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ValueStreamMappingValueStream1ValueSteamMappingTheValueStream-adefinition“Allofthestepsrequiredtobringaproductorservicefromrawstatethroughtothecustomer”TotalValueStreamSupplierProcessCProcessBProcessACustomerInternalPlant2ValueSteamMappingTheValueS2ValueSteamMappingWhatisValueStreamMapping?ValueStreamMappingisapowerfultechniquethatallowsustocreatea“BIGPICTURE”visualrepresentationof:–Allthestepsintheprocess,workingbackfromcustomerdemandtorawmaterial–Theflowofbothmaterialandinformationandtheeffecttheyhaveoneachother–Thedistinctionbetweenvalue-addedandnon-value-addedactivity(WASTE)–Theeffectalloftheabovehaveonmeetingthecustomer’srequirements3ValueSteamMappingWhatisVal3ValueSteamMappingThe8WastesScrap/ReworkOver-productionInventoryMotionProcessingTransportationUnder-utilizedPeopleWaiting(manpower,material,machine)4ValueSteamMappingThe8Waste4ValueSteamMapping#1Scrap/ReworkDefinition:–AnyproductthatdoesnotmeetspecificationsandthereforeeitherneedstobereworkedorscrappedGoal:–100%FirstTimeThroughQuality5ValueSteamMapping#1Scrap/Re5ValueSteamMapping#2Over-production(Under)Definition:–Producingmorethanisnecessary,oftencausingWIP(WorkInProcess);workingonpartsaheadofschedulewhiledelinquentpartswaitGoal:–ProducetoTargetCycleTimetheneventuallyproducealloperationstoTaktTimeintheFutureState6ValueSteamMapping#2Over-pro6ValueSteamMapping#3InventoryDefinition:materialorpartsthatarestoredforfutureuseorshipmentBeforeAfterIfyouhadonly30secondstofindtheunit…...whichstoragesystemwouldyouchoose?7ValueSteamMapping#3Invento7ValueSteamMapping#4MotionDefinition:–ExcessivemotionbeyondwhatisneededtogetthejobdoneGoal:SameasDefinition???sittingsearchingturningaroundwalkingclimbingchoosingbendinglyingdownover8ValueSteamMapping#4MotionDe8ValueSteamMapping#5Processing(Over&Under)Definition:–Extraand/orunnecessaryoperations–Standardizationofoperationsnotthoroughenough–ProcessingapartabovespecificationsGoal:–Processpartsthatconsistentlymeettheminimumcustomerrequirements100%ofthetime9ValueSteamMapping#5Processi9ValueSteamMapping#6TransportationDefinition:–MovingpartstounnecessarydistancesfromoneoperationtoanotherGoal:–Putoperationsinorder;minimizeoreliminatethetraveldistancebetweenthem10ValueSteamMapping#6Transpor10ValueSteamMapping#7WaitingDefinition:–apersonorpart(s)sittingidlewhilewaitingformaterial,asupervisor,thenextoperation,etc.Goal:–Eliminatetheunplannedinterruptionsthatoccurduetoinefficiencies–Developcontinuousflowwhereverpossible–Convertwaitingtovalue-addedwork11ValueSteamMapping#7WaitingD11ValueSteamMapping#8Under-utilizedPeopleDefinition:–Skillsuntapped,IdeasnotimplementedandimprovementsnotrealizedGoal:–Tapintotheenergiesandunusedimprovementideasfromtheworkforce12ValueSteamMapping#8Under-ut12ValueSteamMappingExerciseWorksheetMANUFACTURINGWASTESIDENTIFICATIONSHEETDept:_______________TransportationUnder-utilizedPeopleScrap/ReworkOver(Under)ProductionProcessing5S-Sort,Straighten,Sweep,Standardize&SelfDisciplineInventoryNO.WASTEIDENTIFIEDJohnMcLauchlinRevisionDate:4/25/2000WaitingMotion13ValueSteamMappingExerciseWo13ValueSteamMappingValueStreamAnalysisProcessValueStreamMapping1.0SelectChampionandInitialProductFamily2.0Gather,Map,andAnalyzeSelectedValueStreamData3.0DesignFutureState4.0ImplementationPlanningandExecution1.Understandbusinessgoalsandcustomerobjectives2.Selectchampionandvaluestreamleadersbasedonprovencriteriaforsuccess3.Defineproductfamiliesbasedoncommonprocessesandequipment14ValueSteamMappingValueStrea14ValueSteamMappingLeadershipandChampionsObservationsLeanAerospaceInitiative–AcommonfactorinallobservedsuccessfulleanimplementationsisoneormoreempoweredChampions.