Chapter 8: Lean Systems

Identify the benefits of lean systems.

A firm can significantly lower its break-even production quantity. Lean systems lower the variable production costs associated with labor, materials, and energy. Lean systems raise the unit profitability of products.

_____ organizes operations systems by grouping together similar customers and then designing and implementing product systems to serve these specific customers.

A focused factory

Identify the reasons why employees are viewed as critical resources for success in the lean systems philosophy.

Acceptance Working in teams Source of flexibility Power in their hands

Identify the prescriptions that the application of lean principles to supply chain relationships leads to

Buy to achieve the lowest total cost. Keep distances between partners short. Treat problems as a symptom and focus on the factors that contributed to the emergence of that problem. Work with suppliers and not against them. Minimize the number of suppliers.

Identify the major goals of lean design.

Design products that support corporate strategic objectives. Design products that exactly meet customers' needs. Design products that reduce/minimize the opportunities for waste.

True or false: Every operational setting and business sector implements the same level of lean systems in application and practice.

False

_____ is an approach to work layout and scheduling that gathers in one location all of the equipment and work skills necessary to complete production of a family of similar products.

Group technology

Identify the principle of lean systems that places a strong value on viewing and organizing the activities involved in product development, order processing, production, and delivery as processes within an overall system and mapping these processes in order to identify value-adding and non-value-adding steps.

Identify the value stream for each product.

Identify the benefits of the application of the lean systems approach across the supply chain.

In stable environments, lean can enhance the performance of the supply chain. Application of lean approach leads to improved quality, reduced costs, and improved customer service. Suppliers and customers better understand each other's needs and capabilities.

Identify the true statements about Kaizen Events.

In this process, cross-functional team members document a process, assess the performance, and develop and document the implemented process changes. They are completed in less than a week.

Identify the methods by which lean systems can lower the break-even production quantity of a firm.

Increasing the contribution margin Reducing fixed overhead costs

Define process analysis/value stream mapping.

It is a graphical technique that helps managers understand material and information flows as a product makes its way through the process.

Identify the true statements about group technology.

It is also called cellular manufacturing. In group technology, part families are created based on the similarities in design features.

Define andons.

It is the use of visual indicator system such as flashing lights to help management access current performance and identify the location of problems.

_____ is a short-term approach to enhancing efficiency that focuses on improving an existing process or an activity within a process.

Kaizen Event

_____ is a scheduling system that builds output in response to actual customer demand.

Kanban scheduling

_____ is the culture that is present in lean systems and that places a high value on respect for people in the system.

Lean system culture

Identify the important principles that are used to achieve the objectives and principles of lean systems.

Let the customer pull value from the producer. Precisely specify value for each specific product. Identify the value stream for each product. Pursue perfection. Make value flow without interruptions.

_____ is the practice of leveling quantities of different product models produced over a period of time, with the goal of reducing batch sizes and lead times.

Level, mixed model scheduling

Identify the different terms used for poka-yoke.

Mistake proofing Fail-safing

Identify the objectives and principles of lean systems.

Only produce products that customers want. Only produce products as quickly as customers want them. Reinforce the occupational development of workers. Produce products with perfect quality. Produce products with the features that customers want. Produce products with no waste of labor, materials, or equipment.

_____ is an emphasis on redesigning processes in such a way as to make mistakes either impossible or immediately apparent to the worker.

Poka-yoke

Identify the lean systems tools that are used for continuous process improvement.

Poka-yoke (fail-safing/mistake-proofing) Quality at the source Simplification/Standardization 5-S program Kaizen Events Process analysis/Value stream mapping

_____ is the practice of eliminating defects at their root cause origination points.

Quality at the source

Identify the examples of visual controls.

SPC (statistical process control) charts Lighting systems Andon boards

_____ uses various statistical tools to analyze the capabilities of a given process and monitor its performance with the goal of flagging potential problems before they occur.

Statistical process control

Identify the different terms used to describe lean systems.

Stockless production Toyota Production System Lean production Zero inventories Just-in-time manufacturing

A firm works a 40 hour week to process 4000 customers' orders, but processes only 50 orders per hour. The firm tries to bring up their output rate to 100 orders per hour to meet the customer demand. Which of the following does this scenario illustrate?

TAKT time flow balancing

Identify a scheduling approach aimed at synchronizing the output rate with the rate of customer demand.

TAKT time flow balancing

Identify the true statements about the application of lean systems within a firm.

The lean approach requires tight coordination of marketing, sales, and operations to increase communication and decrease order processing lead times. Self-motivated employees who have a strong interest in solving problems through process innovation must be hired. The design of training programs needs to be driven by lean objectives.

_____ works to identify and prevent all possible equipment breakdowns.

Total productive maintenance

Identify the lean systems tools that are used for development of facilities and resources.

Total productive maintenance Group technology Focused factories

True or false: The essential goal of SPC (statistical process control) is to put controls in place that help ensure the quality of production and give quick notice when unusual events occur that might lead to product or service defects.

True

Identify the true statements about total productive maintenance (TPM)

Typical TPM programs emphasize shop floor organization. In addition to manufacturing equipment, TPM can be applied to computer networks and automated service kiosks. A TPM program requires disciplined adherence to operating procedures and rigorous equipment design and upkeep.

Identify the symptoms of an overproduction waste.

Unbalanced material flow Complex information management Extra inventory Utilization of excessive floor space

In _____, activities in the operating processes are initiated by actual customer demands, not by schedules that are based on forecasts.

a pull system

In _____, activities are initiated and products are moved according to a schedule, irrespective of whether or not a customer demands it.

a push scheduling

A manager making use of the Kanban scheduling authorizes production or withdrawal based on the _____.

actual customer demand

______ ______ is the application of lean principles and tools to the task of designing products.

lean design

The ______ ______ approach is a philosophy that emphasizes the minimization of the amount of all resources used in the various activities of an enterprise.

lean systems

______ ______ is the process used to reduce setup and changeover times with the goal of making the output of smaller batches more efficient.

setup reduction

In lean systems, _____ focuses on eliminating non-value-added activities in a process.

simplification

In lean systems, _____ is aimed at clarifying and documenting the steps in a process so that they are executed exactly the same way every time by every worker.

standardization

______ ______ makes current performance and potential problems immediately visually apparent.

visual control