ISO 9001 Standard / ISO 9001 Standards – ISO 9000 Standard / ISO 9000 Standards Certification & Implementation

Why is Six Sigma Fascinating in ISO 9001 Standards?

Six Sigma has become very popular throughout the whole world. There are several reasons for this popularity. First, it is regarded as a fresh quality management strategy which can replace TQC, TQM and others.

Many companies, which were not quite successful in implementing previous management strategies such as TQC and TQM, are eager to introduce Six Sigma.

Development process of Six Sigma in quality management

Six Sigma is viewed as a systematic, scientific, statistical and smarter (4S) approach for management innovation which is quite suitable for use in a knowledge-based information society.

Second, Six Sigma provides efficient manpower cultivation and utilization. It employs a “belt system” in which the levels of mastery are classified as green belt, black belt, master black belt and champion. As a person in a company obtains certain

training, he acquires a belt. Usually, a black belt is the leader of a project team and several green belts work together for the project team.

Third, there are many success stories of Six Sigma application in well known world-class companies. As mentioned earlier, Six Sigma was pioneered by Motorola and launched as a strategic initiative in 1987. Since then, and particularly from 1995, an exponentially growing number of prestigious global firms have launched a Six Sigma program. It has been noted that many globally leading companies run Six Sigma programs (see Figure 3), and it has been well known that Motorola, GE, Allied Signal, IBM, DEC, Texas Instruments, Sony, Kodak, Nokia, and Philips Electronics among others have been quite successful in Six Sigma. In Korea, the Samsung, LG, Hyundai groups and Korea Heavy Industries & Construction Company have been quite successful with Six Sigma.

Lastly, Six Sigma provides flexibility in the new millennium of 3Cs, which are:

• Change: Changing society

• Customer: Power is shifted to customer and customer demand is high

• Competition: Competition in quality and productivity

The pace of change during the last decade has been unprecedented, and the speed of change in this new millennium is perhaps faster than ever before. Most notably, the power has shifted from producer to customer. The producer-oriented industrial society is over, and the customer-oriented information society has arrived. The customer has all the rights to order, select and buy goods and services. Especially, in e-business, the customer has all-mighty power.

Six Sigma with its 4S (systematic, scientific, statistical and smarter) approaches provides flexibility in managing a business unit.

The Wikipedia Website defines lean manufacturing as a management issue or philosophy that focuses on the elimination, if not reduction, of the seven wastes.

The so-called seven wastes are identified by labor experts as the factors, both huge and little, that effect or influence the profitability of the given company.

You know that companies spend most of their capital on investments, equipment and work force. The investments are expected to generate revenues, which in turn decide on whether the company will keep afloat.

The seven wastes that companies find as burdens to their production and existence are defeats, motion, inventory, over processing, transportation, waiting time and over production.

The seven wastes

As mentioned, the seven wastes are the usual factors that are blamed for the losses and demise of modern-day companies. The seven wastes, as you might have noticed, are somehow directly linked to the companies’ working culture and environment.

Over production make up for filing of inventories, which is not necessary and negatively related to production because as supplies increase, prices do fall or decrease, as stated in the law of supply and demand.

Over processing and slow motion result in longer wasting time, which makes companies unproductive. Motion of personnel is disturbed and made slower when there lots of equipments not used in the workplace that obviously make free movement hard.

You know that when people can move freely, they can get to do more activities and accomplish more tasks.

Defects and scraps in outputs can be prevented along with all the wastes. The seven wastes also involve and cover behavioral patterns of employees, which can negatively affect the overall being of the company.

Lean manufacturing advantages

There are numerous advantages and benefits enumerated from the implementation of lean manufacturing principles.

For one, savings are consequently generated, and revenues and incomes are rapidly and effectively improved. Savings will mean a lot to a company because capital is so hard to raise nowadays and operation factors and inputs are becoming more and more expensive.

Competition nowadays has also gone so intense that all companies, whether from different industries or not, are practically up against each others’ sleeves. Competitiveness is another aspect of the companies that lean manufacturing aims to cover.

