Optimization of the process and skill alignment holds the key to success in manufacturing. Supply chain and the customer demand influence and control the productivity of the manufacturing unit.
Universal solutions need not be adopted by every manufacturing unit. It is akin to a human body. The organs are the same, but the body behaves differently to the same exposures depending on the cultural, social, environmental and the brining up. The manufacturing unit is not just about the process and the execution of the set process. The human element can change the course. Eliminating the human element is not the ideal solution. The solution is more in using the human element to outperform. Detoxification in a running unit and right alignment in a new unit are critical.
It becomes important to set the process and align the skill sets available to tune into the objectives of the company. Turning around the manufacturing process requires more of the human expertise. Setting up the right process is relatively easy.
1. Hyva India Limited for manufacturing process optimization
Hyva a Swedish company had made a very successful launch of their products in India. Hyva specialises in Hydraulic cylinders. They are world leaders supporting the major commercial vehicles across the globe. In India, they started not just the hydraulic cylinders but also put up a fabrication unit to manufacture the Tipper bodies for the Cabin chassis manufactured by Tata and Ashok Leyland. They certainly had the expertise on the manufacturing of the hydraulic cylinders but streamlining the manufacturing of the tipper bodies had certain gaps.
The issues they faced after the success was delivery time and the quality as per Indian working conditions. The solution to this was in the process. The intervention required was just not in fine tuning the process; it was to get the spirit of performance right into every member of the team.
Our team interacted with every single worker of the factory made them discuss among them self on the various solutions available and realign to the right methods. Within six months, the detoxification and realignment was so strong that the contract workers and the vendors who came to the factory adopted the new ways without external intervention.
Seven months and the changes were clearly visible. Subsequent to our intervention in the Mumbai plant, Hyva adopted the process and methods in their Bangalore plant.Video attachment
2. L&T ECC Pondicherry unit – Process optimization and working capital reduction.
The working capital was six times the output. The solution was in the process and methods being adopted. The plant layout and how they managed the given inventory. Text book precision with practical experience brought down the working capital to one third as the recommendations were implemented.
3. BS Transcom
– High tension Power transmission Tower manufacturing plant with a production levelof 1300 tons per month but having a inherent capacity of 2600 tons per month. The company had plans to double the capacity but was not able to improve the present capacity utilization. The company had ordered new machinery for the expansion and had kept the whole plans on hold after the new machines arrived. We added an additional capacity of 2000 tons and brought the total production levels to 4000 tons in 10 months. Expansion from 1300 tons to 4000 tons per month.
Optimised supply chain management, Inventory control, finish goods management, quality controls, process improvement, focused approach, financial discipline with capacity expansion brought in drastic improvements in the output and delivery. The process of detoxification of the entire system was carried out. The various leaks and system indiscipline was curbed. The manufacturing cost per ton dropped by over 11%. Radical transformation of the plant: from complaint letters to appreciation letters from customers.
4. Ruby Bus – Manufacturing process creation and deployment.
The plant was running on very rudimentary manufacturing methods and practices. There was no proper tooling. The ‘process’ was as good as non-existent. The inventory was playing havoc with the delivery schedules. Finance management was just missing. Quality was just about managing the customer inspector.
The entire system was created keeping the strengths and short comings of the staff that was available. Over-night training or recruitment of the right staff was not possible in practise as well as moral and financial grounds. The process had to take care of these short comings.
Chinese designers for the jigs & fixtures were hired which would take care of the speed of delivery that was required and workout in the budgets available. The process created weaved in all the variants and strengths of the existing system.