“Packaging” is spelled M-U-D-A

In Mike Wroblewski’s blog “Got Boondoggle?” he comments on just how much packaging and dunnage is not visible in Toyota’s Industrial Equipment plant. Of course that is remarkable because of just how common it is to find the opposite condition. Factories (and offices) have lots of packaging around, and spend lots of time dealing with it.

Toyota has been working on this a long time. They have the added advantage of being an 800 pound gorilla with most of their suppliers. They can specify packaging and insist on things being done a certain way. In a lot of cases it is the supplier that is the 800 pound gorilla, and a lot of small companies have a hard time being heard. But you can still make a lot of difference if you apply the principle that packaging is muda.

A frequently invoked (and overworked analogy) is the assembler or operator as a surgeon. Everything must be ready for the value-add operation to be performed waste free. If there is waste in the process, keep it away from this point. Surgical instruments come in packages. But I can assure you the surgeon is not unwrapping the scalpel. So who is?

The instruments are prepared and made ready for use by the staff.

Now take this to your factory floor. The first step is to keep dunnage and packaging out of the production area. There are actually a lot of advantages to doing this. The chief one is obviously optimizing your value-add time. But all of that packaging also takes up space. EVERYTHING that enters the production area MUST have a process (meaning a person!) to get it OUT of the production area. Since you have to unpackage that stuff anyway, do it before it gets to production. This means that someone else picks the part and prepares it for use just like the staff in the operating room.

Do this and you have applied one of the principles Liker and Meier point out in The Toyota Way Fieldbook – if you can’t eliminate sources of variation, then isolate them. In other words, set up a barrier that contains the waste so that your value-adding operation sees the result of a perfect supplier.

You can then take the next step: Do this at receiving. If the parts do not arrive from the supplier packed the way that your internal material conveyance system needs them, then put the resources into receiving to convert what you get from your suppliers into what you wish you got from them.

This is applying the principle of systematically pushing waste upstream, closer to the point where it originates. The other thing you have done is force yourself to dedicate resources to deal with this waste instead of spreading it so thin the cost is hidden. You will know what it costs you in terms of people, time, space, etc. to deal with the fact that your suppliers don’t ship what you need. By highlighting the problem instead of burying it, you have the opportunity to address it.

One more thing – it might seem easier to take these little wastes and spread them thin. After all, if everybody just does one or two trivial tasks, it doesn’t seem so bad, does it? It is those trivial wastes, those 5 second, 30 second, 1 minute little things that accumulate to half your productivity. It takes work to see them and eliminate them. Don’t add more to the process on purpose.

Standards Protect the Team Members

One of my kaizen-specialists-in-training just came to me asking for help. The Team Members he is working with are not seeing the need to understand sources of work variation.

I hear that a lot, both in companies I have worked in and in the online forums. Everyone seems to think it is a problem in their company, their culture – that they are unique with this problem.

The idea of a unique problem is variation on the “our process / environment / product is different so ____ won’t work here.” Someday I will make a list of the standard management “reasons why not” but that isn’t the topic of this post.

I told him:

  1. This is not unique to China, or to this facility. The same resistance a always comes up, and nearly always comes up the same way once the Team Members begin to realize we are serious.
  2. There is no way to just change people’s minds all at once.

Here is something to explain to the concerned Team Members: The standard process is there to protect the team member. If there is a problem, and the standard process was followed, then the only focus for investigation can be where the process itself broke down. Countermeasures are focused on improving the strength of the process.

If, on the other hand, the process was not followed (or if there is no process), then the team member is vulnerable. Instead of the “Five Why’s” the investigation usually starts with the “Five Who’s” – who did it? Countermeasures focus on the individual who happened to be doing the work when the process failure occurred.

As you introduce the concept of standard work into an area that is not used to it, it is probably futile to try to tighten down everything at once. The good news is that you really don’t have to.

