June 13, 2019 Industry Forum Blog There was a time in the not-too-distant past when a company could create a notable product and reap the benefits of that product for many years. However, today’s market is far more competitive than it used to be and companies now face the prospect of market saturation for single product designs. This can cause revenues and profits to decline and limit the growth potential of a business. Aspirational growth targets are fundamental to future business strategy and a large part of achieving this growth will involve the introduction of new opportunities and new products into the business. A desire of every growing organisation is to achieve product launch excellence while bringing new products to the market. In doing so building on stable foundations is critical to success. A well-defined product and technology roadmap element will help to align an organisation’s development efforts and efficiently manage product lifecycles while meeting customer needs. This element will play a key role in linking NPI to business strategy, including a definition of what new products or technology will contribute towards business growth targets. An analysis of your product portfolio and costing model will help to bring to the surface profitable solutions that already exist in an organisation. Product evolution of these focussed Product Market Groups will work as a good input for business development and help to align new opportunities with existing commercial strengths in the business. NPI projects are often not given sufficient priority in the business to have specific project management resources allocated to them. It often falls to a single function to run new product launches in amongst their other responsibilities, with limited cross-functional support. This can result in a late launch into manufacturing with incomplete information and a stressful push through the final production stages in an attempt to deliver on time to the customer. Resources within an organisation should be channelled through an effective Sales & Operations Planning (S&OP) process. S&OP link with NPI will help to manage resource and capacity balance while introducing new products in the business. In an effort to improve timelines and effectiveness of a product launch, a number of organisations are experimenting with different best practices in their NPI processes. A big question is what should they do first? A good starting point is to do some internal analysis and identify strengths and weaknesses. Earlier this year Industry Forum launched a free NPI self-assessment tool to help organisations start their NPI improvement journey. If you have not already done so here is your chance to complete the free NPI self-assessment. Complete the NPI self-assessment.
June 13, 2019 Industry Forum Blog Manufacturing companies have a range of strategies they can choose from in order to compete in their marketplaces – from Lowest Cost Provider, to Niche Service Provider and Product Differentiation, each brings its own challenges. However, for individual manufacturers, competitiveness is more likely to be connected to their local operating environment and the challenges this brings. Assessing a company’s competitiveness allows the business to understand what is important to them, and what they should focus on at each point of their growth journey. Understanding their performance and capability enables manufacturers of all shapes and sizes to grow in an appropriate way. Measuring and improving a company’s competitive performance is at the core of the NMCL framework. The NMCL assessment measures a company’s performance against 6 criteria: Quality Cost Delivery Flexibility Product & Technology Customer experience The company may choose to compete on one or more of these themes. The NMCL assessment will reflect each company’s view of itself (Company Competitiveness pre-review), and compare that with the view of the customer (Customer Competitiveness view) and the outputs of the NMCL assessor-led Company Capability Assessment. The result is a 360 degree view of the company’s position within its business environment, and crucially, this generates a strategic plan and business case to improve its competitiveness over a 2-4 year period. The assessment model covers 4 company capability areas: Competitive Strategy & Management Systems New Product Introduction & Lifecycle Management Manufacturing Operations Supply Chain Management Delving deeper into Manufacturing Operations – “the use of labour, machines, tools, processing, or formulation to add value to material and produce a good for use or sale”, it encompasses: The layout of people, material and equipment The evaluation and development of the capabilities of people and equipment Asset and workforce utilisation planning and management The Manufacturing Operations section of the NMCL Assessment has the following subsections: Plant & Equipment Operational Processes Working Environment Quality Management People Capabilities & Organisational Structure Energy, resource and material disposition The purpose is to identify areas of current performance that are a priority for improvement – either by mitigating ‘order losing’ performance, or by generating competitive advantage by shifting toward ‘order winning’ performance. For example, by implementing robust Problem Solving Techniques in order to meet customer expectations on delivered quality and eliminating repeat concerns, or by re-designing the information and material flows to provide faster response to customer demand through Mapping and Improving the Value Stream. A full list of the types of Manufacturing Operations Work Package support available through NMCL is