11th north-west qualtech awards for excellence in quality · wastages and improve efficiency of...

11thNorth-West QualTech Awards

11th North-West QualTech AwardsFor Excellence in Quality

Project Title : To improve productivity of CEPS assembly line

Organization : ,

Executive summary

Since Lean Manufacturing System (LMS) was introduced in the Indian industries, peoplehave been looking for an effective “tool kit” to lead this program in own business andorganization. Many of the organizations started applying the principle of Lean to eliminatewastages and improve efficiency of manufacturing organization. Though the concept ofMUDA, MURI, MURA, 7QC tools , Design of Experiments & QC problem solving approach isknown to Indian manufacturing industries, but use of these strong tools & techniques forimproving production system has not yet gained popularity. With the introduction of LMS,XXXXXXXXXX has also introduced Lean Production as XXXXXXXXXXXXXX in its all plants.As we know that customer wish to pays only for value added activities and rest are thewastages. With this philosophy, business will be depend only on the value creation for thecustomer. LMS provide such tool which help organization to eliminate wastages and create“Lean Enterprises.” To remain in the business and be competitive in future everyorganization has to follow this proven philosophy of “Lean”.Our team worked on this philosophy as were facing a situation of “how to meet customerdemand without making investment on buying new machines & without investment for spacerequirement within short span of time” as volumes increased suddenly.Team worked very sincerely under the guidance & facilitation of expert seniors who havewide experience of lean manufacturing. With the cooperation & help of the otherdepartments like Kaizen shop, Maintenance deptt. Manufacturing Engineering deptt. etc.team succeeded to increases the production rate from XX no/hr to XX no/hr andstandardized it. By achieving this we were meet the customer demand without failure. Teammembers used extensive use of tools like- Videos, Time and motion study, XXX chart,Kaizens etc.

Team Leader

Author 1

Name : XXXXXXXXXX

Designation : JM-3

Tel : 0000000000

Email : [email protected]


Team Members

Member 1

Name : XXXXXX XXXXXX

Designation : JM-2

Member 2


Designation : JM-1

Member 3


Designation : Associate

Member 4



Member 5



Member 6



Instructions:

Please fill only your text responses within the gray box provided under eachheading.

Do not paste tables, pictures or graphs in the response area. Please attach allsuch items as annexure with proper numbering system and attach the same inthe email along with the main project report.

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For each response, please mention the process and the tools used, whereverapplicable.

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All sections are not mandatory; sections marked # are optional.


Organization’s Profile

Response: Response:(Approx. 100 words.)

OVERVIEW OF THE PROJECT

Response:1) Need of the Project: - We are the single source supplier of XXXX assembly to XXX for

one of their top selling model (XXX). Currently the demand is being cater through 2 shiftsper day with 90% of our capacity. Due to sudden increase in demand and increased futureprojections since April 2015 we have to run production in 3 shifts. This is increasing ourmanufacturing cost (power Cost + Manpower cost).

2) The Solution: - In order to avoid increasing of manufacturing cost & new investment, weare left with only solution to increase line capacity by reducing Neck Machine Cycle Time(NMCT).

3) Expected Results:- By reducing NMCT up to 11%, we expect to improve our line capacityby 9% to fulfill increase demand of customer in only 2 shifts.

1. IDENTIFYING THE PROJECT (Annexure-1,2,3,4,5,6,7)

1.1 Identifying the problem

a. What was the process used to identify and prioritize this problem?(Internal Rejection analysis, Audit reports, customer feedback, management reviews,

Business plans, Benchmarking with competition)


Response:In F15, XXX assy. line capacity @ XX% efficiency on 2 shift basis was XXXXXX/year andactual customer demand was XXXXXX. But in F16 there was a sudden increase in customerdemand & future projections of F17 also increased further. In F16 customer demand jumpedto XXXXXXX/year & projections of F17 reflected as XXXXXXX/year which are more than theproduction capacity of XXX assy. line. So to meet the customer demand since April XX wewere running extra 3rd shift which was increasing power cost & manpower cost and affectingour manufacturing cost. (Annexure -1)

b. Why is it important to solve the problem now?

