6/2/2017

WORLD CLASS
MANUFACTURING

KJP 636 ( NY-2009)

(MEM 673/KJP 636)

Topic 1: Introduction
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Who are they?....in what category can we group them?

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KJP 636 ( NY-2009)
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 World Class Manufacturing - Definition

World Class Manufacturing Is

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A position of international manufacturing excellence,
achieved by developing a culture based on factors such as

KJP 636 ( NY-2009)

continuous improvement, problem prevention, zero defect
tolerance, customer-driven just-in-time production, and total
quality management
The capability of a manufacturer to compete with any other
manufacturing organization in a chosen market, with the
aspiration of achieving world-beating standards in all
organizational aspects. World class manufacturing
encompasses the practices of total quality management,
continuous improvement, international benchmarking, and
flexible working.

Definition sourced from Bnet Business Director 3

WORLD CLASS MANUFACTURING?

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Basically it is a process-driven approach to
improve manufacturing operation; with

KJP 636 ( NY-2009)

internationally recognized systems and
standards and applied throughout the globe.
Known by many names:
Toyota Production System
Just In-Time (JIT)
Lean Manufacturing
Total Quality Management (TQM)

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 How Does it Started?

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Itis driven by the results achieved
by the Japanese manufacturing

KJP 636 ( NY-2009)

resurgence following World War II,
and adapts many of the ideas used
by the Japanese in automotive,
electronics and steel companies to
gain a competitive edge.

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MAIN FEATURES OF WORLD CLASS COMPANY

The primarily focuses on CONTINUAL

IMPROVEMENT in:

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Quality

KJP 636 ( NY-2009)

Cost
Lead Time
Flexibility
Customer Service
Innovation

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 CONTINUOUS IMPROVEMENTS

It is a means to achieve :

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High quality
Low costs
Delivery on time
Increasing market share
Higher profitability
Achieving customer delight
Long term viability
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 KEY TO CONTINUOUS IMPROVEMENTS

A successful continual improvements activities

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consist of the following tasks:
Clear mission, vision, values and objectives at the

KJP 636 ( NY-2009)

management level and disseminated throughout the
organisation.
Effective communication
Well planned and organized system
implementations.
Equal opportunities for all the employees.
Teamwork & empowerment of the shop floor
workers.
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LESSONS FOR ASIAN MANAGEMENT
Policies world class companies pursue to achieve the

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necessary contribution from employees :
Learning process and the content of training; through
experience and self discovery.

KJP 636 ( NY-2009)

Mentoring and coaching; Train the trainers e.g. Managers

Training and development as an investment.

Inculcate a lifelong learning culture.

Team building and team training activities with the

participation from senior and top management.
Participation at all level in the relevant training and
development.
An integrated approach for training and development
plans that give training needs for the individual from
appraisal, but that clearly link to the organisations 9
mission, vision, values and objectives.
 KEY TO CONTINUOUS IMPROVEMENTS

Implementation usually involve the following

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philosophies and techniques:
Make-to-order Zero defects

KJP 636 ( NY-2009)

Streamlined flow Just-in-time

Small lot sizes Variability reduction

Families of parts High employee

Doing it right the first time involvement

Cellular manufacturing Cross functional teams

Total preventive maintenance Multi-skilled employees

Quick changeover (SMED) Visual signaling

5S Statistical process control

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WHO HAS REACHED WORLD CLASS
12,000 companies were surveyed according to the

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Malcolm Baldridge National Quality Award criteria. Out of
1,039 in total, the breakdown were as follows:
Country World Class Recognition

KJP 636 ( NY-2009)

Japanese 675
North American 221
West German 71
British 40
French. 32
Where is Malaysia?
The Malcolm Baldrige National Quality Award was created by Public Law 100-107,
signed into law on August 20, 1987. The Award Program, responsive to the purposes of
Public Law 100-107, led to the creation of a new public-private partnership. Principal
support for the program comes from the Foundation for the Malcolm Baldrige National 11
Quality Award, established in 1988.
 LESSONS FROM JAPANESE STYLE
MANAGEMENT

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Think Quality. Strive constantly to improve your product;
Inspired to seek ways to do everything better at all level; and cut

KJP 636 ( NY-2009)

the product rejection rate.
Be Competitive. Match or exceed every improvement made by
the competitors; Competitive pricing; Ready and prepared to give
100 per cent service; Think creative to promote your products
with the objective to outperform competitors.
Treasure your employees. Treat workers fairly; Give all
employees equal consideration; Provide lifetime employment,
Share in the companys good times with regular bonuses. In other
word, treat all employees like the conscientious, loyal, intelligent,
and hardworking people you want them to be. And thats what
they will surely be.
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 JUST-IN-TIME PRODUCTION IS IMPOSSIBLE UNLESS COMPANIES
IMPLEMENT CONTINUOUS FLOW MANUFACTURING SYSTEM

Conventional production systems = Batch Processing = Do not continuously Flow

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Toyota production systems = Small Lot Processing = Continuously Flow

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 GO WITH FLOW!!!
(PREFERABLY ONE AT A TIME)

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KJP 636 ( NY-2009)
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 PULL!!! DON'T PUSH.
THE MOST IMPORTANT FEATURE OF THE TOYOTA PRODUCTION SYSTEM IS
THE WAY IT LINKS ALL PRODUCTION ACTIVITY TO REAL DEMAND.
EVERYTHING THAT HAPPENS IN THE SYSTEM HAPPENS ONLY IN THE NAME

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OF FULFILLING ACTUAL ORDERS FROM DEALERS. THE SYSTEM WORKS
BECAUSE IT IS A PULL SYSTEM, IN CONTRAST WITH CONVENTIAL "PUSH"
SYSTEM.

KJP 636 ( NY-2009)

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 6/2/2017
KJP 636 ( NY-2009)
Lean Teamwork in a manufacturing cell Preventive Maintenance

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Kaizen Activities
5s Activities