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AUTOLIV-0001/PT/FW/HB/Aug 8, 2002/APS Booklet - 1 PRIVATE/PROPRIETARY - FOR INTERNAL USE ONLY

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Page 1: APS Booklet

AUTOLIV-0001/PT/FW/HB/Aug 8, 2002/APS Booklet - 1 PRIVATE/PROPRIETARY - FOR INTERNAL USE ONLY

Page 2: APS Booklet

AUTOLIV-0001/PT/FW/HB/Aug 8, 2002/APS Booklet - 2 PRIVATE/PROPRIETARY - FOR INTERNAL USE ONLY

Introduction

Hello! My name is APSY. I will be your guide

to introduce you to APS, The Autoliv Production

System.

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Introduction

With the Autoliv Production System (APS), Autoliv is engaged in a process of continuous improvement and breakthrough with the aim of being the leader in our industry and progressing further each day in satisfying our customer expectations.

Autoliv will be the most reliable, highest quality, cost effective, and innovative partner in the

occupant safety restraint systems industry.

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What is APS?

APS is the formalization of the Autoliv Manufacturing Culture.The most important items of this Manufacturing Culture are described in this training.This training is the culmination of Autoliv Worldwide Manufacturing Experience.Several plants from around the world have contributed to the development of the Autoliv Production System by sharing experiences and best practices.

Input(resources)

ManMaterialMachine

MethodAPS

Output(results)

Customer SatisfactionEmployee Satisfaction

ProfitabilitySociety/Community

Benefit

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What is APS?

The Autoliv Production System is a method to help every single Autoliv plant grow towards excellence. With APS, every plant is working towards the same manufacturing vision.

Every Autoliv employee worldwide is working from this same training. This training has been translated into several languages.

APS is Autoliv’s chosen method

All companies have common inputs(man, material, and machine).

All companies desire good outputs.What separates one company from

another is the method in whichthey turn inputs into outputs.

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Who will benefit from implementation of A.P.S.?

Car users through high quality life saving products.

Car makers through competitive and high quality products that are delivered on time

Shareholders through profit and stock values.

Autoliv employees through stable employment, good work environment and personal training and development.

Our society through community involvement and good corporate citizenship.

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Foundation

The APS HouseAutoliv has chosen to use a house to illustrate APS. To build a strong, aesthetically pleasing house requires know-how, teamwork, perseverance, and a will to do the job well.

As you proceed through this training, you will see how the Autoliv Production System will help structure your know-how, teamwork, perseverance and will, to do a good job to help Autoliv build a strong company that will exist for a long time.

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Foundation

To be sure our APS House will hold for a long time, we first must build a strong foundation. This foundation consists of 5 elements: Teamwork, 5S, Standards,Muda elimination and TPM.

We will now explore each of the 5 elements

of our foundationTeam-work Standards5S Muda

elimination TPM

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Team work is the first element of the foundation of the APS house. Autoliv places a lot of importance on teamwork. Team work is the most effective way for solving problems and achieving defined results.

We are all members of team Autoliv; we are also members of our plant team, department team, and work group team.Team work has proven to provide better results.

Team work provides an opportunity to share experiences and results in stronger commitment.

Team work is essential for the successful launching of new product or equipment, as well as for improvements.

Team Work

None of us is assmart as all of us.

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Team Work continued. . .

A group is stronger than an individual person. A proposal or suggestion coming from a group,is stronger and has usually considered more aspects of a problem than an individual can.

Team work may take the form of a dedicated team assigned to a specific issue (Kaizen workshop for example). A workshop is a team, coming from several departments (production,quality,etc.) assigned to work on a challenge chosen by management in a predetermined amount of time. The team first grasps the current situation,understands the problem, sets expectations and follows up. At the end of the workshop the team presents the results they achieved and the standards they have implemented.

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The 5S is the first 5 initials of Japanese words, the translation of which is:

Seiri = Clear out Seiton = Put in order Seiso = Clean and check Seiketsu = Standardize Shitsuke = Self discipline

5S is a rigorous approach to housekeeping that provides a step by step disciplined way of establishing standards to maintain a safe, clean and efficient working environment that we can all be proud of.

