More Japanese Terms Kaikaku- radical improvement Kaizen-continuous incremental improvement Deborah Nightingale 2002 Massachusetts Institute of Technology
Deborah Nightingale © 2002 Massachusetts Institute of Technology 6 More Japanese Terms ¾ Kaikaku- radical improvement ¾ Kaizen- continuous incremental improvement
Taiichi ohno (1912-1990) Toyota EXecutive > Types of Muda Mistakes which require recertification Production of items no one wants Processing steps which really arent needed Employee or goods movement/transport from one place or another without any purpose Deborah Nightingale 2002 Massachusetts Institute of Technology
Deborah Nightingale © 2002 Massachusetts Institute of Technology 7 Taiichi Ohno (1912-1990) Toyota Executive ¾ Types of Muda: ¾ Mistakes which require recertification ¾Production of items no one wants ¾Processing steps which really aren’t needed ¾Employee or goods movement/transport from one place or another without any purpose
Taiichi ohno(1912-1990) Toyota EXecutive > Types of Muda People in downstream activity waiting because upstream activity has not delivered on time Goods and services that dont meet the need of customer Deborah Nightingale 2002 Massachusetts Institute of Technology
Deborah Nightingale © 2002 Massachusetts Institute of Technology 8 Taiichi Ohno (1912-1990) Toyota Executive ¾ Types of Muda: ¾People in downstream activity waiting because upstream activity has not delivered on time ¾Goods and services that don’t meet the need of customer
Antidote to Muda: Lean Thinking Provides way to specify value Line up value creating actions in best sequence Conduct activities without interruption whenever someone requests them Perform them more and more effectively Provides a way to make work more satisfying Deborah Nightingale 2002 Massachusetts Institute of Technology
Deborah Nightingale © 2002 Massachusetts Institute of Technology 9 Antidote to Muda: Lean Thinking ¾ Provides way to specify value ¾ Line up value creating actions in best sequence ¾ Conduct activities without interruption whenever someone ¾ Perform them more and more effectively ¾ Provides a way to make work more satisfying requests them
Lean Thinking is the Dynamic Process of Eliminating Waste with the Goal of Creating Value for all Enterprise Stakeholders Customer-focused: Customer needs and expectations pull enterprise activities Knowledge-driven Draws upon knowledge and innovation from everyone --workers, suppliers > Eliminating waste: Stresses elimination, not just reduction, of all types of waste Creating value: Puts premium on growing the pie, not just reducing costs, to benefit all stakeholders Dynamic and continuous: Pursues on-going systemic as well as incremental improvement --both innovation and continual improvement Deborah Nightingale 2002 Massachusetts Institute of Technology
Deborah Nightingale © 2002 Massachusetts Institute of Technology 10 Lean Thinking is the Dynamic Process of Eliminating Waste with the Goal of Creating Value for all Enterprise Stakeholders ¾ Customer-focused: “pull” enterprise activities ¾ Knowledge-driven: Draws upon knowledge and innovation from everyone -- workers, suppliers ¾ Eliminating waste: Stresses elimination, not just reduction, of all types of waste ¾ Creating value: Puts premium on “growing the pie”, not just reducing costs, to benefit all stakeholders ¾ Dynamic and continuous: Pursues on-going systemic as well as incremental improvement -- both innovation and continual improvement Customer needs and expectations