BPS-Handbook 2019 en [PDF]

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Bosch Production System Always. Doing. Better. 3rd Edition

Bosch Production System Always. Doing. Better. 3rd Edition

© Robert Bosch GmbH 2019 All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.

Foreword to the 3rd Edition The digital transformation is changing our lives and society and is also revolutionizing the industrial environment to an unprecedented degree. As the real and virtual world converge in the “Internet of Things”, the value-added processes also change; space is created for new business models and new perspectives for humanity. Our success at Bosch essentially depends on how consistently and actively we shape the digital transformation and make use of the new opportunities. We are well prepared because, since the start of the BPS initiative in 2001, we have developed a culture that continuously strives for improvement. An expression of this culture in the production environment is the Bosch Production System BPS that helps us think in terms of value streams and create lean, stable and transparent processes. Furthermore, BPS demonstrates that people must always be the focal point of all processes, whether analog or digital, who have to organize them, master them and continuously improve them. The principles of BPS thus form a strong basis on which we will continue to drive digital transformation at Bosch.

4 | Foreword

BPS also continues to develop – currently in the direction of the digital world: Digital solutions and tools make it possible for us in future to plan and improve value streams more efficiently and thus guarantee a fast ramp-up and stable operation. We design the physical and digital production world in order to further improve quality, costs and delivery performance and thus increase customer satisfaction. To meet the requirements of current developments, we have revised and supplemented the BPS handbook. This 3rd Edition now includes a compact complete overview at the start. The following chapters contain further information on the integral parts, the application and the success factors of BPS. The handbook is now also linked with other useful information sources – you can access them via the QR codes. I wish you every success with the use of the handbook and the implementation of BPS.

Michael Bolle, G11

1.2. BPS and Digitalization

9 15

55 58

4.3. BPS-Principles

59

4.4. BPS Elements

63

2. Application 21 – 38

5. Appendix 91 – 125

2.1. The BPS Planning Guideline

23

5.1. Glossary

2.2. The BPS System Approach

29

3. Success Factors 39 – 52

5.2. Value Stream Symbols

104

5.3. List of Abbreviations

112

5.4. Further Information

114

41

3.2. Value Stream Organization

42

3.3. Competence Development

45

3.4. Industrial Engineering

47

3.5. User Experience

49

3.6. Maturity Evaluation

50

Basics

3.1. Leadership and Mindset

93

Overview

4.1. Added Value and Waste 4.2. True North

Application

1.1. BPS in a Nutshell

7 – 20

Success Factors

1. Overview

4. Basics 53 – 90

Table of Contents | 5

Appendix

Table of Contents

How to use this Handbook The BPS handbook conveys the theoretical foundations of BPS; it is intended to accompany day-to-day work and to serve as a reference medium. The BPS handbook is updated regularly. The current 3rd edition provides information with different levels of detail: ▶ Chapter 1 provides an overview of the Bosch Production System BPS and offers a forecast of future developments in the area of digitalization. ▶ The other chapters contain a closer description of the fundamentals and integral parts of BPS and the procedure and success factors of the implementation. The Appendix with Glossary, List of abbreviations and Value stream symbols, is used for speedy looking up of information. ▶ In addition to the printed information, the handbook offers direct access to online content via QR codes, e.g. in the Bosch Connect Community BPS@Bosch.

6 | Introduction

Meaning of the graphical elements in the text: Terms marked like this are explained in the * Term Glossary

These symbols refer to content on the subjects Industrial Engineering, User Experience and Digitalization.

Scan the QR codes with your smartphone to find more detailed information in Bosch Connect. Requirement: Installation of the Bosch Connect app.

Basics

1. Overview Appendix

Always. Doing. Better. Success Factors

Application

Overview

A concise summary of the Bosch Production System BPS and the systematic application of digitalization in the value stream: ▶ What is BPS, how is it structured, and how can we apply it successfully? ▶ Which new possibilities does digitalization offer and how do we use them in the framework of BPS?

8 | Überblick

Application Success Factors

In this environment, we can assure growth and profitability by reacting flexibly to changes in the market and economy and, at the same time, minimizing resource requirements in a targeted manner. We make use of digitalization, connectivity and artificial intelligence to develop innovative business models. This provides us with new opportunities to increase our earnings potential and to consolidate it in the long term.

Bosch Connect Community BPS@Bosch

Order fulfillment process: Process of fulfilling customer orders from the point of order placement to the delivery of the manufactured products.

Basics

Like all international corporations, Bosch is also faced with the challenge of ever shorter development cycles and product lifecycles. At the same time, product variance is increasing and the markets are becoming more volatile. Increasing digitalization shifts the framework conditions more and more.

In order to achieve this, in 2001 we started the Bosch Production System BPS. We use it to organize the order fulfillment process and all supporting processes of the indirect functions and improve them continuously. Its principles, methods and rules serve the associates and managers as guidelines for executing their tasks and assuming their responsibilities. The central objective of BPS is lean and thus waste-free production with a fast and continuous material flow.

A central prerequisite for success is the capability of meeting customer requirements faster, better and more cost-effectively than the competition.

Overview | 9

Appendix

1.1. BPS in a Nutshell

Overview

How we produce is heavily influenced by product development. In the framework of product lifecycle management, BPS is therefore closely intertwined with the product development process. In this manner, we develop production-optimized products and can organize manufacturing processes lean and flexibly right from the start. At the same time, we take the delivery and order behavior of our suppliers and customers into consideration in order to organize continuous processes. Experience from product application is incorporated in the product and production design. BPS is designed such that it can be applied to all production types in the different Bosch business sectors and divisions – from series production (* Make-to-Stock, MTS) and * Make-to-Order (MTO) to * Engineer-to-Order (ETO) production. As with almost all present-day production systems, BPS is based on the Toyota Production System. A central principle is continuous improvement. This also applies to BPS, which

10 | Overview

we have continuously modified and improved starting from the initial elements to the development of system awareness and on to its establishment as a management task. BPS is and remains a fundamental part of the activity of employees and managers. Nowadays, digitalization and connectivity spur the further development of BPS. Based on * standards in the order fulfillment process and a data strategy, additional options are created for improvement work that incorporate suppliers and customers. More data, and different types of data, can be collected continuously, and thus form the basis of IT-supported data analysis that further reduces waste in production. With the implementation of BPS, we are pursuing a concrete vision: We fascinate our customers and employees by delivering competitive products from an agile and sustainably waste-free value stream.

OUR APPROACH

We fascinate our customers and employees by delivering competitive products from an agile and sustainably waste-free value stream.

ALWAYS. DOING. BETTER. Application

OUR VISION

Lean and connected Value Stream Manufacturing BUSINESS SUCCESS

Logistics

Additional value stream function (Purchasing, Engineering etc.)

OUR PRINCIPLES

Leadership and Mindset Qualification Pull principle

Fault prevention

Flexibility

Personal responsibility

Transparency

Continous improvement

Standardi­zation

Process orientation

Basics

COLLABORATION

Overview | 11

Appendix

Quality

Success Factors

OXOX

Overview

Value streams are considered on different levels: ▶ Cross-company ▶ Cross-plant ▶ Plant level (ramp to ramp) ▶ Sections of a plant

The leanness of a value stream is indicated by the share of valueadding activities in the throughput time, by how short the through­ put time is and how strongly it fluctuates.

12 | Overview

A * value stream summarizes all value-adding and non value-adding activities that are required to create a product or a service and to deliver it to an internal or external customer. We develop these value streams with the help of BPS. Flow and stability are basic indicators of a value stream. Non value-adding activities are reduced to a minimum to guarantee a steady and fast material flow and thus to meet the delivery time desired by the customer. We also adapt quickly and flexibly to new market requirements. During development and optimization, the complete value stream is analyzed and systematically improved. In all activities we focus on people as actors. We therefore organize work systems that permit individuals to fully develop their capabilities and perform well in the long term.

The ideal state of a value stream is characterized by 100% added value, 100% delivery performance, zero defects and * one-piece flow. All our measures for design and improvement are geared towards this so-called * True North, which is also used to measure our progress. As an orientation point, it shows us the direction we need to go to approach our vision. On the way to this goal, the eight BPS principles form the basis of our activity and for the interaction of the different functions. The principles are universally applicable constant variables. We underpin them with the use of the BPS elements – a variety of tools and methods. The character of these elements can vary, for example, due to the production type or order behavior of customers, and can develop further due to new technical possi­ bilities such as digitalization. Understanding the interrelations between the elements and their systematic application to ensure that they contribute to the optimization of the complete value stream is of decisive importance for success.

SOP

BPS System Approach

Success Factors

Application

We implement BPS in a continuous improvement process: The results of the implemented measures are checked and serve as the starting point for further optimization. When doing this, we proceed according to the * PDCA method (Plan, Do, Check, Act).

PLAN

ACT

DO

CHECK Basics

▶ In the phase before SOP (Start of Production), we use the BPS Planning Guideline (PGL) for planning and redesigning lowwaste production systems. We thus systematically avoid project risks, develop manufacturing-optimized products and design low-waste and flow-oriented production and logistics right from the start. Digitalization is a focal point in the design of the value stream. We use it to control and regulate processes and create transparency with regard to performance – it thus forms the basis of improvement. In the PGL process itself, we use IT tools to accelerate the planning process and to make a fast ramp-up possible.

BPS Planning Guideline

▶ To optimize existing value streams, we use the BPS System Approach. It helps us understand the overall interconnections in the value stream and to develop tailored solutions. The scope can even extend to international production networks (IPN) and global value streams. Overview | 13

Appendix

During the implementation of BPS, we therefore apply standardized procedures in the complete production lifecycle:

Overview

The application of BPS has revealed that, apart from the systematic implementation, further factors have a decisive effect on the success of BPS: ▶ Leadership and mindset: Conviction and motivation of associates in the organization are decisive for economic success. The promotion of this is the task of managers in the value stream. Only their support and consistency can guarantee the sustainability of the introduced measures and the achieved results. ▶ Value-stream organization: An efficient organizational structure that is capable of acting with a value stream manager and team overcomes functional limits and target conflicts. It makes consistent activity and fast decisions possible. ▶ Competence development: A Bosch-wide, standardized, target group-specific BPS qualification concept with a modular structure in step with actual practice conveys the required knowledge and capabilities to managers and associates to drive the implementation of BPS.

14 | Overview

▶ Industrial Engineering: The organization of the work systems must meet the requirements of associates to allow them to fully develop their potential. From the workplace to the working environment and on to work organization, Industrial Engineering (IE) creates the best possible working conditions and thus ensures that associates in the value stream remain healthy and productive. ▶ User Experience (UX): As “users”, associates are incorporated intensively in planning and the improvement work by means of a UX approach (UX = User Experience). ▶ Maturity evaluation: Regular assessments are used to measure the maturity of our value streams. We carry out these maturity assessments for the activities before and after SOP (PGL assessment, BPS maturity assessment) and for Industrial Engineering (IE assessment). Since its introduction, BPS has developed into an established and recognized system for designing our order fulfillment process and makes a valuable contribution to securing our corporate success.

Basics

Success Factors

BPS and digitalization in the value stream We use digitalization in BPS to achieve constantly available transparency of our material and information flows. This gives us better control of our daily production processes and permits more efficient organization of continuous improvement because we can find the causes for deviations faster and in a targeted manner.

Overview | 15

Appendix

The digitalization of the production environment rapidly creates new technical opportunities. Bosch has recognized this development as an opportunity and is a leading provider and user of digital solutions in production. The successful implementation of digitalization requires a standardized, scalable and secure IT environment to prevent waste in production through the consistent use of data. Digitalization is an enabler that requires standardized order handling processes. How and to what purpose we use it is derived from a higher-level production strategy. This is the only way to ensure a consistent and globally compatible implementation. At Bosch, this higher-level framework is the Bosch Production System. The implementation of digitalization in our value streams is derived from this framework.

Application

1.2. BPS and Digitalization

Overview

People in digital production In digital production, people are decision-makers, organizers of the value stream as well as users of digital tools. ▶ As decision-makers, they are supported with automatically generated information from IT. The programs recognize the context of the information and provide application-specific data in a suitably compacted form. Decision-makers have the relevant information at their disposal, which means that time-intensive analyses are not required. IT decides independently only in the framework of predefined rules. For example, automated data preparation can take place as a reaction to the violation of intervention limits.

16 | Overview

▶ As organizers, people develop and optimize the value streams and the IT systems. A particular focus is placed on the organization of the human-machine interfaces. We organize these together with the user of the software. Organizational tasks include both, the Planning Guideline as well as the process improvement in the framework of the System CIP cycles. This also includes the definition of rules, standards, intervention limits and predefined reactions to deviations. ▶ As users, people are guided by digital tools which means that even high variance remains controllable and errors can be avoided. Regularly recurring planning operations are taken over by digital tools. Users utilize the provided data to execute their activities, create transparency and for continuous improvement.

Automation of data acquisition allows us to gather production data on an unprecedented scale. For example, we record the throughput times for all product types from runners to exotic products. Our interest here is not just focused on the total throughput time but also all individual steps, for example, processing, transport and waiting times.

Application Success Factors

Data strategy One area of great potential for digitalization is the possibility of a global comparison of processes and results and learning from it. This is only possible with standardized processes. On the other hand, the process data must be available worldwide and be comparable. Whereas availability, in particular, is an issue related to the IT infrastructure, comparability is a result of worldwide standardization: We have developed the BPS Data Model for this purpose, which clearly defines all standardized data and key figures and describes them in detail.

In a technical sense, “real time” usually refers to milliseconds. Our applications often do not require such frequent updating. For all data, we therefore define which updating rate is practical and necessary, e.g. once a minute, hour or shift.

Basics

Deviations from target states are already detected shortly after their occurrence. Wherever possible and practical, automated trend analyses have a preventive function and indicate possible problems. In future, we will increasingly make use of the methods of artificial intelligence. Through the definition of intervention limits, we permit IT to automatically trigger initial escalation steps if the limits are exceeded or undershot.

The analysis of the variances and average values of this data, as well as the tracing of the causes, provide an ideal basis for further improvement work in the value stream.

Overview | 17

Appendix

“Real-time” data acquisition in the value stream Information and material flows are recorded in IT in “real time”. We thus know the current status of production at any time.

Overview

The data items from this model are available on a data platform. They are assigned to digital objects and connected with one another via relations. This provides us with a digital image of reality, the so-called * Digital Twin. This makes simulations and automatic decision memos and even self-control systems possible.

The correct data architecture is important for making the complexity controllable and for guaranteeing data security and quality (cf. illustration). The data is retrieved via the Staging Layer. Here, it is converted, registered and then filed in standardized formats with unique designations in the Core Layer.

