Volume 11 Issue 8 | August 2010 | www.superfactory.com

 

The Superfactory Newsletter is published monthly to over 50,000 subscribers.

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Superfactory is operated by Factory Strategies Group, which provides training products and lean transformation strategy consulting to small and medium-sized companies.


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About - Articles
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Lean Manufacturing
Lean Overview - 3P - 5S - Jidoka - Kaizen - Value Streams - Visual Factory - Pull - JIT - Kanban - Quick Changeover - Cellular Manufacturing - Standard Work - Theory of Constraints - TPM - TWI

Lean Enterprise
Lean Manufacturing - Lean Office - Lean Accounting - Lean Design - Lean Project Management - Lean Sales & Marketing - Lean Supply Chains - Hoshin Planning

Lean Leadership
Gemba Walk, Servant Leadership, Leader Standard Work, Lean Culture, Lean Organizational Structure, Accountability and Visual Controls, Hoshin Planning

Lean Industries
Lean Manufacturing - Lean Office - Leah HR, Lean Financial Services, Lean Healthcare, Lean Education, Lean Construction, Lean Retail, Lean Hospitality

Quality
SPC - Root Cause Analysis - Six Sigma - FMEA - ISO 9001 - Mistake Proofing

Business
Balanced Scorecard - Design for Lean - Cost Accounting - Capital Budgeting - Competitive Intelligence - Knowledge Management - Job Design - Outsourcing Strategy - Supply Chain Strategy - Strategic Management - Project Management

Safety
Accident Investigation - Biosafety - Chemical Spills - Hazard Communication - and 35 more


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Over 500 forms, procedure templates, and tools for download.

Lean Toolkit - Procedures Toolkit - Quality Toolkit - Tools and Forms Toolkit - Engineering Toolkit - Materials Toolkit - Safety Toolkit - HR Toolkit - Six Sigma Toolkit - Finance Tookit


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From the Editor

Welcome to the Superfactory Newsletter!

The 2010 Lean Accounting Summit is only six weeks away! Join over 500 executives from around the world to learn how to implement and leverage lean accounting to become more competitive in these difficult times. Learn more.

The Superfactory video library, with nearly 600 virtual factory tour and lean informational videos, has been relaunched Superfactory TV to maintain the videosin a YouTube style. Visit Superfactory TV.

Our partner, Gemba Academy, just released a new 20 module online video (or DVD) course on The Seven Quality Control Tools. Sign up for a free preview to see why hundreds of companies are now using Gemba Academy training!

- Kevin Meyer

Manufacturing Excellence News

Stories of interest to the lean community.

In the Evolving Excellence Blog

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Recent posts in the Evolving Excellence blog include:

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Featured Discussions

The Superfactory LinkedIn Group has nearly 5,000 members networking and discussing various aspects of lean manufacturing. Hot discussion topics this month include:

  • How can the sales team help the factory floor?
  • What can organizations do to make their employees more accountable?
  • Indicators for a non-continuous process
  • Is collaboration the next supply chain optimizer?

Join the Superfactory LinkedIn Group to network with and learn from a group of lean leaders!

Upcoming Events

08/17/2010Logistics Performance, Cost, and Value Measures - Atlanta, GA - Georgia Tech
08/17/2010Developing People with Capability for Lean - Cambridge, MA - LEI
08/18/2010Coaching Skills for Lean Implementation Leaders - Cambridge, MA - LEI
08/19/2010Building the Lean Fulfillment Stream - Cambridge, MA - LEI
08/19/2010Leadership Series Silver: Smart Leadership - Cincinnati, OH - Definity Partners
08/23/2010Lean Certification Program - Cincinnati, OH - Definity Partners
08/23/2010Lean Simulation - Cincinnati, OH - Definity Partners
08/25/2010Leadership Series Gold - Effective Communication - Columbus, OH - Definity Partners
09/01/2010Top Line Growth (Profit 101) - Morris Plains, NJ - NJ MEP
09/01/2010Women in Green Forum - Pasadena, CA - Three Squares
09/07/2010Lean Certificate 8-Week Program - Springfield, MA - GBMP
09/13/2010Lean Manufacturing Certification - Ann Arbor, MI - U-Michigan
09/14/2010Building the Lean Supply Chain Professional - Atlanta, GA - Georgia Tech
09/14/2010Lean Office and Administration - Atlanta, GA - Georgia Tech
09/14/2010Getting the Right Things Done - Chicago, IL - LEI
09/14/2010Integrating Visual Management Tools and Leader Standard Work - Chicago, IL - LEI
09/14/2010Key Concepts of Lean - Understanding TPS - Chicago, IL - LEI
09/14/2010Lean Product Development - Chicago, IL - LEI
09/14/2010Managing to Lean: A3 Management - Chicago, IL - LEI
09/14/2010Value Stream Mapping for Manufacturing - Chicago, IL - LEI
09/14/2010Value Stream Mapping for the Office and Service - Chicago, IL - LEI
09/15/2010Lean Warehousing and Distribution - Chicago, IL - LEI
09/15/2010Managing Value Stream Improvement Projects - Chicago, IL - LEI
09/15/2010Sustainable Lean Culture: Connecting the Product and People Value Streams - Chicago, IL - LEI
09/16/2010Lean IT - Chicago, IL - LEI
09/16/2010Lean Problem Solving - Chicago, IL - LEI
09/16/2010Optimizing Flow in Office and Service Processes - Chicago, IL - LEI
09/16/2010Lean Simulation - Columbus, OH - Definity Partners
09/20/2010Re-Engineering Your Warehouse - Atlanta, GA - Georgia Tech
09/20/2010Lean Product Development Certification - Ann Arbor, MI - U-Michigan
09/21/2010Lean Accounting Summit - Las Vegas, NV - Lean Summits
09/21/2010Lean Simulation - Cincinnati, OH - Definity Partners
09/21/2010Shingo Benchmark Event - Middleboro, MA - AME
09/22/2010HR Issues - Morris Plains, NJ - NJ MEP
09/22/2010Transformational Leadership: An Experiential Program for Lean Leaders - Cambridge, MA - LEI
09/27/2010Process Excellence Leaders Meeting - Chicago, IL - IQPC
09/28/2010Lean Hospital - Morris Plains, NJ - NJ MEP
09/28/2010The Missing Link: Fundamentals of Lean Leadership - Cambridge, MA - LEI
09/30/2010Management Accounting for Lean Businesses - Cambridge, MA - LEI
09/30/2010Leadership Series Gold - Effective Communication - Cincinnati, OH - Definity Partners

