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Persatuan Alumni AOTS Malaysia - Wawasan Open University

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u1<br />

JAPAN FESTIVAL 2008<br />

Kaizen Seminar<br />

16 August 2008<br />

<strong>Wawasan</strong> <strong>Open</strong> <strong>University</strong><br />

Presented by<br />

Theodore K C Wong<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Slide 1<br />

u1 user, 10/8/2008


Japanese Translation<br />

Continual Improvement<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Introduction<br />

Masaaki Imai<br />

“KAIZEN, The Key to Japan’s Competitive Success”<br />

The Essence of Kaizen is simple and straight forward.<br />

Kaizen means improvement involving everyone.<br />

Kaizen philosophy<br />

Assures way of life – working, social, home –<br />

deserves to be constantly improved<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Introduction<br />

Three functions to happen simultaneously<br />

within organization.<br />

Maintenance<br />

Kaizen<br />

Abolition, Simplication, Alternation<br />

Innovation<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Perception<br />

Top Management<br />

Innovation<br />

Middle Management<br />

Kaizen<br />

Supervisors<br />

Maintenance<br />

Workers<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


In Essence<br />

The Japanese term equates to<br />

forever continuous and gradual improvement.<br />

The approach is Philosophical and Pragmatic<br />

-“technology” built into the job process<br />

- change of method to achieve an objective.<br />

Implemented by middle / lower managers and workers,<br />

encouraged and directed<br />

by the top in Top Down Approach.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Introduction<br />

Encompasses a collection of techniques for<br />

continuously improving performance / productivity<br />

for cost effectiveness, quality and delivery,<br />

without large capital investments<br />

i.e. small change within restriction.<br />

Contains two elements<br />

- improvement / corrective action to change for the better<br />

- ongoing / continuity / repetition<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Introduction<br />

Strives to empower the worker<br />

to increase worker satisfaction;<br />

facilitate a sense of accomplishment;<br />

create a sense of pride in one's work.<br />

Kaizen techniques create<br />

a relationship between the worker and the job;<br />

job process becomes a partner<br />

to achieve job objectives.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


APS, modifiedTPS<br />

•Customer focused<br />

•People orientated<br />

•Safety Quality Delivery Cost Morale<br />

•Process Orientated<br />

Just in Time<br />

•Takt Time<br />

•One-Piece Flow<br />

•Downstream Pull<br />

SMED<br />

Kanban<br />

3P<br />

Standard Work<br />

•5S<br />

•Visual Management<br />

•Job Instruction<br />

Thinking<br />

•How to think – 12<br />

paradigms<br />

•Reflection – face the facts<br />

•Ideas – Creativity & Craft<br />

Stability<br />

•4M focus<br />

•Demand & volume (heijunka)<br />

•Lonh-term philosophy<br />

Jidoka<br />

•Build in quality<br />

•Harmony of Human<br />

and Machine<br />

Stop the line<br />

5 Why s<br />

Poka Yoke<br />

Kaizen<br />

•Go See<br />

•PDCA<br />

•7 Wastes<br />

Accountability<br />

•Daily, weekly, monthly checks<br />

•Total Involvement<br />

Urgency<br />

•Escalation system<br />

•Speed of response<br />

Leadership<br />

•Zone control<br />

•Teams<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


We deduce<br />

Kaizen concentrates on improving<br />

processes<br />

rather than achieving certain results<br />

Sugar<br />

Milk<br />

Mint<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Basics for Kaizen Implementation<br />

a. Discard conventional fixed ideas and challenge<br />

new idea.<br />

b. Think of how to do it, not why it cannot be done.<br />

Think that you can do it.<br />

c. Do not make excuses, start by questioning<br />

current practices.<br />

d. Correct it right away, if you make mistake. Do<br />

not allow it snowball to big problem.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Basics for Kaizen Implementation<br />

e. Do not spend money for KAIZEN, use your<br />

WISDOM.<br />

f. Wisdom is brought out when faced with<br />

hardship.<br />

g. Ask “WHY” five times and seek root causes.<br />

h. Seek the wisdom of 10 people rather than the<br />

knowledge of one. Two heads are better than<br />

one.<br />

i. KAIZEN ideas are infinite. There is no perfect<br />

work.<br />

j. Do even a little thing.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Process Concept<br />

