R.Ramachandran Head-National

Hubs

TVS Logistics Services Limited,

Chennai

Part 1- Basics of Logistics

What is Logistics?

Logistics is that part of the supply chain

process that plans, implements, and controls

the efficient, effective flow and storage of

goods, services, and related information from

the point of origin to the point of

consumption in order to meet customers'

requirements.

Globalisation

Continuous cost reduction

Waste elimination

Concentrated on Logistics

• Quality

• Cost

Business Excellence - Need of the hour

Basics of Logistics Operation

Manufacturing Cost

Sales & Administration

Margin

MRP

Logistics Cost

Observations

• Logistics is a necessary cost

• It is a non-value added cost

since it is a part of the margin

• customer is expecting for a value

addition for the cost paid by him,

besides the best service quality.

Traditional Profit Model

COST Principle

Cost + Profit = Selling Price

Traditional Not-for-Profit (NFP)[Costs = Budget]

Lean Profit Model

Market Principle

Selling Price - Cost** = Profit

** To make a profit you have to keep costs below the price you can sell

EFFICIENCY

-2%

-.5%

1%

3%

-.5%

-2%

-1%

Work Processes

10%

Reduction

In

Operating

Expenses

BUDGET

10%

Cut

Off

The

Top

APPARENT REAL

5 Key Concepts from LEAN

Delivery of Value to the Customer

Efficiency as a Way of Running a

Business

Elimination of Waste

Problem Solving

Building Performance Capability

The Purpose of a Work Process is to Deliver Value to a Customer…

QUANTITY

QUALITY

- at the COST

In the PROMISED

PLANNED BY AN ORGANIZATION

TIME

QUANTITY

How to Assure Delivery

as much as possible, as continuously as possible and with as much first time quality as

possible

The focus of a Lean Enterprise is to increase EFFECTIVENESS and EFFICIENCY of work method and reduce costs while maintaining delivery of customer value

ManMachineMaterial

WorkMethod

Product/ Service

Waste is:Anything other than the minimum amount of equipment, materials, parts, space, and worker time and effort which are necessary to add value to the product or service.

Things to Remember about Waste:• Waste is really a symptom of a problem in a

value stream rather than the real problem

• Waste points to underlying problems within the system (at both the process and system levels)

Toyota’s 7 Types of Waste

Motion

Waiting

Rework

Inventory

Conveyance

Over-Processing

Over-Production

Why Shorten Lead Time

It reduces unnecessary use of resources

It reduces waits, delays and “inventory” build-up

It focuses attention on greater efficiency in

actual hands-on processing time

It forces attention to quality issues, their causes

and their cost.

It forces problems in the flow of the value stream

as a whole to the surface

A Typical Value Stream Mapping

Problem Solving by LevelA PC D

StrategiesBusiness ObjectivesFinancial Performance

GoalsOps/Project PlantsBudgets

Action PlansProduction SchedulesTargets

Assignments Rates/Due DatesStandards

Executive

Manager

SupervisorTeam LeaderStaff

Team

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

A PC D

“Good thinking.”

“Good Products.”

Local Suppliers

Local Vendor Vehicle

Imported Parts

Out side Container Yard

Line Side Storage

Receipt Area

6.4 days

Blanking

30 sec0.5 day 50 sec

1 day

60 sec2 days

Forming Grinding Assembly

240 sec

2 hour

Inspection

Changing from Pallet to Bin

3 hours

15 mts 30 mts

Oil spray

2 hours

20 mts

loading

Activity time

Waiting time

Value stream Mapping – Inhouse component – Part Number -03021508 / 03021510

1 day 1 day 1 hour

Once assembly is over – the parts will be inspected, oil sprayed and directly put in to IMCT delivery bins

41 minutes

2.5 days

Any Questions?

