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Using Value Stream Mapping As a Strategic Planning & Implementation Tool
- 1. Using Value StreamMapping as a Strategic Planning and Implementation Tool Frank Garcia Director, Engineering Services ADVENT DESIGN CORPORATION
- 2. Why Use VSM? Identifyareas for lean improvements Train team members in use of lean concepts Integrated lean implementation plan Long term planning
- 3. What We’ll Cover Whatis VSM? Basic Lean Concepts Developing Value Stream Maps: Current & Future State Implementing VSMs Using VSMs
- 4. Lean Manufacturing Fundamental Principleof Lean Manufacturing Any activity or action which does not add value to the product is a form of waste and must be eliminated or minimized.
- 5. Definition of Value-Added Value is added any time the product is physically changed towards what the customer is intending to purchase. Value is also added when a service is provided for which the customer is willing to pay (i.e. design, engineering, etc.). If we are not adding value, we are adding cost or waste. 90% of lead time is non-value added!
- 6. Waste or Opportunitiesfor Improvement Adds no value Adds only cost and time Symptom rather than cause Points to problems in value stream and process Need to address causes
- 7. The EIGHT Wastes Inventory(more than one piece flow) Overproduction (more or sooner than needed) Correction (inspection and rework) Material Movement Waiting Motion Non-Value Added Processing Underutilized People
- 8. FLOW & PULL Makethe value-creating steps flow Produce only what is needed If a process is not completed correctly the first time, it does not move down the line for additional work Eliminate re-work
- 9. Value Stream The valuestream is the set of all the specific actions required to bring a specific product (good or service) through the critical management tasks of any business: Information Management Transformation
- 10. Value Stream Map An Assessment Tool The value stream map follows the order path from beginning to end and shows a visual representation of every process in the order and information flows Shows how the shop floor or office currently operates Develops the foundation for the future state
- 11. Value Stream MapConcept Orders Production Orders Suppliers Customers Control Schedules I Process I Equipment Raw Cycle Finished Materials Times Goods Change Over Reliability Error Rate Lead Time File: VSM-A1
- 12. Using the ValueStream Mapping Tool product family current state Understanding how the shop floor drawing currently operates. The foundation for the future state. future state Designing a lean flow drawing plan and implementation
- 13. Who Develops theVSM? Team Approach? Better understanding of process & opportunities Provides training in Lean Concepts Feel ownership of VSMs Exchange of ideas More open discussion Takes more time
- 14. Who Develops theVSM? Engineer Collects Data and Drafts VSM? Takes less time Can be done with Management Team Can train on lean concepts & get buy in Less ownership by team and operators Less exchange of ideas within the company
- 15. Who Develops theVSM? Depends on the company culture and preference How much time can be devoted? Team Approach is most effective!
- 16. What Tools toUse to Make the VSM? Use Excel or Visio? Hand draw? Use AUTOCAD?
- 17. What Tools toUse to Make the VSM? Use Excel or Visio • Requires program knowledge • Easy to change • Can use templates • Easy to share & Hand drawn e-mail • Quick • Easy to present • Easy for teams • Difficult to change & copy • Harder to present Use AUTOCAD? FORGET IT!
- 18. product family Current State Map Understanding how the shop current state drawing floor currently operates. Material and information flows Future state Draw using icons drawing Start with the “door to door” flow Walk the flow and get real data * no standard times * draw by hand plan and Basis for the Future Sate implementation
- 19. product family Current State Map Corner Punch Recommended Data current state drawing 1 Operator Cycle Time C/T = 2 min. Future state Changeover time C/O = up to 30 min. drawing Number of People Rel. = 99% Scrap = 2% Available Working Time Acceptance or Reject Rate Equipment reliability or downtime plan and implementation
