Successful Cellular Lean Manufacturing Implementation

Implementing Cell Manufacturing

This article describes in outline the process used to cellularise a manufacturing environment in accordance with lean manufacturing principles.

This type of change can typically deliver, labour savings of 20-30% and reduce WIP and lead times by 50%; generating significant cash and making the typical payback period for such a project short indeed. However, similar benefits can be gleaned in non-manufacturing environments. See the article Implementing Lean Manufacturing in Non-Manufacturing Environments.

Step One: The Lean Manufacturing Diagnostic

There are several pitfalls to avoid but often a very beneficial first step in ensuring that a lean manufacturing implementation works is diagnosing exactly what's needed and assessing what can be achieved, with what resources and by when. For a cellular lean manufacturing implementation it's often appropriate to do this with a brief diagnostic project as explained in our article: Lean Manufacturing Consultancy - Step 1. Diagnostic . Such diagnostics can be undertaken relatively quickly, depending upon the scale and complexity of the manufacturing system. If some members of the executive team are more sceptical about the benefits, it may be worthwhile investing a few more days in the diagnostic to provide more quantitative illustrations of the need for change.

Depending upon the time invested in the Diagnostic, outputs will typically include:

A presentation to the business' executive team including.
Quantitative illustrations of the need for change e.g. representative examples of waste.
A rough-cut cost/benefit analysis
An outline or draft of a lean manufacturing change programme
A set of terms of reference for each lean manufacturing project proposed.

In the event that the need for a lean manufacturing implementation is understood to be overwhelming by the organisation's executive team, and a Diagnostic isn't necessary, don't risk launching a programme or project without a formal sets of terms of reference.

Step Two: Selecting the Team

One of the major causes of failure for any significant change programme e.g. a cellular lean manufacturing implementation is a reticence to address it with a full-time multi-disciplinary team. The reasons for not doing so can often seem overwhelming, but in our experience for all but the simplest changes it is a fundamental pre-requisite for success. That's not so surprising when one considers that a cellular lean manufacturing implementation is often primarily about re-engineering manufacturing into dedicated multi-disciplinary teams. See our article: Cellular Manufacturing With A Lean Manufacturing Consultant. Don't risk putting core team members even say 75% on such critical projects. Inevitably the 25% of their "business-as-usual" workload will flex, and before long they'll be sucked back into their operational role, because the need to fight today's fires will very often eclipse tomorrow's development programme. It's best to make the break a clean one. What is often surprising to executives who have braved the decision is how few problems are caused by making those people that you thought "business-as-usual" couldn't do without, full-time members of the team. It really is worth it.

A cellular lean manufacturing implementation team will be comprised from a variety of roles, and those core members who will be on the team full-time should have the capability to deliver about 90% of the project deliverables.

Team Leader (full time)
Manufacturing Engineer (full time)
Production Planner (full time)
Maintenance Engineer (full time)
lean manufacturing consultant (full time)

For such projects the Team Leader is often a manufacturing manager - who will have a senior role in the final lean manufacturing implementation and therefore will be a key stakeholder in the project's success. From time to time, additional resources will be necessary which can't be justified on a full time basis. E.g. a facilities buyer, who may be required to contract with suppliers on behalf of the maintenance engineer. Roles such as this, can sensibly be integrated into a lean manufacturing implementation team on a part-time basis.

Step Three: Lean Manufacturing Training and Project Planning

Ignoring this step is a substantial false economy. To many members of the team, the principles involved in say a celluar lean manufacturing implementation will be new. Investing time and money up-front in training and project planning ensures that the team is aligned, understands where they're going and have enough of an understanding to plan the project. At this stage its also worthwhile developing a formal communications plan, to ensure that all stakeholders are communicated with appropriately throughout the duration of the assignment.

Step Four: Data Collection, Analysis & Concept (Steady-State) Design

This part of a cellular lean manufacturing implementation involves segmenting similar processes into groups, mapping the generic processes and identifying sources of non-value-added activity. At the end of this stage the key deliverable is a concept design for a cellular manufacturing architecture, with resources assigned, based upon average / steady-state conditions. See our article: Lean Manufacturing Consultants - Step 4 Concept Design

Step Five: Dynamic Design & Detail Design

It is at this stage that the new cellular manufacturing architecture is simulated. Don't be tempted to use a computer based simulation model, even if the graphics are wonderful. Better to simulate the way in which the new system will work using a manual table-top simulation. This is effectively like playing a board game, but everyone will understand exactly how the cellular lean manufacturing implementation will work. See what happens when demand rises by 30%. Can the new system cope? When does it begin to break down? How much work-in-progress inventory is required? What are the main causes of it? How can it be sensibly reduced? Once these issues are answered the development of detailed procedures, guidelines and documentation need to be pulled together in preparation for step six. See our article Lean Manufacturing Consultant - Step 5 Dynamic Design

Step Six: Lean Manufacturing Implementation

This involves building inventory to cover the moving of machines, the moving and re-commissioning of the plant and equipment, the pulling together and training of the cell teams in the new processes and procedures, and the management of any redundancies. See our article Lean Manufacturing Consultancy - Step 6 Implementation

Step Seven: Post Implementation Audit

After a few months, its worth inviting your lean manufacturing consultant back for a day or two, to check how things are going following the cellular lean manufacturing implementation. What things are performing well? What things aren't working as they were expected to? What corrective actions need to be taken before any potential bad habits become too embedded.

Cellularisation is just one of a lean manufacturing consultant's tools. For a more complete overview see our article: Lean Manufacturing for more information on tools and techniques.

A Lean Manufacturing Implementation in A Non Manufacturing Environment?

No it's not necessarily a contradiction in terms. Although it may not seem obvious at first, many lean manufacturing principles can be applied equally to office based processes. See our article: Implementing Lean Manufacturing in Non Manufacturing Environments.

Feel Free to Get in Touch

Executive Interims - Supply Chain Practice is a specialist provider of supply chain consultancy and interim management services. If you'd like to know more about what a lean manufacturing implementation can do for your business feel free to contact us.