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Lecture 17 : Lean Logistics (Contd..) — Transcript

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0:01[Music]
0:22[Music]
0:25so hello dear friends welcome back to
0:27nptl online course on Logistics and
0:29Supply Chain management
0:30so uh in the last couple of sessions we
0:32started discussion on lean Logistics and
0:35uh uh we discussed various aspects of
0:38lean Logistics we started discussion on
0:41implementing lean Logistics uh through
0:43various uh methodologies and framework
0:45and in that we discussed uh about uh uh
0:49the we will discuss about the challenges
0:52also and one case study so uh uh here uh
0:56we'll discuss the second approach which
0:58we can use for implementing lean
1:00Logistics is a dmac approach and uh like
1:03I told you that this uh the methodology
1:06is used to implement Six Sigma in your
1:08process so that we can reduce the
1:11defects only up to
1:123.44 per million opportunity that is Six
1:15Sigma okay so how we can achieve that
1:20accuracy level is you need to Define
1:23what you are doing as a process you need
1:26to measure that right then again you
1:28need to analyze how you are doing is
1:31there any deviation from the actual plan
1:34right where the bottlenecks are or where
1:37the problems you are facing related to
1:39delivery related to wrong product
1:41shipment related to wrong order
1:43recording related to packaging damaged
1:47during shipment right related to
1:49anything so that you need to analyze how
1:51we can improve that whether we need to
1:53improve the technology so that we can
1:56share exact information coming from the
1:58customer if customer is giving you some
2:01uh requirements that when you will
2:03prepare uh the food maybe the spicy
2:06related to uh it should be less spicy
2:09right so then those instruction should
2:11be exactly supplied to your kitchen
2:13right so how you can ensure with better
2:16you know uh visibility and traceability
2:18throughout the distribution Network so
2:21then you need to control it after
2:23improving again you will see how it is
2:25moving and then uh whether it is going
2:28as per the expectations you improve
2:30something so maybe new technology you
2:32need to analyze whether it is going as
2:34per that or not right so first is Define
2:37phase you will Define scope goal and fin
2:39financial performance targets where you
2:42want to improve we want to improve uh
2:47the recording the orders process so when
2:52we are recording the order some customer
2:54information is missing so that's why we
2:56are not able
2:57to uh provide the exact Services
3:00required by the customer then measure
3:02the phase what is the current state of
3:05performance how many times we are
3:07recording wrong orders right and what
3:09are the reasons right we need to
3:11identify the root cause why that is
3:14happening so we need to understand the
3:16complete cycle from customer the order
3:20is coming to let's say J right Jato is
3:25again sharing this information with the
3:27restaurant
3:30restaurant again sharing information
3:32with the career partner that now the
3:35product is ready to be shipped and then
3:38it is finally reaching to the customer
3:41now this information should be shared
3:43with the Jato and with restaurant as
3:46well and with the career partner as well
3:48right so if I'm saying that it should be
3:51less spicy that information is very very
3:53important for the restaurant if I'm
3:55sharing that I'm placing the order right
3:57now but I don't want within 30 minutes
3:59if your policy says it will be delivered
4:01within 30 minutes because maybe I will
4:03be free late by my office from office
4:06right so after 1 hour 30 minutes you
4:08deliver me this product right so then
4:11that information is required for career
4:13partner how I can at that time I can
4:15utilize that and maybe I can deliver
4:18some other orders right so that
4:20information you need to share improve
4:23phase how you can design the process in
4:26a better way information sharing that
4:28means the platform you are designing how
4:31all the stakeholders can be included in
4:34that platform if you are coming with the
4:36new processes maybe you CH you need to
4:39change the recipe how you are preparing
4:41the food then you you also include those
4:44uh kpis in your uh process Improvement
4:48part right and uh uh then control phase
4:51will happen when you'll actually track
4:53the performance indicators and which
4:55with your actual output how you are
4:57doing that and you will see is there any
5:00deviation
5:02right means your this
5:05actual output whatever you are doing
5:08whatever your standards
5:11were then you will see is there any
5:14deviation is there any deviation yes no
5:18that means you are doing perfectly fine
