SMED Setup & Lead Time Reduction


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Ways to reduce setup and / or changeover time without significant CAPEX investment

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SMED Setup & Lead Time Reduction

  1. 1. SMED / Setup & Lead Time Reduction Ways to reduce setup and / or changeover time without significant CAPEX investment Anand Subramaniam
  2. 2. <ul><li>“ People who work sitting down get paid more than people who work standing up.” </li></ul><ul><ul><li>- Ogden Nash </li></ul></ul>
  3. 3. Highlights <ul><li>Competing Priorities </li></ul><ul><li>SMED / Set-up Reduction </li></ul><ul><li>Lead Time Reduction </li></ul>
  4. 4. Competing Priorities
  5. 5. Organisation Strategy & Priorities <ul><li>Functional Strategies </li></ul><ul><li>Finance • O perations </li></ul><ul><li>Marketing • Others </li></ul><ul><li>New Service / </li></ul><ul><li>Product Design </li></ul><ul><li>Design </li></ul><ul><li>Analysis </li></ul><ul><li>Development </li></ul><ul><li>Full launch </li></ul><ul><li>Capabilities </li></ul><ul><li>Current </li></ul><ul><li>Needed </li></ul><ul><li>Planned </li></ul><ul><li>Corporate Strategy </li></ul><ul><li>Environmental scanning </li></ul><ul><li>Core competencies </li></ul><ul><li>Core processes </li></ul><ul><li>Global strategies </li></ul><ul><li>Market Analysis </li></ul><ul><li>Segmentation </li></ul><ul><li>Needs analysis </li></ul><ul><li>Competitive Priorities </li></ul><ul><li>Cost </li></ul><ul><li>Quality </li></ul><ul><li>Time </li></ul><ul><li>Flexibility </li></ul>
  6. 6. Competing Priorities <ul><li>Cost </li></ul><ul><li>Low-cost operations </li></ul><ul><li>Quality </li></ul><ul><li>Top quality </li></ul><ul><li>Consistent quality </li></ul><ul><li>Time </li></ul><ul><li>Delivery speed </li></ul><ul><li>On-time delivery </li></ul><ul><li>Development speed </li></ul><ul><li>Flexibility </li></ul><ul><li>Customisation </li></ul><ul><li>Variety </li></ul><ul><li>Volume Flexibility </li></ul>
  7. 7. Material Flow Cycle Moving stock from delivery to the actual warehouse shelves When one process is finished, but the job is waiting to be moved to the next work area The time a job spends in transit Job is where it should be, but is not being processed because other work precedes it Job is at the work station, and the work station is being &quot;setup” Job is at machine and being worked on Cycle Time Input Output Other Wait Move Queue Setup Run
  8. 8. Driving Improvement Critical for driving improvement to your customers
  9. 9. Different Tools & Techniques Standard work 5S JIT Setup Reduction Pull system CPFR Value streams Value stream maps Quality @ the source Visual controls Kanban Poke yoke Level loading Takt time Cross-training TWI TPM Andons
  10. 10. Tools – What, Where, When etc Automation, Right-sized machines Separate people from machines Cross-training, Skills analysis matrix Train personnel to operate multiple processes Standard work combination sheet, Standard work layout sheets, Time observation studies, Line balance chart Balance operations and standardise work in the cell Takt time calculation, Level loading, TPM Produce at the rate of customer’s consumption Setup reduction, Pull system, Kanban, Poke yoke, Six sigma Produce and move one piece at a time 5S, Cell layout & design, Visual controls Minimise the distance between equipment Process flow chart, Value streams, Problem solving, 4M’s Design process sequence PDCA , Process walk, Value stream mapping Collect data and analyse work flow Tools Activity
  11. 11. SMED / Set-up Reduction
  12. 12. Set-up Reduction <ul><li>Is NOT </li></ul><ul><li>A program to eliminate set-up people </li></ul><ul><li>A panacea to overcome poor management or poor process layouts </li></ul><ul><li>A requirement to spend large capital investment to attain significant benefits </li></ul><ul><li>Is </li></ul><ul><li>A tool (like many) to reduce waste and excessive time </li></ul><ul><li>A low-cost method to achieve increased capacity from existing equipment </li></ul><ul><li>A process to reduce lot sizes and improve product mix </li></ul><ul><li>A cross-functional team approach to problem-solving </li></ul>
