Module Title LeanOperations The customer’s expectations

Module Title LeanOperations

The customer’s expectations

You have been employed as a consultant
to implement Lean within Evenort, a business providing bespoke flanges to the
oil and gas industries. You have Eleven
weeks to consider all of the available material. After which you are required to produce a
written document detailing Lee’s options. (Resigning is not one of them!)

Task:

Review
the literature giving detailed examples of where within industry Lean has
been applied, the strategies followed when implementing, the benefits
achieved and whether there are any lessons to be learned.
Create
a future state Value Stream Map.
Propose
approaches which can feasibly be considered when implementing lean
manufacturing principles within Evenort.
Stating where the most benefit would be gained. Are there any tools and techniques which
you would not implement?
The
key to successfully introducing Lean is to ensure buy-in from all
employees. To this end you are
required to produce a detailed plan. State what tools and explicitly where
would implement them to ensure that the maximum benefits were gained from
implementing Lean within the business.
Create
an implementation plan including a discussion abouthow you would implement the lean tools you have selected, as well
as the anticipated benefits.

Conditions of Assessment

·
To
be completed on a wholly individual basis.
·
It
is expected that some of the information which you consider necessary to
complete this assignment has been omitted and as such you will need to make a
number of assumptions. State all of the
assumptions you have made in completing this assignment.
·
Your
work should be appropriately and correctly referenced. If you are unclear of how to reference your
work please seek guidance from the Learning Centre.
·
You
are expected to write 3000-5000 words.
·
This
assignment is worth 50% of the total assessment load.
·
Late
submission will result in a zero mark being awarded in common with standard
university regulations.
Contents
.docx#_Toc308694706″>Assignment
2b (Individual Assignment) (2011)1
.docx#_Toc308694707″>The
customer’s expectations.1
.docx#_Toc308694708″>Conditions
of Assessment1
.docx#_Toc308694709″>Scenario.3
.docx#_Toc308694710″>Context4
.docx#_Toc308694711″>General
Company Background.4
.docx#_Toc308694712″>The
Production Process.4
.docx#_Toc308694713″>Examples
of typical products (flanges).5
.docx#_Toc308694714″>Facility
Layout6
.docx#_Toc308694715″>Product
route.7
.docx#_Toc308694716″>Current
Value Stream Map.9
.docx#_Toc308694717″>Appendix.10
.docx#_Toc308694718″>Current
Value Stream Map.16
.docx#_Toc308694719″>Flange
Production: Saw Cutting Process Data.17
.docx#_Toc308694720″>Administrative
Process.18
.docx#_Toc308694721″>Marking
Scheme.19

Table
of Figures
.docx#_Toc271705814″>Figure 1
Aerialphotograph of Evenort. (Building with white
roof.)3
.docx#_Toc271705815″>Figure 2 0.75″ Diameter Flange.5
.docx#_Toc271705816″>Figure 3 16″ Diameter Flange.5
.docx#_Toc271705817″>Figure 4 Shop Floor Layout.6
.docx#_Toc271705818″>Figure 5 Production Route 1.7
.docx#_Toc271705819″>Figure 6 Manufacturing Process and Product
Route.8
.docx#_Toc271705820″>Figure 7
Current Value Stream Map.9
.docx#_Toc271705821″>Figure 8 Product Route 1.11
.docx#_Toc271705822″>Figure 9 Product Route 2.12
.docx#_Toc271705823″>Figure
10 Product Route 3.13
.docx#_Toc271705824″>Figure 11 Product Route 4.14
.docx#_Toc271705825″>Figure 12 Some ideas for improving the site.16

.jpg” alt=”http://109.170.208.152/Web%20Portal/Evenort/Images/main_top_banner.gif”>

Scenario

Manufacturing and logistics industries
involve the movement of physical items through a series of processes and acted
upon by discrete resources. Being aware that
industry is under constant pressure to provide high quality, timely products
while utilising the minimum of resources you are required to research and apply
appropriate Lean Tools and techniques within Evenort, a small manufacturing
business situated based in South Yorkshire.
Thereby helping the business better identify and removewaste. Below,Figure 1, is an aerial photograph of Evenort’s
premises. It should be noted from the
photograph that there is little room for expansion as there is a train track behind the factory and buildings on
either side. It may be possible to
extend the building towards the main road if required.