5:20yes then you need to change the again
5:22the process from where your actual
5:24output is coming out right so that way
5:26you need to plan the control phase and
5:29you need to revie the performance again
5:30and again so another lean Logistics tool
5:33is just in time approach this is because
5:37uh we want to get rid of in managing the
5:40inventory storing the inventory and then
5:43while storing the inventory we saw that
5:45we are damaging sometimes and sometime
5:48inventory is expiring in the stock only
5:50right so to avoid all those issues can
5:53be go for a kind of system where
5:55directly raw material is coming to the
5:58production lines and it is streamlined
6:01with the production process and that
6:03production is happening and packaging is
6:05done and then move to the final uh
6:08Dispatch Center from where the mark uh
6:10from to different Market locations the
6:12final product can be shipped so how this
6:15will happen if we are able to implement
6:18this so this will not eliminate the
6:21waste in the inventory this will also
6:23improve the quality why quality will be
6:26improved because when you are keeping
6:27the inventory in your Warehouse
6:29obviously at that time because when
6:32handling is involved you are
6:33transporting from here to there keeping
6:36again to other point location and then
6:38maybe on 100 day you are processing it
6:40to the production line right in that way
6:43quality will be degraded right and if
6:45you're talking about some electronic
6:47appliances electronic components you are
6:49using and if those electronic components
6:51are left just like that for 100 days or
6:54maybe for 3 months 4 months so then you
6:57can imagine so if fresh raw materal
6:59coming and you are processing it on the
7:01there is no match if you are talking
7:03about quality right so this will only
7:05happen when you have close coordination
7:07with your suppliers and how that will
7:10happen these are eight steps you need to
7:13design the process in that way where you
7:15can say the raw material is directly fed
7:18to your production lines and you need to
7:21manage the overall quality of the uh
7:24system right it's not only quality of
7:26the product your quality of work life
7:28quality of equip ment quality of
7:30production floor right quality of all
7:33the stakeholders involved in that
7:35process right and then pull canman so
7:38canman production cards you can use
7:40right to uh just pull you can break the
7:43order into small parts and then you can
7:45be uh you know assigning different uh uh
7:50responsibilities to different vendors as
7:52per the requirement so then you need to
7:55establish strong vendor relationship
7:57only then just in time will happen
8:00and then F tune the inventory that means
8:03if you are not maintaining that minimum
8:06stock you have to be very very fine with
8:09forecasting with Predictive Analytics
8:11with uh your observing the customer
8:14buying Behavior they're buying uh
8:17patterns right and if any fluctuations
8:20are there in the market because of Any
8:23uh disruptions those also you should
8:26consider while planning this otherwise
8:28just in time will not work because if
8:31you plan some just in time way on the
8:34way something goes wrong there is Strike
8:36right there is some maybe flood is there
8:39maybe some natural disaster is there so
8:42then how you will feed your production
8:43line so that's why we always try to be
8:47safe and try to keep some inventory
8:49right but another very important thing
8:51when we are talking about the vendor
8:52relationship can be develop one or two
8:55big Benders near to our manufacturing
8:57house so that they can we we can feed
9:00them large orders and they are also
9:02happy to set up their production units
9:04near to our production line so that
9:07directly order can be those raw material
9:09can be fed to the production line and
9:12you need to develop those kind of skills
9:15and capabilities with within uh house
9:18and with your stakeholders as well only
9:21then that streamline just in time will
9:23happen your starting with your recording
9:25the order from the customer that channel
9:27should also be very very strong then you
9:29cannot say that your Regional sale team
9:32is uh collecting the data it is
9:35processed by District level then it is
9:37processed by state level then it is
9:39processed by Regional level then
9:41National level this will not happen then
9:44how the quickly that information
9:46feedback is uh entered by the customer
9:50how it uh quickly you can share
9:52throughout your network so only then
9:54just in time is possible and then you
9:56need to refine the product and processes
9:58as well uh product means the components
10:02uh you need to design those components
10:04which can can be ured through just in
10:07time environment right so and processes