- 20. Value Stream Map(Current State) Blanket Annual Purchase Order with Daily Releases Production Control Randomly Placed (normally working Various Distributors Sheet Galvanized Sheet Galvanized Sheet Galvanized Sheet Galvanized Orders (normally 24 to 48 hours ahead (~ 24 for Smith Corp. & Steel (4’ by 8’ or cut) Steel (4’ by 8’ or cut) Steel (4’ by 8’ or cut) Steel (4’ by 8’ or cut) single unit orders) of ~ 6 for Jones Systems promised shipment) Average volume of 1000 systems per month in peak season. Customers are mainly distributors. There are a few dealers. Daily Daily Up to an average Daily Production Production of 130,000 lbs Shipping Daily Reports Reports daily in peak Schedule Shipments season In Straight Panel Dept. Shear Notch Specialty Punch Corner Punch Bend Stake & Label Add Z Brace Radius & Band Rack Shipping 1 Accurshear 1 Manual 4 Semi-Auto 3 Semi-Auto 1 Manual 1 Automated 1 Automated 1 Manual Table, Automated Notcher (S-23) Punches Punches Brake (R-7) Machine (R-8) Machine (ACR) 1 Jig-less Shear (P-3) & 1 Automated (S-1, S-2, & S-3) & 1 Automated Machine (R12), I Notcher (R-3) Brake (R-13) & 1 Jig Machine (R1) 2 to 5 days 1 Material 1 Operator 1/2 Operator 0 Operators 1 Operator 1/2 Operator 1/2 Operator 1/2 Operator 2 Operators 2 Operators depending Handler on pre-cut size C/T = 4 min. C/T = 2 min. C/T = 2 min. C/T = 2 min. C/T = 5 min. C/T = 2 min. C/T = 7 min. C/T = 8 min. C/T = N/A C/O = N/A C/O = 4 min C/O = N/A C/O = up to C/O = 30 to C/O = N/A C/O = N/A (average) C/O = N/A Rel. = 99% Rel. = 95% Rel. = 99% 30 min. 60 sec. Rel. = 99% Rel. = 98% to C/O = 2 to 30 Rel. = 100% Rel. = 99% Rel. = 90% 99% min. Rel. = 80% to 100% 2 to 5 Working Days, Lead Time 2 to 5 days 32 minutes, 4 min. 2 min. 2 min. 2 min. 5 min. 2 min. 7 min. 8 min. Value-Added Time
- 21. Future State Map Designing a Lean Flow Product family You always need a future state! Complete 75% & Keep Updating Current state drawing Consider Material & Information flows Foundation for your Work Plan - like a Future state “blueprint” drawing Begin by evaluating Current State 1st iteration assumes existing steps & equipment plan and Can move equipment, combine operations, implementation reduce scrap, etc.
- 22. Future State Questions What is the takt time? Will we build to shipping or to a supermarket? Where can we use continuous flow? (Single Piece vs Batch) Where do we have to use supermarket pull system? At what single point in the production chain do we trigger production? How do we level the production mix at the pacemaker process? SUPPORTING IMPROVEMENTS What process improvements will be necessary? (e.g. uptime, changeover, training)
- 23. TAKT Time Synchronizes paceof assembly to match pace of sales. Rate for assembling a product based on sales rate. TAKT = Effective Working Time per Shift Customer Requirement per Shift
- 24. Lean Manufacturing Concepts & Techniques Flow: Setup Reduction, Cellular Manufacturing, Batch Size Reduction, Visual Workplace, Layout Pull: Kanban Systems, Supply Chain Management, Point of Use Perfection: Quality Systems, Training
- 25. XYZ COMPANY FUTURE Brooks Test Eq. Compu Winston App. Parker- WEEKLY Sales Wire (Sheet Energy Hannif. FORECAST Forecast MFC Regulator PCB Metal) (Manif.) (cell) PRODUCTION Monthly CONTROLS forecast 5 top 2 wk. 2 wk. 2 wk. 2 wk. 2 wk. 2 wk. DAILY Orders CONSUMP. MRP SALES customers Avg. = 15/mo. Max = 25/mo. Daily as DAILY Dem. = 1/day needed ORDERS Orders = 5/mo. 1 unit/ day 14 Elemts. Daily as needed WETLINE 11 CELLS WIRE WIND ANNEAL SEAL FIFO FIFO RHODIUM CELLS ROD 7 elements PLATINUM CELLS GLASS per batch Subassemblies TUBE 1 model 1 ELEMENT CELL CELL CELL 1 model 2 CT = 3min. CT = 8min. CT = 7min. PREP. FIFO ASSY. FIFO SENSIT. FIFO DRYDWN 1 model 3 C/O = 5min. C/O = 1 h. 1 model 4 1 card per model Cell body UNIT ACCLIM. UNIT FINAL SHIP, INST. TEST ASSY, PACK CT = 8.5 h. CT = 40min. CT = 21h. CT = 2-7 days INSP. , Subassemblies 1 model 1 FIFO FIFO 1 model 2 CT = 0.75- CT = MFC MECH ELEC. LEAK CT = 15min. CT = 2-14 days CT = 32h. 1.25 h. 40min. SUBASSY. ASSY + TEST 1 model 3 FIFO FIFO 1 model 4 Reg. CALIB. 2-14 days 11 days PCB Rack 8 hr./day Module 20 day/month CT = 4 h. CT = 2 h. CT = 30min. Process time: 12-29d. Lead time: 67-84d. 0.5 mo 1 mo. 11 days 2-14 days 3 min. 8 min. 7 min. 8.5 h. 40 min. 21 h. 2-7 days 15 min. 2-14 days 32 h. 0.75-1.25 h. 40 min.