To help cope up with the intense rivalry and competition among companies, lean manufacturing aims to boost production and quality credibility. These two factors are very essential when it comes to improving sales through active and good relations with customers and consumers.

The management and lean manufacturing

So one important question involving the adoption of lean manufacturing techniques is, “ when is management revamped or changed resulting from the implementation of lean manufacturing techniques?

The answer to the question can somehow get hard and complex. To seek answers for the above mentioned interrogative statement would also be equally complicated and will require too thorough probing and searching.

Lean manufacturing principally aims to rationalize and streamline operations of companies. Experts argue that the process does not necessarily require a change in management.

But it can be noted that the distinct features of almost all companies under lean manufacturing initiatives are the change and revamp in management. The subject is the main cause of stress nowadays among executives and directors.

It can be safe and logical to assert, however, that because lean manufacturing entails the elimination of wasteful practices and behaviors in the workplace that some executives are axed. It can be ironic that several board seats and top posts are onlygreat wastes of capital and compensation packages.

Lean manufacturing advisor recommend a change in management to most effectively make the adoption of lean manufacturing principles really work.

Lean manufacturing has become a very popular and widely adopted economic and corporate management philosophy. Companies around the world are starting to turn to it amid political and economic crises even in the most progressive all nations.

Yes, the hard times have extended from the third world countries to the fully developed or first world countries. It is because economies are now led and influenced by volatilities involving oil producers and companies.

Because all industries are practically run and powered by energy, companies seem to not get away from the problems hounding the energy sector.

For almost more than a year now, firms around the world have been suffering from crunches brought about by the increasing and soaring prices of oil in the world market.

A lot of companies have fallen and have weakened due to the rising oil prices. There are more and more companies now filing for bankruptcy protection not because their management messed up or some executives defrauded them, but because of the external environment posed by volatile oil prices.

That is why, lean manufacturing is getting more and more attention, and more and more companies are deciding to finally implement the principles of the strategy.

Lean manufacturing

What exactly is lean manufacturing? The popular Web site Wikipedia defines lean manufacturing as a philosophy in management that concentrates and looks closely at the reduction and elimination of the seven wastes.

The seven wastes are the usual tasks, equipment and practices found in the modern day work place. The seven wastes are identified as factors that hinder productivity or significantly weakens it.

The seven wastes lean manufacturing tries to scrap are the following:

Over production—experts believe that over production is a total waste of energy, efforts and capital. That is because overproduction makes up for over supply and piling up of inventories, which in turn will lower or bring down prices for the manufactured goods.

Over production also drains capital from firms, with most of the excess products either put into the trash can or reaching expiration dates.

Over processing— Over processing is basically similar to over production, only that over processing commands additional and unnecessary processes.

Transportation and motion— Lean manufacturing aims to reduce unnecessary costs for transportation. Motion is the pace of action within the work places. If the work stations are too compressed and small, workers will not be able to move freely, affecting their productivity.

Inventory and waiting— As mentioned earlier, lean manufacturing eliminates piled up inventories. Waiting time in all aspects is abolished because of the streamlined structure and because productivity is accelerated.

Scrap and defects—Mostly, lean manufacturing aims to combat the manufacturing of commodities and merchandise with scrap and defects.

Goods and outputs with scraps and defects are undervalued in the market. What is worse is that the credibility and image of the companies producing them are tainted, resulting to poor sales, poor revenue, then eventually to loss, and further, to bankruptcy and business closure.

Organizational change

Not because lean manufacturing is a strategy that initially and principally targets the structure of companies is lean manufacturing always commanding and demanding for organizational change.

Yes, lean manufacturing aims to rationalize, streamline and accelerate corporate operations. But its does not mean organizational changes follow.

The organization is basically not altered or changed upon implementation of lean manufacturing principles. Lean manufacturing never targets organizational change, but instead hits changes in the organizations’ environment design and work practices.

Organizational changes, however, are recommended and implemented along with lean manufacturing only when the desired results and outcome from lean manufacturing practices are not attained.

Failure of lean manufacturing is always found to be related to the effectiveness and adherence to the real principles in the implementation of lean manufacturing principles and strategies.

