logistics wcm presentation final - converted (2)

World Class Mail Logistics 1

LogisticsLogistics Pillar – Swindon WBC

Purpose – To create a smooth, accurate and controlled flow, synchronising production with

customer handover, transportation and despatchWORLD CLASS MAIL

Safet

y

Quali

ty Co

ntro

l/Cus

tom

er S

atisf

actio

n

Cost

Deplo

ymen

t

Ip

Auto

nom

ous M

ainte

nanc

e

Profe

ssion

al Ma

inten

ance

Peop

le De

velop

men

t

Envir

onm

ent

CommitmentDeployment

InvolvementImplementation

CommunicationEvaluation

UnderstandingStandardisation with Visibility

MeasurementDocumentation

Focu

sed

mro

vem

ent

Logis

tics

Wor

kplac

e Org

anisa

tion

World Class Mail Logistics

Agenda

• Pillar Overview• Cost Deployment & Area classification• Model process selection and data

collection Plan, Do, Check, Act (PDCA)• Step 1 – Re-engineer process• Step 2 – Re-Arrange internal Logistics• Next steps 3G - Plan, Do, Check, Act

(PDCA)• Conclusion• Summary


Logistics Vision, Needs, Objectives and Targets

Vision•To create a Logistics flow through the door to door centre that

satisfy’s customers requirements.• To ensure all processes through-out the centre are productive.

Needs•To reduce material handling whilst creating a smooth, accurate and controlled flow of Door to door items in all work areas•To reduce the centre’s NVAA activity through portering, transportation, material handling through-out the centre.

Objectives • To improve the WBC’s centre KPI’s

Targets• To increase productivity by 350k items per week, by May 2012• To reduce Cycle times in model area by 10% by April 2012


Overview – Logistics Pillar Team

Logistics Pillar Lead Reactive Radar

0

1

2

3

4Par ts classifi cation

Logi stics cost deployment

P hase 1

Logi stics Step 1

Logi stics Step 2

Separation

Lineside stock management

Logistics Step 3

QC stage 1 & 2

QC stage 3 & 4

CompetencyPostPre

Logistics Team Reactive Radar

0

1

2

3

4Parts classif ication

Logistics cost deployment

Phase 1

Logistics Step 1

Logistics Step 2

Separation

Lineside stock management

Logistics Step 3

QC stage 1 & 2

QC stage 3 & 4

CompetencyTeam Rating

Ashley Smith Pillar Lead

Colin BoivinPillar Support/Processor

Gina BriggsPillar Support/Processor & CWU rep


Logistics 7 steps

• Key Performance Indicators (KPIs)• Customer satisfaction• Processing lead time• Ratio mail processed flow/patrol• Material handling productivity• Number of customers optimised

delivery specification

• Key Activities Indicators (KAIs)• No. of processed steps with 5T routes• No. of storage containers in process

area• No. of square metres dedicated to

storage• No. of material handling team involved• % compliance with master schedule • % no. of Kaizens to increase material

handling productivity

Step 1Step 2

Step 3Step 4

Step 5Step 6

Step 7Re-arrange internal logistics

Re-arrange external logistics

Level operations

Refine internal logistics and external logistics

Integrate mail collection, transportation, sorting and delivery

Adopt a standard time control system

Re-engineer processes to serve customers


Agenda

• Pillar Overview• Cost Deployment & Area classification• Model process selection and data collection Plan, Do, Check, Act (PDCA)• Step 1 – Re-engineer process• Step 2 – Re-Arrange internal Logistics• Next steps 3G - Plan, Do, Check, Act• Conclusion• Summary


Compliance

Storage &

Racking Other

Processes1. Breakdown Loss 3.52. Set Up / Changeover3. Other Downtime4. Minor Stops & Idling5. Refeeds & Rework6. Planned Maintenance7. Shortage Of Staff8. Lack Of Mail9. Management10. Operator Motion 51 3.1 5.4 18.711. Line/Work Area Organisation12.Transportation & Portering 200 183.8 20.9 29.213. Measurement14. Material15. Energy16. Maintance & Spare Parts

