Glossary

5-Point Annual Average

Method frequently used in PMG studies to establish a representative average for a one-year period. Calculation: [12/31/03 + 3/31/04 + 6/30/05 + 9/30/06 + 12/31/07]/5

5-S Program

A program for organizing work areas. Sometimes referred to as elements, each of the five components of the program begins with the letter 'S.' They include sort, systemize, shine or sweep, standardize, and sustain. In the UK, the concept is converted to the 5-C program comprising five comparable components: clear out, configure, clean and check, conformity, and custom and practice. * Sort - get rid of clutter; separate out what is needed for the operations. * Systemize/Set in Order - organize the work area; make it easy to find what is needed. * Shine - clean the work area; make it shine. * Standardize - establish schedules and methods of performing the cleaning and sorting. * Sustain - implement mechanisms to sustain the gains through involvement of people, integration into the performance measurement system, discipline, and recognition.The 5-S program is frequently combines with precepts of the Lean Manufacturing Initiative. Even when used separately, however, the 5-S (or 5-C) program is said to yield excellent results. Implementation of the program involves introducing each of the five elements in order, which reportedly generates multiple benefits, including product diversification, higher quality, lower costs, reliable deliveries, improved safety, and higher availability rate.