5S

You never get a 2nd chance to make a first

impression.

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Step 1: Seiri - Clear Out

Find/Decide what is necessary and what is not: Define area where 5S is to be done Look trough all documents and items in the area Decide what will not be used in the coming months/years and

throw it out.Sometimes it hurts to

get rid of what you don’t need but afterwards it

feels good.

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Step 2: Seiton - Put in order

Choose a place for each item near the location where it is used the most often.

Decide how to tidy things up (according to frequency of use, weight, etc.)

A place for everything and everything in its

place.

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Step 3: Seiso - Clean and Check First perform a deep cleaning Catch dirt at its source

Eliminate leaks Correct disorders

Look for improvements in order to ease cleaning (easy access)

Provide necessary means to perform cleaning (create a list and storage place for the material needed to clean (vacuum, cleaning products, etc.)

Make a preventive cleaning form (Who, What, When, Why, Where, How, How Long) to be done after first deep cleaning to help maintain level of cleaning.

Train people concerned.

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Step 4: Seiketsu - StandardizeDefine cleaning and tidying tasks:

Use simple and visual rules Tidying

Use drawings, photos, colors, anything visual.

Cleaning Develop a preventive cleaning schedule. Use control boards where possible. Standardize and plan preventive maintenance

Use simple methods to maintain cleanliness Mark normal operating levels (example: green/red mark on a manometer). Conceive machine so that one can look inside cupboards or machines. Anticipate having cleaning material at the station.

Inform and train people concerned to the standards Display standards.

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Step 5: Shitsuke - Self Discipline

Respect and improve standards Respect rules Implement regular audits (daily, weekly, or monthly) Improve standards

Respect of standards calls for everyone’s rigor and self-discipline5S Summary

5S must be done by the persons working in the area concerned.

The 5S process never ends.

Improvement by tidying and cleaning never ends.

New ideas, stations, offices, facilities, lines etc. . . might be the start of a new 5S activity with its 5 steps.

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Standards

Standards are also a key element for having a strong foundation in our house.Autoliv defines standards as

Formalization of any work related activities resulting in a clear, concise and measurable out come. Standards reflect the best, easiest and safest way currently known to achieve a task.

Standards result in Early identification of abnormalities All employees using best practices Variation control

Standards become the basis for verification and diagnosis, for training, maintaining best practices and improvement. Standards have to be improved continuously.

Standards are the basis for

improvement.

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Muda (Waste) Elimination

Another key for Autoliv to succeed is to maximize value added work. To do this we must identify and eliminate all non-value added work Value added work

An activity that transforms or shapes raw materialsor information to meet customer (internal or external)requirements. The part of work for which the customer pays.Example: Value added = assembly of components

Waste Activities that consume time, resources and/or space, but do not contribute to

transforming or shaping materials and information to meet customer needs.Example: Non-value added = transporting components

I could not fit more work in my agenda without eliminating waste!

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7 Kinds of Muda

1. Over-Production: Producing over customer requirements.2. Producing defective product: (nonconformance) Producing product which does not meet customer (internal or external) requirements.

3. Material movement: Multiple handling and staging of materials.4. Inventory: (machine, materials, manpower) Holding or purchasing unnecessary raw materials, work-in-process, and/or finished goods, maintaining extra equipment or manpower.5. Over processing: (adding non-essential labor) The addition of unneeded steps of work activities.

6. Delay / Waiting: Waiting for materials or previous processes.

7. Unnecessary motion: Actions ofpeople or equipment that do not add value to the job.

Over Production is the worst waste of all because it leads to more waste.

Over production is the worst waste of all because

it leads to more waste.

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TPMTPM (Total Productive Maintenance) is the 5th element of our foundation.

Autoliv uses TPM to achieve the highest level of continuous improvements. In TPM, it is essential that all employees take ownership of the machines in their area and are empowered to perform basic maintenance and improvements on those machines.