Response: Due to running 3rd shift, our manufacturing cost was increasing beyond targetwhich affecting our top line.(Annexure – 2)

c. How does the problem align with strategic goals of the organization?

Response: In our Business Strategy Increase Productivity is a key factor to Achieve HighProfitability (Annexure-3). As per our company and plant level KMI (Key ManagementIndices) growth in EBIDTA (Earnings Before Interest Tax Depreciation and Amortization) is animportant parameter which is directly affected by Power cost & Employee cost (Annexure-4).As per our policy 3rd shift is always kept spare to meet fluctuation in customer demand but inour case we were running continuously with the spare shift which was directly a factor toimposing a negative impact on the growth of EBITDA. Hence this problem is directly alignedwith strategic goals of the organization.

d. Problem/Opportunity Statement

Response:Our XXX assy. line customer demand increased suddenly which is more than our lineproduction capacity. Due to this we need to run line in 3rd shift which is against our plantstandard of running lines in 2 shifts. (Annexure-5)

e. Goal Statement

Response:To reduce line bottleneck cycle time (NMCT) from XX sec. to XX sec. to meet the customerrequirement in two shifts till XXth Nov-XX.(Annexure-6a, 6b)

f. High Level Process Flow Diagram

Response: Process flow diagram of XXX assembly is shown as attached in Annexure -7.

2. Data Collection (Annexure-1,8,6a,9,10,11,12,13,14,15,16)

2.1. Description of the data collection system used to measure current performance

Data collection plan


Response: Following data were collected & analyzed.1. Customer Demand (Annexure-1)2. Line Layout (Annexure-8)3. Line cycle time at current efficiency. (Annexure -6(a))4. Line Organization Efficiency (LOE) (Annexure-9)5. Out of Balance Index (OBI) (Annexure -9)6. Processes step by step cycle time. (Annexure-10,11,12,13,14)7. NVA –Non value added activities8. VA -Value added activities

2.2. Data Analysis (Graphs, Pareto Chart, Histogram etc)

Response:1. Brainstorming2. Group discussion3. YAMAZUMI chart- Related to Manual cycle time balancing study. (Annexure-15)4.Time study (Annexure-10,11,12,13,14)5. Motion study (Annexure-16)

2.3. Quantification of baseline performance (Metrics depending upon project type (quality, Cost,delivery): Percentage, PPM, Defects per unit, Process Capability etc. Metrics for projectsrelated to delivery/cycle time; Process Map, Cycle time study, Value Stream Mapping,Overall equipment effectiveness)

Response:1. Current NMCT – XXsec.2. Current Production per Hour (PPH) – XXNOS.3. Line organization efficiency (LOE) – XX%4. Out of balance index (OBI) - XX%5. Line efficiency-XX%

3. DIAGNOSING THE CAUSES (Annexure-15,10,11,12,13,14,16)

3.1. Process for identification and prioritization of high level causes

a. Potential Causes: Fishbone diagram

Response: In our case we used the following tools to identify the potential causes.1. YAMAZUMI CHART (Annexure-15 )2. Process Sequence & Cycle time study of operators. (Annexure-10, 11, 12, 13, 14)3. Group Discussion.4. Motion Study. (Annexure-16)

b. Prioritization: Cause and effect matrix, or FMEA, or any other prioritization tool

Response: With the help of YAMAZUMI chart we could visualized & prioritized the work whichwere out of Balance Index. (Annexure-15)


3.2. Root cause analysis methodology (Why-Why analysis, concentration charts, or any othermethod/s)

Response:1. Time study of manual work.2. Group discussion to identified the activities which can eliminate, reduce and overlap with

other activities. (Annexure-10,11,12,13,14)

