- Flow kaizen
Radical improvement, usually applied only once within a value stream.
FMEA, Failure Modes and Effects Analysis
An analytical technique which identifies the potential failure modes of a design or process, and analyzes potential causes and effects in order to prioritize improvement opportunities. FMEA is often used to identify Significant or Critical Parameters.
first pass yield
failure reporting, analysis, and corrective action system
fault tree analysis
- Functional layout
The practice of grouping machines (such as grinding machines) or activities (such as order entry) by type of operation performed.
A diagram that shows the timing, duration, and interrelationship of steps in a process
Gage R & R (Gage Reproducibility and Repeatability)
A method of determining the accuracy of the measurement system specifically determining the variability among and between the gage, part and person.
Green Belt (GB)
Process Improvement Team Leader (part time role).
The difference between the observed average of measurements and the true average of the same parts when using precision instruments.
Gauge Capability Study
The evaluation of measurement instruments to determine their capability to perform the measurements of critical parameters as required for statistical process control.
Gauge Reproducibility and Repeatability. This is normally stated at the gauge variability as a percentage of the tolerance (USL-LSL).
The variation in measurements obtained with one gauge when used several times by one operator while measuring the same characteristics on the same parts.
The variation in the averages of the measurements made by different operators using the same gauge while measuring the same characteristics of the same part.
The consistency of performance of a gauge over time, monitored using statistical process control.
green belt, a part-time improvement specialist
Ha - Alternative hypothesis (hypothesis of difference) being proven in a statistical hypothesis test
A method of leveling production, usually at the final assembly line, that makes just-in-time production possible. It involves averaging both the volume and sequence of different model types on a mixed model production line. Using this method avoids excessive batching of different types of product and volume fluctuations in the same product (see "production smoothing").
The areas in a productive environment which hide aspects of waste.
Frequency diagram composed of rectangular bars whose relative height indicates the number of counts (or relative frequency) at a particular level
Null hypothesis (Hypothesis sameness) The starting assumption in a statistical hypothesis test
Homogeneity of Variance
The variance of groups being contrasted are equal (as defined by statistical test of significant difference)
The selection of goals, projects to achieve the goals, designation of people and resources for project completion and establishment of project metrics (see "policy deployment").
Breakthrough planning; a Japanese strategic planning process in which a company develops up to four vision statements that indicate where the company should be in the next five years. Company goals and work plans are developed based on the vision statements. Periodic audits are then conducted to monitor progress (see "value stream").
high throughput testing
Determines if the change could be due to chance alone, or if there is strong evidence that the change is real and repeatable.
Incident Report (IR)
Sometimes referred to as a Lot Incident Report (LIR). A report or log that is used to report pens, die, or lots that are out of control, out of spec, or were subject to non standard processing.
Variables (x’s) that influences the response of the dependent variable (Y)
Statistical analysis which uses descriptive statistics in order to quantify the risk of statements concerning populations; it is used in hypothesis tests and confidence intervals
The tendency of two or more variables to produce an effect in combination which neither variable would produce if acting alone
An element of the seven types of waste where there can be too much or too little inventory.
input, process, output
A criteria for accepting or rejecting an undesirable product characteristic. Inspection criteria should be managed as a controlled document for all areas producing the product.
Internal Reference Specification. Specifies part parameters that must be measured and controlled to build a product. Critical IRS Parameters are those specifications that have a greater potential to cause customer dissatisfaction or yield loss.
The task of disseminating information for taking a specific product from order entry through detailed scheduling to delivery (see "value stream").
A form of inspection used to determine nonconforming product (see "judgment inspection").
Die setup procedures that must be performed while a machine is stopped; also known as inner exchange of die (see "external setup").
The money invested in purchasing things an organization intends to sell.
Jidohka: Stopping a line automatically when a defective part is detected. Any necessary improvements can then be made by directing attention to the stopped equipment and the worker who stopped the operation. The jidohka system puts faith in the worker as a thinker and allows all workers the right to stop the line on which they are working (see "autonomation").
Judgment inspection: A form of inspection used to determine nonconforming product (see "informative inspection").
Supplying items for the productive process only when they are needed, just in tome to finish the task or activity. 2. An optimal material requirement planning system for a manufacturing process in which there is little or no manufacturing material inventory on hand at the manufacturing site and little or no incoming inspection. The JIT philosophy's ultimate objective is to eliminate waste, which may appear in many forms: rejected parts, excessive inventory levels, interoperational cues, and excessive material handling, setup and changeover times. }IT is an approach to manufacturing that stresses the benefits inherent in a system whereby material is brought to the work site only when it is needed. To achieve this goal, each operation must be synchronized with those subsequent to it. The concept refers to the manufacturing and conveyance of only what is needed, when it is needed and in the amount needed. In addition, a minimum amount of inventory is kept on hand (in supermarkets, for example). This enhances efficiency and enables quick responses to change (see "supermarket").
