the road to success – the motorsport way · 8000 parts booked to stores per week 295 employees...
TRANSCRIPT
© Copyright. Not to be reproduced without the permission of Xtrac Ltd
The Road to Success – The Motorsport Way
April 2016
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Introduction
� Operational management at Xtrac
� The project approach
� The role of procurement
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Who is she?
� Ann McKenzie-Ayling BEng
� Technical Buyer
� 3 ½ years service at Xtrac
� Technical purchaser at McLaren F1
� Studying for MCIPS registration
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Who am I?
� Martin Halley
� Operations Director FIMechE
� 25 years service at Xtrac
� Gear Design
� Head of Advanced Engineering
� Chief Engineer
� HM Forces
� We get the occasional fire fight at Xtrac!
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Introduction
� Motorsport is a business, run by professionals
for professionals
� Xtrac is a business…..
� It just happens to be fun, most of the time.
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Some facts and figures
� £43M turnover
� 2000 Jobs or 80 000 parts in WIP with 2000 to
8000 parts booked to stores per week
� 295 employees including 70 grad engineers
� 3 locations – global presence 24/7
� Consume 250 tonnes of specialist steel p/a
� 140 main machine tool centres
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Xtrac is the World’s leading manufacturer of motor
racing and specialist transmission solutions:
Introduction
Motor Racing.� Complete transmissions (2WD & 4WD).� Assemblies (differentials, driveshafts� Assisted Gearchange Systems (AGS).� Oil pumps & clutch release.� Engine and gearbox components (gears, shafts & gear
selection).� Consultancy (design / production / service & support).
Automotive and Engineering.� Complete transmissions.
285 people supplying the world’s leading Motorsport markets:
- UK, Europe, USA, Japan, South America, China and Asia.
- F1, IndyCar, Le Mans, Sportscar, GT, WRC and Touring Cars.
CONFIDENTIAL
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Xtrac Sectors
� Exports comprise over two thirds of
sales, including Europe, USA, Japan,
South America, China & Russia.
CONFIDENTIAL
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Xtrac grew from an opportunity
Group B
Banned at the
end of 1986
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Brief History
1984
Rallycross, Dakar
Group S
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Brief History
Late 1980s
Group A RallyingMazdaMazdaMazdaMazda ToyotaToyotaToyotaToyota
MitsubishiMitsubishiMitsubishiMitsubishi
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Brief History
Late 1980s & early
1990s
F1, Sportscar,
IndyCar and Touring
Car
March March March March ---- 1990199019901990
Penske Penske Penske Penske ---- 1990199019901990
Ford Ford Ford Ford ---- 1993199319931993
McLaren McLaren McLaren McLaren ---- 1989198919891989
Onyx Onyx Onyx Onyx ---- 1989198919891989
Peugeot Peugeot Peugeot Peugeot ---- 1993199319931993
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1984 Wokingham1984 Wokingham1984 Wokingham1984 Wokingham 1987 Wokingham1987 Wokingham1987 Wokingham1987 Wokingham
The Xtrac Story
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2000 Thatcham2000 Thatcham2000 Thatcham2000 Thatcham
The Xtrac Story
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2003 Indianapolis2003 Indianapolis2003 Indianapolis2003 Indianapolis
2010 Mooresville2010 Mooresville2010 Mooresville2010 Mooresville
The Xtrac Story
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532 Rally386
Grand-Am626
Sportscar1059
Sportscar
1046 Touring Car
1011 IndyCar
427 Touring & Sportscar
Products
426 Touring & Sportscar
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Why does a racing car need a gearbox?
� In racing cars it is essential to run an engine at the maximum tractive effort.
� Correct direction of drive and number of wheels!
� Metallic gears are still the most ‘power dense’ solution
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Speed Transform
� Transmission links motor(s) to the wheels
� Transfers torque
� Transforms torque and speed
� Racing engines� Narrow power and torque band
� High rpm
� Can’t link directly to the wheels
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Vehicle consideration.
� The concept of engine installation to drive output is usually predetermined by ruling. In simple system terms, a vehicle can have either a:
� Front Engine
� Mid Engine
� Rear Engine
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2WD – Transverse
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2WD – Longitudinal
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2WD – ‘Transaxle’
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AWD – Transverse
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4WD – Longitudinal
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4WD – Longitudinal
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Operations
� The management of producing parts and directing services, responsible for the efficiency and the effectiveness of converting inputs (materials, labour and energy) into outputs (transmissions, parts and services).
� Xtrac’s operations include manufacturing, build, facilities, equipment, production control, systems (Epicor), analysis of productivity and costs, and materials planning.
� Metrics are Margin (broadly costs), Quality (specification and compliance), Time (productive lead time), Flexibility (staff and machinery), Stock (turnover) and Safety.
