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Deloitte.Insghts

AreportfromtheDeloitteCenterforIntegratedResearch

Digitalleanmanufacturing

Industry4.0technologiestransformleanprocessestoadvancetheenterprise

AbouttheDeloitteCenterforIntegratedResearch

Deloitte’sCenterforIntegratedResearchfocusesondevelopingfreshperspectivesoncriticalbusinessissuesthatcutacrossindustriesandfunctions,fromtherapidchangeofemergingtechnologiestotheconsistentfactorofhumanbehavior.Welookattransformativetopicsinnewways,deliveringnew

thinkinginavarietyofformats,suchasresearcharticles,shortvideos,in-personworkshops,andonlinecourses.

Connect

TolearnmoreaboutthevisionoftheCenterforIntegratedResearch,itssolutions,thoughtleadership,andevents,pleasevisit

/us/cir

.

SupplyChain&NetworkOperations(DigitalSupplyNetworks)

TheUSSupplyChain&NetworkOperationspracticeadvises,implements,andoperates

transformationalsolutionsthatbringworld-classsupplynetworkcapabilities,operational

know-how,digitaltechnologies,andadvancedanalyticstodeliverunprecedentedclientvalue.Tolearnmore,visit

D

.

Contents

Aneweraoflean2

Whatislean?3

Digitalleanasagamechangerforcontinuousimprovement4

Digitalleaninmanufacturingplants:Leantoolsenhanced6

Benefitsofdigitallean9

Avoidingthechallengesofdigitallean11

Concludingthoughts:Awaytogetstarted13

2

Digitalleanmanufacturing

Aneweraoflean

L

EANPRINCIPLESHAVEplayedasignificant

roleindrivingefficiencyacrossorganizations

throughtheiremphasisoncostreduction,

focusonwasteelimination,andrelianceonlettingcustomerdemandsdriveprocesses.Althoughleanoriginatedinmanufacturing,itscoretenetsare

foundacrossmanykindsofenterprisesand

appliedindiverseways.Leancanworkinwhateverdomainitisappliedbecauseitprovidesadata-

basedapproachtodecision-making,emphasizingthetrackingofrootcauses.Leanisoften

consideredoptimalforidentifyinghiddenissuesandemphasizescontinuousimprovement.1

Theapplicationofleanprincipleswithina

manufacturingcontextextendsbackseveral

decades,eveniftheessentialideaofreducing

wasteanddrivingefficienciesexistedlongbeforetheterm“l(fā)ean”wascoined.Butleanaswe

understandittodayhascoalescedintoasetofprinciplesthathastransformedmanufacturing.

Fortheirpart,inmorerecentyears,Industry4.0digitalandphysicaltechnologieshavemade

possiblenewaccomplishmentsofspeed,cohesion,flexibility,andautomationthathaveforever

alteredwhatproductionlookslike.Advancesin

robotics,materials,andartificialintelligenceareallpoisedtobethefuturevanguardsofmanufacturingandbeyond.2

Asaresult,digitaltechnologiesandleanprinciplesareintersectinginwhatiscommonlytermed

“digitallean”—whichcanbeapowerfulcombination

oftimelessleanprinciplesandconstantlyevolvingdigitaltechnologiestodecreasewasteand

variabilityinprocesses.

Theemergenceofthisnewerabegsnewquestions:

HowdoIndustry4.0digitalandphysical

technologiesenhanceleanmanufacturing?Whatprinciplesofleanmanufacturingremainrelevanttoday,willberelevantinthefuture,andapplytocompaniesembracingdigitallean?Whataresomeofthebenefitsofdigitallean—andcommonpitfallsthatpractitionersshouldavoid?Howshoulda

practitionerevengetstarted?Thisreportaimstoanswertheseandotherquestionsinexploring

howIndustry4.0enablescompaniestobecomedigitallean.

WHATISINDUSTRY4.0?

