Reducing Leadtime VSM – Case Study

Leadtime Reduction & Rework Elimination

Business Objective

“the foundry has increased volume and we need to reduce Lead-times, Lower Work-in-Progress and introduce flow on our high volume products”

Current Situation and Background

The growth of the foundry as hit new heights with one customer becoming a key account at over 80% of the volume, with 4 products stepping into the repeaters category for the business. Lead-times are increasing and the SMEs Customer is wanting to raise the volume further whilst also wanting a reduction in leadtime.

First Phase is to analyse the business and understand the current situation from Order Entry through to Customer Delivery.

• Go Look and See the process.
• Process steps – sequence of work.
• Actual operation (VA / NVA)
• Transportation (conveyance)
• Storage (inventory)
• Inspection (quality control)
• Delay (material or process)
• Measurable:- time, distance, quantities.
• Information (process details and issues).
• Improvement Priorities

Analysis and Recommendations

A Value Stream Map was created to ascertain the following;

  • Process flow (how it’s made)
  • Material (is it push or pull)
  • Information flow (what to make and when)

Data Boxes were completed, recording- cycle times, change over times, OEE or Uptime, number of people, process step, etc. All Work-in-Progress within the system was logged and how planning interacted within the process from a people and systems point of view. All rework and subcon loops were mapped.

A complete picture of the Operations Systems Design:

• Demand and Capacity Management
• Scheduling
• Logistics
• Inventory Management
• Process Foundations
• Process Stability

The Leadtimes across Wax, Shell, Foundry and Finishing was analysed for opportunities, TAKT Time was calculated, along with Manning and Line Balancing.

Phase 1 – Implementation Priorities

Overall 27 Projects were highlighted for Implementation, some were categorised as “Just Go Do it’s” with a Top 5 prioritised for implementation immediately these include;

• Eliminate Rework
• Wax Capacity and Uptime Improvement
• Shell Capacity Improvement
• Finishing Cell (incorporating One Piece Flow, pull systems)
• Subcon Performance and Commercial Agreements

50% Leadtime Reduction Highlighted
75% Reduction in Rework

If you are looking to make improvements to your business let us know what you need to achieve by booking a return call at a time that best suites you “here”.

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