3.3. Process for testing of theories/verification of root causes (GembaInvestigations/Observations, Hypothesis testing such as t- test, Chi-Square, ANOVA,regression or any other experimentation method/s)

Response:1. Gemba investigation and observations.2. Data collection

4. REMEDYING THE CAUSES (Annexure-17,18,19,20a,20b,21,10,11,12,13,14)

4.1. Process for identification and prioritization of possible solutions (Brainstorming, or creativitytools, Design of Experiment, Benchmarking or any other method/s)

Response:1. Identify & eliminating / reducing the Non value added activities through Kaizens

implementations. (Annexure-17,18,19,20a, 20b,21)

4.2. Process for choosing the best solution/s (Cost benefit analysis, evaluation matrix, or anyother method/s)

Response:1. Group discussion2. Matrix has made for judgment that which activity can eliminate, reduce or overlap with

other activities. (Annexure -10,11,12,13,14)

4.3. Process for validating that the solutions work

Response:Whatever the activities identified through judgment matrix , we did the actual demo & validatethat activities on Assy. Line.

5. IMPLEMENTING THE SOLUTION (Annexure-22)

5.1. Process for implementing the finalized solutions (Implementation plan, Project Managementtechniques or any other method)

Response:1. Activity Plan, (Annexure-22)2. Gemba kaizen done by CFT to achieve cycle time lower than takt time.3. Program in PLC modified to incorporate process sequence.


5.2. How did you tackle resistance to change (Confidence building workshops,awareness/training or any other method)

Response:1. Line associates were involved in the improvement journey.2. They were given Group Kaizen Activity Trainings & 7 QC tools training.3. Trainings were given about YAMAZUMI chart & basics of ergonomics.4. Regular meetings of team members with facilitator.5. Full cooperation from other department like Maintenance & Kaizen departments.6. Equal hand holdings by management during the whole improvement journey.7. Associates made all handmade chart, pictures, sketches etc by themselves.8. Appreciation & awards to line associates & team after completion of project.

6. BENEFITS (Annexure-23)

6.1. Tangible

Response:1. Bottle Neck Machine Cycle Time (NMCT) is reduce from XXsec. to XXsec.2. Production per hour (PPH) increase from XX to XX nos.3. Eliminate the X shift.4. Cost is saved X% (X lac/annum).Annexure-23

6.2. Running expenses/investment, if any (#)

Response:These all improvements were done by the in-house facilities (Kaizen Department). Investmentis done less than approx. Rs. XXXXX (XXXXX Thousands only).

6.3. Intangible

Response:1. Understanding the concept & application of various tools.2. Strengthen team work.3. Confidence increase among people.4. Encouragement to other teams.

7. HOLDING AND SUSTAINING THE IMPROVEMENTS (Annexure-24)

7.1. Processes to ensure that the gains from the implemented improvements are sustainable(Control Plans, Control Charts, SOPs, Audits, or any other method)

Response:1. Standardized the work by updating Work standard quality control sheet (WSQC).2. Standardized the work element sheet (WES).3. Update the XX check sheet.4. Update the XXX XXXX check sheet.(Annexure -24)


7.2. Plans for replicating gains in similar processes across other locations throughout theorganization

Response:Next project taken on XXX line to balance the manual work as attached. ( Annexure -25)

8. ANNEXURE LIST

Response:Annexure 1 :- Customer demand Yearly projectionAnnexure 2 :- Manufacturing costAnnexure 3 :- Business StrategyAnnexure 4 :- Plant XXXAnnexure 5 :- Demand vs. CapacityAnnexure 6a,6b :- Setting the target (6a),(6b)Annexure 7 :- High level of process flow diagram of CEPS Assy.Annexure 8 :- Line LayoutAnnexure 9:- Line Organization Efficiency, Out of Balance IndexAnnexure10 :- Step by step cycle timeAnnexure11 :- Step by step cycle timeAnnexure12:- Step by XXXXX timeAnnexure13:- Step by step cycle timeAnnexure14:- Step by step cycle timeAnnexure15:- Yamazumi chartAnnexure16:- Motion studyAnnexure17:- Implementing the solutionAnnexure18:- Implementing the solutionAnnexure19:- Implementing the solutionAnnexure20a,20b:- Implementing the solution(20a),(20b)Annexure21:- Implementing the solutionAnnexure22:- Activity planAnnexure23:- BenefitsAnnexure24:- Holding & sustaining the improvementsAnnexure25:- Future plan