listed below: Manufacturing Operations Plant & Equipment TPM Principles and Approach Loss Analysis & Improvement Training and Education Pillar Principles Operator Level Maintenance Principles Planned Maintenance Principles New Equipment Management Pillar Principles Lean Operational Processes & Working Environment Identifying the Improvement Activities Required 5S Workplace Organisation Managing Standard Work Across the Business 7 Wastes Visual Management Mapping and Improving the Value Stream Quick Changeover – SMED Quality Management Principles of Manufacturing Quality Management Measuring and Managing the Cost of Quality Problem Solving Techniques Documented Problem Solving Process Understanding High Level Processes (SIPOC) Error Prevention Systems (Poka Yoke) Six Sigma Variation Reduction Toolset and Managing Variation Measurement Managing Measurement Systems and Calibration Measurement First Principles Metrology Skills Measurement Process and Standardisation Good Practice in Measurement Techniques Overhead Cost Management Cost Benefit from Recycling and Energy For further information, visit the NMCL website. Industry Forum is a NMCL Approved Improvement Provider to the NMCL Programme and is approved to provide improvement solutions across all four capability areas. To find out more about how we can support you on your NMCL journey, please email [email protected]
June 13, 2019 Industry Forum Blog Deeper inspection and analysis of both the global and UK top nonconformities shows that in actual fact, local challenges are replicated globally as the top three are shared by all territories. United Kingdom Global 1. 8.5.1.1 Control plan 10.2.1 ISO 9001 Nonconformity & corrective action 2. 10.2.1 ISO 9001 Nonconformity & corrective action 10.2.3. Problem solving 3. 10.2.3. Problem solving 8.5.1.1 Control plan Read Industry Forum’s Principle Engineer, Adam Woodward’s blog on the common challenges and how to address them in your organisation: 8.5.1.1 Control plan IATF 16949 2016 requires organisations to: Develop control plans (in accordance in with Annex A) at the system, subsystem, component and/or material level for the relevant manufacturing site and all product supplied. 9.1.1.1 The organization shall verify that the process flow diagram, PFMEA, and control plan are implemented, including adherence to the following: measurement techniques sampling plan acceptance criteria record of actual measurement values and/or test results for the variable data reaction plans and escalation process when acceptance criteria are not met. IATF rules 5th sect 5.8 each on site audit shall include the assessing and evaluating of at least the following: p) the effective implementation of the control plan, FMEA, and associated documents during the audit of manufacturing IATF UK Trend The 3rd party audit process is identifying a number of major issues with the content and implementation of control plans: Links between the PFMEA and control plan and the cascade of special characteristics into the process documentation and process. Process flow, PFMEA and control plan alignment to ensure all process steps are covered and controlled. The control plan does not reflect the process being observed. Changes have been made to the process and are not included in the PFMEA and control plan. Control plans do not always exist for the process being audited. Benefits of Control plans The control plan reduces waste and improves the quality of products during design, manufacture and assembly. Control plans identify process characteristics and the control methods for the sources which cause variation in product characteristics. Control plans focus resources on processes and products related to characteristics that are important to the customer. The proper allocation of resources on major items helps reduce costs without sacrificing quality. As a living document, the control plan identifies and communicates changes in the product / process characteristics, control methods and characteristic measurement. Control plans (more than just paper) The key principle to understand is that the control plan is a live document, so there should be regular scheduled reviews to confirm its effectiveness. Refer to the requirements in IATF 16949:2016 Clause 8.5.1.1. If the nonconformance level is unacceptable, then investigate if nonconformance is related to incorrect/insufficiently robust definition within the control plan. When investigating conformance or auditing a process: Start with the control plan and look at the amount of alignment between its content and the actual process. See IATF 16949:2016 Clause 7.2.3. 10.2.1 Nonconformity & Corrective Actions ISO 9001 2015 states:- When nonconformity occurs, including any arising from complaints the organisation shall: a) react to the nonconformity and, as applicable: Take actions to control and correct it; Deal with the consequences b) evaluate the need for the actions to eliminate the cause(s) of the nonconformity, in order that it does not recur or occur elsewhere. IATF in rule 5th sect 5.11.5 defines in cases where the accepted corrective actions plan for a minor nonconformity is found to be not effectively implemented, a new major nonconformity shall be issued against the corrective action process and the previous minor nonconformity reissued as a major nonconformity. IATF Global Trend The global trend shows that organisations are not taking effective corrective actions on the issues which are identified during the 3rd party audits, and their problem solving processes are not effective in addressing these issues. Therefore, during surveillance audits repeat nonconformities are being identified with the addition of another major