improve smt labor margin per unit
TRANSCRIPT
Bose Lean EnterpriseBose Confidential
Project : Improve LMPU by increasing
SMT UPH.
Presented by : Damian Murphy Denis
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• Reduce LMPU of HED products running at SMT by 20 June 2014.
Challenge
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PlanStep 1: Define and Breakdown ProblemStep 2: Grasp Current ConditionStep 3: Set a Target ConditionStep 4: Conduct Root Cause and Gap
AnalysisStep 5: Identify Potential Countermeasures
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PROBLEM STATEMENT • Current LMPU is based on Tijuana’s
UPH and is not reflecting our actual LMPU/UPH. We could be achieving more than Tijuana’s rates/UPH based on BSM configuration.
IMPACT STATEMENT• Without UPH improvement there will
be a considerable wastage in terms of line utilization and capacity.
• There is a significant opportunity to improve SMT UPH thereby also improving on our current LMPU as well.
Step 1: Define & Break Down Problem
Team Lead: Damian M Denis
Champion: Mr. Ahmad Zamsari Zakaria
Team Members:Harlina IsmailChew Tzy ChingNiven LamTan Hock Lee
TEAM
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Step 2: Grasp Current Condition
- We are running ahead for some of HED products.
- Hence, 80% of our HED models are running at below capacity and this does not reflect our actual capability at SMT.
- This needs to be changed so that the line is fully utilize and the lines are always productive.
1 2 3 4 5 60
0.5
1
1.5
2
2.5
3
3.5
Number of days ahead
Days
Linear (Days)
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TARGET CONDITION• All SMT HED model will have a
new LMPU target based on the new UPH and cycle time by 10 June 2014.
GOAL• Reduce cycle-time for HED
products at SMT hence improving LMPU by 10 June 2014.
Step 3: Set a Target ConditionOBSTACLES
- This reduction in LMPU requires all parties to play a role in achieving the targeted cycle-time/UPH.
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Step 4: Conduct Root Cause & Gap Analysis
WHY SMT UPH is not reflecting the actual
BSM capacity rates ?
No data on SMT potential cycle-time &
rates.
Un-even line balancing at Siplace
machineManual insert
components are a bottleneck in
some HED models.
Diff machine config available but cycle time is still same
Comfort zone based on TJ
rates.
Siplace machine is sometimes slower than
hand load process.
Measurement
Manpower Machine
Problem Statement
Machine
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Step 5: Identify Potential Countermeasures
1) Measure SMT cycle time with current SMT configuration for all models.
2) Check theoretical cycle time thru SMT simulation.
3) Work with core team for any UPH gaps between pt. 1 & 2.
4) Do line balancing for models that needs improvement.
5) Improve on hand load process by machine operator.
Timeline
Key Milestone Date
1) Measure SMT cycle time
10th May
2) SMT Simulation
14th May
3) Bridge the gap
21th May
4) Line Balancing
24th May
5) Improve hand load
30th May
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DoStep 6: Develop & Test CountermeasuresStep 7: Refine & Finalize
CountermeasuresStep 8: Implement Countermeasures
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After brainstorming the team agrees on a set of solutions based on their knowledge & experience.
In addition, we use the prioritization matrix to help us to zero in on some of the important decision criteria and we found it correlates with the team decision as well.
The below shows the solution the team have opted to implement as subject matter expertise:-i. Measure actual SMT cycle time for all modelsii. Simulate theoretical SMT cycle timeiii. Bridge the gap between i & ii.iv. Do line balancing for SMT linesv. Improve hand load cycle time process
Brainstorming & Subject Matter Expertise
Step 6: Develop & Test Countermeasures
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Analysis of the above matrix is on the next slide.
Countermeasure Selection thru Prioritization Matrix
Step 6: Develop & Test Countermeasures
Selection Criteria Business Impact Resource Availability Effort/Impact Ability to leverage Weighted SumList of potential countermeasures: 3 4 5 2Measure actual SMT cycle time for all models 9 9 5 9 106Simulate SMT cycle time for all models 9 9 9 9 288Bridge the gap between actual and theoretical UPH 1 9 9 9 252Do line balancing 5 9 9 9 248Improve cycle time for hand load process 1 5 9 9 212
LEGEND Relationship 1 Weak Relationship5 Medium Relationship9 Strong Relationship
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Step 6: Develop & Test Countermeasures
Countermeasure Selection
The above matrix clearly shows which countermeasures should be prioritized to get the best/optimum result with the given resources we have at SMT.
The team decided that all these countermeasures are important and thus must be implemented to achieve our goal.
But all these countermeasures must be prioritized as a continuous flow according to their importance in the matrix.
So, which countermeasures are selected?
