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The Flow: A Field Guide to Lean

Value flows. Waste waits.

Most of the time a product spends in a plant, nothing is happening to it. Lean is the discipline of finding that waiting and removing it. Try it on the pipe line: change the batch size and watch when the first pipe reaches the customer.

This lesson covers what lean is, the house of lean, 518 lean terms (152 core tools with worked mill examples), five experiments, two quizzes and two printable posters.

Free printable posters

Take the posters with you

Two one-page PDF posters for the office wall, the training room or your next kaizen event. Each card has a number, a plain definition, an icon and a mill-floor example.

NewPreview of the 50 Lean Tools poster: a grid of numbered cards in six coloured families

50 Lean Tools

PDF, 1 page, 449 KB. Numbered 1 to 50 from foundations to flow, pull, quality, equipment and management.

Download the 50 Lean Tools poster (PDF)
NewPreview of the 50 Japanese Lean Terms poster: a grid of numbered cards with Japanese terms and their meanings

50 Japanese Lean Terms

PDF, 1 page, 574 KB. From genba to yokoten, each with its literal meaning and how it is used on the floor.

Download the 50 Japanese Lean Terms poster (PDF)

So what is lean, exactly?

Lean is a way of running an organisation that delivers what the customer values with the least waste, by making work flow and by developing people to solve problems where they happen.

It grew out of the Toyota Production System in post-war Japan, when Toyota could not afford the large batches, big warehouses and armies of inspectors that mass production relied on. It had to make cars in small quantities, in many variants, with little cash. So it learned to make only what was needed, to stop the moment something went wrong, and to keep improving the work every day.

Three ideas carry most of the weight:

Flow. A product should move from step to step without waiting. Most lead time is waiting, so most of the opportunity is there, not in making machines faster.

Built-in quality. Defects should be caught where they are made, by people and machines that stop when something is wrong, instead of being inspected out at the end.

People. The people who do the work are the ones who improve it. Tools like kanban and 5S are only the visible part; the habit of solving problems is the engine.

The word "lean" came later, from a 1988 MIT paper by John Krafcik, and was popularised by the 1990 book The Machine That Changed the World. Toyota still mostly calls it TPS.

\[\text{Takt time}=\frac{\text{available working time}}{\text{customer demand}}\]
The beat of demand. With 1,260 available minutes a day and demand of 420 joints, takt is 3 minutes per joint.
\[L=\lambda W\]
Little's Law, where \(L\) is average work in process, \(\lambda\) is throughput and \(W\) is average lead time. Hold throughput steady and lead time moves with WIP.
\[\text{PCE}=\frac{\text{value-added time}}{\text{total lead time}}\]
Process cycle efficiency: the share of lead time in which value is actually added. Single-digit percentages are normal.
\[\text{OEE}=A\times P\times Q\]
Overall equipment effectiveness, where \(A\) is availability, \(P\) is performance against ideal speed and \(Q\) is the share of good parts.

Why 100% busy is a trap

For a single station with random arrivals and random work times (an M/M/1 queue), average waiting time as a multiple of processing time is \(u/(1-u)\), where \(u\) is utilisation.

Busy is not the same as flowing.

SAWBEVELTEST

Stand in the circle

The story is told about Taiichi Ohno, the engineer behind the Toyota Production System. A manager or engineer would come to him with a problem. Ohno would take them to the shop floor, draw a chalk circle and tell them to stand in it and watch. He would come back hours later and ask what they had seen.

If the answer was "nothing much," they stayed in the circle. What was he waiting for them to notice? Think about it before you reveal the answer.

He wanted them to see the waste with their own eyes: the operator waiting for a machine, the pile of parts between steps, the walk to fetch a tool, the small stop nobody logs. None of it shows up in a report. All of it is obvious from the circle once you stop looking for activity and start looking for flow.

That is genchi genbutsu, go and see. It is still the first step of almost every good lean project, and the cheapest one.

Your turn: an eight-minute waste walk

You are standing in the circle at a pipe finishing line. Match each thing you see to one of the eight wastes (DOWNTIME).

Three families of lean

The Toyota house is the classic way to sort the whole toolbox. Two pillars hold up the roof, and both stand on a foundation of stability and people. Every term in the field guide belongs to one of the three.

Flow

The just-in-time pillar: takt, flow, pull and levelling. Make only what is needed, when it is needed, in the amount needed.

"Is the work moving, or waiting?"

Quality

The jidoka pillar: stop at the first abnormality, mistake-proof the process, keep equipment capable and solve problems at the root.

"Would we stop if something went wrong?"

Stability and people

The foundation and centre: standard work, 5S, visual and daily management, strategy, and the people who improve the work every day.

"Is there a standard, and who is improving it?"

How the 518 split up

The house of lean

Select any part of the house to jump to its terms in the field guide.

Watch flow happen

Five small experiments with illustrative mill numbers. Move the sliders, hover the charts for exact values, and watch where the time goes.

Little's Law: WIP is lead time

At a fixed throughput, every joint you add to work in process adds waiting, not output.

Takt and the yamazumi chart

Four finishing stations stacked against takt. Change demand, then rebalance the work.

OEE: where the shift went

A 480-minute shift on the cut-to-length line. Add losses and watch them multiply.

SMED: do it before the mill stops

A 240-minute size change. Tick each task that could be done while the mill is still running the last order.

Push versus pull

Twenty days of random demand averaging 100 joints a day. Push builds to a forecast of 115; pull replaces what was taken.

Push stockPull stock (dashed)

The field guide: 518 lean terms

152 core tools have a plain definition and a worked mill example; tap "Show example" on any core card. The other 366 are "know the name" terms: a one-line definition so you recognise them in a book, an audit or an exam. Search, filter by family, or show only core tools or Japanese terms.

Family
Show only

Principles and thinking Why lean works the way it does

Lean

A way of running an organisation that delivers what the customer values with the least waste, by making work flow and by developing people to solve problems where they happen.

Show example
A pipe mill cuts order-to-ship time from six weeks to ten days without new equipment, mainly by removing the waiting between stations and fixing problems at the station where they start.
Stability and people. Core tool

Toyota Production System (TPS)

Toyota's production system, usually drawn as a house: just-in-time and jidoka are the pillars, standard work and levelled production are the foundation, and people improving the work sit at the centre.

Show example
A plant copies Toyota's kanban cards but not its habit of stopping to fix problems. It gets the cards, the extra inventory they were meant to remove, and none of the results.
Stability and people. Core tool

Five lean principles

Womack and Jones's summary of lean thinking: specify value from the customer's view, map the value stream, make value flow, let the customer pull, and pursue perfection.

Show example
A coating line applies the principles in order: the customer only values corrosion protection, so the team maps the stream, removes two re-handling steps, and coats to the shipping schedule instead of to a forecast.
Stability and people. Core tool

Respect for people

Treating the people who do the work as the experts on it: challenging them, listening to them and building their problem-solving skill, not just using their hands.

Show example
Instead of handing the finishing crew a new layout, the engineer asks the crew to design it. Their version removes a pinch point the engineer never noticed.
Stability and people. Core tool

Continuous improvement

The habit of improving every process a little, all the time, by everyone, rather than waiting for big projects or crises.

Show example
Each shift on the cutoff saw logs one small change a week. None is dramatic, but after a year the cell runs 18% faster with less rework.
Stability and people. Core tool

Genchi genbutsu

Japanese for "go and see the actual place and the actual thing." Understand a problem by observing it where it happens, not from reports or meetings.

Show example
Two meetings argue about a scale defect from a spreadsheet. A ten-minute walk to the descaler finds a blocked header nozzle.
Stability and people. Core tool. Japanese term

True North

The small set of long-term ideals an organisation steers by, such as zero harm, zero defects and 100% value-added flow, used to judge whether a change moves in the right direction.

Show example
A proposal to add a WIP buffer would raise this month's output but move the plant away from its True North of shorter lead time, so the team looks for another fix.
Stability and people. Core tool

Lean thinking

The way of seeing work that lean asks for: start from customer value, look at the whole flow, and treat every problem as a chance to learn.

Stability and people. Know the name

Lean production

The term coined in the MIT study of world car making (popularised by The Machine That Changed the World) to describe Toyota-style production; the root of the word "lean".

Stability and people. Know the name

Lean manufacturing

Lean applied to making physical products; often used loosely for the whole set of lean tools.

Stability and people. Know the name

Lean enterprise

Lean extended beyond one plant to every function and partner along the value stream, including sales, engineering, suppliers and customers.

Stability and people. Know the name

Lean consumption

Lean seen from the customer's side: designing how people buy and use a product so it solves their problem completely with the least of their time and effort.

Stability and people. Know the name

Lean 2.0

Loose label for later versions of lean that add digital tools, data and newer management ideas; meanings vary by author.

Stability and people. Know the name

4P model

Jeffrey Liker's grouping of the Toyota Way into Philosophy, Process, People and partners, and Problem solving.

Stability and people. Know the name

14 Management Principles of the Toyota Way

Liker's fourteen principles describing how Toyota manages, from long-term thinking to becoming a learning organisation through reflection.

Stability and people. Know the name

Toyota Way

Toyota's own statement of values, built on two pillars: continuous improvement and respect for people.

Stability and people. Know the name

Arubeki sugata

Japanese for "the way things should be." The ideal condition a team compares reality against to define the gap it must close.

Stability and people. Know the name. Japanese term

Monozukuri

Japanese for "the art of making things." Pride in craft and in continually improving how products are made.

Stability and people. Know the name. Japanese term

Kotozukuri

Japanese for "making experiences." Designing the value and experience around a product, not just the product itself.

Stability and people. Know the name. Japanese term

Mottainai

Japanese expression of regret at waste: the sense that throwing away anything still useful is a loss.

Stability and people. Know the name. Japanese term

Good Thinking, Good Products

Toyota's slogan (Yoi kangae, yoi shina) linking good products to the ideas of the people who make them.

Stability and people. Know the name

Fake lean

Copying the visible tools of lean (boards, 5S tape, kanban cards) without the problem-solving culture that makes them work.

Stability and people. Know the name

Lean religion

Treating lean as dogma, applying tools because "lean says so" rather than because they solve a problem in this place.

Stability and people. Know the name

Cargo cult lean

From Feynman's "cargo cult science": imitating the outward form of a successful system and expecting the results to follow.

Stability and people. Know the name

Perfection

The fifth lean principle: an ideal of zero waste that is never reached, which is why improvement never ends.

Stability and people. Know the name

Systems thinking

Looking at how parts of a process affect each other, so a local improvement does not quietly make the whole system worse.

Stability and people. Know the name

Learning organisation

An organisation that deliberately captures and spreads what it learns from every success and failure.

Stability and people. Know the name

Scientific thinking

Treating each change as an experiment: predict, test, observe, learn. The habit Toyota Kata tries to build.

Stability and people. Know the name

Kaizen mind

An attitude of never being satisfied with the current way, combined with the belief that anyone can improve it.

Stability and people. Know the name. Japanese term

Ba

Japanese for "place." In Nonaka's knowledge theory, the shared physical or mental space where people create knowledge together.

Stability and people. Know the name. Japanese term

Waste and value What to remove and what to protect

Value-added activity

Work that changes the product in a way the customer cares about and would pay for, done right the first time.

Show example
Rolling the strip to gauge and welding the seam add value. Moving the coil to a storage bay and back does not.
Stability and people. Core tool

Non-value-added activity

Any activity that consumes time or resources without changing the product in a way the customer values. Some of it is necessary for now; the rest is pure waste.

Show example
A pipe spends 9 days in the mill and receives about 40 minutes of actual forming, welding and testing. Everything else is non-value-added.
Stability and people. Core tool

Necessary non-value-added

Work that adds no value but cannot be removed yet because of regulation, contract or current technology. Also called business-value-added. Reduce it, then design it out.

Show example
Hydrotesting every joint does not change the pipe, but the standard requires it. The team shortens fill and drain time rather than skipping the test.
Stability and people. Core tool

Muda

Japanese for "waste": anything that uses resources without adding value for the customer.

Show example
A crane makes four lifts to dig one coil out of a stack. Only the last lift moves the coil the customer ordered.
Stability and people. Core tool. Japanese term

Mura

Japanese for "unevenness": fluctuation in workload or demand that forces people and equipment to swing between idle and overloaded.