nonconformity being recorded around the corrective action process. The Key The key to successful Problem Solving is to find the root cause of the problem and eliminate it. If the root cause is not identified clearly, then it is tempting to resolve the effect or the symptoms instead. Although the problem may be temporarily “fixed”, the root cause will happen again – it is like a dandelion, it will continue to grow until the root is removed. The cycle of repeatedly resolving the effect is known as Fire-Fighting, and can be very costly as it consumes resources (time, materials etc.). We should avoid this wherever possible. Problem Solving Problem solving can be defined as a process to identify root causes. It aims to resolve problems using a structured, team-based approach. Problem solving by nature is a reactive process. When an organisation first approaches the implementation of problem solving it is usually based on the response/reaction to some failing processes. As the organisation improves, the approach to problem solving changes and can now be used to drive improvement rather than just reacting to complaints and concerns. The ultimate goal of effective problem solving is to apply the lessons learnt to predict failures before the failure occurs. We need to consider as an organisation: What is a problem? How to detect problems When to use problem solving? The Solution Industry Forum offers training and support related to Effective Problem Solving and Core Tools implemention including control plans so if you are interested and would like to find out more then please contact us at [email protected]
June 12, 2019 Industry Forum Blog We have developed this handy FAQ in order to answer your questions about the AIAG/VDA FMEA alignment. Will the new AIAG/VDA FMEA replace the current version AIAG 4th edition? The new book has been released as AIAG/VDA FMEA 1st edition 2019 and is not designed to be the 5th edition version for the current blue books. The current version of AIAG blue book 4th edition will no longer be subject to update but still remains current and relevant at the present time and mandated by some OEMs. IATF are not mandating this as the approach to FMEA and the approach to FMEA will still be driven by the Customer Specific Requirements. Has the new approach been mandated? No, it is not mandated by any OEMs to adopt this approach at present and is not mandated by IATF. Organisations will only need to meet this requirement if their customer mandates it in the future, or they choose to adopt this approach. Again, this would be subject to agreement with the customer. Will SMMT Industry Forum be offering training? Yes, SMMT Industry Forum offers an AIAG/VDA Combined FMEA Awareness Course (1 Day) which is intended for delegates who have knowledge of the current approach to FMEA to explain how the new approach affects them. We will be delivering the new AIAG & VDA Process FMEA: Transitioning for Practitioners (2 Day) training on how to create and fully implement the new AIAG/VDA approach. Will SMMT Industry Forum’s current FMEA training include the new approach? The current version of our FMEA training is based on the AIAG FMEA 4th edition which remains current and applicable to industry; we will include some references to the new AIAG/VDA approach to outline the main differences. Delegates will need to attend either the 1 day awareness or 2 day practitioner course to fully understand the differences in approach. Why is SMMT Industry Forum continuing to deliver the AIAG FMEA 4th edition training? We are continuing to deliver the current AIAG 4th edition to ensure our delegates meet their current customer specific requirements which still subscribe to the 4th edition approach. Will the publication be included in SMMT Industry Forum’s courses? The publication is not included as part of the course. If you’d like to purchase the publication you can do so by visiting our web shop. If you have any other questions, please contact our expert team on [email protected]
May 29, 2019 Industry Forum Blog The automotive supply chain consists of various systems and elements, all of which work together to create a management system that continues to grow as your customers and supply base grows. It’s an extremely complex process so ensuring that all the elements are functioning correctly is crucial in the continued running of the business. Within a marketplace that is constantly changing under the stresses of the global economy, there are several challenges that the automotive supply chain faces. They can seem difficult and large-scale to the smaller sized businesses, however, having a strategic approach to your supply chain management can assist with approaching how these challenges will affect your business. Here are five challenges to keep in consideration when dealing with your supply chain. Cost & Location The constantly changing landscape of manufacturing means an increase in several things; innovation, technological advances and especially, consumer demand. Due to this, automotive manufacturers will be eager to see suppliers working locally, being able to be present in the locations where they have manufacturing bases. However, the cost of ensuring this is high and can be a task for smaller workforces. Evaluating the locations of business are crucial to optimising production lines however the possibility of relocating if needed can not only come at a high cost but also risk the ability to meet other client’s quotas and maintaining those quality relationships. Inventory Management There can often be a fine line between being correctly stocked and becoming under or overstocked and finding the balance between this can be somewhat difficult. It