- 26. Complex VSM S T A N D A RD U N IT S – FU T U R E S TA T E SUPPLIER PURCHASING FORECASTS SHIPPING Unit PRODUCTION CONTROLS Avg. = 20/mo As As Schedule Order Customers Service Demand = 1 needed needed MACOLA SYSTEM Coordinator Estimate unit/ day Order Unit Work Service Order Order Paperwork 14 Elements REPAIR WIRE Sensitize Bag Wind Anneal Element (5u) Estimating Customer ROD 7 elements/ FIFO Prep. FIFO Seal PO batch GLASS TUBE CT = 5 min. CT = 3 min. CT = 8 min. CT = 217h. C/O = 5 min. C/O = 1 h. CT = 8.5 h. CO = 15 min. ACC = 40% Service CT = 7 min. Units 20% FIFO FIFO Initial Pressure Remove FIFO FIFO FIFO FIFO Test Leak Cell Calibration Clean Dry Install Release I Workbench Flush Down Cell Test 5u CT = 15m CT = 15m-1d CT = 15 min. CT = 15 min. CT = 10-31m. CT = 30m CT = 24-48 hr. 0.25 mo. CO = 15 min. CO = 10-15m. RA = !00% Repair Parts FIFO FIFO FIFO FIFO FIFO FIFO FIFO FIFO Dry down Assembly Leak Unit Final Gas Cap Tech QC Pack And Repair Drydow Test & Inspection Check & Test Paperwork Clean Ship n 1u CT = 15m (A) CT = 1.5h – 1d CT = 4h CT = 20m CT=5 min CT = 10min. CT = CT = 15m CT = 1-3 d CO = 10 m C/O = 10m 30min. CT = 10n-1h (R) C/O = 10m 8 hours/day 20 days/month Process Time: 3.1 – 7.9 days NOTE: Process and lead time based only on service unit path as shown in bold. Lead Time: 8.1 – 12.9 days
- 27. STANDARD UNITS FUTURE STATE VALUE STREAM MAP Standard Cells Supermarket Element Sensitize Prep 2 - 4 days Mechanical Assemlby, Electrical Install FIFO I Assembly, Calibrate, Purge Cell 14 days 4 to 8 hrs Pack, Ship Inspect Unit Final Test Drydown 2 -4 days Customers ? Unit/Day Process Time: 3 to 5 days Lead Time: 15 to 17 days
- 28. VSM Examples Current Stateto Future State
- 29. Value Stream Map(Current State) Orders Every 2 Weeks Production Control New Jersey Randomly Placed Andrea Aromatics Alanx Order as Needed Various Porcelain Orders (Various Sizes) (Scented Oils) (Shaped Stones) Customers (Round Stones) Average of 6,000 Stones per Day in Various Size Orders (8 to 20 case & 200 to 400 case range mainly) 30 Cans of Oil 59,000 Stones 50,000+ Stones Every 2 Weeks Every 2 Weeks Every 2 Months (via stringer) Bi- Weekly Daily Shipping Productio Orders n Daily Schedule Shipments Existing Work Cell Soak & Dry Packaging Labeling Cartoning Case Packing Shipping APAI Multiple Ameripack Manual Manual Automatic Batch Tanks Flow Packager I I I Stapler I I I up to 0 0 125 Cans of Oil 1 Operator 4290 250 1 Operator 1/2 Operator 1/2 Operator 90,504 1 Operator Stones 20,640 Round Stones stones Stones in WIP 49,000 Shaped Stones C/T = 25 - 65 min. C/T = 1 sec. C/T = 3 sec. C/T = 2 sec. C/T = 1 sec. C/O = 10 min. C/O = 5 min. C/O = 2 min. C/O = N/A C/O = N/A Rel. = 100% Rel. = 85% Rel. = 80% Rel. = 100% Rel. = 100% 27.4 Days Lead Time 11.6 Days 0.7 Days 15.1 days 65 minutes, 7 seconds 65 min. 7 seconds Value-Added Time
- 30. Value Stream Map(Future State) Orders Every Week New Jersey Randomly Placed Andrea Aromatics Alanx Monthly Order Production Control Various Porcelain Orders (Various Sizes) (Scented Oils) (Shaped Stones) Customers (Round Stones) Average of 6,000 Stones per Day in Various Size Orders (8 to 20 case & 200 to 400 case Bi-Weekly range mainly) 12 to 16 Cans 30,000 Stones 25,000 Stones Production of Oil Once a Once a Week Once a Month Schedule Week (via stringer) (large orders) Daily Shipping Orders Daily Shipments 4 Cases Existing Work Cell Soak & Dry Packaging Labeling Cartoning Case Packing Shipping APAI Multiple Ameripack Manual Manual Automatic Batch Tanks Flow Packager I I I Stapler I I up to 0 0 75 Cans of Oil 1 Operator 4290 250 1 Operator 1/2 Operator 1/2 Operator 30,000 1 Operator Stones 40,000 Round Stones stones Stones in WIP in a supermarket 25,000 Shaped Stones C/T = 25 - 65 min. C/T = 1 sec. C/T = 3 sec. C/T = 2 sec. C/T = 1 sec. type arrangement C/O = 10 min. C/O = 5 min. C/O = 2 min. C/O = N/A C/O = N/A Rel. = 100% Rel. = 85% Rel. = 80% Rel. = 100% Rel. = 100% with stocking levels by shape and scent Increase 10.8 Days 0.7 Days Reliability 5.0 days 16.5 Days Lead Time 65 minutes, 7 seconds 65 min. 7 seconds Value-Added Time