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Step 7: Refine & Finalize Countermeasures
The Finalized Countermeasures
Actions Status Lesson learnt Doc. Update Define KPI Owner
Measure actual SMT cycle time for all models
DoneMassive opportunity for improvement
NoWill reflect in reduce LMPU
IE
Simulate SMT cycle time Done NA No NA Engineering
Bridge the gap DoneGap to be reduced to achieve optimum cycle time
No NA Core team
Line balancing Done NA No NA Core team
Improve hand load cycle time DoneTo be done simultaneously during line balancing activity
No NA Core team
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Step 8: Implement Countermeasures
Progress checks – Below is the timeline to wrap up all countermeasures by end of May 2014.
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CheckStep 9: Measure Process Performance
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New SMT UPH & LMPU Results
Step 9: Measure Process Performance
Financial Benefits : - The line can be loaded with more orders as we are able to increase BSM UPH tremendously!
ACTIONS/PLANSMODEL Tijuana BSM % Previous Improved % Tijuana BSM % Previous Improved %Reframe AMP 1178 1250 6.11 0.25 0.24 -5.76Reframe Dock 1296 1400 8.02 0.23 0.21 -7.43Reframe DSP/IR 772 800 3.62 0.39 0.38 -3.50 417 450 7.91 0.72 0.67 -7.33
Phoenix AMP 1178 1250 6.11 0.25 0.24 -5.76Phoenix DSP/IR 772 800 3.62 0.39 0.38 -3.50 417 450 7.91 0.72 0.67 -7.33
Bruiser AMP-IO 814 900 10.56 0.37 0.33 -9.56 682 682 0.00 0.44 0.44 0.00Bruiser DSP 408 425 4.16 0.74 0.71 -4.00 541 600 10.91 0.55 0.50 -9.83
Seine Tuner 235 276 17.44 1.28 1.09 -14.86 258 270 4.65 1.16 1.11 -4.44Seine DSP 445 541 21.57 0.67 0.55 -17.74 306 340 11.11 0.98 0.88 -10.00
VIA Main - SMT 1/2 814 900 10.56 0.37 0.33 -9.56 540 576 6.67 0.56 0.52 -6.25VIA Main - SMT 7 814 900 10.56 0.37 0.33 -9.56 540 650 20.37 0.56 0.46 -16.92
Via BAIO - SMT 1/2 408 600 47.05 0.74 0.50 -32.00 480 550 14.58 0.63 0.55 -12.73VIA BAIO - SMT 7 408 900 120.58 0.74 0.33 -54.67 480 600 25.00 0.63 0.50 -20.00
Teacup AMP-IO 913 1000 9.52 0.33 0.30 -8.70 590 674 14.24 0.51 0.45 -12.46
Teacup DSP 550 420 -23.63 0.55 0.71 30.95 450 500 11.11 0.67 0.60 -10.00Machine config
diff from TJ
Spotty AMP-IO 201 220 9.45 1.49 1.36 -8.64 240 240 0.00 1.25 1.25 0.00Spotty Button/Mojo 541 900 66.36 0.55 0.33 -39.89 925 1100 18.92 0.32 0.27 -15.91Shelby C. Module 200 200 0.00 1.50 1.50 0.00 305 305 0.00 0.98 0.98 0.00
HED UPH & LMPU ACHIEVEMENTHED LMPU BSS HED LMPU TSSHED UPH BSS HED UPH TSS
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Step 9: Measure Process Performance
New SMT UPH & LMPU Results
TSS UPH & LMPU ResultsTotal Models – 15Improved UPH & LMPU – 12% of Improvement – 80%
Financial Benefits : - BSM LMPU is reduced aggressively without increasing the number of lines and headcount!
BSS UPH & LMPU ResultsTotal Models – 18Improved UPH & LMPU – 16% Improvement – 88.88%
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Step 9: Measure Process Performance
Financial Benefits : - Line is fully utilize without too much sand-bagging!
Monitoring:-1) All SMT build from 1 June 2014 onwards is following the
new UPH & LMPU target.2) Monitoring was done from 1 – 15 June 2014 and the
result during WW25 is as per the new UPH/LMPU target.
Reflection:-3) We needed to go beyond our comfort zone so as to
continually improve ourselves as a TEAM in key KPI’s.
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ActStep 10: Refine, Standardize and Stabilize
the processStep 11: Monitor Process PerformanceStep 12: Evaluate Results, Share Learning
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Steps 10 – 12: Standardize / Monitor Performance / Share Learning
Standards
- All SMT production schedule for HED will reflect the new UPH from 30 June 2014.
- To implement this new UPH/LMPU on other new SMT lines that are to be set-up in BSM.
Yokoten Opportunities
Next Steps
- To improve SMT UPH & LMPU for ASD models.
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QUESTIONS?
COMMENTS?