Lean Manufacturing
Situation
A building products manufacturer was suffering significant production delays and product quality defects causing obvious customer frustration and resultant decreasing revenues.
Task
INTEGRATED IMPROVEMENT was engaged to review the production process and identify opportunities to increase production throughput and product quality.
Action
In conjunction with production plant personnel, INTEGRATED IMPROVEMENT mapped the production process, identified the constraint points and production non-value adding activities and conducted a failure mode and effect analysis to identify the causes of the quality issues. An improvement plan was developed identifying approximately 60 activities to improve the throughput and quality of the process.
Visual management tools were developed to display real time production results and action plan progress.
RESULT
Production throughput increased 17% saving approximately $AUD 220 000 in new production line capital that was allocated to be spent that year to meet demand. Product quality improved from 74% of product within specification to 98% within specification (and a resulting decrease in waste produced). The workforce could see production progress at a glance and hence were constantly engaged in the continual improvement process.
Customer confidence in the organisation was renewed.