10:11also it should not be that you one
10:13process is taking too long and that
10:15other process is baiting right that
10:17should also not happen if that is
10:19happening you need to define the process
10:22bottleneck right and you need need to
10:24remove those process bottlenecks and in
10:27the end the key performance inrig s you
10:29will uh analyze using your uh uh jit how
10:34efficiently the orders are delivered how
10:37quickly the orders are delivered how
10:39efficiently you are recording the orders
10:41how efficiently you are reducing the
10:44inventory cost handling cost damaging
10:47cost obsolute going obsolete means uh
10:50expired inventory in terms of that you
10:52are managing that so that also you need
10:55to you can track that and you can surely
10:57you will observe that uh Improvement in
11:00the performance so these all are the
11:02steps already I discussed about these
11:05steps the next methodology is 5S
11:09approach we discussed this approach in
11:11quality tools as well so this simple
11:14concept here is Japanese concept how we
11:17can keep our workstation sorted okay and
11:21uh uh so that it is sort not only sorted
11:25it is clean standardized efficient and
11:28safely we can there we can reduce the
11:31accidents rates as well when we are
11:32saying that we are implementing 5S
11:35housekeeping approach right so again
11:39this approach was initiated in J uh
11:42Japan and mostly the these approaches
11:45have come from Japan only because their
11:49uh production facilities are like uh no
11:52match so quickly if you'll go through
11:54these steps you can see first is sort
11:57you need Siri you need to sort the the
11:59things like this so that you need not to
12:01search where the key will be where the
12:04Len key will be where the plucker will
12:05be where the hammer will be and then
12:07Hammer also different size of hammers
12:09are there key also different size of
12:11keys are there so if all the time you
12:13are looking for your equipment so that
12:16is wastage of time so you might have
12:18seen when you go for your uh any service
12:21station for repairing your car or
12:22routine Services they usually try to
12:25arrange in that way so that easily you
12:27can identify but this is one work
12:29station you just imagine the
12:31manufacturing facility where thousand of
12:33people are working and one repetitive
12:36action you are doing if uh for the day
12:39you are producing 50,000 products so one
12:42person going to repeat His function
12:45activity whatever he's doing
12:47approximately 50,000 times so you just
12:50imagine 50,000 times you are just
12:52looking where is your Hammer where is
12:54your key where is your screwdriver right
12:56so that cannot happen not only those
12:58equipments even the supply material how
13:01you are keeping the material within the
13:02store if you are looking for so that in
13:06that way outer M automated warehouses
13:08will help you to identify where the
13:10product is you can just scan the code
13:13will identify to locate the you know uh
13:16location and you can easily pick that
13:18even if manually not your robot will
13:21pick and will deliver on your production
13:23line and we need to shine this we need
13:26to maintain the cleaniness and obviously
13:28in manufacturing production supply chain
13:31standardization is something we want to
13:33achieve this stage as soon as possible
13:36because once the process is standardized
13:39we are relaxed that now we will be uh
13:43moving towards the productivity we will
13:45be more efficient we can reduce the cost
13:48we can improve our margins because now
13:50the rejection is also reduced like we
13:52talked about the process rejection and
13:54then in the end we need to sustain that
13:56environment of continuous Improvement
13:59the next approach is Kaizen Kaizen is
14:03actually again uh Kaizen is made up of
14:06two words kaen so change uh for
14:10improvement right so small small steps
14:13Improvement will be there so the B very
14:15basic function if you'll see how we can
14:17do that we need to plan first then
14:19accordingly we will do that we'll study
14:21the effects and we'll continue that
14:24process if the effects are in the
14:25positive direction see the approach here
14:28is is the not continuous Improvement
14:31continual
14:33Improvement right Kaizen focuses on
14:37continual Improvement what is the
14:38meaning if I'm targeting Improvement
14:41let's say this is 2% Improvement then
14:43first achieving this 2% Improvement I'll
14:46try to stabilize it for some time then
14:49again I'll go for again 1% Improvement
14:51I'll try to stabilize it again then
14:54again I'll go for 2% Improvement we'll
14:56stabilize here so the best part if you
14:59talk about continuous Improvement
15:00continuously you are improving so if you
