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MIT OpenCourseWare http://ocw.mit.edu
16.660 / 16.853 / ESD.62J Introduction to Lean Six Sigma Methods January (IAP) 2008
For information about citing these materials or our Terms of Use, visit: http://ocw.mit.edu/terms.
Lean Engineering Basics
2 Key Take Aways
1. Lean thinking applies to the engineering process
2. Engineering plays a critical role in creating value in a lean enterprise
Lean Engineering Basics V6.3 Slide 2 © 2008 Massachusetts Institute of Technology
Learning Objectives
At the end of this module, you will be able to:
• Explain how lean principles and practices apply to engineering
• Explain why customer value and the “front end” of engineering are critical to product success
• Describe how lean engineering enables lean in the enterprise and throughout the product lifecycle
• Describe tools for lean engineering • Apply lean engineering techniques to
redesign a simulated airplane
Lean Engineering Basics V6.3 Slide 3 © 2008 Massachusetts Institute of Technology
Applying Lean Fundamentals to Engineering
Information flows in theEngineering Value Stream
Lean Engineering Basics V6.3 Slide 4 © 2008 Massachusetts Institute of Technology
Seven Wastes Revisited
1. Over-production Creating too much material or information
2. Inventory Having more material or information than you need
3. Transportation Moving material or information
4. Unnecessary Movement Moving people to access or process material or information
5. Waiting Waiting for material or information, or material or information waiting to be processed
6. Defective Outputs Errors or mistakes causing the effort to be redone to correct the problem
7. Over-processing Processing more than necessary to produce the desired output
Lean Engineering Basics V6.3 Slide 5© 2008 Massachusetts Institute of Technology
Lean Engineering Basics V6.3 Slide 6© 2008 Massachusetts Institute of Technology
• Effort is wasted• 40% of PD effort “pure waste”, 29%
“necessary waste” (workshop opinion
•survey)
30% of PD charged time “setup andwaiting” (aero and auto industry survey )
• Time is wasted• 62% of tasks idle at any given time
(detailed member company study)
• 50-90% task idle time found inKaizen-type events
purewaste
valueadded
necessarywaste
taskactive
taskidle
Source: McManus, H.L. “Product Development Value Stream Mapping Manual”, V1.0, LAI, Sep 2005
Using Efficient Engineering Processes:Applying lean thinking to eliminate wastes andimprove cycle time and quality in engineering
VSM Applied to Product Development
• Same basic techniques apply
• Flows are knowledge and information flows rather than physical products
• Process steps may overlap or involve planned iterations
• Value added steps add or transform knowledge, or reduce uncertainty (role of analysis steps)
• Quantifies key parameters for each activity (cycle time, cost, quality defects, inventory, etc.)
• Provides systematic method to improve a process by eliminating waste
Lean Engineering Basics V6.3 Slide 7 © 2008 Massachusetts Institute of Technology
Fwd to
Single Piece flow, concurrent engineering, co-location
PDVSM Used For F16 Build-to-Package Process
Process Before Lean Process After Lean
Prepare ToolDesign Change
Operations initiatesRequest for Action
Forward to Engrg Engr answer Log/ Hold in
Backlog Forward To
PlanningPrepare
Design Change
Forward to Tool Design
Log/ Hold inBacklog
Forward to Operations
Tool Affected?
Prepare Tool Order
No
Yes
Log/ Hold inBacklog
PreparePlanning Change
OperationsUses
Revised Planning
Operations initiates Req. Forward To Operations
BTP IntegratorHolds
Meeting
PrepareDesign Change
PreparePlanning Change
Prepare ToolDesign Change(If Applicable)
Accomplish Tooling Change(If Applicable)
BTP Elements Worked
Concurrently
OperationsUses
Revised BTP/Tool
Forward to TMP
Log/ Hold inBacklog
Process Tool Order
Forward to TMP
Log/ Hold inBacklog
Complete Tool Order Processing
OperationsUses
Revised Tool
Forward to Tool Mfg..
