plenary by s giridhar reddy
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Presentation by : S.Giridhar ReddyVice President – Operations
1st Friction Material Company in
World to win Deming Grand Prize
Date : 5th Nov, 2014
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Contents
Rane Group – an overview
Integrated approach to LPS
Background
Benefits
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Provide superior products and services to our customers and
maintain market leadership.
Evolve as an institution that serves the best interests of all
stakeholders.
Pursue excellence through total quality management.
Ensure the highest standards of ethics and integrity in all our
actions.
Mission Statement
Rane Group – an overview
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Rane group was established in 1923 - comprises of 25 plants and employs over
5200 personnel
Annual group sales for the year 2013 - 14 : INR 2,962 crores (~494 million USD)
Product-wise sales contribution of group companies for the year 2013-14 :
(RBL Product)
Valve Train Components, 14%
Steering Columns & Electric Power
Steering Systems, 20%
Friction Material Components, 14%
Hydraulic Pumps & Power Steering Systems, 18%
Occupant Safety Systems, 4%
Diecast Components, 3%
Manual Steering & Suspension Systems,
24%
Aerospace & Defence Business,
2%
Rane Group – an overview…
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Rane Group StructureOperationally Independent & Strategically Aligned
Listed Company Deming PrizeDeming Grand Prize
(DGP)
Rane Group – an overview…
Rane Holdings Ltd.
Rane (Madras) Ltd.
Rane Brake Lining Ltd.
Rane TRW Steering Systems Ltd.
JMA RaneMarketing Ltd.
Kar Mobiles Ltd.
Rane Engine Valve Ltd.
Rane NSK Steering Systems Ltd.
Page 6 of 38
Rane (Madras) Limited
Manual Steering, Suspension Systems &
High Pressure Die Casting Products
Rane Engine Valve Limited
Engine Valves, Valve Guides, Tappets
Rane Group – an overview…
Rane Brake Lining Limited
Brake Linings, Disc Pads, Clutch Facings, Composite
Brake Blocks, and Sintered Brake Pads
Product Range
Page 7 of 38
Rane NSK Steering Systems Limited
Steering Columns & Electric Power Steering
Rane TRW Steering Systems Limited
Power Steering Systems, Occupant Safety Systems
Rane Group – an overview…
Product Range…
Kar Mobiles Limited
Large Engine Valves for Automotive &
Defense Applications
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Established in 1964 for manufacturing friction material products
Serves all market segments – OEMs, Aftermarket, Exports, Railways
Collaboration with NISB - Japan with an equity participation of 20.15%
State of art R&D and testing facility approved by Government of India
Manufacturing facilities at 4 locations
P1: Chennai P2: Hyderabad P3: Puduchery P4: Trichy
Rane Group – an overview…
Rane Brake Lining Limited (RBL) – an overview
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Brake Linings
Clutch Facings
Composite Brake
BlocksDisc Pads
Clutch Buttons
Leader in Friction material industry in India
Sales turnover of 384 crores for the year 2013-14
Rane Group – an overview…
RBL Products
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Contents
Rane Group – an overview
Integrated approach to LPS
Background
Benefits
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Background
Preforming
Required weight of mix
is formed as a cake –
a small lot production
process
Input Output
Mixing
Number of raw
materials are mixed to
form a homogeneous
mix – a batch
production process
OutputInput
PCBL Manufacturing Process
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Background…
Polymerization takes
place under pressure &
temperature – a small
lot production process
OutputInput Curing
Product is baked under
specified temperature
and time – a batch
production process
OutputInput Baking
PCBL Manufacturing Process…
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Finishing
Finishing the product to
required dimensions – a small
lot production process
Considering varied output quantities, we used to follow
batch production in all the processes – process layouts
OutputInput
Background…
PCBL Manufacturing Process…
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LPS focusing
on ProductivityLPS focusing
on flexibility
Integrated approach
TQM implementation
Background…
LPS Journey at RBL
Page 15 of 38
Background…
Work place management through 5S & Visual controls
Safety management
Standard Operating Procedure (SOP)
Daily Routine Management (DRM)
Information Technology (IT)
Total Employee Involvement (TEI)
Training (skill enhancement)
Suggestion scheme (Kaizens)
Quality Control Circles (QCC)
Productivity improvement projects taken up as Kaizens / QCC
