1. business and industrial
2. manufacturing

How to Improve Process
Performance Using Lean
Automation
Frank Garcia
ADVENT DESIGN CORPORATION
What We’ll Cover
Determine how much automation is appropriate
and whether this automation should be done in
phases or at one time.
Determine what information is needed from the
manufacturing floor and how quickly this
information is needed.
Determine how to integrate data collection and
processing into an automation project.
1
AUTOMATE or NOT TO AUTOMATE
Need to lower costs & reduce cycle times?
•
•
•
•
Too many people
Layout is bad
Can’
Can’t deliver ontime
Equipment too slow
What Do We Do?
Analyze & Evaluate
Using Lean Concepts &
Techniques
Implement Lean
Manufacturing Solutions
Design & implement
LEAN AUTOMATION
and Data Collection!
2
Why Lean Automation?
“After implementing lean
improvements such as cellular
manufacturing and setup reduction,
selective automation can add value
and reduce human variability.”
variability.”
Richard Schonberger
Lean Manufacturing
Fundamental Principle of Lean Manufacturing
Any activity or action which does
not add value to the product is a
form of waste and must be
eliminated or minimized.
minimized.
3
Definition of Value -Added
Value is added any time the product is physically
changed towards what the customer is intending
to purchase.
Value is also added when a service is provided
for which the customer is willing to pay (i.e.
design, engineering, etc.).
If we are not adding value, we are adding cost or
waste.
90% of lead time is non-value added!
Lean Manufacturing
Concepts & Techniques
Value Stream Map *
Flow: Setup Reduction, Cellular
Manufacturing, Batch Size Reduction,
Visual Workplace, Layout *
Pull: Kanban Systems, Supply Chain Management, Point of Use *
Others: Quality Improvement & Analysis *, Total Productive
Maintenance, Training *
* Used most frequently prior to Automation
4
Value Stream Map
An Assessment Tool
The value stream map follows the production
path from beginning to end and shows a visual
representation of every process in the material
and information flows
Shows how the shop floor currently operates
Foundation for the future state
Value Stream Map Concept
Suppliers
Orders
Production
Control
Orders
Customers
Schedules
I
I
Raw
Materials
Process
Equipment
Cycle
Times
Change
Over
Reliability
Error Rate
Finished
Goods
Lead
Time
File: VSM-A1
5
Value Stream Map (Current State)
Orders Every 2 Weeks
Production Control
New Jersey
Porcelain
(Round Stones)
Andrea Aromatics
(Scented Oils)
Alanx
(Shaped Stones)
Randomly Placed
Orders (Various Sizes)
Order as Needed
Various
Customers
Average of 6,000
Stones per Day
in Various Size
Orders (8 to 20 case
& 200 to 400 case
range mainly)
30 Cans of Oil
Every 2 Weeks
59,000 Stones
Every 2 Weeks
50,000+ Stones
Every 2 Months
(via stringer)
BiWeekly
Productio
n
Schedule
Daily Shipping
Orders
Daily
Shipments
Existing Work Cell
Soak & Dry
I
125 Cans of Oil
20,640 Round Stones
49,000 Shaped Stones
Multiple
Batch Tanks
1 Operator
Packaging
I
APAI
Automatic
Stapler
I
up to
250
stones
in WIP
4290
Stones
C/T = 25 - 65 min.
C/O = 10 min.
Rel. = 100%
11.6 Days
Labeling
Ameripack
Flow Packager
1 Operator
C/T = 1 sec.
C/O = 5 min.
Rel. = 85%
Cartoning
Case Packing
Manual
I
0
C/T = 3 sec.
C/O = 2 min.
Rel. = 80%
I
1/2 Operator
Shipping
Manual
0
C/T = 2 sec.
C/O = N/A
Rel. = 100%
I
1/2 Operator
90,504
Stones
C/T = 1 sec.
C/O = N/A
Rel. = 100%
0.7 Days
15.1 days
65 min.