15:03fail at this point suddenly you will
15:05come down to zero right again you need
15:08to abort the whole mission and whatever
15:11you invested will be waste but in this
15:13case if you are failing here you will be
15:16at at least you have stabilized so at
15:19least you have stabilized this stage so
15:22that means still you are at there is
15:25loss you implemented you tried something
15:27new but that could not happen so this is
15:30the uh Kaizen approach make it better
15:33make it faster make it cheaper and the
15:35other very important characteristics
15:38when we talk about Kaizen projects is
15:40small steps improvements so investment
15:43required to improve those small things
15:45is not us in that way right and very
15:48small efforts are required from the
15:50employees as well so in that way it is
15:52safe approach right you can see earlier
15:55how they were lubricating their gear box
15:58with the o it was so difficult now after
16:01just small Improvement how much cost is
16:03there earlier it was very difficult to
16:06inspect the condition of the belt
16:08because it was completely covered so
16:10just change in the design how quickly
16:12you can do you just imagine how long a
16:15person is taking when you are going for
16:17repairing your tire and then if we
16:19talking about F1 race so only 5 Seconds
16:235 seconds are even more than for uh
16:26replacing all the four tires and if in
16:28in this case this is 5 to 10 minutes no
16:31one is taking minimum 30 minutes person
16:33is taking to replace the tire so these
16:37small steps Improvement how we can you
16:40know big picture if you'll see the
16:42Improvement will be very very big and
16:44this is obvious from this that
16:46Improvement is Big single minute
16:49exchange of D is very uh again uh
16:52prominent concept we use in uh
16:55manufacturing where we say that if you
16:57are doing any change over that should be
17:01done within less than 10 minutes single
17:05digit minutes right so if you're
17:07changing D so that is little technical D
17:09we are changing in the molding machines
17:11right or simple if you say again if
17:14you'll take about the example of uh
17:17restaurant if right now some person
17:20order for non-v the next person order
17:22for B and he's completely bed right so
17:24you need to clean and you need to change
17:26the things the recipe and some
17:28ingredients right so when you are
17:30changing that how quickly you are
17:32changing that or can we go for separate
17:34workstation for B for non-b and if
17:37you're going for that is it cost
17:39efficient are we getting enough orders
17:41for b or enough orders for nonb that
17:44also we need to take care if not enough
17:46orders so on single workstation only OV
17:49only we need to cook all the items so
17:51how quickly we'll change over you just
17:53see Toyota volt maker earlier they were
17:55taking 8 hours now 58 second you just
18:00imagine these small small steps
18:01Improvement how much they are
18:03contributing mitui so 24 hours 2.7
18:07minutes Hitachi diecast earlier they
18:09were taking 75 minutes now only 3
18:12minutes and HP IC insert they were
18:15taking 30 minutes now only 3 minutes so
18:18this is uh the thing Improvement you can
18:21see what are the challenges obviously
18:24culture resistance that is always there
18:26because whatever the current situation
18:28is going on we are always happy with
18:30that if I'll ask you to change your
18:32mentality even over something the the
18:36resistance is obvious right what we have
18:38been doing since last 10 years that
18:40Legacy we are saying that we usually
18:43proudly say that last 30 years I'm doing
18:45this right so even something better is
18:48coming we try to resist initially that
18:50is the basic uh nature of the uh any
18:54this human right but then we are talking
18:57about human will replaced by the
18:59machines right right by the robots so
19:03even if you are changing morning evening
19:05technology they are not going to resist
19:06in that way lack of leadership
19:08commitments because of initial resources
19:11investment is required so in that way
19:14your committed leadership is required we
19:17have this kind of mentality where we we
19:20have communication barriers we we are
19:22preventing collaboration we have fear
19:25what if we will fail what if will not be
19:27able to recover the initial investment
19:29cost right and then limited Employee
19:32Engagement you believe me most of the
19:34suggestion 90% of the suggestion which
19:36we are talking about Kaizen small small
19:38step Improvement come from those people
19:41who are actually working on the
19:43production line maybe illiterate people
19:44or maybe uh it holders they have some
19:48Proficiency in technological courses
19:50they have done that the major major
