Manufacturing & Lean Glossary

Plain-English definitions for 80+ manufacturing, lean, Six Sigma, and operations terms. The reference for operations professionals.

80+ terms
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5S (Sort, Set in Order, Shine, Standardize, Sustain)
A workplace organization method that creates clean, orderly environments where abnormalities are immediately visible. The foundation of lean and visual management. Full guide →
Lean
5 Whys
A root cause analysis technique where you ask "why?" repeatedly (typically five times) until you reach the fundamental cause of a problem. Simple but powerful when done honestly. Full guide →
Quality
8D (Eight Disciplines)
A structured problem-solving method used for root cause analysis and corrective action, especially in automotive. Includes team formation, containment, root cause, and verification steps. Full guide →
Quality
A
A3 Thinking
A structured problem-solving approach from Toyota that fits the entire problem, analysis, and countermeasure on a single A3-size sheet of paper. Forces clarity and conciseness. Full guide →
Lean
ADKAR
A change management model: Awareness, Desire, Knowledge, Ability, Reinforcement. Focuses on individual change readiness. Full guide →
Lean
Andon
A visual signal (typically a light or board) that alerts the team to an abnormal condition on the production line. Operators pull a cord or press a button to activate it, triggering immediate response.
LeanQuality
Autonomous Maintenance
The first pillar of TPM. Operators take ownership of basic equipment care: cleaning, inspecting, lubricating, and detecting abnormalities. Frees maintenance for higher-value work.
Maintenance
Availability
The percentage of planned production time that the machine is actually running. One of three OEE factors. Availability = Run Time ÷ Planned Production Time.
Maintenance
B
Batch Size
The number of units produced between changeovers. Smaller batches mean shorter lead times and less WIP but more changeovers. Batch size calculator →
Flow
Bottleneck
The process step with the lowest throughput capacity. The bottleneck determines the maximum output of the entire system. See Theory of Constraints.
Flow
C
Capacity Utilization
Actual output divided by maximum possible output, expressed as a percentage. High utilization (90%+) sounds good but leads to exponentially growing queue times. Calculator →
Flow
Changeover
The time to switch production from one product to another. Includes cleanup, tooling change, adjustment, and first-article validation. Reduced through SMED.
Flow
Continuous Improvement (CI)
The ongoing effort to improve products, services, or processes incrementally. Core to lean and Six Sigma. Full guide →
Lean
Cycle Time
The time to complete one unit of work from start to finish. Different from takt time (demand-based) and lead time (total elapsed). Calculator →
Flow
D
DMAIC
Define, Measure, Analyze, Improve, Control — the core problem-solving cycle in Six Sigma. Used for data-driven improvement of existing processes.
Six Sigma
DPMO (Defects Per Million Opportunities)
A metric that normalizes defect rates across processes with different complexity levels. Used to calculate sigma level. Calculator →
Six Sigma
Downtime
Any period when equipment is not producing during planned production time. Includes planned (changeover, PM) and unplanned (breakdowns, material shortage). Cost calculator →
Maintenance
E
EPED (Every Part Every Day)
A production scheduling goal where every product variant is produced at least once per day. Requires very short changeovers (achieved through SMED).
Flow
F
First Pass Yield (FPY)
The percentage of units that pass through a process correctly the first time, without rework or repair. A truer quality metric than final yield. Calculator →
Quality
Fishbone Diagram (Ishikawa)
A cause-and-effect diagram shaped like a fish skeleton. Organizes potential causes of a problem into categories (Man, Machine, Method, Material, Measurement, Environment). Full guide →
Quality
Flow
The movement of materials and information through a value stream with minimal stops, batches, or waiting. Ideal flow is single-piece, continuous, and pull-based.
LeanFlow
G
Gemba (“The Real Place”)
The actual place where work is done — the shop floor, the warehouse, the assembly line. Leaders go to the gemba to observe reality firsthand. Full guide →
Lean
Genchi Genbutsu
“Go and see for yourself.” A Toyota principle that decisions should be based on firsthand observation at the gemba, not reports or assumptions.
Lean
H
Heijunka (Production Leveling)
Leveling production volume and mix over time to reduce unevenness (mura). Instead of producing 1,000 of Product A then 500 of Product B, produce a mixed sequence throughout the day.
LeanFlow
Hoshin Kanri (Policy Deployment)
A strategic planning process that aligns organizational goals from top to bottom. Each level translates the strategy into specific, measurable actions — creating a "golden thread" from boardroom to shop floor.
Lean
J
Jidoka (Autonomation)
“Automation with a human touch.” Machines detect abnormal conditions and stop automatically. Prevents defects from being passed downstream. One of the two pillars of TPS (with JIT).
LeanQuality
JIT (Just-In-Time)
Producing and delivering exactly what is needed, when it is needed, in the amount needed. One of the two pillars of TPS. Requires pull systems, level production, and reliable processes.
LeanFlow
K
Kaizen
Japanese for “change for better.” Continuous, incremental improvement involving everyone. Can be daily small improvements or structured multi-day kaizen events. Full guide →
Lean
Kanban
A visual signaling system that triggers production or material replenishment based on actual consumption rather than forecasts. Cards, bins, or empty spaces act as signals. See push vs. pull.
LeanFlow
KPI (Key Performance Indicator)
A measurable value that demonstrates how effectively an operation is achieving key objectives. Common manufacturing KPIs: OEE, schedule adherence, FPY, TRIR, cost per unit.
