%PDF-1.2 %âãÏÓ 10 0 obj << /Length 11 0 R >> stream BT 206.25 710.25 TD 0 0 0 rg /F0 11.25 Tf -0.148 Tc 0.1705 Tw (ESD.83 Book Review by Randy Urbance) Tj 2.25 -24 TD /F1 11.25 Tf -0.0865 Tc -0.191 Tw (The Machine that Changed the World) Tj ET 208.5 683.25 193.5 1.5 re f BT 180.75 660 TD /F0 11.25 Tf -0.1492 Tc 0.0217 Tw (by James Womack, Daniel Jones, and Daniel Roos) Tj -72.75 -44.25 TD -0.1406 Tc 0.1631 Tw (The Machine that Changed the World) Tj 183 0 TD -0.1511 Tc 0.1308 Tw (, published in 1991, has been critically and) Tj ET 108 613.5 182.25 0.75 re f BT 72 590.25 TD -0.1085 Tc -0.019 Tw (popularly hailed as the definitive source on Japanese manufacturing methods commonly called) Tj 0 -25.5 TD -0.1341 Tc 0.1316 Tw (lean production. James Womack, Daniel Jones and Daniel Roos demystified the Japanese) Tj 0 -24.75 TD -0.1159 Tc 0.0884 Tw (techniques in this book as the culmination of several years of study in the field automotive) Tj 0 -25.5 TD -0.1284 Tc 0.0634 Tw (manufacture. Their research was sponsored by the International Motor Vehicle Program \(IMVP\)) Tj T* -0.1187 Tc -0.0088 Tw (as a part of a worldwide auto manufacturing benchmarking study. Womack, Jones and Roos) Tj T* -0.1029 Tc -0.0246 Tw (opened a window into a new way of organizing the production of goods that departed greatly) Tj 0 -24.75 TD -0.1273 Tc 0.0498 Tw (from the traditional American method of mass production. They revealed that a new method of) Tj 0 -25.5 TD -0.1049 Tc -0.0851 Tw (optimizing a whole production system, from suppliers to sales, could offer great advantages) Tj T* -0.0713 Tc -0.0563 Tw (over mass production techniques.) Tj 36 -25.5 TD -0.1032 Tc 0.0334 Tw (In order to establish a context for discussing lean production, the authors first discussed) Tj -36 -24.75 TD -0.0995 Tc -0.028 Tw (the details of the two main non-systems techniques of manufacturing, craft production and mass) Tj 0 -25.5 TD -0.1059 Tc -0.0216 Tw (production. This story starts with old world craft production, which established its dominance in) Tj T* -0.1196 Tc 0.1421 Tw (Europe in the years preceding the industrial revolution. In that time, finely skilled craftsmen with) Tj 0 -24.75 TD -0.1017 Tc -0.0883 Tw (general tools made products to exact customer standards. Standardized parts were not) Tj 0 -25.5 TD -0.1152 Tc 0.1031 Tw (available in large quantities to enable large or efficient production runs. Products, especially) Tj T* -0.1193 Tc 0.0495 Tw (complex ones like automobiles, required much customization and fitting by craftsman in order to) Tj T* -0.1255 Tc 0.098 Tw (maintain function and quality. As a result craft production was had very low efficiencies and) Tj 0 -24.75 TD -0.081 Tc -0.0465 Tw (resulted in only small numbers of consumer products entering the upper classes.) Tj 36 -25.5 TD -0.1126 Tc 0.0601 Tw (Henry Ford\222s assembly line methodology revolutionized production in the early 20) Tj 396 5.25 TD /F0 6.75 Tf 0.5602 Tc 0 Tw (th) Tj -432 -30.75 TD /F0 11.25 Tf -0.1115 Tc -0.016 Tw (century by introducing mass production to the manufacturing world. Unskilled workers) Tj 0 -25.5 TD -0.0881 Tc -0.0394 Tw (assembled large numbers of standardized parts into automobiles in a series of short tasks.) Tj ET endstream endobj 11 0 obj 3274 endobj 4 0 obj << /Type /Page /Parent 5 0 R /Resources << /Font << /F0 6 0 R /F1 8 0 R >> /ProcSet 2 0 R >> /Contents 10 0 R >> endobj 13 0 obj << /Length 14 0 R >> stream BT 72 710.25 TD 0 0 0 rg /F0 11.25 Tf -0.1164 Tc -0.0111 Tw (Productivity under Ford\222s mass production increased substantially beyond what was obtainable) Tj 0 -24.75 TD -0.1113 Tc -0.0162 Tw (through craft techniques. Ford\222s methods quickly overwhelmed craft producers because unit) Tj 0 -25.5 TD -0.1147 Tc 0.0372 Tw (costs fell rapidly with the increased productivity. As costs fell craft producers could no longer) Tj T* -0.0652 Tc 0 Tw (compete.) Tj 36 -25.5 TD -0.1289 Tc 0.0952 Tw ( One of the most important aspects of Ford\222s ideology was the high level of division