BUS606: Operations and Supply Chain Management

Continuing with the use of the 5MQS, the improvements that were achieved are described below.

• Machines: Starting with balancing the load, a new distribution was set up in the plant. This was complimented by establishing Standardized Work roundtables in each work cell. This guarantees that: the documentation of standardized work, visual aids, measurement instruments, necessary tools, identification of non-conforming material, a container for personal safety gear, and good lighting to aid readings.

  A basic preventive maintenance plan was started with the goal of reducing unforeseen machine stoppages.

• Method: The problem at the center of the critical activity was solved by using a human-machine diagram to create a balanced lathe cell. This strategy was also applied to second level critical activity sectors at the plant.

  A standardized form was designed and used to register daily production at the work stations and planned and unplanned machine stoppages. The goal was to have data to use in the on-going calculation of the OEE.

  The OEE for each machine and production line became the standardized performance indicator. Pareto and Ishikawa diagrams were also used to analyze root causes and support the continuous improvement process.

  A visual management strategy was used for the continuous display of the OEE and other vital production performance indicators.

  Standardized work at work stations became the norm through the use of documentation designed by each of the Kaizen teams. These standards include:

  • Assessing the 5Ss: The 5S check-list was put in place for each machine. This document must be filled out by each operator at the start of their shift, evaluating the order and cleanliness found at the work station. The check-list is on one side of the sheet and on the other side the operator registers their findings (non-compliance) as a way to identify root causes. A person responsible for taking action is listed along with the date for compliance.

  • 5S standard card: There is one for each work station of manufacturing cell, indicating the elements needed for each operation: materials, measurements, tools, information and personal safety.

  • SMS sheet (standard manufacturing sheet) for cyclical operations. And SMI sheet (standard manufacturing instructions) for every one of the processes.

  • The above standards include the optimization of process variable which resulted in another time study that showed increased capacity at the bottle neck.

• Material: Manipulation of material notably improved by the new arrangement of the plant plus the application of the 5S along with standards for material control and trained personnel.

• Man: Standardized training was carried out using the standards developed by the Kaizen teams. This kind of material should be constantly updated and is useful for planned re-training as well as orienting new personnel to their posts. Five levels of verified training were established in the following order: operator with basic training (20%), operator approved to carry out operations (40%), operator approved to carry out fine tuning (60%), operator approved to train or rework (80%), operator that can apply lean manufacturing (100%).

  It was determined that by the end of the first semester (February to July) of working on improvements, the operative staff must have reached a minimum level of 40%.

  Multifunctionality matrix. The operation that each operator is trained in along with the percentage is entered, thus allowing everyone to see at any momento which people are qualified to do certain activities.

• Management: Statistical control of the process at the bottle neck was introduced, along with training and increased lighting.

• Safety: Protective gear at the work station is guaranteed, as well as safety standards.

• Quality: The Kaizen teams carried out root cause analysis by way of the Ishikawa diagram and corrections were applied.