TPM is: an innovative approach to maintenance that prevents breakdown and promotes autonomous operator maintenance through day-to-day activities involving the total workforce.

TPM is a method of evaluating, maintaining, and improving machine performance, that includes: Standard daily, weekly, monthly preventive maintenance Records of equipment performance (up time) and maintenance Focused evaluation and improvement activities by multidisciplinary teams

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TPM continued. . .

This will result in an improvement in our Overall Equipment Efficiency.

I own my car so I keep it clean, change the wiper

blades, and check the tire pressure. I can do the

same thing to my machines at work.

Opening time

Loading time

Net operating time

Valuable Operating

time

Planned stop-pages

Stop-pages

Sub perfor-mance

Non-quality

BreakdownChangeover

MinorReduced

DefectsStartup

Availability

Performance

Quality rate

Overall Equipment Efficiency

6 big losses

In order to follow up equipment performance, we use the O.E.E. indicator (Overall Equipment Efficiency). O.E.E. is the rate between <<quantity of good parts produced>> and <<quantity of parts theoretically producible>>, without any disturbation (breakdown, defects, minor stoppages, etc.)

In detail, we measure O.E.E. by multiplying:

•the availability rate (loading time / opening time)

•the performance rate (net operating time / loading time)

•the quality rate (valuable operating time / net operating time)

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Pillars

Now that our foundation is complete we will start to build the pillars of our house. The pillars must exist before we build the roof.

The three pillars of APS house are: Just-In-Time Quality First Employee Involvement

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Pillars

Just-In-TimeJust-In-TimeThe first pillar of our house is titled Just-In-Time. The Just-In-Time pillar consists of 6 elements: Leveling & Capacity Continuous flow Pull system Takt time Frequent deliveries Line concepts -Flexible capacity

-One Piece flow

Standards

Just-In-Time•Leveling & Capacity•Continuous flow•Pull system•Takt time•Frequent deliveries•Line concepts -Flexible capacity -One Piece flow

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Just-In-Time

The objective of Just-In-Time is to have a lean manufacturing process that continuously with cost efficiency, produces quality products at the right quantity to meet customer demand in the required time.

What is needed When it is needed Amount that is needed

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Leveling and Capacity

Heijunka leveling is a Japanese word meaning level production volume and variety over a given period of time (monthly is recommended). When you level the customer demand, it gives you an opportunity to level your Manpower, Material and Machines.

Give to production an acceptable variation of resources

(Man / Machine / Material)

Heijunka

Leveling

MarketA.P.S.

Demand

Time

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CapacityCapacity is our ability to meet customer demand at its highest volume. We must ensure our capacity can adapt to the variable need of the customer; that means:

When the equipment is needed to run, it must be ready to run. Demand can not exceed capacity. Be sure that our capacity can adapt to the requirements of the

customer.After the pre-conditions of leveling and capacity are satisfied there are 5 basic elements of Just-In-Time production. They are: Continuous Flow, Pull System,Takt Time, Frequent Deliveriesand Line Concepts.

Let’s look at each element in more detail.

Sorry out of order

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Continuous FlowConventional Organization Definition:

Lets assume that we have a part that passes through the following processes: Machine turning, assembly and press. In a traditional plant all of the machine turning processes, assembling processes and pressing operations would be grouped together. Experience shows us that there will be inventory between the processes, long lead times, and problems will be hidden.

Multi Process Organization Definition: In a multi-process organization all the processes needed to produce

one part are located in the same location. The results are no inventory between processes, shortened lead time, problems are visible, and improved efficiency of manpower. Now that all processes are part of the same line we can apply the one piece flow production system.

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Continuous Flow continued. . .

AAA

CCC

BBB

The old conventional organization

ABC

ABC

ABC

The new multi process organization

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Pull System

All processes in the chain are connected with kanban.Kanban is a tool for the pull system.Kanban is a Japanese term meaning signal. Kanban informs the supplier what the customer needs.

