Summary of “Just-in-Time: Making it Happen: Unleashing the Power of Continuous Improvement” by Shigeo Shingo (1989)

Summary of

Operations and Supply Chain ManagementProcess Improvement

Introduction

Shigeo Shingo’s “Just-in-Time: Making it Happen” is a seminal work in the field of process improvement, detailing the principles, techniques, and philosophies of Just-in-Time (JIT) manufacturing. The book primarily aims to empower organizations to continuously improve their processes, minimize waste, and enhance productivity. Shingo, a prominent industrial engineer, and thinker, provides concrete examples and actionable steps for implementing JIT across various manufacturing and operational scenarios.

Chapter 1: Understanding Just-in-Time

Summary:
The first chapter serves as an introduction to the JIT concept. Shingo explains that JIT is not merely a set of procedures but a comprehensive philosophy that aims to produce and deliver the right items at the right time, eliminating any form of waste. He defines waste as any activity that does not add value to the final product.

Concrete Examples:
Kanban System: Shingo illustrates the Kanban system, a signaling mechanism that uses cards to indicate the need for inventory replenishment. He provides an example from Toyota’s assembly line, where the Kanban cards help maintain minimal inventory levels.
Small Lot Production: An example is given of a company switching from bulk production to small lot production, significantly reducing the lead time and storage costs.

Actionable Steps:
1. Implement a Kanban System: Begin with a pilot project in one section of the production line and gradually expand as employees become proficient in its use.
2. Shift to Small Lot Production: Transition to smaller lot sizes in increments, continually monitoring the impact on lead times and inventory levels.

Chapter 2: Identifying and Eliminating Waste

Summary:
Shingo identifies seven categories of waste: overproduction, waiting time, transportation, processing, inventory, motion, and defects. He stresses the importance of visualizing these wastes to effectively address them.

Concrete Examples:
Gemba Walks: Shingo provides the example of managers conducting “Gemba Walks,” where they visit the production floor to observe and identify points of waste.
Value Stream Mapping: In a case study, a company used value stream mapping to uncover redundant processes that were leading to excessive waiting times.

Actionable Steps:
1. Conduct Gemba Walks: Allocate time weekly for managers to walk through the production area, engage with employees, and note areas where waste can be minimized.
2. Create Value Stream Maps: Involve cross-functional teams to map out current processes and identify non-value-added activities.

Chapter 3: Reducing Setup Times

Summary:
Reducing setup times is crucial for achieving JIT. Shingo discusses the Single Minute Exchange of Die (SMED) approach, which aims to reduce setup times to under ten minutes.

Concrete Examples:
Toyota’s Press Machines: Shingo describes Toyota’s success in reducing setup times for press machines from hours to minutes by adopting SMED principles.
External and Internal Setup: He differentiates between internal setups (those requiring the machine to be stopped) and external setups (those that can be done while the machine is running), using a tire change in a car race as an analogy.

Actionable Steps:
1. Analyze Current Setup Times: Record and categorize setup tasks as internal or external; focus on converting internal tasks to external.
2. Implement SMED: Apply the SMED principles to one machine or process, monitor the improvements, and gradually expand to other areas.

Chapter 4: Enhancing Cell Production

Summary:
Shingo advocates for cellular manufacturing, where workstations are arranged in a manner that supports smooth, continuous flow of materials and parts.

Concrete Examples:
U-Shaped Cells: An example is provided of a U-shaped cell implemented in an electronics company, which allowed operators to handle multiple processes and minimized travel time.
Flexible Workforce: Shingo discusses a case where cross-training employees in various tasks within the cell increased flexibility and productivity.

Actionable Steps:
1. Design Cellular Layouts: Assess the current layout and reconfigure workstations into cells that promote a seamless flow of materials.
2. Cross-Train Employees: Develop a training program to enable employees to operate multiple machines or perform various tasks within the cell.

Chapter 5: Quality at the Source

Summary:
Shingo emphasizes building quality into the process rather than inspecting it at the end. Quality at the source ensures that defects are detected and corrected immediately.

Concrete Examples:
Poka-Yoke: He explains the use of poka-yoke (mistake-proofing) devices, such as a design where parts can only be assembled in the correct orientation.
Jidoka: An example from Toyota’s automated loom, which stops automatically if a thread breaks, is provided to illustrate Jidoka (autonomation).

Actionable Steps:
1. Implement Poka-Yoke Devices: Identify areas prone to errors and design simple poka-yoke mechanisms to prevent mistakes.
2. Adopt Jidoka Principles: Equip machines with sensors that allow them to detect issues and halt operations to avoid propagating defects.

Chapter 6: Standardization and Continuous Improvement

Summary:
Standardization is crucial for achieving consistent quality and efficiency. Shingo discusses the Plan-Do-Check-Act (PDCA) cycle as a method for continuous improvement.

Concrete Examples:
Standard Work Instructions: He provides an example of a company that developed detailed work instructions for each task, reducing variability and enhancing performance.
Kaizen Events: Shingo recounts the success of periodic Kaizen events in a manufacturing firm, leading to continuous, incremental improvements.

Actionable Steps:
1. Develop Standard Operating Procedures (SOPs): Document best practices and standardize tasks to ensure uniform performance across shifts.
2. Conduct Regular Kaizen Events: Organize events that involve employees at all levels to brainstorm and implement small-scale improvements.

Chapter 7: Streamlining Material Flow

Summary:
Efficient material flow is at the heart of JIT. Shingo delves into techniques for optimizing the movement and storage of materials.

Concrete Examples:
Pull Systems: Shingo highlights the effectiveness of a pull system, where production is based on actual demand, using a supermarket example where items are replenished only when taken.
Milk-Run Logistics: An automotive parts supplier implemented a milk-run logistics system to streamline deliveries, reducing transport times and costs.

Actionable Steps:
1. Adopt Pull Production: Implement a pull-based production system in stages, initially focusing on high-volume products.
2. Revise Material Handling: Analyze current logistics and introduce milk-run routes to group small deliveries, minimizing travel distances.

Conclusion

Shigeo Shingo’s “Just-in-Time: Making it Happen” provides a comprehensive guide to understanding and implementing JIT. By focusing on waste elimination, reduced setup times, quality at the source, cellular production, and streamlined material flow, organizations can achieve significant improvements in efficiency and productivity. Each chapter offers actionable steps, underscoring the practical and iterative nature of JIT. Through constant evaluation and incremental changes, companies can unleash the power of continuous improvement, ultimately achieving the ideal of zero waste production.

Operations and Supply Chain ManagementProcess Improvement