Sirris manufacturingday2011 qrm-harol
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Sirris manufacturingday2011 qrm-harol

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Arthur Vandebosch presents the implementation experience with Quick Response Manufacturing at Harol. QRM methodology and techniques are especially suited for high mix / low volume production. Learn ...

Arthur Vandebosch presents the implementation experience with Quick Response Manufacturing at Harol. QRM methodology and techniques are especially suited for high mix / low volume production. Learn why a Belgian company excels and inspires at a world class level.

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    Sirris manufacturingday2011 qrm-harol Sirris manufacturingday2011 qrm-harol Presentation Transcript

    • Kristof Souwens Process Manager, PMPArthur Vandebosch Operations Manager Founding Father QRM
    • Overview 1 The Company (History) 2 Problem Statement 3 What is QRM ? 4 QRM at Harol 5 How ERP supports QRM 6 First Results & Future PerspectivesKristof Souwens, PMP
    • The Company (History)  Started in 1946 (wooden shutters)  One of the Leading European producers of sunscreens, shutters and sectional doors  320 employees  Annual turnover = 44 million EurosKristof Souwens, PMP 1 The Company (History)
    • The Company (History)  Till 1993: MS DOS  1993: AS 400 - MRP • PUSH-system • No MRP for make-to-stock • WIP level = extremely high → Delivery Reliability ↘ → Lead Time = 5 wks  2000: AS 400 – LEAN (KANBAN) => Pull System • No MRP for make-to-stock • Production order produced by due date • Bottleneck planned with unlimited capacity • WIP buffer management through PULL-system • Delivery Reliability ↗ → Lead Time = 5 d  2010: Microsoft AX Dynamics => Push & Pull • Production order by print date • MRP for make-to-stock (through ERP implementation) • Bottleneck planned with limited capacity • WIP buffer management through CONWIP/KANBAN/POLCA) – MTO & MTS • Delivery Reliability ↗ → Lead Time = 2 dKristof Souwens, PMP 1 The Company (History)
    • Problem Statement 3 DIMENSIONAL VARIABILITY STRATEGIC DIMENSION • Seasonality (Highly variable demand) • Product variety • Raw material cost (Aluminum) TACTICAL DIMENSION • Capacity planning (huge swings in capacity utilization) • “Cross-functional” production process (painting & textile cell) • Variety in shifts between different cells OPERATIONAL DIMENSION • Changeover times (color changes) • Special orders (rework, repair, …) • Unbalanced production lines ( partly Engineer-to-Order)Kristof Souwens, PMP 2 Problem Statement
    • What is QRM ? QRM = Quick Response Manufacturing  QRM is a companywide strategy, aimed at increasing flexibility and responsiveness by the continuous shortening the lead time, that pursues the reduction of lead time in all aspects of a company’s operations (Externally as Internally).  A Competitive Strategy for High-Variability, Low-Volume or Custom- Engineered Products  Based on business strategy of Time-Base Competition (TBC)  Using speed to gain competitive advantage  QRM implies  Rapid delivery of existing products  ALSO, rapid development and introduction of new products Source: Master class - Quick Response Manufacturing – Page 12-14 – Copyright © 2010 R. SuriKristof Souwens, PMP 3 What is QRM ?
    • QRM : The key to gaining your Competitive Advantage Choice of Strategy QRM: Your Competitive Edge Exploit Lean/sigma Eliminate Tools Lean Type of Dysfunctional Strategic Variability Source: 2010, It’s About Time - The Competitive Advantage of Quick Response Manufacturing, Rajan Suri – p 5Kristof Souwens, PMP 3 What is QRM ?
    • The Power of Time  Requires major PARADIGM SHIFT in management thinking Cost-Based Time-Based  Lead Time drives everything  Business understanding  Decisions  Measurements Source: Master class - Quick Response Manufacturing – Page 32 – Copyright © 2010 R. SuriKristof Souwens, PMP 3 What is QRM ?