Part 2- Warehouse Selection

New Warehouse Proposal Form

Warehouse Particulars

1Address        

           

           

2Details of the owners        

           

           

  Represented by:       

           

3Present contact address        

           

           

4Description of Land        

5Original Owners        

6 Description of Building

a)Age of the building No. of Years:

b)Building dimensions Area Length Width Height

i) Total Area       

ii) Warehouse area       

iii) Office area       

iv) Open area       

c) Height from the Ground level       

d) Fencing       

7Type of roof        

8Type of Flooring  

Load bearing capacity:    

9Warehouse Layout Enclosed      

10 Specific details

a) Power:(KVA)       

i) Capacity       

ii) No. of phases       

11 Lighting points & Fittings Tube Lights Fans LAN

a) Lighting points       

b) Fittings       

i) Warehouse area       

ii) Office area       

12Generator facility        

13Water source        

a)Storage capacity        

14Toilets        

15Drinage ( Open / Closed )        

16A/C Provision        

17Telephone connections        

18Approach road width        

19Distance from Customer point / hub        

20Waste disposal area ( in sq.ft. )        

21Kms. From the nearest bus stop Place: Distance:    

22Kms. From the bus station Place: Distance:    

23Kms. From the Railway station Place: Distance:    

24Nearest Airport Place: Distance:    

25Nearest Police Station Place: Distance:    

25Ramp - Loading facility        

B. Check list

Sl. No Documents / Details to be checked Copy obtained Deed dated Enclosure Remarks

1 Original sale deed          

a)Title of the lessor          

b)Provision for sub-letting          

c)Conditional clauses (if any)          

2 Previous tenent          

3 Payment status   Status Upto Date Remarks

a)Electricity payments Cleared / Pending        

b)Water cess Cleared / Pending        

c)Property tax Cleared / Pending        

d)Corporation / Panchayat tax Cleared / Pending        

e)Telephone dues Cleared / Pending        

4 ESI -Notified area YES / NO        

5 Shop Act Notified Area YES / NO        

6 Octroi Limits YES / NO Describe which limit:    

7 Catering facility YES / NO Distance from the warehouse :  

C. Physical Verification:

  Verification report Checked Remarks

1Power connection Yes / No        

2Functioning of Fittings Yes / No        

3Telephone Yes / No        

4Water line & Pipes Yes / No        

5Motor Yes / No        

6Toilets Yes / No        

7Floor damages Yes / No        

8Walls damages Yes / No        

9Painting Yes / No        

10Doors & Windows Yes / No        

11           

12           

13           

14           

15           

S No D.Financial Deals / Negotiations

1Rentals Proposed by the owner Date Rate / sq. ftDone by / Remarks  

a)Warehouse Area        

b)Office Area        

c)Open Area        

d)Amenities        

e)Fixed Rentals        

f)Total        

f)Advance / security depositNo of months Amount Remarks  

  Particulars        

2 Final Negotiation

a)Warehouse Area    Done by / Remarks  

b)Office Area        

c)Open Area        

d)Amenities        

e)Fixed Rentals        

f)Total        

f)Advance / security deposit No of months Amount Remarks  

  Particulars        

a)Brokerage (if any)        

  Name of the broker        

3Contract period        

4Seperation clause        

5Date of possession        

6Agreement Responsibility Due on Remarks  

  Agreement Processing        

Types of Warehouses

In plant Warehouse

Spare Part Warehouse

Vehicle Stockyard

Transit Warehouse (Hub)

Various SCM Models

Activities

Loading at Origin(Supplier/Custo

mer)

Decanting at Delivery

Hub

Unloading at Destination (Customer/S

upplier)Line Side Delivery

Collection of returnables

SCM 1 A

MR Collection ---> Consolidation at Origin Hub ---> Line Haul ---> Destination hub ---> Redlivery

Loading at customer premises,decanting at Delivery Hub,unloading at customer premises,delivery to line,collection of returnables

a a a a a

SCM 2 B

MR Collection ---> Consolidation at Origin Hub ---> Line Haul ---> Direct Delivery

Loading at customer premises,unloading at customer premises,line side feeding,collection of returnables.

a a a a

SCM 3 CFactory collection ---> Line Haul ---> Delivery to end customer

loading at factory,unloading at customer

a a

SCM 4 D MR Collection --> direct delivery to customer

loading at supplier,unloading at customer,lineside feeding

a a a

SCM 5 ELH collection at Origin --> Direct delivery to customers

loading at supplier,unloading at customer

a a

Particulars

Any Questions?