Data architecture for production data

Source Systems

MES

Business Glossary

Staging Layer (Volatile)

Data Governance Data M Models

Core Layer “Facts” (Persistent)

Data Catalogue

Business Layer “Truth” (Virtual)

Planning

Reporting

Unstructured

Data Mining Exploration

Data Mining Exploration

SAP

18 | Overview

Access Layer (Virtual)

Application Layer

Structured

Machine Controller

...

Data Security

Streaming (Volatile)

Monitoring & Control

Success Factors

Application

Consistency of data acquisition A core success factor of digitalization is the consistency of data acquisition. On the one hand, this refers to data acquisition and processing throughout the production lifecycle: Initial value stream data is already prepared in the planning phase during implementation of the Planning Guideline. These are important reference variables for subsequent operation of the value stream. Data acquisition only ends after the product disappears from the market.

Basics

On the other hand, our value stream reproduces all processes of the order handling process from the supplier to the customer. Accordingly, we also acquire data from the supplier to the customer in the “data value stream”. Whereas supplier data has a special significance for controlling our production process, field data is very important for improved product comprehension. We can only design our products to meet customer requirements if we understand exactly how customers use our products.

Overview | 19

Appendix

This makes central data access possible, reduces post-processing complexity and makes the data comparable worldwide independently of its source. We achieve flexibility by storing the data separately from the data model. The calculation rules for BPS key figures are saved in the Business Layer. Fast and safe access to the data including an authorization concept is regulated in the Access Layer. Our data management supports standardized user-oriented reports and individual ad hoc evaluations. We are thus able to carry out short-term evaluations at any time. We can connect new applications quickly to our data platform by using alternative data models.

Overview

Guidelines for transparency During the introductory phase of digital tools, in particular, we note every now and again that transparency is lost in the value stream at least in a transition period. However, digitalization is supposed to achieve exactly the opposite!

Continuous transparency during transition ▶ Stability of digital equipment is achieved before removing the paper-based equipment. ▶ Transparency must be granted at any time during transition.

Comprehensive material flow ▶ Predefined and unambiguous flow through the value stream for each part number. ▶ No automatic rescheduling without information on root causes and human confirmation! ▶ Guaranteed replenishment lead times.

20 | Overview

The following rules support the advantages of digitalization and help avoid possible disadvantage:

Comprehensive digital data preparation

Qualification of personnel

Automatic preparation of electronically collected data allows today’s shopfloor personnel to easily:

▶ Qualification is key success factor.

1. detect deviation and

▶ Competence must be available on the shopfloor.

2. recognize the root causes of deviations. Maturity of processes ▶ Maintenance of master data is mandatory. ▶ Mature your processes (clarity, stability, improvability) prior to digitalization.

▶ Additional skills in data analytics required.

Gemba walks ▶ Gemba walks remain key element of our improvement work! ▶ Only the combination of the information from the IT systems and the observations from the shopfloor results in a holistic picture.

Basics

2. Application Appendix

Always. Doing. Better. Success Factors

Application

We use standardized procedures for the implementation of BPS: ▶ Before Start of Production (SOP), we use the BPS Planning Guideline (PGL) for planning and redesigning of low-waste manufacturing systems. ▶ We optimize existing value streams with the BPS System Approach.

22 | Umsetzung

The elements of the PGL build upon one another. Interdisciplinary interaction of all functions in the Simultaneous Engineering (SE) team is a core success factor during the implementation.

Bosch Connect Community BPS-Planning Guideline@ BOSCH

PGL experts support the project manager during planning, provide methodological guidance through the PGL elements and contribute to an efficient project process with their experience.

An overview of all BPS norms and Central Directives can be found in the appendix on page 114

The PGL should be started as soon as possible, for new value streams ideally already in the innovation phase, in order to work towards a

Success Factors

The aim of a robust design is to make the product insensitive to fluctuating influences (material, method, machine, environment, employees).

Application of the BPS Planning Guideline is binding for the new planning of category A platform projects at Bosch. For other planning projects the application in an adapted form is recommended. The PGL Configurator helps defining the necessary and recommended elements. The Planning Guideline is anchored in the Bosch Norm N62P and integrated in the respective product engineering processes (PEP) of the business areas.

Basics

The BPS Planning Guideline (PGL) is a systematic approach for planning new and redesigning existing value streams. The aim is to avoid project risks, to develop products suitable for production, to make production and logistics lean and to enable fast ramp-up. The result of the PGL process is a robust product design, a machine, digitalization and data concept designed for the product lifecycle, and reliable processes in production and organization that focus on people as central players.

product design suitable for production. This creates the prerequisites for a high BPS maturity level already at the start of production.

Application | 23

Appendix

2.1. The BPS Planning Guideline

Overview Application

It may also be necessary to repeat certain elements, for example, due to changes to the product, processes or planning premises.

The question focuses not only on production itself, but also on how data from the utilization of the finished product can be acquired and used.

Digitalization is a focal point in the organization of the value stream: Our intention is to use data to prevent waste in production. We use digitalization for the control of processes. Furthermore, it creates transparency of the effectiveness of a value stream and thus forms the basis for improvement. For planning digitalization and data management, we clarify the following questions with the help of methodological support:

In the planning process itself, we use a set of IT tools to prepare a digital model of the value stream and to optimize it, e.g. with the help of simulation. By building up a consistent data­ base, we will ensure that the data is uniform and up-to-date throughout the entire planning process. In the course of further development, we will improve the planning process by using data from already implemented value streams and enable virtual commissioning or virtual testing of changes. Solutions we assess as best-in-class will be stored as standard solutions. This will accelerate future planning and reduce investment through scaling effects.

▶ Who needs which information? ▶ When, where and how often is data recorded in the value stream? ▶ How is the data forwarded, processed and stored in the value stream? ▶ Which IT infrastructure is required (value stream, plant, business area)?

24 | Application

Interaction of the elements in the Planning Guideline

Design product/ process Premises, risks Target deployment

 IG2

IG3 

PCD with Concept DFMA

PGL prior to SOD

Product-/process DF development

Product-/process concept development

 QGP0 / Kick-Off

QGP1 

 

QGP2 

Premises, risk analysis Targets & focus

Value stream

VSD overall incl. SCND

MFG and logistics planning

Rough MFG concept

Scaling

Detailed Planning

PGL after SOD

= = = = = = = =

QGC4 

VSD on process level Line Design (LLD/ALD)

Quality Gate Platform Innovation Gate PGL Assessment Design for Manufacture and Assembly Quality Gate Customer Design Freeze Process Chain Development Start of Development

Premises, risk analysis

Changes Iteration of PGL Elements

Contracting

QGPx IGx PA DFMA QGCx DF PCD SOD

 QGC0 …

 

QGC5 

 

DFMA

Customer project pilot customer

Targets & focus Targets & Focus

VSD overall incl. SCND

Detailed planning (Logistics, ergonomics, processes, MAE, standards, …)

Flow-oriented layout (FOL)

Production Lifecycle Planning (PLCP), scenario evaluation

Evaluation

 

Serial prod.

Product Development Process DFMA

VSD overall incl. SCND

Scenarios

 

SOP

Product-/process realization

PA1

SOP VSD LLD/ ALD FOL SCND PLCP HS

Scal

LLD/ ALD

FOL

PLCP, scenario evaluation PA2

= = = = = = =

VSD on process level

Contracting

PA3

PA4 +HS

Start of Production Value Stream Design Lean/Automated Line Design Flow-oriented Layout Supply Chain Network Design Production Lifecycle Planning Handshake PGL => Series



Success Factors

 … 

SOD

Basics

IG0 

Concept study/Project preparation

Application | 25

Appendix

Innovation process

Overview Application

The PGL before the Start of Development (SOD) The phase of the product engineering process before the SOD offers the best possibility to influence the product design, the manufacturing processes and the value stream design in order to avoid any waste in the future value stream. For this reason, single PGL elements are used on a higher concept level. In the workshops Design for Manufacture and Assembly (DFMA), Value Stream Design (VSD) and Preparation of Production Concept, the first process chains are worked out. The rough concepts of the possible design variants are compared and initially checked for manufacturability, optimized and evaluated. An important point is the decision which added value we want to create ourselves and which is to be bought in. An initial definition Make and/ or Buy (* MaoB) is already made in the phase before SOD. The results serve as a decision-making aid for the progress of the project.

26 | Application

The PGL after Start of Development (SOD) At the start of the series development (SOD), the rough concept that is favored in the phase before SOD forms the basis. Based on this the production concept is developed further in more detail. This is done in several steps. In the first step, the PGL project agreement (Contracting), we define the planning principles as the basis for project control and use the PGL Configurator to define the planning scope. When forming the team, we ensure that all areas of competence are represented. Apart from the classic planning functions, MES experts (* Manufacturing Execution System) and IT system architects, in particular, are important for the buildup of the digital value stream.

Success Factors

In the PGL element Scaling, alternative production and assembly concepts are developed and evaluated. First we define a basic concept for all production steps with as little automation as possible. The step-by-step improvement of the respective * bottleneck station results in further production or assembly concepts with a higher capacity and increasing automation. An automation level that suits the product lifecycle can thus be determined in a targeted manner. The process is supported by the scaling tool whose data is forwarded for further processing to the following processes.



Basics

In the PGL element Design for Manufacture and Assembly (DFMA), we optimize the product design and the production processes. This is carried out in an interdisciplinary team with experts from Development, Production, Process Development, Quality Assurance and Project Purchasing. In the course of the * process analysis, the team defines which data is to be recorded, among other things, to obtain more information for improving the reliability of the processes.

We use the Value Stream Design (VSD) (see pg. 63) to describe the target state of the planned production – on the one hand, for the situation at the start of production and, on the other hand, for the steady state. This is carried out in two detailing steps. In the Overall value stream, we harmonize the material and information flow from the supplier to the customer over all value stream sections. On the production process level, we then describe the production-internal processes.

Application | 27

Appendix

In the following step, premises, risk analysis, target & focus, we determine the project risks in relation to the product lifecycle, sales volume, production processes and variant complexity. These are reduced as far as possible. Furthermore, in this step we define the degree of automation for the first investment stage and clarify the requirements from the internal and external framework conditions (Business Requirements). Apart from business and technical aspects, this also includes the digitalization and data strategy within the business area and the supply chain, as well as data and application standards defined on corporate level.

Overview Application

With a view to increasingly shorter product lifecycles, the requirements for future manufacturing systems for flexibility in terms of production volume and variants increase. For the evaluation of line concepts and investment scenarios over the production lifecycle, we use the method Production Life Cycle Planning (PLCP). The aim is the selection of a cost-effective and low-risk investment strategy. In this regard, we examine not only the cost-effectiveness of the different scenarios in a sensitivity analysis, but also the sensitivity to changes in the basic requirements for planning. This provides us with statements about the risks associated with the decision for a specific scenario.

productivity loss. We plan lines that are predominantly automated with the PGL element Automated Line Design (* ALD). Here, the focal point is on the best possible line balancing of the individual stations.

With the previous planning steps the production concept has been defined. Now the design of the work system begins.

The QGP1 (Quality Gate Platform) (* QGC, QGP)finalizes the conceptual planning. Following this, the detailed planning of the systems, processes and work standards takes place.

We plan manual and semi-automated work systems with the BPS element “Lean Line Design” (see pg. 76). The aim is the design of flexible work systems. These systems can be adjusted to a changing * customer takt through the adaptation of the number of employees without

28 | Application

With the help of the Flow Oriented Layout (FOL) (see pg. 78), we arrange the systems and devices that were designed in the framework of the Lean Line Design or the Automated Line Design in a process-oriented manner. This minimizes transport and handling complexity. Apart from the systems and devices, we take all necessary adjacent areas, storage areas, buffer areas and traffic routes into consideration.

The BPS System Approach is a procedure to improve the existing value streams from the supplier to the customer in a holistic, targetoriented and sustainable way. It consists of three consecutive phases:

In the course of the BPS System Approach, we run through one to four improvement cycles a year. We derive focus topics to improve the value stream and work out the improvement activities through manageable System CIP Projects. The value stream leader is responsible for the implementation of the BPS System Approach.

1. * System CIP 2. System CIP Projects and * Point CIP 3. Daily Leadership Routines

Basics

Success Factors

BPS System Approach in BPS@Bosch



Application | 29

Appendix

2.2. The BPS System Approach

Overview

Improvable System Value Stream Vision

1. System CIP

▶ 100% added value ▶ 100% delivery performance ▶ Zero defects ▶ One-piece flow Internal and external framework

1.3

▶ Customer ▶ Market ▶ Business plan ▶ GB/plant strategy ▶ Digitalization strategy

1.1

▶ VSD (3-5 years)

Focus topics

1.4

Stability, Flow, Vision Analyze fluctuations

Identify main levers

Current situation

1.2

▶ VSM ▶ KPR, KPI ▶ Bubble diagram

Go to Gemba

2. System CIP projects and Point CIP

Target situation System CIP project 2.1 New standard, KPI,.. Point CIP

2.2

Stabilization of the new standard

1.5

▶ VSD (current cycle) ▶ KPR, KPI ▶ Bubble diagram

Point CIP Stabilization of the new standard

Point CIP Stabilization of an established standard

Supporting functions System CIP project

…

New standard, KPI,..

…

Current Situation Point CIP

…

Stabilization of the new standard

…

Daily Leadership Routines Structured communication, Monitoring KPI, process confirmation, Gemba walk, continuous improvement

30 | Application

Lessons Learned

True North

3. Daily Leadership Routines

Application

BPS System Approach

1.4

Stability, Flow, Vision Analyze fluctuations

Identify main levers

Go to Gemba

Success Factors

For each focus topic, we now use an iterative process to define target situations (1.5): Each * abnormality in the value stream results in instability and extended throughput times. Therefore, we work on the focus topics by setting target situations in order to increase stability and shorten throughput times. For this purpose, we do on-site observations (Go to Gemba) and also use the data available in our IT systems.

Basics

From the value stream vision, the current situation (1.2) and the internal and external requirements (1.3) we derive the focus topics (1.4) for the System CIP cycle. Process data from the IT systems of the value stream as well as manual recordings set the basis for our decisions. In addition, findings from the previous System CIPs are taken into account as input.

Focus topics

Application | 31

Appendix

Phase 1: System CIP With orientation toward the * True North, we initially establish a value stream vision (1.1) that specifies the direction for the value stream in the next three to five years. This is reviewed on a regular basis.

Overview Application

Phase 2: System CIP projects and Point CIP The input for all System CIP projects (2.1) is the previously defined * target situation. Within the project, together with the relevant associates, we work out an improved standard to achieve the planned target situation for the value stream. Once we have confirmed (validated) the standard as feasible, we ensure its stabilization within Point CIP (2.2). This is necessary because, in operation, disturbances may affect the new standard making it instable again.

