Streamlining the mfg process webinar

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Using lean manufacturing, Kanban, 5s, and Kaizan in an ERP environment.
http://www.workwiseinc.com

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  • There are three types of kanban circuits: Production kanban: A card or other signal for indicating that items should be made either for use or to replace some items removed from stock. Transport kanban (Move kanban): A card or other signal for indicating that a specific number of units of a particular item are to be taken from a source (usually an outbound stock point) to a point of use (usually an inbound stock point). Supplier kanban: A card or other signal for indicating that a specific number of units of a particular item should be purchased from a supplier.
  • The flow starts with a demand of 10 SP-4 from customer order. The parts are delivered and a container at inventory location END is empty. A replenishment request is created for 10 SP-4 that automatically creates a production schedule. Now there is an empty container at inventory location SUB. A replenishment request is created for 10 C-40 that automatically creates a Shop order. Now there is an empty container at inventory location RAWM. A replenishment request is created for 10 C-400 that automatically creates a Transport Task from PICKING to SUB. Now there is an empty container at inventory location PICKING. A replenishment request is created for 10 C-400 that automatically creates a Purchase Order.
  • Streamlining the mfg process webinar

    1. 1. Streamlining the Manufacturing ProcessHow WorkWise & RB-ERP Can Assist You on Your Lean Journey 1
    2. 2. Is Lean/TQM Just Another Buzzword?• No, this philosophy has tremendous merit and is well proven in the industrry and the RB- ERP customer base 2
    3. 3. Lean in a Nutshell• Specify VALUE from the customer’s view• Identify the VALUE STREAM – sequence of steps that add value for a product• Eliminate Non-Value Added Steps• Make value FLOW without interruption• Let the customer PULL value from the producer• Continually strive for PERFECTION 3
    4. 4. Lean Manufacturing at HUI, Inc.• Contract Manufacturer in Kiel, WI• Metal Fabrication and Assembly• Lean – Value Stream the Entire Operation• Customer Service, Manufacturing and Shipping “HUI has designed its operations to deliver small-to- medium lot sizes to our customers quickly. Guided by lean principles, our self directed manufacturing cells provide our customers with fabricated, powder coated and assembled product in less than 10 days.” 4
    5. 5. How did it Come to This?
    6. 6. Lean Manufacturing - APICS • Lean is a philosophy of production that emphasizes the minimization of the amount of all the resources (including time) used in the various activities of the enterprise • Lean embodies a set of principles and practices that reduce cost through the relentless removal of waste and through the simplification of all manufacturing and support processes. • Lean involves identifying and eliminating non-value-adding activities in design, production, supply chain management, and dealing with the customers. • Lean producers employ teams of multi-skilled workers at all levels of the organization and use highly flexible, increasingly automated machines to produce volumes of products in potentially enormous variety. 6
    7. 7. COMMON TOOLS OF LEAN • VALUE STREAM MAPPING • QUALITY AT SOURCE • 5S’s • POINT OF USE STORAGE • VISUAL • QUICK CHANGEOVER (SMED) • PLANT LAYOUT • CELLULAR/ GROUP TECH. • STANDARDIZED WORK • TOTAL PREVENTATIVE • BATCH REDUCTION MAINTENANCE • TEAMS/CROSS TRAINING • KAIZEN EVENTS • SIX SIGMA • DEMAND PULL/ KANBAN 7
    8. 8. Kaizan Event Candidates • Customer Service/Order Entry • Pull-Style Kanban Process Replenishment • Total Preventative Maintenance • Customer Issue Tracking • Warehouse Layout and Picking • Cycle Count Process Process • Production Reporting • Vendor Quality Ratings Process • Shop Order Preparation and Scheduling Process • Shipping Process • A/P Match Process 8
    9. 9. Streamlining the Manufacturing Process • Front Office Kaizan – Direct Fullfillment • Shop Kaizan – Kanban Lean Module • Shipping Kaizan – Order Express Module 9