Part 3 Modern

Warehousing with Automation

Why Automation ?

Flexible manufacturing and reduced costs

Improved product quality

Extreme volatile market with newer products

Increasing trend in globally dispersed manufacturing

processes.

Design and deliver better and cost effective Solution

faster Improve process and system scalability

Eliminate all internal , routine and operational tasks

Shift focus and harness energies of employees.

Purpose of Automation• Productivity

- Increase in Production- Modernization of existing system- New line set up- Line flexibility to handle various sizes

• Quality- Final inspection on 100% products- Stage inspection (Poke Yoke)

• Safety- Handling of Hot products- Handling of Hazardous products- Continuous handling of heavy objects

• Warehousing- Airports/ Ports- Raw material/ Finished goods store- Third party warehouse- Transshipment Godowns

Intelligent Vehicles (AGV, RGV, LGV)

Conveyor System

Inventory Computer System

Stacker Crane

Storage RackB

C

D

A

E

SorterF

Products : Overview

DPSG

APSH

GantryI

Robot PalletizerJ

A

B

C

D

E

J

F

I

G

H

Logistic & Warehouse

• Third party Dynamic Warehousing.

• Airports/ Ports/ Cold storage

• Raw material/ WIP (including inventory control).

• FIFO and LIFO management.

• Finished goods warehouse.

• Transshipment warehouse.• SCM (Supply chain Management)

Solutions

Warehouse Handling

Advantages of AS/RS (Automated storage & Retrieval system)

Higher stock keeping capacity within limited space

Protection of storage goods from theft and damage

Automation of dangerous and hard work of storage and retrieval process

Prevention of safety accident

Real-time & Easy inventory control with computer system

Simple expansion of warehouse

Faster and more reliable operation of warehouse

Comfort and convenient work environment

Easy and faster maintenance through modular and standard design

Economy in investment and operation

Finished product storage

Raw material storage

Partly manufactured goods

Storage for distribution

Advantages

Applications

A stacker crane is the automatic machine installed

inside rack to serve storage and retrieval operation.

It critically influences AS/RS performance developed

from SMC with know how achieving low-price,

high speed, light- weight & stabilization.

Advantages

Stability of load handing through smooth acceleration &

deceleration controls by S-Curve

Increased load weight by super high-speed type

Stabilized structure design featured by low noise & low vibration

Easy maintenance through checking error code history &

Trouble shooting by monitor

Precision controlling driving & lift location through distance

measurement by Laser sensor and flexible correspond to lean of

rack

Slim Fork development in European Load area

(Thickness 65mm) – Minimalization of Fork Thickness

Products : STACKER CRANE

This system sorts individual materials to a designated

place according to its own information specified by the

bar-code or RFID attached to them by automatically

distributing and collecting with the conveyor and sorter. 

Advantages:

High performance on product assortment by

requirements

(customer, area, size, etc)

Stability of sorting (Reduction of errors)

`

Products : SORTER

Products : DPS (Digital Picking system)

Picking systems perform complex order assignments

in a fully automatic, reliable way and in shortest time.

Fast order handling at the highest quality level

guarantees maximum productivity in your warehouse.

Advantages :

High productivity at peak times

Reduction of time consumption for picking relying on

manual bills

Less personnel for picking thanks to location

management

and minimized working route

Efficient use of space thanks to high product density

Picking systems perform complex order assignments

in a fully automatic, reliable way and in shortest time.

Fast order handling at the highest quality level

guarantees maximum productivity in your warehouse.