The five elements of Point CIP

B. Quick Reaction System

C. Structured Communication

E. Process Confirmation

A. Standards

32 | Application

D. Sustainable Problem Solving

The input for Point CIP is the new standard (A). The shopfloor associates and managers form the Point CIP team. They analyze the processes according to the new standard and document deviations. If deviations are detected, the Quick Reaction System (B) is activated. For this purpose, a procedure is defined stating who has to react how and how fast. All involved persons (e.g. manager and supporting areas) meet for Structured Communication (C) to achieve a Sustainable Problem Solving (D). They analyze the root cause of detected deviations and define appropriate corrective measures. Ideally, their effectiveness should be checked every day and the success confirmed by Process Confirmation (E). Point CIP ends when the new standard is proven to remain in the * target condition.

Lessons Learned Improvement work can also be improved! After an improvement cycle has been completed, we look back into our procedure and define improvement potentials which we consider in the next cycles.

See also “Supporting key indicators system”, pg. 35 ff.

Success Factors

Phase 3: Daily Leadership Routines Once the target condition is achieved the required stability, the standard is handed over from Point CIP to the Daily Leadership Routines. Here, we continuously measure the * Monitoring KPI. They show whether the performance of the value stream or value stream section corresponds to the target. Within the framework of regular communication, we decide which deviations are relevant and how these deviations are to be handled: We react to a one-time deviation and a known cause with immediate measures as part of the Daily Leader­ship Routines. In case of repeated deviations, the problem is returned to Point CIP or System CIP.

Application | 33

Appendix

Basics

Application of the Daily Leadership Routines is binding in all production value streams.

Overview

 Definition of the focus topics  Definition of the target situation

System CIP projects and Point CIP  Validation and implementation of the standard

 Stabilization of the standard  Elimination of fluctuations

Performance

Application

Goal

System CIP

Daily Leadership Routines  Maintain the standard in the existing system  Fast reaction to abnormalities to return to the standard  Collection of data and facts for the next System CIP cycle

[Monitoring KPI]

Intervention limits Target

Standard is defined, validated and introduced

Fast reaction with root cause analysis

Defined time period for the confirmation of stability

Reaction to deviations aims at fast return to the standard Target condition is reached and stability has been confirmed. The standard is handed over from Point CIP to the Daily Leadership Routines

[Improvement KPI]

Time

Connection between System CIP, Point CIP and Daily Leadership Routines

34 | Application

Value Stream KPR

Supporting key indicators system In our improvement work, a system of indicators helps us to evaluate the success of our activities. Direct productivity

Planned operating time

Cycle time

Quality losses

Organizational losses

Technical downtime

Changeover losses

…

Organ. losses station X

Tech. downtime station X

…

Missing material

Missing operators

…

…

Breakdowns

Small interruptions

…

…

Cycle time losses

Basics

OEE

Success Factors

Man hours

…

Remark: This * KPI tree is an example and is not exhaustive



Application | 35

Appendix

Improvement KPI

Monitoring KPI

Output

Overview Application

VS: Value Stream KPR: Key Performance Indicator Results KPI: Key Performance Indicator

We distinguish between: 1. * Value Stream Key Performance Indicators Result (VS-KPR) are the highest level of aggregated indicators. There are eight VS-KPRs: Total * replenishment lead time, delivery service, total coverage time, direct * productivity, indirect productivity, MAE productivity, 0-km failure, internal failure cost. 2. * Monitoring KPIs are used to monitor the value stream. However, they cannot be determined directly at the process. Examples are: * OEE, leveling adherence, rejection costs, scrap. 3. * Improvement KPIs are measured directly at the process and make the improvement clear. Examples: Number or duration of downtimes on station X due to a stuck spring, number of rejected parts due to missing o-ring, number of changes in the production plan due to missing component Y. For continuous analysis of the value stream we use a standardized data platform. This enables us to come much closer to our vision of wastefree production.

36 | Application

Improvable system through clarity in the value stream The continuous application of the BPS System Approach leads to * clarity in the value stream. There is clarity in the value stream when the following characteristics are met: ▶ Defined data structures, material and information flows ▶ Defined and applied standards ▶ Decoupled processes or stations ▶ Transparency ▶ Clearly defined roles and responsibilities This defines a target situation, which enables deviations to be easily and quickly detected. Once we have reached such a clear state, we call this an * improvable system. The clearer the value stream, the simpler the data structure describing it and the easier it is to optimize production. With IT support, we can now continuously analyze data, act faster and optimize significantly larger value stream segments up to complete value stream networks.

Success Factors

In the IPN System CIP, we use the Supply Chain Network Design (SCND) method in order to also take into account additional aspects such as customs and legal framework conditions when designing our IPN. We use the * bubble diagram from the supplier to the customer to present the material flow. It includes the links between Source, Make and Deliver via the * Triad.

Basics

In the same manner as the * System CIP approach in the value stream, in the IPN we also carry out a System CIP based on the IPN Business Requirements. The aim is to guarantee holistic, target-oriented and sustainable improvement of the entire IPN. For this purpose, we define reasonable standards within an IPN. This includes, e.g. the definition of data and communication standards (roles/responsi­ bilities), standardized IPN Key Performance Indicators and areas of responsibility as well as manufacturing standards.

Improvement potentials include standardization in the IPN, optimization of the cross-IPN material flow to reduce logistics costs and to improve the exchange of information and data. This allows us to reduce waste in the IPN and use synergies with regard to the use of resources.



Application | 37

Appendix

System CIP in the International Production Network (IPN) Due to the Bosch local-for-local strategy and the fact that our customers are located all over the world, our production facilities are located in strategically important markets (regions). Locations that produce comparable products or product groups are a part of an International Production Network (IPN). The Plants in the IPN are defined as lead and manufacturing plants. The IPN is coordinated by an IPN manager.

Overview Application

System CIP in supporting functions Supporting functions (controlling, logistics, quality management, technical functions…) have an influence on the performance of the value streams. The value stream leader integrates them directly in the System CIP workshops.

System CIP in supporting functions in BPS@Bosch

The functional areas carry out their own System CIP cycles for their subject-specific processes and the overarching standards, which are geared to the needs of the value streams. Here, too, focus topics and system CIP projects are systematically derived and processed. * KPI trees illustrate the influence of supporting functions on the value stream result. A guideline adapted to the needs is available for this purpose.

38 | Application

Success Factors Appendix

3. Success factors

Basics

Always. Doing. Better.

In addition to systematic application, other factors are of decisive importance for the success of BPS. People are at the center of these success factors: ▶ Leadership and mindset ▶ Value stream organization ▶ Competence development ▶ Industrial Engineering ▶ User Experience ▶ Maturity evaluation

In BPS, the associates strive to comply with defined * standards and also to improve them continuously. They immediately recognize * deviations from the current standard and independently initiate stabilization measures within their area of responsibility. The further development of standards in need of improvement is organized actively together with the associates (* PDCA Cycle). The management team supports them fast and effectively. Managers inform themselves regularly about the status of the * value stream and ensure that all associates can perform their roles as efficiently as possible. Process confirmations help them to detect deficits and underline the importance of complying with the standards. In this way, they regularly compare the actual

They develop the vision of an almost ideal value stream with its data structures and material flows. They therefore know how the value stream should look in the long term and how digital information can be used profitably. They lead the associates accordingly in the planning work, the improvement work and the Daily Leadership Routines and continuously develop the value stream with regard to SQCD. The benefit for the total value stream has a higher priority than the departmental and functional interests.

Objectives in accordance with SQCD: S = Safety Q = Quality C = Costs D = Delivery performance

In their leadership role, they meet their associates at eye level. They are present on site, provide direct feedback and offer coaching. They promote, motivate and empower associates and celebrate success with them. They share their knowledge and explain their vision, strategy and actions.

Basics

The Bosch Production System is more than a systematic procedure or a collection of methods. It expresses the basic attitude of all involved associates and managers – from production worker to board member.

state of the value stream with the current requirements.

Success factors | 41

Appendix

3.1. Leadership and mindset

Overview

3.2. Value Stream Organization

Success Factors

Application

For successful implementation of the value stream concept in the Bosch Production System we need a form of organization which includes the order fulfillment process and all contributing functions, and at the same time ensures functional excellence. We achieve this by a value stream organization with a value stream leader and a value stream team. Its members remain disciplinarily assigned to their functional area. The strengths of this form of organization are its process orientation, transparency and increased personal responsibility. It also leads to better flexibility and response time. As part of this value stream organization, processes from the functional areas are assigned to the value stream. This means that processes that clearly belong to the value stream are assigned to the value stream, for instance from the functional areas (BPS, CTG, LOG, MOE, QMM, TEF). The workplaces of the involved associates are pooled in one space. To maintain the cost benefits, processes with synergy effects remain in the functional area that also 42 | Success factors

is responsible for the standards applying across the value streams. The responsible persons take care to adhere to specifications from the BU, GB and C departments. Target deployment follows the “Single Source of Targets” principle. Plant management defines the targets for the value stream leader who in turn defines the targets for the associates. Cooperation between the value stream and the functional areas in the plant are regulated through target and resource agreements.

Value stream organization in the plant

Target conditions set by GB/BV  (Single Source of Targets)

Target conditions set by GB/PU-Quality

Target conditions set by GB/QM

Plant Management

VS-Leader* 1

MOE Team VS1

TEF

LOG Team VS1

TEF Team VS1 Intra- LOG

VS-Leader* 2

MOE Team VS2

LOG Team VS2

QMM

QMM Team VS1 TEF**

TEF Team VS2

CTG

CTG Team VS1 QMM

QMM Team VS2

CTG CTG Team VS2

Basics

Purchasing/Quality plant

LOG

MOE central workshops, FCM

Disciplinary responsibility

Target responsibility

Success factors | 43

Appendix

* Agreement of targets and resources together with the functional areas (contracting) ** including COS

Overview Application

The value stream team is the core of the value stream-oriented form of organization and is guided by a value stream leader. He leads all activities within a value stream ‒ across functional boundaries – and bears responsibility for the value stream processes within the plant. These include the value stream vision, designing and optimizing the value stream, transferring the business requirements into Value Stream KPR, achieving the Value Stream KPR, and deriving improvement potential.

As part of the * System CIP cycle, the value stream leader prioritizes and makes decisions on the next steps to be taken, and also which functions drive the corresponding activities forward. He broaches the issue of target conflicts between individual value stream sections or the functions that are involved in the value stream, and he works together with the persons responsible for functions to find solutions.

Success Factors

If the operative business leads to an escalation triggered by the value stream, a coordinated and standardized procedure between the parties involved is activated.

44 | Success factors

For this purpose, the BPS Academy identifies the competences required today and in the future, and develops them with the help of a global qualification program.

Through a train-the-trainer concept and standardized training procedures, we ensure the consistently high quality and consistency of qualification measures worldwide. The trainers and train-the-trainers are multipliers who build up and secure competence on site.

Bosch Connect Community BPS Academy@Bosch

The Bosch norm N62T BPS001 describes the BPS and IE-qualification concept

Basics

Lifelong learning of our associates and managers ensures our competitiveness in a changing world. Therefore, in addition to coaching by superiors, a systematic development of all associates in all functions and hierarchical levels is required.

Competence management The competences required for the respective role of the associate are documented in curricula, i.e. target group-specific training plans. Competence Management at Bosch (CptM) ensures compliance with these curricula. In addition, we regularly check whether the qualification offer covers all current and future requirements.

Success factors | 45

Appendix

3.3. Competence Development

Overview

Qualification The BPS Academy provides different categories of qualification measures:

Success Factors

Application

▶ Classroom training courses convey a holistic understanding of BPS (e.g. BPS and i4.0, BPS Basics, Leading in a BPS Plant) (* Industry 4.0). They are designed to raise the awareness of the necessity of developing value streams continuously and in a target-oriented manner with regard to flow and stability.

Bosch Connect Community BPS-Jishuken@Bosch

Bosch Connect Community BPS.Leading.Improvement.

46 | Success factors

▶ Shopfloor training courses that are carried out in real value streams based on real problems. Here, the focus is on the capability of implementing BPS. These qualification activities also result in direct monetary benefits in our value streams. This type of “tangible” BPS is becoming increasingly important (e.g. * Jishuken, BPS. Leading. Improvement., Leading in a BPS Plant – Module 2). ▶ Media for self-learning that supplement or support the classroom and shop floor training courses.

In the course of the digital transformation, the content that requires qualification is changing. Our qualification methods take this into account. The data streams obtained in the value stream must be actively designed and used efficiently. New trainings such as “BPS and i4.0” or the practical training “BPS i4.0 Sprint” enable our associates and managers to shape digital transformation. These aspects are also incorporated in the current training portfolio. Speed counts. Therefore, we make increasing use of media for self-learning such as webbased trainings, learning apps, virtual classrooms and video tutorials (Bosch Tube) to support and promote the lifelong learning of our associates and managers.

The work system as location of added value is the core element of a waste-free * value stream. We use the methods and tools of IE to design manual work systems. The work system design, based on the individual workplace design, is a core success factor for high * productivity and quality.

We design the work systems according to ergonomic principles and make use of tried-and-tested methods and tools such as * ErgoCheck and the software * IGEL. Application ranges from manual workplaces to processes, e.g. multi-station work or quick * changeover, on to cyclical material supply. Furthermore, we design the human-machine collaboration and new aspects that arise due to digitalization, for example, an increase in the mental stress due to the acquisition and processing of information.

Bosch Connect Community Ergonomie - Ergonomics

See BPS element Standardized Work, pg. 66

Basics

Industrial Engineering (IE) at Bosch consists of work system design and time data management.

▶ Work system design The work system consists of the workplaces, the work environment (e.g. temperature, noise) and the work organization (e.g. procedures, shift model). The aim is to guarantee productive work and the preservation of the health of associates by creating optimal ergonomic working conditions. The introduction of * standards is crucial, because only standards make continuous improvement possible.

