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A - B - C - D - E - F - G - H - I - J - K - L - M - N - O - P - Q - R - S - T - U - V - W - X - Y - Z 5S - the 5 step process of organizing a workplace: Sort, Set, Shine, Standardize, and Sustain 5S Audit - a check process in 5S implementation where areas are inspected in comparison to their planned 5S state and a grade is given. This tool is used to sustain 5S 5S Cart - one stop supply location for all standard 5S materials (tape, signage, etc.) 5S-Set - a place for everything and putting everything in its place 5S-Shine - clean work areas where problems and out of place items are highly visible 5S-Sort - separating the necessary from the unnecessary and elimination the unnecessary (when in doubt - throw it out) 5S-Standardize - discipline of every location using the same guidelines when implenting 5S, Sharing improvements to be implemented company wide, and including time in operator standard work to perform 5S sustainment 5S-Sustain - maintaining 5S through disciplined audits and day to day management 5Why-Corrective Action - problem solving or corrective action process where one determines root cause of a problem, introduces a short term containment strategy, and then a long term corrective action (similar to the 8D process) 6 Sigma-Performance - operating at an error rate of less than 3.4 defects per million opportunities 6 Sigma-Philosophy - an ROI based business philosophy that encompasses an infrastructure of belted professionals continuously implementing six sigma projects to net savings and improvements 8D-Corrective Action - problem solving or corrective action process where one takes 8 Steps to fully implement the corrective action; developed by the military and popularized by Ford in the automotive industry. 1. Assemble a cross-functional team of experts, 2. Define the Problem fully, 3. Implement and verify Interim Containment Actions (ICAs) as needed. Also known as Temporary Fixes., 4. Identify and Verify Root Cause, 5. Choose and verify Permanent Corrective Actions (PCAs). Preventive Actions are also chosen, 6. Implement and validate PCAs, 7. Prevent recurrence of the Problem/Root Cause, 8. Recognize the efforts of the Team
-A- Activity Board - PDCA and visual management tool where planned activity is updated frequently with actual activity to drive action in daily processes Andon - visual management tool that notifies supervisors and managers of problems that are occurring at different places throughout the organization or facility
-B- Backlog - list of unshipped orders that customers are currently waiting on Batch Production - producing product or fulfilling orders using a batch and queue mentality as opposed to 1 piece flow Batch Size - the number of orders or quantity of product worked on in one process step. Contrary to 1 piece flow, an operator will work on several orders or several pieces at one time before passing the large lot of material to the next station. Best Practices - documented best ways and productivity metrics to complete tasks; these practices are shared across an organization to disseminate new standard work and reset targets higher so that continuous improvement results are completed faster and more effectively - BOM - bill of materials
Bottleneck - process step mid-stream that runs at a longer cycle time than processes on either side of it Brainstorming - group workout where ideas are generated to later be analyzed for effectiveness or applicability Business-Value Add - process step where no value is actually added to the product or order (the customer isn't willing to pay for it) but it is necessary given current conditions (IE: inspection) - BVA - business-value add
-C- - C of V - coefficient of variation
Collaboration - working together to produce continuous improvement across the enterprise Continuous Improvement - cultural mentality where everyone in the organization is always looking for safer, faster, lower cost and higher quality ways to perform daily business operations Conveyance - waste of moving a product or order from one location to another without adding value for the customer Correction - waste of rework on a product, process, or order that could have been avoided with quality at the source initiatives Corrective Action - any time a failure occurs, a corrective action should be prescribed. The corrective action should result in a long term solution applied to the current condition to prevent the failure from occurring again. Crosby, Philip - famous contributor to quality and Total Quality Management (TQM); created 14 steps to quality improvement Culture - immeasurable, undocumented, mores, norms, and guiding principles a company embraces and reinforces with it's actions and reactions to day to day activity Cycle Time - total time it takes a process step to complete its work and send the order/product to the next step in the process
-D- Dashboard - group of operational gauges and metrics used to drive action and maintain order in an operations department - DC - distribution center
Deming, W.E. - protégé of Walter Shewhart and key founding member of JUSE; famous for the PDCA cycle and quality through statistical process control - DMAIC - define, measure, analyze, improve, control; a problem solving process known primarily to be used in Six Sigma project management
- DPMO - defects per million opportunities
-E- -F- Fishbone Diagram - skeletal drawing of a fish where the head is used to note the problem and the rib bones are used to note possible areas in which the listed possible causes for that problem could occur Flow Production - continuous production of a standard part or group of parts, without stopping for changeover - FMEA - failure mode and effect analysis