TolearnmoreabouthowIndustry4.0signifiesthepromiseofanewindustrialrevolution—onethatmarriesadvancedproductionandoperationstechniqueswithsmartdigitaltechnologiesto

createadigitalenterprise—visitthe

DeloitteInsightsIndustry4.0collection

.

3

Whatislean?

ITHROOTSINJapaneseautomobile

manufacturingthatdatebacktothe

W

1930s,leanrepresentsasetofprinciplestominimizewaste,enablingmoreproductivetime.And,despiteitsmanufacturingpedigree,leancanworkinanyprocess-drivenenvironmentregardlessofindustry.Theendobjectiveofleanistoidentify—andeliminateorchange—anypartofaprocessthat

doesnotaddvalue.Insodoing,leanenables

quickerresponsestochangingcustomerdemandsandresultsinfasterandmorerobustproduction,increasedquality,andlowercosts.

Figure1depictstheseventypesofwastethatleanprocessescommonlyaimtoeliminate.3

FIGURE1

Thesevenkindsofwaste

Inventory

Workingcapitaland spaceusedforrawmaterials,components,andwork-in-progress

and?nishedproducts

Transport

Transportofmaterialsacrosslocationsthataddszerovaluetothe

wasteproduct

Movement

Movementof

personnelor

machinerythat

addszerovalueto

theproduct

thatincreaseslead

timetoful?ll

customerdemand

Defects

Materials,labor,andtimeusedtoproducenoncompliantproducts

Overproduction

Capacityutilizedtoproducegoodsthatarenotrequired

Overprocessing

Unnecessaryuseoftechnologies,technical

speci?cations,

oversized

equipment,and

resources

Waiting

No-value-addedtime

7typesof

Source:Deloitteanalysis.

4

Digitalleanmanufacturing

Digitalleanasagamechangerforcontinuousimprovement

D

IGITALLEANISnotanewsetoflean

principles,perse,butitenhanceslean

principlestomaketheirapplicationmorepowerful.Whilesystemsofrecord,suchas

enterpriseresourceplanning,oftenreporton

operationsastheyimpactcompanyandplant

financials,manydigitalleansystemsofinnovationproducedetailedinformationonallaspectsofa

process.DigitalleanusesIndustry4.0andother

digitaltoolstoprovidemoreaccurate,precise,andtimelyinformationaboutoperations.Itnotonly

helpsrealizeleanprinciplesbutalsoincreasestheimpactofcoreleantools,suchaskanban,whichwewilldiscusslater.Moreover,theincreased

availabilityofhigh-frequencydatafromIndustry4.0technologies,coupledwithgrowingprocessingpower,hasledtonewanalyticsandinsightsthatwerevirtuallyimpossibleseveralyearsago.

Thereductionofwaste:Traditionalvs.digitallean

Digitalleancancomplementthegainsfrom

traditionalleaninreducingthewastetypesduringproductiondepictedinfigure1.Digitallean

accelerateswasteidentificationandmitigationfasterthantraditionalleanmethodsbygiving

targeted,detailedinformationdirectlytothosewhocanreducewaste.However,digitalleanalsoprovidesanopportunitytotargethidden

componentsofwaste,suchasinformation

asymmetryandlatency,thatoftengounnoticedandthatcumulativelyadduptohighersupportcostsandreducedefficiencyandoutput,resultingintangiblebottom-lineimpact.

Figure2illustrateshowbothtraditionalleananddigitalleanprocessestypicallymitigatethesevenwastetypes.

Keyenablersofdigitallean

Digitalleangenerallyrequiresthreekeyenablersataplant,andeveryplantwillhavedifferent

immediateneedsacrossthethreeareas.4

GETTINGTHEDATA:ITANDOTCOLLABORATION

PriortoIndustry4.0,informationtechnology(IT)andoperationaltechnology(OT)weremostlytwodistinctareaswithlittletonooverlap.Tounlockitsfullpotential,digitalleanrequiresanintegrationofITandOT(controlsystems,industrialnetworks,etc.),whichbringsplantandoperationsdatato

plantandbusinessusers.