1 Operator
27.4 Days Lead Time
65 minutes, 7 seconds
Value-Added Time
7 seconds
Value Stream Map (Future State)
Orders Every Week
New Jersey
Porcelain
(Round Stones)
Andrea Aromatics
(Scented Oils)
12 to 16 Cans
of Oil Once a
Week
Alanx
(Shaped Stones)
30,000 Stones
Once a Week
Randomly Placed
Orders (Various Sizes)
Production Control
Monthly Order
Average of 6,000
Stones per Day
in Various Size
Orders (8 to 20 case
& 200 to 400 case
range mainly)
Bi-Weekly
Production
Schedule
(large
orders)
25,000 Stones
Once a Month
(via stringer)
Various
Customers
Daily Shipping
Orders
Daily
Shipments
4 Cases
Existing Work Cell
Soak & Dry
I
75 Cans of Oil
40,000 Round Stones
25,000 Shaped Stones
Multiple
Batch Tanks
1 Operator
Packaging
I
C/T = 1 sec.
C/O = 5 min.
Rel. = 85%
0.7 Days
65 min.
I
up to
250
stones
in WIP
4290
Stones
C/T = 25 - 65 min.
C/O = 10 min.
Rel. = 100%
10.8 Days
Ameripack
Flow Packager
Labeling
APAI
Automatic
Stapler
1 Operator
C/T = 3 sec.
C/O = 2 min.
Rel. = 80%
Increase
Reliability
Cartoning
Case Packing
Manual
I
0
Shipping
Manual
I
1/2 Operator
C/T = 2 sec.
C/O = N/A
Rel. = 100%
0
1/2 Operator
C/T = 1 sec.
C/O = N/A
Rel. = 100%
30,000
1 Operator
Stones
in a supermarket
type arrangement
with stocking levels
by shape and scent
5.0 days
7 seconds
16.5 Days Lead Time
65 minutes, 7 seconds
Value-Added Time
6
VSM IMPLEMENTAION
FUTURE STATE IMPLEMENTATION PLAN & SCHEDULE
LOOP
Supplier Loop
Production Control Loop
Element
Loop
Module Assembly Loop
Pacemaker Loop
(Unit Assembly/Shipping Loop)
OBJECTIVES
* Develop pull system with s uppliers
* Increase number of deliveries per week
* Reduce raw material inventory to match
* Implement daily s hipping schedule
* Work to schedule manufacturing based on
shipping requirements
PROJECTS
1. Review Weekly/Monthly Requirements With Suppliers
2. Revise current blanket orders
3. Send daily consumption data to suppliers
4. Setup point of use raw material areas
SEQUENCE COMPLETION
(PRIORITY) DATE (Mon./Yr)
1
1
2
1
Sep-01
Sep-01
Nov-01
Oct-01
1. Single point to schedule( s hipping). See pacemaker loop.
1
Oct-01
2. Daily production s chedule by Operations Manager
3. Implement kanban loops as s hown on future s tate VSM
1
2
Oct-01
Nov-01
4. Us e MRP for materials forecasting
1
Oct-01
* Reduce lead time
1. Eliminate WIP between winding & annealing
1
Sep-01
* Develop continuous flow
* Develop pull system with element prep
supermarket
2. Implement supermarket for element prep and kanbans
1
Oct-01
3. Cross train element as sembly operations
2
Dec-01
* Reduce cycle time
* Reduce variation in cycle time in testing
* Reduce variation in cycle time in drydown
* Establish pull s ystem with supermarket from
cell installation
* Reduce use of carriers
1. Analyze process variance in environmental tes t
2. Analyze process variance in module drydown
3. Implement supermarket and kanbans for cell installation
1
1
1
Oct-01
Oct-01
Oct-01
2
1
Dec-01
Sep-01
* Reduce cycle time
* Establish pull s ystem with supermarket from
shipping
4. Cross train module assembly operations
5. Analyze need for carriers vs . subas sembly units
6. Analyze material handling reductions and layout
improvements for element prep operations
7. Set up leak tested subas sembly units in supermarket for final
as sembly
1. Improve assembly methods in final mechancial ass embly
2. Review des ign for manufacturing ass embly improvements for
tubing as sembly
3. Cons olidate inspection with final mechanical ass embly or
shipping/packing
4. Set up raw material s uppermarket for final ass embly
5. Cross train unit as sembly operations
3
Jan-02
1
Oct-01
2
Dec-01
3
Feb-02
2
1
2
Nov-01
Oct-01
Dec-01
NOTES:
