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Version 03 1 KMS – Kaizen Management System KMS Presentation www.kaizen.com

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Page 1: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

Version 031

KMS – Kaizen Management System

KMS Presentation

www.kaizen.com

Page 2: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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KAIZEN Institute – Worldwide

Local KAIZEN OfficesCountries where we operate

Texas Japan

India

GermanyFrance

Spain

Portugal Italy

Switzerland

Poland

Austria

Czech

Romania

United Kingdom

Bahrain

New Zealand

ChennaiMumbai

Dehli

Thailand

Malaysia

Saudi Arabia

Ghana

Egypt

Mexico

United States

Slovakia

Hungary

UAE

Kenya

Mauritius

China

Philippines

Indonesia

Brazil

Australia

Global Office

Russia

MASAAKI IMAI Founder and

President

Page 3: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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KAIZEN (Original Definition)

Change

for the better

K A I Z E N = Continuous Improvement

Z E N

K A I

Page 4: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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The market determines the price

Manufacturing costsbefore:

today:

Profit

Cost saving

Manufacturing costs Profit

Profits can be maintained only through the management of cost!

Manufacturing costs

Sales price

Market price

Sales priceProfit

The marketdeterminesthe price!

Page 5: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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Go to Gemba

Check Gembutsu

Search for

Make KAIZEN®

The Gemba Principles

When an abnormality occurs

Machine, Material, Failures, Rejects etc.

Muda (waste), Mura (inconsistency), Muri (physical strain)

Remove root causes

Page 6: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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What is a KMS Model – KMS Temple

Suppliers

Customers

Zero Errors

PeopleInvolvement

ProcessFlow

ProcessEffectiveness

Lean Support Systems

QCD QCD

Mis

sion

and

Ta

rget

s

FlowManagement

FlowManagement

AssetManagement

AssetManagement

QualityManagement

QualityManagement

ServiceManagement

ServiceManagement

Change ManagementChange Management

Tech

nica

l and

O

rgan

izat

iona

l A

ctio

n Pi

llars

Eliminate: MUDA-Losses Build up a solid basis with:

Values Based on Kaizen PrinciplesBuild up a solid basis with:

Values Based on Kaizen Principles Eliminate: MUDA-Waste

Fund

amen

tal

Valu

es

Page 7: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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The worldwide Kaizen Management System for sustainable profit and growth

Suppliers

Customers

Zero Errors

PeopleInvolvement

ProcessFlow

ProcessEffectiveness

Lean Support Systems

QCD QCD

Eliminate: MUDA-Losses Build up a solid basis with:

KAIZEN® FoundationsBuild up a solid basis with:

KAIZEN® Foundations Eliminate: MUDA-Waste

TFM Total Flow

Management

TFM Total Flow

Management

TPMTotal Productive

Maintenance

TPMTotal Productive

Maintenance

TQMTotal QualityManagement

TQMTotal QualityManagement

TSMTotal ServiceManagement

TSMTotal ServiceManagement

TCM – Total Change ManagementTCM – Total Change Management

Page 8: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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Examples of KMS Models

TOYOTA

The Stanley Production System

Page 9: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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KAIZEN Foundations Model

Suppliers

Customers

Zero defects

PeopleInvolvement

ProcessFlow

ProcessEffectiveness

Lean Support Systems

QCD QCD

Process Focus:Process Focus:Total Systems:Total Systems: Quality First:Quality First: Universal Tools:Universal Tools:

KAIZEN® Foundations –Fundamental Values and Paradigms

KAIZEN® Foundations –Fundamental Values and Paradigms

• Market In;• Market In;

• Next Op. is Customer;• Next Op. is Customer;

• Upstream Management;• Upstream Management;

• Value Stream Thinking;• Value Stream Thinking;

• People Development;• People Development;

• Kaizen Management.• Kaizen Management.

• Process and Results;• Process and Results;

• Gemba Gembutsu;• Gemba Gembutsu;

• 7 Mudas.• 7 Mudas.

• SDCA / PDCA;• SDCA / PDCA;

• 5S Habits;• 5S Habits;

• Visual Management.• Visual Management.

Page 10: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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KAIZEN® Foundations –Fundamental Values and Paradigms

KAIZEN® Foundations –Fundamental Values and Paradigms

Suppliers

Customers

Zero defects

PeopleInvolvement

ProcessFlow

ProcessEffectiveness

Lean Support Systems

QCD QCD

• People will naturally resist to change;

• The power of paradigms;

• The process of paradigms change.

