Swedish Production System (SwePS) A Competence Upgrade in Lean Production. Objectives

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1 Swedish Production System (SwePS) A Competence Upgrade in Lean Production Objectives To strengthen the position of Swedish companies by educating staff members in and implementing the Lean Production philosophy based on strengths, possibilities and the prerequisites of Swedish companies Lena Moestam Ahlström, AB Volvo Ulrika Harlin, Swerea IVF Lars Medbo, Chalmers MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 1

based on strengths, possibilities and the prerequisites of Swedish companies Lena Moestam Ahlström, AB

2 Project Partners AB Volvo Volvo Trucks Volvo Powertrain Volvo CE Volvo Bus Volvo Logistics Volvo Aero Volvo Penta Volvo Technology Saab Volvo Cars Cabeco IAC IF Metall Chalmers Swerea IVF MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 2

Technology Saab Volvo Cars Cabeco IAC IF Metall Chalmers

3 Swedish Production System (SwePS) Working Methods Case studies 14, of different character and focus Education Extensive education broad insight e.g. Lean games Advanced education Lean Produktion Industrihögskolan Chalmers 7,5 p Networking Via case studies, educational efforts, workshops etc. Theory development Focus on specific issues related to Lean in Sweden Focus on implementation of Lean in new areas MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 3

4 General research question within the SwePS-project How shall companies in Sweden create a long term strategy for development of production systems based on Lean production? MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 4

development of production systems based on Lean production?

5 Model for analyses of strengths, possibilities and prerequisites for Lean implementation Part A WHY Swedish Production System? What is specifically "Swedish"; strengths/conditions? How shall companies in Sweden create a long term strategy for development of production systems based on Lean production? Part B WHAT within Lean Production is possible to copy-paste? What is specifically needed to be regarded in companies in Sweden? Part C HOW adopt/implement Lean Production in companies in Sweden? MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 5

How shall companies in Sweden create a long term strategy for development of production systems based on Lean production?

6 Focus areas and Results How shall companies in Sweden create a long term strategy for development of production systems based on Lean production? Industrial Effects Conclusion Methodology Part C HOW adopt/implement Lean Production in companies in Sweden? Material supply Supply chains and production networks Improvement and development work MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 6

Industrial Effects Conclusion Methodology Part C HOW adopt/implement Lean Production in companies in

7 Daily improvement work Continuous improvement Improvement work and development work Development work Major transformation Challenge Towards flow-oriented production Willingness to change Sustainability of improvement work Case studies Acceptance of new way of working (standardized work) Volvo Powertrain Ljunghäll Line-ownership in project-driven Lean transformation Volvo Construction Equipment Industrial effects Contribution to competence ramp-up and of broad understanding during on-going changes Conclusions Deep understanding of WHY needed Regard frequent change of leadership positions and roles Methodology/reports SwePS Navigator supporting development of production systems based on context-specific prerequisites Lean implementation Volvo Penta Vara, IAC, SAAB, Consequences-analyses on Cabeco, olvo Group Volvo working situation/attitudes during Production System Assessment changes Approach Waste-hunt MERA-programmet/programkonferensen 2008, projekt: SwePS Lean transformation Sida 7

Equipment Industrial effects Contribution to competence ramp-up and of broad understanding during on-going changes Conclusions Deep understanding of WHY needed Regard frequent change of leadership

8 Materials handling Materials supply system supporting the workstation Challenge Case studies Industrial effects No space at the line Workstation performance and ergonomics How to design a materials supply system Requirements on materials supply system from the operator Work station design Volvo Trucks Volvo Powertrain Volvo Cars Volvo Penta Improved workstation performance and ergonomics Redesigned materials supply system Redesign of the whole assembly line One piece continuous flow on customer demand MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 8

station design Volvo Trucks Volvo Powertrain Volvo Cars Volvo Penta Improved workstation performance and ergonomics Redesigned materials

9 Materials handling Pull system in new contexts Challenge Case studies Conclusions Controlling and reducing work in progress Simplifying planning and control activities Designing Pull systems in new contexts Long lead times and complex flows Volvo Aero Pull based principles works Conwip better than Kanban New control tools needed MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 9

new contexts Long lead times and complex flows Volvo Aero Pull based principles works Conwip

10 Materials handling Supply chain and production networks Challenge Continuous flow supply chain Long lead lime inefficiencies Design process and measures Case studies Considers the whole value stream and how the whole flow (both internal and external) is affected at changes - within company - between customer and suppliers SAAB, Volvo Bus Conclusions Important to make use of proximity to partners in the supply chain Continuous, small batch, levelled, pull controlled, synchronized, supply chain flow Methodology Value Stream Mapping based methodology to assess and develop supply chains MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 10

suppliers SAAB, Volvo Bus Conclusions Important to make use of proximity to partners in the supply chain Continuous, small batch, levelled, pull controlled,

11 250km Case study Saab Supply Chain, 1(2) Number of activities: Current Future Handling 10 4 Transport 19 6 Administration 8 1 Sum No. of storage/buffer-places 15 4 No. of items in flow FIFO FIFO MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 11

37 11 No. of storage/buffer-places 15 4 No.

12 Case study Saab Supply Chain, 2(2) Current Future Throughput time(days) 10,3 5,5 Value adding time/component (sec) Non value adding time/component (sec) Time in storage (days) 8,7 4,6 Man hour/component (sec) X X X X MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 12

time/component (sec) 118 57 Time in storage (days) 8,7 4,6 Man

13 Conclusions on a general level Technical, physical and business context Owners Customer/Users Marcet Suppliers Transportation systems Product complexity Location Volumes Basic Lean principles are applicable, BUT local context effect realization Cultural, human and organizational context Life-balance oriented Negotiating management style Team oriented Low power distance Uncertainty Avoidance High operator competence, Strong union collaboration Legislation MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 13

human and organizational context Life-balance oriented Negotiating management style Team oriented Low power distance Uncertainty

14 Base production system development on company strengths and improve ways of working continuously! Get inspiration from others Don t just copy paste! MERA-programmet/programkonferensen 2008, projekt: SwePS Sida 14

Get inspiration from others Don t just copy paste!

15 Find more information and storytelling from companies in Sweden at: MERA-programmet SwePS-projektet Delresultat inom projektet Swedish Production System (SwePS) Final report from SwePS-projektet (in may 2009) Svenningstorp J., Moestam Ahlström L., Medbo L., Harlin U., Sjögren, B., Gullander P., Langbeck, B., Sigbrandt P-Å., Wänström C., och Finnsgård C. (2009) Slutrapport för projektet Swedish Production System (SwePS) inom VINNOVAs forskningsprogram MERA MERA-programmet SwePS-projektet 15

se Final report from SwePS-projektet (in may 2009) Svenningstorp J., Moestam Ahlström L., Medbo L., Harlin U., Sjögren, B.

Strategic Vehicle Research and Innovation (FFI)

Strategic Vehicle Research and Innovation (FFI) Collaboration for strategic vehicle research and innovation Eva Schelin, Programme Director FFI, VINNOVA Sweden s innovation agency Nearly 100 million per