Customized Lean Case Studies

Author Gu van Rhijn
Abstract Supplying more products with the same number of people by making the primary process smarter and through a smarter product design: implementation of Lean and Flow Factory at Biddle, The Netherlands in several steps: demand flow and lay out in fabrication (puncing, bending, spot welding, coating parts), flexibel assembly flow lines and workinstructions,
Keywords demand flow, pull, factory lay out, assembly cells
Anonym Nein
Company name Biddle
Company address Kootstertille; www.biddle.nl
Company country The Netherlands
Line of business Electronic And Other Electrical Equipment And Components, Except Computer Equipment
(Approx.) yearly turnover 5.000.000€ - 25.000.000€
Number of employees 50 - 100
Percentage temporary workers 0% - 5%
Principal range of products Product types plus customer-specific variants
Major product quantities Small batch production
Principal type of production organisation Cellular manufacturing
Who was the trigger / customer of the project? Managing Director
Project Type Flow, factory lay out and workstation design
Lean is already fully established Partly True
What was or is the main trigger to implement Lean? Reduction in lead time
Case Study

Approach:

1. Preparation: overall awareness and introduction of demand flow and lean

  • Involvement of employees in working sessions, training and implementation

2. Groupsessions fabrication (operators from puncing, bending, spot welding, coating parts)

  • process map (value stream map)

  • current lay out and material flow

  • assessing examples of waste

  • from push to pull

  • improved lay out and workstation design

  • implementation (lay out, kanban, workstations, maximum buffer, carriers)

3. Groupsessions assembly (involvement of operators, engineering, proces engineering, management)

  • assembly process scheme for a number of products
  • improving product design (design for assembly)
  • definition of celluar assembly flows (based on product mix, expected numbers of products, demand )
  • design of each assembly cell (product carrier, material location, racks, handling of heavy parts, in process Kanban,  testing)
  • design of workinstructions
  • implementation on the shop floor
Top 1 waste Waiting
Top 2 waste Inventory
Top 3 waste Transport
Starting Situation

  • Traditional structures and lay out (functional)

  • Very disorganized workspace

  • Too much (intermediate) material buffer stocks

  • No experience with Lean Management

  • Long lead times

  • Manufacturing by batches (push)

  • material handling (physical load);

  • searching for parts

  • unplanned overtime work (stress)
Evaluation
  • Increase of turnover by 40% (same amount of employees)

  • Reduction of change over time:

  • flexible production of small sized batches,

  • lower work in process

  • Production is less hectic, no need for overtime work during busy periods (saving  up to € 15.000 per year).

  • 2 FTEs fewer are needed during pre-processing

  • 25% fewer assembly hours per machine

  • Reduction of WIP of around €100.000

  • ROI of one year

  • Reduction of physical load

  • Communication between engineering and production: Design for assembly and work instructions

Production Manager (Biddle): “The demand flow project has changed the organization of our production enormously, from a traditional production company to a demand-driven production environment. This has significantly increased the involvement of the production employees, because they have to consider their internal customer during the process – that is, the next stage in the process. The first step is to optimize supply for your internal customer, followed by optimizing your own work environment – that raises the interest of employees in the work processes, and therefore their motivation. Lean is not just for production, but actually for the entire order preparation trajectory, including the supply chain.”