- 31. Value Stream Map(Current State) for Console & Accessories Assembly Order Twice Per Year (Blanket Orders) Daily Orders Randomly Placed Hardware, Labels, Equipment Orders (various sizes, Extrusion Sheetmetal Parts & Instruction Order as Needed Production Control Various typical is 2 to 3 units (Warner) (Havis-Shields) Manuals from Customers Various Vendors 98% external customers; 2% internal use. External customers are: 40% distributors, 40% end users; 20% outfitters 10,000 lbs As Required; minimum black vinyl As Required order via aluminum direct; anodizer rest via painters. Daily Daily Production Orders Reports Reduce order quantity and inventory amount by buying standard sizes and cutting to Assemble Kit & Pack Shipping fit at Company. Consoles & Daily Shipments Accessories ($375K monthly average) I I I Reduce inventory amount by $450K worth, 1 week, 6 Operators 2 Operators 0 1 Operator changing how extrusion is about 25 days up to (mainly extrusion) 1000 pieces bought and used. C/T = 5-10 min. C/T = 10-20 min C/O = 0 min C/O = 0 min. Rel. = 100% Rel. = 100% 25 days 5 days 0 30 Working Days, Lead Time 5 to10 min. 10 to 20 min. 15 to 30 minutes, Value-Added Time
- 32. The VSM Opportunity 10,000 lbs As Required; minimum black vinyl order via aluminum direct; As Required anodizer rest via painters. Daily Production Reports Reduce order quantity and inventory amount by buying standard sizes and cutting to Assemble Consoles & fit at Company. Accessories I I $450K worth, 1 week, 6 Operators up to Reduce inventory amount by about 25 days 1000 pieces (mainly extrusion) changing how extrusion is bought and used. C/T = 5-10 min. C/O = 0 min Rel. = 100% 25 days 5 days 5 to10 min.
- 33. Value Stream Map(Future State) for Console & Accessories Assembly Monthly or Bi-Monthly Orders Daily Orders Equipment Randomly Placed Production Control Orders (various sizes, Extrusion Hardware, Labels, Order as Needed Various typical is 2 to 3 units) (Warner) Sheetmetal Parts & Instruction Customers (Havis-Shields) Manuals from Various Vendors 98% external customers; 2% internal use. External customers are: 40% distributors, 40% end users; 20% outfitters 10,000 lbs minimum As Required As Required order via Daily anodizer Production Production Daily Reports Run Orders Request Production Run Request Extrusion Assemble Kit & Pack Shipping Cutting Consoles & Daily Shipments Accessories ($375K monthly average) Manufacturing I I Cells I $250K worth, 0 High volume 2 Operators 6 Operators 2 Operators 0 1 Operator about 15 days consoles & (mainly extrusion) accessories in a supermarket type arrangement C/T = 15 min. C/T = 5-10 min. with stocking C/T = 10-20 min C/O = 0 min C/O = 0 min levels C/O = 0 min. Rel. = 100% Rel. = 100% Rel. = 100% 15 days 0 2 days 0 17 Working Days, Lead Time 15 min. 5 to 10 min. 10 to 20 min. 30 to 45 minutes, Value-Added Time
- 34. The VSM Improvement Daily Production Daily Production Run Orders Reports Request Production Run Request Assemble Extrusion Kit & Pack Consoles & Cutting Accessories I I Manufacturing 2 Operators 2 Operators Cells $250K worth, 0 6 Operators about 15 days High volume (mainly extrusion) consoles & accessories in a C/T = 5-10 min. supermarket type C/T = 15 min. C/T = 10-20 min C/O = 0 min arrangement C/O = 0 min C/O = 0 min. Rel. = 100% with stocking Rel. = 100% Rel. = 100% levels 15 days 0 2 days 15 min. 5 to 10 min. 10 to 20 min.