is a system that has to be closely defined and monitored to be able to maintain optimum functionality. Utilising processes and software that oversees your inventory can help you keep a firm stance on your inventory and so not acquire losses that can be avoided. Having a system in place that does so can allow you to make better-informed decisions regarding inventory. Maintaining Control on a Global Scale The automotive supply chain is on a huge international scale, with the larger companies having a clear presence in plenty of countries worldwide. Costs must be considered in every single aspect of the chain and moving towards a ‘just-in-time’ operation style can only be done if you have visibility of your full chain. It’s necessary to have full transparency and traceability and know exactly what occurs at every stage with data to support it. Once this is done, implementing software can help to automate the process to streamline it amongst the countries worked in. Recall Issues Amongst all industries, there can often be an issue with product recall and this can be for various reasons. To ensure that these are kept to a minimum as to not incur a cost to the company, processes must be in place. Quality Management systems and health and safety are pivotal in the automotive industry so quality control must be at the forefront of your processes. Having an error in this sense could affect several things such as your reputation with customers and especially tarnish your name within the industry which has long-lasting effects. The Environment & Being Ethical The 21st Century brings a whole host of issues that are new and important to customers worldwide. There is a myriad of regulations and quality standards that automotive companies must adhere to. They ensure that you fully responsible for the environmental and ethical impacts of your processes and these can be a challenge to maintain. These challenges must be met head on to ensure your supply chain management is as polished as can be. For more information on how to tackle these issues, we offer a range of training and consultancy services covering process mapping and management, Inventory Management, Demand/Supply Management and Quality Systems as well as a library of AIAG publications and VDA publications.
May 22, 2019 Industry Forum Blog Companies within the Aerospace industry have long since recognised that although they compete to gain market share, they also share common challenges. In the past they have created differing techniques and methods to try and achieve the same results. To address this, a group of Aerospace engine manufacturers joined together to create the Aerospace Engine Supplier Quality (AESQ) group. The objective of the group was to discuss and identify opportunities to develop joint requirements for the Aerospace engine supply chain. One of the more tangible results of the group’s activities is the release of a number of industry recognised standards. AS13003 Measurement Systems Analysis requirements were released by the AESQ in Feb 2015 to document the common acceptance criteria to be used when evaluating the performance of measurement systems. Measurement System Analysis (MSA) Measurement Systems are so much more than the measuring instruments and gauges that are used for measurement. The measurement value that we see is a result of the measurement process being carried out by: The Measuring instrument (Equipment) The person using the measuring instrument (Appraiser) The Environment in which the system operates The Methods used for setup and measurement of the parts The tooling and fixtures that locate and orientate the part being measurement The software that performs calculations and outputs the result The result that you obtain when making a measurement is influenced by each of the above. The extent to which each of the parameters affect the reading may vary from one situation to another. However, each one of these influences can be looked at as factors introducing variation into the process of measurement. Why MSA A measurement system tells you in numerical terms important information about the variation present when a measurement is made. How sure can you be about the data that the measurement system delivers? Is it the real value that you obtain out of the measurement process, or is it the measurement system error that you see? Measurement system errors can be costly, and can affect your capability to obtain the true value of what you measure. It is often said that you can be confident about your measurement of a parameter only to the extent that your measurement system can allow. For example, a process may have total tolerance of 30 microns. The measurement system that you use to measure this parameter, however, may have an inherent variation (error) of 10 microns. This means that you are left with only 20 microns of the parameter tolerance. The measurement system variation is eating into your parameter tolerance. How does MSA differ from calibration? Calibration is a process used to compare the measuring instrument against standards of known value and uncertainty, and understand the difference between the standard and the actual instrument. Calibration is done under controlled conditions and by specially trained personnel. However on the shop floor, where these instruments are used, the measurement process is affected by many different factors such as method of measurement, appraiser’s influence, environment and the method of locating the part. All these can introduce variation in the measured value. It is important we asses measure and document all the factors affecting the measurement process, and try to minimize their effect. We need to consider the complete process used to obtain measurement – (Appraiser, Machine, Material, Method, and Environment). When should MSA be applied? How will MSA benefit my organisation? MSA helps reduce both the type of risks associated with measurement of a parameter and making decisions based on the result of the measurement, the risk of False Alarm (a good part being judged to be bad) and the risk of a Miss (a bad part being judged as good) . Industry Forum are pleased to announce the availability of a number training courses in support of the techniques and methods suggested within the AS13003 standard. AS13003 – MSA Essentials for Aerospace AS13003 – MSA Practitioner for Aerospace To find out more about AS13003 MSA and how Industry Forum can support your journey of improvement: [email protected] +44 (0)121 717 6600