19:53improvements suggestions are coming from
19:55them only but if we are not engaging
19:57them we are not making them comfortable
20:00that they are part of that organization
20:02so that input we will not get and you
20:05visit any organization uh some major
20:08Improvement skills are coming uh these
20:11suggestions are coming from the worker
20:13who is repetitively doing that activity
20:16for more than 50,000 times in one day
20:19you just imagine the proficiency or the
20:21expertise he is having because one
20:24single piece he is processing if he is
20:26producing 50,000 units so 50,000 times
20:31so how we can keep those skills motivate
20:34them if we are providing them training
20:36we are uh making them capable of
20:39thinking we are making them Fearless you
20:42give us your suggestions whatever if
20:44Will Fail we'll fail together if we are
20:46rising we'll rise together right so then
20:49we'll go for measurement and
20:51accountability so suggestions maybe
20:53sometimes we are implementing but then
20:55we need to track right it can go other
20:58way around also but yes then we cannot
21:00stop the uh thinking and we cannot stop
21:03the continuous improvement process and
21:05when we are talking about lean
21:07manufacturing so it is reducing the
21:09waste obviously we are reducing the
21:10burden on the people as well working
21:12with us Planet as well extracting the
21:15resources from the environment and
21:17obviously profit will improve because we
21:19are reducing the cost of producing those
21:22goods external factors are there as
21:25challenges because how the external
21:28environment will change technological
21:30Position will change will disturb your
21:32equation political scenario even will
21:34change will disturb your equation Global
21:36scenario will change there is war
21:38between Ukraine and Russia how the crude
21:40price oils will uh that oil price will
21:43go up right how you will and if this is
21:45only the crude oil price and affecting
21:48almost every industry not only
21:50Transportation industry because every
21:52industry is using Transportation
21:55industry right so in that way how
21:57resilient you are your supply chain is
22:00even something is going wrong in the
22:02external environment how you can tap
22:05that right or seek the opportunities so
22:08if I'll compare lean and agile Logistics
22:11so lean is we are focusing on reducing
22:14based in that way we want to be
22:15efficient but in asile we want to be
22:17flexible if my customer is asking in 10
22:20minutes delivery I'll send the private
22:23jet I'll send the uh the best possible
22:26way the services right so that it should
22:29be delivered on time if that much valued
22:31product is right but in lean Logistics
22:33we'll try to remove the waste but here
22:36customer satisfaction we are not here
22:39the constraint is we are not discussing
22:41about the cost if we are selling BMWs
22:44Mercedes we are not talking about the
22:46mileage we are talking about the safety
22:48features we are talking about Volo we
22:50are talking about safety we are talking
22:52about the Comfort right and here we are
22:55talking about the customer services
22:57because you not using bulbo right you
23:00are not using Mercedes so then customer
23:02services will be compromised somewhere
23:04right but we are cost efficient right so
23:07long-term stability obviously but here
23:10you there is nothing long-term because
23:12we are working in the dynamic
23:14environment so you cannot say that this
23:16is longterm productivity is main target
23:18but here Target is we are productive we
23:21are taking the minimum time giving you
23:23the best services and if you are saying
23:26that I want BMW I don't care about the
23:29cost but interior how you will Design I
23:31want you to implement all my inputs I
23:34want wooden work I want AC facility here
23:38there I want this much boot space I want
23:40that all those things how you want to
23:42design the interior carpet and all those
23:45things so that flexibility your
23:47manufacturer is giving to you when you
23:49are at you know we are talking about the
23:52agile Logistics right and then here we
23:55talk about uniform standardized work but
23:57here we can canot say that because
23:59customer is part of your production
24:01process and he wants to contribute in
24:03that way that's only agile how agile we
24:07are and we are providing you say us if
24:10you want one ice cream will you give you
24:12one ice cream if you'll ask, ice creams
24:15we our uh distribution network is
24:17flexible enough to give you th000 ice
24:20creams as well right so in that way uh
24:23we can just compare the lean Logistics
24:25versus aile Logistics so now this
24:28beautiful case on Toyota production
24:30system so based on only lean Logistics