IGEL: Integrative maximum load calculation

Success factors | 47

Appendix

3.4. Industrial Engineering

Overview Application Success Factors

Central Directives/ Norms: ▶ Time data: CD 04603 –> N62C ▶ Ergonomics: CD 04605 –> N62A

Bosch Connect Community Time data Management / Zeitwirtschaft

48 | Success factors

▶ Time data management Time data management is the basis of company decision-making processes. It supports the planning and control of production processes, the calculation of orders, product costs, employee and machine capacities and the design of products and operating equipment. Time data management defines the duration of certain work operations with methods for the determination and processing of time data. It also provides data for measuring the * productivity of the work systems. Our preferred method for time data determination of manual work processes is MTM (Methods Time Measurement). Based on a work system design according to MTM (* MTM System), the optimum working methods that lead to the best possible standard times can be achieved. The different MTM methods have a wide variety of applications: in the mass and serial production that is prevalent at Bosch, but also in ETO and small series production, e.g. * changeover processes. In our daily work

we calculate the time data with the software CAPP Knowledge©, which has been introduced Bosch-wide. Our activities and tasks in Industrial Engineering (IE) are based on regulations in the form of laws, labor agreements, plant agreements, ordinances, directives and assured ergonomic findings. Company-internal, binding standards have been defined for their implementation. Observance of the principle of legality has the highest priority. We can only successfully arrange a work system as part of a value stream if the persons responsible for BPS and IE in the plants work together. In case of planning and re-planning, we want to avoid a subsequent need for corrections. We therefore integrate the IE experts who handle the design of the work system, processes, operating resources and products as early as possible.

Human-Centered Design Process

STEP 4 Test & Gather Feedback

STEP 1 Understand Context of Use

STEP 2 Synthesize Insights

Basics

START HERE Plan UX Activities

EN GEGEB

The users benefit from simpler and more intuitive usability. This leads to an increased acceptance of our standards and work systems. Commercial benefits result from faster reaction times, fewer faults and shorter on-the-job training times.

User Experience in BPS@Bosch

E EN FALLS WIED

STEP 3 Ideate & Realize

Success factors | 49

Appendix

Successful companies are characterized by the fact that in the development phase they place an emphasis on the requirements of users and not the products or technologies. At Bosch this is carried out applying the USER-EXPERIENCE (UX) approach. In relation to BPS, the UX approach means that during the design of our standards and work systems we take aspects into consideration that have a positive influence on user experience. Examples of this are the design of workplaces, processes and humanmachine interfaces. A user is every person who comes into contact with these products, systems and tools (among other things, machine operators, assembly workers or shopfloor managers).

To ensure that the user requirements are taken into consideration, we apply the DESIGN THINKING (DT) method. Our aim is to achieve excellent user experience. Therefore, we integrate the users already in an early stage and always put human requirements at the center. By observing users, we gain insights. Their evaluation guides us in defining our focus areas. Ideas are developed, tested in prototypes and improved in an iterative process. We realize this by working in cross-functional teams.

RH OL EN

3.5. User Experience

Overview Application Success Factors

Performance BPS maturity level

VS-KPR Time Improvements in the BPS Maturity Assessment equal improved Key Performance Results (example).

50 | Success factors

3.6. Maturity Evaluation

for coaching the value stream leaders.

To evaluate the maturity of a value stream regarding BPS implementation we use assessments. They are used to evaluate the degree of the implementation of the BPS methods and their effect in the value stream. It is our conviction that the consistent implementation of BPS contributes to the economic success of production at Bosch.

The following assessments are available for evaluating the BPS maturity: ▶ Planning Guideline Assessment for activities prior to start of production ▶ BPS Maturity Assessment and * BPS Essentials for the time after the series start ▶ Industrial Engineering Assessment for time data in the work schedule and the ergonomic design of manual work systems

The maturity evaluation is used to assess concept and execution: ▶ Questions about the concept: Which methods and elements are introduced? How are they implemented? ▶ Questions about the execution: What trend can be seen in the key result figures? The individual questions are assigned to different maturity levels, which represent a practical order of implementation toward the * True North of a value stream. We use assessments to derive potentials for continuous further development of the BPS maturity level. They are also used by assessors

Planning Guide Assessment (PGL Assessment) The PGL Assessment determines how well the targets from the PGL project agreement are implemented in planning and specifies which BPS maturity level can be expected in the subsequent implementation. We carry out the PGL Assessments at regular intervals. They support the early discovery of project risks and unachieved targets and thus allow us to introduce countermeasures in good time.

BPS Maturity Assessment The BPS Maturity Assessment is used to evaluate the complete value stream from the customer to the supplier. The structure of the assessment follows the value stream and is divided into the areas “Source” (supplier), “Make” (manufacture) and “Deliver” (customer). A further element that applies to all areas is concerned with target derivation, with the methods used in the complete value stream and the core subject of continuous improvement.

▶ Level 1 “Implementation (BPS Essentials)” Basic BPS elements are introduced. Level 1 represents the Bosch minimum requirements ▶ Level 2 “Improvable organization” Improvement activities are derived in a targeted manner on the basis of existing standards ▶ Level 3 “Self-learning organization” Closed PDCA cycles are run through on the system level. ▶ Level 4 “Lean company” (True North) The value stream is more or less waste-free. The responsible manager or the value-stream leader carries out the assessment as a self-assessment which a certified assessor uses as the basis for a cross-assessment. The comparison of the two results is used by the assessor for coaching. For series production (* Maketo-Stock, MTS), * Make-to-Order production (MTO) and * Engineer-to-Order production (ETO), specially aligned versions of the assessment are available in each case.

PGL-Assessment in BPS@Bosch

BPS Maturity Assessment in BPS@Bosch

Success factors | 51

Basics

The SE Team carries out the PGL Assessment as a Self-Assessment and then has it checked by a PGL Assessor. The next steps for further work in the project are derived from this.

The four levels for assessment of the elements reflect the increasing maturity level:

Appendix

PGL Assessments and the BPS Maturity Assessment for series production are tuned to one another. Both evaluate the concept and maturity of execution separately.

Overview Application Success Factors

BPS Essentials The BPS Essentials describe the BPS minimum requirements for Bosch value streams. With regard to content, the questions are identical to level 1 of the BPS Maturity Assessment and are directed primarily to the plant managers. Essentials

BPS Essentials in BPS@Bosch

The BPS Essentials consist of a section that applies universally to all value streams and a value stream specific section. These specific elements are selected individually for each value stream. The BPS Essentials are carried out semi-annually with an online questionnaire. The plant manager is responsible for this and also performs at least one self-check personally per cycle. The self-assessments are validated by cross-checks. The results are stored in a central database and published on Bosch Connect.

IE Assessment in BPS@Bosch

52 | Success factors

Industrial Engineering Assessment (IE Assessment) We use the IE Self-Assessment to check the implementation of the central directives on time data and ergonomics. For this purpose, we check whether the necessary processes are established and put into practice in the plants and whether the responsible associates have the required qualifications. We also record whether the organization of the manual workplaces complies with the ergonomic requirements. The questions are answered by the persons responsible for IE in the plants. The self-assessments are validated with crosschecks, with a focus on the coaching aspect. This supports the improvement work in the plant. The IE Self-Assessment is carried out via a database solution. The persons responsible for IE in the business divisions also have access to this database and use it to control the improvement work in their area.

Appendix

4. Basics

Basics

Always. Doing. Better.

The basics of BPS include: ▶ Fundamental correlations such as added value and waste, and the True North as the ideal state of the value stream ▶ The BPS principles as a universal basis for action ▶ The BPS elements: implementation tools and methods

54 | Grundlagen

The order fulfillment process is composed of value-adding and non-value-adding activities: ▶ Value-adding activities increase the value of the product, and the customer is willing to pay for it. We want to optimize these activities. ▶ Non-value-adding activities do not lead to an increase in the value of the product. – We want to minimize those activities that are necessary and support value-adding activities. – We want to completely eliminate those activities that are unnecessary and have no supporting function. In the sense of BPS, we differentiate seven types of waste which we want to avoid:

1. Waste caused by overproduction: Something is produced without current demand or more than the customer has ordered or more than is required for the follow-up process. The collection of unneeded data generates unnecessary costs Consequences: Overproduction leads to waste by excessive stocks. Associates and machines that manufacture surplus parts are not available for the activities that are actually required. Collecting data which are not required causes unnecessary costs.

From the BPS standpoint, overproduction is the biggest waste.

The assembly of work­ pieces is an example of value-adding activities.

High stocks cause waste and conceal problems in the value-added process Stocks

Problems within the process

Problems within the process

Problems within the process

Problems are concealed

Problems become visible

Elimination of the causes

Basics | 55

Appendix

4.1. Added Value and Waste

Overview

Direct flow: One-piece flow

Basics

Success Factors

Application

Stocks may be in the form of raw materials, bought-in parts, semi-finished or finished products or data.

56 | Basics

2. Waste caused by excessive stocks: Stocks indicate a lack of flow in the value stream. They are used as a safety buffer, and thus frequently conceal the real problems in the value-added process, such as machine breakdowns or a lack of manufacturing quality. A low level of stocks uncovers problems and the causes can be eliminated. Excessive data stocks result from overproduction: Data is not required, or stored for too long. Consequences: stocks result in costs due to capital commitment and storage, and therefore also waste caused by space. Unlike in a direct flow from process to process, material must be moved additionally, which causes extra handling. Stored parts may lose value over a period of time, or become unusable (aging, technical change). Excessive data stocks cause storage costs and may impede finding the relevant information. With increasing age, the value of data diminishes.

3. Waste caused by space: Overproduction, layouts of production equipment that are too large or are not oriented to the production flow increase the amount of space required. Consequences: oversize areas cause long and non-value-adding routes, thereby increasing the time required. In addition, surface and space costs are incurred. 4. Waste caused by unnecessary movements: Unnecessary movements occur when, for example, associates have to walk around due to an inconvenient, non-ergonomic arrangement of tools or workpieces, have to find missing items, or cover long distances to collect materials. The analogous consideration applies to unfavorable motion sequences in machines and equipment. As far as data is concerned, media discontinuities increase handling effort due to additional processing steps for data conversion. Consequences: increased resource commitment and poor productivity.

6. Waste caused by waiting times: Waiting times are time periods without activity by associates or machines. They occur, for example, due to a lack of materials, system malfunctions or non-synchronized * process times. In machine control, waiting times occur due to response times when loading or saving data. Consequences: waiting times lead to poor productivity, long throughput times and thereby frequently to waste caused by excessive stocks.

7. Waste caused by errors/rework: If the quality of products or data is defective and does not meet customer requirements, these must be reworked or scrapped/deleted. Consequences: in the physical world, errors and rework increase manufacturing costs due to the repetition of process steps and/or scrapping of intermediate input and material. They disturb the production flow and extend throughput times. The result is a poor ability to deliver and a possible loss of customer confidence. In IT, data errors lead to rework in data handling or to incorrect decisions.

Rework: Poor ergonomic design of workplaces leads to a higher number of errors, and consequently to more rework. Time periods without activity: These include product storage times.

Basics | 57

Appendix

5. Waste caused by transport: Transports only change the position but not the condition of the product and, therefore, will not contribute to the value-added process. Consequences: Transportation ties up resources, leads to waiting times and results in costs for transport vehicles and transport systems.

Overview Application Success Factors Basics

N

100% added value 100% delivery performance Zero defects One-piece flow

To get as close as possible to the True North, a manufacturing-optimized product is required that has been developed using Simultaneous Engineering

Further information on Q-Basics in the appendix, pg. 115

58 | Basics

4.2. True North On the path toward our vision, we use the True North as a point of reference. It characterizes the ideal state of a waste-free order fulfillment process with a constant material flow. We define the True North for the order fulfillment process as follows: 100% added value Adding value without waste – the aim is to optimally coordinate all activities that are required to add value, and to either avoid or minimize superfluous activities that do not add value or do not increase the value of the product. 100% delivery performance Nothing will be delivered too early or too late – the aim is to deliver the right product in the right quantity, at the right time and of the right quality with regard to the order data of the customer.

Zero defects Manufacturing without defects instead of correcting them – avoiding defects always is our priority and already considered in the design. If defects occur nevertheless, they should be detected at the point of occurrence and prevented from being passed on to the subsequent process. We can learn from every defect. The system can be improved through a targeted root-cause analysis and the implementation of sustainable measures. The Value Stream Q-Basics are binding, basic quality standards for the value stream in a compact, easily understandable presentation. The aim of these Value Stream Q-Basics is to significantly reduce mistakes and the resulting customer complaints.

One-piece flow Parts flow straight from one value-adding process to the next value-adding process and then on to the customer – without any waiting periods or batch processing between these processes.

Our Bosch Production System is based on eight principles. These BPS principles form the basis for our actions and for cooperation

among the various functions in the design of a sustainably waste-free and agile order fulfillment process – also during the transformation into an IoT company (* Internet of Things).

Pull principle

We produce and supply only what the customer wants.

Process orientation

We develop and optimize our processes holistically.

Fault prevention

We avoid errors by means of preventive measures in order to deliver flawless products to the customer.

Flexibility

We adapt our products and services quickly and effectively to current customer requirements.

Standardization

We standardize our processes and implement best-in-class solutions.

Transparency

We design self-explanatory and straightforward procedures; deviations from the target situation are immediately apparent.

Continuous improvement

We are developing continually and in a targeted way.

Personal responsibility

We know our tasks, competencies and responsibilities and carry them out actively and independently. Basics | 59

Appendix

4.3. BPS-Principles

Overview

Preventing faults is better than detecting and correcting them.

Basics

Success Factors

Application

Pull principle We produce and supply only what the customer wants. We only initiate manufacturing and logistics if there is a current customer demand. Our goal is to be able to produce according to the * customer takt and in line with customer orders. This means we can reduce * lead times and stocks to a minimum. The use of transparent and clear signals to transmit the real customer demand simplifies production planning and control.

60 | Basics

Process orientation We develop and optimize our processes holistically We think in terms of * value streams. This helps us design and control our processes more simply and quickly. We strive, across departments and functions, to achieve an overall optimum instead of only optimizing single functions.

Fault prevention We avoid errors by means of preventive measures in order to deliver flawless products to the customer. Our stated goal is “zero defects”. The emphasis is on ensuring that errors do not occur in the first place. We combine preventive measures with fast control loops in order to manufacture error-free products immediately and to prevent repeat failures. This enables us to achieve customer satisfaction and reduce rework. Flexibility We adapt our products and services quickly and effectively to current customer requirements. This applies to the set-up of our machines as well as the organization of our work. We implement product variants as late as possible in the value chain. Our machines are reusable and consistently aligned to the product life cycle. Our production is organized in such a way that we can integrate new processes at any time and can refine all processes on an ongoing basis.

In the constant development of our standards we are geared towards finding the best possible solution. We consistently reduce the deviations that occur when a new standard is introduced and thus achieve a stable condition and controlled processes.

Transparency We design self-explanatory and straightforward procedures; deviations from the target situation are immediately apparent. We design and document all business processes and production sequences intelligibly, simply and comprehensibly. In this way, we create * clarity and can quickly identify deviations and rectify the causes. Every associate knows his tasks and goals. Information is available, easily understandable and visualized clearly. This simplifies orientation, ensures a comprehensive overview and improves overall understanding.