Input<br />

4M:<br />

•Man<br />

•Machine<br />

•Method<br />

•Material<br />

Process<br />

Kaizen<br />

Output<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Kaizen Techniques include<br />

1. Variation Reduction<br />

2. Poka-Yoke (error-proofing)<br />

3. Standardized Work<br />

4. Workplace Organization<br />

5. Process Analysis (waste reduction)<br />

6. Lean/Agile<br />

7. 5S<br />

8. Quality Control Cycle (QCC)<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


1. Variation Reduction<br />

Every task, job, or activity has a certain amount of<br />

inherent variation or variability.<br />

Reducing the amount of variation in each job, the chance<br />

of error occurring during the job process is reduced.<br />

By introducing “technology” to the situation, the inherent<br />

variation of the activity is reduced.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


2. Poka-Yoke (error-proofing)<br />

Poka-yoke are primarily devices<br />

- create a dialogue between the worker and the job.<br />

Inform the worker of the accuracy or suitability of each job<br />

action by way of<br />

physical constraints (symmetry / asymmetry, guide pins)<br />

attributes (size, weight, dimensions, material)<br />

sensors (all types).<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


3. Standardised Work<br />

Establishing a pattern, a rhythm, or a flow to each job.<br />

May be self-imposed by the worker<br />

enforced by laws (wearing safety goggles, hard hats)<br />

regulations (sound ergonomic practices)<br />

operating standards/procedures.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Comprises three elements :<br />

1. Takt Time - Available time to produce one unit of output<br />

= hours or seconds / shift outputs required / shift<br />

2. Work Sequence - order in which work is performed.<br />

Most efficient way work should be completed and is used<br />

as a safety tool to eliminate unsafe positions during<br />

equipment operation.<br />

3. Standard In-Process Stock - minimum amount of stock<br />

required to continue the sequence of operations.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


4. Workplace Organization<br />

Techniques involve keeping the work area clean<br />

using visual structuring to identify where tools<br />

inventory and materials are to be stored<br />

and having work materials positioned for ergonomic<br />

efficiency and worker safety.<br />

Principles of 5S<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


5. Process Analysis (Waste Reduction)<br />

Focuses on the reduction of non-value added job<br />

components.<br />

Within production system, 67% of the workers’ time is<br />

spent on storage, 25% on handling, 3% on inspection and<br />

only 5% on process or value-added activity.<br />

To increase the amount of time spent on value-added<br />

activity, the storage, handling, and inspection percentages<br />

must be reduced.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Waste<br />

• Waste is non value added<br />

activities.<br />

• Eliminate of waste is not kaizen;<br />

change of method to eliminate<br />

cause of waste is.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Seven Types of Waste<br />

1. Early production*<br />

2. Waiting time<br />

3. Transportation<br />

4. Process<br />

5. Inventory*<br />

6. Non value added motion<br />

7. Product defect and rework*<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


6. Lean / Agile<br />

Refers to system properties that are :<br />

Simple<br />

Mobile<br />

Adjustable<br />

Reusable<br />

: simple design, simple tools, simple assembly<br />

: portable, lightweight devices<br />

: devices that can quickly and easily reflect<br />

changes in the work environment, the<br />

product, and the product demands<br />

: materials may be reused as products,<br />

processes, or assembly volumes change.<br />

The life of the device may be geared to the<br />

life of the job, and workers may reuse<br />

the components in a new device or system<br />

configuration.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Lean / Agile devices directly address issues of material<br />

handling, storage, and parts presentation / positioning for<br />

the workers.<br />

In this capacity they address the largest components of<br />

waste reduction ; storage and handling.<br />

Lean / Agile devices contribute to good workplace<br />

organization and visual structuring techniques.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Productivity<br />