Total 3.5 51.0 3.1 200.0 5.4 183.8 20.9 18.7 29.2

Processing Despatch

Down

time /

Wait

ing

for W

ork

Move

men

t to

Desp

atch

Logis

tics

Meas

urem

ents

Load

ing

Desp

atch

Retu

rns D

2D

Unloa

ding

repa

triat

ed

empt

y con

taine

rs

Reac

h Tr

uck D

uty

Cycle

Tim

es

Mate

rial &

En

ergy

Mach

ine (E

quipm

ent)

Man

(Peo

ple)

Cont

ract

Print

ing

Cost Deployment - C Matrix

Logistical losses identified from Cost Deployments C matrix


Number of Logistical projects

Yearly Loss£286,000

Project description Yr 0 Loss £kLG Lost Time through York movement mins (E) 79LG Lost Time through York movement mins (L) 63LG Lost Time through York movement mins (N) 64LG Lost Time through York movement mins (E) 19LG Lost Time through York movement mins (L) 11LG Reach Truck Cycle Times (ALL shifts) 51


Stratification and Pareto of biggest Logistic losses

D Matrix Logistics Losses

0

10

20

30

40

50

60

70

80

90

Lost Time throughYork movement mins

(E) Processing


(N) Processing


(L) Processing

Reach Truck CycleTimes (ALL shifts)


(E) Unloading


(L) Unloading

Area

'000

k

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

1

Yr 0 Loss £kCost/Loss


Area Classification – Prioritised All Area Types by Level of Waste & Loss due to Poor Logistics

AA A

A


Agenda



Mail Flow Map Cleaning

Store Stock Office/Quiet Room Managers Comp. Games Room T.V. Room Equip.Office Store Store

X

BS EX PO SOTQ SP OX RG SN

NPTABA HR CF BH HA SL SA

WR DT UB

Union Head of PrintRoom WBC Office Room

ForkliftFootpath Enterance

Customers parking BAY 1

BAY 2


Item Classification

Leaflets

Envelopes

Magazines

Newspapers

Samples

D2D IS ONE PRODUCT

FIVE STREAMS

STREAMS ARE HANDLE DIFFERENTLY IN TERMS OF ITEM

WEIGHT


Item classification Per 10,000 items

Workstation 1Leaflets

Workstation 2Envelopes

Production

DespatchWorkstation 3

Magazines

Workstation4Newspapers

Workstation5Samples

Average Number of Yorks taken to process 10,000 items


Model process selection

Project No. Project description Process Step Loss Type Yr 0 Loss Planned Completion

1 Lost Time through York movement mins (E) Processing Transportion and Portering 82 262 Lost Time through York movement mins (L) Processing Transportion and Portering 59 263 Lost Time through York movement mins (N) Processing Transportion and Portering 55 264 Lost Time through York movement mins (E) Despatch Un-Loading 20 265 Lost Time through York movement mins (L) Despatch Un-Loading 10 266 Reach Truck Cycle Times (ALL shifts) Storage & Racking Operator motion 36 9

Advice from last audit, take A small project and build your Confidence around implementing the WCM tools and techniques

51k


Reach truck duties

Early Shift 39 hour week

Late shift39 hour week

Night Shift 39 hour week

Total Hours117

Total Cost weekly£1605


CleaningStore Stock Office/Quiet Room Managers Comp. Games Room T.V. Room Equip.

Office Store Store

X



WR DT UB




BAY 2

Reach truck Cycle

ReachTruck Starts

Here

Pallet put into storage

End of cycle


3G Observationsof the Reach Truck duties

Identify the phenomenon

GEMBA Go to the Spot

GEMBUTSU Examine the object

GENJITSUCheck

Facts and Figures


3G Observations

Number of issues highlighted• Excess Material Handling - Double handling of work - Pallets put down the aisle’s - Too much work dropped for production - Slave Pallets• Operator Motion - MHE not correctly charged - MHE area blocked with waste/products - No route dedicated to MHE• Management - Downtime (NVAA)


What is the problem? – 5W & 1H

Initial Phenomenon Statement

WHAT

WHEN

WHERE

WHO

WHICH

HOW

REVISED PHENOMENON STATEMENT.

