Office Lean

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Using a Swimlane VSM to address an administrative processVSM, Lean

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Office Lean

  1. 1. Mansfield LFE Activity September 5, 2008
  2. 2. Define the Process Situation <ul><li>Focus is the Rotary Vane Actuators, which comprise 75% of the sales revenue with orders up 60%. </li></ul><ul><li>Recently, delivery lead times have been extended to 20 weeks from 16. The front-end activity comprises about five weeks of the lead time to fulfill the customer order. </li></ul><ul><li>Project Managers process purchase orders into shippable product by the cooperative effort with Accounting, Engineering, Procurement, and Production. </li></ul><ul><li>Binders with a checklist circulate in a linear fashion among responsible parties. </li></ul><ul><li>Target dates for customer delivery are based upon available production capacity and lead time to acquire components. The delivery date drives the schedule for engineering development of the BOM. </li></ul><ul><li>Engineering equivalent capacity of 3.2 staff (45% direct time) completes the BOMs necessary to build the products and an attendant set of associate documents are created to ship the products. Recently, Engineering Manager position is open. </li></ul><ul><li>Design Complexity ranges lead-time from one to three weeks in Engineering. </li></ul>
  3. 3. Data Analysis <ul><li>65 orders gathered beginning FY08 P02 to P05 (annual rate 195 orders) </li></ul><ul><li>Average order has 2 line items </li></ul><ul><li>Off-shore orders tend to be more Design Complex </li></ul>
  4. 4. Project Information Effect on Lead-time Information availability/correctness reduce 1 st Pass Yield, which increases rework activity
  5. 5. Effect of Design Complexity on Lead-Time
  6. 6. Current Data Control
  7. 7. WorkManager Data Control of Engineering Worksheets Linear Processing
  8. 8. Time Allocation on Process Checklist 7 days Trade Compliance Egr WS Initial Info Complete 14 days Confirm Info Complete Complete BOM Type / Review BOM 10 Days of WAIT time { Waste }
  9. 9. Current State VSM – Order Management
  10. 10. Current State VSM – Order Management
  11. 11. Current State VSM – Order Management
  12. 12. Current State VSM – Order Management
  13. 13. Current State VSM – Order Management
  14. 14. Current State VSM – Order Management
  15. 15. Current State VSM – Binder Flow
  16. 16. Waste Reduction Opportunities <ul><li>More effort up front before order is accepted </li></ul><ul><ul><li>Engineering requests further updates after PM assumes sufficient information has been completed </li></ul></ul><ul><li>Reduce waiting time between steps </li></ul><ul><ul><li>~33% Lead-time is Wait Time (Waste) </li></ul></ul><ul><li>Clear tracking of binder locations/status </li></ul><ul><ul><li>6 to 20 binders at a time in Sales offices </li></ul></ul><ul><ul><li>2 to 4 binders at a time in Engineer’s office </li></ul></ul><ul><li>Reduce time between QA review until BOM complete </li></ul><ul><li>Set Target Performance, make performance visible, and countermeasure gaps </li></ul><ul><li>Capture initialization dates and assign tracking control </li></ul><ul><li>Reduce process variation within certain steps </li></ul>
  17. 17. Near-term Incremental Actions <ul><li>Determine required start date of Engineering effort based on Design Complexity and initial checklist preparation lead time </li></ul><ul><li>Broadcast Engineering Due Date using Outlook Meeting manager </li></ul><ul><li>Define gate target dates to measure actual performance dates </li></ul><ul><li>Developed model for visual presentation of real-time data for actual performance to gate targets highlighted with the need by red/yellow for immediate action </li></ul><ul><li>Electronically track Binders with a self-check in/out tracking system, capture initialization and transfer dates </li></ul>
  18. 18. Respond to Targets Capture the START DATE when the customer quote is issued as a PO. Set PRELIMINARY Target Dates that are revised as more information becomes available.
  19. 19. Project Control
  20. 20. Project Control Workflow & Project Tracking Information Processing ORACLE FILECODER Project Status
  21. 21. Scanned barcode in binder will enter data into field
  22. 22. Data may be COPY/PASTE into any MS-application (Excel, Word, Access) Trace user who performed the transaction
  23. 23. Long-term Actions (proposed timeline)

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