That is the only time when organizational change along with lean manufacturing is implemented. The effects and gains from the implementation will offset all the troubles and costs incurred, so why hesitate anyway?

Lean manufacturing and processing has been an important strategy and basic technique in helping companies improve their profitability and competitiveness.

The fundamental function of lean manufacturing and processing is to reduce wastes and unnecessary work practices and behaviors among workers of a particular manufacturing company.

Because the times have really gone hard, demanding and intense due to political and turbulent concerns affecting all nations, firms are currently facing challenges to be able to keep their profitability and efficiency.

In principle, there are seven identified ‘forms of waste’ within the work environment and systems that lean manufacturing and processing principally aims to alleviate, if not totally eliminate. These are over production, over processing, transportation, motion, inventory, waiting and scrap and defects.

Lean manufacturing and processing principles not only reduce operational costs but also aims to boost, restore and drastically improve the competitiveness of a troubled or struggling, even already good-performing, company.

That is basically why learning about lean manufacturing and processing has somehow become imperative for major and global companies.

The era of complete globalization is at hand. That contributes more pressure for companies to start acting right away to be able to survive the rough and hard operational and company challenges ahead.

Lean manufacturing and processing

Lean manufacturing and processing surely gets companies moving along and enjoying huge benefits of really reducing operational costs. If savings are generated, the saved amounts can be used for further capital requirements and investments that could further help companies expand and grow organically.

Lean manufacturing and processing, however, is not very easy to implement and adopt. The companies involved should really and religiously pay particular attention to details to  be able to ensure the success of the efforts.

The number of companies adopting lean manufacturing and processing principles is surely and is apparently on the rise, no doubt about that.

But the thing is, firms adopting lean manufacturing and processing techniques are most of the time, not achieving target and aimed results because they are not doing the strategies and techniques properly.

Insufficient and ineffective implementation of lean manufacturing and processing principles and techniques will surely make the companies’ efforts and capital infusion for the initiative futile and wasted.

It should be noted, also, that lean manufacturing and processing principles would not stand on its own. Companies adopting and embracing them should also strive harder to attain their goals.

Learn about lean manufacturing and processing

Experts advise companies to really get involved in and further learn more about lean manufacturing and processing. It is a logical and surely beneficial effort because lean manufacturing and processing can surely help companies get on with the current challenges and concerns affecting all firms around the world.

There are many ways on how companies can get to learn more about lean manufacturing and processing principles and techniques.

For one, they can hire lean manufacturing and processing experts and professionals who are credible and knowledgeable on the subject and who can really help the companies attain and maximize the benefits of such strategies.

However, hiring lean manufacturing and processing professionals will entail additional costs and investments from companies. They should not really mind it, because the benefits from lean manufacturing and processing implementation will surely offset the little and minimal costs of learning it.

Another thing, companies can designate key personnel to specifically and intently learn lean manufacturing and processing principles and techniques.

It is a common practice by companies around the world currently. The arrangement sees the key personnel attends seminars and get books to really know or learn the lean manufacturing and processing principles.

After that, the designated and assigned personnel will relay the message and everything he learned to the whole staff. It is up to him whether he will make the learning process for his officemates fast-paced or low-paced.

What is important is that the skills and knowledge are distributed and communicated to the entire organization. That way, lean manufacturing and processing principles are really and seriously imbibed by all personnel, to make the strategies work overall for the company.

Lean manufacturing and processing should be learned by all companies because the benefits it assures them, is nothing compared to the costs of absorbing them, which are not really that significant.

Wise, isn’t it?

Lean manufacturing is a holistic and effective set of approaches, principles and business strategies that aims to maximize productivity by minimizing unnecessary, unproductive and wasteful practices, tasks, activities and behaviors in the work place.

The modern work place is bugged by many issues, with labor relations and labor concerns affecting both employee and employer relations and of course, the production of companies.

Because the times are ever so trying and challenging with all kinds of crises affecting the society, the political landscape and the working industry as a whole, firms around the world complain and suffer from declining profitability and narrowing margins.

