Glossary

The management philosophy is often associated with production and the manufacturing environment and focuses on eliminating the three main types of waste (muda, muri, and mura) within the supply chain to reduce the time between the customer order and final delivery. Waste, in the context of lean manufacturing, refers to any part of the process that does not add or create value for the end consumer. Therefore, a “lean” organization would be one that strives to completely eliminate waste.

Actions that do not add value. There are 7 main types of muda (waste):

• Overproduction – the most serious form of waste in lean manufacturing, as it is a potential cause of all other types of waste.
• Waiting – downtime of equipment or workers.
• Transportation – waste associated with moving products from one operation to another.
• Over-processing – performing unnecessary operations due to the lack of standards.
• Inventory – the Toyota production system considers any inventory in stock as waste, as only the required amount of products should be produced.
• Motion – unnecessary movement of personnel due to the lack of standards.
• Defects – defective products due to imperfections in technology or human error.

Losses caused by stress or overload of people, processes, or equipment.

Losses caused by inconsistency, unevenness, or irregularity in business processes.

A management ideology aimed at the timely production of the highest quality and most cost-effective products or services. A process of continuous improvement based on the TPM approach, supplemented by best practices and modern industry concepts: process orientation, supply chain management, Lean principles, Six Sigma, and others.

A concept that focuses on equipment and people and represents a maintenance method that enhances productivity to achieve zero losses and strengthens the production foundation. After extensive research, the Japan Institute of Plant Maintenance (JIPM) proposed this method in 1971. Initially, it was incorporated and implemented at Nippon Electrical Equipments Co., Ltd (now DENSO CORPORATION).

The main idea of the philosophy lies in the key role of product and service quality, aimed at maximizing customer satisfaction.

A methodology for identifying the most important limiting factor (i.e., constraint) that stands in the way of achieving a goal, and then systematically improving this constraint until it is no longer a limiting factor. In manufacturing, this constraint is often referred to as the bottleneck.

Bottlenecks are processes or operations that have limited capacity and reduce the throughput of the entire production chain.

Sakichi Toyota, the creator of the first Japanese electric loom, proposed automatically stopping the loom when a thread breaks. Today, this principle is essential for producing exceptionally high-quality products and involves automatically stopping the equipment in the event of defective products. The machine will not restart until the root cause of the defect is identified and resolved.

This principle was proposed by Kiichiro Toyota, the founder of Toyota Motor Corporation, and involves producing only the products that are needed by the customer at that moment, in the necessary quantity, and within the required timeframe to minimize resource usage. This helps significantly reduce the amount of inventory, which is considered waste.

The Japanese symbol for “kai” translates to “change” or “correct,” while “zen” translates to “good.” Essentially, Kaizen means making changes for the better or continuous improvement. The goal of Kaizen is to increase productivity or processes by eliminating waste – doing more with fewer resources.

Radical change in the production process. Kaikaku involves more extensive actions and addresses systemic losses.

A Japanese improvement tool originating from Lean Manufacturing, where the workplace is reorganized for efficient operation with consideration for safety and ergonomics. It is an excellent tool for initiating any improvement programs, as 5S ensures that the work environment supports continuous improvement. 5S focuses on principles of order, cleanliness, discipline, involvement, responsibility, and pride. It is a systematic methodology that instills discipline, standardization, and organization. Standardization is key because once practices and processes are standardized, it becomes easier to identify deviations.

Another name for this method is 5W1H, based on the number of question words that form the foundation of Kipling’s method – What, When, Why, Who, Where, and How. The essence is to ask these questions and provide as detailed answers as possible in order to gather initial information for understanding the details of a situation or problem.

The “fishbone diagram,” also known as the Ishikawa diagram, is a graphical representation of the causes that influence a result and is used to identify the root cause of a problem or defect. This is achieved by analyzing cause-and-effect relationships across various categories. The categories can be specific or general, such as: Man, Method, Machine, Mother Nature, Material, and Measurement.

5 Whys is a simple tool for analyzing losses that helps identify the root cause of a problem. It was developed as a component of the Toyota Production System (TPS). The tool is based on the assumption that to find the root cause of a problem, the question “Why?” must be asked several times. It is believed that the question “Why?” should be asked at least five times. The number is actually arbitrary, as the root cause may be found after repeating the question “Why?” two, ten, or more times depending on the complexity of the problem. Never accept the first answer as the cause – keep asking “Why?” until the true root cause is found!