View the full events calendar...

Featured Book

Standard Work for Noncyclical Processes
By Joseph Niederstadt
 

While it is a given that most Lean companies adopt methods to standardize cyclical activities, they often fail to apply the same rigor to noncyclical work, believing that it cannot be measured. Taking a hands-on approach reflective of his time as an operator on the line, Joseph Niederstadt lays out the methods he has instituted successfully in more than 30 factories around the world. He defines and details a proven process for building consistent quality products at reduced costs, and includes coverage of activities involving multiple machine job setters, maintenance, stockers, and quality auditors. When implemented correctly this method can help you increase utilization to 85 percent through intelligent data collection.

More Information | Previous featured books

Featured Article

Pitstop Your Changeovers
By John Henry

The most interesting part of auto racing is the pitstop and I am always amazed at how much is accomplished in such a short time. In a 15 second NASCAR pitstop the car gets fuel, 4 new tires, a windshield change, suspension adjustment and a drink of Powerade for the driver. Formula I racing, with different rules, does it in half that time.

Changeover is the process of changing a machine or process from running one product to another which many manufacturers do daily. It must be done with a pitstop mentality.

The reason for rapid pitstops and changeovers is the same on the track or in the plant: Money! Each second in the pits costs the racecar 250-300 feet in position. The difference between 1st and 2nd place is often inches and a hundred thousand dollars or more.

Each second lost to changeover can cost Each hour lost to changeover typically costs the manufacturer $1 to $10 ($5-50,000/hr) or more. Even at $5,000/hr, slashing 30 minutes a day from changeover dead time will generate $600,000/yr of additional profit. More importantly, no product is produced during changeover. Some plants will never be able to replace this lost production, sendingg customers to the competition.

So the motivations are the same but what about the techniques? These too are the same:

Preparation – When the car arrives in the pits, all the materials have been staged and are ready to go. There is no time lost going back to the warehouse to fetch materials or part. Instead of being loose, lug nuts are glued to the wheels. Instead of cleaning the windshield, they apply several layers of film that can be quickly peeled off in the pits. Most importantly the pit team is in position and raring to go when the car arrives.

Read the entire article | Previous featured articles

Featured Evolving Excellence Blog Post

Cafeteria Lean
by Bill Waddell

Like a lot of companies, Nissan approaches lean like the woman who orders a double cheeseburger, chili cheese fries ... and a Diet Coke ... approaches weight loss. It's a cafeteria approach - "I'll take the JIT and single sourcing (not to form a strategic relationship but to use the volume to hammer supplier pricing), but I'll pass on managing people as a fixed cost and compressing cycle times." And contrary to the opinions of the idiot savants writing for the business press, they are no more lean than the woman with her chili cheese fries is really dieting.

It seems Nissan is having to close several plants for a few days due to a part shortage. The part at the root of the problem is a microprocessor made by a Swiss outfit called STMicroelectronics. Despite Carl Ghosn's international pedigree, Nissan is still a very Japan-centric company. I am admittedly a bit fuzzy on the overall supply chain for these things, but they go into the motors for Nissans, which are produced by Mitsubishi and a Mitsubishi motor for a car made in Mississippi and sold in the USA is, of course, made either in Japan or Thailand. The electronics for the motors are provided, naturally, by another Japanese company - Hitachi - who does just about all of their manufacturing in Japan and China. STMicroelectronics assembles the microprocessors in China, but in spite of the marvels of Chinese manufacturing, the wafer fab is a bit tricky so it is done in Italy, France and Singapore.

So the supply chain, to give Nissan the benefit of the doubt and plot the shortest route would be from Singapore to China to Japan to another place in Japan to the United States - about a 15,000 mile four stop world tour. At worsts if there is more China and a trip to Thailand in the mix, it might be 20,000 miles plus. At the end of this tedious pipeline, there are not enough microprocessors coming out - "drawbacks of lean manufacturing methods, which call for carrying little inventory but make supply snags tougher to offset," according to the Wall Street Journal. This same weakness in lean manufacturing is at the root of Apple's troubles, as well, according to this guy. Now that one is really a stretch inasmuch as Apple does no manufacturing and would not know the first thing about it. They seem to agree with our friend Joe that manufacturing is first and foremost a pastime to occupy the idle time of stupid people - or at least something for the wretchedly poor to do to justify their daily bowl of rice.

Read the rest and comment... (6 comments so far)

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