.png”>
Figure
1Aerial
photograph of Evenort. (Building with white roof.)

Context

In
2009 as the world’s economy was in the midst of recession Evenort, an SME based
in South Yorkshire, was seeking to increase efficiency within the business
through implementing a process improvement strategy. In conjunction with
Sheffield Hallam University a Knowledge Transfer Partnership was entered into
providing the opportunity to change.
Lee, the Knowledge Transfer Associate having an awareness of Lean, 6
Sigma, and discrete-event simulation has the opportunity to make significant
improvements to the bottom line of the business; but before making any change
to the business he must first identify what improvements could be made and
devise a strategy for making those improvements. What could, where would you and in what order
would youimplement changes? Make your recommendations.

The
Evenort Case is intended for using on a process improvement course. The normal participant is recent graduate who
may be taking this module on a full or part-time basis and has little prior
exposure to the practical side of process improvement.

General Company Background

Incorporated in Sheffield in 1982,
Evenort is currently situated over two sites.
The Head Office and main manufacturing site is at Houghton Road,
Dinnington, Sheffield, S25 4JJ, UK. With
its plasma cutting workshop based at: Shop 12, Robert Jenkins Works, Wortley
Road, Rotherham, S61 1LT, UK.

Evenort’s
commitment to manufacturing excellencehas established the company as a reliable
partner in the processing of Stainless Steel.
Evenort’s business proposition is to supply high value bespoke products,
typically flanges, produced within 24hours of order, to the highest quality
standards and manufactured from alloys appropriate to the environment, be it sour
or acidic. As such their products are
often used in the oil and gas industries.

The Production Process

Evernort
offers a range of products and services which includes:
·
Steel
& Alloy Flanges
·
Bar
Processing
·
Advanced
Manufacturing
·
Deep
Water Shipments
·
Plasma
Cutting

However,
the focus of this case study is Evenort’s Head Office where flanges are
machined, either from cut bar or semi finished castings.

Semi
finished forgings are usually purchased from Hilton Metal Forging Ltd. based in
India of whom Evenort owns a substantial share of and is the official UK agent.

Examples of typical products (flanges).

The flanges
come in a variety of sizes but typically range in size from 98mm Dia to 597mm
Dia and are manufactured from stainless steel.Figure 2 andFigure 3 illustrate and provide schematics of the products.

0.75″ ASA 150LB
RFSO 316/L

.jpg” alt=”0.75″ asa 150lb rfso 316/l”>.jpg” alt=”Drawing for 0.75″ asa 150lb rfso 316/l”>
Dimensions in mm

D

K

L

C

N

H

B

R

O

F

No.Holes

98

69.8

15.9

12.7

38

15.9

27.7

3

42.9

1.6

4

Figure
2 0.75″ Diameter Flange
16.00″ ASA 150LB RFSO 316/L
.jpg” alt=”16.00″ asa 150lb rfso 316/l”>.jpg” alt=”Drawing for 16.00″ asa 150lb rfso 316/l”>
Dimensions in mm

D

K

L

C

N

H

B

R

O

F

No.Holes

597

539.8

28.6

36.5

457

63.5

410.5

9.5

469.9

1.6

16

Figure
3 16″ Diameter Flange

Facility Layout

The manufacturing facility has grown
and expanded as demand for specific products has increased. This led to equipment being purchased and
located where there was space, which Lee thinksmay or may not be in the best
location from a process efficiency point of view. The current layout can be
seen inFigure 4.

.png”>
Figure
4 Shop Floor Layout.

Product route

Lee has spent several weeks collecting
data and has been able to identify four different routes through the factory.The first of which is shown inFigure 5
with the remainder given in the appendix.
The generic process route consists of
Sawing the bar to length (if manufactured form bar and not from a semi finished
forging), turning, drilling, inspecting, marking and packing.

.png”>
Figure
5 Production Route 1

An alternative representation of the process
route can be seen inFigure 6.
.png”>
Figure
6 Manufacturing Process and
Product Route.
Current Value Stream Map

From compiling the above data and direct
observation Lee has created the following Value Stream Map,Figure 7.