Also known as the Shewhart cycle, Plan-Do-Check-Act (PDCA) is a continuous improvement approach that consists of a four-stage process (Plan-Do-Check-Act). It is often initially tested on a smaller scale as a pilot project before transitioning to a larger implementation to bring about changes across the entire organization.

A document for problem-solving and planning on one sheet, which can be used to implement the Plan-Do-Check-Act (PDCA) philosophy in a structured way. These reports literally have an A3 format (11 x 17 inches) and include root cause analysis to identify and eliminate the main problem.

A methodology consisting of 8 sequential steps designed to identify the root cause of a defect, with the goal of improving a product or process.

A set of methods and tools for improving process stability. A methodology for improving process quality by identifying and eliminating the causes of defects and minimizing variability in manufacturing and business processes.

An abbreviation for a five-step improvement process aimed at identifying cause-and-effect relationships of problems and taking subsequent actions to eliminate or improve them. The application of DMAIC is broad, as the report and result fully depend on the recorded data. The five steps in DMAIC are: Define, Measure, Analyze, Improve, and Control. It is one of the tools within the Six Sigma production management concept.

A tool that helps identify losses in the technological business by visualizing the current flow of materials and information, which, in relation to a specific product, pass through the value stream between the customer and suppliers.

A technique for producing goods at a constant speed, so that subsequent processing can also be carried out at a constant and predictable pace.

Visual control (visualization) that shows the status of a machine, production line, or work process. It is a set of signals that facilitates work and communication within the company.

The average time between the start of production of one unit and the start of production of the next unit when production runs are set according to consumer demand levels.

A tool for determining the relationship between customer desires and the capabilities of the company/product.

A Japanese term, “kan” means “visual,” and “ban” means “card.” It is a planning tool for lean manufacturing (card) aimed at improving production efficiency and achieving Just-in-Time (JIT). Kanban refers to indicators that signal when action needs to be taken. This can be a task that needs to be completed, inventory that needs to be ordered, or parts that need to be ordered in a way that they can be used in the assembly of a final product.

A tool that helps identify the relationships between losses (defect mode), process parameters associated with the defect mode, machine components related to these process parameters, and, finally, the machine settings required to prevent the defect.

A tool used to define and maintain the operating conditions of machines that ensure performance with the desired quality.

A set of matrices that shows the correlations between product anomalies and phases of the production system.

A preventive method designed to avoid potential human errors during any productive activity (“error-proofing” or “poka-yoke”).

A standard on one page (before – after) that allows for a simple and effective focus on the learning object in a short amount of time.

A set of step-by-step instructions for performing a sequence of actions in a standardized manner.

Performance indicators at various levels used to assess the success of an organization or a specific activity it is involved in.

A systematic risk assessment tool that can be used to evaluate risks associated with various hazards.

A method for investigating losses related to the human factor.

A methodology that provides a fast and effective way to transition a production process from running the current product to running the next product.

Teams focused on improving the overall efficiency of the production system through maintenance policies by involving factory operators.

A process through which one organization compares itself to another or to several other organizations that are considered the best at what they do or are considered the best in the specific process being compared. This comparison does not necessarily have to be made with organizations within the same industry. However, the compared processes and metrics should be the same or similar.

A Japanese term that directly translates to “the real place” is “Genba” (現場). It refers to the actual location where work is being performed, such as the shop floor or the place where value is created.

The process of policy deployment, linking the macro and micro levels of an organization. Hoshin Kanri helps to align the highest level of company goals with work at the micro level, while also enabling top management to understand the capabilities, creativity, and issues at the micro level.

The Japanese term “Obeya” translates to “big room.” It refers to a physical or digital workspace where strategy meets execution. It is more than just a “big room”; it is a philosophy, a process, and an opportunity for teams to work together to enhance collaboration and efficiency within the organization. The boards displayed in Obeya rooms typically consist of boards with stickers and charts. Obeya is similar to a control room where teams discuss projects, brainstorm, exchange key performance indicators, track them, identify issues, and monitor the progress of projects.

A tool that visualizes the movements of an operator. It is a shop floor map showing the path of the operator to perform a specific process. Spaghetti diagrams are used in manufacturing to optimize processes on the shop floor.

A practical training method for managers and workers. TWI (Training Within Industry) was introduced in 1940 by the U.S. Department of War and operated as part of the War Manpower Commission until 1945. It was initially developed to meet the high demand for wartime materials amid a shortage of skilled labor.

A scale primarily used in loss analysis to assess the reliability of implemented countermeasures.