The issue of labor relations are becoming so common worldwide, with all sorts of companies in all sectors and industries launching and introducing job cuts, streamlining efforts and restructuring efforts left and right and every now and then.

Thus, productivity, both in the company and the employees’ ends should be significantly boosted and improved to ensure the survival of businesses and of course, laborers.

Lean manufacturing

All companies from around the world are recognizing the value of implementing and adopting various and effective techniques to improve and help their businesses survive amid all crises.

The Japanese are the pioneers in introducing innovative and practical techniques, strategies and methodologies in business improvement. From the industrialization era in the 1980s to the modern and dotcom era of the 1990s up to the present, they never falter.

Experts could not really pin point the origin of lean manufacturing principles and concept as a whole, but analysts see lean manufacturing as somehow related and interconnected to the Japanese 5S working guide.

Basically 5S eliminates unnecessary and interrupting situations by ensuring that cleanliness, orderliness and systematic processes are in place in the workplace.

Lean manufacturing is somehow similar to that.

Learning more about lean manufacturing

There are various platforms and means on how people, especially managers, employers and work personnel, can significantly and efficiently learn and absorb lean manufacturing techniques.

There are various consultancy and training firms that offer long courses and mostly, short or crash courses about lean manufacturing.

It is important to note, however, that most training offerings for lean manufacturing are also costly, with the justification that savings and cost reductions to be generated from its implementation will surely make up for the training costs.

Lean manufacturing trainings are somehow viewed by modern companies as one of the business aspects and areas where investments should really be poured in.

Online, there are also a number of online sites that offer online trainings, but rarely can you find free training for lean manufacturing. Lean manufacturing training has surely become a profitable and money-generating business itself.

Free trainings

It is not only rare, but to say, impossible, for you to find online sites offering free training on lean manufacturing.

Indeed, some companies and experts on lean manufacturing have realized that their expertise and knowledge about the principles are becoming so in demand. Thus, it opens opportunities for earning and generating additional income.

Because it is important to know lean manufacturing strategies and techniques so companies can improve efficiency and production, free training and courses on lean manufacturing has become a dream that can totally be unachievable.

However, because free training for lean manufacturing will not be available online and in personal consulting and training venues, companies resort to invest on it by sending key personnel to costly and paid lean manufacturing training.

After that, these key personnel are expected to relay the message and the whole lean manufacturing training, of course, to the whole staff.

That is basically a practice adopted by companies trying to save on costs and operational investments.

Through that, lean manufacturing training is somehow being made free.

Lean manufacturing free training, an impossible dream?

Because most companies around the planet are struggling and striving to survive in these trying times, free training on lean manufacturing has hope.

Because most experts and lean manufacturing proponents are capitalizing on their knowledge, making free training on lean manufacturing an impossible dream, governments are expected to get in.

Because governments around the world aim to protect their constituents by ensuring people have jobs, they would strive to help local companies especially nowadays when businesses are on the brink of collapsing.

That is why some governments are expected to subsidize training on lean manufacturing and make them free for all companies to learn and implement.

For sure, that would not be far from happening.

Lean manufacturing is becoming a popular and widely used set of techniques and approaches aimed at boosting profitability and increasing competitiveness among major companies worldwide.

Because the world economy has somehow been subjected to various crises and turmoil from political and other economic hurdles, companies around the world are currently on the receding trend.

That is why companies do acknowledge the importance of integrating within them and adopting the helpful and effective strategies and principles of lean manufacturing.

Since lean manufacturing is basically involved in obtaining the right things, putting them to their proper and right places, during the right time, at the same time in ample and sufficient quantities, companies adopting them should really be careful in implementing them.

Lean manufacturing fundamentally aims to reduce waste and make companies more competitive by helping them turn into flexible firms which are open and subject to positive developments, innovations and changes.

Hence, the real challenges faced by all firms adopting the lean manufacturing principles are those that revolve around how to sustain gains from lean manufacturing.

Gains from lean manufacturing

There are several identified benefits that can surely arise from successful and effective implementation of lean manufacturing principles.