Show example
Orders arrive in end-of-month spikes, so the threading line idles for two weeks, then runs overtime and makes rework in the rush.
Flow. Core tool. Japanese term

Muri

Japanese for "overburden": pushing people or machines beyond a natural limit, which causes injuries, breakdowns and defects.

Show example
Running the saw above its rated feed rate to catch up burns through blades and leaves burred ends that need grinding.
Stability and people. Core tool. Japanese term

Seven wastes (TIMWOOD)

Ohno's seven types of production waste: Transport, Inventory, Motion, Waiting, Over-processing, Over-production and Defects.

Show example
A waste walk on the finishing floor fills all seven columns in 30 minutes, with most marks under waiting and transport.
Stability and people. Core tool

DOWNTIME (eight wastes)

A memory aid for eight wastes: Defects, Over-production, Waiting, Non-utilised talent, Transport, Inventory, Motion and Extra-processing.

Show example
Adding the eighth waste prompts the question "who here has an idea we never asked for?" Two operators had already sketched a better coil-tagging method.
Stability and people. Core tool

Overproduction

Making more, sooner or faster than the next process or customer needs. Ohno called it the worst waste because it creates and hides all the others.

Show example
The rougher keeps rolling ahead of the pipe mill "to stay busy." The extra coils fill the yard, need extra crane moves, and hide a weld problem until 200 coils are affected.
Flow. Core tool

Inventory (waste)

Raw material, work in process or finished goods beyond what is needed right now. It ties up cash and space and hides problems.

Show example
Two weeks of slabs in front of the reheat furnace means a chemistry problem is found two weeks late.
Flow. Core tool

Waiting

People, machines or material standing idle because the previous step, information or approval has not arrived.

Show example
The test lab results take four hours, so finished pipe waits in a staging area before it can be released.
Flow. Core tool

Transportation (waste)

Moving material between locations without changing it. Every move costs time, labour and risk of damage.

Show example
Pipe travels 600 m by forklift between cutting, end-facing and inspection because the stations were installed where space happened to be free.
Flow. Core tool

Motion (waste)

Unnecessary movement of people: reaching, bending, walking and searching.

Show example
An inspector walks to the far wall for the calibration block on every shift change. A shadow board at the bench saves 25 minutes a day.
Stability and people. Core tool

Over-processing

Doing more work, or more precise work, than the customer requires. Also called extra-processing.

Show example
Every pipe end is ground to a mirror finish although the specification only calls for a burr-free square end.
Quality. Core tool

Defects (waste)

Products or information that are wrong and must be scrapped, reworked, re-inspected or explained to a customer.

Show example
One mislabelled heat means re-inspecting 140 joints, re-printing tags and a phone call to an unhappy customer.
Quality. Core tool

Non-utilised talent

The eighth waste: not using the knowledge, skills and ideas of the people doing the work.

Show example
A senior operator knew why the edge trimmer wanders but nobody asked. The fix took him one shift.
Stability and people. Core tool

Waste walk

A structured walk through a process with the sole purpose of observing and recording waste, usually with a checklist of the eight wastes.

Show example
A team spends 45 minutes following one coil from the yard to the saw, logging 31 waste observations and two safety concerns.
Stability and people. Core tool

Value

What a customer is willing to pay for, defined by the customer, not by the producer.

Show example
The pipeline contractor values on-time delivery and certified mechanical properties far more than a glossier coating.
Stability and people. Core tool

3M (muda, mura, muri)

The three enemies of flow taken together. Unevenness and overburden usually create the waste, so lean levels the load before it hunts the waste.

Stability and people. Know the name. Japanese term

Seven wastes of software development

Mary and Tom Poppendieck's translation of the seven wastes to software: partially done work, extra features, relearning, handoffs, delays, task switching and defects.

Stability and people. Know the name

Hidden waste

Waste that has become so normal it is no longer seen, such as routine searching, re-entering data or walking for tools.

Stability and people. Know the name

Waste of motion study

Observing a single operator's movements in detail to find unnecessary reaching, turning and walking.

Stability and people. Know the name

Unevenness of demand

Customer orders that swing in volume or mix from day to day; the external source of mura that levelling is designed to absorb.

Flow. Know the name

Burabura

Japanese for wandering about aimlessly. Used in lean to describe people or material moving without purpose.

Stability and people. Know the name. Japanese term

Workplace and standard work The stable base everything sits on

5S

A five-step method for an organised, clean, safe workplace: Sort, Set in order, Shine, Standardise and Sustain. It makes abnormalities visible.

Show example
After 5S at the roll shop, a missing chock is noticed in seconds because its painted outline is empty, instead of during the next roll change.
Stability and people. Core tool

Red tagging

Marking items of doubtful use with a red tag and moving them to a holding area, where they are kept, moved or disposed of by an agreed date.

Show example
Red-tagging the maintenance cage turns up 14 obsolete pump spares and three seized hoists. Two pallets of space come back in a week.
Stability and people. Core tool

Shadow board

A board with the outline of each tool drawn on it, so tools have a fixed home and a missing one is obvious at a glance.

Show example
The UT inspection bench gets a shadow board. Calibration blocks stop going missing between shifts.
Stability and people. Core tool

Point-of-use storage

Keeping tools, parts and supplies right where they are used, in the quantity needed.

Show example
Weld wire spools move from the central store to a rack beside the welder. Changeovers lose the 15-minute walk.
Stability and people. Core tool

Standardized work

The current best way to do a job safely, documented with three elements: takt time, the work sequence and the standard amount of work in process. It is the baseline for improvement.

Show example
Two crews threaded pipe in different orders and got different thread gauge results. A single standard sequence cuts rejects in half and makes the remaining variation easy to study.
Stability and people. Core tool

Standard work combination sheet

A chart that shows how an operator's manual work, walking and machine time combine over one cycle, drawn against the takt time.

Show example
The sheet shows the operator waiting 40 seconds each cycle for the bevelling machine. Re-sequencing lets him load the next pipe during that time.
Stability and people. Core tool

Process capacity sheet

A table of each machine's manual time, automatic time and tool-change time, used to calculate how many parts the process can make per shift.

Show example
The capacity sheet shows the end-facer, not the saw, limits the cell once blade changes are counted.
Stability and people. Core tool

Standard work in process (SWIP)

The minimum number of parts that must be inside a cell for it to run smoothly at takt, including parts sitting in machines.

Show example
The cell needs exactly three pipes in it: one in the bevel machine, one in the hydrotester, one at inspection. A fourth just waits.
Flow. Core tool

Basic stability

Predictable availability of the 4Ms (manpower, machines, materials and methods) so the process can run to a standard before flow and pull are added.

Show example
Kanban fails on a line whose welder is down 20% of the time. The team first stabilises the welder, then introduces pull.
Stability and people. Core tool

ECRS

A simple improvement checklist applied to each step: can we Eliminate it, Combine it, Rearrange it or Simplify it?

Show example
Applying ECRS to the release paperwork eliminates one signature, combines two forms and moves the stencil check before the hydrotest.
Stability and people. Core tool

Hiyari-hatto

Japanese for a near-miss ("startled and gasped"). Reporting them is how a plant learns before an injury happens.

Show example
Near-miss cards at the crane bay rise from 2 to 30 a month once people see each one acted on. Two pinch points are guarded before anyone is hurt.
Stability and people. Core tool. Japanese term

Sort (Seiri)

First S: remove everything not needed for the work at this location.

Stability and people. Know the name. Japanese term

Set in order (Seiton)

Second S: give every needed item a marked home near the point of use, so anyone can find and return it.

Stability and people. Know the name. Japanese term

Shine (Seiso)

Third S: clean the area and equipment, and use the cleaning as an inspection for leaks, wear and damage.

Stability and people. Know the name. Japanese term

Standardise (Seiketsu)

Fourth S: make the first three S's routine with simple standards, checklists and visual rules.

Stability and people. Know the name. Japanese term

Sustain (Shitsuke)

Fifth S: build the discipline and leadership routines that keep the standard from slipping.

Stability and people. Know the name. Japanese term

6S

5S with Safety added as an explicit sixth step.

Stability and people. Know the name

5C

A British relabelling of 5S: Clear out, Configure, Clean and check, Conform, Custom and practice.

Stability and people. Know the name

Standard work chart

A layout sketch showing the operator's walk path, the work sequence and where standard WIP and safety checks sit.

Stability and people. Know the name

Sanbuhyo

Japanese for "three standard forms": the process capacity sheet, the standard work combination sheet and the standard work chart used together.

Stability and people. Know the name. Japanese term

Hyojun sagyo

Japanese for standardized work.

Stability and people. Know the name. Japanese term

4M

Man (people), Machine, Material and Method: the four sources of process variation. Sometimes extended with Measurement and Mother nature (environment).

Stability and people. Know the name

Time observation sheet

A form for timing each element of a job over several cycles to find the lowest repeatable time and the sources of variation.

Stability and people. Know the name

Work element

The smallest practical unit of work that can be timed and moved to another operator, such as "load pipe" or "start cycle".

Stability and people. Know the name

Time study

Timing a job directly with a stopwatch or video to set a standard time.

Stability and people. Know the name

Work sampling

Estimating how time is spent by observing at random moments and counting how often each activity is seen.

Stability and people. Know the name

MTM (Methods-Time Measurement)

A predetermined time system that builds a job's standard time from tabulated times for basic motions such as reach, grasp and move.

Stability and people. Know the name

MOST

Maynard Operation Sequence Technique: a faster predetermined time system based on standard sequences of motions.

Stability and people. Know the name

Standard operating procedure (SOP)

A written procedure for a task. Lean standard work is a stricter version tied to takt and sequence.

Stability and people. Know the name

Visual work instruction

A work instruction that relies mainly on photos and diagrams, kept at the workstation.

Stability and people. Know the name

Floor marking

Painted lines and shapes that show walkways, storage locations, WIP limits and hazard zones.

Stability and people. Know the name

Ergonomics

Designing work to fit the human body, to cut injury risk, fatigue and the defects they cause.

Stability and people. Know the name

RULA and REBA

Rapid Upper Limb Assessment and Rapid Entire Body Assessment: scoring methods for the injury risk of a work posture.

Stability and people. Know the name

KYT (Kiken Yochi Training)

Japanese hazard-prediction training: a team studies a picture or task and predicts what could go wrong before the work starts.

Stability and people. Know the name. Japanese term

Heinrich accident triangle

Heinrich's model that many near-misses and minor incidents sit beneath each serious injury, so reducing the base reduces the top.

Stability and people. Know the name

3K

Kitanai, kitsui, kiken: dirty, demanding and dangerous. Work conditions lean aims to remove.

Stability and people. Know the name. Japanese term

Red line

A painted line or tape marking a maximum stock height or WIP level; material above the line signals over-production.

Stability and people. Know the name

Flow and layout Making work move without stopping

Value stream

All the steps, value-adding or not, that take a product from raw material (or order) to the customer, including the information flow that triggers them.

Show example
The value stream for line pipe starts with scrap selection at the melt shop and ends when the joint is loaded on the customer's truck.
Flow. Core tool

Value stream mapping (VSM)

A one-page map of material and information flow for one product family, with times, inventories and a timeline that separates value-added from total lead time.

Show example
The current-state map shows 23 days of lead time and 41 minutes of value-added time. The future-state map targets 8 days by linking the cut-to-length and finishing steps.
Flow. Core tool

Continuous flow

Moving product one piece (or one small batch) at a time through each step without stopping or stockpiling in between. Also called one-piece flow or single-piece flow.

Show example
Pipe moves straight from the cutoff saw to end-facing to hydrotest, one joint at a time. Lead time through the finishing area drops from two days to 40 minutes.
Flow. Core tool

Takt time

The pace of customer demand: available working time divided by the quantity the customer needs in that time. It sets the beat every process should match.

Show example
With 1,260 available minutes a day and demand of 420 joints, takt is 3 minutes. A station that needs 3.5 minutes per joint is the problem to fix first.
Flow. Core tool

Cycle time

How often a part actually comes off a process, or the time one operator needs to complete their work on one part. Always state which definition you mean.