Basics | 61

Appendix

Standardization We standardize our processes and implement best-in-class solutions. A standard defines the current best procedure for a process that takes place regularly in the same way. We always adopt such triedand-tested solutions, both in terms of processes and methods as well as for machinery and equipment. We can only make standard deviations visible by setting and regularly checking a standard and thus forming the basis for improvements.

Overview Success Factors

Application

Continuous improvement We are developing continually and in a targeted way. We do not regard standards that we have already established as final, but as a basis for further targeted improvements leading to new standards. Through continuous improvement we are consistently working on waste prevention and achieve controllable, reliable processes.

Personal responsibility We know our tasks, competencies and responsibilities and carry them out actively and independently. We are all part of the global Bosch production network and make an independent and competent contribution to the success of our production system. We are aware of our contribution to overall success and are motivated to get actively involved in the improvement process and to take advantage of the scope for development and qualification opportunities.

Basics

In the role of a manager, we use and promote the competence and creativity of our associates and involve them early in the design and improvement of their work environment and processes.

62 | Basics

4.4. BPS Elements

Value Stream Planning consists of two phases:

BPS elements are tools and methods we use to implement the BPS principles. The character of these elements can vary, for example, due to the production type or order behavior of customers and can develop further due to new technical possibilities such as digitalization. Understanding the interrelations between the modules and their systematic application to ensure that they contribute to the optimization of the complete value stream is of decisive importance for success.

1. Value Stream Mapping (VSM): Mapping and visualization of the actual status

What is Value Stream Planning? Value stream planning is a central element for optimizing the order processing process. It is used for mapping, comprehending and improving all material and information flows required for production along the entire value stream. The aim is to align the complete production process to customer requirements and avoid waste.

Bosch Connect Community in BPS@Bosch

In the course of the digitalization of our value streams, the importance of planning the information flows increases considerably. This is why we added the information flow analysis to the methods for Value Stream Planning. What do we expect from Value Stream Planning? In Value Stream Planning, we systematically develop connected material and information flows. We thus create the basis for digitizing the processes. The comprehensible visualization of the status makes the process interconnections transparent and provides a basis for finding weak points and improvement potential. Holistic analysis of the value stream starting at the customer guarantees overall optimization instead of only improving subsections. Basics | 63

Appendix

Value Stream Planning

2. Value Stream Design (VSD): Development and visualization of the target status

Overview Application Success Factors

Value Stream Planning in BPS@Bosch with additional information on information flow analysis

How do we implement Value Stream Planning? We use Value Stream Planning from the start of development (SOD) to the end of the production phase (EOP). We thus reduce waste in all product lifecycle phases. From the start of production (SOP), we plan the value stream with the help of the BPS Planning Guideline. At the start of Value Stream Mapping, we define the observation area by selecting a product family or a representative product. The mapping of the current situation always takes place on site in the real value stream.

Basics

We use standardized symbols, start the mapping at the customer and move in opposite direction to the material flow toward the supplier.

During this procedure, a focus is placed on the acquisition of the following information: ▶ Stocks and their distribution ▶ Workforce ▶ Machine utilization / * OEE ▶ Throughput times, * cycle times, waiting times and * changeover times ▶ * Lot sizes The current process data is taken either from the PPS (* Production Planning and Control) and the MES (* Manufacturing Execution System) or determined on site in the real value stream. In the information flow analysis, we also map the information flows in detail, the information processing in the corresponding IT systems and the interaction of information and material flows. Value Stream Mapping already provides us with initial improvement potential. Together with the value stream vision and the BPS maturity level requirements, we define the * target condition of the value stream, the so-called value stream design.

64 | Basics

In the information flow design, we plan the best possible information flow including processing in the IT systems. We also define which data points in the value stream are to be recorded continuously to obtain continuous transparency in the value stream in real time.

Digital tools (software tools) are available for the complete value stream planning. They guarantee data consistency and efficiency in the implementation.

Data Lake (see Chapter 1.2 BPS and Digitalization) Source

Make

Deliver 3.2

Information Flow

PPS

LOG MES

PROCON

NEXEED

3.2

Example for optional information flow planning (VSIM/VSID) Process 3.2

OXOX

Supplier

RFID Gate

Customer

Machining

Assembly

Dispatch

CTact ...

CTact ...

CTact ...

OEE ... ...

OEE ... ...

OEE ... ...

Lead time

Basics | 65

Appendix

Material Flow

PPS

Overview Application

Successfully running processes and activities are described precisely and standardized so that they can always be performed in the same way and to the same quality, irrespective of the person and time. In this way, all associates at a workplace or in an operating unit receive a documented, uniform information base as a platform for their work and work according to the same sequence.

Basics

Success Factors

We apply Standardized Work in all repetitive operations, for example in assembly, * changeover, logistics or quality assurance.

Standardized Work

Examples for ergonomic or safety issues can be: lighting during visual inspection or wearing gloves when assembling sharp-edged parts.

66 | Basics

What is Standardized Work? Standardized Work defines the current best method to perform an activity in production. It is the basis for a consistent improvement process.

What do we expect from Standardized Work? ▶ We avoid errors and ensure high quality. ▶ * Cycle times of work sequences are stable. ▶ We are able to mentor and integrate new associates effectively. ▶ We ensure compliance with ergonomic and safety issues and optimize them.

How do we implement Standardized Work? ▶ We work out and document the current best method to perform an activity and define it as the new standard. This step can be supported by MTM methods (* MTM System). ▶ We incorporate the executing associates into the standard, for example by training with the Four-step method. ▶ We display the standard of the currently processed product directly at the workstation, ideally electronically. This enables us to instruct the associate even in case of high product variance.

▶ Through regular process confirmation and interviews with the associates, we check compliance with the standard. In addition, we track the automatically recorded process and output data for cycle time and lead time variation. ▶ If we detect any deviations from the standard or the requirement for improvement, we take appropriate measures or adjust the standard. ▶ We include the involved associates early in the first formulation as well as in improvements of the standards. The same applies for the implementation or adaptation of digital solutions. Any digital process support is based on standardized processes. This is why Standardized Work is so important for the digitalization of our value streams. Standardized Work in BPS@Bosch

Basics | 67

Appendix

▶ We can fix deviations from the * standard since they are made transparent by standardization. ▶ In terms of the continuous improvement process, standards are the basis for further improved standards.

Overview Application Success Factors Basics

Leveling

A “family” is a group of part numbers that have a common feature, e.g. work content or components.

The production of batches that are as large as possible leads to higher stock levels and high demand fluctuations in the delivering processes up to the supplier. Pacemaker process/scheduling point: This is the process in the value stream at which we trigger the leveled production program. This is not necessarily the bottleneck process.

68 | Basics

What is Leveling? Leveling is a method that allows resources to be used evenly, despite fluctuating customer demand. The leveled signal leads to a constant flow and rhythm along the entire value stream. To do this, we decouple the production orders from the actual customer orders and prepare a production program as homogeneous as possible with regard to quantity and mixture for a defined period, the so-called leveling period. This program can be based on part numbers or families. There are two ways of * decoupling from the customer demand: In * Make-to-Stock (MTS) we use defined stocks as a buffer; in * Make-to-Order (MTO) we use time. What do we expect from Leveling? ▶ Due to the leveled demand pattern in the value stream, we can utilize resources (machines, employees) more efficiently. This applies not only to manufacturing but also to supporting areas such as physical logistics. ▶ A uniform production rhythm with the frequent repetition of production lots that are as small as possible supports the flow

concept. It reduces fluctuations in the value stream, shortens the throughput times and makes short-cycle improvements possible. (* PDCA) ▶ The leveled production plan is a clearly defined and transparent standard. It can be used to detect deviations and identify problems. How do we implement Leveling? In the framework of Value Stream Planning, we define the structure of the value stream and determine the * pacemaker process as trigger point for the customer signal. We analyze the product spectrum and form families if necessary. In MTS, we divide the product spectrum into runner products and exotic products. We determine all relevant influencing variables, among other things, capacities, disturbance behavior, cycle times, throughput times, * changeover effort and customer demands. Based on these influencing variables and predefined rules, a planning program prepares a suggestion for the leveling pattern of the next leveling period. Together with IT, we record the deviations from the production plan regarding

correct sequence and quantity and calculate the leveling performance. We also determine the stocks (MTS) or time reserves (MTO) required as decoupling buffer. Our target is to make production lots as small as possible; this results in an increase of required changeover operations. To ensure that sufficient effective production time is still available, a minimization of the * changeover times is usually required. To make allowance for changes in the influencing variables, we repeat the procedure for each leveling period.

A leveling period is at least one week.

Examples of IT tools for leveling: ▶ Bosch-internal development: NivPLuS/ProCon (Production Planning and Control) ▶ SAP Add-On LMPC® (Lean Manufacturing – Production & Control) for family leveling

Fluctuating customer orders

Leveling in BPS@Bosch Exotic parts Runner parts

Basics | 69

Appendix

Leveled production

The IT tools NivPLuS/ProCon support the entire procedure. Apart from a leveling function, they also offer interfaces for the visualization of planning results and stock trends with defined intervention limits. The status check in production and the recording of deviations is carried out digitally.

Overview Basics

Success Factors

Application

ly calculated level and at a previously determined point in the value stream. We can implement consumption control using different methods: ▶ With the * Kanban method, withdrawn parts are reported by cards or an electronic signal (e-Kanban). ▶ With the 2-box principle, an empty container indicates demand. ▶ With the min-max method, undershooting of a defined minimum inventory level trips the post-production up to a defined maximum stock.

Consumption Control

Each stock has a potential for wastage and therefore has a potential for reduction. Kanban: Japanese word for “card”.

70 | Basics

What is Consumption Control? With consumption control, we implement the pull principle in production control: As soon as a part is withdrawn from a * supermarket, this triggers the signal for replenishment by production or supply. A supermarket is a defined stock that contains all consumption-controlled parts. Defined means that we only permit stocks at a previous-

What do we expect from Consumption Control? ▶ We set up a closed control loop. Withdrawal by the customer controls this control loop. This prevents overproduction and limits the stocks. ▶ A system of simple control loops connected with one another replaces central production control so that complexity is reduced. ▶ During productive operation, we only have to intervene if the defined intervention limits are exceeded.

▶ The IT tools NivPLuS/ProCon support the design. They also provide functions for the visualization of supermarket stocks and intervention limits.

Runner products: high production unit count and regular pick-ups. Exotic products: small unit counts, irregular pick-ups.

Combined with the Auto Logistic Production Execution Modules (ALPE) from SAP (ALPE-Kanban, Scan, RFID), booking and ordering processes can be digitally supported or fully digitalized. Consumption Control in BPS@Bosch

Kanban control loop

1

1 1 1

1

1

1

1

1

1 1

1

1 1

1

1

1

Kanban mailbox

Lot formation box

1

Kanban chute Raw material supermarket

1

Finished goods supermarket 1

1

1 1

1

1

1

Final assembly

1

1

1

1

1

1

1

Customer 1

Basics | 71

Appendix

How do we implement Consumption Control? ▶ We use consumption control primarily for runner products. We plan exotic products on the basis of concrete customer requirements. ▶ A reduced stock is achieved when the parts are withdrawn evenly, i.e. leveled, from the supermarket (see Leveling, pg. 68). ▶ To design the control loops, we determine the influencing variables from the production machinery, the product spectrum and customer behavior: Capacities, disturbance behavior, replenishment time, changeover effort, customer demand with scheduled and unscheduled order fluctuations. ▶ Based on these influencing variables and the predefined rules, a planning program prepares a suggestion for the calculation of the control loops, which is confirmed by the planner. For the Kanban method, we determine the required number of cards and the size of the supermarket. We check the design of the control loop after every change in parameters, e.g. if a new leveling model is planned at the * pacemaker process.

Overview

What do we expect from PFB and CCPM? With the Project Flow Board, we create transparency of the project status right from the start and thus support the operative management. The Project Flow Board paves the way for the gradual development towards a CCPM system which, within BPS, represents the highest maturity level of control in the multi-project environment.

Project progress

CCPM 90–100% 80–90%

Buffer consumption

What is the Project Flow Board and Critical Chain Project Management? If there is an ETO value stream, in which several customer orders are processed at the same time in the form of projects, this is referred to as a multi-project environment. The Project Flow Board (PFB) and Critical Chain Project Management (CCPM) are methods used for the visualization and control of such value streams.

Figure 1 shows the projects according to priority.

P4

70–80%

P5

60–70% 50–60% 40–50%

P3

30–40% 20–30% 10–20%

P1

P2

0–10% 0% 20% 40% 60% 80% 100% 90–100% 80–90%

Buffer consumption

Application

Engineer to Order (ETO) value streams are characterized in that each customer order is unique and thus requires a separate design (e.g. special machines building and plant construction).

Basics

Success Factors

Project Flow Board and Critical Chain Project Management (CCPM)

70–80% Increase >1 -> higher buffer consumption

60–70% 50–60% 40–50% 30–40% 20–30% 10–20% 0–10%

Increase lower buffer consumption

Figure 2 shows which processes or work packages frequently use up the time buffer in the course of the project.

72 | Basics

How do we implement the PFB? ▶ We combine work packages of a functional area to flow steps. ▶ We visualize the flow steps on boards. ▶ Kanban cards represent customer orders that “flow” along the value stream model according to their degree of completion. How do we implement CCPM? ▶ We define an explicit time buffer at the end of the projects. ▶ We schedule the projects at a common planning point in the value stream (* pacemaker). ▶ We limit the number of projects to be processed at the same time (leveling effect). ▶ Before a process step starts, all necessary resources, materials and information must be available (* full-kit principle).

The presentation of the buffer usage compared to the progress of all projects makes the current situation and efficiency of the value stream transparent. Software solutions are available on the market for supporting CCPM. Although they can support the process, they are not a mandatory requirement for the introduction.

Full-kit principle means that all required resources, materials and information are available before starting the following process step.

The introduction of CCPM is a change process that influences the entire value stream and the entire organization.

PFB in BPS@Bosch

CCPM in BPS@Bosch

Basics | 73

Appendix

We also expect that CCPM will considerably shorten the project duration by adding an explicit time buffer at the end of the individual projects. This temporal * decoupling allows us to compensate for the earliness or delay of individual work packages.

Overview Basics

Success Factors

Application

The 5S stand for: ▶ Select/Seiri (Remove unnecessary things from the workplace) ▶ Sort/Seiton (Systematic, ergonomic arrangement of all objects) ▶ Shine/Seiso (Clean the workplace and objects) ▶ Standardize/Seiketsu (Set and adjust standards regarding the steps Select, Sort and Shine. Repeat these steps regularly.) ▶ Sustain/Shitsuke (Consistently maintain standards)

5S – Order and Cleanliness

5S was developed by Toyota in Japan.

