01-total project list--updated march 30
TRANSCRIPT
JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015
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Examples of Lean Six Sigma projects
VOLVO EATS LEAN TRANSFORMATION PROJECT
EAST (Exhaust After Treatment System)
Mancor Automotive (July 2014)
Problem Statement
1. Product/design issues causing 30% Internal Quality reject rate , limiting throughput 8 sets/day
2. Unable to meet increased VOLVO demand 60pcs/week, causing shut down Volvo production 2
day
3. Unable to meet TAKT TIME < 3 days, Currently cycle time > 4 days,
Objective(s)
1. Improve Product quality by 80%, reduce reject rate from 42% to <5%
2. Reduce Lead time by 50% (from 4 to 2 days)
3. Productivity by 50%, from 8-12pcs/day
LEAN TRANSFORMATION RESULTS
1. Reduced quality reject rate from 30% down to 3%
2. Reduced total lead time from 4.5 down to < 2 days
3. Reduced total cycle time from 3Hrs to 0.7Hrs/pc
4. Reduced WIP from 33 pcs to 12pcs in < 2 weeks
5. Project completed in 4 months—TOTAL SAVINGS= $700K/YEAR
EAST (Exhaust After Treatment System)
JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015
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LFB USA DOWN STREAM PROCESSING (DSP) IMPROVEMENT PROJECT
THERAPURE BIO PHARMA— March 2015
Problem:
1. Low Suite utilization 11%, causing capacity constraints with other products
2. Batch cycle time = 5 days per batch, customer Takt Time= 4 days/batch
Objective: Increase utilization and production capacity by 30% without additional capital RESULTS:
increased Final Yield by 19%,
increased suite utilization from 11% to 62%, and
Reduced total batch processing time from 5 to 3.5 days/batch (42%)
Total Operational savings = $1.4Mil/year
Project completion time= 3.5 months
JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015
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Noble Fire Production Capacity
Noble Fire (October 2012)
Problem Statement: Production capacity unknown, sales increasing rapidly
Objective: Increase production capacity by 25% without any new equipment
Project duration < 2 months
Oct 9th Prepared Engineering report listing all the issues and recommendations
Oct. 19th given direction to implement my suggestions
Main Improvements:
o Increased productivity by 28% in less than 2 months
o Designed, tested and validated new NFPA Approved sprinkler head outlets which
reduced field repairs by 95%-over $40K/year
o Reduced Cycle time on an Automated Burn/Weld Machine by 30% resulting in over
$100K/year in increased productivity
o Developed a plan that would increase production capacity by 80% and reduce OT costs
by over $230K, with a ROI of 78% (Payback= 0.3 years)
o Total Project Savings = $840K
OLD OUTLETS NEW OUTLETS
JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015
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Packaging Scrap ($250K annual savings) (BLACK BELT CERTIFICATION PROJECT )
Project involved over 40 people, mechanics, electricians, supervisors, lead hands, operators,4
shits
Project was completed in 8 months
Problem Statement: Packaging scrap was 2.4%
Objective to reduce scrap from 2.4% to 1.2%
Measure Phase tools: Detailed PFD, X-Y matrix, Gauge R&R were used to gather data
Significant factor: DOE revealed baskets style cartons significant factors in overall Finishing
scrap
Improvements: modified tooling on turn section of gluer, replacing pneumatic cylinder with load
cell for better carton control, IMPLEMENTED 5S using SHADOW BOARDS, developed SOP
and standardized it.
Control Plan: error proofed critical settings and implemented regular hourly SPC checks
Lean - Packaging Productivity Improvement ( $250K/Year savings)
FGF Brands Foods
Project Objective: Improve productivity from current 240packs/Hr to 310 packs/Hr
Led Project consisting of 60 people across all 3 shifts
BOSCH Packaging main bottleneck, lengthy set-up times and downtime due to machine
utilization
Improvements: Developed CURRENT STATE VALUE STREAM MAP, identified areas of
WASTE, developed FUTURE STATE VALUE STREAM MAP, implemented 5S across all
shifts, trained all set-up operators and lead hands on basic Lean principles, implemented
SMED (Single Minute Exchange Die), developed standardized SOP’s for set-up/change-over,
implemented 5s and shadow boards for all tooling storage
Results:
o Improved productivity from 240 packs/Hr to over 331 packs/Hr,
o Reduced Set-Up Time from 30 min to under 5 min
o Reduced waste from 14% to under 3%
Savings: $300K/Year in OEE improvement (machine utilization and direct labour absorption)
Injection Mould Set-Up Reduction Project --($500K/annual savings)
R&M Plastics
Problem Statement: 22 injection moulds ranging from 93 weeks new to moulds over 10 years
old), varied in sizes & capacities, had set-up/changeover times from 4-6hrs, resulting over
$500K machine inefficiencies and productivity losses
Objective: Reduce the set-up time from 6hrs to under 2hrs
Significant Improvements: over 4.5hrs of Set-Up Time was reduced by the following
IMPROVEMENTS:
o Implemented SMED principles, 5S SHADOW BOARDS, standardized, Set-Up
o New water manifolds with shorter hoses and different IN/OUT connectors
o Standardized bolt lengths and utilized quick-connect clamps
o Interchangeable inserts and standardized back plates with different hole pattern
o Standardized Mould kits & implemented shadow boards
o Documented SOP and validated set-up/changeover on different shifts
These improvements resulted in over $500K annual savings
JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015
