Creating Continuous Flow
Creating Continuous Flow
'money conversion cycle' (time between paying for raw material and getting paid
for the products macle out of those raw materials.)
Any item produ~ed before it is actually needed by the next procesşing step creates waste,
such as extra handling, counting, storage, and so on. When you see batching of even one
extra piece you should realize that you have used an operator's time to process and handle
an item that was not yet needed. You could have used that person's time and skills to
process something that was needed!
When you take a clase look at most factories, it doesn't take long to see that although
people are busy, the great majority of their time is actually taken up by processing and
dealing with parts not yet needed by the next step, or waiting or searching for the parts
they do need. When processes work on only what is immediately needed down the line,
large amounts of effort, lead time, and space requirements disappear.
• Some equipment cycles faster than the customer demand rate, requires large invest-
ment, and must change over between different component types (e.g., stamping).
• Some equipment cannot cycle fast enough to meet the shortest anticipated takt time
during regular working time (eg: injection molding, casting).
• Some equipment, such as for heating, painting, and plating is designed to process batches.
To date no one has been able to entirely eliminate the need to produce some batches
ahead of time in certain places. But through continuous improvement, creative utilization
of existing equipment, and development of simple, reliable equipment that can be dedicated
to product families, lean systems are getting closer every day.