Down time identified

All three shifts

Reach truck drivers and Booking in team

No set patternReach truck duties

not fully utilised

Reach truck drivers are not fully utilisedAnd observations have shown that

Work is being double handled,too much dropped and not enough rigorIs applied when putting work away. This

All has a effect on the cycle times


3G – Facts and FiguresProject : Reach truck duties Cycle timesVolume of traffic: 14.8 Million items

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

Current Duty Time Spent on Activity (Hrs) 116Total Hours used to complete Activity 38.4Processing Hours 22.0Downtime in Hours 55.59

180.00 0.00 0.00 0.00180.00 180.00 180.00 180.000.00 90.00 0.00 0.00120.00 120.00 60.00 30.00

0

Time processing in mins (Items/10,000 per hour) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

30,000 30,000 0 00 30,000 30,000 30,0005,000 0 15,000 00 20,000 20,000 10,0000 0 0 0Total Processed 0 0 0

Total Losses for week

09:00 - 10:00 10:00 - 11:0006:00 - 07:00 07:00 - 08:00 08:00 - 09:00

3 18

11:00 - 12:00 12:00 - 13:00 17:00 - 18:00 18:00 - 19:0014:00 - 15:00 15:00 - 16:00 16:00 - 17:0013:00 - 14:00 19:00 - 20:00 20:00 - 21:00 21:00 - 22:00 22:00 - 23:00 23:00 - MDT MDT - 01:00 01:00 -02:00 02:00 - 03:00 03:00 - 04:00 04:00 - 05:00 05:00 - 06:00

Number of pallets arrived/Unloaded 40 45 62 43 116 84 41 15 18 62 44 4 0 0 0 0 0 0 0 0 0 0 0 0

12 13 26 51 32 91 72 31 45 6 13 0 0 0 0 0 0 0 0 0

52 14 22 46 16 21 0 0 0 28 26 0 8 10 0 0 0 0 0 0 80 87

6 36 104 28 44 92 32 42 0 0 0 56 52 0 16 20 0 0 0 0 0 0 160 174

300 300 300 300 420 420 420 420 300 300 300 240 240 240 120 120 300 300 300 300 300 240 240 240

36.00 68.50 169.00 155.50 124.00 319.50 212.00 119.50 145.00 90.00 100.00 183.50 164.50 15.00 48.50 20.00 0.00 0.00 0.00 0.00 0.00 0.00 160.00 174.00

264.00 231.50 131.00 144.50 296.00 100.50 208.00 300.50 35.00 90.00 140.00 26.50 75.50 135.00 71.50 100.00 120.00 120.00 120.00 120.00 120.00 240.00 80.00 66.00

£3,297.36 £2,891.44 £1,636.19 £1,804.81 £3,697.04 £1,255.25 £2,597.92 £3,753.25 £437.15 £1,124.10 £1,748.60 £330.99 £943.00 £1,686.15 £893.04 £1,249.00 £1,498.80 £1,498.80 £1,498.80 £1,498.80 £1,498.80 £2,997.60 £999.20 £824.34

£694.34

Number of pallets put away for storage

Number of pallets dropped for production

Cycle time = 2.02mins

145Cycle time = 2.36mins 30 32.5 65 128 80 90 100 128

58 36 40 51

228 180 78 015113 0 033 0 0 0 0 0

Current Duty Time Spent on activty (mins)

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

0

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Cost of downtime/Losses

Monday to Friday

Monday to Friday

Total Mins used to complete activity

Downtime in any given mins

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

Monday to Friday

ACTIVITY

SHIFT TIMES


Stratification of Losses – per shift Losses p.a. per shift

£0.00

£5,000.00

£10,000.00

£15,000.00

£20,000.00

£25,000.00

1

EarlyLateNight

EARLIES

Lates

Nights


3G Facts and FiguresNumber of measurements Cycle Time Number of measurements Cycle Time Number of measurements Cycle Time Number of measurements Cycle Time