STANDARDIZEDPROCESSES:PROCESSANDDATAMANAGEMENT

Plantprocessesgeneratedatathatservesasinputfordigitallean.Butifprocessesarenotcarriedoutwithstandardizationanddiscipline,accurateandcontinuousdatacouldnotbeforthcoming.Asa

result,theimpactofadigitalleaninitiativewouldbemuted.Keyinthisregardistheroleofplantleadershipindefiningandenforcingprocessestoultimatelyprovidemoreaccuratedata.

BRINGINGTHEPROCESSTOLIFE:DATA-ENABLEDTECHNOLOGYPLATFORMS

AsimportantasITandOTcollaborationanddisciplinedprocessanddatamanagementare,relevanttechnologicalplatformsshouldbe

5

leveragedtotrulyharnessthebenefitsofdigitallean.Whenchoosingatechnologyplatform,suchasadigitaltwin,organizationsshouldbesureto

considerfactorssuchasplatformflexibility,integrationwithothersystems,anddata

administration.

FIGURE2

Howdigitalleancanimproveontraditionalleanwastereduction

Wastetype

Whattraditionalleanidentifiesandmitigates

Howdigitalleanimprovesontraditionallean

OverproductionTraditionalleanmitigatesthe

overproductioncausedbythe

asynchronizationbetweendemandandsupply,includingdelayeddemandsignalsandrigidprocessesconstraints.

Digitalleancanprovidereal-timevisibilityintothevaluestreamtoproactivelyadjustcapacity,avoidingthebuildingofgoodsthatarenotrequired.

Inventory

Instabilityacrossthevaluestreamis

oftenabsorbedinadditionalinventory.

Leanmethodsallowproductstobe

manufacturedonlyinthequantityneededandatthetimerequired.

Digitalleancanenhanceoperationswith

real-timevisibilityofthework-in-progress

inventorythroughouttheproductionprocesstoidentifyunexpectedinventorybuildup.

Defects

Poorproductdesignandprocesscontrol

increasedefectsacrossthevaluestream,

causingreworkorscrap.Traditionallean

canhelpreducedefectsbyestablishing

standardsinthewayassetsaremaintained,processesaredefined,andproductsare

designed.

Digitalleanhelpsidentifythepreciseasset,processstep,orproductfeaturethatis

causingdefectsandreducingfirst-passyield.

Overprocessing

Traditionalleancanhelpavoidprocessingnotrequiredbythecustomerthatis

performedacrossthevaluestream,suchasoverinspectionorunnecessaryhigh

tolerances.

Digitalleanconnectsandintegratesthelifecycleofaproduct(andthevaluestream)

throughadigitaltwin:acontinuousthreadofdatamirrorsdevelopment,production,

andusethatstretchesfromtheinitialdesignthroughthelifetimeoftheproduct.

Waitingtime

Unbalancedoperations,bottlenecks,

downtime,andpoorproductionplanning

increasethewaitingtimealongtheprocess,whereemployees,materials,andassets

arenotaddingvalue.Traditionalleanapproacheshelpmitigatewaitingtime.

Digitalleanreduceswaitingthroughdynamicreroutingofoperationsbasedonupdates

onthereal-timestatusofassets,quick

identificationofbottlenecks,andmultiplesimulationsofoptimizedscenarios.

Workermovement

Poordesignofproductionlinesand

cellsincreaseunnecessarymotionfor

operatorstocompletevalue-addedtasks.Leanprocessesaddresstheseadditionalmovementsthatdonotaddanyvalue

totheproductandcontributetolongerproductiontimes.

Digitallean,throughanalyzingperformancedataorusingaugmentedandvirtualrealitysimulations,canbetterinformthedesignoflayoutsandequipmenttooptimizeworkermovement.

Transport

Leanreducesthenonlinearprocesses—orprocessesscatteredacrosstheshopfloor—thatrequiretransportationofmaterials

fromdistantstoragetothepointofuse.