of) Tj -36 -24.75 TD -0.1236 Tc -0.0039 Tw (labor. Workers performed assembly, while industrial engineers and management personnel) Tj 0 -25.5 TD -0.1287 Tc 0.1166 Tw (handled line organization and optimization. Diversification and division of labor went beyond the) Tj T* -0.1222 Tc 0.0572 Tw (assembly plant as well. Internal to the automotive firm, separate departments designed) Tj T* -0.1125 Tc 0.0531 Tw (vehicles, engineered parts and created marketing strategies. Many times these separate) Tj 0 -24.75 TD -0.1255 Tc 0.1344 Tw (entities had conflicting goals leading to corporate infighting. Similar conditions prevailed) Tj 0 -25.5 TD -0.1074 Tc 0.0424 Tw (externally as well, division of labor resulted in very independent supplier firms, manufacturing) Tj T* -0.1094 Tc -0.0181 Tw (sites and dealerships. Each of these players had separate goals with respect to the flow of) Tj 0 -24.75 TD -0.1206 Tc 0.0556 Tw (parts, vehicles and customers through the supply chain. Again, this created adversarial) Tj 0 -25.5 TD -0.1146 Tc -0.0129 Tw (conditions similar to the political infighting witnessed within the auto manufacturer. Ford\222s) Tj T* -0.1354 Tc 0.1442 Tw (contemporary, Alfred Sloan at General Motors, created management structures to handle the) Tj T* -0.1103 Tc -0.0172 Tw (diverse interests within a large manufacturing company. Each division of the automotive chain,) Tj 0 -24.75 TD -0.1081 Tc -0.0819 Tw (including engineering, components, assembly and sales, was managed in such a way to) Tj 0 -25.5 TD -0.1177 Tc -0.0098 Tw (provide an optimal level of performance for the whole company.) Tj 36 -25.5 TD -0.1134 Tc -0.0141 Tw (Managing the large manufacturing operations associated with automobiles remained) Tj -36 -25.5 TD -0.1212 Tc -0.0063 Tw (complicated despite the management techniques suggested by Sloan. Often times, there was) Tj 0 -24.75 TD -0.1012 Tc -0.0263 Tw (little or no communication between divisions, departments and even between workers. Each) Tj 0 -25.5 TD -0.1076 Tc 0.0378 Tw (division, group or worker concentrated on producing their parts to the required productivity and) Tj T* -0.1081 Tc -0.0194 Tw (quality with little regard to the interests of their surrounding divisions. There were several) Tj T* -0.1107 Tc -0.0168 Tw (problems with this lack of coordination and communication. Large buffer inventories were) Tj 0 -24.75 TD -0.1144 Tc -0.0131 Tw (required between manufacturing operations \(and between suppliers and the assembler and) Tj 0 -25.5 TD -0.1196 Tc -0.0079 Tw (even engineering departments\) due to differing running rates. These buffers were needed in) Tj ET endstream endobj 14 0 obj 3304 endobj 12 0 obj << /Type /Page /Parent 5 0 R /Resources << /Font << /F0 6 0 R >> /ProcSet 2 0 R >> /Contents 13 0 R >> endobj 16 0 obj << /Length 17 0 R >> stream BT 72 710.25 TD 0 0 0 rg /F0 11.25 Tf -0.1125 Tc -0.015 Tw (order to maintain manufacturing flow. Quality problems hidden in these buffers were often) Tj 0 -24.75 TD -0.1362 Tc 0.1087 Tw (discovered at the end of the assembly line requiring large amounts of rework. On the) Tj 0 -25.5 TD -0.1175 Tc -0.01 Tw (engineering side, product design decisions were made with little regard to manufacturing.) Tj T* -0.119 Tc 0.1069 Tw (Design changes often resulted in products that were very difficult to build. Communication) Tj T* -0.1117 Tc -0.0158 Tw (between sales and manufacturing was also disconnected. Assembly of vehicles was not) Tj 0 -24.75 TD -0.1049 Tc 0.0309 Tw (coordinated with sales resulting in large inventories of vehicles on dealer lots that customers did) Tj 0 -25.5 TD -0.1133 Tc -0.0142 Tw (not want. These problems of communication were of little concern however, because all) Tj T* -0.1052 Tc -0.0223 Tw (producers in the United States worked with similar practices. Mass production was the standard) Tj T* -0.114 Tc -0.0135 Tw (and it had been successful despite its shortcomings. Therefore there was little reason to) Tj 0 -24.75 TD -0.1468 Tc 0 Tw (change.) Tj 36 -25.5 TD -0.0997 