24:33Concepts although many concepts are
24:35implemented earlier they were into
24:37spinning and beeing Industry and then so
24:40many Concepts came from their very
24:42beautiful concept is jidoka we'll
24:43discuss about that and then they are now
24:46they are known for their automobile uh
24:48uh contribution whatever they are doing
24:50and if you'll talk about the founders of
24:52tot production system taono and
24:55shigio who contributed l ually in their
24:59production system in terms of improving
25:02the quality reducing the resection right
25:05and they always POS their organization
25:06has very poor organization who cannot
25:09afford to produce something like waste
25:12how seven principles of Toyota
25:14production system setup time should be
25:16minimum small lot production right if
25:19something goes wrong with the lot so
25:21that that
25:23only uh lot is spoiled not the if the
25:26lot size is Big so whole lot will be
25:29spoiled that is the concept employee
25:32involvement empowerment so they are
25:35putting the suggestion box and
25:36motivating employees giving reward who
25:39are coming with the you know good
25:41suggestions right so quality at source
25:43they are not saying that within
25:44manufacturing you can maintain the
25:46quality with your raw material suppliers
25:49you need to equip your suppliers with
25:52the
25:53technology and whatever design
25:55specification you want you are always
25:57training your suppliers so that is our
25:59extended hands that those are very much
26:02part of if we can cut the cost at the
26:04initial stage we can cut the cost
26:06throughout the network equipment
26:08maintenance how we can ensure the
26:11predictive maintenance it should not be
26:13like something goes wrong then your
26:15maintenance team is working on that how
26:17we can be uh uh you know uh very very uh
26:22useful with the predictive maintenance
26:24before something goes wrong we should
26:26predict it pull production system let
26:28the order come then we'll provide the
26:30order to the customer and supplier
26:33involvement already we talked about this
26:36is the complete Toyota production system
26:39or the quality house you can say where
26:42the highest quality lowest cost shortest
26:45lead time by eliminating all the waste
26:47so these quality cost lead time these
26:51three focuses and how you can do that by
26:55eliminating all the waste so what is the
26:57foundation of this house the foundation
26:59are these concept hij junka standard B
27:03total productive maintenance and value
27:04chain right so and Justus in time these
27:07are the pillar Justin time and jidoka
27:09are the pillar and then continuous
27:12Improvement uh environment they are
27:14providing within the organization we'll
27:16go with this uh steps uh these processes
27:19one by one see
27:21continuous uh flow of material right how
27:25you can ensure that how you hij junka is
27:28is how you are ensuring the evenness we
27:32talked about unevenness when we talked
27:34about mura muri mura right so unevenness
27:37is creating muda or sometimes overburden
27:40you did not do anything for first two
27:42days third day you are overb that is
27:44obvious so that will ensure how smooth
27:47Supply how many products are required
27:50those many are shipped from the raw
27:51material and it is coming to your
27:53Warehouse these many maybe these are 20
27:56only 20 items are required 20 components
27:59we are fixing right so we know how much
28:02time is required and then in the end we
28:06we produced 20 products and finally we
28:09shipped 20 products in the market so
28:12this is continuous streamline flow we
28:14are not maintaining extra inventory that
28:17we can be short of this inventory let us
28:19maintain this 50 and these are only 20
28:23right so wooden sticks are only 20 so
28:26and let's say take iron Hammer 30 or 50
28:30right so that means that inventory is
28:32mismatching anyhow without that you
28:34cannot do that how this is happening you
28:36are not ensuring make one move one so
28:39then the extra time you are consuming
28:41let us take the batch production system
28:43where we are producing in batches so
28:45first batch is processed then it will be
28:48passed it's not that one product is
28:49produced and will be passed to the next
28:51stage so you see just one this one
28:54example this batch process this process
28:57requires Three Steps step one two and
29:00three so first step is taking 10 minutes
29:03so whole batch will be passed to the
29:05second stage then 10 minutes that mean
29:0820 minutes then whole batch will be pass
29:10it's not single item is passed right
29:13whole batch will be passed to the third
29:15stage now after first minute of third
29:18stage my first product will be out that
29:21means it will take 21 minutes minimum to