1 02:48 26 02:21 51 02:51 76 02:192 01:07 27 02:30 52 02:36 77 02:323 02:46 28 02:49 53 02:31 78 01:564 05:41 29 02:02 54 02:49 79 02:415 03:11 30 02:17 55 02:21 80 02:316 01:20 31 02:01 56 02:42 81 02:457 02:38 32 02:03 57 02:12 82 02:298 02:02 33 01:40 58 02:26 83 01:529 01:14 34 02:05 59 02:31 84 01:41

10 01:37 35 01:55 60 02:35 85 02:2811 01:28 36 02:01 61 02:41 86 02:0212 02:14 37 01:50 62 01:51 87 02:1813 01:49 38 02:47 63 02:29 88 02:1114 02:01 39 02:53 64 02:56 89 02:2415 01:40 40 03:34 65 01:59 90 02:2616 02:00 41 02:18 66 01:41 91 05:1217 02:41 42 02:48 67 02:36 92 05:1018 01:52 43 02:51 68 02:22 93 02:2019 02:50 44 02:03 69 02:16 94 01:5520 02:20 45 02:36 70 03:19 95 02:3821 02:42 46 01:27 71 02:49 96 02:2122 02:36 47 03:46 72 02:02 97 02:1823 01:52 48 03:18 73 02:06 98 02:2224 02:29 49 04:25 74 02:31 99 02:4425 02:13 50 03:40 75 02:20 100 02:33

Average Cycle time 02:36 Mins


Current StateDowntime per hour (Weekly)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Time

Downtime in any given minsProcessingTotal Mins used to complete activity

Downtime in any given mins 264.00 231.50 131.00 144.50 296.00 100.50 208.00 300.50 35.00 90.00 140.00 26.50 75.50 135.00 71.50 100.00 120.00 120.00 120.00 120.00 120.00 240.00 80.00 66.00

Processing 0 0 0 0 0 0 0 0 120 120 60 60 0 60 0 0 180 180 180 180 180 0 0 0

Total Mins used to complete activity 36.00 68.50 169.00 155.50 124.00 319.50 212.00 119.50 145.00 90.00 100.00 183.50 164.50 15.00 48.50 20.00 0.00 0.00 0.00 0.00 0.00 0.00 160.00 174.00

0600 - 0700

0700 - 0800

0800 - 0900

0900 - 1000

1000 - 1100

1100 - 1200

1200 - 1300

1300 - 1400

1400 - 1500

1500 - 1600

1600 - 1700

1700 - 1800

1800 - 1900

1900 - 2000

2000 - 2100

2100 - 2200

2200 - 2300

2300 - MDT

MDT - 0100

0100 - 0200

0200 - 0300

0300 - 0400

0400 - 0500

0500 - 0600


5G Analysis 3G

GEMBA

GEMBUTSU

GENJITQSU

Go to the spot

Examine the object

Check facts and figures

GENRI

GENSOKU

Refer to the theory

To Follow the operating standard

No standard operating procedure (SOP) or Job Element sheet (JES)

standard operating procedure (SOP) put in place and a Job Element sheet (JES) created


Standard operating procedure and Job element sheet created to tackle

• Excess Material Handling - Double handling of work - Pallets put down the aisle’s - Too much work dropped for

production - Slave Pallets

By reducing the excess material handling, we expect this to reduce the cycle times

SOP/JES


Agenda



Step 1 – Re-engineer assembly to satisfy customers

3G Observations highlighted

• MHE vehicles not charged correctly• MHE area blocked with pallets

Impact was that Cycle times were increased


Reach Truck – Cycle timesNumber of measurements Cycle Time Number of measurements Cycle Time Number of measurements Cycle Time Number of measurements Cycle Time

