Lean Manufacturing Principles Introduction

The history of Manufacturing can be summarized in three evolutions: First, Handcraft, where products are made to customer requirements. It is a single piece manufacturing which means each product is unique and each quality varies from one product to the other. The inventory is very low and the product itself is expensive in which only the rich can afford. The second step toward manufacturing is called “Mass Production” wherein assembly lines are set-up, and the labors are divided among workers as done by Henry Ford in 1914. Standards are set to meet local and international customers. Thus each product has the same quality with each other. And the last evolution of manufacturing is called the “Lean Manufacturing”.

The Lean Manufacturing Idea has been develop in Japan, and the name is given in the US. Lean is the manufacturing system of the Japanese automotive industry. It needs less production factors than the traditional mass manufacturing. With other words, less than half of the development time and less than the half of inventories capacities are sufficient for the production. At the same time more product variety with higher quality levels can be offered.

The success of the Lean Manufacturing idea is founded on the involvement of the employees with teamwork. Employees of all areas of the company can be integrated in teams, e.g. design, research, engineering, accounting, sales etc. Depending on the project, the scope can be planning process, accounting, manufacturing or sales process. Every employee takes over responsibility for his task. Employee motivation and identification increases while the defect rate is decreasing.

The philosophy of lean manufacturing of a production system is based on 5 Principles: Define values in the eyes of the customer. Identify the value stream and eliminate waste. Make flow at the pull of the customer. Involve and empower the employees. Continuous improvement in pursuit of perfection.

In the evolution of the Lean Manufacturing, there are several terms used:

Batch production. After every process step, the product will be stored and not transferred to the next step until certain quantities have been manufactured.
Single piece flow (one piece flow). A product will be consistency transferred piece by piece, from one step to the next.
Just in time. Simple means at the right time, the right quantity, the right product, material or information at the right location.
KanBan (Card signal). It is a method to control the material flow in the manufacturing area. The needed stocks are close to the manufacturing. And the number of stocks will continuously adjust regarding the changing needs. Not too much or not too less.
Takt Time. The calculated time frame which is needed to process a product or information in order to fulfill the customer requirements. Takt time is calculated as the available hours over the customer demand.
Cycle time. The time which is needed to perform a work step or process.
Push-pull methodology. A push is where manufacturing is pushing the finished product to the customer while Pull is where the customer is pulling the product from the manufacturer. In Lean manufacturing, the pull system is used.
Visual controls. A technique for a simple control of the production processes and tools to identify fast process deviation  such as andon signals, Kanban signals, floor markings, information and metric boards, and work instructions.
5S. A systematic method in five steps to organize the work place.(Seiri = Sorting, put not needed material away. Seiton= Storage, a defined place for everything.  Seiso = Shinning, dispose dirt, waste, oil and others. Seketsu = Stadardizing, all rooms and places are equal. Shitsuke = Sustaining, regular reviews, control plans and others.
Standard Work. A standardized work process which includes the following elements; work steps, safety, visual display, timing and takt time. It is a tool for manufacturing of quality products, a basis for continues process improvements a documentation of a standard for a work process.
Kaizen (Kai=change; Zen=good). A method for process optimization. A series of one after the other following activities for improvements in a pre-defined area. This kind of activities can be performed in a time limited work shop (e.g. 5 days) over a longer time in several steps.
Poka Yoke. A method to design processes in that way that the occurrence of defects are not possible anymore. This applies to production as well as administration. The equipment can be designed in a way that no defect parts will be accepted in the process. Another good example is that form sheets for creditors and debtors have different colors.
Monument. Under monument, we understand large and not moveable equipments or work processes. The organization and or technical effort for a simplification or change would not be acceptable.
Spaghetti Chart. Displays the material and information flow between building and areas on the site.

Overall, production and manufacturing processes in accordance to lean principles are an industrial revolution, which are not limited to the automotive production or to Japan. The consequences should be similar like the change in spring 1914. At that time in Detroit, Henry Ford replaced the hand craft production by an assembly line. Within some month the time effort for the assembly of major parts of a car were reduced from 750 to 90 minutes.