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Magnum 2000 (TS-16949) Lean/Quality initiative---Summer 2009
Problem Statement:
1st time yield quality was at 62%
Led team of 30 people, operators, QA Inspectors, Lead Hands, Operators
Used 100% inspection to sort out defects in a machining operation
Premature Tool wear causing defects and downtime
Poor process flow and scheduling issues causing “RUSH” orders and panic mode
Rotary Transfer Machines:
• 16 Station Hydromat CNC
• Buffoli Transfer Machine CNC
• Hydromat - 10 Station
• Hydromat - 12 Station
Other Equipment:
• In-feed and thru-feed grinding equipment
• Durr parts washer
• Full chip and oil recovery systems
• Fully integrated MRP system
Improvements:
Developed VSM of current process and reviewed NVA for waste reduction
Implemented 5S in all machining area so that tool locations and spares were easily located and
replaced when worn
Implemented in-process sampling checks based on AQL of 0.4 (99.6% confidence level) using GO/NO-
GO gauges, vernier measurements
Set-up and Implemented SPC for in-process checks which allowed operators to monitor trends and
adjust tooling as needed before it’s too late
Redesigned tooling for a 16 station CNC HYDROMAT which reduced premature tool wear by 25%
Developed & Implemented Preventative Maintenance procedures which reduced downtime by 30%
Designed Rough Grinding and Finish Grinding process parameters for machining water pump bearings
achieving surface finishes of 0.1-0.2µm Ra (4-8 µin) consistently
Eliminated 100% inspection
Validated Testing through Reliability studies and implemented statistical process controls which reduced
leak test failures from 14% to less than 0.5% improved packaging productivity by 32%
JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015
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GENERATOR COIL EFFICIENCY IMPROVEMENT (savings $800K/year)
VOITH HYDRO
Project Objective: Improve Current State Coil winding operation by 30% (28 Coils to 40 Coils/Day)
Project involved 3 shifts over 80 UNION WORKERS
Current Process Limitations: Direct Labour underutilized (65%) and bottleneck process Final Taping
has MOL restriction on 4Hr/shift Max exposure time
Improvements: Developed Lean Flexible work Cell, Cross-Functionally trained all operators on Final
Taping, developed rotation schedule to ensure every 2hrs Final Taping Operators are rotated,
implemented internal KANBAN for pre-staging material and implemented 5S to reduce Non-Value add
time (walking around looking for tools)., trained all set-up operators/lead hands on basic Lean principles
Results:
Improved productivity from 27 to 40 Coils/day
Increased Direct Labour Utilization from 65% to over 80%
Reduced floor space by 30%
Reduced WIP by 40%
JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015
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Printing & Packaging Project Examples
Flexo Efficiency improvement project ($600K annual savings)-- MeadWestvaco Packaging
Problem was poor productivity (15Kpcs/hr)
Objective was to improve Flexo Print Cut efficiency by 30% (from 15k pcs/hr to 20k pcs)/hr
Significant factors Die Cutting, Ink transfer, Varnish, & Carton type
Improvement: DOE used to optimize printing process parameters such as: Ink density &
viscosity, Anilox density, Varnish viscosity & improved die set-up time
Implemented SPC checks part of the Control plan.
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1 2 3 4 5 6 7 8 9 10 11 12
Direct Labour Utilization
DLV Baseline Week
% U
tiliz
atio
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10
15
20
25
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35
40
45
1 2 3 4 5 6 7 8 9 10 11 12
Avg
Co
ils/D
ay
Week
Coil Productivity by weekAvg Coils/Day
Baseline
Target
JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015
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Capital Equipment Project Examples
Noble Fire PLANT CAPACITY IMPROVEMENT (NEW PLANT) (Total Savings= $840 K)
Noble Fire (June 2012)
Problem Statement: Production capacity unknown, sales increasing rapidly
Objective: Determine Current Plant Capacity and Increase production capacity by meet
customer demand
Project duration < 6 months
Prepared Engineering report listing all the issues and recommendations
Main Improvements:
o Increased productivity by 28% in less than 2 months
o Designed, tested and validated new NFPA Approved sprinkler head outlets which
reduced field repairs by 95%-over $40K/year
o Reduced Cycle time on an Automated Burn/Weld Machine by 30% resulting in over
$100K/year in increased productivity
o Implemented new BURN/WELD machines which increased production capacity by
80% and reduced OT costs by over $230K, with a ROI of 78% (Payback= 0.3 years)
o Total Project Savings = $840K
JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015
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PROGRESSIVE DIE STAMPING PRESS CAPITAL PROJECT
Don Park (DP) Manufacturing
PROBLEM: Home Depot Demand increased by 30%, requiring 1Mil units/year
Current capacity is 550,000 pcs/year , at peak season customer demands exceed machine capacity
The cost of producing 1- 3TTO6” is $1.28/pc with a Labour cost of $0.59
There are 2 critical labour intensive operations that cost $0.26/pc and are BOTTLENECKS preventing
additional capacity
JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015
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SOLUTION HIGH SPEED STAMPING PRESS
RESULTS
• Increased capacity by over 1,000,000 units/year
• Reduced labour cost by $0.59/pc
• 1.26 Payback period, ROI= 77%
• TOTAL ANNUAL SAVINGS AFTER PAYBACK= $280K/year
2 Operations @ 1 TIME