Log/ Hold inBacklog
AccomplishTooling Change
Forward to Operations
Forward to MRP
Log/ Hold inBacklog
CompleteTooling BTP
Lean Engineering Basics V6.3 Slide 8 © 2008 Massachusetts Institute of Technology
Single Piece flow, concurrent engineering, co-location
Courtesy of Lockheed Martin. Used with permission.Source: "F-16 Build-T-Package Support Center Process", January 2000.
F-16 Lean Build-To-PackageSupport Center Results
• Scope: Class II , ECP supplemental, production improvements, and make-it-work changes initiated by production requests
• Target improvement: Reduce average cycle-time by 50%
• Operational: 1999
• Future applications: Pursuing concept installation in other areas
849 BTP packages from 7/7/99 to 1/17/00 CategoryCategory % Reduction% Reduction
Cycle-Time Process Steps Number of Handoffs Travel Distance
75% 40% 75% 90%
Lean Engineering Basics V6.3 Slide 9 © 2008 Massachusetts Institute of Technology
Courtesy of Lockheed Martin. Used with permission.Source: "F-16 Build-T-Package Support Center Process", January 2000.
2 Key Take Aways
1. Lean thinking applies to the engineering process
2. Engineering plays a critical role in creating value in a lean enterprise
Lean Engineering Basics V6.3 Slide 10 © 2008 Massachusetts Institute of Technology
Lean Thinking Needs to Start With Engineering
Focus on the Front End Where Critical Decisions Are Made
Lifecycle Phase
Lean Thinking Needs to Start With Engineering
% o
f L
ifec
ycle
“B
ud
get
”
Adapted from Fabrycky, W. Life Cycle Costs and Economics. Prentice Hall, N.J. 1991
Lean Engineering Basics V6.3 Slide 11© 2008 Massachusetts Institute of Technology
• Creating the right products…• Focus on the Customer• Shift resources to “up-front” concept design
• With effective enterprise and lifecycleintegration…• Use lean engineering tools to create value
throughout the enterprise and product lifecycle
• Using efficient engineering processes...• Apply lean thinking to eliminate wastes and improve
cycle time and quality in engineering.
Ref: McManus, H.L. “Product Development Value Stream Mapping Manual” V1.0, LAI, Sep 2005
Lean Engineering: Doing the Right Thing Right
• Creating the right products… • Focus on the Customer • Shift resources to “up-front” concept design
• With effective enterprise and lifecycle integration… • Use lean engineering tools to create value
throughout the enterprise and product lifecycle
• Using efficient engineering processes... • Apply lean thinking to eliminate wastes and improve
cycle time and quality in engineering.
Ref: McManus, H.L. “Product Development Value Stream Mapping Manual” V1.0, LAI, Sep 2005
Lean Engineering Basics V6.3 Slide 12 © 2008 Massachusetts Institute of Technology
Customer Defines ProductValue
Product Value is a function of the product• Features and attributes to satisfy a customer need• Quality or lack of defects• Availability relative to when it is needed, and• Price and/or cost of ownership to the customer
Creating the Right Products:Customer Defines Product Value
Schedule
Customer Value
Pri c e
Features, Quali t y
C o s t
Product ValueProduct Value is a function of the productis a function of the product•• Features and attributesFeatures and attributes to satisfy a customer needto satisfy a customer need•• QualityQuality or lack of defectsor lack of defects•• AvailabilityAvailability relative to when it is needed, andrelative to when it is needed, and•• Price and/or cost of ownershipPrice and/or cost of ownership to the customerto the customer
Source: Slack, R.A., “The Lean Value Principle in Military Aerospace Product Development”, LAI RP99-01-16, Jul 1999. web.mit.edu/lean
Creating the Right Products: Customer Defines Product Value
Lean Engineering Basics V6.3 Slide 13 © 2008 Massachusetts Institute of Technology
Engineers must make the right choices, early in the process,to insure customer satisfaction and low lifecycle costs.