74 | Basics

What is 5S? 5S is a method to improve systematically order and cleanliness at the workplace. Standards at their own workplace introduce associates to standardization and improvement. 5S is applicable both on the shopfloor and in the office area.

What do we expect from 5S? ▶ The work process becomes trouble-free. 5S avoids waste, such as waiting times due to searching, transport times and inefficiently used space. ▶ Improved transparency makes any * deviations from a standard immediately visible and enables quick reaction. ▶ Work efficiency increases thanks to a standardized procedure, the process-oriented collocation of objects, increased workplace safety, etc.

How do we implement 5S? We develop the 5S standards together with the affected associates as a basis for improvement work. ▶ The steps 1–5 have to be implemented successively. We only start the next step once the previous one is completed. We regularly repeat the individual steps and increase therefore the maturity of 5S. 5S becomes an integral part of our daily work. ▶ We refer to the * PDCA Cycle when implementing the individual steps. ▶ In order to monitor performance and to adapt the achieved level to current requirements, we regularly implement process confirmations across all hierarchy levels. We plan these confirmations with suitable planning software, visualize their results, address derived tasks and monitor their processing.

In a figurative sense, we also apply the 5S criteria when developing and operating digital solutions. Only user-friendly, clearly designed user interfaces enable efficient, error-free handling and targeted reactions to information.

5S in BPS@Bosch

Basics | 75

Appendix

▶ The joint development of the 5S standards motivates employees and increases their willingness to change. All this improves the quality and equipment availability.

Overview Success Factors

Application

Features of a lean line are: ▶ The degree of automation is manual up to semi-automatic. ▶ Associates move from station to station with the product. ▶ The line capacity is flexible because the number of associates can vary. ▶ Non-cyclical activities (logistics) are carried out by separate associates (Point-of-Use Providers).

Lean Line Design

Basics

What is Lean Line Design? Lean Line Design (LLD) is a method for the planning of new and for the redesign of existing manual or semi-automated manufacturing systems.

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What do we expect from Lean Line Design? ▶ High, constant * productivity with varying customer demand and uniform utilization of the associates thanks to flexible distribution of the work content. ▶ Short throughput times due to continuous flow (* one-piece flow) and small * lot sizes. ▶ Low level of investment thanks to a line concept that is as simple as possible with a low level of automation.

How do we implement Lean Line Design? The basis of the organization of a lean line is the planning of the associate flow. For this purpose, we record all repetitive manual work steps including the time required and then arrange them into a practical order. A “wastefree” sequence of manual, cyclically recurring activities is thus created. However, we ensure that the associate never has to wait for an automated process. The manual and automated steps must be tuned to ensure that they are within the * target cycle time.

Lean lines are often designed with a U-shape to make paths between the work stations as short as possible and to permit undisturbed material provision (usually externally by a * Point-of-Use Provider). Then we plan the number of required associates and the distribution of the work content ‒ with several versions for different production volumes.

Lean Line Design in BPS@Bosch

A simulation is carried out to verify the different versions. When doing this, we also check compliance with the ergonomic specifications regarding load and workplace dimensions.

The line layout, i.e. the arrangement of the processing stations, is designed taking into account the logistics concept (material supply, required stocks on the line, etc.). 2

1

Flexible deployment of associates in a lean line

2

1

Basics | 77

Appendix

3

Overview

plant layout, from incoming goods through production towards shipping.

Basics

Success Factors

Application

What do we expect from Flow-oriented Layout? ▶ Minimal lead times with the smallest possible buffers and stocks ▶ Low-waste material transfer due to short transport and associate routes ▶ Maximum transparency of the material and data flow. The current state of production is always easily recognizable. ▶ Avoidance of crossing material flows

Flow-oriented Layout We conduct new planning with FOL specifically as an element of the BPS Planning Guideline

Ideally, the transfer of material is carried out with the help of simple devices, such as chutes.

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What is Flow-oriented Layout? Flow-oriented Layout (FOL) is part of the factory and facility planning. Arranging machinery and equipment according to the manufacturing flow minimizes transport effort and maximizes transparency. * Lead time and stocks are minimized; at best they can be eliminated. We use FOL for the design of new and the optimization of existing production layouts. Ideally, the material flow runs in one direction throughout the

How do we implement Flow-oriented Layout? We proceed in three phases: In the analysis phase, we collect the relevant data concerning the products and the processes as well as the material flow. This information comprises data such as space, machinery, capacity, variant structure, delivery relations and transport units. In rough planning, we design various alternatives as a block layout and evaluate them using indicators such as transport effort, lead time,

During detailed planning, we develop a detailed layout for the selected alternative. We plan all relevant areas for machines, workplaces, inventories, residual quantities and empties to scale and determine the transport and employee routes. We assure that all requirements on movement areas and width of routes are fulfilled.

In production areas with complex material flow relations we use simulation tools for planning the Flow-oriented Layout. This increases planning efficiency and enhances the quality of the solution.

FOL in BPS@Bosch

Not flow-oriented:

Flow-oriented:

Technology-oriented shop-floor concept

Product-oriented line concept

B

B

B

A

C A

A

B

D

C

C

A

B

A

C D

D

A–D = processing stations

D

A

B

C

C

D

D

= different product types

Basics | 79

Appendix

production and warehouse space, expandability, transparency, etc.

Overview Application

Changeover is the process of preparing a work system, such as a machine, for the manufacture of a product type or product, by loading the required tools, for example.

Basics

Success Factors

Quick Changeover

80 | Basics

What is Quick Changeover? Quick Changeover (QCO) is a method to optimize changeovers so that they can be performed safely, ergonomically and easily in the shortest possible time. The defined procedure is described as a changeover standard. We apply quick changeover to improve established changeover procedures as well as in the design of new production facilities. What do we expect from Quick Changeover? ▶ Short * changeover times make it possible to switch between product variants quickly and flexibly. We can thus change the product type more frequently and produce in small * lot sizes, as is required for leveling. ▶ We increase * productivity, because the fewer facilities are standing idle, the higher their net production time and the shorter the * lead times. ▶ Ideally, changeover takes place within the * cycle time.

How do we implement Quick Changeover? We include all involved associates in the development, validation and implementation of quick changeover, e.g. adjusters and planners. We test the changeover standard on location and further develop it with the feedback of the associates. In order to speed up the changeover process, we proceed in three steps: Structuring of activities: We gather all activities required for a changeover and divide them into ▶ * external changeover processes which can be performed while the machine is running ▶ * internal changeover processes which are only possible when the machine is stopped. The aim is above all to reduce internal changeover time. Optimization of activities: We can shorten routes, provide tools externally, standardize assembly procedures, reduce tool variants, and much more.

Optimization of organization: We reorganize activities. ▶ E.g. we finish all external changeover procedures before starting internal changeover. ▶ We deploy several associates simultaneously for one activity.

End of production part A

We determine the work effort for changeover processes using time management methods such as * MTM. * Changeover losses between product variants are documented in the changeover matrix. We collect the daily changeover losses from manual notes or directly from the MES data of the value stream. Each changeover must be completed with a quality control “Release after changeover”.

Machine downtime

Start of production part B

Further information on Q-Basics: appendix, pg. 115

Separate external and internal changeover activities External ch.

Internal changeover

External ch.

Transfer internal into external changeover activities External ch.

Internal changeover

External ch.

Quick Changeover in BPS@Bosch

Improve all changeover activities

End of production part A

Internal changeover

Optimized machine downtime

External ch. Start of production part B

Basics | 81

Appendix

External ch.

Overview

STL requires faultless delivery quality because an incoming inspection is no longer carried out at Bosch.

Basics

Success Factors

Application

What do we expect from Ship-to-Line? ▶ We reduce stocks and increase transparency in the supply chain by restriction to at most one storage stage. ▶ We reduce overall throughput time. ▶ We reduce processing effort because storage stages and handling steps such as incoming inspection are omitted.

Ship-to-Line

Supermarkets do not count as storage stages.

RFID technology enables automated incoming goods receipt postings.

82 | Basics

What is Ship-to-Line? With the Ship-to-Line (STL) storage stage concept, we closely link the material flow between the supplier and the customer. This involves at most one storage stage – either on the supplier’s premises or in the vicinity of the Bosch plant. Parts from this storage stage are delivered directly into a supermarket or into a specific buffer at the line at the Bosch plant.

Ship-to-Line – Level 3 (BPS maturity assessment) Forecast LOG

Production

Shipping

Defined inventory to assure full delivery

How do we implement Ship-to-Line? ▶ We work out a control, transport and information concept. Withdrawals from the supermarket near to the line are trans­ mitted to the supplier by e-Kanban. Thus, we achieve short * replenishment times and can keep supermarket stock low. ▶ We define a packaging concept that avoids repackaging.

LOG

Cross Dock Moved quantity: small (e.g. KLT)

Receiving

Bosch

Production

Max. 1 raw-material supermarket in Bosch plant (ship-to-line)

▶ We conclude a Ship-to-Line agreement with the supplier. ▶ We define the incoming goods process. ▶ We define required stocks and provide sufficiently large areas for the supermarket or buffer near to the line (see Flow-oriented Layout, pg. 78). Ship-to-Line in BPS@Bosch

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Appendix

Supplier

Overview Success Factors

Application

A * milkrun supplies the transfer points to production – ideally directly the * point of use. If this is not possible, a * Point-of-Use Provider (POUP) takes over transportation from the transfer point to the point of use in the line.

Cyclic Material Supply

Basics

“Cycle times”: see BPS element Lean Line Design, pg. 76

Demand-driven milkruns are tested in pilot projects.

84 | Basics

What is Cyclic Material Supply? Cyclic material supply is a method to provide the right components in the required quantity and quality, at the right time and in the right place. The parts and products are supplied and removed in a standardized manner: scheduled, on a defined route and in the smallest possible units.

What do we expect from Cyclic Material Supply? ▶ Reliable material supply prevents downtime in production. ▶ Material supply stabilizes * cycle times with a PoUP taking over the non-cyclic activities. ▶ Optimized material supply (PoUP) avoids errors. ▶ Bundling of volumes reduces the required material transports. ▶ Short, defined * replenishment times and small delivery volumes reduce stocks and thus the space requirements in the production line.

▶ We define which means of transport shall be used. In case of high transport volumes and simple handover points, driverless transport systems (AGV) should also be considered. ▶ We verify the ergonomics. An automated replenishment order system is particularly helpful for a large number of variants with different transport requirements.

Ergonomics check: see CD04605

PFEP: List of all relevant data on every component in the value stream.

Cyclic Material Supply in BPS@Bosch

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Appendix

How do we implement Cyclic Material Supply? ▶ We obtain the material master data from SAP and collect the transport container information, the layout and the transfer points. ▶ We electronically transmit the demand information from the transfer point and process it in a Transport Management System. ▶ With the help of the * Plan for Every Part (PFEP), we design the Cyclic Material Supply, i.e. define the transport route, transport frequency, transport quantities and the stocks at the points of use. ▶ In a standard, we define the activities of the material supplier, classify them and assess the required time. ▶ The work instructions for the associate are shown on a display on the transport vehicle. This enables easy handling even of a large product variance and long supply routes.

Overview Success Factors

Application

What do we expect from TPM? ▶ We increase availability of the facilities because technical failures only cause little or no downtime at all. ▶ Active participation improves the motivation of the associates. ▶ We maintain a high level of quality in our products by preventing machine-based quality losses. ▶ We optimize costs by reducing ad-hoc measures, failure and repair costs, and by increasing facility service life.

Total Productive Maintenance

Basics

What is Total Productive Maintenance? Total Productive Maintenance (TPM) stands for autonomous, planned, and preventive maintenance of machines, installations and equipment. We ensure the best possible use of production facilities through preventive maintenance, care and inspection measures, and by systematically eliminating technical failures.

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How do we implement TPM? TPM consists of four main areas: ▶ Elimination of core problems: We analyze the root causes, e.g. by evaluating facility specific machine data. For troubleshooting, we deduct appropriate corrective measures, define a standard and verify success by process confirmation.

We support our associates in service and maintenance by providing instructions from knowledge databases and by including their experiences into these databases. We exploit the potential of remote maintenance. The connected International Production Network (IPN) enables us to implement improvement measures quickly across all locations. We pay attention to TPM-compatible design of machines and equipment already in the planning and purchasing phase. For example, we set value on accessibility and the marking of maintenance points.

TPM in BPS@Bosch

Basics | 87

Appendix

▶ Autonomous maintenance: Machine operators carry out maintenance work independently. Their active involvement increases motivation and joint responsibility for their production facilities. ▶ Planned maintenance: We carry out planned maintenance for facility components with specified maintenance intervals (time or operation time). We selectively schedule maintenance activities to match downtime of the facility with the end of the service interval. ▶ * Predictive Maintenance: If we cannot specify fixed service intervals for a facility component, we deduct the maintenance requirement from real-time machine and process data and schedule maintenance to match facility downtime.

Overview Application

By monitoring and analysis on site we derive and implement sustainable solutions for identified focus topics. The created * clarity and transparency allow us to react directly to deviations.

Success Factors

What do we expect from SMC? Our objective with SMC is to stabilize the pacemaker and increase output at the bottleneck. When we have resolved the bottleneck, we improve the next bottleneck in the value stream with the same method. We thus enhance and stabilize the delivery of the total value stream in a sustainable manner.

Shopfloor Management Cycle

Basics

What is Shopfloor Management Cycle? Shopfloor Management Cycle (SMC) is a standardized method for stabilizing and improving the delivery capability of value streams. The method always focuses on the * pacemaker process and the * bottleneck process of a * value stream.

88 | Basics

The target output of the process is determined from the * Cycle time diagram (1). We record the current output manually or with the * Manufacturing Execution System (MES) and use it to prepare an Hourly count tracking (2). The recorded Losses (3) are consolidated and prioritized with a Pareto analysis (4). In the process of Problem solving (5), we derive measures for the highest identified losses. We continuously track their implementation by a PDCA chart (6). Supported by a specific problem solving team, we run one SMC Cycle at one station within a defined time period. We visualize all elements directly on-site at the corresponding process or line. Daily tracking and visualization of these elements on-site supports the efficient information exchange for a target-oriented problem solving.

Methods and elements of SMC 6. TOP3 Follow up (PDCA charts) 5. Problem Solving Process

4. Pareto of losses (cumulative and per month)

1. Takt time chart

PDCA

2. Hourly tracking

3. OEE tracking with losses

SMC in BPS@Bosch

Basics | 89

Appendix

How do we implement SMC? Within the Daily Leadership Routines, we can use SMC as one component. It consists of the following elements and methods:

Overview

Poka Yoke

Basics

Success Factors

Application

Meaning (from Japanese): Poka = unintentional error Yokeru = avoid

Poka Yoke in BPS@Bosch

Example: A cash terminal only dispenses money after removing the card. This prevents the card from being left in the terminal. An equivalent procedure can simply be implemented for machine control.