Ford, Henry - took the conceptual idea of an assembly line from R.E. Olds, added a conveyor, and nearly perfected one piece flow mass production on the assembly line. Ford was also one of the originators and enforcers of waste elimination and standard work
-G- - Gap Analysis - method of comparing the current state with the optimal future state and what actions it will take to achieve that future state
Gauss, Carl Frederick - contributed much to statistics: one key contribution being the Gaussian Curve (normal curve) Gemba - Japanese term; the actual place or shop floor where the work is being done Genchi Genbutsu - Japanese term; Being able to thoroughly understand the status or condition by "going and seeing" that current condition Golden Broom - reward tool that highlights when an individual, department, or facility has maintained the highest level of 5S Go-See Management - culture where management goes to the place where work is completed as opposed to relying on reports and filtered information (Genchi Genbutsu) - Greenwashing - putting a spin on a product or procedure to make it seem better for the environment whenit is actually detrimental to the environment
-H- -I- Inventory - anything that sits on a balance sheet (can be classified as people, finished goods, WIP, storage space, and etc); possessing inventory as a buffer against current operational problems is wasteful and prevents from continuous improvement Ishikawa Diagram - skeletal drawing of a fish where the head is used to note the problem and the rib bones are used to note possible areas in which the listed possible causes for that problem could occur (also known as a fishbone diagram)
-J- Jidoka - Japanese term; quality at the source; gives the ability to stop the process when an abnormal condition is present to be able to build quality into the process Jones, Dan - author and initiator of Lean's evolution from TPS; Womack and Jones discovered TPS in their analysis of the automobile industry while attending MIT. Jones now heads up The Lean Enterprise Institute in America and dedicates his life to spreading lean principles and philosophies globally JUSE (Union of Japanese Scientists & Engineers) - formed after WWII to bring fast improvement to Japanese manufacturing capabilities and quality Just In Time - (JIT); planned absence of overproduction where work is not completed until it is necessary to complete it; there is no working ahead or performing unnecessary work
-K- Kaikaku - Japanese term; a substantial change/improvement that takes place very quickly (like in just a weekend or over the course of a few days) Kaizen - Japanese term; Kai = Change and Zen = Good/Better; together Kaizen stands for a small methodical continuous improvement steps that should be implemented daily Kanban - pull model ordering system where signals or triggers (kanbans) are sent to the next step upstream signaling work needs to be completed (Use 1, Order 1, Receive 1)
-L- Lead Time - total amount of time it takes an order to be filled and delivered (from customer firm order to delivery) Lean - business culture that evolved from TPS, TQM, six sigma, and many others; dedicated to continuously eliminating waste, reducing lead time, and improving the cash to cash cycle of an operations or organization Little's Law - formula that shows the mathematic relationship between lead time, inventory, and throughpu; formula is as follows: Lead time = Inventory / Throughput - LNPL - lower natural process limit
Lot Size - the standard quantity a product will be packaged and shipped in from facility to facility
-M- Mass Production - act of using continuous flow to produce large quantities of products Min/Max Inventory Ordering - inventory replenishment strategy in which a minimum level of inventory becomes the reorder point and the maximum level of inventory becomes the order ceiling; orders are placed and product is shipped/received to keep inventory levels within that min/max range Motion - waste of physical movement without adding value for the customer. IE: walking from one part of the facility to another part because product is not stored in the appropriate places. Muda - a form of waste typically referring to the seven wastes (Overproduction, Inventory, Overprocessing, Correction, Waiting, Conveyance, Motion) Mura - uneveness or instability in operations Muri - overburdening people and equipment
-N- Nemawashi - Japanese term; the process of gaining acceptance and preapproval for a proposal by evaluating first the idea and then the plan with management and stakeholders to get input, anticipate resistance, and align the proposed change with other perspectives and priorities in the organization (definition take from Lean Lexicon: a graphical glossary for Lean Thinkers, fourth edition; 2008; The Lean Enterprise Institute, Inc., MA) Non-Value Added - process step where no value is actually added to the product or order (the customer isn't willing to pay for it). Normal Curve - normal distribution of data in a bell shaped curve centralized around a mean and median point (also known as the Gaussian Curve) - NVA - non-value add
-O- Ohno, Taiichi - father of the Toyota Production System (TPS); brought the functionality of supermarkets to manufacturing One Piece Flow - fulfillment methodology where products or materials are worked on one a time in an assembly line manner One Point Lesson - visual description of standard work posted at the point the process or procedure is executed for the benefit of workers, supervisors, and visitors Operational Excellence - business culture that has evolved from TPS, TQM, six sigma, and many others; dedicated to continuously eliminating waste, reducing lead time, and improving the cash to cash cycle of an operations or organization Over Processing - when unnecessary administrative tasks are completed resulting in a waste of time and resources Over Production - completion of a process of building of a product earlier than a customer has ordered it or without a customer order altogether resulting in a waste of resources