1 02:48 26 02:21 51 02:51 76 02:192 01:07 27 02:30 52 02:36 77 02:323 02:46 28 02:49 53 02:31 78 01:564 05:41 29 02:02 54 02:49 79 02:415 03:11 30 02:17 55 02:21 80 02:316 01:20 31 02:01 56 02:42 81 02:457 02:38 32 02:03 57 02:12 82 02:298 02:02 33 01:40 58 02:26 83 01:529 01:14 34 02:05 59 02:31 84 01:41

10 01:37 35 01:55 60 02:35 85 02:2811 01:28 36 02:01 61 02:41 86 02:0212 02:14 37 01:50 62 01:51 87 02:1813 01:49 38 02:47 63 02:29 88 02:1114 02:01 39 02:53 64 02:56 89 02:2415 01:40 40 03:34 65 01:59 90 02:2616 02:00 41 02:18 66 01:41 91 05:1217 02:41 42 02:48 67 02:36 92 05:1018 01:52 43 02:51 68 02:22 93 02:2019 02:50 44 02:03 69 02:16 94 01:5520 02:20 45 02:36 70 03:19 95 02:3821 02:42 46 01:27 71 02:49 96 02:2122 02:36 47 03:46 72 02:02 97 02:1823 01:52 48 03:18 73 02:06 98 02:2224 02:29 49 04:25 74 02:31 99 02:4425 02:13 50 03:40 75 02:20 100 02:33



3S Activity

1. SEIRI – Abandoned the unnecessary

2. SEITON – Putting things in order

3. SEISO – Keep clean and tidy



SEIRI – Abandoned the unnecessary

Working with the Reach truck drivers, we asked them to Tag up any equipment, materials, fittings etc that they no longer need with 5S tags.

Working with the safety pillar leadPaul Adamson



Regular mistakes made by operators was that the MHE was not charge correctly, and the main cause was because the battery chargers were on the floor

Chargers now raised so operators can see if the MHE is charging

SEITON – Putting things in order



Clutter has now been removed, and everything in the area is necessary to the Reach truck driver

SEISO – Keep clean and tidy

BEFORE AFTER

By implementing the 3S, this

will also reduce cycle

times


Agenda



Step Two - Re-engineer internal Logistics

CleaningStore Stock Office/Quiet Room Managers Comp. Games Room T.V. Room Equip.

Office Store Store

X



WR DT UB




BAY 2

Internal Logistics problem area


Step 2 - Re-arrange internal LogisticsCleaning


X



WR DT UB




BAY 2

TEI-JI – FIXED ROUTE5T’S

Tei-Ji identified to support cycle times


Step 2 - Re-arrange internal LogisticsCleaning


X



WR DT UB




BAY 2

TEI-ICHI – FIXED PLACE

Fixed Place allows MHE drivers to take the machinery quickly andEasily which would shorten set up

times


Step 2 - Re-arrange internal Logistics

Standardize displayIDLE

CHARGED

CHARGING

FLAT BATTERY



Fixed quantity



Tei – Shoku

Door to door excepts up to four distribution weeks at a time• Kanbans (Colour coding) introduced to distinguish up to

four different weeks when storing the items


Implementing 3S & 5T’sNumber of measurements Cycle Time Number of measurements Cycle Time Number of measurements Cycle Time Number of measurements Cycle Time

1 02:48 26 02:21 51 02:51 76 02:192 01:07 27 02:30 52 02:36 77 02:323 02:46 28 02:49 53 02:31 78 01:564 05:41 29 02:02 54 02:49 79 02:415 03:11 30 02:17 55 02:21 80 02:316 01:20 31 02:01 56 02:42 81 02:457 02:38 32 02:03 57 02:12 82 02:298 02:02 33 01:40 58 02:26 83 01:529 01:14 34 02:05 59 02:31 84 01:41