Japanese term for small incremental changes for the better in any productive environment. 2. A Japanese term meaning gradual unending improvement by doing little things better and setting and achieving increasingly higher standards. Masaaki Imai made the term well-known in his book Kaizen: The Key to Japan's Competitive Success. noun. (pr. Ky’ zen) (ja.) 1. Good Change 2. Change for the better 3. Relentless quest for a better way. 4. The daily pursuit of perfection.
A communication tool in the just-in-time production and inventory control system that authorizes production or movement. Kanban, from a Japanese word for visible card or record, was developed by Taiichi Ohno at Toyota. It is a small card or signboard (or any other authorizing device) attached to boxes of specific parts in the production line signifying the delivery of a given quantity. Originally, a card signaled the need to deliver or produce more parts, but today a variety of replenishment signals is used. Currently, kanban is a unique information carrying device that ensures every operation produces only the amount of product that will actually be used in the next step of the production process. It serves as instruction for production and conveyance (withdrawal). The quantity authorized per individual kanban is minimal, ideally one. The number of circulating or available kanban for an item is determined by the demand rate for the item and the time required to produce or acquire more. This number generally is established and remains unchanged unless demand or other circumstances are altered dramatically. In this way, inventory is kept under control while production is forced to keep pace with shipment volume. Kanban regulates pull in the Toyota production system. A routine exception to this rule is that managers and workers are continually exhorted to improve their processes and thereby reduce the number of kanban required. (Note: Sometimes spelled or referred to as "kamban.") 2. A signaling system authorizing the production or delivery of additional inputs. Kanban’s can be electronic or paper.
A metric which summarizes the performance of attribute (go/no go) gauges. The kappa statistic would also be used for human inspection/detection where a person is the "gauge" to pass or fail a part characteristic. It is the equivalent of the gauge R&R percentage used for quantitative measurement gauges.
knowledge based management
A process in which assemblers are supplied with kits-a box of parts, fittings and tools-for each task they perform. This eliminates time consuming trips from one parts bin, tool crib or supply center to another to get the necessary material.
Lower control limit
The total time a customer must wait to receive a product after placing an order. 2.
The amount of time it takes from some starting point such as order to the things availability where it is needed or the time it takes from some starting point of a process to some end point.
Producing the maximum sellable products or services at the lowest operational cost while optimizing inventory levels.
A manufacturing company organized to eliminate all unproductive effort and all unnecessary investment, both on the shop floor and in office functions.
An initiative focused on eliminating all waste in manufacturing processes. Principles of lean manufacturing include zero waiting time, zero inventory, scheduling (internal customer pull instead of push system), batch to flow (cut batch sizes), line balancing and cutting actual process times. The production systems are characterized by optimum automation, just-in-time supplier delivery disciplines, quick changeover times, high levels of quality and continuous improvement.
The journey from traditional manufacturing methods to one in which all forms of waste are systematically eliminated.
A technique for balancing production throughput over time.
An (x) input variable which has a strong influence on the (Y) response or output variable (The vital few)
A process in which work elements are evenly distributed and staffing is balanced to meet takt time (see "takt time").
A law which states that Process Cycle Time (PCT) is equal to work in process (WIP) divided by exit rate. It is used to accurately predict the exit of a good or service from the productive process.
A method of conducting single-piece flow in which the operator proceeds from machine to machine, taking the part from one machine and loading it into the next. The lines allow different parts of a production process to be completed by one operator, eliminating the need to move around large batches of work in progress inventory.
Lower Control Limits (LCL)
The lower boundary of the control area representing a calculation establishing a process range, usually three standard deviations from the center line
Lower Specification Limit (LSL)
The lower boundary of the control area, which the good was designed in order to meet a tolerance, usually defined by the customer
lean six sigma
The input variable or variables that directly impact the output
Manufacturing resource planning (MRP II)
Material resource planning, plus capacity planning and a finance interface to translate operational planning into financial terms and into a simulation tool to assess alternative production plans.
Mapping symbols or icons
An easy and effective way to communicate the flow of materials and information through a plant. The symbol type doesn't matter, as long as the use is consistent from map to map. Mapping the flow helps identify constraints and potential improvement opportunities.