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Ops Org Chart
Martin Halley
Operations Director
Martyn Silby
Head of
Manufacturing
Simon Quirk
Facilities
Manager
Senior MPMSteven Michael
Purchasing
Manager
MPM’s
Dept Managers
x8
Manufacturing Maintenance
Adrian Banbury
Manufacturing
Manager
Process Engineers
Cleaners
x3
Purchasing
Drivers
Facilities
MP&L
(Materials Planning &
Logistics)
Manufacture
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Operations
• Skill
• Performance
• Capability
• Planning tools
• Project tools (X-PDS)
• Plant & Machinery
• Facility
• Capex
•Raw Material
•Stores
•Supplier &
Production
Control
Materials Assets
PeopleSystems
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Materials
Four Square Rig Testing - XM031 vs XM023
1000
1500
2000
2500
10,000 100,000 1,000,000 10,000,000
Cycles
Roo
t S
tre
ss
, M
Pa
XM031
XM023
� Materials and processes development programme in conjunction with Tata Specialist Steel:� Test rig evaluations.
� Component testing.
� Extensive stocks at all times.
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� Validation testing: Component rigs, sub system rigs, complete system rigs.
� Tightly defined duty cycle – continual review of actual operational data.
Validation
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Assets
Core in-house capability & technology:� Turning – CNC.� Milling – CNC.� Gear Cutting.� Heat Treatment.� Grinding.� Wire and spark eroding.� Shot peening.� Xtrem & Xtec super-finishing.� Fettling & finishing.� Build.
Long term established supply chain:� Casting pattern manufacture.� Foundries.� Close liaison & involvement
and shared vision with all suppliers.
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Assets
� Very latest computerised machining.
� Fast, efficient & offering cost and lead time reductions.
� >£3M invested in 2014.
Gear GrindingGear GrindingGear GrindingGear GrindingBevel GrindingBevel GrindingBevel GrindingBevel Grinding
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People
� Xtrac is 100% owned by Managers and Employees.
� Staff communications include:� Factory Meetings, Newsletter &
Team Brief to share:� Strategy, goals, targets / KPIs� Share price performance.
� Investment in people:� 145 Skilled Machinists.� 70 Engineers.� 30 Sales / Admin.� 25 Inspectors and Quality.� 15 Support staff in the USA.
� Award winning apprentice & undergraduate programmes:
� With Newbury College & Oxford Brookes University.
� Qualifications include ONC, HND, BEng/MEng & PhD.
� 4 Undergraduates every year.� 4 - 5 Apprentices every year (over 100
applicants).
� Individual development programme for each staff member:
� In-House training (including commercial awareness).
� External training.
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� ISO 9001:2008 Registered company (UK & USA).� Intranet Based QMS.� Process Maps.
� Work Instructions.� Standards.� Process guides.� Customer documentation.
� Products qualified throughout the manufacturing process� Full material traceability through manufacturing
process.� Fixed manufacturing routes.� Operation set-up sheets.� Stage drawings for high risk parts.� Non destructive testing and certification.� Visual Acceptance Criteria.
Systems - QA
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Process - Manufacture
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Systems - Projects approach
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ID Task Name Start Finish
1 PROJECT MANAGEMENT Fri 24/10/14 Fri 31/07/1512
13 PRE PROJECT Mon 10/03/14 Mon 22/09/1416
17 DESIGN & ENGINEERING Mon 22/09/14 Tue 14/04/1518 Receipt of Customer Information Mon 22/09/14 Mon 22/09/1419 Scheming Tue 23/09/14 Fri 07/11/1422 Modeling Tue 21/10/14 Fri 13/02/1523 Internals Tue 21/10/14 Fri 13/02/1524 Hydraulic Actuator Mon 10/11/14 Wed 24/12/1425 Initial BoM Mon 09/02/15 Tue 10/02/1526 Conf irm carry over parts Mon 09/02/15 Mon 09/02/1527 Create 1st Build BoM Tue 10/02/15 Tue 10/02/1528 Analysis Tue 23/09/14 Fri 13/02/1529 Ratios & Speed Charts Tue 23/09/14 Mon 20/10/1430 Bevel Design Tue 04/11/14 Fri 14/11/1431 Internals FEA Tue 28/10/14 Fri 13/02/1532 Loaded Tooth Contact Anlysis Tue 11/11/14 Wed 26/11/1433 Gear Ratings Tue 04/11/14 Wed 12/11/1434 Bearing Ratings Tue 04/11/14 Mon 10/11/1435 Detailing Thu 25/12/14 Fri 20/03/1536 Internals Detailing Fri 30/01/15 Fri 20/03/1537 Hydraulic Actuator Thu 25/12/14 Tue 27/01/1538 Conf irm proprietry parts Fri 30/01/15 Fri 30/01/1539 Production Engineering Wed 28/01/15 Tue 24/03/1540 Internals(Tooling & Method) Tue 03/02/15 Tue 24/03/1541 Hydraulic Actuator (Tooling & Method) Wed 28/01/15 Fri 30/01/1542 Internals Release Tue 10/02/15 Tue 24/03/1543 Release Proprietry Parts Fri 30/01/15 Mon 02/02/1544 Additional Draw ings Fri 20/03/15 Tue 14/04/1545 Assembly Draw ings Fri 20/03/15 Tue 14/04/1546 Assembly Tooling Fri 20/03/15 Tue 31/03/1547 R&D Build Test Tooling Fri 20/03/15 Fri 27/03/1548 BoM Release Tue 14/04/15 Tue 14/04/1549
50 OPERATIONS Mon 02/02/15 Wed 10/06/1551 Procurement Mon 02/02/15 Wed 27/05/1552 Long Lead items Mon 02/02/15 Wed 27/05/15
22/09
30/01
14/04