10 01:37 35 01:55 60 02:35 85 02:2811 01:28 36 02:01 61 02:41 86 02:0212 02:14 37 01:50 62 01:51 87 02:1813 01:49 38 02:47 63 02:29 88 02:1114 02:01 39 02:53 64 02:56 89 02:2415 01:40 40 03:34 65 01:59 90 02:2616 02:00 41 02:18 66 01:41 91 05:1217 02:41 42 02:48 67 02:36 92 05:1018 01:52 43 02:51 68 02:22 93 02:2019 02:50 44 02:03 69 02:16 94 01:5520 02:20 45 02:36 70 03:19 95 02:3821 02:42 46 01:27 71 02:49 96 02:2122 02:36 47 03:46 72 02:02 97 02:1823 01:52 48 03:18 73 02:06 98 02:2224 02:29 49 04:25 74 02:31 99 02:4425 02:13 50 03:40 75 02:20 100 02:33

Average Cycle time 02:25Mins 8

%


Agenda



Applied 3S/5T’s

MHE area blocked

5Ts Applied

JES/SOP C

reated

Applied 3S

JES/SO

P Crea

ted

JES/SOP Created

JES/SOP Created

Step Two – Re-arrange internal logistics

OBSERVATIONS

Double Handling MHE not chargedDowntim

e

Not putting work away

Pallet

s put

down r

acking

AIM IS TO REDUCE CYCLE TIMES

Putting too much work out

Slave

Palle

ts

No routeAIM IS TO REDUCE MATERIAL HANDLING


Current StateDowntime per hour (Weekly)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Time

Downtime in any given minsProcessingTotal Mins used to complete activity

Downtime in any given mins 264.00 231.50 131.00 144.50 296.00 100.50 208.00 300.50 35.00 90.00 140.00 26.50 75.50 135.00 71.50 100.00 120.00 120.00 120.00 120.00 120.00 240.00 80.00 66.00

Processing 0 0 0 0 0 0 0 0 120 120 60 60 0 60 0 0 180 180 180 180 180 0 0 0

Total Mins used to complete activity 36.00 68.50 169.00 155.50 124.00 319.50 212.00 119.50 145.00 90.00 100.00 183.50 164.50 15.00 48.50 20.00 0.00 0.00 0.00 0.00 0.00 0.00 160.00 174.00

0600 - 0700

0700 - 0800

0800 - 0900

0900 - 1000

1000 - 1100

1100 - 1200

1200 - 1300

1300 - 1400

1400 - 1500

1500 - 1600

1600 - 1700

1700 - 1800

1800 - 1900

1900 - 2000

2000 - 2100

2100 - 2200

2200 - 2300

2300 - MDT

MDT - 0100

0100 - 0200

0200 - 0300

0300 - 0400

0400 - 0500

0500 - 0600

56Hrs DowntimeIdentified

347,000 Items at 6200 per hour

48%


3G – Back to the Gemba

Monday 16th April – Trial to commence on one shift with the biggest loss

What will be in place to tackle losses•SOP/JES •3S/5S and 5T’s

Losses p.a. per shift

£0.00

£5,000.00

£10,000.00

£15,000.00

£20,000.00

£25,000.00

1

EarlyLateNight

Reach Truck 3 G Earlies Mins Hrs

Pallets put away 0 0 0.00Pallets taken out 0 0 0.00Items processed 0 0 0.00

0 0.00Lates


0 0.00Nights


0 0.00


Attacking the biggest lossLosses p.a. per shift

£0.00

£5,000.00

£10,000.00

£15,000.00

£20,000.00

£25,000.00

1

EarlyLateNight

1. JES/SOP to attack material handling

2. 3S(5S) and 5T to attack cycle times

3. Management to attack downtime


Summary and Conclusion

Summary • 3G/5W & 1H has helped identify facts and a number of

route causes• 5G has establish no operating standard• Trial to commence – 3G to check countermeasures

Conclusion • Reactive against route causes, SOP/JES to address excess

material handling• Management commitment needs to address

downtime/NVAA


Logistics – SWOT Analysis

• Staff engagement • World Class Mail Methodology• Working together with other Pillars

• Space through-out the whole unit

• Reduce Safety risk within the operation

• Make savings within the operation• Improve the customer experience• Changes will engage staff further• Increased centre T/P

• Maintaining staff interest• Management not maintaining

standards


Logistics

logistics wcm presentation final - converted (2)

Documents