Figure7 Current Value Stream
Map

.png”>

Appendix

.png”>
Figure8 Product
Route 1
.png”>
Figure9 Product
Route 2

.png” alt=”Text box: figure 10 product route 3″>.png”>

.png”>
Figure11 Product
Route 4

Current Raw Material Inventory and WIP for Reference to Make
Batch Size Assumptions

Bar

Route 1

For CNC-T1,T3,T4

For CNC-D2, D3, D4

For Inspect

For Mark

For Pack

2 weeks stock

137 parts, 1 to 10 types of parts

79 parts, 1 to 7 types of parts

20

0

45

Forge

For M-L1, L2

4 months stock

64 parts, 1 to 10 types of parts

Route 2

For Mazak INT 200

For Mazak VAX 500

5

10

10

40 parts, 1 to 5 types of parts

77 parts, 1 to 5 types of parts

For Mazak INT 300

17 parts, 1 to 3 types of parts

Route 3

For CNC-T2, M-L3, L4

For CNC-D5

4

0

4

16 parts, 1 to 5 types of parts

6 parts, 1 to 2 types of parts

Route 4

For CNC-T&D5

6

0

0

6 parts, 1 to 4 types of parts

Note: This inventory and WIP is just for
reference so that you have an rough idea when you make assumption on batch
size.

The WIP of parts number for different operation and types number
varies day by day. They are average figures based on my one week statistics.

Current Value Stream Map
.png”>

Figure12 Some ideas
for improving the site

Flange Production: Saw Cutting Process Data
304, 316 Material Bar Saw Cutting Data

Bar Size (Ømm)

Saw Type Used for Cutting

Cutting Time (mins)

Varation

76

.png”>

3

±1

82

88

95

101

5

±1

107

114

120

HA250

127

133

139

152

.png”>

10

±2

165

177

185

190

200

17

±3

203

215

220

228

HA400

241

254

25

±4

279

285

304

38

±4

340

.png”>

355

59

±5

381

HA500

406

.png”>

75

±6

431

457

100

±7

520

HA700

150

±8

580

640

220

±10

Duplex Steel e.g. F44 and Nickel Alloy e.g.
625 Material Bar Saw Cutting Data

76

.png”>

4

±1

82

88

95

101

10

±2

107

114

120

HA250

127

133

139

152

22

±3

165

177

185

190

200

37

±4

Administrative Process
.png”>
Physical equipment in process

4 x PC for orders (4 staff)
1 printer – job sheets (carbon paper)
1 printer – WRI cards, drawings, test
certificates (normal)
1 PC – Diana/Peter -digital filing, printing
(Peter also has PC but not necessarily
required for this particular process)

Marking Scheme
Indicative
weighting: Each task will carry an equal weighting.

<40 40-50 50-60 60-70 >70

Task 1
Review the
literature giving detailed examples of where Lean has been applied, the
strategies followed when implementing, the benefits achieved and whether
there are any lessons to be learned.

One
of two examples.

Some
examples of common applications.

Many
examples applications given.

plus…

many
varied examples. A table of applications from a published source.

plus…
primary
research with discussion of the validity of the table.

Task 2
Create a future
state Value Stream Map.

Does
not understand the concepts.

Minor
mistakes.

Symbols
used appropriate.

Redesigns
the process incorporating Lean tools and techniques.

plus…
Indicates
where and what changes are required.

Task 3
Propose approaches
which can feasibly be considered when implementing lean manufacturing
principles within Evenort. Stating
where the most benefit would be gained.
Are there any tools and techniques which you would not implement?

Inappropriate
schedule.

Schedule
provided but lacks justification.

Implementation
schedule, weightings given for each activity.

plus…
Difficulty
of implementing vs. benefit gained.

plus…
tools
and techniques which should not be implemented with appropriate
justification.

Task 4
The key to
successfully introducing Lean is to ensure buy-in from all employees. To this end you are required to produce a
detailed plan. State what tools and explicitly how, where and when you would
implement them to ensure that the maximum benefits were gained from
implementing Lean within the business.

Some
tools stated.

Tools
have been considered together with where they could be applied.

Detail
plan produced stating where and when tools would be implemented.

Explicit
examples from other businesses of how and where the tools you are
recommending have been implemented.

plus…
identification
and quantification of the metrics used to quantify the benefits of
implementing your chosen improvements.