- 35. How Do WeImplement the Future State VSM? Don’t Wait! Use future state VSM to highlight changes Break up the future state into loops Develop a VSM implementation plan Tie plan to business objectives Assign projects to team members to implement
- 36. VSM Showing ImprovementOpportunities Value Stream Map (Current State) Stamping Orders With No Plating or Heat Treatment (Potential Future State Changes in Red) Projected requirements Phosphor Bronze Omega Precision Beryllium Copper Randomly Placed Brass (30%) Order as Needed Production Control Various (30%) Orders (Various Sizes) (40%) 10 Week LT Vista Software System Customers 6 Mos. LT 4 Weeks LT 6 Weeks Reroll In Stock- 1 Week Review Work Schedule with Formal Production Average of Suppliers 1 mm pcs per day Control in Various Sizes Orders (2 to 13) Single Point Every Week Every Week Every Week of Control Weekly Production Weekly Shipping Schedule Pressroom List Manager Daily Shipments Average order = 208,000 pcs 252,000 strokes Pre-Control for Roll Changes Combine? •Lot Control Improvement Stamping •Handling Reduction Degreasing Packing Shipping Drying 10 to 24 coils 11 Stamping 3 times /week Manual Presses I 6 Operators I 1 unit I 1 Operator I Shipper 2 Baskets - Strip 50 to 70 20 to 40 Bins 1 Basket - Pieces 2 Hours 1 Day Racks to Run: 200-600pcs/min C/T = 2 Hr Strips 12 Weeks 100 to 125 C/T = .003 min/pc. Max 1000/Basket C/T =10 hr Auto Coils Visual Status Min 200/Basket C/O = None Bagging C/O = 4.5 hrs. = 30 Min Pcs. Rel. = 80% Standard Time of Presses 25,000 Pcs/Basket for Setup Setup Available: 590 min/shift Layout is C/O = None Adjustment Time Rel. = 90% a Problem Rel. = 95% 16.75 Days Lead Time 10 Days Sankyo 2 Days Reduce 1 Day to 12 Weeks + coil lead time Coil Feeds Cycle Time per average order 1.5day(avg) 2.25 Days 3.75 Days Value Added Time
- 37. Value Stream Map(Current State) Stamping Orders With No Plating or Heat Treatment (Potential Future State Changes in Red) Projected requirements SUPPLIER Phosphor LOOP Production Control Randomly Placed Beryllium Brass Bronze Order as Needed Vista Software System Orders (Various Sizes) Various Copper (40%) (30%) Customers (30%) 4 Weeks LT 10 Week LT 6 Mos. LT 6 Weeks Reroll In Stock- 1 Week Review Work Formal Schedule with Suppliers Production PRODUCTION Average of 1 mm pcs per day Control CONTROL in Various Sizes LOOP Orders (2 to 13) Single Point Every Week Every Week Every Week of Control Weekly Production Weekly Shipping Schedule Pressroom List Manager Daily Shipments Average order = 208,000 pcs 252,000 strokes Pre-Control for Roll Changes PRESS Combine? LOOP •Lot Control Improvement Stamping •Handling Reduction Degreasin Packing Shipping g Drying 11 Stamping 10 to 24 coils Manual Presses 3 times/week I 6 Operators I 1 I 1 Operator I Shipper unit 2 Baskets - Strip 50 to 70 20 to 40 1 Basket - Pieces 2 1 Day Racks Bins Hours to Run: 200-600pcs/min C/T = 2 Hr Strips 12 Weeks 100 to 125 C/T = .003 min/pc. Max C/T =10 hr Auto DEGREASE/PACK Coils C/O = 4.5 hrs. Visual Status 1000/Basket Min 200/Basket C/O = None Rel. = 80% Bagging LOOP of Presses Standard Time for Setup = 30 Min Pcs. (PACEMAKER) Setup Available: 590 min/shift 25,000 Layout is Adjustment Time Rel. = 90% Pcs/Basket a Problem C/O = None Rel. =Reduce 95% 16.75 Days Lead Time 10 Days Sankyo 2 Days 1 Day to 12 Weeks Cycle Time + coil lead time Coil Feeds 1.5day(avg per average order 2.25 Days 3.75 Days Value ) File: Omega VSM Current Loop) May 24 Added Time
- 38. Value Stream Map(Future State) Stamping Orders With No Plating or Heat Treatment Projected requirements Production Control Phosphor Randomly Placed Beryllium Using Vista Software Module Brass Bronze Order as Needed Orders (Various Sizes) Various Copper (40%) (30%) Customers (30%) 4 Weeks LT 10 Week LT 6 Mos. LT 6 Weeks Reroll In Stock- 1 Week SUPPLIER LOOP PRODUCTION Average of Daily Order 1 mm pcs per day CONTROL in Various Sizes Orders (2 to 13) LOOP Every Week Every Week Every Week Daily Shipments Coil Batch Shipping Bin Coils Degreasing Packing Shipper Stamping PRESS LOOP New Ultrasonic Cleaners DEGREASE/PACK LOOP Finished Goods (PACEMAKER) 1 Day 1 Day 1 Day 5 Days Lead Time 1day and Coil Lead Time 1 Day File: Omega VSM Future Loop) May 24