Show example
The hydrotester's cycle time is 2.6 minutes per joint, under the 3-minute takt, so it has room to absorb small stops.
Flow. Core tool

Lead time

The total time a product or order spends in a process, from entering to leaving, including all waiting.

Show example
A coil enters the pipe mill on Monday and leaves as finished joints the next Thursday: a lead time of 10 days for 40 minutes of processing.
Flow. Core tool

Little's Law

In a stable system, average work in process equals throughput multiplied by average lead time. Cut WIP and lead time falls by the same proportion.

Show example
With 1,200 joints in process and 400 finished per day, average lead time is 3 days. Halve the WIP and it becomes 1.5 days at the same output.
Flow. Core tool

Work in process (WIP)

Material that has started processing but is not finished.

Show example
Counting coils, pipe and joints between the slitter and the shipping dock gives 1,800 units of WIP, about four days of output.
Flow. Core tool

Cellular manufacturing

Arranging the machines and people for a product family close together, in process order, so work flows through a cell instead of travelling between departments.

Show example
Saw, bevel, hydrotest and inspection are moved into one U-shaped cell for small-diameter pipe. Forklift moves drop from six to zero.
Flow. Core tool

Chaku-chaku

Japanese for "load-load." A cell where the operator only loads each machine and walks on; machines unload themselves, so the operator never waits.

Show example
With automatic ejectors on the bevel and drift machines, one operator runs three stations by walking the loop and loading each one.
Flow. Core tool. Japanese term

Line balancing

Distributing work elements across stations or operators so each one's workload is close to takt time and nobody is overloaded or idle.

Show example
Moving the stencil-marking step from the overloaded inspection station to the underloaded hydrotest operator brings both under takt.
Flow. Core tool

Yamazumi chart

Japanese for "stack up." A stacked bar chart of each operator's or station's work elements against the takt line, used to balance work.

Show example
The yamazumi shows station 4 at 3.4 minutes against a 3-minute takt and station 2 at 1.9 minutes. The overload is visible at a glance.
Flow. Core tool. Japanese term

Bottleneck

The step with the least capacity relative to demand. It sets the output of the whole process; an hour lost there is an hour lost for the plant.

Show example
The UT inspection station limits the pipe mill to 380 joints a day. Speeding up the welder adds nothing until UT capacity rises.
Flow. Core tool

Spaghetti diagram

A drawing of the path a person or product actually travels through an area. The tangle shows wasted transport and motion.

Show example
Tracing one inspector's walking for an hour produces a tangle of lines across the bay and 1.4 km of walking per shift.
Flow. Core tool

Product family

A group of products that pass through similar process steps and equipment, so they can share a value stream, cell or schedule.

Show example
Grouping by diameter range and wall thickness gives three product families, each with its own value stream map.
Flow. Core tool

Batch size reduction

Producing in smaller lots so material moves sooner, lead time falls and problems surface faster. Usually depends on shorter changeovers.

Show example
Cutting the coating batch from 300 joints to 60 means the first pipe of an order is ready in hours, not two days.
Flow. Core tool

Pitch

Takt time multiplied by the pack-out quantity: the interval at which a container of finished work should be withdrawn.

Show example
Takt is 3 minutes and pipe is bundled in sevens, so pitch is 21 minutes. A bundle should leave the cell every 21 minutes, which makes a late bundle visible within the hour.
Flow. Core tool

Process cycle efficiency (PCE)

Value-added time divided by total lead time. In most factories it is well under 10%.

Show example
41 minutes of value-added time over a 23-day lead time gives a PCE of about 0.12%. The opportunity is in the waiting.
Flow. Core tool

Current-state and future-state maps

The "as is" value stream map and the target "to be" map drawn from it, with a plan to close the gap.

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U-shaped cell

A cell laid out in a U so the first and last steps sit side by side and one operator can cover several machines with little walking.

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Hanedashi

Automatic unloading and orienting of a part when a machine finishes, so the next part can be loaded straight away. The enabler of chaku-chaku.

Flow. Know the name. Japanese term

Nagara

Japanese for "while doing." Combining two activities at once, such as doing a check while walking between stations.

Flow. Know the name. Japanese term

Shojinka

Flexible staffing: varying the number of operators in a line or cell with demand, which needs cross-trained people and flexible layouts.

Flow. Know the name. Japanese term

Operator balance chart

A bar chart of each operator's total cycle time compared with takt; a yamazumi chart without the element detail.

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Constraint

In the Theory of Constraints, whatever limits the system from producing more of its goal. It may be a machine, a policy or the market.

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Bottleneck walk

Christoph Roser's method of finding a shifting bottleneck by walking the line and noting which processes are working, waiting or blocked.

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Active period method

Finding the bottleneck from machine data by identifying which process has the longest uninterrupted active periods.

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PQ analysis

Product-quantity analysis: a Pareto of volume by product number, used to separate high-volume runners from low-volume items before designing flow.

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PR analysis

Product-routing analysis: a matrix of products against process steps, used to find products with similar routings that can form families.

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Process batch and transfer batch

The quantity a process makes between changeovers versus the quantity moved to the next step at once. Moving smaller transfer batches overlaps the steps.

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Flow shop

A production system where all products follow the same sequence of steps, like a line.

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Job shop

A production system where products take varied routes through functionally grouped machines; flexible but hard to flow.

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Monument

A large, expensive, hard-to-move machine that forces products to queue and travel to it.

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Right-sized equipment

Small, simple, dedicated machines sized for a product family's takt, instead of large shared monuments.

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3P (Production Preparation Process)

A rapid design method that uses cardboard mock-ups and many alternative concepts to design a new process or product for flow.

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Cardboard engineering

Building full-size cardboard or wooden mock-ups of a workstation or cell so operators can test the layout before metal is cut.

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Flexible manpower line

A line designed so the number of operators can change with demand while still meeting takt (see shojinka).

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Bucket brigade

A self-balancing way to share work along a line: each worker carries a part forward until taking over the next worker's part, then walks back.

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Baton touch zone

A short overlap zone between operators where either can do the work, so small differences in cycle time balance themselves.

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Assembly line

Workstations in sequence where a product is built up step by step.

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Moving assembly line

An assembly line where the product moves continuously past the workers at a fixed speed; Ford's 1913 breakthrough.

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Assembly cell

A small group of assembly stations arranged for one product family, usually staffed by a few cross-trained operators.

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Focused factory

A plant or plant-within-a-plant dedicated to a narrow set of products or markets, so it can be simple and excellent at one thing.

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Material flow

The physical movement of material through the value stream.

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Information flow

The flow of orders, schedules and signals that tells each process what to make; drawn across the top of a value stream map.

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MIFA and MIFD

Material and Information Flow Analysis / Diagram: German names for value stream mapping.

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Process flow chart

A diagram of every step, move, delay, inspection and storage in a process, often with standard symbols.

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Swimlane diagram

A process map divided into lanes by role or department, showing where work is handed over.

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BPMN

Business Process Model and Notation: a standard graphical notation for business process maps.

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Planned cycle time

Takt time adjusted for known losses, such as planned downtime or expected scrap; the speed the line must actually run.

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Customer takt

Takt calculated purely from customer demand, before any adjustment for losses.

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Kingman's formula

An approximation for queue waiting time that shows how waiting explodes as utilisation nears 100% and as variability grows.

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Buffer

Stock, time or capacity held deliberately to protect flow from variation.

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Economies of scale

Falling unit cost from larger volumes. Lean questions it when large batches add inventory and lead time.

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Diseconomies of scale

Rising unit cost as an operation grows too large: complexity, coordination and long queues.

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Flow kaizen

Improving the flow of material and information across a whole value stream, usually led by managers.

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Process kaizen

Improving one process or station, usually led by the people who work there.

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Mixed-model production

Building different products on the same line in a levelled, repeating sequence rather than in long single-product runs.

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Manufacturing cycle efficiency (MCE)

Another name for process cycle efficiency.

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Throughput

The rate at which a process delivers finished output, such as joints per day.

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Capacity

The maximum output a resource can sustain in a given time.

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Utilisation

The share of available time a resource is busy. Pushing it toward 100% makes queues and lead times grow rapidly.

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Dock-to-dock time

Time from raw material arriving at the receiving dock to finished goods leaving the shipping dock.

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High mix, low volume (HMLV)

Production of many different products in small quantities, where classic lines and kanban are hard to apply.

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Low mix, high volume

Production of few products in large quantities, the setting where flow lines are most natural.

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Bubble diagram

A rough layout sketch in which circles represent areas and lines show the flows between them.

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Brownfield

Improving or rebuilding an existing plant, with all its constraints.

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Greenfield

Designing a new plant on an empty site, free to lay it out for flow.

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Lights-out factory

A fully automated plant that can run without people present.

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Pull, scheduling and inventory Making only what is needed, when it is needed

Just-in-time (JIT)

One of the two TPS pillars: making and delivering only what is needed, when it is needed, in the amount needed.

Show example
Coils arrive at the pipe mill a few hours before they are needed instead of a few weeks, and the slab yard shrinks with them.
Flow. Core tool

Pull system

Production in which each process makes only what the next process has taken away, so consumption, not a forecast, triggers work.

Show example
The threading line only cuts threads when the coupling stock it feeds drops to a marked level.
Flow. Core tool

Kanban

Japanese for "signboard." A card, bin or signal that authorises a process to produce or move a set quantity. The number of kanban caps the inventory in the loop.

Show example
Each rack of couplings carries a card. When a rack is emptied, the card goes back to the machining cell as the order to make one more rack.
Flow. Core tool. Japanese term

Kanban sizing

Calculating how many kanban a loop needs, usually daily demand times replenishment lead time plus safety stock, divided by container quantity.

Show example
Demand 400 couplings a day, 1.5 days to replenish, 20% safety stock and 50 per rack gives \(\frac{400 \times 1.5 \times 1.2}{50} = 14.4\), so 15 kanban.
Flow. Core tool

Two-bin system

The simplest pull system: when the first bin of a part is empty, it is sent for refill while the second bin is used.

Show example
Weld consumables at each station sit in two bins. An empty bin on the cart is the order; the store refills it on the next milk run.
Flow. Core tool

Supermarket

A small, controlled store of parts at a process, from which the next process withdraws what it needs; withdrawals trigger replenishment.

Show example
A supermarket of six coil sizes sits between the slitter and the pipe mill. The mill takes a coil, and the slitter makes one to replace it.
Flow. Core tool

FIFO lane

A first-in, first-out lane with a fixed maximum quantity between two processes. When it is full, the upstream process stops.

Show example
A marked lane holds at most eight pipes between bevelling and hydrotest. The bevel operator stops when it is full and helps downstream.
Flow. Core tool

Heijunka

Japanese for "levelling." Smoothing production by both volume and product mix over time, so upstream processes and suppliers see a steady demand.

Show example
Instead of running heavy-wall pipe all of week one and light-wall all of week two, the mill alternates daily. Coil demand on the hot strip mill becomes steady.
Flow. Core tool. Japanese term

Heijunka box

A slotted board that holds kanban by product and time interval, used to release work to the pacemaker in a levelled sequence.

Show example
Each 30-minute slot in the heijunka box holds the kanban for one levelled mix of sizes. The mill scheduler loads it once a day and the floor pulls from it.
Flow. Core tool. Japanese term

Pacemaker process

The single point in a value stream that receives the customer schedule; everything upstream is pulled from it and everything downstream flows from it.

Show example
The pipe mill is the pacemaker. Only it receives the schedule; the slitter supermarket and finishing FIFO lanes take their pace from it.
Flow. Core tool

Every Product Every Interval (EPEI)

The time it takes to cycle through every product in a family on a shared process. Shorter changeovers allow a shorter EPEI and less inventory.

Show example
Cutting roll-change time from 90 to 30 minutes lets the mill cycle all sizes every week instead of every three weeks.
Flow. Core tool

Product wheel

A fixed, repeating production sequence for a shared process, sized by EPEI. Common in process industries such as steel, chemicals and paper.

Show example
The caster runs a fixed wheel of grades, ordered to minimise transition steel, and repeats it every 10 days.
Flow. Core tool

Plan for every part (PFEP)

A database with every purchased part's usage, supplier, container, storage location and replenishment method; the basis for lean material handling.