–Championsareusuallyhigh-levelleaderswhotakeonapro-activeroleshapingandsupportingtheleaninitiatives,andensuringthatsystembarriersareidentifiedandaddressed.–Tostartyourleanjourney,youneedaleaderorsetofleadersto:•Developastrategicdirection•Agreetoandcommunicatethestrategicdirection•Makeavailabletheneededresources•Providecontinued,visiblesupport–Withoutthesupportofachampion,youshouldnotattempttoimplementleanpracticesandprinciples--itisarecipefordisaster15ValueSteamMappingLeadership15ValueSteamMappingSmallGroupActivity•Identifywhoinyourorganizationwillfillthesecriticalrolestosupportleanimplementation–ExecutiveChampion–ImplementationLeader–OperationsManager–TechnicalSupport–OtherKeyRoles?•Brieflydescribetheroleeachpersonwillhaveinsupportinglean•Whatcanyoudotogetthesepeopletosuccessfullysupportyourefforts•ExecutiveChampion•ImplementationLeader•OperationalMgr16ValueSteamMappingSmallGroup16ValueSteamMappingDefineProductFamilies•AnalyzeProduct-VolumeCharttoseparatehighrunnersfromlowrunners•AnalyzeProduct-ProcessMatrixtoidentifysimilarprocessingstepsandcommonequipment•AnalyzeRoutingstoidentifycommonsequencesfocusingon:–Operationsthatcanpotentiallybededicatedtotheproductfamily–Operationsthatareneithermonumentsnorbatchcycles–Downstreamprocessesmostvisibletothecustomer17ValueSteamMappingDefineProd17ValueSteamMappingAnalyzeProduct-VolumeCharttoseparatehighrunnersfromlowrunnersProductVolumeChart450040003500AnnualVolume3000250020001500100050002206215021702158210821422124210221722212222222022204PartNumber18ValueSteamMappingAnalyzePro18ValueSteamMappingAnalyzeProduct-processMatrixtoIdentifySimilarProcessingStepsandCommonEquipmentVol.400360450450760620750322583002684000PNs2124210221082142215021582170217222042212222222064070RoughH.T.TurnDeburrInspBlackMPIShipMarkMillSawDrillCopprGrindWeldPlasmaXXXXXXXXXXXXXXXXXXXX8338XXXXXXXXXXX8338XXXXXXXXXXX8338XXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX39783138180052000XXXXXXXX82803712XXXXXXX4326X4000584280833819ValueSteamMappingAnalyzePro19ValueSteamMappingAnalyzeRoutingstoIdentifyCommonSequencesTypesofMachinesRough1234456InspBlackMPIGrindWeldCopprPlasma78910111214ASSMFPICoatLapPolishPaintNickel15161718192021BatchorOutSourcedNon-monumentH.T.TurnMillDrillDeburrMarkProductFamily“A”21242102210821422150215821722170220422122222220611111111111211111221112221211227232333333333333453333333333333444444444104455555555511556666666661588888888149911999777777333991021173777551041616319315715720715711222333333“C”“B”50%ofTotalVolume20ValueSteamMappingAnalyzeRou20ValueSteamMappingValueStreamAnalysisProcessValueStreamMapping1.0SelectChampionandInitialProductFamily2.0Gather,Map,andAnalyzeSelectedValueStreamData3.0DesignFutureState4.0ImplementationPlanningandExecution1.Gathercustomerinformation2.Walktheprocess-sketchprocessboxes.3.Fillinprocessdataboxesandinventorylevels(byproduct).4.Documenthowgoodsaredeliveredtothecustomer.5.Gatherinformationonsuppliers.6.Addinformationflows.7.Sketchhowmaterialmovesbetweenprocesses.8.Drawproductionleadtime/value-addedtimeline.21ValueSteamMappingValueStrea21ValueSteamMappingMaterialFlowIconsAssemblyXYZCorporationProcessBoxSupplier/CustomerC/T=45sec.C/O=30min.3Shifts.2%ScrapI300pieces1dayInventorySupermarketBufferorSafetyStockDataBoxMon+WedShipmentPushPhysicalPullFinishedGoodstoCustomerFIFOFirst-In-First-OutOperator22ValueSteamMappingMaterialFl22ValueSteamMappingInformationFlowIconsWeeklyScheduleManualInformationFlowElectronicInformationFlowScheduleOXOXLoadLevelingBoxSequenced-PullBallUptimeChangeoverWithdrawalKanbanProductionKanbanSignalKanbanKanbanPostKaizenLightningBurst23ValueSteamMappingInformation23ValueSteamMappingMappingTips••••••••••Useapencilanddrawon11”x17”paperorlargerDrawtopofprocessboxesjustbelowthemiddleofthepageLeaveenoughroombetweenprocessboxestoshowinventoryDecidewhethertocountallpartsorjustasamplepartDrawonlyonetothreemainsuppliers/supplieditemsProductionleadtimeiscalculatedbydividinginventoryquantitybydailycustomerrequirement.PutaTitleanddateonmapandincludeCustomerRequirementsMakeeveryefforttocollectgooddataUsealternatemethodsforcollectingdatawhentimeisaconstraintCompareagainstrecenthistoricaldataasasanitycheck24ValueSteamMappingMappingTip24CurrentStateValueStreamMapSupplierCustomerCustomerrequirement500bladesperweek211112221CurrentStateValueStreamMap25CurrentStateValueStreamMapSupplierCustomerCustomerrequirement500bladesperweekDailyDailyI2I1I1I11I22I21I60010815620817472184CurrentStateValueStreamMap26CurrentStateValueStreamMap2yearForecastSupplier90dayorderWeeklyorder90Dayproductionplan2yearForecastMRPFunction90dayorderWeeklyorderCustomerDailyWeeklyScheduleDailyMeetingDailyCustomerrequirement500bladesperweekDailyDailyI2I1I1I11I22I21I60010815620817472184CurrentStateValueStreamMap27CurrentStateValueStreamMap2yearForecastSupplier90dayorderWeeklyorder90Dayproductionplan2yearForecastMRPFunction90dayorderWeeklyorderCustomerDailyWeeklyScheduleDailyMeetingDailyCustomerrequirement500bladesperweekDailyDailyI2I1I1I11I22I21I60010815620817472184VARatio=0.8%CurrentStateValueStreamMap28Exercise:ABCForging(Sampledata)CustomerDemand•••••••ProductMixVolumeAVolumeBVolumeCVolumeDVolumeE=5Discs=500/yr=500/yr=500/yr=150/yr=100/yr••DeliveryScorecard••QualityConcessions=0ppm=15,000cppm(dimensional)=75%ResponseTime=70daysTransportation••DistancetoCustomer=200miDistanceHT/Insp=150miResponseTime=5dayProductionProcessOpSaw*HTC/T=15m=9h4hC/O20m1.5hInv.3511914984921Misc.20%↓time2h(Heat)8h(Cool)5%reworkScheduling•Two8-hrshifts,30minbreakpershift•5workdays/week,50weeks/year•Customerprovides2-yearforecast,60-dayflexibleschedule,weeklypullsignal•Aeroprovidessub-tiersw/2yrforecastand8-weekfirmschedule•AerousingMRPtoscheduleeachworkcenter,supervisorsexpeditedaily•Batchsizeof40piecesthroughprocess,averageleadtimeof~10weeksForge=07m*Insp=03mMach=3hInsp=1.5hPack=5m*OutsourcedOperationsExercise:ABCForging(Sample29ValueSteamMappingProcessInformationSheetSupplier:PartName:TimefromTimeelaspsedfinishinglastAvailableorfromfinishingonegoodpartofoneassignednumberparttofinishingproductionruntoofminutesforthenextpart(withfirstgoodpartofeachoperationinaDescriptionoftheprocessbeingperformednosetup)nextrun24hourperiodPartNo:Ave.numberofpartsrunbeforemovingallpartstonextoperationAnnualVolume:RoutingOperationNumberVendorname(outsourcedoperationsonly)CityandstatewhereoutsourcedoperationisperformedTraveldistancetooutsidevendorsMeansofconveyenceAveragetimeapartspendsateachoperationOperationDescriptionCycleTimeChange(min)Over(min)AvailableMinutesperDayBatchSizeVendorLocationDistancefromPlantMethodof(miles)TransportLeadTime(days)30ValueSteamMappingProcessInf30ValueSteamMappingValueStreamAnalysisProcessValueStreamMapping1.0SelectChampionandInitialProductFamily2.0Gather,Map,andAnalyzeSelectedValueStreamData3.0DesignFutureState4.0ImplementationPlanningandExecutionCustomerDeliveryStrategySupportingImprovements1.Whatprocessimprovementsneedtobeaddressedimmediately?MaterialFlow2.Wherecanyouimplementflow?3.Whereshouldyoureducebatchsizetoimproveresponsiveness?4.Shouldyoubuildtocustomerorderorfinishedgoods?5.Whatsinglepointwillyouscheduletocustomerrequirements?InformationFlow6.Howwillyouscheduleorpullmaterialfromupstream?7.Howwillyoulevelproductiontothepacemakeroperation?31ValueSteamMappingValueStrea31Exercise:ABCForging(SampleData)BrainstormFutureState2-yrforecastSub-Tier8-WeekOrdertoDeliverVolumeMixDeliveryQualityResponse2-yrforecast60-DaySchedule=1750/yr5/5/5/1.5/1=75%=15kcppm=5daysProductionControlSAPRolls-RoyceReleaseMaterialDailyPriorityListsReleaseWeekly200miWeekly4weeks20%↓5%Rework2weeksSawC/T=15mC/O=20mBatch=40ForgeC/T=7mC/O=1.5hHeat=2h150miHeatTreatC/T=9hCool=8hInspC/T=3m150miMachineC/T=3hC/O=2hInspC/T=1.5hPackC/T=5m0:155Days2:1017Days17:002Days0:0314Days3:007Days2:003Days0:05CycleTime=24hrsTransport=6hrsIdle=48daysExercise:ABCForging(Sample32ValueStreamMappingValueStream33ValueSteamMappingTheValueStream-adefinition“Allofthestepsrequiredtobringaproductorservicefromrawstatethroughtothecustomer”TotalValueStreamSupplierProcessCProcessBProcessACustomerInternalPlant2ValueSteamMappingTheValueS34ValueSteamMappingWhatisValueStreamMapping?ValueStreamMappingisapowerfultechniquethatallowsustocreatea“BIGPICTURE”visualrepresentationof:–Allthestepsintheprocess,workingbackfromcustomerdemandtorawmaterial–Theflowofbothmaterialandinformationandtheeffecttheyhaveoneachother–Thedistinctionbetweenvalue-addedandnon-value-addedactivity(WASTE)–Theeffectalloftheabovehaveonmeetingthecustomer’srequirements3ValueSteamMappingWhatisVal35ValueSteamMappingThe8WastesScrap/ReworkOver-productionInventoryMotionProcessingTransportationUnder-utilizedPeopleWaiting(manpower,material,machine)4ValueSteamMappingThe8Waste36ValueSteamMapping#1Scrap/ReworkDefinition:–AnyproductthatdoesnotmeetspecificationsandthereforeeitherneedstobereworkedorscrappedGoal:–100%FirstTimeThroughQuality5ValueSteamMapping#1Scrap/Re37ValueSteamMapping#2Over-production(Under)Definition:–Producingmorethanisnecessary,oftencausingWIP(WorkInProcess);workingonpartsaheadofschedulewhiledelinquentpartswaitGoal:–ProducetoTargetCycleTimetheneventuallyproducealloperationstoTaktTimeintheFutureState6ValueSteamMapping#2Over-pro38ValueSteamMapping#3InventoryDefinition:materialorpartsthatarestoredforfutureuseorshipmentBeforeAfterIfyouhadonly30secondstofindtheunit…...whichstoragesystemwouldyouchoose?7ValueSteamMapping#3Invento39ValueSteamMapping#4MotionDefinition:–ExcessivemotionbeyondwhatisneededtogetthejobdoneGoal:SameasDefinition???sittingsearchingturningaroundwalkingclimbingchoosingbendinglyingdownover8ValueSteamMapping#4MotionDe40ValueSteamMapping#5Processing(Over&Under)Definition:–Extraand/orunnecessaryoperations–Standardizationofoperationsnotthoroughenough–ProcessingapartabovespecificationsGoal:–Processpartsthatconsistentlymeettheminimumcustomerrequirements100%ofthetime9ValueSteamMapping#5Processi41ValueSteamMapping#6TransportationDefinition:–MovingpartstounnecessarydistancesfromoneoperationtoanotherGoal:–Putoperationsinorder;minimizeoreliminatethetraveldistancebetweenthem10ValueSteamMapping#6Transpor42ValueSteamMapping#7WaitingDefinition:–apersonorpart(s)sittingidlewhilewaitingformaterial,asupervisor,thenextoperation,etc.Goal:–Eliminatetheunplannedinterruptionsthatoccurduetoinefficiencies–Developcontinuousflowwhereverpossible–Convertwaitingtovalue-addedwork11ValueSteamMapping#7WaitingD43ValueSteamMapping#8Under-utilizedPeopleDefinition:–Skillsuntapped,IdeasnotimplementedandimprovementsnotrealizedGoal:–Tapintotheenergiesandunusedimprovementideasfromtheworkforce12ValueSteamMapping#8Under-ut44ValueSteamMappingExerciseWorksheetMANUFACTURINGWASTESIDENTIFICATIONSHEETDept:_______________TransportationUnder-utilizedPeopleScrap/ReworkOver(Under)ProductionProcessing5S-Sort,Straighten,Sweep,Standardize&SelfDisciplineInventoryNO.WASTEIDENTIFIEDJohnMcLauchlinRevisionDate:4/25/2000WaitingMotion13ValueSteamMappingExerciseWo45ValueSteamMappingValueStreamAnalysisProcessValueStreamMapping1.0SelectChampionandInitialProductFamily2.0Gather,Map,andAnalyzeSelectedValueStreamData3.0DesignFutureState4.0ImplementationPlanningandExecution1.Understandbusinessgoalsandcustomerobjectives2.Selectchampionandvaluestreamleadersbasedonprovencriteriaforsuccess3.Defineproductfamiliesbasedoncommonprocessesandequipment14ValueSteamMappingValueStrea46ValueSteamMappingLeadershipandChampionsObservationsLeanAerospaceInitiative–AcommonfactorinallobservedsuccessfulleanimplementationsisoneormoreempoweredChampions.–Championsareusuallyhigh-levelleaderswhotakeonapro-activeroleshapingandsupportingtheleaninitiatives,andensuringthatsystembarriersareidentifiedandaddressed.–Tostartyourleanjourney,youneedaleaderorsetofleadersto:•Developastrategicdirection•Agreetoandcommunicatethestrategicdirection•Makeavailabletheneededresources•Providecontinued,visiblesupport–Withoutthesupportofachampion,youshouldnotattempttoimplementleanpracticesandprinciples--itisarecipefordisaster15ValueSteamMappingLeadership47ValueSteamMappingSmallGroupActivity•Identifywhoinyourorganizationwillfillthesecriticalrolestosupportleanimplementation–ExecutiveChampion–ImplementationLeader–OperationsManager–TechnicalSupport–OtherKeyRoles?•Brieflydescribetheroleeachpersonwillhaveinsupportinglean•Whatcanyoudotogetthesepeopletosuccessfullysupportyourefforts•ExecutiveChampion•ImplementationLeader•OperationalMgr16ValueSteamMappingSmallGroup48ValueSteamMappingDefineProductFamilies•AnalyzeProduct-VolumeCharttoseparatehighrunnersfromlowrunners•AnalyzeProduct-ProcessMatrixtoidentifysimilarprocessingstepsandcommonequipment•AnalyzeRoutingstoidentifycommonsequencesfocusingon:–Operationsthatcanpotentiallybededicatedtotheproductfamily–Operationsthatareneithermonumentsnorbatchcycles–Downstreamprocessesmostvisibletothecustomer17ValueSteamMappingDefineProd49ValueSteamMappingAnalyzeProduct-VolumeCharttoseparatehighrunnersfromlowrunnersProductVolumeChart450040003500AnnualVolume3000250020001500100050002206215021702158210821422124210221722212222222022204PartNumber18ValueSteamMappingAnalyzePro50ValueSteamMappingAnalyzeProduct-processMatrixtoIdentifySimilarProcessingStepsandCommonEquipmentVol.400360450450760620750322583002684000PNs2124210221082142215021582170217222042212222222064070RoughH.T.TurnDeburrInspBlackMPIShipMarkMillSawDrillCopprGrindWeldPlasmaXXXXXXXXXXXXXXXXXXXX8338XXXXXXXXXXX8338XXXXXXXXXXX8338XXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX39783138180052000XXXXXXXX82803712XXXXXXX4326X4000584280833819ValueSteamMappingAnalyzePro51ValueSteamMappingAnalyzeRoutingstoIdentifyCommonSequencesTypesofMachinesRough1234456InspBlackMPIGrindWeldCopprPlasma78910111214ASSMFPICoatLapPolishPaintNickel15161718192021BatchorOutSourcedNon-monumentH.T.TurnMillDrillDeburrMarkProductFamily“A”21242102210821422150215821722170220422122222220611111111111211111221112221211227232333333333333453333333333333444444444104455555555511556666666661588888888149