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Valcon – The ”How” Management Consulting Company
Customer Experience Management - Winning the Customer
Operational Excellence – Lean management
Commercial Excellence – The Price & Service is Right
Strategy & Organisation – Being First
Valcon is a ”hands-on” management consulting firm creating lasting
footprints by focusing on areas where high impact on results are crucial
to establish a long lasting competitive advantage for their clients.
Valcons expertise are cross-functional and offers integrated solutions to
complex challenges and situations.
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Valcon’s Operational Excellence Services
LEAN MANUFACTURING
SUPPLY CHAIN
TRANSFORMATION STRATEGY & ANALYSIS
PERFORMANCE
MANAGEMENT
TURNAROUND
PROCUREMENT
EFFECTIVENESS SALES EXCELLENCE
LEAN FINANCE & ADM
Unødige
prosesser
Ansvarsskift
Avbrytelser
og info søk
Over-
servicering
Ventetid
Oppgaver
i kø
Feil
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Some of our Operational Excellence “footprints”
Global Manufacturing & Distribution Strategy, Lean implementation
New Scandinavian SCM organization. Forecasting and planning, Procurement
Nordic/Baltic integration (organisation, processes, performance management)
Joint distribution CDK/CCDK. ABC/PM on SC processes, Lean/TPM implementation
Global Distribution Strategy. ABC. New SCM organization, Turn-around in OEM division
Global Supply Chain restructuring project. Forecasting. ABC
Lean/TPM implementation, Supply Chain optimisation, ABC on Operations
Supply Chain strategy and implementation, Cost reduction programme
European Manufacturing & Distribution Strategy
Lean implementation. Restructuring of Parcel business and distribution network
Lean SCM strategy and procurement assessment
ABC on Sales, R&D and Operations
Supply Chain Management/ Lean logistics, Profit improvement project
Prognosis tools for inventory management, LEAN
Accelerated inventory reductions
and a procurement project
Global Supply Chain analysis
ABC on operations. Global SC strategy
LEAN, Supply Chain strategy
Review of Operation Strategy, Forecasting
Supply Chain Strategy. Sourcing, Forecasting. ABC.
Supply Chain strategy, Lean enterprise, Procurement
Production Strategy, ABC, Supply Chain development
LEAN Manufacturing implementation
Inventory Management model, Warehouse structure planning
Sales & Supply Chain optimisation
Strategy, LEAN, Profit Management, Sales Excellence, Inventory reduction
Warehouse structure planning, Inventory planning tools, LEAN
Supply Chain cost analysis & Sales practice integration
Global Manufacturing & Distribution Strategy, Lean implementation
Global Manufacturing & Distribution Strategy, Lean implementation
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The challenge
Implement a new and improved Lean production line for major mattress group.
How do you increase capacity and efficiency at your factory?
For the group, a entirely new concept based on Lean automation principles was the answer.
Issues:
Lack of space.
Work at the factory was marred by poor flow and interaction.
Poor overview of how things were progressing.
The percentage of errors in production specifications was too high.
Quality defects too frequent.
Raw materials were not always ordered in due time, leading to further interruptions in production.
Lead time was to long, generating a lot of WIP
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Six products with forty variants are run on one line
IKEA
IKEA Tjøme IKEA Tafjord
IKEA Tveit
IKEA Torod IKEA Tårsta
IKEA Trandal
Flatpacked
Visco elastic
7 cm
Flatpacked
Latex
7 cm
Rollpacked
Latex
Innercover
5 cm
Rollpacked
Foam
5 cm
Rollpacked
Foam
4 cm
Rollpacked
Polyfiber in quilt
2 cm
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Satisfactory basic Lean set up in factory before improvement:
Max capacity: 750.000 pcs on 3 shifts with over 130 persons
A lot of manual handling and transportation with forklifts and dollies
Lead time 72 hours or longer
To much poor ergonomics lifting heavy products etc
A lot of work in progress
Work centre concept – factory within factory
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Lean was implemented already without full impact.
