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Suggestion to overcome Kaizen challenges

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Suggestion to overcome Kaizen challenges

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•Get organizational buy-in

•Empower your employees

•Focus on small changes

•Document your process and performance before and after improvements have been implemented

•Create own kaizen guidelines

•Rinse and repeat

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•Increase data processing involvement

•Redesign the pre-design system on the “Pull” based manufacturing mechanism

•Redesign the applied strategy such as providing education and training, etc

•Reconfiguration of layout with cellular manufacturing

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Challenges that faced by organization when implementing Kaizen

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Challenges that faced by organization when implementing Kaizen

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•Time constraints

•Lack of adequate resources

•Miscalculation in goal settings

•Internal and external resistance

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Challenges that faced by organization when implementing JIT

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Challenges that faced by organization when implementing JIT

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•Reduction in safety stock

•Improper method of production

•Industry-specific success factors

•Reduction in setup time

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Similarity between Nissan & Ford motor Company

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Similarity between Nissan & Ford motor Company

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Similarity

Aim to reduce the total cost of product in order to achieve cost saving goals.

Improve customer and employees satisfaction

Concentrate on loss or limitations, system and productivity

Differences
Nissan

More on evaluating the product and increase the value of their product time by time.

Ford motor Company

Focus more on problem solving and make sure the internal system is always working smoothly

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adopted the kaizen costing in 2006.

Under the leadership of Mark fields, they continue using the same principles.

focus on implementing practices that  make the process more efficient.

Make sure that when the process in repeated by correcting the procedures time by time.

able to recover from the though times during the great recession of the late 2000s

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implemented outside the standard cost accounting system as part of the overall budget control system

Kaizen cost budget: the actual cost per car for the latest period

reduced in cash successive period in order to meet the target profit

cost reduction activities : requires changes in the way the company manufactures existing products

put in "self-control" principle into practice

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continual cost reduction of a product that is complete designed and ready for the production

'kaizen' : continuous improvement

cost reduction: working directly with the suppliers to reduce the cost

applied to the products which are already in the production phase.

focus more on "cost reduction" rather than "cost control"

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Supplier relationship

Reason: bad supplier relationships previously, resulting in quality,delivery & supply chain issue.

Program

1. statistical process control
2.employee involvement programs
Result

improve long-term partnership and efficiency of operations by sharing information & problem-solving initiatives

improve the company's resource, capability & market effectiveness.

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Differences between Toyota & Harley Davidson 

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Differences between Toyota & Harley Davidson 

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Toyota
Leveled Production

distribute tasks equitably.

dealers offer monthly statistics on predicted sales & information on actual orders every 10 days.

create daily production plans  (the specific sequence of goods to make).

divide tasks uniformly among the phases in the assembly procedures.

least amount of labor and equipment is secured.

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Toyota

Kanban : plain cards with text and bar codes

-identify objects, jobsite locations, and upstream product lines or suppliers.
-convey which parts have been used when a process goes to previous process to retrieve parts.

Benefit

1.enforce connectivity between work with minimal paperwork and maximum efficiency.
2.quantity of product exactly match with the needed.
Harley-Davidson

Reason: address the issue of overproduction and a large amount of stock.

3 principle

1.consistency & predictability of the customer's demand for finished items

2. batch size reduction

3. supplier reliability.

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Similarity between Toyota & Harley Davidson while implementing JIT

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Similarity between Toyota & Harley Davidson while implementing JIT

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1. Continuous-flow Processing
Toyota

A continuous flow

-Grouped operators and each handles one assembly at a time . One operator generates a batch of objects before passing on.

Benefit

1. reducing lead times between operations,
2. balancing workload distribution
3. reducing the amount of products on the line to match the number of workers.
Harley Davidson

"U-form" lines : 1 to 4 workers working together to make a final product.

Used containers to hold raw materials and goods then transported along the U-line.

Each manufacturing department has each "U-lines.” so different sorts of products are manufactured together.

Improve goods quality by reducing lead time, inventory, and faults.

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Vehicles are only manufactured in response to orders placed through its dealers.

producing only what is, when it and in the quantity required.

Benefit

-remove the need to manage vast inventories, which waste money on financing, shipping, and storage.

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Kaizen Costing
Nissan & Ford Motor Company

Just In Time
Toyota & Harley Davidson

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- a manufacturing technique in which things are not manufactured until they are ordered and paid for.

- basic goal of JIT
= to eliminate waste, such as unused inventory, stock, and time.