Show example
The PFEP shows 30% of consumables have no defined reorder point. Those are the ones that run out on night shift.
Flow. Core tool

Water spider (mizusumashi)

A material handler who runs a fixed route at a fixed pitch, delivering parts and collecting kanban, so operators never leave their stations.

Show example
A water spider loops the finishing cells every 30 minutes with consumables and empty bins. Operators stop walking to the store.
Flow. Core tool. Japanese term

Milk run

A fixed route and timetable for picking up or delivering small quantities from several points, inside a plant or between suppliers.

Show example
One truck collects from three local fabricators on a daily loop instead of each shipping a full load weekly.
Flow. Core tool

Kitting

Delivering all the parts for one job or product together as a kit, so the operator does not pick them one by one.

Show example
Each threading job gets a kit of protectors, couplings and stencil tags on one cart, so the operator stops searching three racks per order.
Flow. Core tool

CONWIP

Constant work in process: a pull system that caps total WIP in a whole line with a fixed number of cards, rather than one loop per part number.

Show example
With 200 different pipe specifications, separate kanban loops are impractical. A CONWIP limit of 60 orders on the finishing line keeps lead time steady.
Flow. Core tool

Drum-Buffer-Rope (DBR)

The Theory of Constraints scheduling method: the constraint sets the pace (drum), a time buffer protects it, and material release is tied to its pace (rope).

Show example
UT inspection is the drum. A four-hour buffer of pipe sits in front of it, and new coils are only released when UT finishes a batch.
Flow. Core tool

Safety stock

Extra inventory held to protect against variation in demand or supply.

Show example
Coil safety stock was set years ago at five days. Recalculating from actual demand and supply variation shows two days is enough.
Flow. Core tool

Bullwhip effect

Small changes in consumer demand growing into large swings further up the supply chain as each tier over-reacts.

Show example
A 10% rise in distributor orders becomes a 40% spike in coil orders to the steel shop after each tier adds its own buffer.
Flow. Core tool

Runner, repeater, stranger

Classifying products by how often they are made (constantly, regularly, rarely) so each group gets a suitable scheduling method.

Show example
The three standard sizes run every day on a fixed wheel (runners), five sizes run weekly (repeaters), and specials are scheduled one at a time (strangers).
Flow. Core tool

Push system

Production released to a schedule or forecast regardless of whether the next step is ready; the opposite of pull.

Flow. Know the name

Production kanban

A kanban that tells a process what and how much to make.

Flow. Know the name. Japanese term

Withdrawal kanban

A kanban that authorises moving a quantity from a supermarket to the process that uses it. Also called a move or conveyance kanban.

Flow. Know the name. Japanese term

Signal kanban

A kanban for a process that must make batches: when stock falls to a trigger point, the signal launches one batch. Often a triangle-shaped card.

Flow. Know the name. Japanese term

Supplier kanban

A kanban that orders material from an outside supplier.

Flow. Know the name. Japanese term

E-kanban

An electronic kanban system: scanning or sensor signals replace physical cards.

Flow. Know the name. Japanese term

Kanban post

A mailbox where kanban cards are dropped for collection and return to the supplying process.

Flow. Know the name. Japanese term

LIFO

Last in, first out: using the newest stock first. Usually bad for traceability and ageing material.

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FISH

Joke acronym, "first in, still here": stock that never moves because new material is always used first.

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Fixed repeating schedule (FRS)

A production schedule that repeats the same sequence and quantities each cycle, adjusted only occasionally.

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Load levelling

Spreading volume evenly over time to avoid peaks and troughs in workload.

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M-CONWIP

Multi-loop CONWIP: several overlapping CONWIP loops across a value stream.

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POLCA

Paired-cell Overlapping Loops of Cards with Authorization: QRM's card system for controlling flow between cells in high-mix shops.

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COBACABANA

Control of Balance by Card-Based Navigation: a card-based order release and workload control method for job shops.

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Buffer management

Watching how much of a TOC buffer is consumed (green, yellow, red) to decide which orders need expediting and what to improve.

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A-B control

A Toyota technique that links two points on a line so material moves between them only when the first has a part and the second is empty.

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Yo-i-don

Japanese for "ready, set, go." A start signal that synchronises several operators so they all begin a cycle together.

Flow. Know the name. Japanese term

Just-in-sequence (JIS)

Delivering parts not only on time but in the exact order they will be used.

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Jundate

Japanese term for delivering parts in production sequence (just-in-sequence).

Flow. Know the name. Japanese term

Make to stock (MTS)

Producing to a forecast and holding finished goods to ship immediately.

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Make to order (MTO)

Producing only after a customer order is received.

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Engineer to order (ETO)

Designing and producing a unique product for each order.

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Assemble to order (ATO)

Holding components and assembling the final product to order.

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Mass production

Producing large volumes of standard products at low unit cost, typically in large batches.

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Mass customisation

Producing customised products at close to mass-production cost, usually through modular design and flexible processes.

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Economic order quantity (EOQ)

A formula that balances ordering or setup cost against holding cost to choose a lot size. Lean attacks the setup cost instead of accepting it.

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Inventory turns

Annual cost of goods sold divided by average inventory value; how many times a year the stock is replaced.

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Days of supply

How many days current inventory would last at the current rate of use.

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MRP

Material Requirements Planning: calculating component needs and order dates from a master schedule and bill of materials. Usually a push system.

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MRP II

Manufacturing Resource Planning: MRP extended to capacity, finance and other resources.

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DDMRP

Demand Driven MRP: places stock buffers at strategic points and replenishes them from actual demand, blending MRP with pull.

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Earliest due date (EDD)

A scheduling rule that runs jobs in order of due date.

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Sales and operations planning (S&OP)

A monthly process that aligns sales forecasts, production capacity and inventory plans across functions.

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ABC analysis

Ranking items by annual value or volume into A (few, important), B and C (many, minor) classes.

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ABC-XYZ analysis

ABC by volume combined with XYZ by demand variability, giving nine classes that suggest different replenishment methods.

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Minomi

Japanese for delivering parts "naked," without their own packaging, on racks designed for them.

Flow. Know the name. Japanese term

Item-specific dunnage

Custom containers or racks that hold and protect one part type in a fixed count and orientation.

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Built-in quality Stopping defects at the source

Jidoka

One of the two TPS pillars: building quality in by giving machines and people the ability to detect an abnormality and stop, so defects are never passed on. Also called autonomation.

Show example
The weld seam monitor stops the mill when the seam temperature leaves its window, instead of letting 300 m of suspect pipe roll on to inspection.
Quality. Core tool. Japanese term

Autonomation

Automation with a human touch: machines that stop themselves when something goes wrong, so one person can watch several machines.

Show example
The saw stops itself and lights a lamp when blade load spikes. The operator can now look after the bevel machine too.
Quality. Core tool

Built-in quality

Making it impossible or immediately visible to make a defect at each step, rather than inspecting quality in at the end. Also called quality at the source.

Show example
Instead of final inspection catching wrong stencils, the stencil printer reads the order barcode and cannot print a mismatched grade.
Quality. Core tool

Poka-yoke

Japanese for "mistake-proofing." A simple device or design that prevents an error or makes it obvious immediately. An older name was baka-yoke ("fool-proofing").

Show example
Couplings for two thread types look alike. A keyed gauge at the make-up machine only fits the right type, so the wrong one cannot be started.
Quality. Core tool. Japanese term

Zero Quality Control (ZQC)

Shigeo Shingo's approach of combining source inspection with poka-yoke so that defects are prevented rather than found.

Show example
Rather than sampling 1 in 50 pipes for end squareness, a fixture checks every pipe as it is unloaded, at zero extra labour.
Quality. Core tool

Andon

A visual (and often audible) signal, such as a light or board, that shows the status of a process and calls for help when there is a problem.

Show example
A yellow andon light at the hydrotester means "help needed, still running"; red means "stopped." The team leader responds within the takt time.
Quality. Core tool. Japanese term

Line stop

Giving everyone the authority, and the duty, to stop the line when a defect or abnormality appears, so the problem is fixed instead of passed on.

Show example
An operator stops the cut-to-length line after three short pipes in a row. The measuring wheel is slipping; continuing would have produced a full shift of scrap.
Quality. Core tool

Quality circle

A small, voluntary group of workers from the same area who meet regularly to identify and solve quality problems with simple tools.

Show example
The coating crew's circle meets every two weeks and cuts holiday defects by finding that humidity readings were taken in the wrong spot.
Quality. Core tool

Total Quality Management (TQM)

An organisation-wide approach in which everyone takes responsibility for quality, guided by customer focus, data and continuous improvement.

Show example
The plant stops treating quality as the lab's job. Purchasing, maintenance and scheduling each own measures that affect customer claims.
Quality. Core tool

First pass yield (FPY)

The share of units that go through a process correctly the first time, with no rework or repair. Also called first time through (FTT).

Show example
Of 1,000 joints entering hydrotest, 962 pass without repair. FPY is 96.2%, even though final yield after repair is 99.6%.
Quality. Core tool

Rolled throughput yield (RTY)

The probability a unit passes every step first time: the product of each step's first pass yield.

Show example
Weld 98%, hydrotest 96%, UT 97%, visual 99%: RTY is about 90%. One joint in ten needs rework somewhere.
Quality. Core tool

Hidden factory

All the unplanned rework, repair, re-inspection and expediting that consumes capacity without appearing in normal reports.

Show example
Tracking rework for a month shows 11% of finishing labour goes to fixing pipe that "passed" the first time.
Quality. Core tool

Cost of poor quality (COPQ)

The total cost of producing defects: scrap, rework, warranty, claims, extra inspection and lost customers.

Show example
Adding claim credits, downgrades and rework hours gives a COPQ of $3.1M a year, three times the figure in the scrap report alone.
Quality. Core tool

Control plan

A document listing each product and process characteristic, its specification, measurement method, frequency and reaction plan.

Show example
The control plan for weld seam annealing names the temperature window, the pyrometer used, the check frequency and exactly what the operator does if it drifts.
Quality. Core tool

Process FMEA

Failure Mode and Effects Analysis for a process: listing how each step could fail, the effect, causes and controls, and ranking the risks to act on.

Show example
The PFMEA flags "wrong coil loaded" as high severity with weak detection. A barcode check at the uncoiler is added.
Quality. Core tool

Statistical process control (SPC)

Using control charts to tell routine variation from special causes, so the process is adjusted only when it has really changed.

Show example
An I-MR chart of wall thickness shows a special-cause shift after a roll change. The setup sheet is corrected before any pipe goes out of tolerance.
Quality. Core tool

Source inspection

Checking the conditions that cause defects (settings, material, method) before processing, rather than checking the product afterwards.

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Self-check

Operators inspecting their own work immediately, ideally with a poka-yoke.

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Successive check

Each operator checks the work of the previous step before adding their own.

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Andon cord

A cord or button that lets an operator signal a problem and, on a paced line, stop it if help does not arrive in time.

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Fixed-position stop

A line that, once the andon is pulled, stops at the end of the current cycle so work is not left half done.

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Stop, call, wait

The standard response to an abnormality: stop the work, call for help, and wait rather than improvise.

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Ji kotei kanketsu (JKK)

Japanese for "completing quality in your own process": each process confirms its output is good before passing it on.

Quality. Know the name. Japanese term

Ato kotei wa okyakusama

Japanese for "the next process is your customer." Never pass a defect downstream.

Quality. Know the name. Japanese term

Zero defects

Philip Crosby's standard that the goal is no defects at all, with every error treated as preventable.

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Iceberg model (cost of quality)

The idea that visible quality costs, such as scrap, are a small tip above much larger hidden costs.

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Red bin

A clearly marked container for defective or suspect parts, reviewed regularly so problems are seen and solved.

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Quality alert

A short notice posted at the workstation that describes a recent defect, how to spot it and what to do.

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Defects per million (DPM)

The number of defective units per million produced, often used for supplier quality. Not the same as DPMO, which counts opportunities.

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AQL

Acceptance Quality Limit: the worst average defect rate a sampling plan will accept as satisfactory.

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APQP

Advanced Product Quality Planning: a structured automotive framework for planning quality into a new product and process.

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PPAP

Production Part Approval Process: the automotive evidence package proving a supplier's process makes conforming parts at rate.