=<br />

Output<br />

__________________________<br />

Quality, Cost, Time of Delivery<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Gemba<br />

Genchi Gembutsu<br />

VISIT and<br />

KNOW what<br />

is there and<br />

what to do<br />

Gemba<br />

vs<br />

MBWA<br />

VISIT and<br />

SEE and<br />

OBSERVE<br />

Workplace where value is added<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Impact from Kaizen<br />

1. Improvement in work<br />

2. Saving in energy, material and other resources<br />

3. Improvement in working environment<br />

4. Improvement in machines and processes<br />

5. Improvement in jigs & tools<br />

6. Improvement in office environment<br />

7. Improvement in product quality<br />

8. Ideas for new products<br />

9. Customer satisfaction & customer relation<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Kaizen Environment<br />

Everyday - some kind of improvement<br />

Management Activity - Increased Customer<br />

Satisfaction<br />

Quality First, Not Profit First - Prosper if Customer<br />

Satisfied<br />

Freely admit problems and suggest improvements<br />

X-functional system and collaborative approach<br />

towards problem solving<br />

Think process improvement w Mgt. support<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Cost Cutting ≈ job cuts<br />

Costs Cutting vs<br />

Cost Management<br />

using cheaper raw materials<br />

Cost Management = optimization of materials flow<br />

alignment and synchronization<br />

of production spread<br />

X-functional system and collaborative approach<br />

towards problem solving<br />

Think process improvement w Mgt. support<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Stumbling Blocks<br />

1. Management does not support it – Management drives<br />

the improvement process – require, enable, empower<br />

2. Lack objectives – set objectives with schedules, clear<br />

communication seems to motivate & guide staff – set<br />

goals, monitor, assist, achieve<br />

3. Employees do not know how to – Training and<br />

Education<br />

4. Short term attitude<br />

5. Copy or understand<br />

6. Management not at Gemba<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Quality<br />

• Customers set the ultimate criteria for<br />

quality.<br />

• If customers are satisfied, they will<br />

continue to patronize and the company<br />

will continue to survive.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


In Summary<br />

Kaizen = to take apart and put back together in a<br />

better way<br />

Applicable to any matter, such as processes,<br />

resources or people<br />

Small steps taken to produce desired process<br />

improvements instead of one big overhaul<br />

Safe way to implement quality<br />

Without human intervention, no process<br />

improvement using Kaizen<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Instil discipline of going to Gemba, directly observing the facts,<br />

make rapid practical improvements based on PDCA and or other<br />

scientific method<br />

Kaizen goes beyond the continuous improvement process.<br />

Kaizen is a belief that creativity of people is infinite.<br />

Kaizen is never being satisfied with things as they are.<br />

Kaizen means pursuing the ideal condition, even though it might<br />

not be achieved<br />

Kaizen is a Way of Thinking<br />

Kaizen activity does not need to follow a certain format, last a<br />

certain no. of days or even require you to call it “Kaizen”.<br />

What’s important is that changes are made based on certain<br />

underlying values and guiding principles. Begin with “today’s<br />

condition is the worst that it has even been”. Many small ideas<br />

are most times better than one big improvement. “Try-storming”<br />

rather than brainstorming. Kaizen must make the work easier for<br />

people.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Kaizen as a Way of Life<br />

Our physical and social environment is constantly changing.<br />

We can use Kaizen to successfully adapt to these changes and<br />

make our lives better.<br />

The Kaizen we teach is more than a set of tools and techniques. It<br />

is a set of principles and a way of thinking. Kaizen is n ot a job for<br />

experts, it is part of everyone’s work. We tailor Kaizen<br />

instructions to make it relevant to the audience, so that lasting<br />

change is achieved.<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>


Thank you and Hope<br />

to see more of you<br />

<strong>Persatuan</strong> <strong>Alumni</strong> <strong>AOTS</strong> <strong>Malaysia</strong>

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