90 | Basics

What is Poka Yoke? Poka Yoke is a method to avoid unintentional errors. We take simple but effective technical measures to consistently avoid errors such as incorrect installation or confusion. The associate immediately recognizes the error and can directly rectify it. What do we expect from Poka Yoke? ▶ We supply our customers with perfect, defect-free products. ▶ We avoid rework and rejects. ▶ We reduce the workload of our associates as they need to focus less on the correct execution.

How do we implement Poka Yoke? ▶ In design, we shape the geometry of all parts so that they can only be fitted in the correct position. ▶ In production planning, specially crafted devices prevent parts from being installed incorrectly. ▶ By implementing appropriate technical measures, we recognize errors immediately as they occur. For instance, light barriers or sensors detect when the wrong material is selected and help preventing it from being installed.

An example for Poka Yoke: differently shaped pins ensure that the plug can only be connected in the correct position

Always. Doing. Better.

Appendix

5. Appendix

Look up and understand – a collection of further useful information ▶ Glossary ▶ Value stream symbols ▶ List of abbreviations ▶ Additional information

92 | Anhang

5.1. Glossary A

A3 report A3 provides a simple, compact and structured approach which systematically leads toward problem solving. In one A3 sheet, the following structure is specified: ▶ Description of the problem and its background ▶ Current and target situation ▶ Root cause analysis ▶ Actions to achieve the target condition ▶ Result of the actions (incl. sustainability) ▶ Next steps Abnormality Element which is not part of the standardized work, e.g. machine breakdown, dropped part, part shortage. The abnormality leads to an unexpected condition, to a deviation.

ALD (Automated Line Design) Automated Line Design (ALD) is an element of the BPS Planning GuideLine. ALD takes note of topics such as: ▶ Position of the product during transport and assembly ▶ Line- and station concept ▶ Buffer dimensioning between stations ▶ Control concept for lines ▶ Design of the quality control circuit ▶ Set-up and maintenance concept ▶ Data availability and use (Industry 4.0) Augmented reality Computer-aided expansion of the perceived reality. This information can address all senses, though it is mostly understood only as the visual (virtual) representation of additional information in interaction with the real world.

B

Big Data Methods for collecting, structuring and storing extremely large, complex and fast-growing data sets – for instance the collection of the process-, performance-, and quality data throughout the entire product lifecycle in a defined data model Bottleneck This process restricts the flow of the process chain and sets the capacity limit for the entire system. BPS Essentials Description of the BPS minimum requirement for the implemented BPS methods and elements in the main value streams of the Bosch plants. Bubble diagram Graphical drawing of the material flow within a value stream.

Appendix | 93

Overview Application Success Factors Basics Appendix

C

Changeover Technical and organizational preparation tasks to change production from one part type to the next. Changeover gap Production loss in a work system (line/machine) due to changeover, calculated in pieces. Changeover loss t(rB) time rüsten Betriebsmittel (–>N62C 2.1.2) Time corresponding to the changeover gap caused by changeover activities in a work system between the last produced part and the first * good Part of the new type. Changeover time t(r) time rüsten (–>N62C 2.1.1) Required changeover time from the associate’s point of view. The standard work time in an order planned for changeover by human labor.

94 | Appendix

Clarity Clarity in the value stream means: ▶ Defined data structures, material and information flows ▶ Defined and applied standards ▶ Decoupled processes or stations ▶ Transparency ▶ Clearly defined roles and responsibilities Cloud In general, a cloud is a global network of servers, applications and other IT resources that are connected via the Internet. These servers fulfill different purposes, like storing data, streaming, email or telephony. Customer Takt (TT) (–>N62C 6.3.3.) Average time interval which parts need to exit the process, to satisfy customer demand. Example referring to one work day: Customer Takt = 24 h – breaks and planned downtime customer demand for one work day.

Cycle Time (CT) (–>N62C 6.3.3.) Time interval between one good part and the next, measured at one position.

D

Data Mining A method for detecting contexts for specific purposes in large amounts of data. Data mining uses algorithms as well as techniques of artificial intelligence (pattern recognition and statistical learning). Decoupling By a decoupling stage within a value stream the production system will be calmed and the problem-solving abilities will be increased (reducing firefighting, increasing sustainable problem solving). Decoupling is possible in terms of time, material or information.

Delivery Takt Time interval as parts leave the value stream. Delivery Takt = 24 h - breaks and planned downtime* produced quantity at one work day* * Example refers to one work day Deviation Condition different to the expectation, e.g. material is outside the marked area, operator does not work as defined in standard... Digital Twin Virtual representation of physical and immaterial objects in the real world. The Digital Twin describes their characteristics, their interrelations and their behavior.

E

Engineer-to-Order (ETO) Single-part production: The product is designed and manufactured to meet the customer’s individual requirements for this order.

ErgoCheck A regular review of ergonomic factors such as body posture, working height, handling range, physical operator stress, field of vision, displays and control devices at all manual workplaces (> 25% manual work content) worldwide. External Changeover Tasks to prepare and finish the changeover while production is running without production loss (e.g. preparation of set up tools, jig preparation, preparation and supply of material…)

F

FIFO Lane (First In – First Out) Characteristics of a FIFO lane: ▶ Control element for the preceding and following processes in the value stream ▶ Defined maximum content ▶ When defined maximum quantity is reached the upstream process stops

▶ Separated retrieval and replenishment points are clearly defined ▶ Material and information (identification of part number and quantity) are transmitted Five Whys If a problem arises, five successive “why”-questions are asked that help explore the root cause of the problem. Fluctuation (Standardized Work) Time difference from cycle to cycle for a process when the standard is followed, e.g. fluctuation of the time it takes to pick a part depending on its position in the box. Four-Step Method Methodical, step-by-step form of instruction for manual work: 1. Prepare the trainees and explain the goals (trainer) 2. Present and explain the activity (trainer) Appendix | 95

Overview Application Success Factors Basics Appendix

3. Copy exactly the activity and explain it (trainees) 4. Strengthen by practicing until no errors are made (trainees)

H

Hourly Count Visualization of the comparison between the current and the planned conditions (output, losses) as well as the reasons for the losses on an hourly base.

G

Good Part The product of a process step that has been produced without any failure. IGEL Software standard to determine and analyze the physical stress of operators in production areas with the ErgoCheck

96 | Appendix

Improvement Key Performance Indicators (Improvement-KPI) Indicator which is measured directly at the process and indicates potential improvements. Used in the Point-CIP phase to check the efficiency of an improvement directly in the process and to verify its actual reason. The KPI has a direct link to the standard and is ideally measured directly by an associate working at the process. Examples for Improvement Indicators: product is in the machine in the correct angle, a kanban is at each wagon in the supermarket, the milkrun reaches the supermarket in time... Internet of Things (IoT) By linking “things” (such as * RFID scanners, fire detectors, washing machines...) with the internet, these things can fulfill orders for their owner by communicating autonomously over the internet.

Internal Changeover Tasks within the changeover which require stopping the machine (causing production loss), e.g. jig exchange, tool change,… Industry 4.0 Fusion of the physical world of production with the virtual information technology and internet world. Man, machine, objects and systems are networked through ICT (Information and Communications Technology) and communicate in a dynamic, real-time-optimized and self-organized way.

J

Jishuken Activities Jishuken is a compound which combines the Japanese terms Jishu (autonomous) and Kenyukai (learning group). Jishuken means learning through experience in small groups: Associates from different plants join forces to achieve improvements in a value stream and gain experience.

Just-In-Time Products and material are exactly produced and delivered at the time and the scheduled quantity as actually needed to meet customer demand.

K

Kanban Japanese term for “card” or “signboard”. A visual signal. It usually describes order cards or other methods used to control the pull system on the basis of the actually consumed parts. It limits the quantity of produced parts in the Kanban control loop. Kanban Control Loop Closed loop of the Kanban card. When a customer withdraws material, this prompts the production of the amount of material required for replenishment (order = Kanban). The Kanban control loop defines the information and material flow.

KPI tree The KPI tree is an assigned system of indicators. These indicators are used to describe the target situation and the current situation on each level (from the value stream KPR and the monitoring KPI through to the improvement KPI). This enables a description of the relationship between the focus topic of the value stream, the derived CIP projects and the improvement (* Point CIP).

L

Lead Time The time one specific part takes from start to end to move through the value stream including all waiting times. Level of Utilization The Level of Utilization (see N62C 6.3.4) compares the time used for producing a certain quantity with the available machine time. Available machine time includes changeover and predictive maintenance times.

Line Takt (LT) (–>N62C 6.3.3) Longest planned cycle time of the single stations in a line. LT = CTmax (* Bottleneck) Lot Size (LS) Specified minimum amount of parts produced between two changeover processes.

M

Machine Cycle Time (MCT) Duration from start to finish of one automatic cycle (without manual portion of the part handling), e.g. duration from pushing the start button until safety curtain opens. ▶ CT = MCT + manual work content Make-to-Order (MTO) The production process for a product or batch is only started after receipt of a customer order.

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Overview Application Success Factors Basics Appendix

Make-to-Stock (MTS) Serial production. Production based on a forecast of customer requirements without final customer orders. Manufacturing Execution System (MES) A Manufacturing Execution System (MES) is a production management system which operates at the technical production process. It forms the link between manufacturing processes and the production planning system (Enterprise Resource Planning, or ERP systems). The MES is responsible for steering, management and control of the production in real time. This includes classic data collection and formats such as operating data, machine data and personnel data acquisition, but also all other processes that have a time impact on the technical production process. MaoB Make and/or Buy Decision

98 | Appendix

Milkrun Cyclic material transport based on a time table and defined route.

Move Quantity Defined amount allowed to be transported from one location to the next.

Mock-up Mock-up: A scale model of the line of the planned layout, e.g. made of cardboard or as a computer simulation (digital mock-up).

MTM System (Methods Time Measurement) A method to analyze work processes and determine planned and standard work times in order to describe, structure, design and plan work systems.

Monitoring Key Performance Indicators (Monitoring KPI) These indicators are defined for running and monitoring systems (e.g. value stream sections). Monitoring KPIs are influenced by several Improvement KPIs which allows checking the stability of several Improvement KPIs with only one Monitoring KPI. In contrast to the Improvement KPIs, they cannot be determined directly at the process. Examples for Monitoring Indicators are OEE, supermarket stock or personnel deployment. x 100%

N

NPK (Number of Parts per Kanban) Number of parts assigned to one Kanban card.

O

OEE (Overall Equipment Effectivness) (–> N62C 6.3.3) Clarifies the utilization of the Planned Operation Time. OEE = Net Production Time (NPT) Planned Operating Time (POT)

One-piece flow Condition in which the product flows directly from one value-added process to the next, without waiting time or batch processing. Highest possible repeatability of each process to do improvement work.

P

Pacemaker The only process where the production plan (based on customer orders) is fed into the production to control quantity and sequence. All other processes are controlled by the behavior of the pacemaker process: ▶ Upstream processes are connected via consumption control ▶ Downstream processes can only be connected via * FIFO Packaging Quantity Defined amount in one container for a part number (e.g. in pieces, grams, etc.)

PDCA Cycle (Plan - Do - Check - Act) Cycle of process steps that enable continuous improvement when implemented consistently. PLAN: Define target condition DO: Implement standard CHECK: Analyze the new actual situation and compare it with the PLAN ACT: Derive measures with fast implementation, derive Lessons Learned as prepa

ration for the next plan

Periodic Job Job element not repeated at each cycle. Examples: Take out empty boxes, post Kanban, change cleaner bottle. Plan for Every Part (PFEP) Gathering all of the important information regarding purchased parts, including container sizes, number of parts per container, part weight, delivery time from the supplier, place of use, average level of use.

Planned operating time (POT) Planned operating time = Shift time Planned breaks - planned downtimes ▶ Shift time: e.g. 3 shifts (24 hrs. = 1440 min) ▶ Planned breaks: Breaks mandated by law / collectively agreed / company rest periods ▶ Planned downtimes: Maintenance time, service time, training The planned operating time is the base to calculate the OEE (Overall Equipment Effectiveness). Point CIP Sustainable stabilization of standards at process level. Point Of Use (POU) Point of use of material in the value stream.

Appendix | 99

Overview Application Success Factors Basics Appendix

Point-of-Use Provider (POUP) Associate who cyclically supplies material to machines according to demand. Predictive Maintenance The condition of the machine is continuously determined by real-time data. These data allows determining if maintenance is required, and the plan in advance without disturbing the production process. In addition, this prevents stoppages in production. Problem Solving Sheet Standardized problem solving documentation with 8 structured steps on one sheet. It guides from the problem description via the detailed analysis through to developing a sustainable solution.

100 | Appendix

Process Analysis System used to spot core problems, e.g. bottlenecks, fluctuations, line balancing (differences in the cycle time in the process chain), exceedance of the target cycle times. The process analysis includes at least 20 recordings of the real cycle time and the calculation of the Customer Takt time. Process Lead Time Total time a part requires from inserting via processing until discharge. Process Time Time used for value add in a process. Product Lifecycle Management (PLM) Concept/strategy for managing product descriptive information over the lifecycle of a product. PLM goes beyond the management of production data and describes a more comprehensive process that involves not only development and design, but also

purchasing, manufacturing, installation, service and marketing. Production Planning and Control (PPS) A PPS system (Production Planning and Control system) is a computer program or a system of computer programs that supports the user in production planning and control and takes over data management. Productivity (–> N62C) Indicator of the efficiency of a direct or indirect person or a machine, calculated as produced good parts/ invested effort (unit e.g. pieces/ operator hour). Profiled Stock The planned stock level of a buffer is defined on part number level: Initial stock – planned outflow + planned inflow = initial stock for next day (determined in an inflow/ outflow chart). The actual stock level is tracked. In case of deviations

between PLAN and ACTUAL stock, actions are taken. Pull System Only the consumption of a product by the customer triggers reproduction of exactly that product. (* Kanban, * Kanban Control Loop)

Q

QGC, QGP Defined points during the course of a project that are used, along with pre-determined quality criteria, to decide whether the next project stage can be started. ▶ Quality Gate Customer (customer projects) ▶ Quality Gate Platform (platform projects)

R

RADAR Logic Logic of the EFQM model for assessing the performance of an organization: ▶ Results ▶ Approach ▶ Deployment ▶ Assessment ▶ Review Consistent compliance with all processes provides information on current status, continuous improvement and future trends. Replenishment Lead Time (RLT) Time from withdrawal of one kanban to replenishment in the supermarket within one pull cycle (including lead time in the supermarket).