Foundations - Resistance to Change and Paradigms

Paradigms

Page 11: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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Foundations - Resistance to Change

“We’ve always worked that way”“At first, we cared, but …”“It’s not my responsibility”“No-one told me”“I don’t have the time”“Anyway, it wouldn’t change anything”“Another gizmo which won’t last”“There are more important problems”“It’s not possible here”“We already have enough work”“What’s in it for me?”

Page 12: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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Foundations - Paradigms – What do you See?

What do you see?

A young lady or an old woman?

It will depend on your own Paradigms!

The reality is that both are present.

It is important to Value different points of view!

Page 13: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

Version 0313

Foundations - The Process of Cultural Change

Process of Business Change (needs to be managed by change agents)

Process of Personal Change

New Ideas,Accept-

ance

Values,Paradigms,

Trial of NewBehaviour

Wayof

Being

Beliefs,Habits

Values,Paradigms,

New Ideas,Accept-

ance

New ParadigmPioneers

New ParadigmSponsors

New ParadigmSponsors

Pilot Processes

Systems,Standards

Culture

Page 14: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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Foundations - The Process of Cultural Change

Gemba Kaizen: Projects, Workshops

and Team Activities.

Changing working conditions leads to

employee behaviour change

Improve Work Areas and Processes (visible Improvement)

People Start Changing their Behaviourthrough belief in new systems and habit of new standards

The Company Culture Changes

When Gemba Kaizen Activities

are introduced motivation

increases and employees enjoy

the practical learning

Page 15: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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Foundations - Total Systems - Overview

Total Systems:Total Systems:

• Value Stream Thinking;• Value Stream Thinking;

• People Development;• People Development;

• Kaizen Management.• Kaizen Management.

Suppliers

Customers

Zero defects

PeopleInvolvement

ProcessFlow

ProcessEffectiveness

Lean Support Systems

QCD QCD

• Functional Organization vs. Value Stream Thinking;

• Blaming/Judging vs. Non Blaming/Non Judging;

• Training is Enough vs. Kaizen Management System.

KAIZEN® Foundations –Fundamental Values and Paradigms

KAIZEN® Foundations –Fundamental Values and Paradigms

Page 16: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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Foundations - Quality First - Overview

KAIZEN® Foundations –Fundamental Values and Paradigms

KAIZEN® Foundations –Fundamental Values and Paradigms

Suppliers

Customers

Zero defects

PeopleInvolvement

ProcessFlow

ProcessEffectiveness

Lean Support Systems

QCD QCD

Quality First:Quality First:

• Market In;• Market In;

• Next Op. is Customer;• Next Op. is Customer;

• Upstream Management;• Upstream Management;

• Product Out vs. Market In;

• Final Customer vs. Next Operation is Customer;

• Inspection Management vs. Upstream Management.

Page 17: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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Foundations - Process Focus

Suppliers

Customers

Zero defects

PeopleInvolvement

ProcessFlow

ProcessEffectiveness

Lean Support Systems

QCD QCD

Process Focus:Process Focus:

• Process and Results;• Process and Results;

• Gemba / Gembutsu;• Gemba / Gembutsu;

• 7 Mudas.• 7 Mudas.

• Results Focus vs. Process and Results;

• Theory / Opinion vs. Gemba / Gembutsu;

• Point Improvement vs. Flow Improvement.

KAIZEN® Foundations –Fundamental Values and Paradigms

KAIZEN® Foundations –Fundamental Values and Paradigms

Page 18: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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Foundations - Universal Tools

Suppliers

Customers

Zero defects

PeopleInvolvement

ProcessFlow

ProcessEffectiveness

Lean Support Systems

QCD QCD

Universal Tools:Universal Tools:

• SDCA / PDCA;• SDCA / PDCA;

• 5S Habits;• 5S Habits;

• Visual Management.• Visual Management.

• No Standards Kaizen vs. Standards Based Kaizen;

• No Kaizen Habits vs. Kaizen 5S Habits;

• Hidden Information vs. Visual Management.

5S

KAIZEN® Foundations –Fundamental Values and Paradigms

KAIZEN® Foundations –Fundamental Values and Paradigms

Page 19: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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III. Establish Direction & Control

TCM - Total Change Management Model

I. Design an Effective KMS

2. Gemba Kaizen Workshops

II. Develop Change Capability

1. Develop aKMS Structure

1. Establish a KMS Audit

3. Value Stream Projects

2. KMS College (training)

1. Design a KMS Model

4. Autonomous Team Activities

2. Policy Deployment

3. KanriKaizen

3. A3 Performance Control

4. Advanced HR Practices

4. PersonalKaizen

Page 20: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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TCM - I. Design an Effective KMS - Overview

• Targets:

• Clarify the Values, the Mission and the Goals of the KMS;

• Build the “KMS Temple”, a visual management logo full of purpose and meaning;

• Define a clear Action Strategy (master and detailed plans);

• Choose and apply the most effective and proven Kaizen tools;

• Find a practical way to involve all employees in Gemba activities (top, middle and bottom).

