Bb Wk1 240 Wastes Value Add

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Black Belt Training Ford Proprietary

Copyright © 2005-2006, Ford Motor Company – All Rights Reserved

7 Wastes and

Value Add



7 Wastes

Black Belt Training Slide 1

Module Objectives

By the end of this module, the participant will be able to :

Explain the Concept of Value Added and identify Waste that effects

the flow of Value Add work flow.

Define the 7 Major Wastes Plus One:

• Over Production

• Motion

• Conveyance

• Scrap & Rework

•Inventory

• Waiting

• Over Processing

• Not Using the Skills and Knowledge of the Work Force



7 Wastes


What is Value Added?

Examples:

• Drilling a hole

• Installing a flange

• Driving a screw

The Concept of Value AddedValue

Added

2%

Waste

60%

Non-Value

Added,

but Necessary

38%

TIME

12

6

39

Example: • Walking to get

parts

• Waiting time

• Part storage

• Transport

Examples:

• Reach for the drill

• Pull down wrench

• Unclamp and clamp



7 Wastes


What Is Value Added?

Processes that change the product form, fit, or function to meetcustomer specifications.

Work the customer is willing to pay for.



7 Wastes


Waste Characterization Mass vs. Lean

WasteCustomer

Order

Product

Delivery

Mass Manufactur ing

Time in Value Stream, “Lead Time”

(Time to Cash)

WasteCustomer

Order

Lean Manufactur in g

Product

Delivery

Time in Value Stream, “Lead Time”

(Time to Cash)



7 Wastes


What Is Waste?

The element of production that adds no value to the product,adding only cost and/or time

Work the customer is not willing to pay for

A symptom of the problem, rather than the root cause

The recognition and understanding of waste is key in

defining the root cause

To eliminate waste, you have to be able to recognize waste



7 Wastes


THE SEVEN

MAJOR

WASTES

THE SEVEN

MAJOR

WASTES

Recognizing Waste

Waiting

Over Production

InventoryOver Processing

Motion Conveyance

Scrap & Rework



7 Wastes


What Is Over Production? Making more than required by the next process

Making sooner than required by the next process

Making faster than required by the next process

Motion Inventory

Extra

Processing

Time

Waiting

OVERPRODUCTION



7 Wastes


Over Production

Why Does This Waste Type Happen?

Labor and Overhead Measurable driving utilization of

people and equipment

Losses from out of stock conditions

Losses from blocked and starved conditions

Material produced to speculative demand



7 Wastes


Motion


Poor workstation configuration and organization

Work imbalance

Visual Factory not implemented

Standardized Work not implemented



7 Wastes


Conveyance


Long distances from operation to operation

Material Handlers not on scheduled routes

Warehouse on or off site

Distance between receiving and point of use

Handling excess inventory



7 Wastes


Scrap & Rework


Poor, slow quality feedback

Incremental inspection done outside process station

Repair operations are viewed as acceptable Few effective Error Proofing devices in use

Standardized work not in place

Product/process incompatibility

Product over-complexity



7 Wastes


Inventory (Excess)


Mass Production mindset, batch and queue

Unpredictable productivity

Infrequent delivery / shipment of materials internally and

externally

Schedules not linked between processes

Visual Factory not in use to control

Large containers / batch sizes



7 Wastes


Waiting


Waiting for support, information, and/or materials

Low Overall Equipment Effectiveness and high machine

downtime

Unbalanced operations

Long and inconsistent lead times

Continual production schedule fluctuations

Watching automated machines

Undisciplined meetings



7 Wastes


Over Processing


Standards unknown / unclear to operators

Customer specifications are vague or fluctuate

Product testing and re-testing occurs

Functional departments have misaligned goals and poor

communication

Concept that more is better



7 Wastes


Other Implications of Waste

Is there another kind of waste?

What is the impact of waste on Safety?



7 Wastes


Not Using the Ski lls and Know ledge of the Work Force

BRAIN LOCKERS

7 Major Wastes Plus One



7 Wastes


Objectives Review

The participant should be able to :

Explain the Concept of Value Added and identify Waste that effects

the flow of Value Add work flow.

Define the 7 Major Wastes Plus One:

• Over Production• Motion

• Conveyance

• Scrap & Rework

•

Inventory• Waiting

• Over Processing

• Not Using the Skills and Knowledge of the Work Force

Documents

Bb Wk1 240 Wastes Value Add