    10. 10. Kaizan Event Candidates • Customer Service/Order Entry • Pull-Style Kanban Process Replenishment • Warehouse Layout and Picking • Customer Issue Tracking Process • Cycle Count Process • Vendor Quality Ratings • Production Reporting • Shop Order Preparation and Process Scheduling Process • Shipping Process • A/P Match Process 10
    11. 11. A Classic Build-to-Order Front-End… Receive Fax Fill Out Order Send to Order Form Entry Reducing Front Enter Cust Ask Prod for Prod Sched End Lead Time: Order Promise Date ReviewBetterCustomer Service Update Print Look up Fax# Promise Date Acknowledge Reduced OverallLead Time Dial Phone Send Order to Create Shop and Send Fax Review File Order Print Shop Pull & Copy Collate Into Order Drawing Shop Packet Send to Prod Control 11
    12. 12. RB-ERP 9 Direct Fulfillment for Customer Orders • Remove Non-Value Added Steps • Calculates Promise Date Based on Material Availability and Lead Times • Electronic Acknowledgement Sent Immediately thru Dash ddx • One-Click Shop Order or Purchase Order Creation • Immediately Create Pick Ticket • Inquire into Shop Order Operation Status During Order Entry • Access Shipping/Invoicing during Order Entry 12
    13. 13. Available to Promise& Direct Fulfillment 13
    14. 14. Shop Order Fulfillmentfrom Customer Order Line 14
    15. 15. Purchase Order Fulfillmentfrom Customer Order Line 15
    16. 16. RB-ERP 9 Direct Fullfillment Live 16
    17. 17. Kaizan Event Candidates • Customer Service/Order Entry • Pull-Style Kanban Process Replenishment • Warehouse Layout and Picking • Customer Issue Tracking Process • Cycle Count Process • Vendor Quality Ratings • Production Reporting • Shop Order Preparation and Process Scheduling Process • Shipping Process • A/P Match Process 17
    18. 18. • Kanban Definition The Japanese word Kanban, loosely translated, means card, billboard, or sign, but other signaling devices such as colored golf balls have also been used. The term is often used synonymously for the specific scheduling system developed and used by the Toyota Corporation in Japan.• Kanban is a method of Just-in-Time production that uses standard containers or lot sizes with a single card attached to each.• It is a pull system in which work centers signal with a card or other device that they wish to withdraw parts from feeding operations or suppliers. – APICS 18
    19. 19. Push vs. Pull• Push – Produce to forecast of • Pull – Produce ONLY the necessary anticipated demand units in the necessary quantities at – Excessive inventory (stock out of the necessary times what’s needed) – Simple – manage by eye – Large batches – Responsive to minor changes – Inability to keep pace with real- time orders – Effective at continuous inventory – Inefficient ops – high costs reduction • Emergency changeover • Product teardowns • Expediting – Hot list 19
    20. 20. Kanban Example BOM SP-4 Manufactured C-40 Manufactured C-400 Purchased Inventoried at 2 Locations 20
    21. 21. Kanban CircuitsVendor C -400 Finished parts inventory Receive Receive C-400 Production C-40 Production SP-4 SP-4 Raw material inventory Demand Customer Procurement Kanban Circuit Transfer Kanban Circuit Production Kanban Circuit 21
    22. 22. Kanban flowSupplier Receive for C-400 Initiate Initiate Receive Initiate Receive Initiate Procurement Transfer for C-40 Production for SP-4 Production Receive C-400 C-40 SP-4 C-400 C-400 Receive Receive Kanban KanbanBin: PICK Bin: FLOOR Bin: FLOOR Bin: END Ship 10Location KB Location 01 END Incoming Empty container Customer Order Kanban Quantities = 10 10 SP-4 Full container 22
    23. 23. RB-ERP Traditional Replenishment Demand Pull Demand Pull Cust Order Shop Order N/C Lines N/C Comp’s Push Push PushMPS Planned MRP Planned Inventory Orders Orders Reorder Point Order Review Shop Order Req/Purchase Order 23
    24. 24. RB-ERP New Lean Replenishment Demand Pull Demand Pull Cust Order Shop Order N/C Lines N/C Comp’sKanban Planning Kanban Planning Kanban Pull MPS MRP Kanban Planning Planning Replenish Automatic Generation or Order Review Shop Order Req/Purchase Order 24