The factory has been working with basic Lean for 4 years, without good impact
Implemented 5S, Kaizen
Kan Ban systems, SOP
Dedicated Lean team with 3 persons
Implemented visual management systems
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Valcon introduced Lean automation approach
Analysis
• Detailed analysis of process
materials and finished goods
• Process analysis
• Automation analysis
• Value stream mapping:
product, material, information
• Waste analysis
• Time studies
• Tact time / work balance
• Simulation
Training and coaching:
• Lean production principals
• Performance Measurement
Design
• Continuous flow in sewing
production lines
• High level of automation
• Lean supply chain model
• 5S concept enhanced
• Quality control and SOPs
• Performance Management
KPI concept real time
• Lean organization Model
Implementation
• RFQ tender process
• Evaluation and bidding
• Hands on implementation
• High degree involvement -
Management and Shop floor
workers
• Install solutions
Continuous
improvement
• Kaizen events
• Lean meeting structure
• Communication tools
• Performance measurement
Boards electronic
• Improved automation
• Improvement logs
• Deviation system
• Lean management tools
10 months from start to finish
Training and coaching:
• Performance Measurement
• Tact time /line optimization
• Teams
• Lean principals: Shop Floor
Training and coaching:
• Performance Measurement
• Communication tools
• Kaizen
Training and coaching:
• Continuous flow
• Tact time and work balance
• RFID robotics
• Quality assurance and SOPs
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Increase productivity by minimum 20%
Introduce high degree of automation
Add full traceability to products
Improve quality of products
Better work environment and minimal forklift traffic
Overall project objectives
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Lean automation gave considerable impact:
Area Before Improvement Results
Capacity: 1 million pcs on 3 shifts with less than 130 persons 750.000 >130 FTE + 250.000 >130 FTE > 30%
Lead time reduced from 72 hours down to 3 hours 72 hours - 69 hours 96%
Work in progress from 24 hours down to 1 hours work 24 hours - 23 hours 96%
Automatic packing and robotized palletizing Manual Ergonomics > 30%
Work centre concept enhanced to total integration Buffers between Integrated > 30%
Automatic handling and transportation with conveyors Trolleys+ forklift Automatic conveyors > 30%
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Advanced IT tools with RFID was necessary to control the system
Deliver
forklift Quilting
Report: Material
delivered
Stock
Finished
Goods
Assigned
location
APP M3 (MOVEX)
Daily production planning
Release MO
Release material picking
list with bar code
Stock
Borders
Wool
stockinet
Pick
lists
MO
foam
prun
MO
Foam dep Foam
Cutting &
gluing
Day -1
Foam cutting MO
Material requirements
Eton select
Planning sewing and assembly
Import MO
Detail prun
Border
sewing
RM
warehouse Tics
Fillings Latex
Fiber
Other
Day 1
Deliver material
Start production
prun
Sewing Assembl
filling
Line controller PLC
Control RFID foam pallets,
Packing, Palletizing robots,
Pallets, labelling pallets
Foam pallets
With RFID
assigned
Foil
Packing
Robot
palletizin
3 labels
apply
RFID
database
Label
pallet
Pallet
Conveyor
PLC
Report: FG pallet
Assign location
Update WMS
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Automatic pick-up from quilt machines to overhead conveyor
Light tables with in line quality assurance and check
IT system line controller informatics tools to reduce overproduction
RFID and Barcode textile tracing to end customer
Example of Lean automation: Quilting process transformation
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Automatic transportation and handling using overhead conveyors
Improved ergonomics
Improved flow
IT tools to manage and balance workstations
Example of Lean automation: Sewing process transformation
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Automatic foam and Latex handling by the conveyor system and robots
Automatic cover transportation and faults handling
Automatic RFID labeling and tracking of products and raw materials
Example of Lean automation: Assembly process transformation
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The most “difficult” and heaviest job is now fully automatic.
Example of Lean automation: Packing & palletizing process transformation
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Automatic process balancing for each workstation
Automatic transportation in whole system
Informatics support with process supervising and managing
Shorter internal lead time gives higher flexibility
Example of Lean automation: Improved flow and balancing using IT tools
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Collecting and store data in one unique RFID tag about:
Raw material, source which supplier and suppliers batch numbers
Monitor flow trough all of the workstations
Identifying products through the production process and in warehouse
Example of Lean automation: Product traceability & identification by
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Increased quality check on quilting machines using light worktables
Using RFID tags to deliver more accurate data to define problem areas in whole process
Using robots to add repetitiveness in packing and palletizing process
Using conveyors thus reducing the risk of damaging covers and foam in the transportation process
Example of Lean automation: Improved quality by
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Summary of successful Lean automation
Automation of internal transportation of foam and covers
Automation of all „heavy lifting” jobs, especially in packing area
Reduced non-value added time in whole process
Improved ergonomics
Introducing KPI performance measurement and visualization system
Improved flow and production control
Reducing lead time from 72 hours down to 3 hours
Reducing WIP from 24 hours down to 1 hours work
The project increased productivity by
0 0,5 1 1,5 2 2,5 3 3,5 4 4,5
Before
After
Units per man-hour
Over 30% increase in
productivity
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Agile manufacturing is the future
What is Agility?
Agile = Quick moving, Active, Quick, Brisk, Sprightly, Nimble
"For a company, to be agile is to be capable of operating profitably in a competitive
environment of continually, and unpredictably, changing customer opportunities."
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Agile manufacturing is the future
"Agility is a name. It's a name for the reorganization of production, adapted to distinctively new
market forces that have undermined the mass production organization of business that has
dominated the 20th century. These new forces include:
Intensifying global competition
The fragmentation of mass markets into niche markets
Cooperation among companies, including companies that are direct competitors
Evolving customer expectations toward individualized products, and expecting much more
than reliability as quality.
Break with mass production; emphasis on mass customization.
Greater flexibility for customized products
Scope is enterprise wide
Formation Virtual enterprises
Emphasis on thriving in environment marked by continuous unpredictable change
Acknowledgement and attempts to be responsive to change.
The organization of business in a way that is adapted to these new market-place forces is what
we call agile.