Continuous improvement and the Kaizen methodology were first developed by Japanese automaker Toyota, so it's not surprising that other car companies are implementing Lean manufacturing as a way of improving their plants' profitability.
Chrysler Group's return to profitability leans heavily on a new continuous improvement initiative developed by parent company Fiat. Speaking at a conference taking place in Plymouth, Michigan, the company's head of World Class Manufacturing, Mauro Pino, recently detailed the initiative. Chrysler first implemented the program three years ago as a way to improve all plant processes, ranging from safety to maintenance. This past January, the initiative was rolled out further, and Chrysler launched a training academy to ensure all of its plants could integrate the continuous improvement effort.
Pino notes the immense financial benefits from the program: The company has been able to save more than $1 million since launching the academy, while it also recorded income of $473 million during the first quarter, which are the best recorded results since 2009. By the end of the year, Chrysler expects to save $2.5 million.
One of the ways Chrysler has improved production is by delivering parts straight to line workers, rather than having them walk to different departments to continue work. This eliminates time wasted on activities that don't provide value to the company.
“We want to pay the employee for working, not walking,” Pino said at the event, as quoted by IndustryWeek. “And the customer expects to pay for the bolt that a worker screws on but not for the time spent retrieving the part.”
The program also encourages workers to voice their opinions on plant processes if they feel they could improve them. For example, one plant worker utilized training from the academy to identify the root of a problem that made pallets stop the line upward of a dozen times per day.
The importance of training
Lean manufacturing is a complex process – to minimize waste, both managers and employees need to be trained to identify root problems and create ways of addressing these situations. In that regard, providing effective training is absolutely paramount to ensuring the success of Kaizen integration.
Companies such as Enna produce a wide variety of training materials that can be used to facilitate workshops and reinforce training sessions. Workbooks, presentations, posters – these professionally produced materials can all help workers better understand the core tenets of Kaizen and serve as a reminder once they return to the job.