Information flows upstream (signal) Lumber mill send kanban card to the logger = orders more wood

Material flows downstream (product) The logger cuts the wood and floats it down to the mill

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Pull System continued. . .(Push System)Producing as much as possible in hopes of it selling.

(Pull System)Producing product as kanban signaled by card customer.

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Takt Time

The pace of production, takt time, is the time required to produce a single component or an entire product in order to meet and not exceed customer demand.

How do we get takt time?

Total available production timeCustomer demand

= Takt Time

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Frequent Deliveries

Suppliers should deliver smaller lots more frequently.

The benefits are Less money tied up in raw material and finished goods. Less

warehouse space needed for storage and few employees and forklifts to manage and track inventory.

Raw material is purchased, manufactured into finished product, and shipped in a shorter amount of time. This shorter lead time reduces the amount of money tied up in inventory.

Quality defects are noticed and reported to supplier in a timely manner thus allowing these abnormalities to be fixed with minimal scrap and rework.

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Frequent Deliveries continued. . .

Would you like your milk to be delivered only once a month!!!

This ties up a lot of cash, storage space to contain, and likely hood that there

will be scrap as milk sours.

Monthly delivery

Minimal cash investment, small storage space, and product is always fresh.

Daily delivery

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Line Concepts

Line concepts is divided in two elements: flexible capacity and one piece flow.

Flexible capacity means: Heavy automation and

complicated machines should be replaced with simple working smaller machines.

Process must be flexible. The number of operators must be adjusted to the capacity required.

In order to increase flexibility of the line, and to reduce stock, we need to reduce change-over time.

High capacity

required

Low capacity required

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Change-over Time

Change-over time is the time between << the last part of product A >> and << the first part, produced at full speed, of product B >>.

A B

I E

A B

Total change-over timeFor that, we use SMED methodology (Single Minute Exchange of Die). It takes 5 steps:

1 2 3 4 5

Separate the sequences of the change over.

Identify internal and external operations.

Transfer internal to external operations.

Decrease internal operations.

Decrease external operations.

Now, mixing product A and product B on

the line is not anymore a problem.

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One Piece Flow

One Piece Flow is the most efficient way to manage manpower and material resources. When using a one piece flow, each operation must be balanced according to Takt Time.The Benefits are:

The inventory between each process can be eliminated (Less Work in Process).

Products are created one by one (Shortened lead time). When changing builds there is less product to purge (Improved

SMED). Product moves through the process in the same order it was

delivered (First in First out).

Large lot productionOne piece flow

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Quality First

Quality First is another pillar of our house. In the quality first pillar we have three elements. They are:

Quality Assurance Quality Methods 6 Sigma

Just-In-Time•Leveling & Capacity•Continuous flow•Pull system•Takt time•Frequent deliveries•Line concepts -Flexible capacity -One Piece flow

Standards

Quality First•Quality assurance•Quality Methods•6 Sigma

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Quality First

To understand the importance of the quality in our process we must keep in mind three rules:

ASupplier

BAutoliv

CCustomer

Do not Receive Poor Quality

Do not Produce Poor Quality

Do not Ship / Pass On Poor Quality

These rules must be applied also within Autoliv’s companies

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Quality Assurance

In all our processes we could have failures for different reasons: e.g. bad quality of components, machine failures, bad methods, no discipline. . . At the end, all of these things are muda and we must avoid them.

To prevent and avoid this, we must achieve quality assurance by:

Materials Man Machines Man / Machines (autonomation)

Man / Machines (autonomation)

Machines

ProductsMaterials

?

Man

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Quality Assurance continued. . .

MaterialsIn order to build quality Products we must have quality materials. To do this we must involve the supplier in the early phases of the development of our products. We have to establish an ongoing partnership with our suppliers. With early supplier involvement we have seen that we can continue to improve our level of quality supplied to our customers at a lower cost because we don not have to inspect, scrap material or stop assembly lines.

SUPPLIER 1 SUPPLIER 2AUTOLIV

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ManUse the human senses and abilities to observe, identify and react when a problem occurs.

Examples: Observe visual aspect Training and self-learning Analyze situations Ownership and responsibility

Quality Assurance continued. . .