It is apparent and logical to state that lean manufacturing can have positive, direct and immediate influence and impact on companies. Implementation of lean manufacturing measures and techniques will surely and undoubtedly bring about numerous and significant gains and benefits to companies.

Lean manufacturing is sure to get companies reduce or slash manufacturing time without sacrificing output number and quantities. Experts believe that by implementing lean manufacturing principles within operations, companies can have a 50% to 90% reduction in overall manufacturing time.

That gain from lean manufacturing can be sustained only by continuing to implement effectively the helpful and effective principles of lean manufacturing.

Space gains

Another gain sure to be brought about by effective implementation of lean manufacturing is the reduction or lessening of floor space requirements.

Because lean manufacturing also involves the effective and strategic elimination of wastes and unproductive equipment in the work place, companies are expected to maximize space, making worker freer and faster to move around the work stations.

That could be sustained by preventing to buy unnecessary equipment. Redundancies and duplication of machines’ purposes and intent should also be avoided.

Increased benefits

If lean manufacturing reduces manufacturing time and floor space requirements, it can, on the other hand, increase a number of gainful aspects.

For one, productivity of companies increase by using and adopting the lean manufacturing principles and techniques. As mentioned earlier, because disruptions and unnecessary wasteful machines are taken out of the work place, personnel are more free to move around.

The comfort given to employees make them more efficient and thus make them more produce more outputs. In turn, that could be to the advantage of the company.

That lean manufacturing gain can be sustained by maintaining the smooth and effective implementation of lean manufacturing strategies and techniques.

Other gains of lean manufacturing

Companies adopting and integrating lean manufacturing techniques in their operations are also expected to improve their overall customer and client focus, boost the leadership potentials of their key personnel and make up for a leaner structure of the business.

What benefits would it be if companies achieve these gains? Of course, the overall profitability, competency and image of the company will be significantly boosted.

That would really count amid an intense competition, hard economic environment and overall rising of operational costs among companies.

To sustain such gains, it would be really imperative for companies to really maintain their focus on their goals and priorities upon implementing lean manufacturing techniques and principles.

Companies should remember that reaping benefits from such strategies upon initial successful implementation should not be a guarantee that the gains would keep on pouring.

Strong will power and determination would really keep companies afloat and surviving. Sustaining gains would be as hard an activity as seeking profit improvements and boosting competitiveness, but it is one concept and aspect, companies should really strive to get into.

Everyone wants to have a good physique and a healthy condition. When the entire body is working efficiently, the individual said to be strong and resistant to diseases. Training the body and toning the muscles can achieve this.

This analogy works in the business organization system. All departments work like the different parts of the body.  When one is efficient and the others are lagging, the entire unit is not working at the optimum level. Lean manufacturing techniques can firm up the company by reducing wastes and making the organization better

Lean manufacturing is a management philosophy that concentrates on eliminating wastes and dividing the resources of the company into departments and business projects that requires the most immediate attention. The lean manufacturing techniques gives the company the opportunity to harness the best possible mix of all the best their organization can offer.

The first step in lean manufacturing techniques is to hire a lean manufacturing techniques consultant. Just like in a gym, a person hires a trainer to teach them the proper way to exercise, tone and sculpt their bodies. In the same way, companies must hire a lean manufacturing techniques consultant to guide them on how to achieve zero waste in the workplace.

Depending on the lean manufacturing techniques consultant and services that they offer, the standard process of training involves teaching the staff, employees and managers in a classroom setting. The concepts of lean manufacturing must be clear to these people in order for them to fully appreciate the benefits of streamlining their systems.

Lean manufacturing techniques involves analyzing the problematic parts of the organization, including the production department, making an assessment of the most inexpensive yet effective solution an implementing it to the organization.

Lean manufacturing techniques programs

There are different types of lean manufacturing techniques programs available to businesses. Some of these are:

1. 5S – This is a simple and highly effective set of lean manufacturing techniques techniques that removes waste from the work environment through a better workplace organization, general cleanliness and effective visual communication.

