4. Why It Matters
• CEMEX Shipped 2,122,067 Loads in 2015
• Average Cost Per Minute is $1
• Every Minute Saved is
– $2 Million Dollars per Loads Delivered 2015
– “Minutes are Millions”
5. Project Goal
• Reduce Ticket Time by 1 Minute
• Reduce Slump Time by 1 Minute
• Without Sacrificing Safety
6. Goal Setting Process
• Used Local Goals on Slump Time
– Agreed 1 Minute is Realistic
• Completed Motion Study on Ticket Time
– Walking To/From Office Takes 3 Minutes
7. Ticket Time
• Average Nationwide Average 5 Minutes
• West Orange Average 5 Minutes
• Solution: Reader Board
– Trucks in Yard
– Orders to Load
• Keeps drivers aware of production
8.
9. Slump Time
• National Average – 11 Minutes
• Ehren’s Cut Off - 11 Minutes
• Placed at Each Slump Rack in RM Plant
• Contributes to Hawthorne Effect
19. 19
Looking Forward – CEMEX Values
Establishes a system
With Less
Distractions
Higher Profits
“Trimming The Fat”
Transparent,
Focused and Value Driven
More Efficient
Deliveries
Pilot Locally-
Rollout Regionally-
Implement Nationally
Time to Ticket- Time it takes for truck to go from Ticketed to Loading
Load Time- Batch Time
Slump Time- Time it takes to slump/wash/leave plant
Saving time safely is Operating Efficiently and Customer Centric
Do the math, break down how saving cents makes $$$ in the long run
We agreed via that a conference call for 1 minute savings in both slumping and time to ticket
CEMEX information from RM Report Card
$1 Per Minute from Charlie Bultman CI Leader for Florida
Ticket Time and Slump Time are per load cost/savings generators
Ticket time issues were discovered through talking with plant managers and customer service teams and have a material impact on the bottom line.
Jeff Bobolts challenged the Orlando/Ocala District to get our slump times down from 11 to 12 mins average to 7 minutes through continuous improvement.
Why is it placed in plants with many out of town drivers as compared to very busy plants?
West Orange is extremely busy and it takes 3 minutes for a driver to walk to and from the truck to the plant.
If we can minimize trips when they have a ticket we can more efficiently serve our customers
Drivers aware of production contributes to ownership/buy in.
Orders to load matched to trucks in yard gives drivers an idea of how long they have until loaded.
Important because if they know they are getting loaded immediately, they shouldn’t leave truck
Flashing SIDE 1 or SIDE 2 cuts down on radio chatter immensely
Hawthorne Effect- when someone knows they are being watched, productivity tends to improve
Ehren’s Cut Off chosen because of the high volume and it is in line with the national average so it is a good benchmark.
Concept picture
Moving on from Financials the next step is to ask ourselves Whats Next?
We have selected two locations that will pilot our project.
Tampa Slump signs
Orlando Reader Board
The managers of these locations have given their feedback regarding the potential benefits as well as obstacles they see during our installation process.
Needs to be done right
Reduction in installation costs.
Develop a local team of drivers (who this project effects daily) allow them to critique the project. Trip to Florida prior to installation?
Observe improvements working closely with local operations in conjunction with Ready Mix report Card
Are we realizing an improvement in comparison with forecasted numbers
Decide whether or not the investment is worth continuing and possible implement to stage 2.
Are we required to sign the contract that Brad presented to “pilot” the signs?
Explain this.
Recap on the costs associated with the pilot program
Opportunity for research next 6 months and present data
