Problem:
Orders were being shipped late. The warehousing, packaging and shipping department was unorganized. A traditional layout was causing many non-value added tasks, extra inventory, extra staffing and extra floor space.
Mission:
Utilize employee involvement and teamwork to redesign and streamline the warehousing, packaging and shipping process flow. Free up space and staffing for value added processes.
Approach:
Charter a final processing improvement team.
Provide training on the concepts of lean.
Video taped current process.
Did a Current State Process Flow Chart of the current process.
Provide 5S Training.
S1: Sorted out and “Red Tagged” all unnecessary items.
Provided training on TAKT time and line design (The team divided the weighted average process time by TAKT time and created work stations with work content time equal to TAKT time).
Did a Current State Process Flow Chart of the current process .
S2: Set in Order (The team set-up and organized each station with the equipment, tooling and supplies required to perform each operation to TAKT time.
S3: Shine (The team shined and cleaned the rest of the department and continued to “red tag” anything that was not needed for the new flow line.
S4 Standardize (The team identified “best practices” and created standardized work procedures.
S5 Sustain (The team established ways to measure and sustain their improvements).
The team presented their results to management and suggested ways to make more improvements.
Lean Techniques Taught and Utilized:
Lean (eight wastes)
5-S Workplace Organization
Kanban ‘Pull Replenishment System”
Statistical Line Design
Results Realized:
Reduced total process time by 50%
Reduced staffing by 50%
Increased On Time Delivery to > 95%
Reduced finished goods inventory by 80%
Reduced required floor space by 90%
Improved employee morale
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