Digitalleancanquantifytheamountoftransportationtimerequiredperproductorprocess,enablingtheidentificationofopportunitiestobetterstreamlineand

organizetheshopfloor.

Source:Deloitteanalysis.

6

Digitalleanmanufacturing

Digitalleaninmanufacturingplants:Leantoolsenhanced

A

SDISCUSSED,THEcoreprinciplesoflean

canhelpusidentifythetypesofwasteto

eliminate.However,astheseprinciplesarethematic,itisimportanttodrilldownalevel

furthertounderstandthetacticaldriversof

traditionalanddigitalleanthataffectthemoregranulartasksandactivitiesinamanufacturer’sleanprogram.

Take,forexample,thecaseofamedicalequipmentmanufacturer.Inthatenvironment,thecredomaybetocraftahigher-qualityproduct,yettherearesomanywaystodosobyinnovatingorimprovingthepeople,processes,ortechnologiesontheshopfloor.Withhighmoraleandrobusttraining,a

worker’sproductivityandattentiontodetailmayincrease.However,youcouldalsofurtherthat

visionbyutilizingnewdigitalleancapabilities,

suchasasmartscrewdriverthatcapturestorquevaluesandrunsanalyticstodeterminewhetherafasteneriscorrectlyinstalledorwhetheraninputmaterialisdefective.Ascompaniestransitionfromtraditionaltodigitallean,itisimportantthattheyunderstandthedigitalextensionofeachleantool,

andwhetherthatextensionwilladdvaluetothetraditionalapproach.

Eachtraditionalleantoolservesauniquefunction onthemanufacturingfloor.Forexample,tocreate aconsistentproductionflow,amanufacturermay turntoheijunka,aschedulingmethodologythat“l(fā)evels”productiontobalanceandoptimize

workloadsacrosstheplantfloor.Asanother

example,judiciousapplicationofkanbansignalswhentheinboundflowofmaterialsorproductsisneededjustintime.Adifferentleantool,total

productivemaintenance,maybethetoolofchoicetoproactivelyaddressequipmentperformance,

eliminatebreakdowns,orensurethatoptimizedproductionflowsarenotdisrupted.5

Theapplicationofthekeyenablersmentioned

above,whenpairedwiththetraditionallean

methodsandtools,formtheheartofthedigital

leantransformation—inessencemakingleantoolsdigital.Figure3providesmoredetailonhowjustafewleantoolscanbeextendedtodigitallean.

7

FIGURE3

Digitalleanextendsthereachoftraditionalleantools

Leantool

Definition

(traditionallean)

Traditionalleanexamples

Digitalleanexamples

KanbaniAsignalingmechanism

usedtocontrolworkandindicatethe

needforresourcereplenishmentorprocessstatus

Binsarefilledwithin-

processcomponents

ataworkstation.Onceparts/rawmaterials

areconsumedtoa

predeterminedlevel,

operatorsfrompreviousmanufacturingsteps

realizetheyhavetoreplenishthebin.

?Auto-IDtechnologysuchasRFID

sensorscanbeappliedtotrackunit-

levelparts/materialconsumptioninrealtime,triggeringreplenishmentactivityautomatically.

?OtherIndustry4.0technologies,such

asthedigitaltwinandmachinelearning,cansimulateandoptimizekanbanbinquantitiessuchasstockanddelivery

frequency.

Total

productivemaintenance

(TPM)ii

Asystemthatoptimizesequipmentperformanceandworkflows

TPMistypically

performedperiodicallybasedonruntime,

cycles,andothercriteriatoserviceequipment

beforeafailurewouldtypicallyoccur.

?

Advancedsensorsandmachinelearning

algorithmsenablepredictivemaintenance,whereequipmentisservicedbasedon

sensorconditionsontheequipment(e.g.,vibration,force,temperature).Thisenablesextendingmaintenanceintervalswhile

simultaneouslyreducingfailureevents.