Advantages :

High productivity at peak times

High profitability thanks to elimination of time consuming

manual picking

Constant high quality and reliability even during peak times

Efficient use of space thanks to high product density

Products : APS (Automatic Picking system)

Products : GANTRY

Gantry is to provide greater volume coverage,

limitless layout options and flexible work envelopes.

Gantry also supports diverse pick-up and delivery points,

variety of end effectors available.

Advantages:

Adaptation to different crate and case sizes and types

Error-free picking

Stock in order and Flexible operations

Easy maneuvering

Low system noise level

Easy cleaning of the equipment and floor

ROBOT PALLETIZER

Robotic palletizing systems allow for more flexibility

to run products for longer periods of time.

Robot Palletizer can be integrated towards any project.

With current advancements in end of arm tooling,

robot palletizes have been introduced to many factories

and they have benefited from this robot palletizing

systems.

Advantages :

Can be Operated within a small area

Multiple end effector applications for bags, boxes,

cases, etc.

Innovative, user-friendly Control

Saves time and increases reliability

Automatic diagnostics instantly identify errors

Increases uptime & operating efficiency

Flexible layout capabilities

increase efficiency and profitability

Car Engine (Warehousing)

Beer (Warehousing)

DPS(Digital Picking System)

Tyre (Warehousing)

AGV (Automated Guided Vehicle

Paper reel handling

(note) TD : stands for Traslo Device. Traslo is Italian which means 'transfer‘ Cage with trolley

Car Parking Solution

Robot Parking TD

Part 4 - Matrices

Data Updation Systems

THE VARIOUS SYSTEMS PRESENTLY USED

ARE:

SAP

ERP

WMS

RFID

BAR CODING etc

Matrices – Transportation Performance

Measure Formula Unit

On-Time Delivery On-Time DeliveryTotal Delivery

Days

Damage Shipment Damage Total Shipment

Value

Demurrage Demurrage costTotal transportation cost

Value

Freight Bill Accuracy Bill ErrorTotal transportation cost

% Value

Freight cost per unit shipped

Total Freight CostNo. of units shipped

Outbound freight costs as % of net sales

Outbound freight costNet sales

Inbound freight costs as % of Purchases

Inbound freight costPurchase cost

Matrices – Transportation Performance-(Contd)

Measure Formula Unit

Transit Time accuracy

Actual transit timeStandard transit time agreed

% of truckload capacity utilized

Total volume/weight shippedMaximum Load capacity

Truck Turnaround Time

Measure between arrival of the truck & its departure

No. of carriers per mode

Total number of carriers used in a given period, by mode

Shipment visibility/traceability %

Total No. of shipments via carriers with order tracking systemTotal No. of shipments sent during a period

On-Time pickups No. of Pickups on timeTotal No.of shipments

Matrices – Full Fillment PerformanceMeasure Formula Unit

On Time Delivery Orders on TimeTotal Orders shipped

Order Fill Rate Orders filled completeTotal Orders shipped

Order Accuracy Error Free OrdersTotal Orders Shipped

Line Accuracy Error Free LinesTotal Lines Shipped

Order Cycle Time Actual ship date-Customer order date

Line Count Fill Rate No. of order lines shippedTotal No. of lines ordered

SKU Fill rate No. of SKUs shipped in the initial shipmentTotal No. of SKUs ordered

Matrices – Inventory Performance

Measure Formula Unit

Inventory Accuracy Actual Qty. per SKUSystem reported Qty

Damaged Inventory Total damaged valueTotal inventory value

Inventory Turns (Inventory Turnover)

Annual cost of SalesAverage Inventory Level

Inventory Months of Supply

Inventory on handAverage monthly usage

Matrices – Warehouse Performance

Measure Formula Unit

Orders per hour Orders picked/packed per hourTotal WH labour hours

Lines per hour Lines picked/packed per hourTotal WH labour hours

Order Accuracy Error Free OrdersTotal Orders shipped

Line Accuracy Error Free LinesTotal Lines Shipped

Order Cycle Time Actual ship date-Customer order date

Perfect Order Completion

Perfect DeliveriesTotal Orders Shipped

Various Warehouse ToolsKanban System

Perpetual Inventory

Bin Audit

Dock Audit

Shut Down Inventory

5 S Concepts of House Keeping

G8D Root Cause Analysis

KANBAN SYSTEM - INTRODUCTION

Kanban Benefits:

Pull System

Reduces Inventory

Improves Material Flow

Simplifies Operations

Allows Visibility into the schedule

Reduces or eliminates unexpected

Visual tracking and Control

Schedule changes

2

2.5

3

3.5

4

4.5

5

5.5

INV

EN

TO

RY

MaxIN

MinIN

Re-order Level trigger to

production

Production

Safety Stock

Card

CardCard

Transport

Transport

Welding assy cell

Welding assy cellWelding assy cell

Card

Card

Card

Card

Card

Card

Card

Card

Card

Card

Card

Card

CardCardCard

SUPPLIERS RECEIVING STORES

ASSEMBLY

CARD DROP BOX & TRIGGER

Step 1 : Place the “Kanban Card” on the Side Face of the Carton

Step 2 : Fix “Kanban Card” on the Carton using Transparent adhesive tape

Step 3 : “Kanban Card” on the Carton fixed properly

Fix “KANBAN CARD” On Carton Box

G8D Guidelines & Process G8D Guidelines & Process ObjectivesObjectives

G8D ProcessG8D Process

Problem solving processA standard that commits to solving problems at

root cause level and preventing the problem from happening again

A reporting format that describes the team's progress at each step

Rational approach - Promotes use of facts and figures"If you can't prove it, you should not say"

People oriented approach Use the experience of those who do the workCreative approach

Dismantle the status quoBrainstorming

G8D ProcessG8D Process

Symptom complexity exceeds the ability of one person to resolve the problem

To prevent customer from adverse effects of the problem

Supplementary tools Benchmarking Cause and effect diagram Critical path method Pareto chart Brainstorming Action plan

ObjectivesObjectives

" What is wrong with what"" What is wrong with what"

Describe the problem in quantifiable termsDescribe the problem in quantifiable terms

Use only one G8D per problemUse only one G8D per problem

D2 Describe the problemD2 Describe the problem

Small groupSmall group

Product/process knowledgeProduct/process knowledge

Team leaderTeam leader

Team synergyTeam synergy

D1 TeamD1 Team

As per symptom, provide Emergency Response Action to As per symptom, provide Emergency Response Action to protect the customerprotect the customer

Initiate the G8D processInitiate the G8D process

D0 SymptomD0 Symptom

ObjectivesObjectives cntd...

Implement ICA to isolate the effects of problem until PCAImplement ICA to isolate the effects of problem until PCA

Formal temporary FixFormal temporary Fix

Validate effectivenessValidate effectiveness

Optional stepOptional step

"Buy Time" to solve the root cause of the problem"Buy Time" to solve the root cause of the problem

Contain the problem from a cost, quality, timing perspectiveContain the problem from a cost, quality, timing perspective

Works against the problem, not the root causeWorks against the problem, not the root cause

Increases costs while the ICA is used.Increases costs while the ICA is used.

D3 Interim Containment Action (ICA)D3 Interim Containment Action (ICA)

Identify the root causeIdentify the root cause

Cause and effect diagramCause and effect diagram

Potential root cause listPotential root cause list

The single verified reason that accounts for the problemThe single verified reason that accounts for the problem

Escape pointEscape point

The earliest location in the process, where the problem The earliest location in the process, where the problem

should have been detected, but was notshould have been detected, but was not

Problem solving stepProblem solving step

D4 Root cause/escape pointD4 Root cause/escape point

ObjectivesObjectives cntd...

