OBJECTIVES

To Eliminate receipt of materials thro gunny bags.To Eliminate weighing / counting during unloading.To Eliminate Stock variation throughout supply chain from supplier to storage.To Eliminate multiple loading & unloading.To reduce vehicle turnaround time.To maintain easy accountability.

Present ConstraintsBag wise unloading leads more time. 100% counting through weighmentInvisible of materials in gunny bags.Unable to find the mix up during receipt.Qty variation during receipt & Issue.Delay in Issue to productionPoor 5S by Gunny bags during storage.Manpower efficiency loss by multiple counting at various stages.

RM

Material Collected from HUB by Trolley.Fixed qty ( No Gunny Bags), and Stacked at Stores based on daily Kanban.Collection from HUB to Plant

GUNNY BAG ELIMINATION

Current SupplyProposed Supply from VMI hubCurrently materials supplied in gunny bags and stored in steel palletsWill be supplied thro trolley filled in steel trays as countable lots.

Gunny Bag elimination plan vs actual

Sl NoSupplierItemsNo of parts PlannedNo of parts CompletedStatus1Logwell forgeSocket forging110Discussion completed with VRL2Sriaurbindo Automotive componentsSocket forging190Under discussion with supplier for local coordination3Blue stampings & forgingsSocket forging100Discussion yet to be started Target: 30.06.144Punch Ratna ForgingSocket forging & Ball pin forging2818Implementation Target date 05.07.145Auto InternationalBall pin forging87Implementation for 1 parts Target date 25.06.14

Total7625

Cost workingTotal expenditure will be shared 50-50 with the supplier

Sl.NoContentSocket at PlantSocket at SubcontRemarks1No of suppliers Planned4M/s. Logwell forgeM/s. Sriaurobindo M/s Auto InternationalM/s PRF2No of parts34GJ,LCV,TML,AL & Ford, Bentler3No.Trays Req1152918Skt@50 / Tray, B/P@80/Tray4Cost / TraysRs.450Rs.450Customized trays. Design Finalized with supplier.5No.of.Kanban Trolleys6451For Transit from Supplier to RML and Return.6Cost / Trolley with PU wheel1050010500Fabricated as per MESD standards.7Total Trays Cost5.29 lacs4.22 lacs8Total Trolley Cost6.72 lacs5.35 lacs9Transport CostRs.900010Vat@5% on Total Cost1.07 lacs11Total Project Cost22.73 lacs

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Benefits

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Other BenefitsElimination of transfer activity of components from gunny bag to pallet and pallet to trays towards issue to production. Elimination of time delay on materials issue to production.Readiness of materials towards immediate supply to shop floorEasy accountability during perpetual inventoryEasy identification and improved 5S.

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