I. Design an Effective KMS

2. Gemba Kaizen Workshops

3. Value Stream Projects

1. Design a KMS Model

4. Autonomous Team Activities

Page 21: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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TCM - II.0. Develop Change Capability - Overview

• Targets:

• Develop, define and start the Kaizen Promotion Office Structure;

• Define and start the KMS Training Plan;

• Develop Supervisors Kaizen capability and habits;

• Develop key people in terms of Individual Leadership Capability.

II. Develop Change Capability

1. Develop aKMS Structure

2. KMS College (training)

3. KanriKaizen

4. PersonalKaizen

Page 22: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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TCM - III.0. Establish Direction and Control - Overview

• Targets:

• Define and implement a System Audit tool;

• Deploy the KMS across all company levels and functions;

• Check results and make corrections;

• Improve the Recruit, Train, Evaluate and Compensate HR practices.

III. Establish Direction & Control

1. Establish a KMS Audit

2. Policy Deployment

3. A3 Performance Control

4. Advanced HR Practices

Page 23: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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TFM – Total Flow Management Model

Strategy

II. Production Flow

4. Smed

2. Border of Line

1. Layout and Line Design

3. StandardWork

5. Low CostAutomation

III. Internal Logistics Flow

5. Pull Planning

3. Synchronization (KB/JJ)

1. Supermarkets

2. Mizusumashi

4. Leveling

I. Basic Stability

V. Value Stream Design (VSD)

IV. External Logistics Flow

2. Milkrun

1. WarehouseDesign

5. Total PullPlanning

4. Outboundand Delivering

3. Inbound and Sourcing

Page 24: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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TPM – Total Productive Maintenance Model

Page 25: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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TQM – Total Quality Management Model

SITUATION

COMPANY

FOCUS

ACTION

TOOLS

ReworkReplacement

Many DefectsMany Complaints

Defects leave the Company

LEVEL 0

Operations

Errors

Defects

Defects

StrengthenInspection

Eliminate ComplaintsInspection

Defects do not leave the Company

LEVEL 1

Operations

Errors

Defects

Inspection STD´s

Non defective Products

Standards and SDCA

StrengthenImprovement

Don't Make DefectsImprovement

Decrease defects

LEVEL 2

Operations

Errors

Defects

Inspection STD´s

Non defective ProductsIm

provement

Structured Problem Solving

S.P.C

Auto Quality Matrix II

Strengthen Autonomation(Jidoka)

Prevent Errors From Becoming Defects

Zero Defects

LEVEL 4

Operations

Errors

Improvem

ent

Processes

Inspection STD´s

Non defective Products

Q. F. D.

Auto Quality Matrix I

Strengthen Autonomous Control

Don't Pass Defectsto the Next Process

Defects do not leave the Process

LEVEL 3

Operations

Errors

Improvem

ent

Defects

Inspection STD´s

Non defective Products

Processes

Quality Maintenance

Page 26: KMS Presentation -  · PDF fileKMS – Kaizen Management System KMS Presentation  . 2 Version 03 KAIZEN Institute – Worldwide Local KAIZEN Offices ... Gemba Kaizen

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TSM – Total Service Management Model

Awareness of wasteSelfOrganization

No errors or omissionsCo-operation

Reduced lead timePaperless office

ProcessImprovement

Visual managementPolicy deployment Optimization

as a Team

Greater flexibility Less space

Flexible Workingin Teams

Achievement ofQCDMS targets “Best In Class“

L1Create a good foundationthrough

L2Improve through

L3Save through

L4 Lock in gains by

L5 Empower people for

L6 Control process to become

6 Levels of Effective Service Management

• Create waste free procedures

• Become a showcase

• Eliminate muda • Do 5S• Set goals• Develop roadmap

Standardize:• Procedures and forms • Office materials • Communications

• Map material and information flow

• Do PDCA• Discover potential

• Implement Visual Management

• Create team boards • Practice PD

• Analyze task • Apply mobility concept • Create flexible layouts

Process-mapping

VSM

MUDA

5S