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By Vikas Singh
PGDM + MBA
2010-12
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Kai ( change )
Zen ( good)
Kaizen means change for the good
Ongoing improvement by involving everyone
It is small incremental change made for
improving productivity and minimizing waste
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Considered the process and results
Need to look entire process of the job at
hand and to evaluate the job as to the best
way to get the job done Approach in such a way that no one
is
blamed
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Select the event
Plan the event
Implement the event
Follow up
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Which method? Type of Product
One-Off Order?
Market size andSegment
Factor Costs Land, Labour and
Capital
Complexity of design
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Job Production One-off production - eachitem might have
particular specifications
Flow Production suitable for mass marketproducts that are
identical
Batch Production each stage of the productionprocess has an
operation completed on it beforemoving on to the next stage
allowsmodifications to be made to products thatotherwise are the
same
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Vikas singh PGDM +MBA 2010-12 7
which is more efficient?
Operation 1 2 3 4 5
6
7
891011FinishedProduct
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Operation 1
1a 1b 1c 1d
2a 2b 2c
3a 3b 3c 3d
4 Finishedproduct
Or this?
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Vikas singh PGDM +MBA 2010-12 9
Or this?
Cell 1 Cell 2 Cell 3
Finished Product Finished ProductFinished Product
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Answer it could be any of them!
The design of the production space caninfluence:
Output levels Factor use
Efficiency
Cost levels
Quality assurance procedures
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Productivity a measurement of outputper unit of the factor used
(labour, capital
or land)
Total Output
Productivity = -------------------
Units ofFactor
Technical Efficiency output produced
using the fewest possible inputs
Productive Efficiency output producedat the lowest possible
cost
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Reduces the waste
Improve space utilization
Higher employee moral and job satisfaction ,
lower turnover
Eg. Toyota use kaizen in 1999 at one US
plant near about 7000employees submittedover 75000 suggestion
and of them 99%
were implemented
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Sorting
Simplifying
Sweeping
Standardizing
SustainingSorting
Simplifying
SweepingStandardizing
Sustaining
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