Opulence World Class Operating system

Opulence World Class Operating system

I. Introduction

A. Purpose of this Guide
This document is to be used by Opulence team members to understand Opulence Manufacturing operational “cadence” in product manufacturing in all Opulence Production facilities.

B. Who is this guide for?

  1. Leadership Team and Management Team
    This guide outlines the expectation and direction of the Opulence organization. This guide provides a set of specific actions that need to be implemented to improve overall quality, efficiency, and cost.
  2. Team Leaders, Line Leaders, and Operators
    This guide outlines the specific production actions that are expected daily, and allow the production teams to operate at a very higher level of self-direction.

C. Use of this Guide

  1. The Guide is divided into four (4) segments:

a) Segment one explains the Opulence scorecard and the activities required to achieve World-Class Status in an individual production cell.

b) Segment two explains the Opulence scorecard and the activities required to achieve World Class Status of a Business Unit.

c) Segment three explains the Opulence scorecard and the activities required to achieve World Class Status for a facility.

d) Segment four explains the Opulence scorecard and the activities required to achieve World Class Status for an organization.

II. Definition:

A. “Cadence” – A rhythmic sequence of activities.

B. “Lean ” – An operating philosophy that optimizes efficiency by reducing waste throughout all facets of the process workflow.

C. “Theory of Constraints” – organizations can be measured and controlled by three measures:

  1. Throughput
  2. Operational expense
  3. Inventory

D. “4M” – A method of looking at the 4 driving factors that affect the process and variability of the process.
a) “Material” – Material checks and delivered to correctly?
b) “Manning” – Manning level correct, properly trained, and follows standard work?
c) “Method” – Process flow correct, error proofing functioning, and fit correct?
d) “Machine” – Start-up and parameters correct, PMs completed, and cycling correct?

III. Implementation:

A. Opulence team members must measure and achieve each of the scorecard metric targets and successfully implement the criteria for layout/ visual management and function into a regular cadence, and perform each activity with operational excellence to achieve a World Class status.

B. Transform culture and turning lean philosophy into practice.

  1. The challenge facing our organization today is to take the philosophies of “lean ”, “4M”, and the “theory of constraints” and transform them into practical applications on the shop floor. This requires an understanding of the concepts, taking the time to educate employees on the principles, challenge them through shop floor exercises using the principles, reporting on their progress, and celebrating their success.
  2. Understanding lean and constant improvement principles are the first steps in changing the culture. However, knowing the topics will not achieve the dramatic efficiency gains that are possible. Specific tools and resources need to be defined and then performed as a “cadence” to create sustainable results in safety, quality, delivery, and efficiency. This guide takes widely accepted management theories and translates them into Opulence specific processes to yield results.

IV. “Word Class” — Requirements and Cadence.

A. There are Opulence specific operational requirements that must be met to achieve World Class status. These requirements need to be put in place by the team and will be audited by the corporate group. The team needs to show the requirements are in place and the data is up to date. The team also needs to demonstrate that the operators understand the cadence, the purpose behind each procedure in the cadence, and they can demonstrate the use of these procedures as part of their daily culture.

B. The Requirements are divided into 2 categories.

  1. World Class Scorecard.
  2. Layout / Visual Management and Functions.

Each item must be put in place according to the Standard Operating Procedure (SOP) and Work Instruction (WI).
C. World Class Scorecard.

  1. Safety 0 (six months)
  2. PPM (6 months rolling) less than 15
  3. Scrap Rate (3 month average) 0.5 % of COGS
  4. Suggestions per employee 15
  5. % of suggestions implemented 85%
  6. % of team members on the EI team 100%
  7. Material Inventory WIP< 2 hours, Raw< 1.5 days
  8. Cross-training 100% after 60 days
  9. Changeover Final Assm – 5 min, Sub Assm – 10min
  10. Training hours per employee 40hrs per year / per employee
  11. Downtime reduction of 10 % (uptime minutes)
  12. Direct Labor Efficiency Improvement 7 % (parts per man-hours)
  13. Production Schedule Attainment 97%
  14. Delivery to Customer 100%

D. Layout / Visual Management Criteria.

  1. Layout – Three types of applications.

a) Capital intensive equipment – Normally with a specific purpose for core application, high speed, or batch process. The cycle time of these pieces of equipment limits the ability of the in-line process.