The 5S means: Sort, Set in order, Shine, Standardize and Sustain. The 5S lean manufacturing techniques program clearly positions the methods within the framework of the principles of lean manufacturing and the improvement of values in the organization.

The core of this 5S lean manufacturing techniques program is that to achieve an easy flow of products or services in the company in small groups, cleanliness and a followed set of procedures is needed.

2. Hoshin Kanri – This type of lean manufacturing techniques makes an aligned team. It makes employees feel part of the development of the system. Because of this, the smaller units of the corporation help higher management achieve goals more effectively as new kaizens are identified and implemented, all consistent with the vision and strategy.

3. Kaizen – This type of lean manufacturing techniques is applied as a part of the system level approach to improvement. Kaizen events, also known as Kaizen Blitz, is a focused, more intense short-term projects that are made to improve the process of a certain department.

Kaizen events takes companies away from the traditional lengthy projects where valuable time and money is spent more on planning rather than making actual changes in the company.

4. Kanban – This is a type of lean manufacturing techniques focuses on the pull system of an organization. Kanban represents the visual aspect of the physical storage locations in the retail business.

Kanban and Supermarkets work hand in hand to establish and maintain the interactive relationship of the products from the customer back to the producer and to the supplier/s. Lean manufacturing techniques explain the kanban scheduling systems that makes a more efficient way of stocking the goods from the warehouse to the point of purchase.

5. Set-Up Reduction (also known as Single Minute Exchange of Die or SMED) – This is a lean manufacturing techniques system that is often ignored. When the company doesn’t have standard or set of procedures to follow on the start of any working activity, time is wasted. Lean manufacturing techniques flexes this attribute by effectively allowing employees to get used to a system and then do it frequently for more efficiency.

There are only a few of the lean manufacturing techniques program available to any business. Six Sigma training, value stream mapping, lean assessment, lean accounting and standardization of work are among others.

Get a leaner and more effective company by undergoing lean manufacturing techniques. You will have no regrets with the number of benefits this training system can do for your organization.

The theory of constraints and lean manufacturing are two of the most famous business beliefs that have made an impact to the business industry for years.

Though both popular in the business field, the theory of constraints and lean manufacturing are both similar in some aspects as they are in complete conflict in other views.

Listed below are some of the strengths of the theory of constraints and lean manufacturing:

1.The theory of constraints provides focus to the student in a world of information overload.

2.The theory of constraints provides its practitioners an opportunity to improve their organization by limiting their focus on very few issues which are the seen constraints to ongoing profitability.

3.The lean manufacturing on the other hand became famous after being derived from the system of the successful Japanese automobile maker Toyota. The lean manufacturing approach teaches that to improve the organization, a practitioner must focus on the elimination of any or all waste.

Listed below are some of the similarities of both the theory of constraints and lean manufacturing:

1.As is evident, the theory of constraints and lean manufacturing both focus on the improvement and advocate techniques to control the process flow of a material on the manufacturing shop floor.

2.The theory of constraints and lean manufacturing have both demonstrated impact results of implementations. That is, profitability skyrockets, as well as inventories and lead times are slashed and the operations are drastically simplified in both the theory of constraints and lean manufacturing.

3.Both the theory of constraints and lean manufacturing recognize that the perspective of the change agent must not be limited to the manufacturing part of the business but must echo throughout the rest of the company. This is in order to gain and maintain the improvement trends that both theory of constraints and lean manufacturing are focused on.

4.Both the theory of constraints and lean manufacturing are able to expand their scope in order to cover principles and practices of the entire business system. This will enable a continuous system-wide improvement for both the theory of constraints and lean manufacturing.

5.Both the theory of constraints and lean manufacturing embrace the concept of value. Both the theory of constraints and lean manufacturing are two philosophies that agree that value is defined by the end customer.

6.Both the theory of constraints and lean manufacturing have an acknowledgement that the customer value is created by a chain of interdependencies that pushes far beyond the walls of manufacturing.

7.Both the theory of constraints and lean manufacturing also acknowledges that the work goal of every person in the business organization is to turn the inventory into throughput.