Engineering Drives Cost!
80% of a product’s cost is determined by the engineering design: • Number of parts / tolerances • Assembly technique (fasteners, EB welding, co-cure)• Processes (heat treat, shot peen, etc.) • Tooling approach (matched metal dies, injection
molding, etc.)• Materials (titanium, aluminum, composites, etc.) • Avionics / software • Design complexity • Design re-use
Engineers must make the right choices, early in the process,to insure customer satisfaction and low lifecycle costs.
Lean Engineering Basics V6.3 Slide 14 © 2008 Massachusetts Institute of Technology
Don’t Forget the Suppliers!
Customer
Production
Supplier Network
Product Development
Value Specified
Value Created
Value Delivered
Early Involvement
Suppliers as Partners
Producible Design Meeting Value Expectations
Typically, 60-80% of Value Added by SuppliersLean Engineering Basics V6.3 Slide 15
© 2008 Massachusetts Institute of Technology
Capable people, processes and tools are required
Integrated Product and Process Development - IPPD
• Preferred approach to develop producible design meeting value expectations
• Utilizes: • Systems Engineering: Translates customer needs
and requirements into product architecture and set of specifications
• Integrated Product Teams (IPTs): Incorporates knowledge about all lifecycle phases
• Modern Engineering tools: Enable lean processes
• Training: Assures human resources are ready
Lean Engineering Basics V6.3 Slide 16
Capable people, processes and tools are required © 2008 Massachusetts Institute of Technology
All of these tools enabled by people workingtogether in Integrated Product Teams (IPTs)
Tools of Lean Engineering
• Integrated digital tools reduce wastes of handoffs and waiting, and increase quality • Mechanical (3-D solids based design) • VLSIC (Very Large Scale Integrated Circuit) toolsets • Software development environments/Model-Based
Engineering
• Production simulation (and software equivalents)
• Common parts / specifications / design reuse
• Design for manufacturing and assembly (DFMA)
• Dimensional/configuration/interface management
• Variability reduction
• Product Lifecycle Management (PLM) software
All of these tools enabled by people workingtogether in Integrated Product Teams (IPTs)
Lean Engineering Basics V6.3 Slide 17 © 2008 Massachusetts Institute of Technology
Integrated Digital Tools from Concept to Hardware
Smart Fastener
Hardware
Layout Composite CAD
Part Surfacer
Assembly Models
Parametric Solid Models
BTP Release
Virtual Reality Reviews
Assy/Manf Simulation
Common data base replaces disconnected
legacy tools, paper, mock-ups
Courtesy of Boeing. Used with permission.Source: John Coyle, The Boeing Company
Lean Engineering Basics V6.3 Slide 18 © 2008 Massachusetts Institute of Technology
Reduces part cost and increases quality
Common Parts, Design Reuse
8X Multi-Use
3X Multi-Use
LH & RH Mirror
LH & RH Mirror
LH & RH Same
Slat Spar
Stiffener
Slat Spar
Made Symmetrical
Made Mirror Image
LH & RH Pair Same2X Multi-Use LH & RH Same
Slat Spar SplicesSlat Spar SplicesSlat Spar Splices
Reduces part cost and increases quality Source: Ned Newman, The Boeing Company (C-17)
Courtesy of Boeing. Used with permission. Lean Engineering Basics V6.3 Slide 20
© 2008 Massachusetts Institute of Technology
Part Count Reduction: DFMA
• Why reduce part count? •Reduce recurring & non-recurring cost• Reduce design, manufacturing,
assembly, testing and inspection work •Reduce inventory •Reduce maintenance spares
• Sometimes requires “performance” trades, but not always – and cost and schedule savings are typically significant
Lean Engineering Basics V6.3 Slide 21 © 2008 Massachusetts Institute of Technology
Lego Simulation DFMA Exercise
Redesign the airplane! Rules:
• Satisfy customer
• Moldline (outside shape) must remain exactly the same
• Landing gear (and only landing gear) must be brown
• In-service quality must improve
• Increase delivery quantities
• Reduce manufacturing costs
• Part count ($5/part)
• Less parts = more capacity
• Incorporate suppliers
• Innovations
• Reduced part diversity (?)