18 25 01 08 15 22 29 06 13 20 27 03 10 17 24 01 08 15 22 29 05 12 19 26 02 09 16 23 02 09 16 23 30 06 13 20 27 04 11 18 25 01 08 15 22 29
Sep '14 Oct '14 Nov '14 Dec '14 Jan '15 Feb '15 Mar '15 Apr '15 May '15 Jun '15 Jul '15
2015� Xtrac’s business is built on it’s projects, we undertake 30 to 40 new projects each year
� Success is measured on Quality, Delivery, and Cost
� Project ‘Core Team Member’ are identified to manage each project
� Xtrac employs a traditional ‘phase and gateway’ approach to managing projects;
� X-PDS – Xtrac Product Delivery System
� Each project has it’s own documents;
� Risk & Issues Log – for ‘day to day’ running of he project
� Task lists that need to be completed prior to each project gateway
� Agreed Timing Plan
� Project Specification
� Project Team Members have formal ‘Prince2’ training, a recognised qualification in Project Management
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� Scope of work� Technical specification
� What we have committed to deliver
� Project planning� Agreed Project Timing
� Concept to 1st build: 6 months
� Engineering: 4 months
� Manufacture: 3 months (overlap)
� Agreed project quality� Design review
� Project review
� Verification – Design Analysis
� Validation – Testing
� Budget control� Control of resources and time
� Management of expenditure
� Manufacturing planning
Projects - Approach
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First Part done!
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tdProcurement Department
Mission Statement
� “To provide high quality goods and services, on time, in full
and within budget”
� Our core focus for the business is to keep “product” flowing
through the manufacturing process at every point that we touch
it
� We source anything that Xtrac requires to fulfil customer
orders that our own manufacturing processes are not capable
of achieving – either due to capacity or capability
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Supply chain management
� Five procurement specialists, covering five strategic areas of
spend:
1. Subcontract machining work including subcontract
finishing processes
2. Castings
3. Raw materials
4. Proprietary parts
5. Specialist work
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Supply chain spend
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Purchasing process
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Supplier selection
� Highly knowledgeable in their
industry – especially if this is not a
core Xtrac speciality
� Highly knowledgeable of our industry
– they understand the challenges and
pressures associated with the fast pace
of work
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Vendor Rating Criteria
Quality
Calculation: Number of parts delivered divided
by number of parts rejected (DMR’d)
Weighting: Scrap - 100% counted
Rework - 70% counted
Concessed - 30% counted
Targets: A: 95-100
B: 85-95
C: 60-85
D: <60
Delivery
Calculation: Compare ‘Receipt Date’ against
‘Due Date’ and take the average score for the
period
Weighting:15d early to 1d late - Score 100%
>15d early - Score 70%
2-3d late - Score 70%
>4d late - Score 0%
Targets: A: 90-100
B: 75-90
C: 60-75
D: <60
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Vendor Rating Outcome
� Overall
Calculation: Combined Total Quality
score and Total Delivery score
Weighting: Quality- 70%
Delivery- 30%
Targets: A: 90-100
B: 80-90
C: 60-80
D: <60
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The challenges we face….
� Project lead times and overall duration
� Volume of parts that we are required to source
� Seasonal fluctuations – build season, race season and “off” season
� And what happens when this occurs…..
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How we add value…..
� Strong supplier relationships built on honesty, trust and
integrity
� Flexibility and adaptability in the face of changing
demands
� Maximising existing technologies in new and innovative
ways
� Exploring new technologies to expand and improve our
product range
� Developing the supplier base to make them the best they
can be
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tdKeeping manufacturing alive
in the UK
� Strong motorsport heritage in the
UK
� Proud of our own modest
beginnings
� Keen to keep manufacturing alive
in the UK through both our own
facility and the majority of our
supplier base
� Strong emphasis on the use of
SMEs
� Approx. 85% of our suppliers are
based in the UK
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� World leaders in Motorsport.
� Strong reputation in Automotive and Engineering.
� ISO 9001:2008 Quality registered (UK & USA).
� A history of successful projects inside and outside of Motorsport.
� Rapid response with advanced engineering design and analysis.
� Bespoke materials.
� Flexible high technology manufacturing capability.
� High level of technical & project support.
� Enthusiastic staff who are the 100% shareholders of Xtrac.
� World class British company with world class innovative design solutions to all our customers around the world.
� >70% exported – over $650M since Xtrac started in 1984.
First Part done!