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Process capability (Cp, Cpk)

Indices comparing the natural spread of a stable process with its specification limits.

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Quality maintenance

The TPM pillar that keeps equipment in the condition needed for zero defects, by linking defect modes to machine conditions.

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Dantotsu

Japanese for "overwhelmingly the best." Used for quality programmes that aim to be far ahead of any competitor.

Quality. Know the name. Japanese term

Kizuki

Japanese for noticing or becoming aware: the sensitivity to spot small abnormalities before they become problems.

Quality. Know the name. Japanese term

Inspection

Comparing a product with a standard. Lean treats inspection after the fact as waste to be designed out with built-in quality.

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Problem solving Finding and fixing the real cause

PDCA

Plan, Do, Check, Act: the basic improvement cycle of planning a change, trying it, checking the results and standardising or adjusting. Also called the Deming or Shewhart cycle.

Show example
Plan: move the tension roll sensor. Do: trial it on one shift. Check: edge-wave defects drop 40%. Act: update the setup standard for all crews.
Quality. Core tool

A3 problem solving

Toyota's structured problem-solving story on one A3 sheet: background, current condition, goal, root cause analysis, countermeasures, plan and follow-up.

Show example
The team's A3 on coil telescoping fits on one page and gets signed off in a 15-minute review because the logic from problem to countermeasure is visible.
Quality. Core tool

5 Whys

Asking "why?" repeatedly, usually about five times, to move from a symptom to a root cause that can be fixed.

Show example
Pipe failed hydrotest. Why? Weld pinhole. Why? Contaminated strip edge. Why? Edge oiler dripping. Why? Seal worn. Why? Not on the PM list. Fix: add the seal to the PM list.
Quality. Core tool

Root cause analysis (RCA)

A disciplined search for the underlying cause of a problem, so the fix stops it from coming back rather than treating a symptom.

Show example
Replacing a cracked roll three times treated the symptom. The RCA found misalignment from a worn chock was overloading it.
Quality. Core tool

Fishbone diagram

A cause-and-effect diagram that sorts possible causes of a problem into branches such as the 6Ms. Also called an Ishikawa diagram.

Show example
The team lists 26 possible causes of ovality under Man, Machine, Material, Method, Measurement and Environment, then tests the top three.
Quality. Core tool

8D

Eight Disciplines: a team problem-solving method for customer complaints, from containment through root cause and corrective action to preventing recurrence and recognising the team.

Show example
A customer claim on thread damage triggers an 8D. Containment holds all stock within 24 hours; D4 finds damage happens at the loading rack, not in threading.
Quality. Core tool

Seven basic quality tools

Check sheet, histogram, Pareto chart, cause-and-effect diagram, scatter diagram, control chart, and stratification (or a flow chart in some lists).

Show example
A check sheet of defect type by shift, a Pareto of the totals and a scatter of defects against line speed answer the crew's question in one afternoon.
Quality. Core tool

Pareto chart

A bar chart of categories in descending order with a cumulative line, used to find the "vital few" causes behind most of a problem.

Show example
Three of 14 defect codes account for 78% of downgrades, so the team starts with those three.
Quality. Core tool

Seven management and planning tools

Affinity diagram, interrelationship digraph, tree diagram, matrix diagram, prioritisation matrix, process decision program chart and activity network diagram, used for messy, qualitative problems.

Show example
An affinity diagram groups 60 sticky notes from a customer complaint workshop into five themes, and a prioritisation matrix picks which to tackle first.
Quality. Core tool

Is / Is-not analysis

Contrasting where, when and how a problem occurs with where it could occur but does not, to narrow the possible causes.

Show example
Scratches appear on mill 1 but not mill 2, on day shift but not nights, and only on thin wall. The comparison points straight at one guide roll changed by day crews.
Quality. Core tool

Hansei

Japanese for "reflection." Honest self-reflection on what went wrong and what you will do differently, even after a success.

Show example
After a smooth outage, the team still holds a hansei and finds two near-misses and a parts order that only arrived by luck.
Quality. Core tool. Japanese term

Containment

Immediate action to protect the customer from a problem, such as quarantining suspect stock, while the root cause is found.

Show example
Within an hour of the claim, all stock from the same heat is tagged on hold in the yard and at the customer, before anyone knows the cause.
Quality. Core tool

PDSA

Plan, Do, Study, Act: Deming's preferred wording, stressing learning from the results over simply checking them.

Quality. Know the name

Eight-step problem solving

Toyota's Practical Problem Solving: clarify the problem, break it down, set a target, find the root cause, develop countermeasures, implement, check, standardise.

Quality. Know the name

Check sheet

A simple form for tallying how often events occur, often by type, time or location.

Quality. Know the name

Histogram

A bar chart of how often values fall in each range, showing the shape and spread of a data set.

Quality. Know the name

Scatter diagram

A plot of paired data to see whether two variables move together.

Quality. Know the name

Stratification

Splitting data by source (shift, machine, supplier) to reveal differences that the combined data hides.

Quality. Know the name

Run chart

A line chart of a measure over time, used to see trends, shifts and patterns.

Quality. Know the name

Control chart

A run chart with statistically calculated control limits that separate common-cause from special-cause variation.

Quality. Know the name

Affinity diagram

Grouping many ideas or facts into natural clusters to reveal underlying themes.

Quality. Know the name

Interrelationship digraph

A diagram of cause-and-effect links between issues, showing which are key drivers and which are outcomes.

Quality. Know the name

Tree diagram

Breaking a goal or problem into progressively finer levels of detail.

Quality. Know the name

Matrix diagram

A grid showing the strength of relationships between two or more sets of items.

Quality. Know the name

Prioritisation matrix

Scoring options against weighted criteria to choose among them.

Quality. Know the name

PDPC

Process Decision Program Chart: mapping what could go wrong at each step of a plan and the countermeasure for each.

Quality. Know the name

Activity network diagram

A diagram of task sequence and durations used to find the critical path of a plan. Also called an arrow diagram.

Quality. Know the name

5W1H

Who, What, When, Where, Why and How: a checklist for describing a problem or plan completely. 5W2H adds How much.

Quality. Know the name

Kepner-Tregoe

A structured method for problem analysis, decision analysis and risk analysis based on careful specification of the problem.

Quality. Know the name

Fault tree analysis (FTA)

A top-down logic diagram that traces how combinations of lower-level failures lead to a top event.

Quality. Know the name

Shainin Red X

Dorian Shainin's approach of comparing best and worst parts to home in on the dominant cause of variation (the Red X).

Quality. Know the name

Cause mapping

A visual root cause method that maps cause-and-effect chains from a problem's impact on goals back to fixable causes.

Quality. Know the name

Design of experiments (DOE)

Changing several factors together in a planned pattern to find which ones affect the result and how they interact.

Quality. Know the name

After action review (AAR)

A short team debrief after an event: what was supposed to happen, what happened, why, and what to do differently.

Quality. Know the name

Problem statement

A concise, factual description of the gap between the current and the expected condition, without assumed causes or solutions.

Quality. Know the name

Countermeasure

Toyota's word for an action against a root cause. "Countermeasure" rather than "solution" signals that it may be improved later.

Quality. Know the name

Brainstorming

Generating many ideas quickly in a group, withholding judgement until the list is complete.

Quality. Know the name

Nominal group technique

Ideas written individually, shared in turn, then ranked privately, so quieter members are heard equally.

Quality. Know the name

Multivoting

Narrowing a long list by giving each person several votes to spread across their top choices.

Quality. Know the name

Mind map

A diagram that branches ideas outward from a central topic.

Quality. Know the name

Force-field analysis

Listing the forces driving and restraining a change, to plan how to strengthen one side or weaken the other.

Quality. Know the name

TRIZ

The theory of inventive problem solving: resolving technical contradictions using patterns found in thousands of patents.

Quality. Know the name

Blame game

Looking for a person to blame instead of a process to fix; lean treats it as the enemy of problem solving.

Quality. Know the name

Kaiaku

Japanese for "change for the worse," the opposite of kaizen.

Quality. Know the name. Japanese term

Equipment and changeover Machines that are able and quick to switch

Total Productive Maintenance (TPM)

A plant-wide approach to equipment reliability in which operators, maintenance and engineering share responsibility for preventing breakdowns, small stops, speed losses and defects.

Show example
Operators on the slitter take over daily cleaning, lubrication and bolt checks. Maintenance moves from firefighting to rebuilding the knife arbour properly.
Quality. Core tool

Overall Equipment Effectiveness (OEE)

\(\text{Availability} \times \text{Performance} \times \text{Quality}\): the share of planned time in which equipment makes good parts at its ideal speed.

Show example
Availability 85%, performance 90% and quality 97% give \(0.85 \times 0.90 \times 0.97 \approx 0.74\), an OEE of 74%. Most of the 26% loss is changeovers and small stops.
Quality. Core tool

Six big losses

The losses behind OEE: breakdowns, setups and adjustments, small stops, reduced speed, startup rejects and production rejects.

Show example
Logging losses for a month shows small stops at the uncoiler cost more hours than all breakdowns combined.
Quality. Core tool

Autonomous maintenance (Jishu hozen)

The TPM pillar in which operators take ownership of basic care of their equipment: cleaning, inspecting, lubricating and tightening.

Show example
The operators' cleaning round on the hydrotester finds a weeping hose fitting a week before it would have burst.
Quality. Core tool. Japanese term

One-point lesson (OPL)

A single-page, mostly visual lesson on one skill or point of knowledge, written by and for the people who use it, and taught in minutes.

Show example
An OPL with three photos shows the correct and incorrect seating of the hydrotest seal. New operators learn it in five minutes at the machine.
Quality. Core tool

SMED

Single-Minute Exchange of Die: Shingo's method for cutting changeover time by moving work outside the machine's stop time and streamlining what remains. The goal is under ten minutes.

Show example
Pre-staging the next roll set and using quick-release clamps cuts a size change on the pipe mill from 4 hours to 70 minutes.
Quality. Core tool

Internal and external setup

Internal setup can only be done while the machine is stopped; external setup can be done while it runs. Converting internal to external is the heart of SMED.

Show example
Pre-heating the new die and preparing tools before stopping the press converts 25 minutes of internal setup to external.
Quality. Core tool

Changeover

The time from the last good part of one product to the first good part of the next, at full speed. Also written C/O.

Show example
The clock starts at the last good pipe of the old size and stops at the first good pipe of the new size at full speed, not when the last bolt is tightened.
Quality. Core tool

TEEP

Total Effective Equipment Performance: OEE multiplied by loading, so unscheduled time also counts as loss.

Quality. Know the name

Overall labour effectiveness (OLE)

An OEE-style measure for people: availability, performance and quality of labour.

Quality. Know the name

Planned maintenance

The TPM pillar for scheduled preventive and predictive work done by the maintenance team.

Quality. Know the name

Focused improvement (Kobetsu kaizen)

The TPM pillar of cross-functional teams attacking specific equipment losses.

Quality. Know the name. Japanese term

Early equipment management

The TPM pillar of designing new equipment using lessons from existing machines so it reaches full performance quickly.

Quality. Know the name

TPM pillars

The eight TPM pillars: autonomous maintenance, focused improvement, planned maintenance, quality maintenance, early equipment management, training, office TPM, and safety, health and environment.

Quality. Know the name

Preventive maintenance (PM)

Maintenance done on a schedule to prevent failure, rather than after it.

Quality. Know the name

Predictive maintenance

Maintenance timed by measured condition such as vibration, temperature or oil analysis.

Quality. Know the name

Reliability-centred maintenance (RCM)

Choosing the maintenance strategy for each failure mode based on its consequences and how it develops.

Quality. Know the name

CILT

Clean, Inspect, Lubricate, Tighten: the core routine of autonomous maintenance.

Quality. Know the name

MTBF

Mean Time Between Failures: average running time between breakdowns of a repairable item.

Quality. Know the name

MTTR

Mean Time To Repair: average time to restore equipment after a failure.

Quality. Know the name

Fuguai tag

A tag hung on equipment to mark an abnormality (fuguai) found during cleaning or inspection, until it is fixed.

Quality. Know the name. Japanese term

Dandorigae

Japanese for setup or changeover.