Making the best decision, based on benefits and risksMaking the best decision, based on benefits and risks

Verify that the choice will workVerify that the choice will work

Not rushing into implementationNot rushing into implementation

More than one PCA may be required to resolve 100% of the More than one PCA may be required to resolve 100% of the problemproblem

D5 Chosen Permanent Corrective Action D5 Chosen Permanent Corrective Action

Remove ICARemove ICA

Implement decision made at D5Implement decision made at D5

Cross functional participationCross functional participation

Update all the documents, procedures etcUpdate all the documents, procedures etc

Train the workforceTrain the workforce

Seek feedback from the customerSeek feedback from the customer

D6 Implement Permanent Corrective Action (PCA)D6 Implement Permanent Corrective Action (PCA)

ObjectivesObjectives cntd...

Modify necessary systems (Practices/Procedures) to prevent Modify necessary systems (Practices/Procedures) to prevent recurrence of recurrence of

this problem or a similar problemthis problem or a similar problem

The goal is to change the system that allowed the problem to The goal is to change the system that allowed the problem to occur in the first placeoccur in the first place

Enables lessons learned can be sharedEnables lessons learned can be shared

Conserves resources by saving rework on other problemsConserves resources by saving rework on other problems

D7 Prevent recurrenceD7 Prevent recurrence

Complete the team experienceComplete the team experience

Sincerely recognize both team and individual contributionsSincerely recognize both team and individual contributions

Encourage a repeat of the behaviorEncourage a repeat of the behavior

D8 Recognize TeamD8 Recognize Team

ObjectivesObjectives

G8D Report-IllustrationDate Opened Last Updated

12-10-2001 15-10-2001

Product/Process Information Organization Information

Receiving Process TVSLL-KDPP

Dø Symptom(s) Multi model part was shipped as Sea

% Effective Date Implemented

100% 12-10-2001

% Effective Date Implemented

100% 12-10-2001

% Contribution

Lack of Process control measure affected receiving checker's ability to concentrate 100%

% Effective

100%

Date Implemented

15-10-2001

Date Implemented

15-10-2001

Responsibility

MH&PEDate Closed Reported By

15-10-2001 A.ArunachalamPersonally thanked all the team members

D7 Systemic Prevent recommendations

Multi model shipment part labels to be color coded by supplier

D8 Team and Individual Recognition

3.       MP&L analyst will track the multi model partsD7 Prevent Recurrence

1.       Regular awareness training.

2.       Multi model shipment information to consolidators.

3.       MP&L analyst will track the multi model partsD6 Implemented Permanent Corrective Action(s)

1.       Different receiving color tags for multi model shipment parts.

2.       Receiving Flag will be raised in CMMS3 by MP&L analyst

D4 Root Cause(s)

D5 Chosen Permanent Corrective Action(s)

1.       Different receiving color tags for multi model shipment parts.

2.       Receiving Flag will be raised in CMMS3 by MP&L analyst

D2 Problem DescriptionD1 Team (Name, Profs, Dept., Phone)

Champion: Prasad, MP&L

Team Leader: Arunachalam

Team Members:

Title

Multi model part shipment.

2.       Reversal of SEA shipment.

Dø Emergency Response Action(s)1.       Intimated SCM

Multi-model part no XS61-18K579-DC 180 nos shipped in Sea container instead of multi-model shipment

Followed up with SCM and diverted material from Main Plant.

Sampath - MP&L analyst

Hemanth - Receiving Analyst

Parthasarathy - Receiving Checker

D3 Interim Containment Action(s)

5S CONCEPT OF HOUSE KEEPING

Work place becomes popular, clean & better organised

Shop floor and office operations become easier and safer

Results are visible to everyone - insiders and outsiders

Visible results enhance generations of more new ideas

People are automatically disciplined

People become proud of a clean and organised work

place

Resultant good company image generates more business

etc.,

Happier employees with high morale

Greater people involvement

Low employee turnover

Increased number of suggestions

Better use of floor space

Less work-in-progress and inventories

Better flow of work

Low machine break down rates

Low accident rates

High yield of materials

High product quality

SEIRI SEITON SEISO SEIKETSU SHITSUKE

Sort out unnecessary items in the workplace and discard them

FIVE QUESTIONS ABOUT SEIRI

1) Do you find items scattered in your work place?