1. Conduct kanban and point of use training for plant personnel in 2001.
2. Priotities as follows: #1(Complete in 2 months), #2(Complete in 4 months), #3(Complete in 6 months)
3. Consider use of teams for implementation after training.
Implementing Lean Changes
“My conclusion is that all of us making a lean leap
will need to deal with capability issues (TQM/Six
Sigma) and with availability issues (TPM) while
removing wasted steps and introducing flow and
pull in every value stream (TPS). My further
conclusion is that there is no “right sequence” to
follow in tackling these problems. Rather it
depends on the nature of the product, the nature of
the process technology, and the nature of the
business.”
Jim Womack, October 2002
7
How Do We Use Lean Techniques
for Automation?
Assess the operation using a Value Stream
Map and/or PFDs (Product families & Production data)
Evaluate the layout
Identify lean improvements & kaizens
without automation
Implement lean improvements using VSM
plan
Identify lean automation opportunities
Design and implement lean automation
Start the cycle again!
The Lean Automation Cycle
Assessment
(VSM)
Recommended
Solutions
Continuous
Improvement
DO IT!
Set Up
Layout
Cells
Visual
Automation
Implementation
Plan
Information
Systems
8
Levels of Automation
Levels
Load
Machine
Machine
Cycle
Unload
Machine
Transfer
Part
1
Operator
Operator
Operator
Operator
2
Operator
AUTO
Operator
Operator
3
Operator
AUTO
AUTO
Operator
The Great Divide
4
AUTO
AUTO
AUTO
Operator
5
AUTO
AUTO
AUTO
AUTO
As defined by the Lean Enterprise Institute in “Creating
Continuous Flow”
Low Productivity
Electrical Device Assembly
The Challenge in Two Steps
Client wanted wave
soldering and robotic pick
and place
Functional operational
layout
Ergonomic problems
Extensive material staging
No space
Initially, 13 people in
Aurora cell
Low output: 300 units/day
9
Lean Techniques Used
Before Automation
Process flow diagrams
Cellular Manufacturing & Layout
Balance Cycle Times Between Work Stations
5S
Reduce Batch Size & parts staging
Quality Data Collection & Analysis
(Reduce Reject Rate)
Cellular Assembly Layout
10
WORKSTATION CYCLE TIME: 25sec., 1.25 min.
PER 3 UNITS
2
LED
SOLDER
& CUT
1
4
ASSEMBLY
#1
COLD STAKE
TEST PCBs
LED
PLACEMENT
TEST
PCBs
LED
SOLDER
& CUT
5
7
6
CONTACTS
ASSEMBLY
&
SOLDER
BUTTON &
BATTERY
ASSEMBLY
LABEL
Cell Changes
REJECT
DATA
TEST
SAMPLES
ATTACH
BACK
COVER,
STAKE
STRAP &
ATTACH
STRAP
8
GLUE
SWITCH/
ATTACH
STRAP
9
PACK
INSERT
SWITCH
ACTIVATOR
REJECT
DATA
3
ASSIST
REJECT
DATA
AFTER CHANGES WORKSTATION CYCLE TIME: 25sec.,
1.25 min. PER 3 UNITS
1
PCBs from
supplier
2
ASSEMBLY
#1
COLD STAKE
TEST PCBs
CONTACTS
ASSEMBLY
&
SOLDER
3
BUTTON &
BATTERY
ASSEMBLY
LABEL
4
TEST
SAMPLES
ATTACH
BACK
COVER,
STAKE
STRAP &
ATTACH
STRAP
5
GLUE
SWITCH/
ATTACH
STRAP
6
PACK
INSERT
SWITCH
ACTIVATOR
REJECT
DATA
Lean Automation Changes
Level 1
Cold staking fixtures
Powered screw
drivers
Light test fixture
Soldering fixture
11
With Lean Automation Level 1
The Results
Balanced cell at 24 sec
per work station
Two UU-shaped cells
3 piece flow
1000 units/day per cell
vs 300
6 people per cell vs 13
Faster identification of
quality problems
Point of use storage
Better teamwork
No backlog
Reducing Lead Time & Improving Quality
Steel Panel Fabrication
The Challenge
Client wanted to reduce
lead time to less than one
week
Automated equipment had
been installed but had
problems
Material flow problems
Long setup times
Panel rejects & rework (5%)
Few process controls or
data collection
12
Lean/Six Sigma Techniques Used
Process Flow Diagrams
Value Stream Mapping
Setup time Analysis
Quality Data Collection & Analysis
(Reduce Reject Rate & Variability)
Root Cause Analysis
Value Stream Map (Current State)
Blanket Annual Purchase
Order with Daily Releases
Sheet Galvanized
Steel (4’ by 8’ or cut)
Sheet Galvanized
Steel (4’ by 8’ or cut)
Sheet Galvanized
Steel (4’ by 8’ or cut)
Takt time = 5 min.