-P- PDCA - Plan Do Check Act PDCA Control Methods - PDCA is used as a control method to continuously monitor plan versus actual; yearly, monthly, weekly, and daily employees will create a plan and check actual performance against that plan making adjustments where necessary to meet the plan - PDCA Problem Solving - PDCA is used as a scientific problem solving model in which an individual or team defines a problem, identifies the root cause, brainstorms improvements, tests improvements in an objective manner, and fully implements valid improvements only to repeat the process as implementation problems arise or are rooted out by a problem solving culture
- PFEP - plan for every part
Piece Price - total cost of each single unit of measure - Plan for Every Part - a file of information (usually electronic)providing all the details of a specific part (i.e. lengt, width, height, weight, stackability, etc); used to plan engineering for a specific part throughout portions or all of the supply chain
Poke Yoke - simple jig, switch, or process step that stops the process or notifies the operator when an error has occurred Policy Deployment - cascading and alignment of a corporate vision into management strategies to produce operational tactics - PT - process time
Pull - fulfillment model in which work is not done until it is necessary to fulfill a specific order requested by the next process step in the value stream (Kanban is a pull model)
-Q- -R- River of Waste - an analogy that references the operations as the ship and going down the river as the organizations daily work. Rocks are problems that surface in the day to day activity of an organization and the organizational automatic response is embedded deep in the culture of the organization. A firefighting culture will navigate around the rock and dump more water (inventory) in the river to cover the problem and prevent from running into it again, while a lean culture will stop the ship and investigate the rock, drill down to the root cause and remove it from the river so that water level (inventory) can be lowered to uncover more rocks (problems). - ROI - return on investment
-S- Scientific Management - business philosophy of using scientific problem solving and time/motion studies to increase productivity and efficiency; does not utilize operator knowledge Sensei - Japanese term; known as a teacher and expert in lean thinking as a result of years of experience Shewhart, Walter - a mentor to W.E. Deming and known as the father of statistical quality control. His theories related to statistical process quality control became industry standards and are still used today in many industry settings Sigma - one standard deviation away from the mean Sloan, Alfred - past president and chairman of GM; brought complexity to the supply chain by offering customer variety through design changes (planned obsolescence) Smith, Bill - known as the father of six sigma; extrapolated six sigma out of TQM as a culture of quality and continuous improvement, saved billions for Motorola and spread six sigma methodology to other companies thereafter Stability - lack of variation Standard Work - current best way to complete a task that is identified, documented, and then followed by allwho perform that standard work Standardization - act of standardizing work, processes, documentation, components and materials, and report out activity
-T- Takt Time - rate of customer demand, calculated as Total Customer Demand / Available Time Toyoda, Eiji - head of Toyota Motor Company until 1994, oversaw successful expansion of Toyota into other markets, worked with Taiichi Ohno and Shigeo Shingo Toyoda, Sakichi - engineer, Inventor, and Founder of Toyoda Automatic Loom Works which later evolved into Toyota Industries Corporation Traveling Turkey - discipline tool that highlights when standard work or mutually agreed upon processes have not been followed by an individual or department
-U- - UNPL -upper natural process limit
- URL - upper range limit
-V- - VA - Value add
Value Added - process steps where value is actually added to the product or order (the customer is willing to pay for it) Value Stream - stream or chain of events a product or order flows through from when the order is placed to when it is shipped Visual Management - lean principle where employees can visually see what is occurring, understand what is occurring, and react to it appropriately as a team
-W- Waiting - any time a person is waiting, it is a waste of their time thus adding more waste to the value stream; machines should wait on people rather than people waiting on machines Welch, Jack - legendary CEO of GE, popularized the implementation of six sigma organization-wide to gain billions of dollars in savings, believed in the normal curve to the extent that he enacted the controversial policy of differentiation in which employees were bucketed into top 20%, Middle 70%, and Bottom 10% buckets, the top 20% were rewarded, trained and pushed, the middle 70% were challenged, and the bottom 10% were let go - WIP - work in progress
Womack, Jim - author and initiator of American lean initiatives; Womack and Dan Jones discovered TPS in their analysis of the automobile industry while attending MIT; Womack now heads up The Lean Enterprise Institute and dedicates his life to spreading lean principles and philosophies globally
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