- 39. VSM IMPLEMENTAION FUTURE STATE IMPLEMENTATION PLAN & SCHEDULE SEQUENCE COMPLETION LOOP OBJECTIVES PROJECTS (PRIORITY) DATE (Mon./Yr) Supplier Loop * Develop pull system with suppliers 1. Review Weekly/Monthly Requirements With Suppliers 1 Sep-01 * Increase number of deliveries per week 2. Revise current blanket orders 1 Sep-01 * Reduce raw material inventory to match 3. Send daily consumption data to suppliers 2 Nov-01 4. Setup point of use raw material areas 1 Oct-01 Production Control Loop * Implement daily shipping schedule 1. Single point to schedule( shipping). See pacemaker loop. 1 Oct-01 * Work to schedule manufacturing based on shipping requirements 2. Daily production schedule by Operations Manager 1 Oct-01 3. Implement kanban loops as shown on future state VSM 2 Nov-01 4. Use MRP for materials forecasting 1 Oct-01 Element * Reduce lead time 1. Eliminate WIP between winding & annealing 1 Sep-01 Loop * Develop continuous flow 2. Implement supermarket for element prep and kanbans 1 Oct-01 * Develop pull system with element prep supermarket 3. Crosstrain element assembly operations 2 Dec-01 Module Assembly Loop * Reduce cycle time 1. Analyze process variance in environmental test 1 Oct-01 * Reduce variation in cycle time in testing 2. Analyze process variance in module drydown 1 Oct-01 * Reduce variation in cycle time in drydown 3. Implement supermarket and kanbans for cell installation 1 Oct-01 * Establish pull system with supermarket from cell installation 4. Crosstrain module assembly operations 2 Dec-01 * Reduce use of carriers 5. Analyze need for carriers vs. subassembly units 1 Sep-01 6. Analyze material handling reductions and layout improvements for element prep operations 3 Jan-02 7. Set up leak tested subassembly units in supermarket for final assembly 1 Oct-01 Pacemaker Loop * Reduce cycle time 1. Improve assembly methods in final mechancial assembly 2 Dec-01 * Establish pull system with supermarket from 2. Review design for manufacturing assembly improvements for (Unit Assembly/Shipping Loop) shipping tubing assembly 3 Feb-02 3. Consolidate inspection with final mechanical assembly or shipping/packing 2 Nov-01 4. Set up raw material suppermarket for final assembly 1 Oct-01 5. Crosstrain unit assembly operations 2 Dec-01 NOTES: 1. Conduct kanban and point of use training for plant personnel in 2001. 2. Priotities as follows: #1(Complete in 2 months), #2(Complete in 4 months), #3(Complete in 6 months) 3. Consider use of teams for implementation after training.
- 40. The VSM Cycle Assessment Recommended Set Up (VSM) Solutions Layout Cells Continuous Visual Improvement Automation Implementation Information DO IT! Plan Systems
- 41. Other VSM Applications OfficeImprovements Long Range Planning
- 42. Value Stream Map(Current State) for Equipment Orders Annual Forecasts & Quote Requests Monthly Releases Quotes Enclosures Hardware & Parts Order Entry, Element Material Order as Needed Production & Quote Status Various from Customers Various Vendors Inventory Equipment & Control orders Shipping Schedule Invoices As Required As Required As Required Production & Inventory Daily Reports Orders Build Assemble & Assemble & Final Shipping Elements Test Cells Test unit Assembly Daily Shipments I Cell & Subassembl Element 2 to 4 months Mechanical y 1 Operators Supermarket 1 Operators 1 Operator 1 Operator 1 Operator Subassembly Supermarke Supermarket t C/T = 20 min. C/T = 5 to 10 days. C/T = 6 to 9 days. C/T = 5 min. C/O = 0 min. Rel. = 100% Based on Tracer: 1 mo. 1 mo. 5 to 10 days 6 to 9 days 3 to 3.5 months, Lead Time 40 min 20 min. 5 to 10 days. 6 to 9 days. .75 to 1.25 hr 9 to 12 days, Process Time