Statistically designed experiments used to find the natural process or product operating limits beyond which performance degrades or product failures increase. Response Surface Methods (RSM) are typically used to find the operating margins. The resulting n-dimensional operating space is often called the process window.
Master Black Belt (MBB)
Teachers and reviewers responsible for scoping Six Sigma projects and mentoring Black Belts
Methods, equipment and systems for conveying materials to various machines and processing areas and for transferring finished parts to assembly, packaging and shipping areas.
Material requirements planning (MRP)
A computerized system typically used to determine the quantity and timing requirements for production and delivery of items to both customers and suppliers. Using MRP to schedule production at various processes will result in push production because any predetermined schedule is an estimate only of what the next process will actually need.
see master black belt
multidisciplinary design optimization
A material measure, measuring instrument, reference material or system intended to define, realize, conserve or reproduce a unit or one or more known values of a quantity to serve as a reference.
Measuring and Test Equipment
All of the measuring instruments, measurement standards, reference materials, and auxiliary apparatus that are necessary to perform a measurement. This term includes measuring equipment used in the course of testing and inspection, as well as that used in calibration.
The average of the data of interest
Measurement Systems Analysis (MSA)
A means for checking the measurement system (gauge plus operator) to gain a better understanding of the sources of variation.
A number that divides a set of data exactly in half
The value that occurs most frequently in the data
Any design, scheduling or production technology with scale requirements requiring designs, orders and products be brought to the machine to wait in line for processing. The opposite of a right sized machine (see "right size").
One of the elements of waste which addresses the ergonomic interaction between the person and the productive environment.
The absolute value difference between a data point and the prior data point in the time order of the data series; is used to help determine the normal variation within the data.
measurement system analysis
mean time between failure
Japanese for waste. Any activity that consumes resources but creates no value for the customer.
A graphical display of the behavior of a quality characteristic in the running process
Nagara is smooth production flow, ideally one piece at a time, characterized by synchronization (balancing) of production processes and maximum use of available time; includes overlapping of operations where practical. A nagara production system is one in which seemingly unrelated tasks can be produced simultaneously by the same operator.
National (Measurement) Standard
A standard recognized by an official national decision to serve, in a country, as the basis for fixing the value of all other standards of the quantity concerned.
Activities or actions taken that add no real value to a product or service, making such activities or actions a form of waste (see "value added").
The opposite of batch production. Instead of building many products and then holding them in line for the next step in the process, products go through each step in the process one at a time, without interruption. It improves quality and lowers costs.
One-touch exchange of dies
The reduction of die setup to a single step (see "single minute exchange of dies," "internal setup" and "external setup").
The money required for a system to convert inventory into throughput.
The limits within which the process or product must be maintained to avoid degradation of performance or decreases in yield. Operating margins are also referred to as process windows.
Out of Control Condition (OOC)
The condition describing a process containing special causes of variation. OOC are often identified by data on a control chart exceeding the control limits; or the presence of non-random patterns of data.
Work or steps taken to transform raw materials to finished product. Overall equipment effectiveness (DEE): The product of a machine's operational availability, performance efficiency and first-pass yield.
The production preparation process is a tool used for designing lean manufacturing environments. It is a highly disciplined, standardized model that results in the development of an improved production process in which low waste levels are achieved at low capital cost.
Provides visual clues to determine stock levels. Similar to kanban.
A technique to create an economy of scale by having two operators work together to perform tasks on either side of a machine. Using this technique reduces the time it takes a single operator to move from one side to the other, making the overall! process more efficient. An example of parallel operation is having two people work on a changeover, supplementing each other's work effort.
A measurement that is used to control a process or a product characteristic.
Pareto A method of graphing data to identify the level of contribution of many parameters on a certain characteristic.
The combination of people, equipment, materials, methods and environment that produce output. A process can involve any aspect of the business.
A measure of a process's ability to consistently produce products that meet their specification requirements.
PDCA (plan-do-check-act) at a macro level (for example, as in hoshin kanri)
• Plan. Senior management should use the visioning process in the context of its business plan. The business plan is translated into action plans that are meaningful to all levels of the organization.
• Do. Implementation of action plans; answers what, how and who for the total number of tiers in an organization, taking into account the fewer the number of tiers, the better. This is the time to bring members of management together and provide them with a basic understanding of the action plans.
• Check. On a periodic basis, review the measurements of the outputs, and note what you've learned that can help in the future.
• Act. Make the necessary adjustments to plans and priorities to ensure the success of the strategy breakthroughs.
Physical transformation task
Taking a specific product from raw materials to a finished product delivered to the customer (see "value stream" and "information flow").
The pace and flow of a product.