Annexure-1 : Customer Demand Yearly projection

Customer Demand Yearly ProjectionsNumbers

908070605040302010

CapacityXXXXX @XXX%

XXX

F-15 (ActualDemand)

XX % increasefrom F15 to F17.

XXX

F-16 (ProjectedDemand)

XXX

F-17 (ProjectedDemand)

Annexure-2 : Manufacturing Cost

Rupees Manufacturing Cost1101009080706050403020

10

XXXXX

Saving XXXX(XXX%).

XXXXXX

F-15 F-16 (After Project completion)

11thNorth-West QualTech Awards Page10

Annexure-3: Business Strategy

Achieving highprofitability.

An organization ofenergized & involvedemployees.

BusinessStrategy

Supplying to majorAutomotive OEMs inIndia.

Overseas export ofthis plant products.

An organization ofenergized &involved employees.

Develop futureleaders throughtrainings & skills.

Achieving highprofitability.

Reduce/Eliminate Losses.

Supplying to majorAutomotive OEMsin India.

CompetitivePrice.

Overseas export ofthis plant

BrandingProducts.

Drive passion byengaging themin theimprovement

Boost motivationby recognition &rewards.

IncreaseProductivity

Develop newproduct lines.

Win customertrust &confidence.

Cutting edgetechnology.

Associatedpartnership withOEMs.

Concurrentdevelopment ofsuppliers.

Internationallycompetitiveinnovation.

Identify NicheMarkets.

DevelopingChannelPartners.


Annexure-4 : Plant XXX

Annexure-5: Demand Vs. Capacity


Annexure-6: Setting the Target (6a)

Cycle Time Requirement at XX% EfficiencySeconds46

XX45

44

43XX

42XX

41

40F-15 (At present) F-16 (Requirement @

2 shifts)F-17 (Requirement @

2 shifts)

Annexure-6: Setting the Target (6b)

Seconds Target Setting of NMCT at XX% efficiency46

XX45

44

43

42

41XX

40

39

38

37Current NMCT

XXXXTarget NMCT15th XXX


Annexure-7: High Level Process Flow Diagram of CEPS AssemblyConveyor

Annexure-8: Line LayoutCEPS Inspection. Line-1

Matl.OUT

FGTrolley

final ASSY Fitmentinsp. &motornoise

HandTapping

Noisechecking

FeelingInspection

Rotationaltorqueinsp.

ColumnNoise

checking

Over Allinspection

ImpactTesting

Deburring &Crimping

Balancingmachine

Bottle neck operationCycle time-XXXX. Bottle neck operation

Cycle time-XXXX.

Matl.IN

NeedleBearingPressing

CoilAssy

C Ringpressing

Soldering andPCB cover

Inner jkt.pressing

Ball Brg.Pressing

Capsulefitment

Outer jacketpressing

GeneralAssembly

Motorattachment

Detection ringpressing

Common CEPS assembly line

CEPS Inspection Line-2

Matl.OUT

Final Assy Motor Noise &FitmentInspection

HandTapping

FitmentInspection

FeelingInspection

Column NoiseInspection & PCB Cap

Attachment

OverallInspection

ImpactInspection

Deburring &Crimping

Balancing M/c

Bottle neck operationCycle time-XXXX.