Production Control
(normally working
24 to 48 hours ahead
of
promised shipment)
Sheet Galvanized
Steel (4’ by 8’ or cut)
Randomly Placed
Orders (normally
single unit orders)
Various Distributors
(~ 24 for Smith Corp. &
~ 6 for Jones Systems
Average volume of 1000
systems per month in peak
season.
Customers are mainly
distributors. There are a
few dealers.
Daily
Production
Reports
Up to an average
of 130,000 lbs
daily in peak
season
Daily
Production
Reports
Daily
Shipping
Schedule
Daily
Shipments
In Straight
Panel Dept.
Shear
I
2 to 5 days
depending
on pre-cut
size
Notch
1 Accurshear
Automated
Shear (P-3)
1 Manual
Notcher (S-23)
& 1 Automated
Notcher (R-3)
1 Operator
1/2 Operator
C/T = 4 min.
C/O = N/A
Rel. = 99%
C/T = 2 min.
C/O = 4 min
Rel. = 95%
Specialty Punch
4 Semi-Auto
Punches
0 Operators
C/T = 2 min.
C/O = N/A
Rel. = 99%
Corner Punch
Bend
Stake & Label
Add Z Brace
1 Manual
Brake (R-7)
& 1 Automated
Brake (R-13)
1 Automated
Machine (R-8)
1 Automated
Machine (ACR)
1 Operator
1/2 Operator
1/2 Operator
1/2 Operator
C/T = 2 min.
C/O = up to
30 min.
Rel. = 99%
C/T = 5 min.
C/O = 30 to
60 sec.
Rel. = 90%
3 Semi-Auto
Punches
(S-1, S-2, & S-3)
C/T = 2 min.
C/O = N/A
Rel. = 99%
C/T = 7 min.
C/O = N/A
Rel. = 98% to
99%
Radius & Band
1 Manual Table,
1 Jig-less
Machine (R12),
& 1 Jig Machine
(R1)
2 Operators
C/T = 8 min.
(average)
C/O = 2 to 30
min.
Rej = 5%
Uptime = 80%
2 to 5 days
4 min.
2 min.
2 min.
2 min.
5 min.
2 min.
7 min.
8 min.
Rack
1 Material
Handler
Shipping
2 Operators
C/T = N/A
C/O = N/A
Rel. = 100%
2 to 5 Working Days,
Lead Time
32 minutes,
Value-Added Time
13
INITIAL IMPROVEMENT CONCEPTS
Improve reliability and changeover
capability of R1 and R12 machines.
Reduce panel reject rate.
Radius & Band
1 Manual Table,
1 Jig-less
Machine (R12),
& 1 Jig Machine
(R1)
I
Work to 1 to 2 days lead time
Rack
1 Material
Handler
2 Operators
Takt time = 5 min.
C/T = N/A
C/O = N/A
Rel. = 100%
C/T = 8 min.
(average)
C/O = 2 to 30
min.
Reject rate = 5%
Uptime = 80%
What’
What’s Causing
Evil Variation?
8 min.