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MachineBuild machines that are able to recognize abnormalities, stop and notify an operator.

Examples Poka yoke built in Artificial vision Operator panel displays information Andon (light coding)

Quality Assurance continued. . .

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Man and Machine (autonomation)“The aim is to be able to prevent the defects in our processes.” One example to illustrate this is the use of “POKA YOKE” in our assembly process. “POKA YOKE” is error proofing either by product design or process design.

With Poka Yoke we will avoid the possibility to produce defects. Even with our best efforts to prevent quality problems in our

processes, the defects might occur. In the case of an occurrence we

must detect it immediately and stop and fix the problem. This will avoid additional muda.

Quality Assurance continued. . .

Poka Yoke

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Quality Methods

Many methods could be used to build quality assurance in our processes and products. We’ve already mentioned Poka Yoke. Some others are:

5 Why Pareto diagram SPC Quality Matrix Cause and effect diagram (fishbone diagram) Problem solving process FMEA PDCA Wheel

Let’s explore each method in more detail.

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5 Why

When you are in front of a problem ask five consecutive times, the question WHY? Each answer must be more precise than the previous one. That way, you will identify the cause of the cause. . . of the problem.

This tool is generally used to identify what really happened for the present occurrence of a problem instead of what are the potential causes.

5 why: More and

more precise

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Pareto Diagram

The pareto diagram is the tool that shows the contribution of several causes to a problem. We draw it with the most frequent cause on the left hand of the diagram as follows:

The highest bar indicates which cause must be attacked first to be more efficient.

There is a general rule that says that if you correct 20% of the causes, you will solve 80% of the problem. This rule is named <<80/20 rule>>.

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SPC - Statistical Process Control

SPC is a way to measure and maintain the reliability and capability of a process. By sampling, you continuously measure a parameter and draw the obtained value on a graph.

SPC enables us to identify whether a process stays inside the limits or not and if there is a trend, allows us to start corrective action at the first signs of drifting out of control.SPC

HT - Limits

LT - Limits

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Diagonality Matrix

Diagonality Matrix is a tool for improving quality by making visual <<where a defect has been produced on the line>> and <<when this defect has been detected on the line>>.

For each defect, we take actions to eradicate the defect, but also to detect at the exact place where it was produced.

Where produced

Whe

re d

etec

ted

Station 1Station 2 Station 9

Station 1Station 2

Station 9 T

Diagonality Matrix

Defect detected on station 9, but produced on station 2

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Cause and Effect Diagram

The Cause and Effect Diagram is a tool to list the potential causes to a problem. It is also referred to as the Ishikawa or fishbone diagram. We write the effect in the head of the fishbone. The different bones are dedicated to a category of cause where the corelines are the main causes, and the lines coming off those, are the subcauses: Cause

Effect

Method Measures Machine Material

Management Environment Man

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Problem Solving ProcessIs both a method and a presentation form for problem solving. It includes 8 steps:1. Creation of a team with a champion

establish a small group of people with process and/or product knowledge, allocated time, authority and skills in the required disciplines.

2. Problem description describe what is wrong with what, with quantifiable terms

(who, when, where, why, how and how many)

3. Development of interim containment action (ICA) to isolate the effects of the problem form any

internal/external customer until permanent corrective actions (PCA) are implemented.

4. Research of root causes test each possible cause

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5. Choice of permanent corrective actions select the best permanent corrective action to remove the rood cause

6. Implementation and validation of permanent corrective actions (PCA)

and remove the interim corrective actions7. Implementation of actions to prevent recurrences

modify the necessary system including policies, practices and procedures.

8. Lesson learned documentation if a lesson has been learned, propose the problem solving report as a

lesson candidate for further actions in Lessons Learned System (LLS).

Then congratulate the team and close the report.

Problem Solving Process continued. . . .