29:24produce the first product right because
29:2610 minutes here 10 minutes here then the
29:29complete lot is coming here I'll start
29:31processing in the very first minute I'll
29:33produce the first one so 21 minutes but
29:36if I'll see here first minute 1 minute
29:39is we are taking on the first stage it
29:41is moved to the next stage 1 minute is
29:43taken there move to the next stage and
29:46on the third stage again 1 minute is
29:48required so after 3 minutes your first
29:51product is ready so how we can ensure
29:54The Continuous Flow processing they
29:56implemented this scenario in their TOA
29:59production system just in time they
30:02implemented just in time and this was
30:04done by kerio KIRO Toyota in
30:081937 and uh they said that we are poor
30:11company we we cannot afford waste right
30:14so how we can do that uh we need to you
30:17know collaborate with our uh
30:18stakeholders raw material suppliers in
30:20that way so whenever it is required it
30:22can be shipped to uh our production
30:25lines so after World War second Mr Tha
30:28iono so who was uh working in spinning
30:32and beaing Industry right so there they
30:34implemented this concept of Justin time
30:36and jidoka I'll tell you in uh spinning
30:40industry then he was transferred to uh
30:43automobile industry to improve the
30:45quality of the product so in spinning
30:48industry what was happening let's say
30:50when in the spinning machine so many
30:52different threads used to come the
30:54quality of the clothe you can check how
30:56many threads are there in each thread
30:59right so usually uh 24 threads 42 64
31:03like this 98 threads so many threads are
31:06there means quality will improve right
31:08so many threads are coming and in the
31:10beinging machine spinning machine we are
31:12coming up with the one piece of cloth
31:14continuously flowing let's say in
31:16between one thread is broken so that
31:20means in the complete uh cloth there
31:23will be one line because that thread is
31:25not now captured by the weaving machine
31:28by the spinning machine
31:30so this taiu he discovered this concept
31:34of Joka if something goes wrong at this
31:37point and thread is broken at the same
31:40point of time your machine will stop
31:41working right so this is Joka so this
31:45piece of cloth maybe 100 m you produced
31:48right and that piece of thread was
31:51broken maybe after 20 M so even then you
31:54kept on producing rest of the 80 M
31:56clothe which is now way
31:58so can we do something whenever the
32:01defect was detected there only your
32:04machine should stop working that's it
32:05that is jidoka so they implemented this
32:08jidoka and later on they try to
32:10implement this from their baving
32:11industry to automobile industry PO is
32:16another concept where uh you you they
32:19implemented this that even if you want
32:21to do some mistakes intentionally even
32:23then you cannot do that uh very good
32:26example of this can be let's say
32:28if you are very new with the computer
32:30I'll give you keyboard mouse CPU UPS
32:34screen all the accessories pen drive and
32:36I'll just ask you you put in you plug in
32:38all the wires required power cables data
32:40cables and all the so even if you are
32:42doing very first time even then you
32:44cannot do the mistake because the Jack
32:47designed there are designed in that way
32:50the only that will power cable will go
32:52into power plug only data cable will go
32:55into data point only right so the jack
32:58is designed in that way where
33:00intentionally you cannot even if you
33:02want to commit the mistake you cannot do
33:04that so these two concept jidoka and
33:06pooke the now uh in the industries
33:10manufacturing Industries used like
33:12anything and uh uh your services
33:15industry also are implementing then
33:17enden system so this is a kind of
33:20indication board where you can just
33:22indicate uh if there is any uh problem
33:26at any stage let's say stages are there
33:28on the production line something goes
33:30wrong on production stage third so there
33:33will be red light if the problem
33:35appeared so then the yellow light will
33:38be there everything is going uh
33:40perfectly fine green light will be there
33:42so immediately Our intention will come
33:44to the end board that if something goes
33:47wrong whole production system will stop
33:50this is pooke I was talking about see
33:52even if you want to fix this here you
33:55cannot fix because the system design
33:58design is of that nature so uh you can
34:01just see I talked about this CPU system
34:04how you can plug the buyers so that is a
34:06kind of pooke system this is another
34:09approach used by Toyota production
34:11system Gamba first is
34:14geniusu go and see if there is any
34:17defect you need to visit that stage and