2 to 5 Working Days,
Lead Time
UNDERSTANDING ROOT CAUSES of R12 PROBLEMS
CAUSE AND EFFECT DIAGRAM
Red = Most Important Causes
SET UP VALUES
CHANGE
NO SPECS
OPERATORS
MAINTENANCE
CHANGES
SETTINGS
NO DIMENSIONAL SPECS
OR TOLERANCES
OPERATOR
JUDGEMENT
NO TRUST
RADIUS TEMPLATE
ACCURACY
PANEL
SQUARENESS
DIFFERENT SETUP
PROCEDURES
OPEATOR
PREFERENCE
MEASUREMENT
RADIUS
DIFFERENT
MEASURES USED ON
R1 & R12
ANGLES
NO SPECS
DON'T MEET
CURVATURE
TEMPLATE
REQUIREMENTS AT
SETUP
(4' & 6' RADIUS
PANELS)
SEGMENT
LENGTH
MOUNTING
WRONG
DIGITAL READOUT
USELESS
PANEL WIDTH VARIES
POOR TRANSDUCER
SELECTION
INDEXES VARY
INDEXES VARY
CRUDE INDEX
SYSTEM DESIGN
NOTCH O.D.SPACING VARIES
.09 IN
AIR CYLINDER
OPPOSING
HYDRAULIC IN
HEAD
ASSEMBLY
EQUIPMENT
BANDS HAVE
CAMBER
POOR MAINT
RADIUS VARIES
SIDE TO SIDE
LOCATION PANEL OF
SPECIALTY PUNCHES
ON PANEL
BACKING SHOE
ADJ.USTMENT.
PANELS CATCH AT
LAST 2 BENDS
AIR PRESSURE LOW
MAINTENANCE
PUNCH
LOCATION
VARIES
PANEL NOTCH POSITION
VARIES
NO SPECS
SURFACE FINISH
VARIES
DIFFERENT
STEEL PROPERTIES
NO SPECS
3 SUPPLIERS
YIELD STRENGTH VARIES
PLATE
THICKNESS
VARIES
HOT VS COLD ROLL
3 SUPPLIERS
DIFFERENT
EQUIPMENT
USED
STRAIGHT PANEL
GALVINIZED COATING
DIFFERENT ON
PANELS
INACCURATE
CUTTING
WIDTH OF STEEL BETWEEN
NOTCHES VARIES 3.75 to 4.0 in.
ACROSS RADIUS
CONVEYOR NOT
ADJUSTED
PANEL NOT
SQUARE. wIDTH
TOO LARGE
SHEET DIMENSIONS
VARY
3 SUPPLIERS
BAD
BEARINGS
ON LOWER
FORMING
TOOL
USE OF AIR vs.
HYDRAULICS
NO SPECS
MATERIAL
(PANELS, STEEL)
COATING
VARIES
3 SUPPLIERS
SPECIALTY PUNCH
14
Process Improvements
Lean
Based
Using Lean/Six Sigma
Common setup procedure
Replace measurement gages
Completed identified R12
maintenance actions
Implemented TPM program
6 Sigma
Based
Process Improvements
Using Lean/Six Sigma
Established radius process
capability (3 sigma)
DOE for radius variations
Implemented process controls for
panel dimensions in upstream
process
Vendor consolidation for
dimensional compliance
15
New Radius Bending Machine R13
• Automated band cutting
• Servo driven adjustments from
panel bar codes
• Hydraulic cylinders vs air
• Online radius
measurement and
tracking
R13 Capabilities After Lean/Six Sigma
Automation
Operates as a cell
Runs two product families
Changeover in less than 5
sec. within and between
product families
Cycle time reduced from 5
min. to 1.8 min.
