A-1

1
Improving Plant Operating Efficiency through Lean
Production Methods

• Lean Advocate Training

2
Orientation

• Jordan Dentz

3
Orientation

• Project goal
• Introductions
• What is lean?
• Project plan
• Roles and responsibilities
• Training program schedule

4
Project Goal

• Transform the way homes are manufactured,
  substantially reducing manufacturing costs,
  production time, product defects, and labor hours
  per home while improving quality.

5
Method

1. Plan and implement cost-justified changes in
   manufacturing process by implementing concepts of
   lean production
2. Establish within the plant a culture of
   continuous improvement and develop a system to
   institutionalize these changes

6
Self Introductions

• Cavalier Homes
• Chelsea Modular
• Clayton Homes
• Four Seasons Housing
• Hi-Tech Housing

• Palm Harbor Homes, Albemarle
• Palm Harbor Homes, Plant City
• R-Anell Housing
• Southern Energy Homes

7
MHRA Team

• MHRA project coordination
• Jordan Dentz
• Senco training and plant facilitation
• Dewey Warden
• University of Central Florida - training and
  plant facilitation
• Dr. Michael Mullens

8
Lean What is it?Dr. Mike Mullens, UCF

• A general way of thinking and specific practices
  that focus on using less of everything.
• An approach to manufacturing that transforms the
  plants culture to one in which all forms of
  waste are systematically and continuously rooted
  out at all levels.

9
Lean Guiding Principles
10
Lean Management Perspective

• Is a culture -- not a management technique.
• Focuses on processes -- not just results.
• Applies to both production and office functions.

11
Lean Benefits

• From establishing and mastering a lean production
  system

Source 1000Ventures.com
12
Characteristics of a Lean Factory

• Orderly, clean work place
• Standardized best methods
• Plant layout facilitates continuous flow
• Just-in-time processing driven by customer demand
  or pull
• Single piece or small batch continuous workflow
• Quick changeovers of machines/processes
• Minimal inventories

13
Characteristics of a Lean Factory

• Short order-to-ship cycles times
• Total quality control
• Defect prevention built into processes
• Preventative maintenance
• Team-based continuous improvement
• Partnership-oriented relations with suppliers and
  distributors

14
Milestones

1. Select plants
2. Train lean advocates
3. Map plant value streams
4. Develop lean implementation strategy
5. Conduct RPI events
6. Re-convene to evaluate progress

15
Select Plants

• Cavalier Homes
• Chelsea Modular
• Clayton Homes
• Four Seasons Housing
• Hi-Tech Housing
• Palm Harbor Homes, Albemarle
• Palm Harbor Homes, Plant City
• R-Anell Housing
• Southern Energy Homes

16
Train Lean Advocates

• Train lean advocates in the concepts and
  techniques of lean production
• Charge lean advocates with tasks to complete back
  at their plant

17
Map the Value Stream

• Collect data to describe current plant
  performance
• Develop current-state value stream map
• Identify specific areas for improvement
• Conduct detailed observations and create process
  flow maps of those areas
• Develop future-state value stream map

18
Develop Strategy

• Select areas for improvement
• Develop a strategy for implementing lean
  improvements as depicted on the future-state
  value stream map
• Strategy will be based on conducting at least
  three RPI events

19
Conduct RPI Events

• Train plant staff to participate in RPI events
• Conduct at least three RPI events
• Document and evaluate the RPI events
• Report results to plant management
• Plant lean advocates will be encouraged to
  conduct additional RPI events in between
  advisory team member visits

20
Re-convene to Evaluate Progress

• One-day de-briefing where all participants will
  share experiences

21
Schedule

• April Training
• May Value stream mapping
• June - September RPI events
• November Final team meeting

22
Key Players and Their Roles

• Plant management support
• Lean advocates facilitate, lead
• Plant staff participate
• MHRA team (MHRA, Senco, UCF) guide

23
Plant Management

• Assign senior staff members as the lean advocates
• Make available other plant staff as necessary to
  assist the lean advocates
• Support of senior management for lean activities

24
Lean Advocate

• Approximately 200 hours
• Pivotal members of the project team
• Develop value stream maps
• Train plant staff
• Lead RPI events
• Document RPI events
• Participate in final team meeting

25
Plant Staff

• Support the data collection effort
• Undergo pre-RPI training lead by the lean
  advocates
• Participate in RPI events
• Participate in the continuous improvement process

26
MHRA Team

• Dentz overall project coordination
• Warden and Mullens serve as primary team contact
  for 4 or 5 plants
• Responsibilities
• Guidance on value stream mapping
• Feedback and input on strategy
• Facilitate RPI events
• Four visits to each plant
• Be a sounding board for any lean issues for the
  duration of the project

27
Plant Assignments

• Cavalier Homes
• Chelsea Modular
• Clayton Homes
• Palm Harbor Homes, Plant City
• Southern Energy Homes
• Team contact Michael Mullens

• Four Seasons Housing
• Hi-Tech Housing
• Palm Harbor Homes, Albermarle
• R-Anell Housing
• Team contact Dewey Warden

28
Agenda - Monday

• Orientation 800 to 900
• Senco plant tours 900 to 1200
• Visit to daily accountability meeting room 1200
  to 1230
• Lunch and panel discussion 1230 to 130
• Sencos Lean Transformation and Management
  Commitment 130 to 230
• Lean Basics 230 to 400
• Demonstrations 400 to 530

29
Agenda - Tuesday

• Value stream mapping current state
• Case study
• Value stream mapping exercise
• Review of exercise

30
Agenda - Wednesday

• Value stream mapping future state
• Case study drawing the future state
• Value stream mapping exercise future state
• Review of exercise

31
Agenda - Thursday

• RPI event overview
• The 5 Ss
• Plant focus areas

32
Agenda - Friday

• Review of lean topics
• Next steps discussion of assignments
• Tools
• Wrap-up

33
Daily Schedule

• Meet in hotel lobby 700 for ride to Senco
• Breakfast 730 in Senco training room
• Lunch in Lean Management Training Room
• Ride back to hotel
• Dinner meet in hotel lobby 630pm

34
In Conclusion

• Ask questions
• Share ideas
• Debate concepts
• Discuss past experiences
• After each concept is introduced how can this
  apply to a housing plant?