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Failure Mode Effects Analysis can be performed about: Product Concepts Process Concepts Components production process Machines

FMEA is a method performed by a cross functional team, to prevent defects before they really occur by the preventative analysis of the different phases of the product design or assembly and establish counter measures to prevent it. Each potential problem can be quantitatively analyzed with Risk Priority Number (RPN). RPN is calculated as D x O x S, where D, O, S are the parameters for:

Detection : what is the probability for detection of the defect before it occurs Occurrence : what is the probability for the defect to occur Severity : what would the consequences be if the defect occurs

Each parameter is given a value between 1 and 10, where 10 corresponds to high probability and serious consequences. The result will be a number between 1 and 1000 and the potential problems with the highest RPN will be corrected first.

FMEA

RPN D O S

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PDCA Wheel

The PDCA Wheel is a methodology to apply solutions to a problem to ensure the problem will not occur anymore.

The methodology is described in four steps: Plan : Set objectives and build an action plan Do : Provide resources and do it Check : Check results by

indicators and react if necessary Act : Standardize the solution to

prevent recurrence

Act

Check

Plan

Do

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6 Sigma

The target of 6 Sigma methodology is to reach 3,4 dpmo (defect per million opportunities). The 6 Sigma workshop leads to the improvement of the product of the process, based on the reduction of their variability.

A 6 Sigma workshop is completed in 5 steps :

Define Measure Analyze Improve Control

Reduce variability!

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6 Sigma StepsLet’s detail these steps: Define the problem or the challenge, to listen to the <<voice of

customer>> (VOC), to identify all important parameters for the process, from Supplier to Customer, and to determine which parameters are critical to quality (CTQ).

Measure the frequency of defects, define performance standards and validate measurement system.

Analyze when and where defects occur, by establishing product capability, defining performances objectives and identifying variation sources.

Improve the process, by screening potential causes, and establishing operating tolerances.

Control the process so that is says fixed by validating the measurement system, determining the process capability and implementing process controls.

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6 Sigma continued. . .

DMAIC workshop is used for

improving existing product/process. 6 Sigma can also be used for new ones, for that we use Design For

Six Sigma (DFSS) workshop.

defect

defect

Bad processHigh variability

Upper Limit

Lower Limit

Low Sigma Level

defect defect

Lower Limit Upper Limit

Good ProcessLow Variability

Upper Limit

Lower Limit

LowerLimit

UpperLimit

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Employee InvolvementThe most important pillar of our house is Employee Involvement.

Just-In-Time•Leveling & Capacity•Continuous flow•Pull system•Takt time•Frequent deliveries•Line concepts -Flexible capacity -One Piece flow

Quality First•Quality assurance•Quality Methods•6 Sigma

Standards

Employee Involvement•Safety /Ergonomy•Flexibility and Motivation•Discipline to standards•Continuous Improvement•Process and result•Don’t judge!•Don’t blame!

Employee Involvement is at the center of APS. Everyone has a role to play and everyone benefits. Employees are the most valuable resource of our company.

• The success of our business is dependent on the planning, control and improvement of all elements of our business and this can only be done by people.

• Every employee has knowledge and experience which may provide the key to solving a challenging problem.

• There are six key elements to Employee Involvement. Let’s discuss each in more detail.

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Safety / ErgonomySince employees are our most valuable resource it is very important that all jobs are designed to be performed safely and ergonomically.

Safety : When we design any job it must be designed to be able to be done safely. This means that all aspects of the job need to be considered from the environment, to the equipment, to the motion. As employees of Autoliv we will be provided with training on safety and safe behavior. It is up to us to apply this knowledge to our daily jobs.Ergonomy : Ergonomy relates to the study of human motion. Certain motions and posture are shown to cause injury when performed in a repetitive manner. As Autoliv employees we must educate ourselves on these hazardous motions and postures and passionately pursue eleimination of these conditions. Prevention activities can include exercises, stretching, and conditioning ourselves to perform a task as well as the design of equipment and work stations.

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Flexibility and Motivation

A company such as Autoliv is built on people’s knowledge and their will to make it run.

A good way to keep an accurate mind is to regularly change the tasks we do. In that way, flexibility and motivation appear as key points. Managers care to give their employees the opportunities to use their flexibility and consequently keep their motivation level. Recognition too, contributes to keep motivation.

