Lean Production Systems Implementation in Germany

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1 Lean Production Systems Implementation in Germany Univ.-Prof. Dr.-Ing. Uwe Dombrowski Dipl.-Ing. Isabel Crespo, Dipl.-Wirtsch.-Ing. Stefan Schmidt 31 st Conference of the European Academy on Industrial Management Braunschweig, Germany, 24 th -27 th September

2 Development of Production Systems today Artisan/ Manual Production 1 Tayloristic Assembly Line Work Technology-oriented Production Automated Production Classical Industrial Production 2 2 Computer Integrated Manufacturing Toyota Production System Lean Production 3 LPS

3 Definition of Lean Production Systems A Lean Production System (LPS) is an enterprise-specific compilation of rules, standards, methods and tools, as well as the appropriate underlying philosophy for the comprehensive and sustainable design of production. An LPS enables an enterprise to meet the requirements of today s business environment, taking into account organizational, workforce-related and economic aspects. Philosophy and Culture Methoden und Werkzeuge Methods Methoden und and Werkzeuge Tools Source: Dombrowski 3 Raum für Weiterentwicklung und Anpassung Ganzheitliches Produktionssystem LPS Goals Methoden und Werkzeuge The implementation of an LPS is not just a regular rationalization project, but a fundamental change in the organization and culture of an enterprise. Source: Salwiczek

4 Tool 1 Tool n Tool 1 Tool n Tool 1 Tool n Method 1 Method 2 Method m Method 1 Method 2 Method m Method 1 Method 2 Method m Structure of Lean Production Systems 1 General Goal GG 1 GG 2 GG i 2 Sub-Goal SG 11 SG 12 SG SG SG SG SG SG 1j j k1 k2 SG kj Field of Activity FA 1 FA 2 FA k 4 3 Method 4 Tool Source: Dombrowski

5 Example for the Structure of Lean Production Systems 1 General Goal Increase in Quality 2 Sub-Goal Increase in Product Quality Reached by Sustainable Improvement of Processes 3 Field of Activity Method TQM/ Quality Systems Statistical Process Control (SPC) 5 4 Tool Quality Control Chart Source: Dombrowski

6 Use of Field of Activities in LPS Verwendung Gestaltungsfelder in GPS Analysis of the LPS Structural Design - Database 17 LPS global enterprises - 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Gruppenarbeit The following Fields of Activities are part of least 70% of all analyzed LPS: JIT/ Kanban TQM/ Qualitätssysteme Viisuelles Management Team Work 93 % JIT/ Kanban 87 % TQM/ Quality Systems 87 % Visual Management 87 % Continuous Improvement Process 80% Total Productive Maintenance 73% Human Resources Management 73% KVP TPM Personalmanagement 5S Further Fields of Activities are: Standardisierung Auftragssteuerung/ Nivellierung Technologie/ Fertigungsprozesse Umweltschutz Prozessorientierung 14 Produktgestaltung 5 S-Housekeeping 67 % Standardization 53 % Leveling/ Mixed production 53 % Technology/ 40 % Manufacturing processes Environment Protection 27 % Process Orientation 20 % Product Design 13 % 6 Source: Dombrowski

7 Percentage of the researched enterprises Current Status of LPS Implementation - Results of a Nationwide Survey in German Production Enterprises, August enterprises in different industry sectors and with different sizes have participated in this survey. 56% of the analyzed enterprises belong to the automotive supplier industry and the mechanical engineering industry. 77% of the researched enterprises are large-scale enterprises. Only 22% of the researched enterprises are small and medium-sized enterprises. Source: Kessler % 7 No Know-How Implementation is not jet planned Implementation is planned Implementation is running Implementation is concluded Source: Kessler Almost all researched enterprises (70%) have implemented an LPS or are in the implementation phase.

8 Spread of LPS Implementation Tier n Supplier Tier 2 Supplier 8 Tier 1 Supplier OEM Industries Automotive Industry Machine Tools Electrical, Aerospace and Food Industry Source: Dombrowski

9 Successful Enterprises in Germany Implement Lean Production Systems Winner! Winner! 2008 BMW AG, Dingolfing 2007 Siemens AG, A&D AS EWA TOP, Amberg 2006 Rational AG, Landsberg/Lech 2005 Cherry GmbH, Auerbach 2004 Siemens AG, Automation & Drives, Erlangen Plant 2003 Fujitsu-Siemens Computers GmbH, Augsburg Source: Die Beste Fabrik 2008 Festool GmbH, Neidlingen 2007 Robert Bosch GmbH, Automotive Electronics Division, Ansbach Plant 2006 Siemens AG, Automation & Drives, Erlangen Plant 2005 Johann Winklhofer & Söhne GmbH & Co KG, Landsberg/Lech 2004 Siemens AG - Medical Solutions, Forchheim 2003 Siemens VDO Automotive AG, Babenhausen Source: Die Fabrik des Jahres Alle these successful enterprises have implemented a Lean Production System (or at least parts of an LPS) during the last years! 9

10 Lean Production Systems Implementation in Germany Univ.-Prof. Dr.-Ing. Uwe Dombrowski Dipl.-Ing. Isabel Crespo, Dipl.-Wirtsch.-Ing. Stefan Schmidt 31 st Conference of the European Academy on Industrial Management Braunschweig, Germany, 24 th -27 th September

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