    25. 25. RB-ERP 9 Lean Module• Generate/Manage Card Issuance• Simple Kanban Transaction Entry (Bar Code Scan)• Trigger Purchase Order/Release, Notification and Receipt• Trigger Inventory Transfer• Trigger Production Receipt & Backflush• History of Kanban Activity with Cycle Time Tracking 25
    26. 26. Kanban Destination Table 26
    27. 27. Kanban Item/Location Flag 27
    28. 28. Kanban Circuit Definition 28
    29. 29. New Kanban Circuitand Kanban Deployment 29
    30. 30. Kanban 30
    31. 31. RB-ERP 9 Lean Module Kanban Generation and DeploymentReceive Receive ReceiveTransfer Production ProcurementKanban Kanban KanbanInventory Mfg Receipt PO Receipt Transfer & Backflush 31
    32. 32. Single Entry/Scan of KanbanKanbans May Be BothInitiated and Received
    33. 33. RB-ERP 9 Kanban Live 33
    34. 34. Kaizan Event Candidates • Customer Service/Order Entry • Pull-Based Kanban Process Replenishment • Warehouse Layout and Picking • Customer Issue Tracking Process • Cycle Count Process • Vendor Quality Ratings • Production Reporting • Shop Order Preparation and Process Scheduling Process • Shipping Process • A/P Match Process 34
    35. 35. RB-ERP eProduction - Dispatch and Report using a Browser• Flexible priority management & dispatching• Instant verification on input data• Paperless shop order & document viewing• Message notification for Supervisors• Web access from any PC• Utilizes SQL database integrated with RB-ERP 35
    36. 36. eProduction Home Page 36
    37. 37. eProduction Attend In 37
    38. 38. eProduction Dispatch List 38
    39. 39. eProduction Messages 39
    40. 40. eProduction•Getting used to computers in the shop Started in FAB – transaction intensive•Procedural training important – Big impact on inventory accuracy•2006 no shop order travelers for FAB stock partorders•No paperwork “cherry picking”•Document Library•Customizable screens by department 40
    41. 41. eProduction 41
    42. 42. 42
    43. 43. PrioritiesGroup Code 43
    44. 44. 44
    45. 45. Free DWG viewer – Brava Informative Graphics 45
    46. 46. Kaizan Event Candidates • Customer Service/Order Entry • Pull-Based Kanban Process Replenishment • Warehouse Layout and Picking • Customer Issue Tracking Process • Cycle Count Process • Vendor Quality Ratings • Production Reporting • Shop Order Preparation and Process Scheduling Process • Shipping Process • A/P Match Process 46
    47. 47. Why Optimize Shipping?• Ship More Efficiently• Better Tracking of Shipments• Reduce Shipment Errors• Improve Customer Service by Providing Shipment Tracking Information• Reduce your Transportation Costs• Shop Multi-Carrier Rates 47
    48. 48. Process Shipments More Easily• Order Express Handles All Carrier Integration – use only one system for all carriers• RB-ERP and Order Express are Integrated – eliminating duplicate data entry and reducing potential for errors• Save Shipping Cost Using Rate Shopping• Intuitive and easy to use!• How’s it Work? 48
    49. 49. Initiate Shipment 49
    50. 50. Send Shipment to Order Express 50
    51. 51. Access Shipment in Order Express by Order Number 51
    52. 52. Built-In Rate Shopping 52
    53. 53. Compare Results 53
    54. 54. Ship in Order Express 54
    55. 55. Print Label 55
    56. 56. Shipping History in Order Express 56
    57. 57. Confirm Shipment in RB-ERP 57
    58. 58. Freight Amount and Weight sent to RB-ERP Shipment BOL 58
    59. 59. Tracking Number(s) in Shipment Header Comments 59
    60. 60. Komet and Order Express• Implemented Cellular-Style Shipping• Faster, Much More Efficient• Take a Look 60
    61. 61. Kaizan Event Candidates • Customer Service/Order Entry • Pull-Based Kanban Process Replenishment • Warehouse Layout and Picking • Customer Issue Tracking Process • Cycle Count Process • Vendor Quality Ratings • Production Reporting • Shop Order Preparation and Process Scheduling Process • Shipping Process • A/P Match Process 61
    62. 62. Workwise Can Help Your Company!• Conduct an Operational Review• Entire Operation or Focus Areas• Deliverable: Assessment Report and Recommendations• Example…• Work with Schmidt & Balliet to assist in your lean initiatives 62
    63. 63. Thank You for Participating! Streamlining the Manufacturing ProcessHow WorkWise & RB-ERP Can Assist You on Your Lean Journey 63

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