Lean journey from changodar to colombo - case study of pump mfg. company - 3rd annual lean conference 2015
1. Case Study of Pump Mfg. Company
Title:
Lean Journey from Changodar to Colombo
Presented
on
2nd Feb 2015
@
3rd Annual Lean Conference,
AMA, Ahmedabad
2. M/s. Waterman Industries Private Limited,
Ahmedabad, Gujarat, India
WEL COME YOU ALL
Lean Manufacturing for Productivity Enhancement
Mr. Bharat B. Patel
Managing Director
15 – 17 Dec 2014
Colombo, Sri Lanka
4. Dealer strength – 750 Nos.
• We have stock points in all over India with a strong
dealer network under them
WATERMAN
MANUFACTURING
PLANT AT
AHMEDABAD,
GUJARAT, INDIA
WATERMAN –
MAJOR STOCK
POINTS IN
DIFFERENT
STATES OF INDIA
WATERMAN
PRODUCTS –
EXPORT
COUNTRIES
5. Challenges before Lean
Space constraint
2 different manufacturing locations (Upper Floor & Lower
Floor)
High inventory
Pending order, late delivery, Urgent material requirement
High Manpower
No choice only Lean Training & Implementation
6. Lean Implementation Scheme by the Govt. of India
• We have participated in Pump Manufacturers’ Cluster
• We have paid Rs. 38,000 ($ 633) and balance money was
paid by the government Appointed M/s. ADDVALUE
Consulting Inc., India as a lean manufacturing consultant
and Its team has helped us to implement lean
manufacturing.
• National Productivity Council (NPC) directors visited us
frequently to audit the progress and given time to time
suggestion for improvement.
7. TOTAL LEAN MANAGEMENT ATTACK MUDAs
Identify Reduce
Eliminate MUDAs
thru
VALUE ADDING
WORKSHOP (VAW)
World Class, Lean, Fit,
Competitive &
Sustainable Organizations
Unawareness of
Lean Management Tools
Muda of Transportation Muda of Motion
Muda of Waiting Muda of Rejection Muda of Over Processing Muda of Inventory
Muda of Over Production Muda of Unused
Human Potential
8. Creating World Class Organizations
Creating Lean Foundations through TOP Management Commitment & 5S
Creating World Class Organizations = “TOTAL LEAN MANAGEMENT”
TFM TPM TQM TSM THM
S
U
P
P
L
I
E
R
S
C
U
S
T
O
M
E
R
S
TOTAL
FLOW
MANAGEMENT
TOTAL
PRODUTIVE
MAINTENANCE
TOTAL
QUALITY
MANAGEMENT
TOTAL
SERVICE
MANAGEMENT
TOTAL
HUMAN
MANAGEMENT
Identify, Reduce & Eliminate Muda (Waste) Continually– across the Value Chain
Focus
on
Quality, Cost
& Delivery
Focus
on
Quality, Cost
& Delivery
ADD VALUE
Through
TOTAL Employee Involvement
(TEI)
Continual Process Improvements
Zero Defects
Application of Lean Tools
( AVCI- 9 steps)
9. LeanTool implementation in our company
• 5S
• On first day, we have removed absolute and
unwanted material and recovered Rs. 3,60,000/-
($ 6000/-) from the scrap
• Arrangement of raw material pick up by own
vehicle
• Total Flow Management (TFM)
• Visual Management
14. Roadblocks we faced and how we tackled it
No Type of Waste Issues Our action
1
Space and
cleanliness
We have space constraint on ground
floor
We have removed absolute
material and machineries
2
Transportation
of material and
worker
As companyhas 2 different
manufacturinglocations, Upper Floor
& Lower Floor. It is observed
considerabletransportof the
resources (material & worker)
We have shifted first floor
factory to ground floor
3
Inventory of
Rs. 3.25 cr
Companykeeps enormous amount
inventory to support its
manufacturingprocess.
This area has considerable
opportunity of improvements.
We have purchased ERP
software and reduce raw
material, semi-finished and
finished stock
4
Over
production and
man-power
utilisation
Separate machine shop and winding
department for 4” and 6”
submersiblepumpsets. Hence, man-
hour was wasted during off season of
each product.
We have combined
machine shop and winding
department for 4” and 6”
submersiblepumpsets for
utilisation of man-power in
both the department even
in off season.
5
Visual
Management
Pending order, late delivery, urgent
material requirement
Oldest pending order
board and
Urgent raw material
requirementboard
15. Visual onWaste Reduction
Two-bin system
Visual on Oldest Pending Orders and
Urgent requirement
Photographs after implementing Lean Manufacturing
16. Photographs after implementing Lean Manufacturing
Next-to-next process Material at work place with two bin system
Next-to-Next process Empty space on first floor
17. Dept. wise - 5S Score-card ScrapArea defined
Palette for C.I. Parts Weight with trolley
Photographs after implementing Lean Manufacturing
21. Ancillary Hub
Located only 1 Km away from our company
Six sheds are available exclusive forWATERMAN labour vendor
(Muda of Transportation reduced from 25 km to 1 km)
22. Major Benefits to our company through Lean
(Financial and Non-Financial)
• Smooth production flow
• Quick traceability of jobs, manpower etc.
• Multi skill manpower develop,
• Single point supervisory,
• Manage work-in-process (WIP),
• Small batch production,
• Space & man power saving,
• Reduced delivery time,
• Reduced rework etc…
23. Benefits
Sr.
No.
Parameter Before After Benefit
1
Production/
Productivity
1000 Pump (V3,
V4)
1200
Pump (V3,
V4)
Production
Increased By
20%
2. Space Utilized
6000 Sq. Ft. 2500 Sq.
Ft.
58% space
saving
3. Rework Reduction
Rework reduced by 30%, This has
increased the Throughputtime (TPT) by 8
to 10%
4. Manpower
185 150 Rs. 42 Lakh
($ 70,000)/
Year
5. TOTAL TPT
Total throughputtime has been reduced.
Earlier company was making 1000
pump/month(V3,V4). At present
production is of 1200/month. Hence,
production is increased by 20%.
24. Key Learning
Purchase & Manufacturing as per demand
Material & Information flow should be synchronize
5S is the fundamental
25. Strategy for Lean Sustenance
• Top Management commitment
• Training
• Faith on Lean Management
• Team for Lean
• 5S (Cleanliness) competition
• Motivation for Kaizen activity
• Audit