Quality. Know the name. Japanese term

OTED and NOTED

One-Touch and No-Touch Exchange of Die: changeovers reduced beyond SMED to a single action or to fully automatic.

Quality. Know the name

Quick changeover

General term for the methods, including SMED, that shorten changeovers.

Quality. Know the name

Karakuri kaizen

Low-cost automation using gravity, springs, levers and cams instead of motors and controls.

Quality. Know the name. Japanese term

Breakdown maintenance

Repairing equipment only after it fails.

Quality. Know the name

Total Productive Manufacturing

TPM interpreted for the whole production system rather than maintenance alone.

Quality. Know the name

Visual and daily management Seeing the plant at a glance, every day

Gemba

Japanese for "the real place": where value is created, such as the shop floor or the desk where an order is processed. Also spelled genba.

Show example
The morning meeting moves from the conference room to the pipe mill floor, beside the board and the machines it talks about.
Stability and people. Core tool. Japanese term

Gemba walk

A leader going to where the work happens to observe, ask questions and support problem solving, not to inspect or give orders.

Show example
The plant manager's Tuesday walk at the finishing line asks, "What got in your way this week?" and leaves with two problems to remove.
Stability and people. Core tool. Japanese term

Visual management

Arranging the workplace so anyone can tell the status and see abnormalities at a glance, through boards, markings, signals and displays.

Show example
An hour-by-hour board at the saw shows 58 joints against a plan of 60, with "blade change ran long" written beside the miss.
Stability and people. Core tool

Visual control

A visual device that not only shows status but tells people what to do, such as a full FIFO lane telling the upstream operator to stop.

Show example
A painted box holds exactly four pipes. When it is full, the bevel operator can see that the next step is behind and stops making more.
Stability and people. Core tool

Hour-by-hour board

A board at a process comparing planned and actual output each hour, with a note on the reason for any gap.

Show example
Three hours in a row show the same gap with the note "waiting for crane." The pattern reaches the morning meeting with evidence attached.
Stability and people. Core tool

Tiered daily huddles

A cascade of short stand-up meetings each day: team, then area, then plant. Each reviews yesterday's performance and today's problems and escalates what it cannot solve.

Show example
A coating defect raised at the 7:00 team huddle reaches the 8:30 plant huddle, where maintenance commits to a pump repair by noon.
Stability and people. Core tool

Leader standard work

A standard routine for supervisors and managers, listing the checks, walks and coaching they do each day or week, so the management system is sustained.

Show example
The shift supervisor's card lists: huddle at 7:00, walk all three andons at 10:00, check two standards at random, review the hour-by-hour boards at 14:00.
Stability and people. Core tool

Kamishibai

Japanese "paper theatre." A board of cards for quick audits: a leader picks a card, checks the standard it describes, and flips it to show the result.

Show example
The supervisor draws the "hydrotest seal check" card, finds the standard followed, and flips the card to green.
Stability and people. Core tool. Japanese term

Obeya

Japanese for "big room." A room where a project or value stream team posts all its plans, metrics and problems on the walls and meets to manage them.

Show example
The new line commissioning team runs from an obeya. The schedule, issue list and safety plan are on the walls, and nobody needs a slide deck.
Stability and people. Core tool. Japanese term

Ohno circle

Taiichi Ohno's practice of drawing a chalk circle on the floor and having a manager stand in it to observe a process until they saw its problems. Also called the chalk circle.

Show example
A new supervisor stands in a marked circle at the uncoiler for an hour and lists 19 things that interrupt flow, most of which nobody had reported.
Stability and people. Core tool

Mieruka

Japanese for "making visible." Visual management in which normal and abnormal conditions can be seen at a glance.

Stability and people. Know the name. Japanese term

Visual factory

A plant in which visual management is applied throughout, so it largely explains itself.

Stability and people. Know the name

Huddle board

The board a team stands at for its daily huddle, usually with safety, quality, delivery and cost measures plus an action list.

Stability and people. Know the name

SQDC board

A daily board tracking Safety, Quality, Delivery and Cost (sometimes People or Morale added as SQDCP or SQDCM).

Stability and people. Know the name

Layered process audit

Short, frequent audits of key process steps done by several levels of management on a schedule.

Stability and people. Know the name

Andon board

A display showing the status of several stations at once, often with the andon calls in progress.

Quality. Know the name

Shift handover

A standard exchange of information between outgoing and incoming crews about status, problems and safety.

Stability and people. Know the name

Escalation process

A defined rule for who gets called, and when, if a problem cannot be solved at the current level within a set time.

Stability and people. Know the name

Dashboard

A display of key measures. In lean, the most useful dashboards are simple, current and posted where the work is.

Stability and people. Know the name

Management by walking around (MBWA)

Managers spending unscheduled time on the floor talking with people; the Western cousin of the gemba walk.

Stability and people. Know the name

Glass wall management

Making information so visible that anyone can see the state of the business and its problems.

Stability and people. Know the name

Genba, genbutsu, genjitsu (3 Gen)

The real place, the real thing and the real facts: the three "actuals" of Japanese problem solving.

Stability and people. Know the name. Japanese term

5 G

The 3 Gen plus genri (principles) and gensoku (rules): check the facts at the real place, then compare with theory and standards.

Stability and people. Know the name. Japanese term

Genchi

Japanese for "the actual location," used in genchi genbutsu.

Stability and people. Know the name. Japanese term

Genbutsu

Japanese for "the actual thing": the real part, machine or document, not a description of it.

Stability and people. Know the name. Japanese term

Genjitsu

Japanese for "the actual facts," usually the data gathered at the gemba.

Stability and people. Know the name. Japanese term

Hoshin board

A board showing the status of each breakthrough objective deployed through hoshin kanri.

Stability and people. Know the name

Strategy, metrics and money Pointing improvement at what matters

Hoshin kanri

Japanese for "direction management." Policy deployment: choosing a few breakthrough objectives and aligning goals, plans and reviews at every level to achieve them.

Show example
The plant picks two hoshin objectives, halve customer claims and cut lead time 40%. Each department's plan must show which one it supports.
Stability and people. Core tool. Japanese term

Catchball

The back-and-forth negotiation in hoshin kanri: a goal is "thrown" to the next level, which returns its plan and concerns until both sides agree.

Show example
Maintenance throws back the downtime target: achievable, but only with an extra planner. Leadership agrees, and the target stands.
Stability and people. Core tool

X-matrix

A one-page hoshin tool that links long-term objectives, annual objectives, improvement priorities, metrics and owners through correlation grids.

Show example
The X-matrix shows the plant's third improvement project supports no annual objective. It is dropped to free people for the claims work.
Stability and people. Core tool

Key performance indicator (KPI)

A measure chosen because it shows progress toward an important goal. Fewer, well-chosen KPIs beat many.

Show example
Replacing "tonnes rolled" with "on-time in-full deliveries" stops the mill from rolling easy grades to make the monthly number.
Stability and people. Core tool

Voice of the customer (VOC)

The customer's needs and expectations, captured in their own words and translated into measurable requirements.

Show example
Interviews reveal customers care less about the headline price than about reliable delivery windows, so the KPI changes to "delivered within the promised day."
Stability and people. Core tool

Lean accounting

Accounting adapted to lean: measuring value streams rather than departments, reporting in plain language, and avoiding standard-cost incentives that reward overproduction.

Show example
Under standard costing, the rolling mill looked "efficient" when it overproduced. The value stream P&L shows the extra inventory actually cut cash flow.
Stability and people. Core tool

Kaikaku

Japanese for "radical change." A large, rapid transformation of a process or system, as opposed to small kaizen steps.

Show example
Rather than improving the old batch finishing area step by step, the plant rebuilds it into two flow cells over a planned three-week outage.
Stability and people. Core tool. Japanese term

Policy deployment

The English name for hoshin kanri.

Stability and people. Know the name

Bowling chart

A month-by-month table of target versus actual for each objective, coloured green or red like a bowling score sheet.

Stability and people. Know the name

KPI tree

A breakdown of a top-level KPI into the lower-level drivers that each team can influence.

Stability and people. Know the name

Monitoring KPI and improvement KPI

Measures watched to keep a process in control, versus measures used to track a specific improvement.

Stability and people. Know the name

SMART goals

Goals that are Specific, Measurable, Achievable, Relevant and Time-bound.

Stability and people. Know the name

QFD (House of Quality)

Quality Function Deployment: a matrix that translates customer requirements into design and process characteristics.

Stability and people. Know the name

Kano model

A model that sorts product features into basic needs, performance needs and delighters, based on how they affect satisfaction.

Stability and people. Know the name

CTQ tree

Critical-to-Quality tree: breaking a broad customer need into specific, measurable requirements.

Stability and people. Know the name

QCD

Quality, Cost, Delivery: the three basic dimensions of manufacturing performance.

Stability and people. Know the name

On time in full (OTIF)

The share of orders delivered on the promised date and in the full quantity.

Stability and people. Know the name

Delivery performance

How reliably orders arrive when promised, often measured as OTIF or on-time delivery.

Stability and people. Know the name

Value stream costing

Assigning costs directly to value streams instead of allocating overhead to products.

Stability and people. Know the name

Box score

A lean accounting report that shows operational, capacity and financial measures for a value stream together.

Stability and people. Know the name

Throughput accounting

The Theory of Constraints accounting method built on throughput, inventory and operating expense.

Stability and people. Know the name

Target costing

Starting from the price the market will pay, subtracting the required profit, and designing the product to that cost.

Stability and people. Know the name

Genka teigen

Japanese for "cost reduction."

Stability and people. Know the name. Japanese term

Balanced scorecard

Kaplan and Norton's framework of financial, customer, internal process and learning measures.

Stability and people. Know the name

Management by objectives (MBO)

Drucker's approach of agreeing objectives with each employee. Deming criticised it when targets replaced process improvement.

Stability and people. Know the name

Kakushin

Japanese for "innovation" or radical renewal, as distinct from step-by-step kaizen.

Stability and people. Know the name. Japanese term

Shingo Model

The Shingo Institute's framework of guiding principles, systems and tools used to assess operational excellence.

Stability and people. Know the name

EFQM Excellence Model

The European Foundation for Quality Management's framework for assessing organisational excellence.

Stability and people. Know the name

ISO 18404

International standard defining competencies for Lean, Six Sigma and Lean Six Sigma practitioners.

Stability and people. Know the name

BOSCARD

A project charter checklist: Background, Objectives, Scope, Constraints, Assumptions, Risks and Deliverables.

Stability and people. Know the name

HiPPO

The Highest Paid Person's Opinion: decisions made by rank rather than evidence.

Stability and people. Know the name

Digital twin

A live digital model of a physical asset or process, fed by its data, used to test changes without touching the real thing.

Stability and people. Know the name

Industry 4.0

Connected, data-driven manufacturing using sensors, automation and analytics. Works best on top of a lean process, not instead of one.

Stability and people. Know the name

MES

Manufacturing Execution System: software that tracks and directs production on the shop floor.

Stability and people. Know the name

Manufacturing operations management (MOM)

The set of systems, including MES, that manage production, quality, maintenance and inventory operations.

Stability and people. Know the name

ERP

Enterprise Resource Planning: integrated business software covering finance, orders, purchasing, inventory and planning.

Stability and people. Know the name

Bill of materials (BOM)

The structured list of components and quantities needed to make a product.

Stability and people. Know the name

Gozinto graph

A network diagram of which components "go into" which assemblies; a graphical bill of materials. A gozinto matrix is the table form.

Stability and people. Know the name

People, teams and learning Developing the people who do the improving

Kaizen

Japanese for "change for the better." Continuous, incremental improvement by everyone, using the scientific method.

Show example
An operator's idea to add a stop block on the saw table removes the measuring step entirely and saves 12 seconds a cut.
Stability and people. Core tool. Japanese term

Kaizen event

A focused, usually week-long workshop in which a cross-functional team analyses and changes one process. Also called a kaizen blitz or rapid improvement event.

Show example
In five days a team redesigns the coupling make-up area, moves two machines, writes new standard work and cuts walking by 60%.
Stability and people. Core tool

Kaizen teian

An employee suggestion system focused on small improvements that people implement themselves.