- 43. Value Stream Map(Current State) Multi-Month Contract with Deliveries Arranged Approximately Every 2 to 3 Weeks Various Suppliers for specialty flours, 500 plus CONAGRA Production Control Daily Orders Placed seeds, eggs, butter, Weekly or Restaurants in (White Flour) by 4PM (Random Sizes) and other items Bimonthly Orders Manhattan, Queens, and Brooklyn Various size orders delivered on 23 Invoices and Route Sheets routes (early AM), 2 to Packing Supervisor routes (mid-AM), (not directly tied to and 10 routes (PM) Truck Delivery Weekly Production Schedule) Every 3 to 5 Deliveries Days Daily Productio n Packing Supervisor Shipments Prepares and Collates Bags I I Schedule Feedback on & Loading Checklist 3 Times per Day 7 to 10 Shortages 7 to 10 Days Days Aging Mix Prep Chunk & Scale Divide, Panning Proofing Oven Prep Baking Cooling Counting, Load & Ferment & Rest Round/Mold, Packing, Deliver Two & Rest & Bagging Six Flour Silos 23 Trucks Mixing One Three Two Dividers Five Eleven (70,000 lbs Chunking Four Rounders Manual Manual Manual 5 loaded Stations Scaling Proofers Ovens Two each) Stations Stations Two Baguette Machines I Slicers I at a time 1 to 8 1 to 9 0 Operators 3 Operators 1 Operator 3 Operators 4.5 Operators 4.5 Operators 0 Operators 4 Operators 6 Operators 0 Operators 12 Operators 23 Operators Hours Hours C/T = 4+ Days C/T = 15-60 C/T = 1.5 to 4 C/T = 15-30 C/T = 15-30 C/T = 15 min. C/T = 1.75 to C/T = 15 min. C/T = 0.25 to C/T = 15 min. C/T = 1 to 3 C/T = 20 min. C/O = N/A min. hours min. min. C/O = 0 7 hours C/O = 0 1.75 hours to 3 hrs hours C/O = 5 min. Rel. = 100% C/O = 1 min C/O = 0 C/O = 0 C/O = 0 Rel. = 100% C/O = 0 Rel. = 100% C/O = 20 min. C/O = 0 C/O = 5 min Rel. = 100% Rel. = 99% Rel. = 100% Rel. = 100% Rel. = 95% Rel. = 90% Rel. = 99% Rel. = 100% Rel. = 90% 1 to 8 hrs 1 to 9 hrs 0.25 to 0.25 to 4 15 to 60 min. 1.5 to 4 hrs 15 to 30 min. 15 to 30 min. 15 min. 1.75 to 7 Hrs 15 min. 1.75 Hrs 3 Hours 1 to 3 hours 20 min. Days
- 44. The VSM Opportunity Invoices and Route Sheets to Packing Supervisor (not directly tied to Production Schedule) Packing Supervisor Shipments Feedback on Prepares and Collates Bags 3 Times per Shortages & Loading Checklist Day Oven Prep Baking Cooling Counting, Load & Packing, Deliver Eleven I & Bagging I 23 Trucks Manual Manual Two 5 loaded Ovens Slicers 1 to 8 12 Operators 1 to 9 at a time 4 Operators 6 Operators 0 Operators Hours 23 Operators Hours C/T = 1 to 3 C/T = 15 min. C/T = 0.25 to C/T = 15 min. C/T = 20 min. hours C/O = 0 1.75 hours to 3 hrs C/O = 5 min. C/O = 5 min Rel. = 100% C/O = 20 min. C/O = 0 Rel. = 100% Rel. = 99% Rel. = 90% Rel. = 100% 1 to 8 hrs 1 to 9 hrs 0.25 to 0.25 to 15 min. 1.75 Hrs 3 Hours 1 to 3 hours 20 min.
- 45. Value Stream Map(Proposed Future State) Multi-Month Contract with Deliveries Arranged Approximately Every 2 to 3 Weeks Various Suppliers for specialty flours, 500 plus CONAGRA Bakery seeds, eggs, butter, Weekly or Daily orders placed Restaurants in (White Flour) Production Control and other items Bimonthly Orders by 4pm Manhattan, Queens, and Brooklyn Various size orders delivered on 23 routes (early AM), 2 routes (mid-AM), and 10 routes (PM) Truck Delivery Weekly Every 3 to 5 Deliveries Daily Daily Shipping Days Production Schedule Schedule Integrated System using with Invoices, Route Windows-based Software Sheets and Pre-Printed Bags Shipments I I 3 Times per Day 7 to 10 7 to 10 Days Days Go to Product Family Production Increase Area Available for When Building 2 Becomes Available Staging and Loading in Building 3 & Truck Parking Area Aging Mix Prep Chunk & Scale Divide, Panning Proofing Oven Prep Baking Cooling Counting, Load & Ferment & Rest Round/Mold, Packing, Deliver Four & Rest Eleven & Bagging Six Carts Flour Silos Ovens 30 Trucks Mixing One Three 2 Dividers Five Spiral (70,000 lbs Chunking Four Rounders Manual Manual Roll Tunnel 10 loaded Stations Scaling Proofers Two each) Stations Stations Two Baguette Machines Oven Cooler I Slicers I at a time 1 to 8 1 to 9 0 Operators 3 Operators 1 Operator 3 Operators 4.5 Operators 4.5 Operators 0 Operators 4 Operators 6 Operators 0 Operators 12 Operators 23 Operators Hours Hours C/T = 4+ Days C/T = 