Point of use
A technique that ensures people have exactly what they need to do their jobs-the right work instructions, parts, tools and equipment-where and when they need them.
Japanese term that means mistake proofing. A poka yoke device is one that prevents incorrect parts from being made or assembled or easily identifies a flaw or error.
The selection of goals and projects to achieve the goals, designation of people and resources for project completion and establishment of project metrics (see "hoshin kanri").
Improvements made at an individual process or in a specific area. Sometimes called point kaizen.
Production (analysis) board
A board at the job site on which hourly production targets are recorded, along with the actual production achieved. Details concerning problems and abnormal conditions are also recorded. Management checks the board hourly, takes steps to prevent recurrence of abnormalities and confirms the positive effects of the job site improvements that have been made. This is a good example of visual management.
Keeping total manufacturing volume as constant as possible (see "heijunka").
A measurement of output for a given amount of input. Increases in productivity are considered critical to raising living standards.
An alternative to scheduling individual processes, in which the customer process withdraws the items it needs from a supermarket, and the supplying process produces to replenish what was withdrawn. Used to avoid push (see "supermarket" and "kanban").
quality management system
The time a product spends in a line awaiting the next design, order processing or fabrication step.
The ability to change tooling and fixtures rapidly (usually within minutes), so multiple products can be run on the same machine.
Using a resource regardless of whether throughput is increased (see "resource utilization")
Using a resource in a way that increases throughput (see "resource activation").
Matching tooling and equipment to the job and space requirements of lean production. Right sizing is a process that challenges the complexity of equipment by examining how equipment fits into an overall vision for workflow through the factory. When possible, right sizing favors smaller, dedicated machines rather than large, multipurpose batch processing machines.
return on investment
rule of thumb
risk priority number
rolled throughput yield
A person on the production floor who paces the entire value stream through the pickup and delivery of materials through kanban usage (see "kanban").
English translation of seiso, one of the Japanese five S's used for workplace organization. Sanitizing (also referred to as shining or sweeping) is the act of cleaning the work area. Dirt is often the root cause of premature equipment wear, safety problems and defects.
The name of a Japanese management practice taken from the Japanese words sei, which means manufacturing, and ban, which means number. A seiban number is assigned to all parts, materials and purchase orders associated with a particular customer job, project or anything else. This enables a manufacturer to track everything related to a particular product, project or customer and facilitates setting aside inventory for specific projects or priorities. That makes it an effective practice for project and build to order manufacturing.
Taiichi Ohno's original enumeration of the wastes commonly found in physical production (see" eight wastes").
A visual management tool painted to indicate what tool belongs where and what tools are missing.
English translation of Japanese seiri, one of the 5S's used for workplace organization. Sifting involves screening through unnecessary materials and simplifying the work environment. Sifting is separating the essential from the nonessential.
A 3-D technique used to balance a line. It involves using cardboard, wood and plastic foam to create full-sized equipment mock-ups that can be easily moved around to obtain an optimum layout.
Single-minute exchange of dies
A series of techniques pioneered by Shigeo 5hingo for changeovers of production machinery in less than 10 minutes. Obviously, the long-term objective is always zero setup, in which changeovers are instantaneous and do not interfere in any way with continuous flow. Setup in a single minute is not required, but used as a reference (see" one-touch exchange of dies," "internal setup" and "external setup").
A process in which products proceed, one complete product at a time, through various operations in design, order taking and production without interruptions, backflows or scrap.
supplier, input, process, output, customer
A methodology that provides organizations tools to improve the capability of their business processes. This increase in performance and decrease in process variation lead to defect reduction and improvement in profits, employee morale and quality of products or services. Six Sigma quality is a term generally used to indicate a process is well controlled (±6 σ from the centerline).
single minute exchange of dies
standard operating procedure
English translation of the Japanese word seiri, one of the 55's used for workplace organization. Sorting (also referred to as structuring or sifting) involves organizing essential materials. It allows the operator to find materials when needed because they are in the correct location.
Standard in-process stock
One of the three elements that make up standard work. It is the minimum quantity of parts always on hand for processing during and between subprocesses. It allows workers to do their job continuously in a set sequence, repeating the same operation over and over in the same order (see "standard work").
A precise description of each work activity specifying cycle time, takt time, the work sequence of specific tasks and the minimum inventory of parts on hand needed to conduct the activity. All jobs are organized around human motion to create an efficient sequence without waste. Work organized in such a way is called standardized) work (see "takt time," "working sequence" and "standard in process stock," which are the three elements that make up standard work).