Realtime auto check of each
panel with data collection
Process capability at 5 to 6
sigma
16
Levels of Automation
R13
Levels
Load
Machine
Machine
Cycle
Unload
Machine
Transfer
Part
1
Operator
Operator
Operator
Operator
2
Operator
AUTO
Operator
Operator
3
Operator
AUTO
AUTO
Operator
The Great Divide
4
AUTO
AUTO
AUTO
Operator
5
AUTO
AUTO
AUTO
AUTO
As defined by the Lean Enterprise Institute in “Creating
Continuous Flow”
Long Cycle Times - Low Productivity
Bearing Assembly
The Challenge
Functional layout
Average batch size of
900 bearings
Long set ups of 9 hrs
Large amount of WIP
Long lead times of 4
to 9 weeks
3 shift operation
17
BEFORE Lean Automation
Lean Techniques Used
Before Automation
Product Family Value Stream Map
Set Up Time Reduction (quick changeover chuck)
Cellular Manufacturing & Layout
Balance Flow & Cycle Time Reduction to
Produce Small Batches
18
AFTER Cellular Layout
Next Step - Lean Automation Level 3
AUTOMATIC LOADER/UNLOADER
Automated parts
feeding & reduced
handling
Decouple machine
cycle from operator
Cell cycle time at 1
min. per bearing
Setup time reduced to
2 to 4 hrs
One shift operation
Average batch size of
100 down to 10
19
AUTOMATIC LOADER/UNLOADER
Across the “Great Divide”
Level 4 Automation
20
New Product - Complex Flow
Smoke Detectors
The Challenge
Cellular layout with 7
operators
Manual packing
Ergonomic problems
New product being
released
Customer wanted to
automate the cell
AFTER Lean Automation Level 4
Focused product family
automation
Detectors conveyed
between machine
operations using special
pallets
1 Operator running the
line
21
Lean Automation and Data Collection
“Data, Data, everywhere and nothing do we know.”
know.”
Useful Data becomes Information
Useful Information becomes the knowledge
base for intelligent decisions and future
planning.
If knowledge is money then useful data is
the currency of the manufacturing floor.
As lead time decreases, need for realtime
data increases!
Lean Automation Can Help Collect the
Right Realtime Data
What is the purpose of collecting the
data?
Will the data tell us what we need to
know?
Will we be able to take action on the
collected data?
22
Levels of Control & Information
IS DEPT
HARDWARE
SOFTWARE
INFO &
CONTROL
REPORTING
Server Farm
Large
Computers
Large Database
ERP/MRP II
Fully Integrated
Supply Chain
Internet Portal
Or Extranet
MES
Client/Server
PCs
Large Database
WebWeb-based
Intranet Portal
SCADA
Industrial PC
Bar Coding
Small Database,
SCADA SW
Networked to
Business
System
Small Control
Network
PLC & Terminal
PLC Program
Programmable
Control
Printed Graphs
Office PC
Spreadsheet
Electrical
Control
By Hand
or Printout
Bus.
System
PLC
I/O
Ad Hoc
ENGINEERING
Lean Automation Provides Realtime Data to
Control Variation for Six Sigma
Supports Critical To
Quality (CTQ) objectives
(3.4ppm defects)
Enhances DefineDefine-MeasureMeasureAnalyzeAnalyze-ImproveImprove-Control
methodology (DMAIC)
Online measurement of
process parameters
Provide realtime controls
as limits are understood
Process Control
23
R13 Process Controls & System Status
Realtime Data Collection
for Six Sigma Analysis
Diagnostics for Rapid
Identification of Problems
How Do Implement Lean Automation?
Assess the operation using a Value Stream
Map or PFDs (Product families & Production data)
Evaluate the layout and flow
Identify lean improvements & kaizens
without automation
Quality improvement
TPM
Point of Use
24
How Do Implement Lean Automation?
Implement lean improvements using VSM
plan
Identify lean automation opportunities
Reduce repetitive motion
Reduce material handling
Improve quality
Design and implement lean automation &
data collection
Start the cycle again!
Benefits of Lean Automation
Summary
Lower cost automation
Simpler implementation & faster acceptance
Greater flexibility for setup & material flow
Maximizes operator utilization
Better use of floor space
Useful data providing a knowledge base for
more profitable solutions in the future, and
supporting a cycle of Continuous
Improvement.
25
Lean Automation Makes Us All
Winners!
Reduced lead times
Reduced costs
Shorter cycle times
Smaller batch sizes
Reduced inventory
Improved quality
Greater flexibility
26