Heijunkaiii

Atraditionalschedulingmethodology

formultiproduct

environments,whereproductionis“l(fā)eveled”bystrategically

alternatingtheproduct

mixtobemanufacturedinagivenperiod

Establishingthesizeofproductionrunsontheheijunka“wheel”isoftendoneperiodicallydue

tothecomplicationofcalculatingtheidealrunsizeforeachturnofthewheel.

?

Advancedanalyticscanstabilizeplanning

byusinghistoricaldatafromprevious

productionrunstocreateoptimized

schedulesbasedonmachineavailability,

processquality,andresourcerequirements.

3P

(production,preparation,

process)iv

Acollaborative

processinwhich

cross-functionalteamsusecrudephysical

representationsof

themanufacturing

environmentstocreatenewprocessesand

products

Aspartofa3Pexercise,companiesoften

constructcardboardor2x4mock-upsoffuturemanufacturinglines,

takingsignificantspaceandtimeandlikely

creatingwaste.

?

?

?

EquipmentconnectedtotheIndustrialInternetofThingsandmoreadvanced

aggregationofprocessandproductiondataallow3Ppractitionerstoideateanddesignbasedontrue“hotpoints”intheirproductionenvironment.

Digitallyrenderingthenewlydeveloped

productlineorprocessyieldsmany

benefits,including,butnotlimitedto,

interactionwithcontributorswhocan’tbephysicallypresent(sistermanufacturing

sites,suppliersofmachineequipment,etc.),whicharenotpossiblewiththetraditional3Papproach.

The3Pteamcanusethedigitaltwinwithdataanalyticstosimulatetheprocessestotroubleshootthedesign,optimize

parameters,andexploreadditionalimprovementopportunities.

Sources:i.LaukikP.Raut,RajatB.Wakode,andPravinTalmale,“Overviewonkanbanmethodologyanditsimplementation,”InternationalJournalforScientificResearch&Development3(2015):pp.2518–21;ii.TinaKantiAgustiadyandElizabeth

A.Cudney,TotalProductiveMaintenance:StrategiesandImplementationGuide(BocaRaton:CRCPress,2016);iii.Andreas

Hüttmeiretal.,“Tradingoffbetweenheijunkaandjust-in-sequence,”UniversityofLausanne,(2009);VillanovaUniversity,“Whatisheijunka?,”updatedFebruary6,2018;iv.PaulinaRewers,JustynaTrojanowska,andPrzemys?awChabowski,“Tools

andmethodsofleanmanufacturing:Aliteraturereview,”proceedingsofthe7thInternationalTechnicalConference,CzechRepublic,2016,pp.135–139;Deloitteanalysis.

8

Digitalleanmanufacturing

GLOBALPLASTICSLEADERGOESDIGITALLEAN

Agloballeaderinplasticshadlongpracticedtraditionalleanprinciplesinitsmanufacturing

processes,butthecompanystilllackeddatavisibilityandprocessstandardization.Asaresult,thecompanyexperiencederodingmarginsfromlostmanufacturingproductivityandwasunabletomeetitsaggressivesustainabilityandinnovationgoals.

Toachieveproductivity,sustainability,andinnovationtargets,thecompanyembarkedonadigitalculturetransformationandanewsetofdigitalleancapabilities.Specifically,thecompanybuilta

digitalmanufacturingcorebycapturinghigh-frequencymachinedatainanoperationalhistorian,essentiallyatime-seriesdatabaseapplication.Itthenleveragedconnectedassetdataand,applyingleananddigitaltechniques,improvedperformancefurther.Thecompanyalsosoughtbuy-infromkeystakeholders,particularlythosewhoinfluenceuseradoptionontheproductionfloor.The

finalstepwastointroduceachiefdigitalofficerandnewcross-businessunitteamstoownthedigitaltransformation.