8.Both the theory of constraints and lean manufacturing observe defining the system and understanding the actual process flow as an early step.

9.Both the theory of constraints and lean manufacturing advocate the concept of the importance of flow.

10.Both the theory of constraints and lean manufacturing embraces the Pull principle while also offering methods of control to the flow of product that are based from the Pull principle from the market.

11.Both the theory of constraints and lean manufacturing agree that the business organization is focused on pursuing ongoing improvement. Both the theory of constraints and lean manufacturing agree that it is an endless pursuit of perfection.

12.Both the theory of constraints and lean manufacturing are also recognizing the importance of the workforce in participating in improving systems. It is noted by both the theory of constraints and lean manufacturing that it is the ownership of ideas together with the demonstrated results that ignites the flame of continuous improvement.

Listed below are the main difference between the theory of constraints and lean manufacturing:

1.Both the theory of constraints and lean manufacturing differ in how they focus their energies. The theory of constraints focuses on the notion to improve the system beginning with the current state of the system. The lean manufacturing, however, is bent on eliminating or reducing waste.

2.Both the theory of constraints and lean manufacturing differ in how the boundaries are defined in the value stream itself. The theory of constraints focuses on resources that are shared across value streams while lean manufacturing organizes itself around specific products.

Steel companies have caught up with the fever and are trying to implement lean manufacturing in their operations. Lean manufacturing of steel is a production process that seeks to eliminate waste in all steel  production phases with the end purpose of satisfying the customer.

Results of a successful implementation of lean manufacturing of steel are monumental: huge reductions in production cost and inventory and cycle times, large gains in quality, and evident improvements in delivery reliability.

Traditional approaches to implement basic lean manufacturing in companies involve :

(a) a top-down rolling out of concepts

(b) installing and following goal-curves across management levels, meaning departmental goals must be in sync with each other and people are held accountable to meeting their targets

(c) doing the easy tasks first and gaining momentum from small successful results

(d) interactive education and creating at atmosphere that welcomes taking risks and

(e) initiating a pilot project before wide scale implementation.

Although very worthwhile, lean manufacturing is a very complicated process by itself. Lean manufacturing of steel even creates unique problems.

Steel parts that carry loads like automotive trains, jet engines, industrial bearings and metal-forming machinery are produced in a time-consuming multi-step process that involves a lot of grinding and polishing.

Steel parts are first molded out of metal that is relatively soft and then hardened by being subjected to high heat and quickly cooled in a liquid, or “quenched.” After this, steel parts still require precision finishing processes to produce ultra-smooth surfaces that reduce friction and wear

In steel production, equipments are often physically huge that rearrangement of these to reduce unnecessary human and machine movements may be unrealistic. Some processes in manufacturing of steel must be performed in large batches.

Because of the size of the products made, cycle time is often longer than in other manufacturing businesses. Metallurgical constraints limit the aggressive acceleration of heat-up and cool-down cycles.

Difficult equipment set-up increase production time, effort, yield loss and equipment deterioration. Protective inventories are necessary to avoid costly “out of metal” conditions during bottleneck operations and cannot be avoided.Traditional “kanban” or “signal controls are not suitable because some mills have a variety of routings and passes on the same equipment.

Also, unions and uncooperative labor relations make empowerment of employees and team building difficult to establish.

Despite these drawbacks, there have been success stories of lean manufacturing of steel.

In order to slash manufacturing costs by up to 30 percent and as to add $6 billion to the U.S. economy every year, Edison Materials Technology Center developed and refine, from 2000 to 2005, an innovative technique for making a wide array of hardened steel parts through lean manufacturing of steel.

“Hard turning”, a method to forge hot metal into nearly perfect parts and hardening and machining these after, was discovered to eliminate waste and possibly the need for polluting oils which are used in cutting and grinding. If hard turning will be applied to manufacture gears and turbine blades, this would meet EMTC’s goals.

EMTC has developed hard-turning technologies and a complete prototype system. Other members of the team are Delphi Automotive Systems, Torrington Co., Kennametal, Third Wave, Hardinge, Inc., Masco Tech, Georgia Institute of Technology, and Ohio State University.