Annexure-9: Line Organization Efficiency (LOE), Out of Balance Index (OBI)

Line organization efficiency (LOE)=Total no. ofoperators

∑CT

× Bottle NeckCycle time

× 100

XXX=

XX × XX× 100

= XXX%

LOE should be >XX% (As per XXXXX standard)

Out of balance Index (OBI) =

Bottle NeckCycle time ×

∑CT

Total no. ofoperators ∑CT

× 100

XX x XX=

XXX

XXX

× 100

= XXX%

OBI should be <XX% (As per XXXXX standard)

Annexure-10 : Step by Step Cycle Time

50Net Cycle Net Cycle XX XX

XX XX

40 time-XX

30XX XX

time-XXXX

XXXX

XX XX XX Manual CT

20XX XX

10

0

Auto CT

0 0

OPT-1 OPT-2 OPT-3 OPT-4 OPT-5 OPT-6 OPT-7 OPT-8


Annexure-11 : Step by Step Cycle TimeActivity

No.Machine

No.Descriptions

Time(sec.)

B-17

1

B-17

Start the cycle X

XX

2Pick the 'O' Ring & Rocket , put on motor shaft &insert the ring through Rocket

X

3Pick the motor & put on XXXX. By adjusting both GearTeeth

X

4 Connect the motor connector in female connector X

5Pick two bolts from bolt dispenser & tight manuallytwo to three thread

X

6 Tight the bolt by Torque Wrench X

7Marking two tight bolts by black marker forconfirmation of tightening

X

8 Keep the components X

Total Cycle time of operator XX


No.Machine

No.Descriptions Time

(sec.)Total Cycle

time1

B-16

Cut the packing of worm housing by cutter & removefrom packing

X

XX

2 Put the worm XXX. on fixture & check the torque X

3Pick the detection ring & check crimping condition,put on fixture

X

4 Put the worm XXXX. on fixture X

5 Press cycle start X

6 Walking for motor greasing X

7 Pick the motor from bin & put on stand X

8Pick the greasing stick & take grease from greasecontainer by stick

X

9Apply the grease on motor serration by rotating themotor

X

10 Return the Station X

Total cycle time of operator XX



No.Machine

N0. DescriptionsTime(sec.)

Total Cycletime

1

B-16

Pick the Worm XXXX. & put on XXXXX stand X

XX

2 Pick the greased worm XXXX. & put on XXXXX pad X

3 Press both clamping pad X

4 pick the middle shaft X

5 Check the middle shaft under magnifying glass, X

6 Put lower bracket X

7 Pick two bolts X

8 Fasten bolts manually & tight by Torque Wrench X

9Mark two tight bolts by black marker forconfirmation of tightening

X

10 Keep comp. on stand X

Total Cycle time of operator XX


No.Machine

No.Descriptions Time

(sec.)TotalCylcle

1 Pick the capsule & put on Fixture X

2 Pick the Outer Jacket & put on Fixture X

3 A-14 Pick the horn earth and Retainer & put on Fixture X XX

4 Press both Cycle Start X

5 Check & mark the Capsule & retainer pressing parts X

6Walk & pick the inner jacket sub assy from conveyor

X& back to outer jacket pressing machine

7 Apply oil on inner jacket sub assy. X

8 Put the comp. on lower Fixture X

9 A-16 Put the Outer Jkt on Upper locator X XX

10 Press both Cycle Start X

11 Mark the pressed component X

12 Pick retainer & insert inside the tube & return XTotal Cycle time of operator X


Annexure-15 : XXXXX ChartXXXXX chart (Only Manual time) of common CEPS assembly line

50 Sec.

45

TARGET LINE – XXX.