May 20, 2019 Industry Forum Blog Ever since the first industrial revolution people, businesses and cultures have strived to improve so to get the edge on their competition. History describes these in four stages. The first industrial revolution sees people using powered machines to perform tasks previously done by hand. The second industrial revolution, often referred to as the technological revolution included advances such as wide use of electric light, the telephone and machine advances which enabled more accurately produced interchangeable parts, paving the way for Mass Production. The third industrial revolution sees a shift from analogue to digital, resulting in computers and the dawn of the internet. The fourth industrial revolution, a term first coined in 2015, reflects perhaps the augmentation of many things that have gone before. Technological advances now enable everything to be detected in minute scales or time frames. Then information is processed simultaneously and comprehensively so to allow autonomous machines. The big question is where does that leave manufacturing today? All of these developments can be applied in the few leading edge and pioneering companies but not every business can make significant change overnight. For many there is a requirement to make the most of the current process in order to create the opportunities to invest in the process. Considering skills, many businesses face a challenge to attract people into manufacturing and this can lead to a risk that skills are lost as the workforce retires. For many small to medium companies it is a question of where to begin? What should be measured, where, when and how? Only then does it make sense to invest in technology and create a business case for change. To arrive at the right decision it is important to consider both the basic process model and how people interact with the process. The process needs to be defined in terms of inputs, methods and outputs and this need to be measured and controlled to ensure outputs meet standards. To achieve this effectively people need to have the appropriate process knowledge. This knowledge includes: How to establish standards Basic engineering knowledge that relates to the process How to identify and solve problems We generally see greater expectations placed on operators as well as supervisors, engineers and managers. Typically, the role of operator expands to include carrying out minor maintenance checks and even repairs as well as operating equipment to standard. This in turn provides opportunity for maintainers to incorporate more improvement and project work that collectively provides better plant performance and contributes to increased competitiveness. To help plug the skills gap and provide tangible qualifications there are a variety of options available. Common approaches include NVQs and six sigma green / black belts and these are effective however there is an additional qualification that focussed more on manufacturing processes. The Japan Institute of Plant Maintenance has developed test to qualify operators in this area of basic skills. From their research, 440 companies have adopted this learning and certification. It applies across all sectors. In their terms, it is called “Monodzukuri” – which translates to the “art of manufacture.” Subjects include: The basics of manufacture which is comprised of safety, quality, workplace organisation and standard work How to analyse process performance and make effective improvements Basic engineering skills including lubrication, fasteners, pneumatics, hydraulics and drive systems How to sustain improvements by putting the appropriate maintenance practices in place On completing the training and passing the test, operators become certified in core manufacturing skills. Individuals benefit by receiving acknowledgement of enhanced competency. The organisation benefit as everyone becomes effective problem solvers and there is a shift to being proactive rather than reactive. Safety and quality performance improves as well as improved Overall Equipment Effectiveness (OEE) or output. Typically, these companies have a level of engagement where all employees are identifying improvements and implementing them, in the range of one idea per person per week. This forms a basis for real culture change. You can test your own knowledge by completing these sample questions. If you are interested in certified operator training, you can contact the team at Industry Forum to find out more. [smartblock id=26057]