Standard work instructions
A lean manufacturing tool that enables operators to observe the production process with an understanding of how assembly tasks are to be performed. It ensures the quality level is understood and serves as an excellent training aid, enabling replacement or temporary individuals to easily adapt and perform the assembly operation.
When policies and common procedures are used to manage processes throughout the system. Also, English translation of the Japanese word seiketsu, one of the Japanese 55's used for workplace organization (see "five 5's").
Stop the line authority
Power given to workers to stop the process when abnormalities occur, allowing them to prevent the defect or variation from being passed along.
A condition in which gains made in one activity are offset by losses in another activity, or activities that are caused by the same actions that created gains in the first activity.
The storage locations of parts before they go on to the next operation. Supermarkets are managed by predetermined maximum and minimum inventory levels. Each item in the plant is at a designated location.
The English translation of shitsuke, one of the 55's used for workplace organization. Sustaining (also referred to as self-disciplining) is the continuation of sorting, setting in order and sanitizing. It is the most important and the most difficult because it addresses the need to perform the 55's on an ongoing and systematic basis.
Improvement aimed at an entire value stream.
The rate of customer demand, takt time is calculated by dividing production time by the quantity of product the customer requires in that time. Takt, the heartbeat of a lean manufacturing system, is an acronym for a Russian phrase.
To Be Determined
The ideal operating value of a process.
Theory of constraints (TOC)
Also called constraints management, TOC is a lean management philosophy that stresses removal of constraints to increase throughput while decreasing inventory and operating expenses. TOC's set of tools examine the entire system for continuous improvement. The current reality tree, conflict resolution diagram, future reality tree, prerequisite tree and transition tree are the five tools used in TOC's ongoing improvement process.
The rate the system generates money through sales, or the conversion rate of inventory into shipped product.
theory of constraints
Total productive maintenance (TPM)
A series of methods to ensure every machine in a production process is always able to perform its required tasks. The result is production is never interrupted due to machine breakdowns.
Toyota production system (TPS)
The production system developed by Toyota Motor Corp. to provide best quality, lowest cost and shortest lead time through the elimination of waste. TPS is based on two pillars: just-in-time (JIT) and jidohka. TPS is maintained and improved through iterations of standardized work and kaizen (see "jidohka" "just-in-time" and "kaizen")
total quality management
The property of a result of measurement whereby it can be related to appropriate standards, generally national or international standards, through an unbroken chain of comparisons.
theory of inventive problem solving (not direct translation)
Trouble Shooting Guide (TSG)
A guide to reacting appropriately to out of control events. This document contains information about the likely factors that affect the control parameter and how those effects might be exhibited. This information is often structured into a decision tree format. Variable Parameter measurement which can have any number of continuous possible values. (e.g.. Temperature can vary continuously over a wide range.) Verification Measures changes in measurement system output with the purpose to determine whether the system is still in calibration. Verification leads to troubleshooting the measurement system.
T- Test, 1-Sample
Computes a confidence interval and performs a hypothesis test of the actual data mean compared to a test mean when the population standard deviation is unknown
Used to compare the means of two populations and generates a confidence interval of the difference between two population means when the population standard deviations are unknown
upper control limit
upper specification limit
Activities that transform input into a customer usable output. The customer can be internal or external to the organization.
Analyzing the value stream to identify value added and non-value added activities.
The process of analyzing the components and process that create a product, with an emphasis on minimizing costs while maintaining standards required by the customer.
All activities, both value added and nonvalue added, required to bring a product from raw material state into the hands of the customer, a customer requirement from order to delivery and a design from concept to launch.
Value stream loops
Segments of a value stream with boundaries broken into loops as a way to divide future state implementation into manageable pieces.
Value stream manager
The person responsible for creating a future state map and leading door-to-door implementation of the future state for a particular product family; makes change happen across departmental and functional boundaries.
Value stream mapping
A pencil and paper tool used in two stages: 1. Follow a product's production path from beginning to end, and draw a visual representation of every process in the material and information flows. 2. Then draw a future state map of how value should flow. The most important map is the future state map.
Any devices that help operators quickly and accurately gauge production status at a glance. Progress indicators and problem indicators help assemblers see when production is ahead, behind or on schedule. They allow everyone to instantly see the group's performance and increase the sense of ownership in the area (see "andon board," "kanban," "production board," "painted floor" and "shadow board").
voice of customer
voice of process
Any activity that consumes resources and produces no added value to the product or service a customer receives; called muda in Japanese.
Work in process
Items between machines or equipment waiting to be processed.
One of the three elements of standard work refers to the sequence of operations in a single process that leads a floor worker to produce quality goods in the most efficient way.