OM 300 1nd Edition Lecture 33 Outline of Last Lecture I Sources of Variability II JIT III Supplier Concerns IV Scheduling Outline of Current Lecture I JIT Quality II Lean Operations Current Lecture Advantages of Kanban Small containers require tight schedules smooth operations little variability Shortages create an immediate impact Places emphasis on meeting schedules reducing lead time and setups and economic material handling Standardized containers reduce weight disposal costs reduce space and labor JIT Quality Strong relationship o JIT cuts the cost of obtaining good quality because JIT exposes poor quality o Because lead times are shorter quality problems are exposed sooner o Better quality means fewer buffers and allow simpler JIT systems to be used Toyota Production System Standard Work Practice o Work shall be completely specified as to content sequence timing and outcome o Internal and external customer supplier connection are direct o Product and service flows must be simple and direct o Any improvement must be made in accordance with the scientific method at the lowest possible level of the organization Lean Operations Different from JIT in that it is externally focused on the customer Starts with understanding what the customer wants Optimize the entire process from the customer s perspective Building a Lean Organization Transitioning to a lean system can be difficult These notes represent a detailed interpretation of the professor s lecture GradeBuddy is best used as a supplement to your own notes not as a substitute Lean systems tend to have the following attributes o Use JIT techniques o Build systems that help employees produce perfect parts o Reduce space requirements Lean systems tend to have the following attributes o Developing partnerships with suppliers o Educate suppliers o Elimicate all but value added activities o Develop employees o Make jobs challenging o Build worker flexibility Lean Sustainability Two sides of the same coin Maximize resource use and economic efficiency Focus on issues outside the immediate firm Driving out waste is the common ground Lean Operations in Services The JIT techniques used in manufacturing are used in services o Suppliers o Layouts o Inventory o Scheduling
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