LPS Journey at RBL
2000-05 RBL started TQM journey
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Background…
LPS organisation
Training on LPS concepts
Muda identification and elimination
Ergonomics improvements
Low cost automation (LCA)
Multi skill development
Layout improvements (Process to Product)
Multi machine handling
LPS Journey at RBL…
2005-08 Implementation of LPS towards productivity improvement
LPS focus was on productivity improvement
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Background…
SMED projects (ECRS concept)
Development of common jigs and fixtures
Cycle time reduction projects / Debottlenecking
LPS Journey at RBL…
2008-11 Implementation of LPS towards establishing mixed product lines
Model machine projects
Autonomous maintenance
Planned maintenance
OEE improvement projects
Implementation of TPM towards equipment availability improvement
LPS focus was on establishing flexibility
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Background…
LPS Journey at RBL…
2011-12 Issues / Challenges :
Entry of Global OEMs resulted in:
Stringent quality requirements – Direct On Line (DOL)
JIT delivery – Kanban based supplies
Increase in cost of resources impacting manufacturing cost
Considering the learning from TQM, TPM, LPS and SPC, an integrated
approach is evolved, focusing on:
Quality,
Productivity,
Delivery (Flow production),
Equipment and
Manufacturing cost
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Contents
Rane Group – an overview
Integrated approach to LPS
Background
Benefits
Page 20 of 38
Quality improvement
Quality
Assurance
• FMEA
• Poka yoke
• Control
charts
• Process
capability
• Quality audits
• First time
right
QC Story
Methodology
• Q7, M7 tools
• DOE, MRA
• Phenomenon
elimination
Productivity improvement
Cycle time
reduction
• Takt time
• De-
bottleneck
• Line balance
• ECRS
Manpower
Optimization
• Man-machine
charts
• Layout
• LCA
• SPF
• Small lot
production
• Multimachine
handling
Flow Production
Flexible
manufacturing
• Set up time
• Multi skill
• Multi models
• Common jigs
• Leveled
production
Pull Production
• Kanban
• 2 bin system
• VSM
Equipment Improvement
Autonomous
Maintenance
• Model
Machine
• CLIT
• OPL
Planned
Maintenance
• PM
• TBM
• CBM
OEE
Improvement
• Loss
elimination
Manufacturing cost reduction
Energy cost
reduction
• Optimized
energy
source
• Consumption
reduction
• Advance
technologies
Yield
Improvement
• Tooling
improvement
• Process
improvement
• Innovative
ideas
TEI, Training, 5S, Visual controls, Safety, Standard work, DRM, Kaizen, IT
Customer satisfactionImproved P,Q,C,D,S,M
Integrated approach to LPS…
Benefits
LPS OrganisationThe House of Lean
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LPS Organization
President
Quality
Improvement-
Head QA
Plant Head
Productivity
Improvement –
Head MFG
Flow
Production -
Head MFG
Equipment
Improvement-
In-charge PED
Manufacturing
Cost reduction-
Head PFMD
Plant coordinator
LPS coordinator
CFT consisting members from MFG, PED, MFD, QAD, HRD
work towards achieving the objectives of LPS
Organization Chart
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LPS Organization…
Plant Head:
Providing essential resources for the teams
Review of the progress of projects
Company LPS Coordinator:
Developing required Framework/Approach
Facilitation in review of progress of the project
Plant Coordinator:
Developing required SOPs / Formats
Collecting the data wherever required
Monthly MIS report of plant level improvements and circulate to teams
Monitoring project progress and reporting to plant head
Responsibilities
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LPS Organization…
Reviewer Frequency Review points Coordinator
President QuarterlyPlant master plan
Best practices implemented
Corporate
coordinator
Plant head MonthlyMaster plan – Team wise
Gaps and PDCA
Plant
coordinator
Team Leader Weekly
Review of activitiy status in individual lines
Gaps and PDCA
Training and awareness status
Team
coordinator
LPS Review Structure
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Manpower Optimization
Preparation of Man Machine chart
Identification of muda
Identification of Kaizens
to eliminate muda
Implementation of Kaizens
Standardization of the Kaizens
Operators are involved at every step
Approach
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Finishing lineWIP
WIP WIP
WIP WIP
WIP WIP
WIP
WIP
WIP
WIP for finishing
Block
Grinding
Slitting
ID
Grinding
OD
Grinding
Piece
TrimmingChamfering
Inspection &
Printing
WIP
WIP
WIP
WIP
WIPWIPWIPWIPWIPWIPWIPWIPWIP
WIP WIP
WIP WIP
WIP WIP
WIP
WIP
WIP
WIP for Packing
Transportation and unnecessary motion muda
are contributing to 62%
Muda Identification
7 people are deployed in one