    • Organizational Structure The Response Time Spiral for make-to-order products Master Schedule: Planning organization decides to use longer Long Lead Need to plan way Times ahead lead times Regular Jobs Inaccuracy Delayed of Planning Loss of focus for regular jobs @ Past performance problems “Hot” Jobs, Safety Time Expediting Inserted Jobs started long before Unacceptabel High WIP and they are due, also some parts made but not used lead times, Inventory till much later planning orders Source: 2010, It’s About Time - The Competitive Advantage of Quick Response Manufacturing, Rajan Suri – p 40Kristof Souwens, PMP 3 What is QRM ?
    • Organizational Structure Roots of the Spiral: Cost-Based Management Minimize Break into simple Low Skills, Functional Cost (specialized) steps Low Wages Departments Ensure Minimize Resources, Managers: Backlog, Maximize Efficiency, Minimize Cost Batching Maximize Utilization Long Feedback Loops, Poor Quality, Long Backtracking, Lead Times and Expediting OOPS! High Cost  Can’t be controlled: must be killed!  Focus on reducing the consumption of time throughout the system Source: 2010, It’s About Time - The Competitive Advantage of Quick Response Manufacturing, Rajan Suri – p 46Kristof Souwens, PMP 3 What is QRM ?
    • KANBAN vs POLCA KANBAN KANBAN board M1 M2 KANBAN card POLCA (Paired Overlapping Loops with Cards of Authorization) B1 C1 C1 B1 B1 B1 A1 C1 C1 C2 B1 A1 B1 B1 C2 C2Kristof Souwens, PMP 3 What is QRM ?
    • Implementation QRM Strategy  DO’s:  INSIDE-OUT approach  Step-by-step  Focusing on the things that already work (direct results)  Continuously improving & optimizing the implemented system  Expanding gained knowledge  DONT’s:  Not starting from Time-Based Competition Strategy (nor MCT)  Trying to get stakeholders buy-in by preaching (only theory)  Big BANGKristof Souwens, PMP 4 QRM at Harol
    • Customized QRM GameKristof Souwens, PMP 3 QRM at Harol
    • QRM at HAROL Orders Buffer (Lacquer) Buffer Preparation (raw) Awnings Awnings Awnings - RAL Assembly Line - STD Awnings Buffer (Lacquer) - RAL Buffer (raw) Awnings Awnings - STD - STD Buffer Preparation (raw) - RAL VZ 8h 9h 10h 11h …. Buffer Textile Buffer Textile Standard Rush (Awnings) RS R Textile Dralon PAINTING Warehouse Textile MTS Standard (Screens,VZ,US) Textile Buffer (Lacquer) Screens, VZ, US 8h 9h 10h 11h …. Screens,VZ,US Kunstof Standard Buffer (raw) Rush Orders Screens, VZ,US Buffer (Lacquer) Screens/VZ/US - RAL Assembly Line - STD Buffer Preparation (raw) Screens/VZ/US - RAL Screens - RAL - STDKristof Souwens, PMP 4 QRM at Harol
    • QRM at HAROL Orders Buffer (Lacquer) Buffer Preparation (raw) Awnings Awnings Awnings - RAL R Assembly Line - STD Awnings Buffer (Lacquer) R - RAL Buffer (raw) Awnings Awnings - STD - STD Buffer Preparation (raw) - RAL VZ 8h 9h 10h 11h …. Buffer Textile Buffer Textile Standard Rush (Awnings) SR R Textile Dralon PAINTING Warehouse Textile MTS Standard (Screens,VZ,US) Textile Buffer (Lacquer) Screens, VZ, US 8h 9h 10h 11h …. Screens,VZ,US Kunstof Standard Buffer (raw) Rush Orders Screens, VZ,US Buffer (Lacquer) Screens/VZ/US - RAL Assembly Line - STD Buffer Preparation (raw) Screens/VZ/US - RAL Screens - RAL - STDKristof Souwens, PMP 4 QRM at Harol