Start with the key things that must be done a certain way to preserve safety and quality. If they are explained well and mistake-proofed well, there is usually little disagreement that these things are important.

The next step is to make it clear that the above are totally mandatory. If anything gets in the way of doing those operations exactly as specified, then STOP. Do not just work around the problem, because doing so makes you (the Team Member) vulnerable to the Five Who’s inquisition.

If you focus here for a while, you will start to get more consistent execution leading to more consistent output, which is what you want anyway.

Then start looking at consistent delivery and all of a sudden the concept of variation in time comes into play. Why was this late? The welder ran out of wire, I had to go get some more, I couldn’t find the guy with the key to the locker…… Go work on that. At each step you must establish that the point of all of this is to build a system that responds to the needs of the people doing the work.

A Quality Story

On a cloudy morning a few years ago I started my truck, turned on the headlights and noticed one of them was not working. While changing a headlight isn’t that big a deal, I needed a state safety inspection anyway, and I really didn’t want to mess around under the hood.

So I called the auto repair and tire place up the road, and arranged to come in.

When I got there, I explained that the right headlight was out. Since I knew from experience that the left one would probably fail in a few weeks, I said “Go ahead and change the left one too, and I need the state safety inspection.”

Unfortunately they only had one headlight in stock, so they couldn’t change both, I said OK and got a soda to wait.

A while later, everything was good-to-go, I drove back to work and went home that evening. The next day was sunny.

The following day, however, was cloudy again. I turned on the headlights in the garage, and the right headlight was still out. Hmmm. I took a quick look and noticed that the LEFT headlight was new. They had changed the wrong one.

When I got back to work, I called the shop, explained the issue, and they said come over and they would make it right. (Meaning they would replace the RIGHT headlight at no charge.) After handing the keys back in, the mechanic who did the work came out and tried to convince me that he had simply followed the instructions, and it wasn’t his fault.

OK — let’s break down this situation from the perspective of quality and delivery.

Starting from the end of the story, why did the mechanic feel obligated to try to convince me that I had responsibility for a mistake that the owner had already agreed to correct? What could possibly be gained by trying to make the customer feel wrong here?

Now let’s go back to the beginning.
Customer reports a headlight is out. What is the very first thing you would do? How would you confirm the problem?

Turn on the headlights and check. This takes about 10 seconds. If there was a confusing communication about the problem, this is the time to discover it.

Once the repair has been completed, how would you confirm that it worked?
Turn on the headlights and check. This would verify that the results were as intended. (What does the customer need here? Two headlights that work.)

The other item that was on the instruction was a state safety inspection. Now I am not an expert on the New York State safety inspection, but I am willing to bet at least a can of soda that it includes the headlights. So as part of that inspection, the mechanic should turn on the headlights and check.

Even if the problem had gone undetected up to this point, it should have been caught here. Obviously the “inspection” was just a paperwork drill in this case.

Of course, as the customer, I also failed to turn on the headlights and check when I picked up the vehicle. Silly me.

What is the point of all of this?

The first step of solving any problem is to understand or verify the current condition and compare it with your expectations or standard. (More about standards and expectations later.)

Once a countermeasure had been developed and put into place, the situation must be re-checked to ensure that the countermeasure worked as intended and the process or system is back to the standard condition.

Any process has some kind of intended result. In this case, the headlight repair process should result in two headlights that work. Yet the results were not verified, and the incorrect product was delivered to the customer.

So what did all of this cost?

It cost me my time.
It cost the repair place

  • Double the mechanic time.
  • A headlight +the time to go get one during business hours (because they had not replaced the one they installed on the left two days earlier).
  • Good will. (Later, when they failed to tighten the filter after an oil change, I stopped doing business there altogether. One mistake I was willing to overlook, but I was starting to see a trend developing. I also later had some extensive maintenance and repairs done on the truck, but I didn’t have them done there because I could not trust them to change a headlight or change the oil.)

By the way, I still have the truck. It is coming up on 200,000 miles and runs great.