Show example
Each finishing crew member averages one implemented idea a month. Most are tiny, such as a magnet to hold tags, and together they change the area.
Stability and people. Core tool. Japanese term

Toyota Kata

Mike Rother's description of Toyota's improvement routine (the improvement kata) and the coaching routine (the coaching kata) used to make scientific thinking a habit.

Show example
Each day the coach asks the five coaching questions at the learner's storyboard: target condition, actual condition, obstacles, next step, when can we see what we learned?
Stability and people. Core tool

Training Within Industry (TWI)

A US wartime programme, later adopted by Toyota, that teaches supervisors three skills: Job Instruction, Job Methods and Job Relations.

Show example
Using TWI Job Instruction, new hydrotest operators reach standard in four shifts instead of three weeks, with fewer errors.
Stability and people. Core tool

Skills matrix

A grid of people against tasks showing who is trained, who is proficient and who can teach, used to plan cross-training and cover.

Show example
The matrix shows only one person can set up the bevel machine on night shift. Two others are trained before the holidays.
Stability and people. Core tool

Cross-training

Training people in several jobs so work can be balanced and absences covered.

Show example
Cross-training two hydrotest operators on UT means the inspection bottleneck no longer stops when one person is on holiday.
Stability and people. Core tool

Sensei

Japanese for "teacher." An experienced lean coach who teaches mainly by asking questions and making the learner go and see.

Show example
Instead of giving the answer, the sensei asks the team to time the changeover again, this time standing at the machine instead of reading the log.
Stability and people. Core tool. Japanese term

Nemawashi

Japanese for "going around the roots." Building consensus by talking proposals through individually with everyone affected before a decision is made.

Show example
Before proposing the new shift pattern, the engineer meets each crew lead. By the meeting, their objections are already built into the plan.
Stability and people. Core tool. Japanese term

Yokoten

Japanese for "horizontal deployment." Spreading a proven improvement and the learning behind it to similar processes elsewhere.

Show example
The guide-roll fix that stopped scratches on mill 1 is checked and adapted on mill 2 within a month, with mill 1's A3 as the guide.
Stability and people. Core tool. Japanese term

Hawthorne effect

People changing their behaviour because they know they are being observed; a trap when timing a job.

Show example
Cycle times drop 15% while the engineer watches with a stopwatch and drift back the next week. Several short observations, announced in advance, give a truer picture.
Stability and people. Core tool

Kaizen newspaper

A simple board or sheet listing problems raised, the countermeasure, the owner and the due date.

Stability and people. Know the name

Kaizen group

A small team that works together regularly on improvements in its own area.

Stability and people. Know the name

Improvement kata

Understand the direction, grasp the current condition, set the next target condition, and experiment toward it.

Stability and people. Know the name

Coaching kata

The coach's daily routine of five questions that develops a learner's improvement thinking.

Stability and people. Know the name

Kata

Japanese for "form": a pattern practised deliberately until it becomes habit.

Stability and people. Know the name. Japanese term

Job Instruction (JI)

The TWI method for teaching a job: prepare, present, try out, follow up, built on a job breakdown sheet.

Stability and people. Know the name

Job Methods (JM)

The TWI method for improving a job by questioning every detail.

Stability and people. Know the name

Job Relations (JR)

The TWI method for handling people problems fairly and preventing them.

Stability and people. Know the name

Job breakdown sheet

The TWI form listing a job's important steps, key points and the reasons for each key point.

Stability and people. Know the name

Multi-skilled operator

An operator trained to run several machines or jobs; needed for cells and flexible staffing.

Stability and people. Know the name

Team leader

In TPS, a front-line role supporting a small team: responding to andon calls, covering absences and leading improvement.

Stability and people. Know the name

Self-directed work team

A team that plans and manages its own work, schedules and improvements with little direct supervision.

Stability and people. Know the name

Empowerment

Giving teams the authority, information and resources to make decisions about their own work.

Stability and people. Know the name

Hitozukuri

Japanese for "making people." Developing people as deliberately as products are made.

Stability and people. Know the name. Japanese term

Jishuken

Japanese for "self-study." Managers studying and improving a real process hands-on, often at a supplier, to learn by doing.

Stability and people. Know the name. Japanese term

Hourensou (Ho-Ren-So)

Report, contact, consult: the Japanese workplace habit of keeping others informed early.

Stability and people. Know the name. Japanese term

Kaizen promotion office (KPO)

A small central team that trains, coaches and supports lean improvement across the organisation.

Stability and people. Know the name

Change agent

A person who leads or catalyses change and helps others through it.

Stability and people. Know the name

Dojo

A dedicated training area where people practise standard work and skills before working on the line.

Stability and people. Know the name. Japanese term

Shuhari

Three stages of mastery: shu (follow the form), ha (break from it with understanding), ri (go beyond it).

Stability and people. Know the name. Japanese term

Harada Method

Takashi Harada's self-reliance method for setting goals and building daily routines toward them.

Stability and people. Know the name

Job enrichment

Adding planning, problem-solving and responsibility to a job so it is more meaningful.

Stability and people. Know the name

Forming, storming, norming, performing

Tuckman's stages of team development.

Stability and people. Know the name

LAMDA

Look, Ask, Model, Discuss, Act: a learning cycle from lean product development, similar to PDCA.

Stability and people. Know the name

KPT retrospective

Keep, Problem, Try: a simple format for a team reflection on what to keep doing, what went wrong and what to try next.

Stability and people. Know the name

Karoshi

Japanese for death from overwork; a reminder that muri harms people.

Stability and people. Know the name. Japanese term

Amoeba management

Kazuo Inamori's system at Kyocera of running the company as many small, self-accounting units.

Stability and people. Know the name

Respect for humanity

Toyota's phrase for respect for people: making full use of each person's abilities.

Stability and people. Know the name

Supply chain and logistics Extending flow beyond the plant walls

Lean supply chain

Extending flow and pull from one plant across suppliers, distribution and customers, so the whole chain carries less inventory and responds faster.

Show example
Sharing the mill's weekly levelled schedule with the coating contractor lets them staff steadily instead of reacting to surprise rush orders.
Flow. Core tool

Supplier development

Working directly with suppliers to improve their quality, delivery and cost, rather than only switching suppliers when they fail.

Show example
A plant engineer spends a week at the coupling supplier helping set up a FIFO system; late deliveries fall by two thirds.
Flow. Core tool

Keiretsu

A Japanese group of companies linked by long-term relationships and cross-shareholdings, such as Toyota and its key suppliers.

Flow. Know the name. Japanese term

Kyoryokukai

A supplier association, such as Toyota's, through which suppliers share improvement methods.

Flow. Know the name. Japanese term

Vendor-managed inventory (VMI)

The supplier monitors and replenishes the customer's stock within agreed limits.

Flow. Know the name

Cross-docking

Moving inbound goods directly to outbound transport with little or no storage in between.

Flow. Know the name

Lean logistics

Applying flow and pull to transport and warehousing: frequent small deliveries, milk runs and levelled shipments.

Flow. Know the name

Lean warehousing

Applying lean to storage and picking: slotting by usage, short pick paths and visual stock control.

Flow. Know the name

ABC warehouse slotting

Placing the fastest-moving (A) items closest to the pick or shipping point.

Flow. Know the name

Efficient consumer response (ECR)

A retail supply-chain strategy of sharing demand data so suppliers replenish to actual sales.

Flow. Know the name

Inbound logistics

Moving material from suppliers into the plant.

Flow. Know the name

Outbound logistics

Moving finished goods from the plant to customers.

Flow. Know the name

Logistics loop

A closed circuit of material, containers and kanban between a supplier and a user.

Flow. Know the name

Related systems and methods Six Sigma, TOC, QRM, agile and lean beyond the factory

Six Sigma

A data-driven method for reducing variation and defects, using DMAIC and statistical tools, and named after a capability of about 3.4 defects per million opportunities.

Show example
A Black Belt project uses DOE to find that strip edge temperature, not line speed, drives weld defects, and cuts them by 70%.
Quality. Core tool

Lean Six Sigma

A combination of lean (flow and waste removal) and Six Sigma (variation reduction), often run through DMAIC with tools from both.

Show example
The project first removes waiting from the claims process (lean), then reduces the variation in coating thickness that triggers the claims (Six Sigma).
Quality. Core tool

DMAIC

Define, Measure, Analyze, Improve, Control: the five-phase Six Sigma improvement method.

Show example
Define the ovality problem, Measure it with a capable gauge, Analyze the drivers, Improve the roll setup, and Control it with an SPC chart.
Quality. Core tool

Theory of Constraints (TOC)

Eliyahu Goldratt's management philosophy that every system has a constraint, and improving anything else does not improve the system.

Show example
Instead of improving every station, the plant focuses all effort on the UT inspection constraint until another step becomes the limit.
Flow. Core tool

Five focusing steps

TOC's process: identify the constraint, exploit it, subordinate everything else to it, elevate it, and repeat.

Show example
Identify UT as the constraint; exploit it by running through breaks; subordinate upstream release to its pace; elevate it with a second probe; then look for the next constraint.
Flow. Core tool

Quick Response Manufacturing (QRM)

Rajan Suri's lead-time reduction strategy for high-mix, low-volume and custom work, built on cells, MCT mapping and POLCA.

Show example
A custom fittings shop with hundreds of part numbers uses QRM cells and POLCA cards because a kanban loop per part is impossible.
Flow. Core tool

Lean product and process development (LPPD)

Lean applied to engineering and design: a chief engineer, set-based concurrent engineering, rapid learning cycles and early involvement of manufacturing.

Show example
Manufacturing engineers join the new coating line's design from day one, so changeover and maintenance access are designed in, not retrofitted.
Stability and people. Core tool

Lean construction

Lean applied to building projects: pull planning, reliable promises, takt planning and reduced waste on site.

Show example
Using pull planning, the crews on a mill expansion commit to handoffs they control, and weekly plan reliability rises from 55% to 80%.
Flow. Core tool

DMADV

Define, Measure, Analyze, Design, Verify: the Six Sigma method for designing a new process or product.

Quality. Know the name

Design for Six Sigma (DFSS)

Building Six Sigma quality into a product or process at the design stage.

Quality. Know the name

Black Belt

A Six Sigma practitioner trained to lead improvement projects full time. Green Belts lead smaller projects part time; Master Black Belts coach and teach.

Quality. Know the name

TOC thinking processes

TOC's logic trees, such as the current reality tree and future reality tree, for finding core problems and testing solutions.

Flow. Know the name

Critical Chain Project Management (CCPM)

TOC applied to projects: schedules built around resource constraints, with safety pooled into project and feeding buffers.

Flow. Know the name

Critical path

The longest chain of dependent tasks in a project, which sets its minimum duration.

Flow. Know the name

Gantt chart

A bar chart of project tasks against time.

Flow. Know the name

Manufacturing Critical-path Time (MCT)

QRM's lead-time metric: the typical calendar time from order to delivery along the critical path.

Flow. Know the name

Agile

An approach to software and project work built on short iterations, close customer collaboration and responding to change.

Stability and people. Know the name

Agile Manifesto

The 2001 statement of four values and twelve principles behind agile software development.

Stability and people. Know the name

Scrum

An agile framework of fixed-length sprints, a product backlog and defined team roles.

Stability and people. Know the name

Kanban method

David Anderson's approach to knowledge work: visualise work, limit WIP and manage flow.

Flow. Know the name

Agile manufacturing

Manufacturing designed to respond quickly to changing customer needs, often through flexible technology and organisation.

Flow. Know the name

Lean Startup

Eric Ries's method of testing business ideas with a minimum viable product and learning from real customers (build, measure, learn).

Stability and people. Know the name

Minimum viable product (MVP)

The simplest version of a product that lets a team learn whether customers want it.

Stability and people. Know the name

Lean Canvas

A one-page business model template for startups.

Stability and people. Know the name

Lean UX

User-experience design using quick experiments and team collaboration rather than heavy documentation.

Stability and people. Know the name

Cumulative flow diagram

A stacked area chart of work items in each state over time, used to see WIP and flow in knowledge work.

Flow. Know the name

Cost of delay

The value lost per unit of time by delivering something later.

Flow. Know the name

WSJF

Weighted Shortest Job First: ranking work by cost of delay divided by job size.

