BADM 375 Study Guide - Final Guide: Autonomation, Lean Manufacturing, Six Sigma
Final Exam Review
12/06/2016
• Lean production operations: flexible system of operation that uses considerably less resources than a
traditional system
o 7 sources of waste *will have calculations in this area*
1. Waste from overproduction
2. Waste of waiting time
3. Transportation waste
4. Inventory waste
5. Processing waste
6. Waste of motion
7. Waste from product defects
o Performance improvements
o Goals: Greater productivity, Lower costs, Shorter cycle times, Higher quality
o Just in Time operations: highly coordinated processing system in which goods move through the
system, and services are performed, just as they are needed
o Important things about lean:
▪ Lean production - integrated activities designed to achieve high-volume production using
minimal inventories (raw materials, work in process, and finished goods)
▪ Involves the elimination of waste in production effort
▪ Involves the timing of production resources (i.e., parts arrive at the next workstation “just in
time”)
▪ Value chain - each step in the supply chain should create value • If it does not create value, it
should be removed
▪ Customer value - something for which the customer is willing to pay Waste - anything that does
not add value from the customer’s perspective
o Lean logic: nothing is produced until it is needed
o Inventory as a source of waste
o Value Stream mapping: flowcharting tool used to analyze where value is or is not being added as
material flows through a process
• Lean Tools
o Benefits: Reduced waste Lower costs Increased quality Reduced cycle time Increased flexibility
Increased productivity
o Risks: Increased stress on workers Fewer resources available if problems occur Supply chain
disruptions can halt operations
o Pull systems and JIT operations
o Continuous improvement: implemented for smaller improvements that over time cause incremental
changes
▪ Variability reduction, Six Sigma *calculations*
o Kaizen Tools—can get lots of strong positive improvements from small changes
▪ Reduces variability
▪ Increases visibility of waste and quality at source
• Andon: line-stopping empowerment of employees, manual
• Jidoka: manual + technology
• Poka-Yoke: technology
▪ Targeted improvements: root cause analysis
o Obstacles:
▪ Management may not be fully committed or willing to devote the necessary resources to
conversion
Document Summary
12/06/2016: lean production operations: flexible system of operation that uses considerably less resources than a traditional system, 7 sources of waste *will have calculations in this area, waste from overproduction, waste of waiting time, transportation waste. Inventory waste: processing waste, waste of motion, waste from product defects, performance improvements, goals: greater productivity, lower costs, shorter cycle times, higher quality. Just in time operations: highly coordinated processing system in which goods move through the system, and services are performed, just as they are needed. Lean production - integrated activities designed to achieve high-volume production using minimal inventories (raw materials, work in process, and finished goods) Involves the elimination of waste in production effort. Increases visibility of waste and quality at source: andon: line-stopping empowerment of employees, manual, poka-yoke: technology. Jidoka: manual + technology: targeted improvements: root cause analysis, obstacles, management may not be fully committed or willing to devote the necessary resources to conversion.