Download Hants Group - national productivity secretariat

Driving business growth through
Supply Chain practices
Nelun Anthony
Hants Group
Wattala
Sri Lanka
An ISO 9001:2008 certified company
Hants Group
Company Profile
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Year of Establishment – 1981
No of employees - 220
Major customers – Local/Exports
Main products – Polyurethane foam
mattresses/Expandable Polystyrene products
Our Vision
To be Excellent in everything we do
Our mission
To be a 1billion operation by 2017
• ISO 9001:2008
• Challenge
National Awards
• Enhance
Profitability
• Enhance financial
capability
Internal
Financial
Customer
People
• T &D
• Compliance
• Rewards night
Product
• Enhance market
share by 2017
• Evolve SC
• Diversification
What is a supply chain
Supplier
Information
Funds
Material
“As the economy changes, as the competition becomes more global,
it’s no longer company versus company but supply chain versus supply chain”
Harold Sirkin (VP, Boston Consulting Group)
Customer
Problem contents before
implementation
High cost of
production/distrib
ution
Loss opportunities
Inter /cross functional
departmental issues
Poor on timely
delivery
High Inventory of FG
Objectives of setting up
a one chain Supply Chain
By providing the merchandize at the right location at the right
time at the right price and right quality.
Cultural
Change
RFT
JIT
Reduced
inventory
Customer Satisfaction
Increased
OEE/Effciency
Reduced
system cost
Transformational Journey
Employee
Engagement
Capability
Development
Effective
communication
Top
management
commitment
Burning Platform
High % of machine Breakdown
Long lead time
Non availability of raw material on time
Reward &
Recognition
Supply Chain Dash Board
Employee
Happiness
Acceptable
Quality Level
Plant
efficiency/OEE
Customer
service level
Supplier
savings and
service level
Cost of
distribution
Capability development
• Problem solving
techniques
• Need based training
• TL development
Skill training record
Job Breakdown Sheet
Operation - Tape edge - HM 6/7 TT:
10min (Polylex) AQL : 98%
Trainee: Anton
Trainer: Rohitha
Date
Month of September
12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30
A. Basic Knowledge of machine
Parts & their role
Threading - Top & bottom / fixing tape
Tension setting
Setting table
Confidant in handling machine
Maintenance - Daily lubri: / Weekly
7
lubri:
8 Electrical
9 Routing maintenance / JH / Recording
1
2
3
5
6
B. Basic Knowledge on Accessories
Foam types vs mattress types (Spring
& all foam)
11 Mattress tape
12 Stickers
13 Labels
14 Ventilation
15 Handles
16 Fabric types / Quilted
17 Trim card
10
C. Measurement
Foam & assembled spring unit - before
finishing
Placement - Label & Stickers / Handles
20
/ Ventilators
18
C. Preparation for sewing
21 Reading job card
22 Selecting bundle
23 Fixing border panel
Stitching top & bottom panels + end
24
knot & with 2” overlap
Quality check - straight line sewing/ no
25
slips
26 Quality check - Corners
Quality check - fabric-foreign
27
matter/quilt
28 Fixing and quality check on accessories
Open door
communication
One to chat
Gemba culture
Meeting standards
• Family culture
• Build up an EBA
• Communication
at the place
Employee Involvement/Overlapping areas
between programs
TQM
TPM
Kaizen/QCC
5S
Continual Improvement
5S/Kaizen/QCC
Continual Impovement
TPM/TQM
Jishu Hozen- Autonomous maintenance
One point Lesson
TPM – RCO/SMED Rapid mould
change over
Benefits
Intangible
• Embracing cultural Change
• Empowerment of
employees
• Commitment of top level
management
• Creating awareness and
learning organization
• Pleasant working
environment
Tangible
• Reduction of inventory cost
from 67m to 49m
• Reduction of overhead cost
by 13%
• Improved lead time from 7
days to 3 days.
• Customer case fill on time
at 97%
Evolution of Lean Supply Chain
Unmask the hidden factory and Back office
Eliminate non value added activities
Seeing Waste – Improve Flow
Reduction LT from order to cash
Minimize inventory and reduce cost
5W 1H – ECRS frame work
Waste watcher teams - ownership
VSM
Standard
work
Lean Culture, Respect/Develop Genba’s idea and mentality
5S
Project Title:
Project Objective:
Reduce lead time in the
value chain from 5 days
to 3 days & reduce labour
Enhance capacity by 50% to meet the current demand
Reduce OT cost & eliminate muda in the value stream
No: of people: - 11
•No sense of takt time
•RM stock out days
•No smooth consumable flow
•Muda in the information flow
Stage 2 – lay out change
Spring unit
assembly
After
Sewing
flanging
Fabric
cutting
sewing
Spring unit
fabrication
Std work
ROL/BOM
Kanban
Packing
30
FG area
15
10
5
0
flanging
Capacity increase
Before
Av.time-7h/demand – 25Nos/day
25
20
Fabric
cutting
Line balancing
VSM
Despatch area
Before
Foam
slitter
Packing
cost.
Process: “Comfilux”production
TT -!6.8min
18
16
14
12
10
8
6
4
2
0
Anticipated Savings Potential
Production Volume USD29,531
increase by
200 mattresses
OT saving
USD 1,650
(9 associates) X 3h/day
Less 2 assocates
USD 2,438
Total
approx USD33,619
Our Dream
We want to be a world class company by 2020
Quality
Cost
Delivery