2) Are there boxes, paper and other items left in a disorganised manner?

3) Are there equipment and tools placed on the floor?

4) Are all items sorted out and placed in designated spots?

5) Are tools and stationery properly sorted and stored?

Arrange necessary items in good order so that they can be easily picked for use

“A place for every thing and every thing in its place”

5 QUESTIONS ABOUT SEITON

1) Are passage ways and storage places clearly indicated?

2) Are commonly used tools and stationery separated from those seldom used?

3) Are containers and boxes stacked up properly?

4) Are fire extinguishers and hydrants readily accessible?

5) Are there grooves, cracks or bumps on the floor which hinder work or safety?

Clean your work place thoroughly so that there is no dust on floors, machines and other equipments

5 QUESTIONS ABOUT SEISO

1) Are the floor surfaces dirty?

2) Are machines and equipment dirty?

3) Are wires and pipes dirty or stained?

4) Are machine nozzles dirtied by lubricants and

ink?

5) Are shades, light bulbs and light reflectors

dirty?

Maintain high standards of house keeping at work place at all time.

5 QUESTIONS ABOUT SEIKETSU

1) Is anyone’s uniform dirty or untidy?

2) Are there sufficient lights?

3) Is the noise or heat at your workplace

causing discomfort?

4) Is the roof leaking?

5) Do people eat at designated places only?

Train people to follow good house keeping disciplines automatically

5 QUESTIONS ABOUT SHITSUKE

1) Are regular 5s checks conducted?

2) Do people clean up without reminders?

3) Do people follow rules and instructions?

4) Do people wear their uniforms and safety

wear properly?

5) Do people assemble on time?

Employees will be disciplined to be more aware of untidy workplaces and motivated to improve the level of cleanliness.Greater team spirit and cooperation can be built up through involvement of all within an organisation.Employees will be disciplined to follow safer and better ways of work, resulting in lesser risks to accidents.Employees would be more conscious of improvement which leads to greater efficiency and effectiveness.

Machine troubles can be detected at an earlier stage to prevent a major breakdown when machines are cleaned daily by people operating them.Daily cleaning of measuring instruments will ensure accuracy and reliability.Life of machines and tools can be extended significantly when they are handled with care and placed in the designated locations.

Flow of materials and work-in-progress will become smoother.

Floor space will become organised and possible areas for improvement can be identified by quick observation.

Inventory of materials and work-in-progress will become clearly visible and easily handled.

Material yield ratios can be improved.Reduced material handling will result.

Clean workplace will ensure that final products will be free from dust.

Sales people will be eager to show customers the plant as a marketing tool.

MONITORINGA daily Activity

Step by Step Approach

Displays and Disseminations

Involvement of Management & CEO

Consistency in Audit

PDCA

Rewards

General Warehouse Practices & Visual

Display

Proper Stacking

Empty Clearance

Empty Box Movement

Check inside before

Shifting

Make Sure the Box is

Empty

Empty

Dust Bins Hazardous/Non

HazardousSafety CornerSafety Corner

Stacking

Wrong X Correct

No Support - Safety issueLadder Support

Aisle Discipline

Wrong X Correct

Keep the aisle free for Fork lift movement

Aisle Discipline

Wrong X Correct

Keep the Aisle FreeTrolley & Scrap Kept in Aisle

FIFO – Not maintainedFIFO – Not maintained

Stage –1 Stage -2 Stage -3

FIFO FIFO sticker sticker

FIFO sticker keptFIFO sticker keptOn wrong sideOn wrong side FIFO sticker notFIFO sticker not

Visible.Visible.

Stacking & RetrievingStacking & Retrieving

Retrieve and Replenish always from Left to Right

Wrong Way of Stacking

Box kept wrong way Safety issue

Wrong Way of Stacking

Kept next to Rails

Fallen in the Canal

Stacking Stacking height height