XX XXXX XX

OPT-5 to OPT-8 havemore manual work

40XX

35XX

30 XX XX

25

20

M\C No.15 B-12

M\C No.B-03

M\C No.A-35

M\C No.A-12

M\C No.A-16

M\C No.B-16

M\C No.B-17

M\C No.A-17

MANUAL TIME

NMCT

10

M\C No.5 C-85

M\C No.A-15

M\C No.A-14

0OPT-1 OPT-2 OPT-3 OPT-4 OPT-5 OPT-6 OPT-7 OPT-8

Manual Cycle time of Operator 1 to 8


Annexure-20a : Implementing the solutionAnnexure-18 : Implementing the solution

XXXXXXXXXXXXXXX KAIZEN IDEA SHEET

Line / Area : CEPS Assy. M/C No./ ProcessName :

B-17Motor attachment

Date ofidentification XX.10.XXXX

Name of Suggestor:

XXXXXXXXXXXXX

Location : CEPS Assy line-1Date ofimplementation XX.10.XXXXX

Before After

Before situation:

Need to bend the wire harness of motor during connection infemale connector.

After situation:XXXXXXXXXXXXXXXXXXXXXX

Benefits: 1. Cycle time is reduced XXX seconds to XXX seconds.2. Operator XXXX is reduced.


Annexure-20a : Implementing the solution

CEPS line-1

General Assy station.B-16

Bottle neckmachine of line

Moulding machineC-72

Middle shaft line

Straighteningmachine(B-67)

Cycle time- XXXsec.

1

Cycle time-XXXsec.

Middle shaft inspection ongeneral assy. station.

2

Cycle time- XX sec.

Torsion bar pressingmachine

B-25

Activity :-Check the middle shaft under the magnifying glass.

Annexure-20b : Implementing the solution

Sona Koyo Steering Systems Ltd.KAIZEN IDEA SHEET

Line / Area : CEPS M/C No./ ProcessName :

General Assy.B-16

Date ofidentification XX-10-20XX

Name of Suggestor:

Mahesh,Sunil, ManeshSurender, Ajay,Priyanka,Sanjeev

Location : Front SideDate ofimplementation XX-10-20XX

Before After

Before situation:

Middle shaft inspection with XXXXXXX done atgeneral assy. station

After situation:

XXXXXXXXXXX

Benefits :This activity cycle time eliminate XX second to XXX.


Annexure-21 : Implementing the solution

XXXXXXXXX. KAIZEN IDEA SHEET

Line / Area : CEPS Assy. M/C No./ ProcessName :

A-16Outer Jacket

Date ofidentification XX.10.20XX

Name of Suggestor:

XXXXXXLocation : CEPS Assy line-1

Date ofimplementation XX.10.20XX

Before After

Before situation:

Operator movement XX feet to pick theinner jacket sub assy.

After situation:XXXXXXXX

Benefits : Cycle time reduced XX seconds to XX seconds.

Annexure-22 : Activity Plan

S.No. Activities Sept.XXPeriodOct.XX Nov.XX

WK-3 WK-4 WK-1 WK-2 WK-3 WK-4 WK-1 WK-2

1 Select Topic

2 Understand The situation P

3 Set Target

4 Analyze causesD

5 Consider and implement Countermeasures

6 Check Results C

7 Standardize and astablish Control A


2. JH check sheet updated.

4. Work element sheet updated.

Productivity XX

XX

92

Annexure-23 : BenefitsNos./Hrs.

Sec.46

44

42

40

38

36

XX NMCT 90888684

XX 8280787674

Before After Before After

No. of Shift.76543210

C Shift Eliminate

XX

XX

0000

0000

0000

0000

0000

0000

0

Rs..Cost Saving

XXXXTotal Cost Saving= XXXX Rupees/Year.

XXXX

Before After Manpower Cost Energy Cost

Annexure-24 : Holding and Sustaining the Improvements1. Line SWC updated.

3. Poke yoke map updated.


Annexure-25 : Future Plan

Sec.45

Line balancing tobe improve byJune-XX

CYCLE TIME

XXXX

40

XX XX

35XX

NMCT TARGET

XX

30 XXXX

25

20OPT-1 OPT-2 OPT-3 OPT-4 OPT-5 OPT-6 OPT-7 OPT-8

Manual work is not balance of operator XX to XX. So next project is taken to balance themanual work of these stations.

11th north-west qualtech awards for excellence in quality · wastages and improve efficiency of...

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