15-60 C/T = 1.5 to 4 C/T = 15-30 C/T = 15-30 C/T = 15 min. C/T = 1.75 to C/T = 15 min. C/T = 0.25 to C/T = 15 min. C/T = 1 to 3 C/T = 20 min. C/O = N/A min. hours min. min. C/O = 0 7 hours C/O = 0 1.75 hours to 3 hrs hours C/O = 5 min. Rel. = 100% C/O = 1 min C/O = 0 C/O = 0 C/O = 0 Rel. = 100% C/O = 0 Rel. = 100% C/O = 20 min. C/O = 0 C/O = 5 min Rel. = 100% Rel. = 99% Rel. = 100% Rel. = 100% Rel. = 95% Rel. = 90% Rel. = 99% Rel. = 100% Rel. = 90% Increase Oven Designated Reliability Add a Roll Staging 1 to 8 hrs Counter 1 to 9 hrs 0.25 to 0.25 to 4 15 to 60 min. 1.5 to 4 hrs 15 to 30 min. 15 to 30 min. 15 min. 1.75 to 7 Hrs 15 min. 1.75 Hrs 3 Hours 1 hour 20 min. Days
- 46. The VSM Improvement Daily Shipping Daily Schedule Production with Invoices, Route Integrated System using Schedule Sheets Windows-based Software and Pre-Printed Bags Shipments 3 Times per Day Go to Product Family Production Increase Area Available for When Building 2 Becomes Available Staging and Loading in Building 3 & Truck Parking Area Panning Proofing Oven Prep Baking Cooling Counting, Load & Packing, Deliver Eleven Carts & Bagging Ovens 30 Trucks Five Spiral Manual Manual 10 loaded Proofers Roll Tunnel Cooler I Two I Oven Slicers at a time 1 hr 1 hr 4.5 Operators 0 Operators 4 Operators 6 Operators 0 Operators 12 Operators 23 Operators C/T = 15 min. C/T = 1 hr C/T = 15 min. C/T = 1.75 to C/T = 15 min. C/T = 0.25 to C/T = 20 min. to 3 hrs C/O = 5 min C/O = 0 7 hours C/O = 0 1.75 hours C/O = 5 min. C/O = 0 Rel. = 90% Rel. = 100% C/O = 0 Rel. = 100% C/O = 20 min. Rel. = 100% Rel. = 100% Rel. = 90% Rel. = 99% Increase Oven Designated Add a Roll Reliability Staging Counter 1 hr 1 hr 0.25 to 0.25 to 15 min. 1.75 to 7 Hrs 15 min. 1.75 Hrs 3 Hours 1 hour 20 min.
- 47. VSM & FacilityPlanning Newtown Current State Value Stream Map (Items in Red are Future State Changes) Various Suppliers OPP & PE PVC Corrugated Cores, Ink Daily Orders Customer Bensalem Plant Supplier Supplier Plate Mtls., Film Production Orders Newtown Sales Control Sys Pro System Daily Orders 1 Time 1 Time 3 Times 3 Times every per per per Day 6 weeks Week Week I Blanch Rd. Warehouse 5 days Daily Schedule Daily Daily I Blanch Road Warehouse 15,033 sq. ft. 2 to 3 Weeks I Ink Ink Trailer 1 Week Fi ni sh ed CONVERTING PE Sleeve I G Conv./Pack oo d I Flam. Locker 4 Machines s Plates Rolls 2 Days I 8 Operators Newtown C/T = 4.4 hr Staging/Receiving Image Setting/ Composition Plate Making Plate Mount Press Rel = ? 2 days Proof Neg Stanford 4 Presses Splicer Slitting C/O = ? 1 Shift I 3 CS rep. 2 Stations 1 Operator 1 Operator Dupont Cyrel I 2 Operators I 16 Pressmen I 1 Machine 1 Machine OPP 1 Day 3 Operators 6 Operators Customer 16 Helpers 3 Operators I 3 Operators Wrap Around 23 Pallets Approval 2 Trailers C/T = 6 hr. CT = 5 min CT = 1 hr. C/T = 4.5 hrs C/T = 1.5 hrs C/T = 3.5hr C/T = 1.8 hr C/T = 1.3 hrs 48 hr 1 Shift Rel = ? 8 hrs. Rel = ? 2 Days Rel = ? 8 hrs Rel = ? 1 Shift 3 Shifts 3 Shifts C/O = 1.3 hr C/O = ? hr C/O = 1.5 hrs PVC Tuber PVC Rewind 3 Shifts 3 Shifts 3 Shifts 1 Machine 1 Machine Average Order: 6 color/80,000 ft. I 3 Operators 3 Operators 8 hrs C/T = 2.4 hrs Rel = ? C/O = ? hr 4.4 hrs 3 Shifts 3 Weeks 2 Days 8 hrs 2 Days 8 hrs 8 hrs 1 Day 5 Days 6 hrs 1 hr 4.5 hrs 1.5 hrs 3.5 hrs 1.8 hrs 1.3 hrs 2.4 hrs Total Lead Time = Rev. 3 29.5 to 31.5 Days
- 48. Value Stream Mapping Helpsyou visualize all production flow Links the material and information flows Identifies short & long term opportunities Provides a blueprint for improvement implementation Ties together lean concepts and techniques Great communications tool
- 49. Bill Chesterson CEO Automation & Product Design Advent Design 215 781 0500 Ext: 203 Corporation bill.chesterson@adventdesign.com 925 Canal Street Tom Lawton President Bristol PA, 19007 Contract Manufacturing 215 781 0500 Ext: 202 (P) 215 781 0500 (F) 215 781 0508 tom.lawton@adventdesign.com www.adventdesign.com Frank Garcia Director Planning & Productivity 215 781 0500 Ext: 207 frank.garcia@adventdesign.com