01-total project list--updated march 30

JULIAN KALAC LEAN SIX SIGMA PROJECTS March 26, 2015

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Examples of Lean Six Sigma projects

VOLVO EATS LEAN TRANSFORMATION PROJECT

EAST (Exhaust After Treatment System)

Mancor Automotive (July 2014)

Problem Statement

1. Product/design issues causing 30% Internal Quality reject rate , limiting throughput 8 sets/day

2. Unable to meet increased VOLVO demand 60pcs/week, causing shut down Volvo production 2

day

3. Unable to meet TAKT TIME < 3 days, Currently cycle time > 4 days,

Objective(s)

1. Improve Product quality by 80%, reduce reject rate from 42% to <5%

2. Reduce Lead time by 50% (from 4 to 2 days)

3. Productivity by 50%, from 8-12pcs/day

LEAN TRANSFORMATION RESULTS

1. Reduced quality reject rate from 30% down to 3%

2. Reduced total lead time from 4.5 down to < 2 days

3. Reduced total cycle time from 3Hrs to 0.7Hrs/pc

4. Reduced WIP from 33 pcs to 12pcs in < 2 weeks

5. Project completed in 4 months—TOTAL SAVINGS= $700K/YEAR

EAST (Exhaust After Treatment System)


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LFB USA DOWN STREAM PROCESSING (DSP) IMPROVEMENT PROJECT

THERAPURE BIO PHARMA— March 2015

Problem:

1. Low Suite utilization 11%, causing capacity constraints with other products

2. Batch cycle time = 5 days per batch, customer Takt Time= 4 days/batch

Objective: Increase utilization and production capacity by 30% without additional capital RESULTS:

increased Final Yield by 19%,

increased suite utilization from 11% to 62%, and

Reduced total batch processing time from 5 to 3.5 days/batch (42%)

Total Operational savings = $1.4Mil/year

Project completion time= 3.5 months


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Noble Fire Production Capacity

Noble Fire (October 2012)

Problem Statement: Production capacity unknown, sales increasing rapidly

Objective: Increase production capacity by 25% without any new equipment

Project duration < 2 months

Oct 9th Prepared Engineering report listing all the issues and recommendations

Oct. 19th given direction to implement my suggestions

Main Improvements:

o Increased productivity by 28% in less than 2 months

o Designed, tested and validated new NFPA Approved sprinkler head outlets which

reduced field repairs by 95%-over $40K/year

o Reduced Cycle time on an Automated Burn/Weld Machine by 30% resulting in over

$100K/year in increased productivity

o Developed a plan that would increase production capacity by 80% and reduce OT costs

by over $230K, with a ROI of 78% (Payback= 0.3 years)

o Total Project Savings = $840K

OLD OUTLETS NEW OUTLETS


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Packaging Scrap ($250K annual savings) (BLACK BELT CERTIFICATION PROJECT )

Project involved over 40 people, mechanics, electricians, supervisors, lead hands, operators,4

shits

Project was completed in 8 months

Problem Statement: Packaging scrap was 2.4%

Objective to reduce scrap from 2.4% to 1.2%

Measure Phase tools: Detailed PFD, X-Y matrix, Gauge R&R were used to gather data

Significant factor: DOE revealed baskets style cartons significant factors in overall Finishing

scrap

Improvements: modified tooling on turn section of gluer, replacing pneumatic cylinder with load

cell for better carton control, IMPLEMENTED 5S using SHADOW BOARDS, developed SOP

and standardized it.

Control Plan: error proofed critical settings and implemented regular hourly SPC checks

Lean - Packaging Productivity Improvement ( $250K/Year savings)

FGF Brands Foods

Project Objective: Improve productivity from current 240packs/Hr to 310 packs/Hr

Led Project consisting of 60 people across all 3 shifts

BOSCH Packaging main bottleneck, lengthy set-up times and downtime due to machine

utilization

Improvements: Developed CURRENT STATE VALUE STREAM MAP, identified areas of

WASTE, developed FUTURE STATE VALUE STREAM MAP, implemented 5S across all

shifts, trained all set-up operators and lead hands on basic Lean principles, implemented

SMED (Single Minute Exchange Die), developed standardized SOP’s for set-up/change-over,

implemented 5s and shadow boards for all tooling storage

Results:

o Improved productivity from 240 packs/Hr to over 331 packs/Hr,

o Reduced Set-Up Time from 30 min to under 5 min

o Reduced waste from 14% to under 3%

Savings: $300K/Year in OEE improvement (machine utilization and direct labour absorption)

Injection Mould Set-Up Reduction Project --($500K/annual savings)

R&M Plastics

Problem Statement: 22 injection moulds ranging from 93 weeks new to moulds over 10 years

old), varied in sizes & capacities, had set-up/changeover times from 4-6hrs, resulting over

$500K machine inefficiencies and productivity losses

Objective: Reduce the set-up time from 6hrs to under 2hrs

Significant Improvements: over 4.5hrs of Set-Up Time was reduced by the following

IMPROVEMENTS:

o Implemented SMED principles, 5S SHADOW BOARDS, standardized, Set-Up

o New water manifolds with shorter hoses and different IN/OUT connectors

o Standardized bolt lengths and utilized quick-connect clamps

o Interchangeable inserts and standardized back plates with different hole pattern

o Standardized Mould kits & implemented shadow boards

o Documented SOP and validated set-up/changeover on different shifts

These improvements resulted in over $500K annual savings


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Magnum 2000 (TS-16949) Lean/Quality initiative---Summer 2009