34:19then you need to observe that why that
34:21happened and then you need to ask five
34:24wise you need to find out the root cause
34:26that means five wise we asked in fish
34:29one diagram why that happened we'll go
34:31to the root cause of that problem and
34:36then we'll try to discover form of waste
34:39by identifying mura murri mura
34:42unevenness overden is there or waste you
34:45are producing respectful whatever you
34:47are doing do it as a team and that
34:50togetherness uh sprad should be there
34:53and
34:54Analysis once you are doing collecting
34:56the data you are collecting data related
34:59to defect why that happened you should
35:01include the stakeholders who are working
35:03on that stage right so that also they
35:05included in this program this is hij
35:07junka we talked about how you can smooth
35:10the production process here you can see
35:13person one is working on uh assembly
35:16line and the second person is waiting
35:18and third is also waiting they are doing
35:20something here on maybe in one stage how
35:23you can ensure your production
35:25streamline you can streamline the whole
35:27produ prodction so that everyone is
35:29having something to do that will only
35:32happen when if the first stage is uh
35:35requires 5 Seconds your next stage you
35:38are designing in the production assembly
35:40uh process that should also take
35:42somewhere around 5 Seconds right if it
35:45is taking 7 Seconds 8 seconds so there
35:47will be semi-finished product inventory
35:50so he will not be able to process that
35:53because there will be huge pile of that
35:55unprocessed product on that St stage
35:58right so you need to uh streamline the
36:00process in that way this concept of
36:02streamlining the process smoothing the
36:04production is known as hunka which is
36:06the base of Toyota production system
36:09Kaizen already I talked about in small
36:11steps Toyota production system started
36:14working everybody every day everywhere
36:16it's not only with the process with the
36:19equipment as well with the person as
36:20well you need to improve every day and
36:23then standardization if you'll do
36:25standardization Tech time V we calculate
36:28Tech Time by your production time you
36:32are having and then the demand from the
36:35market right so how quickly you are
36:38producing and meeting the demand that is
36:40the idea uh you can get by calculating
36:43the tech time working sequence how
36:46sequentially I told you in workflow one
36:48piece one time standard inprocess stock
36:52that much inventory which is required to
36:54ensure the minimum T time and work
36:57sequence can be maintained so it should
37:00not be like that that for your first
37:02stage you are waiting for the raw
37:04material so that should not happen so
37:06standardization is a critical ingredient
37:09for jidoka and Justin Time system which
37:11is quite obvious because if you are
37:13maintaining that only then you can
37:14ensure the smooth uh flow of the raw
37:17material if you see performance so when
37:21they started somewhere here they started
37:23implementing Toyota production system
37:25that house of quality hunka judoka pooke
37:29where they identified the fault you can
37:31see with other players the performance
37:34how they improved right so and this is
37:37uh you can see 80% increase in per head
37:41production earlier they were producing
37:4339.7 vehicles per person now after
37:47implementing this system in late 80s 7
37:50near about 71 vehicles per person and if
37:53you talk about operation income this is
37:55how they have improved you see and this
37:57is the era when they implemented Toyota
37:59production system House of quality right
38:02and now you see some figures are given
38:06here earlier this US market Ford and GM
38:10General Motors they were you know
38:11capturing the whole market and the this
38:14is quite obvious that 40% chunk of us
38:18car and light trucks Market uh GM was
38:22carrying right but Toyota was carrying
38:24only 2% but then you see after
38:26implementing in 80s at this TPS they
38:30improved 3% then 8% in '90s then 9% in
38:342000 and then more than 10% in 2006 and
38:39the share Rose to 13% where GM share
38:43fell down to 26% so slowly gradually
38:47steadily this is the Baseline if we'll
38:50try to you know Define the TOA
38:51production system so this is how you can
38:54see small step Improvement led to big
38:57Improvement in the overall production
38:59system so this is all about your lean
39:02Logistics how we can reduce the defects
39:05how we can uh enhance the efficiency of
39:08value adding activities by reducing the
39:10non-v value adding activities so these
39:12are the references and some textbooks
39:14you can refer for your detail study so
39:18thank you very much

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