Flow. Know the name

Set-based concurrent engineering

Exploring several design alternatives in parallel and narrowing them as knowledge grows, instead of picking one early.

Stability and people. Know the name

Chief engineer (Shusa)

Toyota's single leader responsible for a product's success, from concept to launch, with authority through knowledge rather than rank.

Stability and people. Know the name. Japanese term

Trade-off curve

A chart of how two design characteristics trade against each other, built from test data and reused across projects.

Stability and people. Know the name

Design freeze

The point after which a design is no longer changed except by formal change control.

Stability and people. Know the name

DFMA

Design for Manufacture and Assembly: designing parts that are easy and cheap to make and put together.

Stability and people. Know the name

Value engineering

Systematically reviewing a design's functions to deliver them at lower cost. Value analysis does the same for existing products.

Stability and people. Know the name

Kansei engineering

Translating customers' feelings and impressions of a product into design parameters.

Stability and people. Know the name. Japanese term

DRBFM

Design Review Based on Failure Mode: Toyota's review of what could go wrong because of a design change.

Quality. Know the name

Mizenboushi

Japanese for "preventing problems before they happen," the philosophy behind DRBFM and GD3 (good design, good discussion, good dissection).

Quality. Know the name. Japanese term

Last Planner System

A lean construction planning system in which the people who do the work make reliable weekly commitments, tracked as percent plan complete.

Flow. Know the name

Pull planning

Planning a project backwards from a milestone, with each trade stating what it needs from the one before.

Flow. Know the name

Takt planning (construction)

Dividing a building into zones and moving trades through them at a fixed rhythm.

Flow. Know the name

Target value delivery

Designing a construction project to a target cost set from the owner's value, rather than estimating after design.

Stability and people. Know the name

Choosing by Advantages

A decision method that compares alternatives by the importance of their advantages, used in lean construction.

Stability and people. Know the name

Integrated project delivery

A contract model that brings owner, designer and builder into one team with shared risk and reward.

Stability and people. Know the name

Lean healthcare

Lean applied to hospitals and clinics: patient flow, standard work, visual management and reducing waiting.

Stability and people. Know the name

Lean office

Lean applied to administrative and transactional work such as orders, invoices and approvals.

Stability and people. Know the name

Service blueprinting

Mapping a service from the customer's actions to front-stage and back-stage processes.

Stability and people. Know the name

Demand Flow Technology

A mixed-model flow manufacturing method developed by John Costanza.

Flow. Know the name

Total Flow Management

A lean framework by Kaizen Institute that links production flow with internal logistics and supply-chain flow.

Flow. Know the name

Holonic manufacturing system

A system of autonomous, cooperating units (holons) that organise themselves to meet production goals.

Flow. Know the name

Flexible manufacturing system

Computer-controlled machines and material handling that can make a variety of parts with little changeover.

Flow. Know the name

Adaptable manufacturing system

A system designed to be reconfigured quickly as products or volumes change.

Flow. Know the name

Modular platform (MQB)

Volkswagen's modular transverse platform, an example of sharing modules across many products.

Flow. Know the name

People and history Where lean came from

Taiichi Ohno

Toyota executive (1912 to 1990) who developed most of the Toyota Production System, including kanban and the seven wastes.

Show example
Ohno's chalk circle, standing a manager in one spot for hours until they saw the waste, is still used on gemba walks today.
Stability and people. Core tool

Shigeo Shingo

Industrial engineer (1909 to 1990) who developed SMED and Zero Quality Control and worked closely with Toyota.

Show example
Shingo's rule of separating internal from external setup is the first step of every SMED workshop on the mill.
Stability and people. Core tool

W. Edwards Deming

American statistician (1900 to 1993) whose teaching on variation, systems and management transformed Japanese quality after 1950.

Show example
Deming's point that most problems belong to the system, not the worker, changes how a plant handles a scrap incident.
Quality. Core tool

Sakichi Toyoda

Founder of the Toyoda loom business whose automatic loom stopped itself when a thread broke: the origin of jidoka.

Quality. Know the name

Kiichiro Toyoda

Founder of Toyota Motor Corporation, who set out the just-in-time idea.

Flow. Know the name

Henry Ford

Founder of Ford Motor Company and the moving assembly line; his flow thinking influenced Toyota.

Flow. Know the name

Frederick Winslow Taylor

Father of scientific management, who studied work with stopwatches to find the "one best way."

Stability and people. Know the name

Frank and Lillian Gilbreth

Pioneers of motion study who broke work into basic motions (therbligs).

Stability and people. Know the name

Walter Shewhart

Bell Labs statistician who invented the control chart and the cycle Deming later taught as PDCA.

Quality. Know the name

Joseph M. Juran

Quality pioneer known for the Juran trilogy (planning, control, improvement) and the Pareto principle in quality.

Quality. Know the name

Kaoru Ishikawa

Japanese quality expert who popularised quality circles and the cause-and-effect diagram.

Quality. Know the name

Eliyahu Goldratt

Physicist and author of The Goal, who developed the Theory of Constraints.

Flow. Know the name

Jeffrey Liker

Author of The Toyota Way and many studies of Toyota's management.

Stability and people. Know the name

James Womack and Daniel Jones

Authors of The Machine That Changed the World and Lean Thinking, who brought the word lean to a wide audience.

Stability and people. Know the name

Mike Rother

Co-author of Learning to See (value stream mapping) and author of Toyota Kata.

Stability and people. Know the name

JUSE

The Union of Japanese Scientists and Engineers, which invited Deming to Japan and awards the Deming Prize.

Quality. Know the name

Deming's 14 points

Deming's fourteen points for management, such as "drive out fear" and "cease dependence on mass inspection."

Quality. Know the name

Fordism

Mass production of standardised products on moving lines with specialised labour and high wages.

Flow. Know the name

Fayolism

Henri Fayol's classical management theory of planning, organising, commanding, coordinating and controlling.

Stability and people. Know the name

American system of manufacturing

19th-century approach based on interchangeable parts and specialised machinery.

Flow. Know the name

English system of manufacturing

Craft-based production in which skilled workers hand-fitted parts to each other.

Flow. Know the name

NUMMI

The Toyota and General Motors joint venture in Fremont, California, which showed TPS could work with an American workforce.

Stability and people. Know the name

The Goal

Goldratt's 1984 novel that introduced the Theory of Constraints through a plant manager's story.

Flow. Know the name

Name that tool

Ten scenes from the mill. Pick the lean tool or idea at work.

Where to start

Five hundred terms can feel like a lot. Real lean programmes start with a handful of moves, in roughly this order.

Go and see

Stand at the process before you change it, and talk to the people who run it. Uses: genchi genbutsu, gemba walk, Ohno circle, waste walk.

Stabilise first

Get people, machines, material and methods predictable before adding flow or pull. Uses: basic stability, standardized work, TPM.

Make normal visible

Organise the area so anything abnormal stands out at a glance. Uses: 5S, shadow boards, visual management, hour-by-hour boards.

Map one value stream

Pick one product family and follow it end to end; most lead time will be waiting. Uses: value stream mapping, product family, process cycle efficiency.

Find the constraint

Improve the step that limits the whole system before anything else. Uses: bottleneck, five focusing steps, OEE.

Shrink the batch

Cut changeover time so you can run smaller lots and cycle through products more often. Uses: SMED, EPEI, FIFO lanes.

Stop and fix

Give people and machines the means to stop at the first defect, and respond fast. Uses: jidoka, andon, poka-yoke, line stop.

Level the load

Smooth volume and mix so upstream processes see steady demand. Uses: heijunka, pacemaker process, takt time.

Pull, don't push

Let consumption trigger production and cap the inventory between steps. Uses: kanban, supermarkets, CONWIP.

Coach problem solvers

Make improvement a daily habit by teaching a method and coaching it, not by issuing answers. Uses: A3, Toyota Kata, TWI, kaizen teian.

Lean Implementation

Most lean arithmetic fits on a calculator, but a spreadsheet keeps it honest and repeatable. The numbers below match the experiments above.

Excel Functions

FunctionSyntaxPurposeWhen to use it
ROUNDUPROUNDUP(number, num_digits)Round up to a given number of digitsKanban counts and minimum stations or operators, which can never be fractional.
PRODUCTPRODUCT(number1, [number2], …)Multiply all argumentsOEE from availability, performance and quality; rolled throughput yield from step yields.
SUMPRODUCTSUMPRODUCT(array1, [array2], …)Sum of element-by-element productsTotal work content of a product mix, such as minutes per joint times joints per size.
MAX / MINMAX(number1, [number2], …)Largest or smallest valueFind the busiest station to compare with takt, or the shortest cycle in a time study.
COUNTIFSCOUNTIFS(criteria_range1, criteria1, [criteria_range2, criteria2], …)Count records meeting one or more conditionsTally defect codes or andon calls by type and shift before drawing a Pareto chart.
SUMIFSSUMIFS(sum_range, criteria_range1, criteria1, [criteria_range2, criteria2], …)Sum values meeting one or more conditionsTotal downtime minutes by loss category for the six big losses.

Excel Use Cases

Takt time: put available minutes in B2 (1260) and daily demand in B3 (420). =B2/B3 returns 3 minutes per joint.

Stations needed and the bottleneck: with station work content 2.2, 1.8, 3.4 and 1.4 minutes in C2:C5, =ROUNDUP(SUM(C2:C5)/(B2/B3),0) returns 3, the minimum number of balanced stations. =MAX(C2:C5)>B2/B3 returns TRUE: station 3 is over takt, exactly as the yamazumi experiment shows.

OEE: with 0.85, 0.90 and 0.97 in D2:D4, =PRODUCT(D2:D4) returns 0.742, an OEE of about 74%.

Little's Law: with 1200 joints of WIP in E2 and 400 joints a day of throughput in E3, =E2/E3 returns a lead time of 3 days.

Kanban count: =ROUNDUP(400*1.5*(1+0.2)/50,0) returns 15 cards for daily demand of 400, a 1.5-day replenishment time, 20% safety stock and 50 per container.

Pareto preparation: if defect codes are in F2:F501, =COUNTIFS(F2:F501,"Wall thickness") counts one code. List the counts in G2:G15, sort them largest first, and =SUM($G$2:G2)/SUM($G$2:$G$15) filled down gives the cumulative percentage line.

Minitab Navigation

For a Pareto of defect codes or loss categories, use Stat → Quality Tools → Pareto Chart. Choose "Chart defects data in" for raw codes, or "Chart defects table" when you already have counts.

For a fishbone diagram, use Stat → Quality Tools → Cause-and-Effect and enter each branch (people, machines, materials, methods, measurements, environment) as its own column.

To see whether an improvement held, use Stat → Quality Tools → Run Chart for a quick look at a trend, or Stat → Control Charts → Variables Charts for Individuals → I-MR for daily lead time or OEE values, so you react to real shifts rather than noise.

Minitab Statistical Software has no value stream mapping tool. Draw value stream maps on paper first; a drawing tool is only for the clean copy.

Exam Tips

For the ASQ CSSBB and CQE exams, keep the definitions straight: takt is set by demand, cycle time by the process, and lead time includes all the waiting. Little's Law questions usually give two of WIP, throughput and lead time and ask for the third. In OEE questions, setups and breakdowns are availability losses, small stops and slow running are performance losses, and scrap and rework are quality losses. In SMED questions, the first step is always separating internal from external setup. Know that kanban limits inventory by limiting cards, that heijunka levels mix and volume while line balancing levels work between stations, and that jidoka is the principle while poka-yoke is one way to achieve it.

Software references: Microsoft Excel functions (alphabetical); Quality tools in Minitab.

Knowledge check

Check your understanding

Comprehension quiz

Pick the strongest answer, then submit. Explanations appear after you submit.

1. A line has 1,260 available minutes a day and customer demand of 420 joints a day. What is the takt time?
2. A finishing area holds 1,200 joints of work in process and ships 400 joints a day. What is the average lead time?
3. Pre-setting the next roll set on a spare stand while the mill is still running is an example of what?
4. Which waste did Taiichi Ohno call the worst, because it creates and hides the others?
5. Availability is 85%, performance is 90% and quality is 97%. Which OEE is closest?
6. A card that authorises making a fixed quantity only after the next process has used it is called what?
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