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Hyundai Motors Part 1 – Hyundai Motors Success

Factors that have contributed to Hyundai Motor’s success:

• Brand Equity:
The initial failure of the Excel propelled Hyundai Motor to improve their product quality and regain consumer confidence by “adding an unprecedented 10-year/100,000-mile powertrain warranty—assurance to buyers that the car wouldn’t fall apart on the turnpike while speeding along in the passing lane” (Gidman 2007).

Due to its efforts, Hyundai Motor was able to reposition itself as a producer of affordable cars (with quality), and consumers overall confidence in the Hyundai brand improved. As a result, Hyundai Motor has since been recognized as a producer of quality cars which are reliable and affordable; being ranked 72nd in the 2007 Best Global Brand survey. Bunkley (2008) quoted senior director of automotive testing at Consumer Reports, David Champion, that Hyundai has made “phenomenal progress” in the quality and reliability of its vehicles.

Being focused on the consumer, and improving in areas such as quality, durability, value and warranty programs have contributed to the success of Hyundai Motor’s brand equity. The company’s focus on affordability and practicality, unlike its competitors (e.g. BMW choosing to focus on technology), set it apart from its competitors and contributed to its success. (Vasilash 2006)

• Product Differentiation:
By improving (augmenting) its cars’ exterior design and engineering, while still maintaining its affordability, made it appealing to consumers and improved its brand image (from being the “Worst Car Ever Made”); giving it a competitive edge. For example, “Hyundai’s sleekly redesigned flagship” – the Sonata – was equipped with “six airbags, electronic stability control and a long list of standard equipment, all for less than ,00″ (Muller & Meredith 2005). Hence, according to Muller & Meredith (2005), “Hyundai is now dictating trends that others must follow”: the company’s “success with cheap cars inspired General Motors to buy its own Korean company, Daewoo, to try to match Hyundai’s offerings”, and “Hyundai’s breakthrough ten-year, 100,000-mile warranty spawned extended warranty offers by Chrysler and Mitsubishi”.

Also, upgrading showrooms and operational standards (McVeigh & Feast 2006) helped to change (improve) consumers’ perception of the brand  from being the “Worst Car Ever Made” to a 72nd ranking in the 2007 Best Global Brand survey (Gidman 2007).

• Marketing Strategy:
Another factor that contributed to Hyundai Motor’s success was the company’s marketing strategy: after the Excel debacle, Hyundai Motor kept a low profile for a period and concentrated on building good quality cars before re-launching with assertive advertising. The assertive advertising helped Hyundai Motor to develop the brand element by capturing the brand’s intangible characteristics – durability and quality. For example, a “commercial for the Elantra showed a father negotiating a series of hair raising and frighteningly genuine stuns to the glee of his family in the back seat”: “up a ramp, through a ring of fire, over a trio of buses and into a handbrake turn. The commercial turned the traditionally mundane sedan into a hero.” (Finance Week 2005)

With such assertive advertising and slogans such as the Tucson’s “Pretty but tough”, Hyundai Motor’s brand image and consumer brand awareness improved, and sales soared; contributing to brand building (consumers’ perception of the brand). (Finance Week 2005)

• Change of Company Policy:
Hyundai Motor’s former policy of volume taking precedence over quality was soon replaced with building quality cars: the production of a car’s design would be stopped midway through its life cycle, or a car’s launch may even be delayed just so to resolve niggling issues (Muller & Meredith 2005). Top management was replaced with engineers (to get a more accurate perspective), and employees were encouraged to share their ideas for (generate) improvement with promised bonuses; boosting creativity (Muller & Meredith 2005). By doing so the company was even able to save cost. For example, as mentioned by Muller & Meredith (2005), after noticing that “the Sonata and the XG 350 sedans had differently shaped covers over their spare tires”, one employee managed to save the company 0,000 a year; by sharing the cover. Such measures helped the company to maintain their affordability, while not compromising on the durability and quality of their products.