Thetransformationfromleantodigitalleanisexpectedtogenerateimprovementinearningsbeforeinterest,taxes,depreciation,andamortizationofUS$20millionannually,reducecostsby15%per

lineperyear,andimproveoverallequipmenteffectiveness(OEE)by11%annually.Perhapsmoreimportantly,thetransformationinstilledadigitalmindsetintheorganizationalculture.6

9

Benefitsofdigitallean

W

HENDIGITALLEANisimplemented

successfully,organizationscanexpectto

reducecostsandimprovequality,in

turnleadingtobetterproductivityandastrongerreturnoninvestment(ROI)whencomparedwithindividualdigitalortraditionalleanimprovementprojectsimplementedinisolation.

Anewproductivityfrontier

Amanufacturerthatrelentlesslyfocuseson

eliminatingwasteandcontinuouslyimprovingthe

manufacturingprocessarmedwithonlytraditionaltools,suchaskaizen,canmakegreatprogress

initially,butitsproductivityincreasestypicallyshrinkovertime.7Withdigitallean,the

manufacturercanbuildonitsleanfoundationandleveragenewtechnologies,suchasmachine

learningandpredictivemaintenance,tosolve

previouslyunsolvablebusinessproblemsand

unlockpreviouslyunreachableproductivity

frontiers.Ageneralprogressionofoptimizationisshowninfigure4.

FIGURE4

Optimummanufacturingperformancerequiresnewtools

DrivesvaluethroughdisruptionReducesvariation

tomorrow(digital-enabled)

Fromtoday(lean)to…

Plantenergymanagement

Augmentedworkforce

Factorydynamicscheduling

Complexitybarrier

Value

Factoryassetintelligence

Qualitysensing&detection

Digitalmanufacturingtransformation

optimizationcurve

FullyintegrateddigitaloptionsreleasethecompletepotentialofIndustry4.0

Six

Sigma

Learn

Traditionallean

Labor

arbitrage

optimizationcurve

E?ort

Sources:Deloitteanalysis;ChristopherPrinz,NiklasKreggenfeld,andBerndKuhlenk?tter,“LeanmeetsIndustrie4.0:Apracticalapproachtointerlinkthemethodworldand

cyber-physicalworld,”ProcediaManufacturing23(2018):pp.21–6.

10

Digitalleanmanufacturing

Intensemanagementpracticesandtechnologydeployment

driveROIandenhanceperformancemeasures

Thereisclearbusinessvalueintraditionallean

improvementandtechnologyorITimplementationprojects.However,whenmanufacturersimplement

digitalsolutionscombinedwithintense

managementprocesses(includinglean,SixSigma,etc.),manymanufacturerscanachievehigherROIwhencomparedwithlower-intensitydeploymentsordigitalprojectsimplementedinisolation.Digitalleanalreadyunitesdigitalwithmanagement

practicestosolvebusinessproblems.An

organizationthatusesdigitalleanwithintensityonapplicable,high-valuebusinessproblemscan

potentiallyexpecttoseethegreatestreturns.8

Moreover,digitalleantransformationsandimprovementprojectstargetlong-established

performancemeasuressuchasimprovingOEE,reducingcost,andimprovingsafetyand

sustainability.Whenapproachingtheplateauofthetraditionalleanoptimizationcurve,

manufacturershaveseenconsiderableincrementalvalueacrossalltraditionalmeasuresbyfocusingondigitalleanimprovements,asfigure5suggests.

Therangesinfigure5arepercentagesofavailableopportunityandaredrivenbyseveralfactorsthatshouldbeevaluatedduringbusinesscase

development.ToachievethegreatestROI,

manufacturersshouldfocusdigitalleaninitiativesandprogramsinthelargestareasofopportunity.Thesegenerallyincludeunlockingthecapacityofconstrainedassets,improvingstrategicasset

efficiency,decreasingcomparativelyhightotal

costsofpoorquality,decreasinglaborspend,anddecreasingoreliminatingunnecessaryraw

materialcost.

