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Deployment Case Study

A Leading Electronics Solutions Provider

About the Company


An electronics solutions company providing comprehensive electronics design, production and product management services to global electronics and technology companies. Founded in 1966,today it has a revenue in excess of $11 billion with about 80,000 employees and has more than 50 facilities in 20 countries.

Background
Current Practices
Internal Quality Management System along with their global best practices standards to ensure systematic and well defined Processes Systematic handling of customer feedback through 8 discipline problem solving S t ti h dli f t f db k th h di i li bl l i Technique Tools like FMEA, Shainin DOE, SPC extensively used to solve problems Cost Reduction waves primary driver for improvements improvements.

Key Challenges

Increased Customer Expectations on reduced Lead Time Huge Growth and hence increased space need. Need to reduce cost due global slowdown Reduce Inventory carrying cost as transit time after dispatch was more than 30 days

The Journey.
Lean Training of Functional Managers & Line Leads g g
Provided basic understanding of Lean philosophy, fundamental and methodology to 20 senior managers and line leads Understanding & identifying Wastes & Variability in the system, elimination of which will benefit the business Going to the Gemba to understand the real problems and the need for primary data collection Use of simulation helps provide clarity and vision Key Decisions points
Identify CI manager to drive PEx Selected Personnel as Improvement Leaders Freeze Engagement Plan

Kanban Simulation

The Journey

Understanding the Current State

Mapping the Current State Value Streams

Sharing the Objective

Collect data C

Mapping the Value Stream M i h V l S

Details
Address staff and operators about p p p purpose of Performance Excellence j journey. y Collect Primary Data. Identify opportunities of improvement. Transportation Index Calculate Potential Financial benefits. Design Lean dashboard. g
Diagnostic Chart

> 5500 km/year

The Journey

Designing the Future State

Mapping the Future State Value Streams

Plan for Future

Freeze layout

Complete the VSM

Details
Work out options for the future. future Create a future layout Cardboard Engineering Complete the Value Stream Map of the Future. Identify quick win projects and plan implementation Plan for involving people in the journey

Savings Pie

Proposed Cellular Layout P d C ll l L t Business Objectives

The Journey

Pilot Implementation

Creating Model Areas and Quick Wins

Vendor Managed Inventory Arrested all Leakage, Spillage and Wastages of oil/water/air Balancing the line to improve Flow & productivity p p y

Immediate Results
Immediate savings of about 8 lakhs every quarter. Productivity increase of more than 50% Rejections due to missing parts reduced by 90% Created the initial momentum to set out on this journey Team members learning Problem Solving Skills

Introduce Kits to avoid missing parts gp

The Journey

Roll Out and sustenance

Rolling out Horizontally

160 opportunities identified and segregated as Just Do its, Workouts and Events

e-suggestion system

.the journey
Visible and tangible benefits (Potential as on date) in excess of 3 Crores for two product lines. Space savings of about 40% on the shop-floor Governance system to manage this initiative is in design stage. Excess capacity generation by 12%-15% for equipments. yg y e-suggestion scheme leading to improvements from all levels .. it continues

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