May 10, 2019 Industry Forum Blog The Global MMOG/LE self-assessment should be used by any organisation that wants to gain a clear understanding of and honestly assess the performance, capability, efficiency, effectiveness, quality, robustness, scalability, and sustainability of an their supply chain management processes. Global MMOG/LE can be used: By an organisation to evaluate its own supply chain management processes, performance and capability and benchmark it against other organisations globally. Between customers and suppliers to manage supply chain processes throughout the entire product life cycle, including: Early product development Pre-production phases Post-production aftermarket/service phases By an organisation as an tool for supplier selection and evaluation The self-assessment establishes a common definition of supply chain management processes to help organizations: Determine the robustness of existing internal processes Benchmark supply chain operations acilitate continuous improvement Increase customer satisfaction Streamline the flow of information and products throughout all tiers of the supply chain Version 5 of Global MMOG/LE has been developed by a collective work group of Global experts to ensure the continued evolution of the process and keep it fit for today’s environment. SMMT Industry Forum is a proud member of this group and can provide the latest thinking and development of this Global process. Version 5 is due for full release in June 2019 and introduces Clear alignment with IATF 16949 Increased emphasis on risk management and contingency plans throughout the supply chain including a cyber security policy A deeper alignment between strategies, objectives and continual improvement More emphasis on minimizing or eliminating the skills gap Further emphasis on systems integration and leveraging the planning system Strengthen the requirements for Supplier interfaces, supplier selection and assessment. Increased content on utilising full electronic exchange of data and the adoption of advanced technologies to increase performance and efficiency along with the corresponding need to recognise the requirement for cyber security practices SMMT Industry Forum recently successfully completed the first training session for Global MMOG/LE practitioners wanting to use the latest version of Global MMOG/LE. SMMT Industry Forum is the Odette preferred UK training provider and our trainers are deeply involved in the further developments of Global MMOG/LE. We can support through standard training courses as well as customised consulting and assessment support to meet your particular needs. If you would like to enquire more on these services get in touch If you would like to be kept informed of further developments in Global MMOG/LE version 5 please sign up to our update service.
May 10, 2019 Industry Forum Blog Value is a function of risk and return. Every decision either increases, preserves, or erodes value. Activities undertaken to launch new products can cause risks which need to be effectively managed if the return of business growth is to be achieved. Risk management is integral to the pursuit of product launch excellence and strategic minded organisations do not strive to eliminate risk or even to minimise it, a perspective that represents a critical change from the traditional view of risk as something to avoid. Rather, these organisations seek to manage risk exposures across all parts of new product launch processes. To do this, organisations require a risk management process that is practical, sustainable, and easy to understand. The process must proceed in a structured and disciplined fashion. It must be correctly sized to the organisations size, complexity, and geographic reach. Many organisations assume that establishing stretch objectives and accepting challenges from its customer is enough to achieve better, faster and more profitable products. Yet in reality implementation teams for new product launch are not always clear on what needs to be done. In the pursuit of “Faster”, teams can cut corners in following the process and can miss key steps in early product development and introduction stages. The result is a multitude of risks introduced during product launch and uncontrolled change implementation, leading to poor “right first time” quality and eroded profit margins, due to money spent on correcting errors. Moreover considering the complexity of collaborating with engineering, supply chain, quality assurance, and manufacturing, planning and executing seamless risk management in a new product launch environment is always challenging. Casting a wide net to understand the universe of risks is a good starting as long as they are assessed and prioritised to help and focus attention of both the team and senior management. This would require a common set of assessment criteria to be agreed. Typically risks are assessed in terms of impact and likelihood. Something else to remember is that risks do not exist in isolation and risk interactions need to be managed. Even seemingly insignificant risks on their own have the potential, as they interact with other events and conditions, to cause great damage or create significant opportunity. The results of the risk assessment process then serve as the primary input to risk responses whereby response options are examined, cost-benefit analyses performed, a response strategy formulated and risk response plans developed. Over 60 percent of Industry Forum’s NPI and Lifecycle management client engagement had risk management as an improvement topic. You may start by asking below questions related to risk management practices within your teams responsible for launch of new products: How do we identify risks during project implementation? How do we record and categorise risks? How do we prioritise risks and select an appropriate response action? How do we communicate NPI risk management methodology and practices within our organisation? If you would like to discuss any of the responses to above questions please get in touch.