  13. 13. Set-up Reduction – Traditional Practice <ul><li>Material movement occurs after the machine is turned off </li></ul><ul><li>Completed products are transferred to next operation </li></ul><ul><li>Raw material is moved after the machine is stopped </li></ul><ul><li>Defects or missing equipment noticed when the machine is running </li></ul><ul><li>Setup tooling delivered after the changeover has begun </li></ul><ul><li>Defective product identified after internal setup has begun </li></ul><ul><li>Defective tooling, fixtures, setup instruments are noticed, after the machine is turned on </li></ul><ul><li>The operator notices that equipment is missing tools etc after internal setup has begun </li></ul>
  14. 14. Set-up Reduction Goals Happy customer Improve tool and product design Improve idle asset usage Eliminate set-up / change-over time Reduce lot sizes Increased capacity / produc-tivity Increase flexibility through simplicity Improve mainten-ance costs Improved material flow and usage Reduce lead time Reduce scrap Reduce inventory costs Set-up Reduction Goals
  15. 15. Set-up Reduction - Types Internal Executed while the machine is operating External Executed while the machine is stopped
  16. 16. Set-up Reduction - Benefits Benefits Reduce indirect costs Improve customer service Experience fewer shortages and stock-outs Reduce queue times Improve cash flow Improve Inventory Turns Reduce overall Cost-of-Quality Become more competitive Increase equipment uptime Improve machine efficiency & level out production Utilise labor effectively Increase manf. process flexibility & capacity Improve overall management effectiveness
  17. 17. Setup – Implementation Steps Integrate Internal into External Setup Reduction of Setup Processes Verify & Standardise Setup Review Set-up Process Steps Develop Implemen-tation Plan Develop Communi-cation Plan Develop Training Plan Implement Plan
  18. 18. Setup – Process Steps Step 1: Prepare Finding materials, jigs, gauges, etc Could take 20~ 30% of the set-up process time Step 2: (Dis)Mount Taking tooling off / on the equipment Could take 5 ~ 15% of the set-up process time Step 3: Centre / Align (Re) Aligning equipment to run the next part Could take 10 ~ 20% of the set-up process time Step 4: Trial Run / Adj. (Re) Adjusting the equipment to run according to specs Could take 40 ~ 60% of the set-up process time Focusing here leads to set-up reduction times
  19. 19. Set-up Reduction – Critical Success Factors CSF Elimination of waste Operators / set-up people are the owners of the process and its results 5S and Visual Control programs Team work Cross-functional team Small lot size production Training for operators and team Increase flexibility in equipment, processes and people Simple job changes Focus on equipment up-time Flow Charting current and proposed process
  20. 20. Set-up – Improvement Process
  21. 21. Set-up – Conversion Matrix <ul><li>Purpose </li></ul><ul><ul><li>Used to identify specific actions taken to convert internal setup operations into external setup operations as part of the SMED program </li></ul></ul><ul><li>When to Use </li></ul><ul><ul><li>Setup conversion matrix should be used after the setup work sheet (previous slide) has been completed </li></ul></ul><ul><li>Who should use it </li></ul><ul><ul><li>The set conversion matrix can be used by anyone involved in process improvement </li></ul></ul><ul><li>Expected Benefits </li></ul><ul><ul><li>The resultant deliverables will be specific actions aligned with conversion methods to convert internal setup operations into external setup operations </li></ul></ul>
  22. 22. Lead Time Reduction
  23. 23. Lead Time - Definition <ul><li>Lead Time - is the time from the receipt of the order to the delivery of the product </li></ul><ul><li>Cumulative Lead Time - the longest planned length of time to accomplish the activity in question </li></ul>
  24. 24. Lead Time Reduction
  25. 25. Lead Time Reduction
  26. 26. Lead Time Elements Wait Run Transport Rework / Scrap Inspect Overpro-duction Excess inventory & WIP Queue Unneces-sary motion Ineffi-cient plant layout Lead Time Elements
  27. 27. <ul><li>“ Doing a thing well is often a waste of time.” </li></ul><ul><ul><li> </li></ul></ul><ul><ul><li>- Robert Byrne </li></ul></ul>
  28. 28. <ul><li>Good Luck </li></ul><ul><li> </li></ul>