Lean
L
Lead Time
The total elapsed time from order to delivery (or from raw material to finished product). Includes processing time, queue time, move time, and wait time. Reducing lead time is a primary lean goal.
Flow
Lean Manufacturing
A systematic approach to identifying and eliminating waste through continuous improvement while maximizing value to the customer. Originated from the Toyota Production System. Full guide →
Lean
Line Efficiency
The ratio of value-added work time to total available time across all stations on a production line. Measures how well the line is balanced. Calculator →
Flow
Little's Law
WIP = Throughput × Lead Time. A fundamental relationship that explains why reducing WIP shortens lead time. Calculator →
Flow
M
MTBF (Mean Time Between Failures)
The average time between equipment breakdowns. A key maintenance reliability metric. Higher is better. Improved through TPM and preventive maintenance.
Maintenance
MTTR (Mean Time To Repair)
The average time to restore equipment after a failure. Lower is better. Improved through spare parts availability, technician training, and standardized repair procedures.
Maintenance
Muda (Waste)
Any activity that consumes resources but does not add value for the customer. The 8 wastes: Defects, Overproduction, Waiting, Non-utilized talent, Transportation, Inventory, Motion, Extra processing.
Lean
Mura (Unevenness)
Variation and irregularity in workload or process. Causes overburden (muri) and waste (muda). Addressed through heijunka (production leveling).
Lean
Muri (Overburden)
Unreasonable stress on people or equipment caused by uneven demand or poor process design. Leads to breakdowns, injuries, and defects.
Lean
O
OEE (Overall Equipment Effectiveness)
Availability × Performance × Quality. The gold standard metric for equipment productivity. World class is 85%+. Full guide → | Calculator →
Maintenance
Operating Rhythm
The structured cadence of meetings, reviews, and walks that keeps an operation aligned: shift handoffs, daily stand-ups, weekly reviews, monthly business reviews. Full guide →
Lean
P
Pareto Analysis (80/20 Rule)
A technique that identifies the vital few causes that account for the majority of a problem. Typically, 20% of causes create 80% of issues. Focus on the tallest bars first.
Quality
PDCA (Plan-Do-Check-Act)
The Deming cycle. A four-step improvement loop: Plan the change, Do it on a small scale, Check the results, Act to standardize or adjust. Full guide →
Lean
Poka-Yoke (Mistake-Proofing)
Any device or process design that prevents errors from becoming defects. Examples: asymmetric connectors, sensors, interlocks. Full guide →
Quality
Pull System
Production is triggered by actual consumption downstream, not by forecasts. Work is "pulled" through the system by customer demand. Opposite of push. Full guide →
LeanFlow
R
RCCA (Root Cause Corrective Action)
The process of finding the fundamental cause of a problem and implementing a permanent fix. Includes methods like 5 Whys, Fishbone, 8D, and Fault Tree Analysis. Full guide →
Quality
S
Safety Stock
Extra inventory held as a buffer against demand variability and supply uncertainty. Calculated based on service level, demand variation, and lead time variation. Calculator →
Flow
Schedule Adherence
The percentage of planned production that was actually completed on time and in full. A key delivery metric for shift and daily performance.
Flow
Sigma Level
A statistical measure of process capability. Higher sigma = fewer defects. 3 sigma = 66,800 DPMO. 6 sigma = 3.4 DPMO. Calculator →
Six Sigma
SMED (Single-Minute Exchange of Die)
A systematic method for reducing changeover time. Separates internal setup (machine stopped) from external setup (done while running), then converts internal to external. Calculator →
Lean
SPC (Statistical Process Control)
Using control charts to monitor process performance over time. Distinguishes between normal variation (common cause) and abnormal variation (special cause) that requires action.
Six Sigma
Standard Work
The current best-known method for performing a task, tied to takt time. Defines sequence, timing, and WIP. The baseline from which all improvement starts. Full guide →
Lean
T
Takt Time
Available production time ÷ customer demand. The pace at which you need to produce to meet demand. Not the same as cycle time. Calculator →
LeanFlow
Throughput
The rate at which a system produces finished output. Constrained by the bottleneck. Calculator →
Flow
Tier Meetings (T1, T2, T3, T4)
A layered daily management system. T1 = team-level (5 min), T2 = department (10 min), T3 = plant (15 min), T4 = executive. Problems escalate up; actions cascade down. Full guide →
Lean
TPM (Total Productive Maintenance)
A system for maintaining equipment through operator involvement (autonomous maintenance) and proactive planning. Goal: zero breakdowns. Full guide →
Maintenance
TRIR (Total Recordable Incident Rate)
Number of OSHA-recordable injuries per 200,000 hours worked. The standard safety metric for comparing incident rates across facilities and industries.
Safety
V
Value Stream
All activities (value-adding and non-value-adding) required to bring a product from raw material to the customer. Mapped to identify waste and improvement opportunities. Full guide →
Lean
Visual Management
Making the status of work, performance, and standards visible so anyone can understand the situation in 5 seconds without asking questions. Full guide →
Lean
W
WIP (Work in Process)
Inventory that has started production but is not yet finished. Related to lead time through Little's Law: WIP = Throughput × Lead Time. Lower WIP = shorter lead times.
Flow
Y
Yokoten
“Across everywhere.” The practice of sharing best practices and improvements horizontally across teams, lines, or plants. A solution found in one area is actively spread to all similar areas.
Lean