Photo by Hugh McManus
Lean Engineering Basics V6.3 Slide 22 © 2008 Massachusetts Institute of Technology
Present your design to your facilitator Demonstrate it satisfies all criteria
Lean Engineering in Practice
Now let’s look at some real-world examples of lean engineering benefits…
Courtesy of Boeing. Used with permission.
Courtesy of Ray Leopold. Used with permission.
Lean Engineering Basics V6.3 Slide 23 © 2008 Massachusetts Institute of Technology
Part Count Reduction: DFMA
Forward Fuselage and Equipment
C/D Parts 5,907
E/F Parts 3,296
Center/Aft Fuselage,Vertical Tails and Systems
C/D Parts 5,500
E/F Parts 2,847
Wings andHorizontal Tails
C/D Parts 1,774
E/F Parts 1,033
Total* C/D PartsC/D Parts E/FE/F PartsParts14,10414,104 8,098 9,099
*Includes joining parts
F-18 E/F is 25% larger but has 42% fewer parts than C/DF-18 E/F is 25% larger but has 42% fewer parts than C/D
Source: The Boeing Company Lean Engineering Basics V6.3 Slide 24
© 2008 Massachusetts Institute of Technology
Courtesy of Boeing. Used with permission.
Lean Engineering Reduces Manufacturing Labor
Mfg. Labor (hrs)
1 5 10 15 20 25 30 35-5
Before Lean Engineering After Lean Engineering
Additional Reduction in T1 via Virtual Mfg. of Approx. 9 Units
76% Slope
83% Slope
Reduction in Work Content via Improved Design
48% Savings
0
-10 Production Units
Lean Engineering Basics V6.3 Slide 25 Source: “Lean Engineering ”, John Coyle (Boeing), LAI Executive Board Presentation, June 1, 2000 © 2008 Massachusetts Institute of Technology
Courtesy of Boeing. Used with permission.
Lean Engineering Enables Faster and More Efficient Design
Forward Fuselage Development Total IPT Labor
Staffing Level
Prototype Wireframe
EMD Wireframe with 2D Drawing
Release
Prototype 3D Solid Release
Release Results from vehicle of approximate size and work content of forward fuselage
Prototype 3D Solid Release
Months from End ofConceptual Design Phase
Lean Engineering Basics V6.3 Slide 26 Source: “Lean Engineering ”, John Coyle (Boeing), LAI Executive Board Presentation, June 1, 2000 © 2008 Massachusetts Institute of Technology
Courtesy of Boeing. Used with permission.
Lean Engineering Enables Faster Delivery Times
Iridium Manufacturing
• Cycle time of 25 days vs. industry standard of 12-18 months
• Dock-to-Dock rate of 4.3Days
Courtesy of Ray Leopold. Used with permission. Lean Engineering Basics V6.3 Slide 27 © 2008 Massachusetts Institute of Technology
• 72 Satellites in 12 Months, 12 Days
• 14 Satellites on 3 Launch Vehicles, from 3 Countries, in 13 Days
• 22 Successful Consecutive Launches
Iridium Deployment
• Cycle time of 25 days vs.industry standard of 12-18months
• Dock-to-Dock rate of 4.3Days
Iridium Manufacturing
Lean Engineering Wrap Up
Traditional
Lean
Units
Cost
Affordability Through LeanLean Engineering
♦ Focus on Customer Value
♦ IPPD and IPTs
♦ Integrated Digital Design Tools
♦ Production Simulation
♦ DFMA
♦ Design Reuse & Commonality
♦ Variability Reduction
♦ S
♦
♦ S
♦
♦
Lean Manufacturing
♦ High Performance Work Org
♦ Advance Technology Assembly
♦ Cycle Time Reduction
♦ Variability Reduction/SPC
♦ Value Stream Mapping
♦ Kaizen Events
♦ Operator Verification
Adapted from: “Lean Engineering ”, John Coyle (Boeing), LAI Executive Board Presentation, June 1, 2000 Lean Engineering Basics V6.3 Slide 28 © 2008 Massachusetts Institute of Technology
Lean Supply Chain
♦ Supplier Base Reduction
♦ Certified Suppliers
♦ Suppliers as Partners
♦ Electronic Commerce/CITIS
♦ IPT Participation
Courtesy of Boeing. Used with permission.