finishing line
Line productivity is 75 pieces
per man hour
Man machine chart is
prepared for each operation
Muda identified with respect
to 7 types
Manpower Optimization…
- Manpower
Page 26 of 38
Transportation muda
WIP
Block
Grinding
Slitting
ID
Grinding
OD
Grinding
Piece
TrimmingChamfering
Inspection &
Printing
WIP
WIP
WIP
WIP
WIPWIPWIPWIPWIPWIPWIPWIPWIP
Cause identification through Gemba analysis and brainstorming
Control panels, power packs are located at sides of the machines
Materials are transported in bins and stored in between the stations
Individual operation output was monitored than line output
Kaizens implemented
Focus changed from Individual output to line out put
Trained operators on Lean concepts
Counselled senior operators and discussed with Union
Layout modified by implementing kaizens
Moved the hydraulic tank and control panel to front / back side
Chutes provided between machines to eliminate usage of bins
Machines moved closer to form U shape layout
Multi machine handling established
Manpower Optimization…
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Results
Parameter Before Target After
Manpower deployment / line 7 4 4
Productivity in pieces / man hour 75 105 105
Inventory in pieces 8000 - 400
Space occupied in square meters 210 - 90
Distance traveled in meters 28 - 14
Standardization
Respective SOP were amended with the changes made
Layout and other relevant drawings modified
Horizontally deployed to other finishing line
Manpower Optimization…
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LPS improvements in PCBL line
Major
ActivityMeasures Metric Mixing Preform Curing Baking Finishing Total
Quality
improvement
Implementation of SPC tools No of Stations 1 - 1 - 3 5
Implementation of Poka yoke No of Poka yoke 8 11 84 56 6 165
QC Story approach – QIT No of QC Stories 2 4 7 5 18
Productivity
improvement
Cycle Time reduction No of Projects - 1 - - 1 2
Man Power optimization No of Projects - - - - 2 2
Flow ProductionFlexible Manufacturing No of Projects 2 2 1 5
Pull Production No of Lines 3 3
Equipment
improvement
Autonomous Maintenance % of Machines covered 100 100 100 100 100 100
Planned Maintenance % of PM adherence 100 100 100 100 100 100
OEE Improvement No of Projects 1 - 1 - 1 3
Manufacturing
cost reduction
Energy Cost reduction No of Projects - - - 4 2 6
Yield Improvement No of Projects - 2 4 - 1 7
Since 2005-06
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Effects – PCBL line
In-process rejections
30
1030
2030
3030
4030
5030
6030
7030
8030
9030
2010-11 2011-12 2012-13 2013-14
PP
M
Better
Reduced by 40%
30
35
40
45
50
55
60
65
70
75
80
2010-11 2011-12 2012-13 2013-14
Equ
.un
its
/ m
an h
ou
r
Better
Increased by 38%
Productivity
30 of 54
Effects – PCBL line…
Schedule Adherence Index
30
40
50
60
70
80
90
100
110
2010-11 2011-12 2012-13 2013-14
In %
Achieved 100% SAI
Work in Progress
0
1
2
3
4
5
6
7
2010-11 2011-12 2012-13 2013-14
Nu
mb
er
of
day
s
Better
Reduced by 40%
Better
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Contents
Rane Group – an overview
Integrated approach to LPS
Background
Benefits
Page 32 of 38
0
20
40
60
80
100
2010-11 2011-12 2012-13 2013-14
PP
M
Better
Benefits – Quality improvement
In-process Rejection
5000
6000
7000
8000
9000
10000
11000
12000
13000
2010-11 2011-12 2012-13 2013-14
PPM
Better
Customer Line Return
Page 33 of 38
Benefits – Productivity improvement
45
50
55
60
65
70
75
80
2010-11 2011-12 2012-13 2013-14
Eq. u
nit
s /
man
ho
ur
Better
Better
Productivity (PCBL)
25
27
29
31
33
35
37
39
41
43
45
2010-11 2011-12 2012-13 2013-14
Eq. u
nit
s /
man
ho
ur
Productivity (DP)
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6000
8000
10000
12000
14000
16000
18000
2010-11 2011-12 2012-13 2013-14
In n
um
be
rs
200
250
300
350
400
450
500
550
600
2010-11 2011-12 2012-13 2013-14
No
.of
ho
urs
Benefits – Equipment improvement
Better
Better
MTBF
Irritants
Page 35 of 38
‘Best performance in Proprietary Category’
award from Brakes India Ltd. : 2013-14
‘Best efforts in KANBAN implementation’
award from Brakes India Ltd. : 2013-14
Customer Awards from Tier-1 Customer
Customer Awards
Page 36 of 38
‘Best in class performance in aftermarket support’
award from Ashok Leyland Ltd. : 2012-13
Customer Recognition from Vehicle OEM Customer
Customer Awards…
Page 37 of 38
‘Great Place To Work - India’s 2nd best auto
component industry to work for’ - 2013
Manufacturing Excellence Award by ACMA in
2013 – RBL Trichy
Other Awards
People Focus
Manufacturing Excellence
Page 38 of 38
Lean journey is end less – we are focusing on future challenges
Way forward
Page 39 of 38
Rane Brake Lining LimitedRane Brake Lining Limited
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