Reference:
Bunkley, N 2008, ‘Hyundai joins list of 10 top car picks’, New York Times; 29 Feb, p.2

‘dog to darling’, Finance Week 2005, Ad Review, 20 Apr, p.21

Miller, S 2008, ‘Q+A: Hyundai thinks its luxe genesis will be a revelation’, Brandweek, vol. 49, issue 5, Feb, p.12

Muller, J, & Meredith, R 2005, ‘Last laugh’, Forbes Global, vol. 8, issue 7, Feb

Gidman J, Hyundai – Hazard Lights, Brandchannel.com, October 22, 2007 issue

Vasilash, G S 2006, ‘Customers & competitors’, Automotive Design & Production, vol. 118, issue 8, Aug, p.64-66

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Will my Hdmi 1.3 Cable I Use For my Playstation 3 Display Full HD 1080P For 3Dtv

The new 3D technology is coming at us fast and furious. So it is not surprising it is bringing a lot of confusion and uncertainness, especially when it comes it older hardware and it’s capacity to handle 3D pictures. Many believe if you want to enjoy 3D at Full 1080p video resolution, the new HDMI 1.4 cable is needed. And that the HDMI 1.3 cable will only produce a video resolution of 1080i for 3D.

If this was the case, older Blu-ray Players like PS3, which will become 3D capable in September 2010 and has a HDMI 1.3 output, will not be sufficient to produce images of 1080p when playing a 3D Blu-ray Disc. As of now, Sony’s PlayStation 3 is the only older Blu-ray Disc Player that will support 3D Blu-rays. All other 3D Blu-ray Disc Players are 2010 models and come equipped with the required hardware and codec already installed.

The truth is, that HDMI 1.3 cables can support 3D output. As long as the HDMI cable you are using is rated “High Speed” or better it will support Blu-ray 3D output at Full HD 1080p resolution. Two main components for a source device to handle 3D output are codes and meta data. Sony will have to includes these enhances via their 3D Firmware upgrade. Judging by pass upgrades, such as providing support for internal decoding of DTS-HD Master Audio, Sony should have no problems accomplishing this task.

The codec used to store 3D is Multiview Video Coding or MVC. It produces a Full 1080p frame for each eye and using only 50 percent more storage space than a 2D disc. The PS3 was created before the MVC codec, so Sony has to implement MVC support without changing any hardware. Also required from the PlayStation 3 is the ability to produce and receive, from the 3D display, the correct meta data in the communication which happens between any HDMI-equipped devices.

This communication is done via Extended Display Identification Data or EDID. It transfers information sent from a video display to a source over E-DDC lines to describe its capabilities. A 3DTV will used the EDID to see if they are 3D capable, and if the PlayStation 3 will work with the TV. Basically the PS3 must be capable to understand and react to this new EDID value sent by the 3DTV.

Once Sony has made the firmware available for you to upgrade your PS3 with the new 3D technology, you should have no problems with using a HDMI 1.3 cable. According to most experts, a HDMI cable should not be a great concern for consumers in regards to 3D. Mainly due to the fact HDMI cables and hardware are not being marketed with version numbers (1.3,1.4) anymore. When purchasing a HDMI cable you should come across one of the following: HDMI Standard, HDMI High Speed, HDMI Standard with Ethernet, HDMI High Speed with Ethernet, and HDMI Standard Automotive.

Instead of deciding what HDMI version number you need, your focus should be on what feature you require support for. Whether it be for Deep Color, Audio Return Channel or 3D. A High Speed HDMI cable will be able to transfer the signal from your PS3 to a 3DTV. Finding a High Speed HDMi cable should not be a issue since the vast majority of HDMI cables manufactured and sold during the past there years have been High Speed HDMI cables.

*** One thing to be aware of is that you will not be able to transfer a Blu-ray 3D signal through to a non 3D Audio/Video receiver. Because these older HDMI 1.3 Audio/Video receiver do not have the HDMI EDID language for 3D display capabilities, they are unable to transfer information from display to the source device (3D Blu-ray Player). A good work around to this problem would be to buy Blu-ray Players with dual HDMI outputs, such as Panasonic’s DMP-BDT350 or Samsung’s BD-C7900. ***


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