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Discipline to StandardsWhy Discipline to maintain standards is necessary.

Without standards there can be no improvement! In basketball it takes five players working to the same standards to win the game. If one player breaks a standard by committing a foul it could cause the team to lose the game. The same holds true in a manufacturing environment. If one team member doesn’t follow the standard it can cause the company to not reach it’s objectives. Education is necessary for each employee to gain the understanding of

the standards required to perform their job. Each employee must develop the discipline to follow the standards. Following the standard guarantees the success of our job.

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Continuous Improvement

Employee involvement is critical to sustaining continuous improvement. There are several ways that we can be involved in continuous improvement:

Participation in suggestion system. Participation in cross functional teams. Participation in problem solving.

No work station or job is ever perfect. There is always room for improvement. Continuous improvement must come form each of us. We must all be thinking of better ways to perform our jobs, and communicate our ideas to our co-workers.

I have a suggestion!

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Process & Results In APS employees should focus on the process not the end

result. If we focus and fix the process we will get good results. What

comes first, the machine breaks or machine downtime?The machine breaks before we have machine downtime. The desired result is machines that run continuously. How we can guarantee that the machine runs is by focusing on the preventive maintenance process. Preventive maintenance is an example of a process that leads to improvement in productivity which is the desired result.

A good way to improve process is to identify and eliminate MUDA and to avoid variability through information and training.

Other examples of processes are training, kaizen suggestion system, 5 why, 8D, etc.

Focusing on fixing our processes will produce our desired results. Of course, it is also important to check the result and to take it into

account, in order to confirm that the process is good!

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Don’t Judge! Don’t Blame!

When something is going wrong (fault defects. . .) or you want to perform an improvement on any situation, go, see and listen with an open mind. Problems are not linked to people. If people are afraid to be judged and blamed in case of a problem, they will hide the problems. If the problem is hidden then we can’t imagine any improvements.

Blaming someone does not solve the problem. We all have to support our teams without judging and blaming.

A good way to analyze any situation

without any judgement or

blaming, is to set the habit to speak with

clear data.

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Purpose

Now that we have built our pillars, we can put the roof on our house. The roof represents our purpose and is supported by the foundation and pillars.The purpose of APS is to meet the needs of our customers and employees to insure the success of our company and improve society.APS method is cost improvement oriented. A rigorous application of APS will keep the Competitiveness for Autoliv.

Just-In-Time•Leveling & Capacity•Continuous flow•Pull system•Takt time•Frequent deliveries•Line concepts -Flexible capacity -One Piece flow

Employee Involvement•Safety /Ergonomy•Flexibility and Motivation•Discipline to standards•Continuous Improvement•Process and result•Don’t judge!•Don’t blame!

Quality First•Quality assurance•Quality Methods•6 Sigma

Team Work

5S Standards Muda elimination TPM

ProfitabilityCompetitiveness

SatisfactionCustomers

Company Employees Society

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Mission

Let’s look at the house we have now built and place the flag on top that will state our mission.

Just-In-Time•Leveling & Capacity•Continuous flow•Pull system•Takt time•Frequent deliveries•Line concepts -Flexible capacity -One Piece flow

Employee Involvement•Safety /Ergonomy•Flexibility and Motivation•Discipline to standards•Continuous Improvement•Process and result•Don’t judge!•Don’t blame!

Quality First•Quality assurance•Quality Methods•6 Sigma

Team Work

5S Standards Muda elimination

TPM

ProfitabilityCompetitiveness

SatisfactionCustomers

Company Employees Society

Autoliv will be the most reliable, high quality, cost effective, and innovative partner in the occupant safety restraint system industry

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Conclusion

We hope this booklet has given you a good overview of the Autoliv Production System. More detail on each of the concepts and methods will be provided as required by your specific job. Specific training programs have been edited in order to deploy the APS culture throughout Autoliv.

I have enjoyed building this house with you.

Meet you soon for APS training program.

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