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Success Stories

Following projects are some of our actual cases:


Factory Planning:

ü  Overall layout planning and infrastructure of the new plant

ü  Relocated of the plant successfully

ü  Innovative layout planning of production lines to improve the flexibility (> 50%)

ü New layout design to save labor costs for CNY 2.8 million per year

ü  Use of lean thinking on the production line planning (a stream, U-shaped line, KOSU management)

ü  Establish a package of TS16949 systems for a metal processing factory


Capacity Improvement

ü  New capacity concept based on IE and TOC to help the client to avoid one-billion-dollar investment in fixed asset

ü  Establish a whole set of capacity evaluation system for different industries

ü  Enhance productivity by fixture design: a 66% increase of daily production

ü  Enhance the assembly line productivity through continuous improvement activities, direct labor cost savings of about CNY 60 million / year

ü By using automatic spectral detection equipment in IRBF production lines, the time for producing one piece of product decreases from 7 seconds / piece down to 2 seconds / piece, breaking the bottleneck and resulting in an increase rate of 71%for productivity

ü Providing advice on the automatic turn for the surface coating equipment, which improved the coating cycle time from 256 min to 200 min, and the accumulated saving on investment equaled to 1.2 machines (coating machine is about CNY 10 million each)


Cost Reduction:

ü  Reduced tooling cost by 20-50% by localization

ü  Savings up to 30 million / year by reducing the indirect material costs

ü  Establish standards for usage of indirect materials to reduce the scrap rate by 40%

ü  Complete headcount benchmarking project among four plants 365 headcount potential saving

ü  The introduction of new materials reduced the cost by 27%

ü  Reduce the production lead time by 50% -80% with IE and TOC


Software systems:

ü  Plan enterprise information systems

ü  Establish production efficiency system

ü  Build equipment information systems

ü  Production scheduling system(planning staff can complete the scheduling within 5 minutes)

ü  Develop operation training system

ü  Secondary development for ERP system

ü  Improve and optimize the supply chain (including EOQ, information management, inventory optimization, etc.) with TOC and IE theories

Industries involved

Cases

Part detailed case refer to Hands-on Case in [EMT Perspective]


Solutions for production scheduling with shared equipment and fixtures

S is a semiconductor company. One product was deemed as a benchmark for production capacity. The other products would be assigned an equivalent amount as compared with the benchmark product, which is, however, only an approximate estimate as there is significant difference in working hours between different products. What is even more troublesome is that the production process is long and overlapped in the sense of sharing equipment. Molds are used in several processes, and different molds may be shared in different processes. Even the bottlenecks for different product mixes may be different. There are hundreds of product models, and the product mix may change every week or even every day. Under the situation that the mix of hundreds of different product models may change every week or even every day, whether to accept the new order or not, is a most troublesome question for the product planning department. Accepting the order means accepting the commitment that the order must be completed on time. The production department must report to the headquarters every Thursday. The main production planners usually ask questions like“ How much spare capacity do we have, and how many products B can be produced from the capacity? If we suspend to produce 50k of product A, how many product B can be produced from the saved capacity?” These questions seem simple but are of extreme importance. However, the production planner usually cannot make the answer immediately, or spent a day to make an unsure weekly schedule with certain protection capacity retained. As an usual case, although the planners may spend days to adjust the plans, they are still powerless against the changes.

We use the methodology of IE to further refine the productivity analysis, collected and nominated detailed information of the equipment and fixtures, integrated the capacity of all shared resources, set the parameters for each process, and create the priority of each process regarding the selection of equipment, optimize the algorithms of priority by operational research, and finally establish the production capacity and capacity system. After the plan data are entered in the system, the utilization rate of equipment and fixtures would be automatically calculated, the bottlenecks for all scheduled products would be found, and there would be automatic reminders once the preset limits are exceeded. Therefore, after adoption of the capacity and scheduling system, the scheduling of shared equipment and molds, which required almost a day to reach an unsure solution, can now be well solved within confidence within 3 minutes. Meanwhile, abnormal conditions can also be preset into the system for consideration, e.g., when the equipment or fixtures are under maintenance or have malfunctions.


Solution for scheduling of shared materials

Shared materials which appear existing but actuallyare missing: Company D is a mechanical assembly company, the production process of which is not complicated and is initiated by orders. Different raw materials may require different procurement time and sometimes, the materials in the inventory list are shared by various production processes. Therefore, it may appear to the production planner on ERP system that there is no shortage of materials for each order, which, however, actually existed and would not be revealed until the production planning for all orders were completed. In one case, the order amount is 1000 for product A, 1100 for product B, and 900 for product C. The production of the three products all requires the material 1#, the procurement cycle for which is 3 months. The stock of the materials 1# is 2000, which is adequate for the production of either product A, B or C according to the ERP system.

Product

Order

Required amount for material 1#

Stock of materials 1#

Material adequate or not

A

1000

1000

2000

Yes

B

1100

1100

2000

Yes

C

900

900

2000

Yes

Total

3000

3000

2000

No

However, in fact, the stock of material 1# can only satisfy the need of A + C or B + C. The scheduling may not be too difficult for production planner when only one material is shared by different products, and can be easily decided according to the priority of orders. However, it would be much more difficult if there are several or even dozen’s of materials are shared by different products.  

To solve the scheduling problem about shared materials, we preset the rules of scheduling with IE concepts, integrated IT software as well as secondary development of ERP with more restrictions, and finally realized an automatic scheduling of production.


KaizenBliz (continuous and rapid improvement)

In a Kaizen Bliz (continuous and rapid improvement) project for a multinational enterprise, four plants were run according to different processes of the production department. Both integration and division of production exist during the project. Project members were assigned to 5 groups. Every morning, each group received the task of the day together, completed their task separately, and concluded the day before off work. It took only 8 days for them to complete the training of new concept, confirm the field data, and propose the measures for improvement. It is even more incredible that more than 100 pieces of suggestions for improvement were received within 2 weeks’ time. Due to the project, all plants made continuous efforts to approach the goal of improvement, resulting in healthy competition among them. Besides, all participants involved received unprecedented training experience, and six years later, they said it was still one of the most profitable projects for them.