Tc -0.0278 Tw (The threat to mass production came from an unlikely source, a small Japanese) Tj -36 -25.5 TD -0.1236 Tc 0.043 Tw (manufacturer, Toyota. Eiji Toyoda came to the US to learn mass production from Henry Ford in) Tj 0 -24.75 TD -0.1244 Tc 0.0438 Tw (1950 in order to better implement auto manufacturing in Japan. Despite all that he was taught,) Tj 0 -25.5 TD -0.1025 Tc -0.0827 Tw (Toyoda saw through to many of mass production\222s shortcomings. This coupled with the) Tj T* -0.1304 Tc 0.0565 Tw (constraint of limited capital, strong labor laws and lack of space prompted Toyoda and his) Tj T* -0.1134 Tc 0.0436 Tw (production chief Taiichi Ohno to create an alternative ideology to mass production, called the) Tj 0 -24.75 TD -0.1272 Tc -0 Tw (Toyota Production System \(TPS\), the forbearer of lean production.) Tj 36 -25.5 TD -0.1024 Tc -0.0251 Tw (Taiichi found that a total systems view of the manufacturing process was key to) Tj -36 -25.5 TD -0.0919 Tc -0.0356 Tw (maintaining efficiency, quality and flow through the system. As a result waste, in terms of cost,) Tj 0 -25.5 TD -0.1123 Tc -0.0152 Tw (time and effort, was attacked relentlessly by Toyota\222s core of semi-skilled manufacturing) Tj 0 -24.75 TD -0.1142 Tc 0.0336 Tw (workers. One of the best examples of waste elimination was the reduction of change over time) Tj 0 -25.5 TD -0.1078 Tc 0.0303 Tw (for stamping dies. To reduce down time Ohno invented flexible tooling systems that reduced) Tj T* -0.1049 Tc -0.0226 Tw (die changes from one day to three minutes. This enabled Toyota to make small batches of) Tj T* -0.095 Tc -0.0325 Tw (parts as needed and eliminated large stocks of identical parts generated by long stamping runs.) Tj 36 -24.75 TD -0.1234 Tc -0.0041 Tw (Toyota workers were also empowered by the system to make changes and improve the) Tj -36 -25.5 TD -0.1138 Tc 0.044 Tw (system as problems arose. All inventory buffers between processes and the suppliers were) Tj ET endstream endobj 17 0 obj 3263 endobj 15 0 obj << /Type /Page /Parent 5 0 R /Resources << /Font << /F0 6 0 R >> /ProcSet 2 0 R >> /Contents 16 0 R >> endobj 19 0 obj << /Length 20 0 R >> stream BT 72 710.25 TD 0 0 0 rg /F0 11.25 Tf -0.1255 Tc 0.0556 Tw (reduced or eliminated to promote a continuous, but very fragile, manufacturing flow. This) Tj 0 -24.75 TD -0.1036 Tc 0.0386 Tw (technique was termed as Just-In-Time delivery. Because of the fragility of Just-In-Time) Tj 0 -25.5 TD -0.0958 Tc -0.0999 Tw (processes, manufacturing problems were quickly addressed rather than leaving them until the) Tj T* -0.1288 Tc 0.0895 Tw (end of the line. As a result quality of finished products was nearly perfect, with no required) Tj T* -0.1207 Tc -0.0068 Tw (rework. Through waste reduction and continuous improvement, efficiencies and quality of) Tj 0 -24.75 TD -0.12 Tc -0.0075 Tw (Toyota manufacturing plants became standard of the world.) Tj 36 -25.5 TD -0.1136 Tc 0.0611 Tw (Communication was vital to maintaining the lean production system. Information about) Tj -36 -25.5 TD -0.119 Tc -0.0085 Tw (manufacturing flowed easily from manufacturing to engineering departments. This allowed) Tj 0 -25.5 TD -0.0991 Tc 0.0398 Tw (engineers to understand how their decisions would greatly impact the manufacturing process.) Tj 0 -24.75 TD -0.1174 Tc -0.0101 Tw (More informed engineers were then less likely to introduce un-manufacturable designs into) Tj 0 -25.5 TD -0.1341 Tc 0.0747 Tw (plants. Continuous design improvements enabled Toyota to improve product quality even) Tj T* -0.1425 Tc 0 Tw (further.) Tj 36 -24.75 TD -0.1238 Tc 0.054 Tw (Supplier and vehicle sales communication was also very cooperative due to the fact the) Tj -36 -25.5 TD -0.1055 Tc -0.022 Tw (breakdowns at either end could lead to wild swings in part availability or factory orders. Stable) Tj 0 -25.5 TD -0.1224 Tc -0.0051 Tw (supply and demand was necessary to keep the lean manufacturing system running without) Tj T* -0.1122 Tc -0.0153 Tw (inventory buffers. Cooperative