FIGURE5

Digitalleanbusinessopportunityandvalue

POTENTIALBENEFITS

Improvedassete?ciency

10–20%

OptimizedcapacityAssetutilization

ChangeovertimeDowntime

Improvedquality

10–35%

ScrapratesFillrate

Yield

Leadtimes

Reducedcosts

20–30%

Laborcost

Sourcingcost

InventorylevelsMaintenancecostWarrantycost

Improved

safetyandsustainability

3–10%

Safetyincidents

EmployeesatisfactionSustainablepracticesEnvironmentalimpact

Overallequipm

ente?ectiveness

Source:Deloitteanalysis.

11

Avoidingthechallengesofdigitallean

T

RANSFORMINGTODIGITALleanwillcome

withchallenges.However,thesecanbe

overcomewithanunderstandingofitscommonpitfallsandproperplanning.

Focusonvaluefirst,technologysecond

Whenimplementingnewtechnologies,

manufacturersoftengetcaughtupinadigital

programthatdoesnotfocusonsolvingthemosturgentbusinessproblems,butratherexploresatechnology.Poorlytargetedtechnologyprojects

andprocessimprovementscanleadtoprogram

fatigue(“pilotpurgatory”or“randomactsof

digital”)andevennegativereturnsforabusiness.Thiscanbeavoidedbyconductingadetailed

assessment,ensuringinitiativesaligntowhere

thereisopportunitytocapturevalue,and

developingrigorousbusinesscasesthatcanbe

trackedduringimplementation.Eachdiscrete

initiativeshoulddriveimprovementofagreed-

uponoperationalmetrics(orkeyperformance

indicators)thatcanbelinkedtohardfinancial

benefits.Asinitiativesareimplemented,metricsshouldbetrackedandreportedtoensureprogramvalueiscaptured.

Choosetherightstartingpoint

Beforelaunchingadigitalleaneffort,itis

importanttoidentifytherightstartingpoint.Often,companieschooseawell-understoodplantorlineonwhichtofocus.However,withinthatplantor

line,theywillneedtoevaluatethepeople,process,andtechnologyreadinesstochoosetheexact

startingpoint.

CHANGEMANAGEMENT

Digitalleantransformationsrequirepeopleto

learndifferentwaysofworking,behaviors,and

decision-making.Askyourselfquestionssuchas,doestheplantleadershipmakechangesstick,oristhisastruggle?Aretheoperatorsresistantto

changehowthey’vebeenworkingforyears,

possiblydecades?Willtheoperatorsandleadersbelievethedataortheirexperiencemore?Isthereachangemanagementprograminplacetoguidethetransformation,orwillitneedtobedeveloped?Theanswerstothesequestionsaboutatargetplantorlineshouldhelpdeterminetheplacetostart

digitalleanefforts.

12

Digitalleanmanufacturing

CONSISTENCYINPROCESS

Moreover,leanprinciplesfocusonreducingwasteand,asaresult,reduceprocessvariation.Digitalleanaccomplishesthisobjectivemoreefficiently.Whenchoosingastartingpoint,itisbeneficialtostartwithaproblemtosolvewheretheproductionprocessisconsistentandiswellknownbythe

plant.Questionstoconsiderinclude,istherelevantstandardavailableanduptodate?Howrelevantistheactualproductionprocess?Isproduction

performancetrackedrigorously?Istherea

continuousimprovementgrouporprocessin

place?Arerootcausesofdefectsandmaintenanceissuesclearlyunderstood?

TECHNOLOGYENABLEMENT

Often,digitalleaninitiativesrequireasolid

foundationoftechnology.Forexample,doesthefacilityhavesatisfactorynetworkconnectivity?Iscriticalprocessdatacurrentlybeingextractedfrommachinesandotherprocessstages?Ifso,isthe

datainaformatthatisdigestible?Enablingthetechnologytocapturedataisoneofthe

foundationalstepstobecomingdigitallyleanandrealizingthepreviouslymentionedbenefits.

Don’tjustassumestakeholderbuy-in—secureit

Fewpeoplelikechange.Overcomingthe“thisishowwe’vealwaysdoneit”mindsetischallenging.Engagingtheworkforceearlyandoftencanbe

criticalforanydigitalleaninitiative,including

expressingthevalueofthetooltoevery

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