Reading List Clausing, D., Total Quality Development, ASME Press, New York, 1994
Haggerty, A., “Lean Engineering Has Come of Age, “30th Minta Martin Lecture, MIT Department of Aeronautics and Astronautics, April 10, 2002.
Lempia, D, “Using Lean Principles and MBe In Design and Development of Avionics Equipment at Rockwell Collins”, Proceedings of the 26th International Concil of Aeronautical Sciences, Paper 2008-6.7.3, Ancorage, AK, Sept 14-19. 2008
McManus, H., “Product Development Value Stream Mapping (PDVSM Manual)”, Release 1.0, Sept 2005. Lean Advancement Initiative.
McManus, H., Haggerty, A. and Murman, E., “Lean Engineering: A Framework for Doing the Right Thing Right,” The Aeronautical Journal, Vol 111, No 1116, Feb 2007, pp 105-114
McManus, H. L., Hastings, D. E., and Warmkessel, J. M., “New Methods for Rapid Architecture Selection and Conceptual Design,” J of Spacecraft and Rockets, Jan.-Feb. 2004, 41, (1), pp. 10-19.
Morgan, J.M. and Liker, J.K., The Toyota Product Development System, Productivity Press, New York, 2006
Murman, E., “Lean Aerospace Engineering”, AIAA Paper 2008-4, 46th Aerospace Sciences Meeting, Reno, NV, Jan 208
Oppenhiem, B., “Lean Product Development Flow”, INCOSE J of Systems Engineering, Vol. 7, No 4, pp 352-376, 2004
Nuffort, M.R., “Managing Subsystem Commonality,” Master’s Thesis, MIT, Cambridge, MA, 2001.
Slack, Robert A., “The Lean Value Principle in Military Aerospace Product Development,” LAI RP99-01-16, Jul 1999. http://lean.mit.edu, and “Application of Lean Principles to the Military Aerospace Product Development Process,” Masters thesis in Engineering and Management, Massachusetts Institute of Technology, December 1998.
Ward, Allen, Lean Product and Process Development, The Lean Enterprise Institute, Cambridge, MA, Mar Lean Engineering Basics V6.3 Slide 29
© 2008 Massachusetts Institute of Technology 2007
Acknowledgements
• Venkat Allada - UMO, Rolla • Ronald Bengelink - ASU, Boeing (ret.) • John Coyle - Boeing • Chuck Eastlake - Embry-Riddle • Allen Haggerty - MIT, Boeing (ret.) • Dick Lewis - Rolls-Royce (ret.) • Bo Oppenheim - Loyola Marymount Univ. • Jan Martinson - Boeing, IDS • Hugh McManus - Metis Design • Earll Murman - MIT • Edward Thoms - Boeing, IDS • Annalisa Weigel - MIT • Stan Weiss - Stanford
Lean Engineering Basics V6.3 Slide 30 © 2008 Massachusetts Institute of Technology
Notes
Lean Engineering Basics V6.3 Slide 31© 2008 Massachusetts Institute of Technology
Notes
Lean Engineering Basics V6.3 Slide 32© 2008 Massachusetts Institute of Technology