    • QRM at HAROL Orders Buffer (Lacquer) Buffer Preparation (raw) Awnings Awnings Awnings - RAL R Assembly Line - STD Awnings Buffer (Lacquer) - RAL Buffer (raw) Awnings Awnings - STD - STD Buffer Preparation (raw) - RAL VZ 8h 9h 10h 11h …. Buffer Textile Buffer Textile Standard Rush (Awnings) SR R Textile Dralon PAINTING Warehouse Textile MTS Standard (Screens,VZ,US) Textile Buffer (Lacquer) Screens, VZ, US 8h 9h 10h 11h …. Screens,VZ,US Kunstof Standard Buffer (raw) Rush Orders Screens, VZ,US Buffer (Lacquer) Screens/VZ/US - RAL Assembly Line - STD Buffer Preparation (raw) Screens/VZ/US - RAL Screens - RAL - STDKristof Souwens, PMP 4 QRM at Harol
    • QRM at HAROL S Orders Buffer (Lacquer) Buffer Preparation (raw) Awnings Awnings Awnings - RAL Assembly Line - STD Awnings Buffer (Lacquer) - RAL Buffer (raw) Awnings Awnings - STD - STD Buffer Preparation (raw) - RAL VZ 8h 9h 10h 11h …. Buffer Textile Buffer Textile Standard Rush (Awnings) R Textile Dralon PAINTING Warehouse Textile MTS Standard (Screens,VZ,US) Textile Buffer (Lacquer) Screens, VZ, US 8h 9h 10h 11h …. Screens,VZ,US Kunstof Standard Buffer (raw) Rush Orders Screens, VZ,US Buffer (Lacquer) Screens/VZ/US - RAL Assembly Line - STD Buffer Preparation (raw) Screens/VZ/US - RAL Screens - RAL - STDKristof Souwens, PMP 4 QRM at Harol
    • QRM at HAROL Orders Buffer (Lacquer) Buffer Preparation (raw) Awnings Awnings Awnings - RAL Assembly Line S - STD Awnings Buffer (Lacquer) - RAL Buffer (raw) Awnings Awnings - STD - STD Buffer Preparation (raw) - RAL VZ 8h 9h 10h 11h …. Buffer Textile Buffer Textile Standard Rush (Awnings) Textile Dralon PAINTING Warehouse Textile MTS Standard (Screens,VZ,US) Textile Buffer (Lacquer) Screens, VZ, US 8h 9h 10h 11h …. Screens,VZ,US Kunstof Standard Buffer (raw) Rush Orders Screens, VZ,US Buffer (Lacquer) Screens/VZ/US - RAL Assembly Line - STD Buffer Preparation (raw) Screens/VZ/US - RAL Screens - RAL - STDKristof Souwens, PMP 4 QRM at Harol
    • How ERP supports QRM – Past State Order entry Logistics MTO MTS  Independent (duplicated) authorizations  Unsystematic MTS MRP planning  Unlimited Capacity PlanningPlanning Preperation Cell Painting Cell  No synchronization between production cells  No possibility to level out Execution Assembly Cell order intake  No mixed model Textile Cell schedulingKristof Souwens, PMP 5 How ERP supports QRM
    • How ERP supports QRM – Current & Future State Order entry Logistics MTO MTS  1 authorization pointPlanning ERP  Systematic MTS planning Capacity (Skill) Planning  Limited capacity planning MRP  Employee flexibility ↑  High synchronization between cells Preperation Cell Painting Cell  Leveling out order intakeExecution  Automated mixed model Assembly Cell scheduling Textile CellKristof Souwens, PMP 5 How ERP supports QRM
    • First Results QRM ImplementationKristof Souwens, PMP 6 First Results & Future Perspectives
    • Rajan Suri’s visit at HarolKristof Souwens, PMP 6 First Results & Future Perspectives
    • Future Perspective (Strategy) CUSTOMER INTIMACY Customer Focused Strategic Growth Quality & Service Speed Time-Based Competition QUICK RESPONSE MANUFACTURINGKristof Souwens, PMP 6 First Results & Future Perspectives
    • Future Perspective (Strategy) QUICK RESPONSE MANUFACTURING Time-Based Competition in office operations => Q-roc Speed Quality & Service Strategic Growth Customer Focused CUSTOMER INTIMACYKristof Souwens, PMP 6 First Results & Future Perspectives
    • More info on Quick Response Manufacturing It’s About Time: The Competitive Advantage Quick Response Manufacturing: A of Quick Response Manufacturing, by R. Companywide Approach to Reducing Lead Suri, CRC Press, 2010. Times, by R. Suri, Productivity Press, 1998.Kristof Souwens, PMP 1 What is QRM ?
    • QuestionsKristof Souwens, PMP