Problem Statement:

1st time yield quality was at 62%

Led team of 30 people, operators, QA Inspectors, Lead Hands, Operators

Used 100% inspection to sort out defects in a machining operation

Premature Tool wear causing defects and downtime

Poor process flow and scheduling issues causing “RUSH” orders and panic mode

Rotary Transfer Machines:

• 16 Station Hydromat CNC

• Buffoli Transfer Machine CNC

• Hydromat - 10 Station

• Hydromat - 12 Station

Other Equipment:

• In-feed and thru-feed grinding equipment

• Durr parts washer

• Full chip and oil recovery systems

• Fully integrated MRP system

Improvements:

Developed VSM of current process and reviewed NVA for waste reduction

Implemented 5S in all machining area so that tool locations and spares were easily located and

replaced when worn

Implemented in-process sampling checks based on AQL of 0.4 (99.6% confidence level) using GO/NO-

GO gauges, vernier measurements

Set-up and Implemented SPC for in-process checks which allowed operators to monitor trends and

adjust tooling as needed before it’s too late

Redesigned tooling for a 16 station CNC HYDROMAT which reduced premature tool wear by 25%

Developed & Implemented Preventative Maintenance procedures which reduced downtime by 30%

Designed Rough Grinding and Finish Grinding process parameters for machining water pump bearings

achieving surface finishes of 0.1-0.2µm Ra (4-8 µin) consistently

Eliminated 100% inspection

Validated Testing through Reliability studies and implemented statistical process controls which reduced

leak test failures from 14% to less than 0.5% improved packaging productivity by 32%


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GENERATOR COIL EFFICIENCY IMPROVEMENT (savings $800K/year)

VOITH HYDRO

Project Objective: Improve Current State Coil winding operation by 30% (28 Coils to 40 Coils/Day)

Project involved 3 shifts over 80 UNION WORKERS

Current Process Limitations: Direct Labour underutilized (65%) and bottleneck process Final Taping

has MOL restriction on 4Hr/shift Max exposure time

Improvements: Developed Lean Flexible work Cell, Cross-Functionally trained all operators on Final

Taping, developed rotation schedule to ensure every 2hrs Final Taping Operators are rotated,

implemented internal KANBAN for pre-staging material and implemented 5S to reduce Non-Value add

time (walking around looking for tools)., trained all set-up operators/lead hands on basic Lean principles

Results:

Improved productivity from 27 to 40 Coils/day

Increased Direct Labour Utilization from 65% to over 80%

Reduced floor space by 30%

Reduced WIP by 40%


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Printing & Packaging Project Examples

Flexo Efficiency improvement project ($600K annual savings)-- MeadWestvaco Packaging

Problem was poor productivity (15Kpcs/hr)

Objective was to improve Flexo Print Cut efficiency by 30% (from 15k pcs/hr to 20k pcs)/hr

Significant factors Die Cutting, Ink transfer, Varnish, & Carton type

Improvement: DOE used to optimize printing process parameters such as: Ink density &

viscosity, Anilox density, Varnish viscosity & improved die set-up time

Implemented SPC checks part of the Control plan.

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Capital Equipment Project Examples

Noble Fire PLANT CAPACITY IMPROVEMENT (NEW PLANT) (Total Savings= $840 K)

Noble Fire (June 2012)

Problem Statement: Production capacity unknown, sales increasing rapidly

Objective: Determine Current Plant Capacity and Increase production capacity by meet

customer demand

Project duration < 6 months

Prepared Engineering report listing all the issues and recommendations

Main Improvements:

o Increased productivity by 28% in less than 2 months

o Designed, tested and validated new NFPA Approved sprinkler head outlets which

reduced field repairs by 95%-over $40K/year

o Reduced Cycle time on an Automated Burn/Weld Machine by 30% resulting in over

$100K/year in increased productivity

o Implemented new BURN/WELD machines which increased production capacity by

80% and reduced OT costs by over $230K, with a ROI of 78% (Payback= 0.3 years)

o Total Project Savings = $840K


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PROGRESSIVE DIE STAMPING PRESS CAPITAL PROJECT

Don Park (DP) Manufacturing

PROBLEM: Home Depot Demand increased by 30%, requiring 1Mil units/year

Current capacity is 550,000 pcs/year , at peak season customer demands exceed machine capacity

The cost of producing 1- 3TTO6” is $1.28/pc with a Labour cost of $0.59

There are 2 critical labour intensive operations that cost $0.26/pc and are BOTTLENECKS preventing

additional capacity


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SOLUTION HIGH SPEED STAMPING PRESS

RESULTS

• Increased capacity by over 1,000,000 units/year

• Reduced labour cost by $0.59/pc

• 1.26 Payback period, ROI= 77%

• TOTAL ANNUAL SAVINGS AFTER PAYBACK= $280K/year

2 Operations @ 1 TIME

01-total project list--updated march 30

Documents

examples of lean

volvo production

internal quality reject

julian kalac lean

increased volvo demand

takt time

product quality

problem statement