911999777777333991021173777551041616319315715720715711222333333“C”“B”50%ofTotalVolume20ValueSteamMappingAnalyzeRou52ValueSteamMappingValueStreamAnalysisProcessValueStreamMapping1.0SelectChampionandInitialProductFamily2.0Gather,Map,andAnalyzeSelectedValueStreamData3.0DesignFutureState4.0ImplementationPlanningandExecution1.Gathercustomerinformation2.Walktheprocess-sketchprocessboxes.3.Fillinprocessdataboxesandinventorylevels(byproduct).4.Documenthowgoodsaredeliveredtothecustomer.5.Gatherinformationonsuppliers.6.Addinformationflows.7.Sketchhowmaterialmovesbetweenprocesses.8.Drawproductionleadtime/value-addedtimeline.21ValueSteamMappingValueStrea53ValueSteamMappingMaterialFlowIconsAssemblyXYZCorporationProcessBoxSupplier/CustomerC/T=45sec.C/O=30min.3Shifts.2%ScrapI300pieces1dayInventorySupermarketBufferorSafetyStockDataBoxMon+WedShipmentPushPhysicalPullFinishedGoodstoCustomerFIFOFirst-In-First-OutOperator22ValueSteamMappingMaterialFl54ValueSteamMappingInformationFlowIconsWeeklyScheduleManualInformationFlowElectronicInformationFlowScheduleOXOXLoadLevelingBoxSequenced-PullBallUptimeChangeoverWithdrawalKanbanProductionKanbanSignalKanbanKanbanPostKaizenLightningBurst23ValueSteamMappingInformation55ValueSteamMappingMappingTips••••••••••Useapencilanddrawon11”x17”paperorlargerDrawtopofprocessboxesjustbelowthemiddleofthepageLeaveenoughroombetweenprocessboxestoshowinventoryDecidewhethertocountallpartsorjustasamplepartDrawonlyonetothreemainsuppliers/supplieditemsProductionleadtimeiscalculatedbydividinginventoryquantitybydailycustomerrequirement.PutaTitleanddateonmapandincludeCustomerRequirementsMakeeveryefforttocollectgooddataUsealternatemethodsforcollectingdatawhentimeisaconstraintCompareagainstrecenthistoricaldataasasanitycheck24ValueSteamMappingMappingTip56CurrentStateValueStreamMapSupplierCustomerCustomerrequirement500bladesperweek211112221CurrentStateValueStreamMap57CurrentStateValueStreamMapSupplierCustomerCustomerrequirement500bladesperweekDailyDailyI2I1I1I11I22I21I60010815620817472184CurrentStateValueStreamMap58CurrentStateValueStreamMap2yearForecastSupplier90dayorderWeeklyorder90Dayproductionplan2yearForecastMRPFunction90dayorderWeeklyorderCustomerDailyWeeklyScheduleDailyMeetingDailyCustomerrequirement500bladesperweekDailyDailyI2I1I1I11I22I21I60010815620817472184CurrentStateValueStreamMap59CurrentStateValueStreamMap2yearForecastSupplier90dayorderWeeklyorder90Dayproductionplan2yearForecastMRPFunction90dayorderWeeklyorderCustomerDailyWeeklyScheduleDailyMeetingDailyCustomerrequirement500bladesperweekDailyDailyI2I1I1I11I22I21I60010815620817472184VARatio=0.8%CurrentStateValueStreamMap60Exercise:ABCForging(Sampledata)CustomerDemand•••••••ProductMixVolumeAVolumeBVolumeCVolumeDVolumeE=5Discs=500/yr=500/yr=500/yr=150/yr=100/yr••DeliveryScorecard••QualityConcessions=0ppm=15,000cppm(dimensional)=75%ResponseTime=70daysTransportation••DistancetoCustomer=200miDistanceHT/Insp=150miResponseTime=5dayProductionProcessOpSaw*HTC/T=15m=9h4hC/O20m1.5hInv.3511914984921Misc.20%↓time2h(Heat)8h(Cool)5%reworkScheduling•Two8-hrshifts,30minbreakpershift•5workdays/week,50weeks/year•Customerprovides2-yearforecast,60-dayflexibleschedule,weeklypullsignal•Aeroprovidessub-tiersw/2yrforecastand8-weekfirmschedule•AerousingMRPtoscheduleeachworkcenter,supervisorsexpeditedaily•Batchsizeof40piecesthroughprocess,averageleadtimeof~10weeksForge=07m*Insp=03mMach=3hInsp=1.5hPack=5m*OutsourcedOperationsExercise:ABCForging(Sample

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