relationships with suppliers allowed lean manufacturing lessons) Tj 0 -24.75 TD -0.1143 Tc 0.0368 Tw (and best practices to pass freely along the supply chain. Cost pressures and quality issues) Tj 0 -25.5 TD -0.1227 Tc 0.0452 Tw (were by addressed by Toyota and the suppliers jointly in the interest of maintaining the integrity) Tj T* -0.1085 Tc -0.019 Tw (of the whole system. On the sales end, Toyota instituted a very proactive sales force that built) Tj T* -0.1023 Tc -0.0829 Tw (strong contacts with customers. These contacts were built into family-like relationships that) Tj 0 -24.75 TD -0.1175 Tc 0.04 Tw (reinforced sales by brand loyalty. In periods of lower demand, line workers were even injected) Tj 0 -25.5 TD -0.1289 Tc 0.0952 Tw (into the sales force to help market vehicles. Toyota used ideas of customer focus and labor) Tj T* -0.0964 Tc 0.0439 Tw (flexibility to ensure the long-term integrity of the whole manufacturing system.) Tj 36 -25.5 TD -0.1171 Tc 0.0578 Tw (Lean production has been applied worldwide by Japanese and non-Japanese firms with) Tj -36 -24.75 TD -0.0976 Tc -0.1453 Tw (much success. This systems view of managing manufacturing systems is based on several) Tj 0 -25.5 TD -0.0968 Tc -0.0307 Tw (strong concepts. Waste elimination should be a vital goal of all manufacturing operations.) Tj ET endstream endobj 20 0 obj 3277 endobj 18 0 obj << /Type /Page /Parent 5 0 R /Resources << /Font << /F0 6 0 R >> /ProcSet 2 0 R >> /Contents 19 0 R >> endobj 22 0 obj << /Length 23 0 R >> stream BT 72 710.25 TD 0 0 0 rg /F0 11.25 Tf -0.1371 Tc 0.0929 Tw (Continuous improvement techniques employed by skilled and empowered employees ensures) Tj 0 -24.75 TD -0.1228 Tc 0.0953 Tw (high productivity and quality of product. If carried out to the end, continuous improvement can) Tj 0 -25.5 TD -0.1177 Tc 0.0402 Tw (attain perfect first run quality. Above all maintaining strong lines of communication is vital to) Tj T* -0.1275 Tc 0.0625 Tw (keeping the system working. Lines between suppliers and the automakers, between engineers) Tj T* -0.105 Tc -0.0225 Tw (and manufacturing workers, between retailers and automakers, between customers and) Tj 0 -24.75 TD -0.1196 Tc -0.0079 Tw (designers must be utilized efficiently.) Tj 36 -25.5 TD -0.1015 Tc 0.0422 Tw (Utilizing the inherent efficiency and quality benefits of lean production, Japanese firms) Tj -36 -25.5 TD -0.1455 Tc 0.168 Tw (like Honda, Nissan and Toyota have gained noticeable market share in the US. After sensing) Tj 0 -25.5 TD -0.1241 Tc 0.0591 Tw (the threat from lean producers, US automakers resisted Japanese entrance into the American) Tj 0 -24.75 TD -0.1208 Tc -0.0067 Tw (market. However, the domestic automakers have had little success keeping Japanese vehicles) Tj 0 -25.5 TD -0.1159 Tc 0.0384 Tw (out and are having trouble competing with the high levels of Japanese quality. As a result) Tj T* -0.1412 Tc 0.1291 Tw (American auto manufactures have begun to adopt some of the techniques of lean production.) Tj 0 -24.75 TD -0.0959 Tc -0.0316 Tw (Progress until this point has been slow. While recent troubles in the Asian economies have cast) Tj 0 -25.5 TD -0.1261 Tc -0.0014 Tw (a shadow on Japanese business practices, the most adept lean automobile producers, Honda) Tj T* -0.1245 Tc 0.0506 Tw (and Toyota, continue to have success and have been able to adapt their practices during) Tj T* -0.1144 Tc -0.0131 Tw (periods of economic hardship. The systems level outlook of lean production appears to have) Tj 0 -24.75 TD -0.1255 Tc 0.0605 Tw (real benefits over traditional American mass production techniques. Womack, Jones and Roos) Tj 0 -25.5 TD -0.1093 Tc 0.0353 Tw (exposed the fact that much of lean production has wide applicability, even outside the Japanese) Tj T* -0.1045 Tc 0.0305 Tw (business environment. They suggest that it would likely benefit all manufacturing firms to) Tj T* -0.0988 Tc -0.0287 Tw (employ the lessons taught by lean production.) 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