Replenishment Time (RT) Time from withdrawal of one kanban to replenishment in the supermarket within one pull cycle (without lead time in the supermarket). RFID (Radio Frequency IDentification) The RFID systems consists of two components: a transponder (transmitter + responder), and a reader. The transponder (also called TAG) is fixed to the object while the reader is mounted at the point the data is supposed to be read. RFID enables reading and storing data from/on a microchip without physical or visual contact.

S

SNP (Standard Number of Parts) Smallest amount of parts in one container. All other container contents and move quantities are derived from this basic quantity.

Appendix | 101

Overview Application Success Factors Basics Appendix

Source - Make - Deliver Functions in the value stream, from procuring the materials (source) from the supplier, via the actual production process (make) to delivering to the customer (deliver). Stakeholder All parties with a certain interest in an organization, project or similar. Stakeholders may have an interest in activities, objectives, resources or deliverables. Stakeholders may include customers, partners, associates, shareholders or owners. Standard A standard defines the current best procedure for a process that takes place regularly in the same way.

102 | Appendix

Standard Work Sheet (StAB, StandardArbeitsBlatt) The StAB describes the necessary work sequence for an operator between several stations in combination with the operator flow layout. StAB and operator flow layout are only required for manual or semiautomatic lines with operators moving in process cycle. Supermarket Element of the control loop for a pull system, forming a defined decoupling of the material flow. ▶ A defined withdrawal signal triggers reproduction for replenishing the consumed quantity. ▶ For each part number, a “track” is defined which enables easily sticking to the defined min. and max. content and complying with the * FIFO principle for withdrawal and replenishment.

System CIP System for a holistic consideration of the framework conditions (Business Requirements, GB-, BU-, plant strategy...) and the value stream vision. It is used to define the main focus topics required for target achievement, as well as the related target states for a determined period of time (System-CIP cycle). The integrated Lessons Learned process makes the improvement process more efficient. System-CIP Project System-CIP projects are determined to reach the target states derived from the System-CIP focus topics.

T

Target Condition Defined acceptance factor which must be fulfilled to prove the sustainable implementation of a standard. Described by a standard (expected state), an indicator and stability criteria (tolerance and duration).

Target Cycle Time (TCT) (–>N62C 6.3.3) Time interval in which the process has to produce parts to achieve Customer Takt Time despite production losses. Calculation: TCT = TT × OEE (TT = Customer Takt) Target Situation Consists of the VSD at the end of the improvement cycle, expected relevant KPRs and KPIs, the bubble diagram design and the list with the projects you need to reach the target situation. Total Replenishment Lead Time (TRLT) Time from withdrawal of one kanban to replenishment at the withdrawal position in the finished goods supermarket. It is calculated for one complete pull value stream (ramp to ramp).

Triad The three largest economic regions: North America, the European Union, and the industrialized East Asia. True North The ideal condition in the order fulfillment process. True North is used for orientation purposes. In the process of continuous improvement, a company tries to come as close as possible to achieving it. ▶ 100% value add ▶ 100% delivery performance ▶ Zero failures ▶ One-piece Flow

Value Stream Key Performance Indicator Results (VS-KPR) Top level of Indicators for a value stream. The value stream key performance indicator results are: ▶ for quality: 0-km defects and internal defect costs ▶ total replenishment lead time, delivery performance and total coverage time ▶ direct productivity, indirect productivity and machine productivity WIP (Work In Process) Sum of all parts in the value stream.

Value Stream The value stream is the structured representation of the value-adding process in material flows and information flows from the customer to the supplier.

Appendix | 103

Overview

5.2. Value stream symbols Name

Material flow Application

External process Icon for process external from Bosch (e.g. supplier, 3rd party sorting, customer) or Bosch plant for the mapping of global value streams ▶ Clear description (e.g. name, RB-site + Value stream). ▶ A “data box” can be added for additional information

Assembly

Success Factors

CT = 45 sec/pcs. OEE = 80% MA= 3 MAE 2 Dedicated

Data Box Typical metrics of a process: CT; OEE; POT; number of associates; number of MAE; MAE D (dedicated) or S (shared) etc. ▶ Place directly below related process box

Basics

Defined Stock Chronological development of stock is defined by planned in- and outflow for each part number. Inventory Inventory between process steps. Quantity (i.e. 300 pieces) to be given.

I

300 pieces

Appendix

Process Box Is used for manufacturing processes (multiple process steps can be combined, i.e. assembly), for production planning and shipping.

S

10000 pieces

104 | Appendix

X

23000 pieces

Safety or Blocked Inventory Special forms of inventory. Same rules to be used as with inventory (see above).

Material flow

External transport Transport “Supplier => RB”, “RB => Supplier”, “RB => 3rd party sorting”, or “RB => Customer”. ▶ Shipping Frequency (and additional data as required) to be put in “Data Box”. Material flow PUSH Material which is produced and transported before it is required by the next process step. Usually with control by production planning. ▶ The symbol is only used internally. Supermarket Defined and stable inventory used to regulate upstream production process. Icon to be placed with open side towards supplier Withdrawal Material Pull (Customer process withdraws material in a defined way from supplier process). Icon “Withdrawal” may be combined with “Milkrun”.

max. 20 pcs.

FIFO

FIFO (First In – First Out) Mechanism for limiting stocks and ensuring a FIFO material flow between two processes (analogy: chute). ▶ Include maximum number of parts. ▶ Reaching the maximum number of parts stops the upstream process.

Appendix | 105

Success Factors

Cross-Dock

Information flow Week plan; 4 weeks preview; 2 weeks fix; Weekly review

Basics Appendix

Milkrun Cyclical material transport with defined schedule and route. Staging Area Area for preparing finished goods for shipping or external transport. Coverage: 1 loading unit (i.e. volume of 1 truck).

Application

Overview

Material flow

Customer orders plan; 6 month preview; 2 weeks fix; Weekly review

106 | Appendix

Cross-Dock Area used to synchronize variable delivery cycles (i.e.: supplier delivers once per day to Cross Dock; Cross Dock delivers 6 times per day to RB). Coverage: max. 1 day

Manual Information Flow Information delivered as a list (i.e. handwritten, printout). Coverage (forecast and fixed) and update cycle to be written inside the rectangular box (i.e. 6 month forecast; 2 weeks fix; weekly updates). Electronic Information Flow Information delivered as an electronic signal (i.e. mail, fax, SAP). Coverage (forecast and fixed) and update cycle to be written inside the rectangular box (i.e. 6 month forecast; 2 weeks fix; weekly updates).

Information flow OXOX

Leveling Equal distribution of the volumes or orders to be produced in a defined period of time according to a regular pattern. ▶ Criteria are defined (e.g. part number, family, cycle time) “Go see” Production Control Associates go to shopfloor frequently but not regularly to influence the actual state of production based on inventory and to gain information on production status.

LOG SAP

Production Control Production Control (i.e. LOG); write down data processing system (i.e. SAP). Transport Kanban Kanban that enables withdrawal of defined number of parts from supermarket (“shopping list”). Dashed arrow shows the information path of Kanban. ▶ Product Transport Kanban: light green ▶ Internal Transport Kanban: light blue ▶ Purchased Parts Transport Kanban: white Production Kanban Kanban that starts defined volume of production (“production order”) (i.e. parts manufacturing, assembly). Dashed arrow shows the information path of Kanban. ▶ Production Kanban: yellow Appendix | 107

Kanban Post Box Defined place to collect free Kanbans (“Kanban post box”) for a short time until they are transported to the leveling board. Lot Formation Box Production only starts when a defined lot size is reached due to a defined number of production Kanbans.

Application

Overview

Information flow

Success Factors

Kanban Chute Kanban Chute defines the production sequence of the lots.

Reliability

Optional Value Stream Symbols

Appendix

Basics

Material flow xxx

108 | Appendix

CIP Flash CIP flash visualizes problems. CIP flashes are starting points for improvement measures.

Bottleneck Process Box The object is used to visualize the bottleneck process in the value stream.

Information flow

Optional Value Stream Symbols e (electronic) Objects in electronic form. “e” is not a stand-alone icon but has to be combined with other icons e.g. “Kanban”, to describe “e-Kanban”. RFID Reader RFID Reader for the automatic identification of objects and data recording. RFID Gate RFID gate for the automatic identification of objects and data recording by driving through the RFID gate. Optical Auto ID Optical identification technology, such as barcode or DMC, for the automatic identification of objects and data recording.

MES

Connection Connection with LAN or WLAN to a system (e.g. MES: Manufac­ turing Execution System). “Connection” is not a stand-alone icon but has to be combined with other icons e.g. “process box”, to describe “connected process”. Description field with indication of the system is optional.

Appendix | 109

Additional Value Stream Symbols ETO/MTO Pacemaker At this point in the entire value stream enters the signal of the external customer. Set the tact time for the value stream.

Application

Overview

Material flow

Success Factors

max. (time)

Appendix

Basics

max. (Zeit)

110 | Appendix

Decoupling in Time Storage place for controlled decoupling of orders in time to enable MTO leveling and cover internal fluctuations (SA1). Order withdrawal from the area according to the customer order schedule. KPIs: Amount, timeframe (e.g. do not produce the amount of x weeks in advance) Sequencer Collection area of orders from the pre-process for a defined time period (for example one shift). After expiry of the time period the collected orders will be resorted (sequence change) and produced in that defined sequence to optimize the downstream process according its restrictions.

Information flow

Additional Value Stream Symbols ETO/MTO Capacity Kanban Kanban without an article code order. Starts the production which is ordered in a sequence. Reserved capacity within the process for exotics and customized orders.

Sequenz A…. B…. C…. D….

I

Order Sequence Defined production sequence for exotics, MTO and ETO orders. Parameters: quantity, order

Orders on hand Status of orders between two process steps. Parameters: quantity, quantity of orders [time].

Project progress control Systematic controlling and prioritizing of the projects from the status of orders. The next task is defined through the project progress comparison and the prioritizing. KPI: Project progress and buffer consumption

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Overview Application Success Factors Basics

5.3. List of Abbreviations ALD:

Automated Line Design

IE:

Industrial Engineering

MTS: Make-to-Stock

BPS:

Bosch Production System

IGEL:

OEE:

BU:

Business Unit

Integrierte Grenzlastberechnung

IoT:

Internet of Things

PDCA: Plan Do Check Act

IPN:

Internationales Produktionsnetzwerk / International Production Network

PEP: Produktentstehungsprozess / Product Engineering Process

Information Technology

PFB:

Project Flow Board

CCPM: Critical Chain Project Management CD:

Central Directive

CIP:

Continuous Improvement Process

IT:

CptM:

Competence Management

PFEP:

Plan for Every Part

CT:

Zykluszeit / Cycle time

KLT: Kleinladungsträger (small load carrier)

PGL:

Planning Guideline

DF:

Design Freeze

KPI:

Key Performance Indicator

PLCP:

Production Life Cycle Planning

KPR:

Key Performance Indicator Results

PoUP:

Point-of-Use Provider

LLD:

Lean Line Design

PPS:

MAE:

Maschinen und Einrichtungen / Machines and Equipment

Produktionsplanung und – steuerung / Production planning and scheduling

QCO:

Quick Changeover

QGP:

Quality Gate Plattform / Platform

RFID:

Radio Frequency Identification

DFMA: Design for Manufacture and Assembly DT:

Design Thinking

EOP:

End of Production

ETO: Engineer-to-Order FOL: AGV:

Appendix

Overall Equipment Effectiveness

GB:

Flussorientiertes Layout / Flow-oriented Layout Automated Guided Vehicle (driverless transport system) Business division

112 | Appendix

MES:

Manufacturing Execution System

MTM:

Methods-Time Measurement

MTO: Make-to-Order

SCND: Supply Chain Network Design SE:

Simultaneous Engineering

SMC:

Shopfloor Management Cycle

SOD:

Start of Development

SOP:

Start of Production

SQCD: Safety, Quality, Costs, Delivery performance TPM:

Total Productive Maintentance

VS:

Value Stream

VSD:

Value Stream Design

VSID:

Value Stream Information flow Design

VSIM:

Value Stream Information flow Mapping

VSM:

Value Stream Mapping

UX:

User Experience

Appendix | 113

Overview

BPS Community The community BPS@Bosch in Bosch Connect is the central information and exchange platform for BPS at Bosch worldwide.

Bosch Connect Community BPS@Bosch

Central Directives Central Directives are published in the SOCOS database: CD04604 – BPS Essentials CD04603 – Time data in Routings CD04605 – Verification of ergonomic design of manual work systems

Success Factors

Application

5.4. Further Information

Norms

Appendix

Basics

The Bosch norm N62 BPS001 summarizes essential standards in the framework of BPS. Norms, CDs Overview in BPS@Bosch

114 | Appendix

It includes the following subjects: N62A – Work system design N62C – Time data – fundamentals N62M BPS001 – BPS System Approach N62P – BPS Planning Guideline N62R BPS001 – BPS Assessments and qualification of assessors N62T BPS001 – BPS and IE Qualification Concept N62V – Value stream planning (VSP)

Value Stream Quality-Basics

.

1

2

3

4

In the event of deviations in quality or if control limits are exceeded in the value stream (source, make, deliver), the employee needs to stop the process or escalate.

Safety, health, production, and inspection instructions are complied with. 5S standards are put in place and observed.

The target values/tolerances for all stated process parameters are observed.

Value Stream Q-Basics Customer complaints are communicated within the production site and, if possible, displayed directly at the station in question. Using problem-solving techniques, they are processed in a fast and systematic manner. The supply chain is promptly informed. 5

6

7

8

9

Measuring and test equipment is defined, and monitoring intervals are observed.

The “check the checker” principle is applied, and the “checker’s” suitability is ensured.

A maintenance standard is installed and observed at every station.

Each tool has a defined service life; the current status must be recognizable. A quality evaluation must be carried out during installation, removal or disassembly.

Restart after disruptions is clearly regulated for all machinery and equipment.

10

11

12

13

14

Products and containers are labeled according to the set standard.

The handling of rejected parts and those to be reworked is clearly regulated.

Any products that fall on the floor, into the machine or cannot be classified must be scrapped.

Only the correct product may be provided for removal and assembly.

The handling of remaining items/ quantities is clearly regulated.

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Internal | C/QMM | April 25, 2019 CDQ0519, Attachment 2, Edition 2.1 © Robert Bosch GmbH 2016. All rights reserved, also regarding any disposal, exploitation, reproduction, editing, distribution, as well as in the event of applications for industrial property rights.

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