BADM 375 Study Guide - Final Guide: Autonomation, Lean Manufacturing, Six Sigma

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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 Toolscan 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
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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.

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