1st Edition

Capitalizing on Lean Production Systems to Win New Business Creating a Lean and Profitable New Product Portfolio

By Chris Harris, Rick Harris Copyright 2014
    189 Pages 137 B/W Illustrations
    by Productivity Press

    192 Pages
    by Productivity Press

    Although there are many organizations that have implemented Lean production systems and become more profitable as a result, there can be a gap between what those organizations currently do and how they should plan for and profit from new business. Capitalizing on Lean Production Systems to Win New Business: Creating a Lean and Profitable New Product Portfolio explains how to create a Lean product portfolio to fill that gap so you can become more profitable from that new business.

    Providing a fundamental understanding of the Lean enterprise production system, this book can help an organization take its current Lean knowledge and translate that knowledge into a step-by-step methodology to win and launch new business. Lean topics covered include:

    • Value Stream Mapping
    • Plan for Every Part
    • Process Design and Standard Work
    • Scheduling and Material Flow
    • Machine Changeover
    • Quality and Continuous Improvement

    By developing the New Product Acquisition and Launch Portfolio presented in this book, you can dramatically improve your ability to produce the products customers desire and deliver them on time. Focusing on the concepts that are critical to the longevity of your Lean enterprise system, this book will help you understand how to deliver a product that meets the quality and delivery standards of your customer. It will also help you understand how this new product fits into your Lean enterprise system.

    Detailing how to achieve a successful new product launch through upfront planning, this book provides you with the tools to enhance efficiencies throughout your supply chain.

    The Value Stream Map
    Questions to Consider
    Introduction
    Value Stream Mapping: The Basis for Systems-Based Thinking
    What Are the Three Flows, and Why Are They Relevant to New Product Planning?
    Information Flow
    Material Flow
    People Flow
    How Will the Value Stream Map Provide the Foundation for New Product Planning?
    A Skeleton Value Stream Map for a Product Not Currently Produced
    The Supplier Loop
    The Work-in-Process Loop
    The Final Assembly Loop
    Wrapping Up the Skeleton Value Stream Map
    Why Is the Utilization of the Skeleton Value Stream Map Important to Your Customer?
    Why Is the Utilization of the Skeleton Value Stream Map Important to You?
    Conclusion
    Deliverable to the New Product Acquisition and Launch Portfolio from Chapter 1

    The Plan for Every Part
    Questions to Consider
    Introduction
    What Is a Plan for Every Part?
    The Plan for Every Part
    Why Is a Plan for Every Part Necessary?
    PFEP as a Necessity
    What Are the Inventory Levels Going to Be in the Purchased Parts Market?
    The Maximum Inventory Level
    Determining the Purchased Parts Buffer
    Storing the Components
    The Expedite Plan
    Where Will These Components Be Stored?
    How Are Parts Reordered Normally?
    Why Is This Important to Your Customer?
    Why Is This Important for You?
    Deliverables to the New Product Acquisition and Launch Portfolio from Chapter 2

    Producing the Final Product
    Questions to Consider
    Introduction
    Where to Begin
    What Factors Need to Be Considered When Setting Up the Assembly Process? Setting Up the Physical Process
    Floor Space
    Flexibility
    Material Delivery
    How Does Standardized Work Fit into the Design of the Assembly Process?
    Standardized Work
    Two Types of Standardized Work
    Process-Level Standardized Work
    Standardized Work and the Production Cell Level
    Why Is This Important to Your Customer?
    Why Is This Important to You?
    Deliverables for the New Product Acquisition and Launch Portfolio from Chapter 3

    Scheduling and Material Flow
    Questions to Consider
    Introduction
    What Is the Importance of Linking Material Flow and Scheduling?
    Scheduling and Material Flow
    Understanding the Importance of Production Control
    Scheduling a Facility
    The Finished Goods Market
    On-Time Component Delivery
    Pull Signals
    What Is the Importance of a Timed Delivery Route?
    The Timed Delivery Route
    Linking the Schedule, the Pull Signal, and the Timed Delivery Route
    Our Example
    How Long Does It Take to Get There?
    How Do We Deliver the Purchased Components?
    How and Who Will Design the Material Point-of-Use Delivery Rack?
    How Long Will It Take to Deliver the Purchased Components?
    Final Considerations
    Completing the System
    Recapping the Route
    Why Is This Important to Your Customer?
    Why Is This Important to You?
    Deliverables for the New Product Acquisition and Launch Portfolio from Chapter 4

    Machine Changeover
    Questions to Consider
    Introduction
    If Inventory Is Waste, Why Is It Placed in the System?
    The Proper Reason and Method of Inventory Handling
    With Multiple Areas, Machines, and Capital Constraints in a Value Stream, How Can There Only Be One Schedule?
    Scheduling at One Point in the Value Stream
    Sizing the Work-in-Process Market
    Calculating the EPEI
    Changeover Wheel
    The Production Pull Board
    Sizing the WIP Market
    The Production Schedule Board
    Operation of the Production Schedule Board
    Why Is This Important to Your Customer?
    Why Is This Important to You?
    Conclusion
    Deliverables for the New Product Acquisition and Launch Portfolio from Chapter 5

    Quality and Continuous Improvement
    Questions to Consider
    Introduction
    Why Is Systems-Based Thinking Important?
    Why Are Quality and Continuous Improvement Intertwined?
    Continuous Improvement
    Production Status Boards Layered Audits
    Layered Auditing Process
    The Audit Itself
    Our Example
    Conveying This Information to Potential Customers
    Why Is This Important to Your Customer?
    Why Is This Important for You?

    Training the Production Associates to Produce the Final Product
    Questions to Consider
    Introduction
    What Infrastructure Is Needed to Have an Effective Training Plan for New Products?
    The Infrastructure
    What Is a Training Matrix, and How Is It Important to Winning New Business?
    The Training Matrix
    Quadrant One
    Quadrant Two
    Quadrant Three
    Quadrant Four
    How Do You Develop Newly Hired Employees If They Need to Be Hired to Produce the Product?
    Newly Hired Employees
    Our Example
    A Tour of the Facility
    Why Is This Information Important to Your Customer?
    Why Is This Information Important to You?

    The Time Frame
    Questions to Consider
    Introduction
    What Three Teams Are Needed to Effectively Launch a New Product?
    The Three Teams
    Team 1: PFEP and Scheduling Team
    Team 2: Material Flow Team
    Team 3: Production Team
    What Are the Two Phases of Planning to Win New Business?
    Winning New Business
    What Does a New Product Launch Plan Look Like?
    Launching the New Business
    Production Team Implementation Plan
    The Materials Team Launch Plan
    The PFEP Scheduling Team Launch Plan
    Bringing It All Together
    Why Is This Important for Your Customer?
    Why Is This Information Important to Your Suppliers?
    Deliverables to the New Product Acquisition and Launch Portfolio from Chapter 8

    Your Suppliers and Other Considerations
    Introduction
    Your Supply Base
    Your Core Business
    Workplace Organization
    Absentee Rates
    Future Plans
    Concluding Thoughts
    Why Is This Information Good for Your Customer?
    Why Is This Information Important for You?
    Deliverables to the New Product Acquisition and Launch Portfolio from Chapter 9

    New Product Acquisition and Launch Portfolio
    Questions to Consider
    Introduction
    Table of Contents
    The Value Stream Map
    The Plan for Every Part
    Production Plan
    Material Delivery Plan
    Work-in-Process Plan
    Management Practices
    Appendix: Proposal for the Orange Product Prepared for GMH
    Industries

    Biography

    Chris Harris, Rick Harris