May 9, 2019 Industry Forum Blog Industry 4.0 has become a new buzzword within Industry over recent years, but what exactly is it? And what factors have brought this ‘new era’ about? There are a number of driving factors… Changing Customer and Market demands for more and more individual products, exactly when they want it. No more Ford Model-T mind set of “any colour you want, as long as it’s black”. The demand cannot be satisfied by traditional methods only, e.g. adding machines or shifts. Indeed capex investment is expected to generate less than half of the value creation expected to come through Industry 4.0 The Technology required is available today to start the journey – it is often referred to as ‘Disruptive Technology’, and it is the application of this technology which is expected to generate the greater proportion of value through Industry 4.0. Disruptive Technology can be categorised under a number of headings; Data, Computational Power and Connectivity Cloud Computing The Industrial Internet Cyber Security Analytics and Intelligence Big Data and Analytics Artificial Intelligence and Machine Learning Horizontal and Vertical System Integration Machine sensors and Predictive Maintenance. Human/Machine Interaction Augmented Reality Touch screen interfaces Voice and Movement recognition Digital to Physical conversion Advanced Robotics 3D Printing Do not doubt the ability of machines to learn – we have watched in awe at the success of AI programs like Google subsidiary DeepMind’s AlphaZero. Within two hours of taking up chess AlphaZero was beating human players; after four it was beating the best chess computer in the world; in nine it was the best chess player the world has ever seen. So where does this fit, if at all, with Lean Manufacturing as a business strategy? Well, Technology is NOT the solution, but it will be a vital part of the solution. The big picture is to achieve the speed and flexibility required to service an ever more demanding marketplace. Using technology can increase the value of digital information along the entire product lifecycle – Plan, Source, Make, Deliver and Return. The ‘digital thread’ will enhance visibility, reduce data loss and ultimately increase speed of flow through a fully integrated Supply Chain. Disruptive technologies can augment Lean activities already being deployed to improve this flow. Here are some examples; Long Machine Changeovers; Product changeovers can be time-consuming, yet they are necessary for manufacturers to switch a production line from one product to another. By utilising digital automation tools such as sensors and software, conventional Lean activities such as SMED can be enhanced. Use of RFID tags on materials can allow machines to identify the next product arriving in station, and automatically reset machine parameters without the need for operator intervention. Breakdown Losses With the increase in today’s’ computing power, the vast amount of data that can be recorded by relatively inexpensive machine sensors can be analysed. Using advanced algorithms and machine learning techniques the potential for breakdowns can be identified before they occur. This form of predictive maintenance allows operators to ‘see’ when components are wearing out and perform preventative maintenance at the optimal time, reducing spares costs as well as expensive downtime. Poor Quality Lean techniques such as self-inspection, poke yoke and jidoka have long been used to help prevent and detect errors. Technology such as Vision Systems can augment this by removing the human error element of visual inspection, whilst the data it provides can be analysed in real-time so that operators can be confident the process is constantly meeting the required quality standards. Faster feedback of the data collected through this technology, along with correlation models, helps to reduce the lead-time for the root cause analysis of errors. Thus traditional Lean can be augmented by utilising the benefits of Disruptive Technology. It even has a name, coined by Boston Consulting Group – ‘Lean Industry 4.0’. As the demand for more and more individual products at ever shorter lead-times grows, established Lean principles based on mass production will be augmented with new tools that enhance flexibility – e.g. Quick Response Manufacturing, Concurrent Engineering, Scrum and Agile.
