workshops start producing extra goods in anticipation

of a certain percentage of defectives. Surplus production

means surplus inventory.

Reason 11: People tend to store up “ just-in-case” inventory

Things do not always go as planned. Sometimes, new

developments in a company’s business activities will

require a sudden change in production scheduling. All

company divisions—from sales to management, purchas-

ing, and manufacturing—like to keep a “safety margin”

of extra inventory around just in case a sudden change

of plans occurs. “Safety” is a misleading term here. What

these inventory buffers provide is not safety, but security

for the people in charge.

Reason 12: Inventory accumulates due to seasonal adjustments

No product sells at the same rate all year-round. Some

sell in cycles, and others have distinct seasons. No one in

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