Applying lean manufacturing of steel, Cairns Steel Fabricators also doubled its capacity and improved productivity. Established in 1979, CSF is a company focusing on steel fabrication and erection which employs around 60 personnel and handles 150 tonnes of steel per week.

QMI solutions offered a holistic approach to lean manufacturing of steel through its ProEdge Manufacturing Excellence program.

To ensure lean manufacturing of steel, CSF decided to address its internal processes first before expanding. CSF altered factory layout, house keeping and machinery setup. Efficient use of space and equipment resulted to increased productivity.

CSF positioned individual work areas in specific spots and color-coded tools to ensure they are returned to their proper places. In CSF’s case, it was important to look at the “little everyday things” in order to make the system leaner.

Lean manufacturing process is the process of empowering companies to be able to implement manufacturing methodologies that attempts to maximize the valued goods and minimize the waste that comes with it.

Every company has been asking what is lean manufacturing process. What is lean manufacturing process as compared to the present manufacturing methods and why should it be considered.

Lean manufacturing process hopes to satisfy not only the customers of a company but its employees and shareholders as well.

What Is lean Manufacturing Process To The Beneficiaries

1. What is lean manufacturing process to the customers?

Customers only pays for what they need. This is called value in the perspective of a company. Value is termed as something that the customer is willing to buy or pay for.

So basically, lean manufacturing process gives the customer what it wants. What is lean manufacturing process as an effect to customers is that it decides to make the manufacturing companies more customer centric and therefore more satisfaction to the customers.

Companies usually do surveys or just plainly asks a particular customers of his needs or wants and then focuses all its available resources and energies to that particular need.

2. What is lean manufacturing process to the employees?

Employees have long been part of the manufacturing line. They are considered to be a major part of the manufacturing line. If a company implements a lean manufacturing process, the employees will benefit from the ease of work and less redundant or loops in the manufacturing line.

Though, underutilized employees are also part of the program of lean manufacturing process, employees will surely benefit from less stress.

What is lean manufacturing process’ effect to the employees is that the lean manufacturing process will eliminate the processes or things that are considered as waste in the manufacturing process.

At some point, an employee can be considered underutilized and an action will be required as is taught by the lean manufacturing process.

3. What is lean manufacturing process to the company?

The lean manufacturing process will bring great benefit to the company since its programs are focused on how the company can improve its manufacturing lines. What is lean manufacturing process for the company is that its ability to eliminate wastes and diminish redundant and looping processes.   

What is lean manufacturing process to the customers, employees and shareholders is that it aims to develop a centralized and more effective manufacturing process beneficial to all.

Below are some of the focal points that are aimed to be resolved by the lean manufacturing systems:

a. Inventory
b. Overproduction
c. Defects
d. Waiting Time
e. Extra Processing
f. Underutilized People
g. Motion
h. Transportation

These focal points of the lean manufacturing process will be methodologically acted upon. Each of these focal points have been a problem by one manufacturing company or another. Therefore, a solution for a problem that includes the abovementioned focal points are readily available. Any future problem will be studied for a ready solution. A problem may be solved mechanically or methodologically, in whatever way, the solution will always be available for the manufacturing process. 

What is lean manufacturing process as implemented on these focal points? the lean manufacturing process is drafted to increase the value of the goods and decrease the presence of wastes. It is after years of experience in the manufacturing lines that effective methodologies are made in place to improve the manufacturing lines of manufacturing companies.

What is lean manufacturing process compared to the old methodologies in manufacturing if these methodologies do not contribute to the overall gain of the company or the satisfaction of the esteemed customers. 

The lean manufacturing processes in placed today in most companies were constructed in reference to the lean manufacturing systems that started in Japan. The lean manufacturing systems or processes started in Toyota Production System (TPS) in Japan. That is why most of the terms used in lean manufacturing processes are Japanese words such as kaizen, kanban and andon. The Toyota Production System has a wide experience when it comes to manufacturing and it has been rightly so that they have developed their own lean manufacturing process.