Client Case Study: Optimized Operational Efficiency for an Electric Motor Manufacturer

Introduction

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In February, March and April of 2024, a transformation project was performed at the Island Components (IC) Facility in Hauppauge, NY.?

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It is the first project Innovative Transformations, LLC. completed as a consultant for the Long Island Manufacturing Extension Partnership.

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This case study presents the integration of two pivotal phases from the Zen Sales to Shipments system into our client’s business procedures, yielding a notable enhancement in operational productivity.

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Tasked with elevating the daily production from 75 to 120 pieces for a key Island Components customer, our consultant conducted a thorough analysis and refinement of an existing department cell at their Hauppauge facility.

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Island Components Group was formed in 1992 with the goal of becoming a premier supplier of electric motor and actuators.

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Through a strong foundation in engineering the company quickly gained the reputation as a key motor design center.

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With the addition of a strong manufacturing team shortly thereafter, the company transitioned into a turnkey motor producer with extensive design, manufacturing and testing capabilities supporting mainly high-end military and aerospace applications.

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In 2017 they added space processes and qualifications to their capabilities and expanded into the space marketplace.?

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In November of 2021, G.W. Lisk acquired Island Components Group (ICG).?

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Pre-Transformation Scenario

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The client's department, initially layed out in a quadrangular configuration, housed various sub-assemblies each responsible for producing 75 units daily to complete an electric motor assembly, followed by testing.

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Despite meeting production targets, the Overall Equipment Effectiveness (OEE) system indicated an inflated work-in-process (WIP) inventory. ?Inconsistencies in First Pass Yield (FPY) data and deferred defect reviews revealed efficiency gaps.

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We were enlisted to apply Lean Principles from the Toyota Production System to enhance productivity within the constraints of the current workforce, processes, equipment, and space.

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Initiating Change

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Our proposal comprised a preliminary 3-day diagnostic review and a subsequent 2-day Value Stream Mapping workshop in preparation for two kaizen events aimed at reorganizing production into a unified flow cell, thereby dissolving the isolated sub-assembly zones.

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A dedicated team, including our consultant, was formed to undertake the transformation of the selected production area.

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Our initial analysis examined the procedures and timings for three parts within the cell.

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Identifying that two products shared a substantial similarity in processing and work content, they were classified as a part family.

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Conversely, a third component, part of a limited-run retrofit, did not align with this categorization and was consequently extracted from the cell.

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Further scrutiny of the part family highlighted process bottlenecks and instances where the duration exceeded the targeted takt time.

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Value Stream Mapping illuminated additional inefficiencies, such as layout issues contributing to WIP backlog and material delivery delays affecting output.

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Lean Principles Adoption

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The team received extensive training in the Toyota Production System, concentrating on Just-In-Time, Jidoka, and Standard Work principles.

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The initial kaizen event, conducted from March 4-8, 2024, centered on Standard Work Analysis and Cell Design, delivering a revised layout and 3 Standard Work Sheets.

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These documents delineated various takt times (12, 8, and 4 minutes), associated staffing needs, and the Standard Work In Process inventory required to maintain flow to takt time.

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The subsequent kaizen event, from April 15-19, 2024, executed the cell redesign. The restructuring eradicated 8 benches, creating space for an integrated packaging area and a dedicated rework station.

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Detailed time studies ensued, optimizing tool placements and material input logistics.

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Kanban systems were established for feeder lines, ensuring seamless sub-assembly replenishment at workstations.

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Additionally, the Materials/Purchasing manager received a Plan for Every Part template and training, essential for sustaining JIT material replenishment without disrupting the flow.

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Recommended Next Steps

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We advocated for the client's continued engagement with upcoming events, urging the complete adoption of the Zen Sales to Shipments system, starting with a comprehensive factory assessment and the establishment of a Sales, Inventory, and Operations Planning process (SIOP).

Suggested subsequent kaizen events include:

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·????? Implementing a kanban system for refined inventory control and zero stock-outs.

·????? Revising the kitting process to facilitate material flow.

·????? Integrating SQL programming into the Plan for Every Part to dynamically refresh inventory data, aiding swift updates for SIOP meetings.

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Outstanding Outcomes

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The overhaul culminated in an output surge from 75 to 120 units daily and a dramatic WIP reduction from 717 to 156 pieces, attributed to the adoption of one-piece flow and strategic bottleneck management.

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Serialization at the process inception and variable takt times endowed the team with agility to match demand fluctuations, fostering strategic personnel redeployment.

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Conclusion

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This case study exemplifies the effectiveness of Innovative Transformation's Zen Sales to Shipments system in optimizing operational productivity.

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The transformation from inefficiency to a streamlined, high-performing system serves as an illustrative guide for similar organizations aiming to refine their processes and achieve superior outcomes.

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Accompanying visuals provide a comparative insight into the improvements realized from the two kaizen events.

Floor Layout and Spaghetti Chart Before:

Floor Layout and Spaghetti Chart After:

I hope you enjoyed this case study. Please post any comments or questions below.

Until next time,

Nicole.