taking back control of engine flow - qnet manitoba conf rick porayko.pdf · rick porayko, senior...

Rick Porayko, Senior Consultant, Strategic ProjectsOctober 2009

Taking back control of engine flow

• How establishing flow in StandardAero’s PT6 business unit made it easy to do things right, and to do the right things.

StandardAero Corporate Overview

The Winnipeg Operation:• 1,500 employees• 7 buildings adjacent to YWG airport• Current expansion of the CF34 business

• $1.4B annual sales• 4,000 employees total

Overview of PT6 – The business unit, the engine, and the airplanes it powers

• Turboprop producing between 500 and 1,500 SHP depending on model

• StandardAero overhauls just over 200 per year, plus does several hundred lesser maintenance events

• Annual revenue: $100M• Employees: 140

• The engine can be divided into 3 major modules

• The modules can be further divided into a total of 17 different subassemblies

Workscope

Dismantle

Clean &NDI

ComponentInspection(7 pkg’s)

EstimateCreation

Kit &Subassemble

Final assembly& test

Support AGB

PowerSection

GasGenerator

FinalPLS Support

PowerSection

GasGenerator

AGB

PowerSection

GasGenerator

Supply

Supply

AGB

• Process flow was not ideal –everybody touched the same job at least 4 times!

• Finding things was nearly impossible – components from each engine were scattered throughout the facility

Our traditional approach to cellular structure was to disaggregate engines into modules, and process the modules in series

A twice-daily “production meeting” was required –everybody brought their clipboards and spreadsheets!

The control board was more than 15 feeet long!

Our new cellular design is based on our recently discovered MRO Value Stream

• The points highlighted in red aremilestones that signal the end of oneprocess and the beginning of another.

• Each process creates a product that is delivered to a customer

• Each process is a prerequisite of the next process

• Waste is created when operational practices don’t align with the value stream

Here’s why understanding the value stream is important:

Managing the operation is easy now because we’ve finally got the process right!

Kitt

ing

Cel

l

Est

imat

e C

ell

Eng

ine

Bui

ld C

ell

Raw material

Finished product

Finished product

Raw material

Raw materialFinished product

“Process:” a series of activities that transform raw material into finished product.

Shigeo Shingo

Estimating process highlights:

• Begin with standard work and mistake proofing

Ensure the project is production ready

Provide a signal for work to begin

Process input

• Use teams when teams are appropriate

Process output

• Make the facility layout mirror the process

Dis

man

tle

Shift

1

Cle

anin

g

Shift

2

ND

I

Shift

3

Insp

ectio

n an

d Es

timat

e C

reat

ion

Shift

s 4

& 5

DismantlePreparation

Dismantle engine

Separate materials

Vapor Blast

Clean Stainless

Steel Parts

Clean Aluminum

Parts

Clean Aluminum

Parts

Clean Stainless

Steel Parts

Collect

Inspect Critical Parts

Inspect Non-critical Parts

Material Shopping

Pro-forma estimate creation

Team based estimate creation

Engineering Report

Deliver to customers

Route Accessories

Estimate creation process

LPI

MPI Collect

• Follow single-piece flow through the process

Each step= 1 shift

Kitting process highlights:

Provide part placement instructions to people placing part on the kit cart

Assemble the product according to the (internal) customers requirements

MISTAKEMISTAKEPROOFINGPROOFING

Simple visual control system to understand completion status and maintain schedule

Engine build process highlights:

Wor

k St

atio

n

1St

atio

n 1a

Wor

k St

atio

n 1b

Wor

k St

atio

n 1c

Wor

k St

atio

n

2W

ork

Stat

ion

2aW

ork

Stat

ion

2b

Wor

k St

atio

n

3W

ork

Stat

ion

4

Build CT Disk

Build Comp Disks

AssembleCompressor

AssembleHot Section

Assemble AGB

Assemble GG

Build RGB

Butt GG & PSRig for Test

Test

SATQI

Ship

Build Carrier

Build PT Shaft

Build PT Disk

Assemble Externals

Assemble PT Rotor

Build prop oil transfer sleeve

Build FGB

Build prop shaft

Build 2nd carrier

Build interstage vane

Build T5 Final stack

Collect

Collect

Collect

End

Collect

Distribute work

Distribute work

Distribute work

Distribute work

Distribute work

Distribute work

Each lane: 1 engine,1 shift TAKT

• Follow single-piece flow through the process

• Mirror the process in the facility layout

• Automate to tasks where appropriate

• Provide a means to resolve problems fast!andon

Managing the operation is easy now because we’ve finally got the process right!

Kitt

ing

Cel

l

Est

imat

e C

ell

Eng

ine

Bui

ld C

ell

Raw material

Finished product

Finished product

Raw material

Raw materialFinished product

“Process:” a series of activities that transform raw material into finished product.

Shigeo Shingo

The process-based design and single-piece flow have resulted in many tangible benefits

• Cost of Poor Quality dropped from 5% of sales to 2% of sales (annual sales ~ $100M)

• The twice-daily production meeting was eliminated• Direct labor content was reduced from 260 hours to 210

• Spare parts inventory was reduced by 40% ($7M)

• Customer delivery compliance increased dramatically

• The range of the cost at estimate vs. cost at invoice variance reduced from ~25% to <3%

Lessons Learned

• Waste is created when operational practices conflict with the value stream

• Ownership of a physical asset does not ensure control of a process

EndEndThank you for your interest in StandardAero’s leaner operations

EstimateProcess

KittingProcess

EngineBuild Process

taking back control of engine flow - qnet manitoba conf rick porayko.pdf · rick porayko, senior...

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