(1)
(2)
(3)
(4)

These types of applications are normally stand-alone operations that are decoupled from other operations to utilize equipment capacity and shift capacity (3 shifts, 6 days/week).

b) Sub-component or final assembly in-line cell – Series of equipment set in a straight line with multiple operators completing short simple operations (6 – 12 sec) at a single station (no operator movement). Normally used in the high-speed output (250+ parts/hour).

(1) Layout meets the principles of an In-line process.
(a) Equipment in a straight line.
(b) Operator work is a single simple operation (6-12 seconds).
(c) Operators are stationary.
(d) Material is feed into the in-line process.
(e) A part transfer is completed through automatic transfer or placing on handoff station.
(f) Single piece flow of parts between handoff stations.

This type of cell application is normally run with simple part transfer systems that are either manual or automated.

c) Sub-component or final assembly U-shape cell – Equipment is set in a U-shape with operators completing a series of simple operations at multiple stations. Normally used in medium to low output (40 – 80 parts/hour).

(1) Layout meets the principles of “U” shape cells.
(a) Equipment in U-shape.
(b) Work aisle is 5 feet wide and clear to the main aisle.
(c) One-piece flow in series, counter-clockwise direction.
(d) 1st operator paces cell and does the first and last operation.
(e) Operators work across the aisle.
(f) Raw material delivered to the operator at the point of use.
(g) No isolated islands.
(h) No stands on the floor.
(i) No twin machines operating in parallel.

This type of cell is designed to change operator work patterns to flex manning based on the volume requirements. It is critical that each station has simple actions (3-4 actions), that can be completed in a short time (15 – 20 seconds).

  1. Group identification.
    a) Each group is to be assigned a 4 digit numeric code (example 1010).
    b) A sign with the cell numeric code is to be positioned in the aisle at a 45-degree angle of the working cell, in the center of the cell work area. This will allow the view of the line number from inside the cell and both ways in the aisle.
  2. Andon lights.
    a) Each cell is to have three (3) Andon lights mounted below the cell Identification number to alert teams when there is an issue.

(1) Red – Group has an equipment issue.
(2) Yellow – Group has quality on manning issues.
(3) Blue – Cell has a material issue.

b) Switches to turn on and off the lights are to be located in the cell accessible by the operators.

  1. Pace clocks and counter.

a) Each cell is to have a pace clock that shows rate and a counter to show the actual # of parts produced. (“white” with “red” counting numbers)

b) Pace clock is to be wired into the machine to monitor the rate the cell is to operate.

c) The counter display is wired to the final station to count when a good piece is produced and packed. A counter can be automatic or manual.

d) Pace clock and counter are to be mounted below the cell identification sign on the main aisle.

  1. 1st piece rack (green).

a) Each cell will have a location to store the 1st piece sample.

  1. Daily shift start-up sheets.

a) Each group is to have start-up sheets for the start-up of the cell. Start-up sheets are to be posted on the machine and contain the following; safety checks, equipment PM checks/parameter verification, and error-proofing verification.

  1. Work Instructions.

a) Each group will have operator work instructions for each part posted on each machine or available in the job books on the cell.

b) If the detailed work instructions are held in a job book at the cell, bullet point operator instructions and quality checks are to be posted on each machine above the operator, with a slight downward angle, at a distance that allows the operator to read the instructions without difficulty.

  1. Gauge Work Instructions.

a) Each gauge will have operator gauge work instruction posted on each gauge.

  1. Line information board – (white).

a) The standard line information board is used to track daily group information and hold all information related to the manufacturing cell.

b) The line board location is identified with a square border (yellow) outline on the floor.

c) The front side top is to display Line Number, picture of customer vehicle, and manufacturing cell part information with their color codes.

d) Backside top – World Class Status chart.

(1) World Class status chart is used to identify the progress achieved by the group on their road to world-class.

(2) The opulence Logo will be applied when the cell achieves category requirements.

(3) The board is to be displayed at the front of the cell or on the information board.

e) Standard line information board is to contain the following information:

(1) Page 1 – Daily cell parameters board (front).

(a) Display description of parts produced on cell, customers, part number, and part number color coding.
(b) 1-31 scrap tracking.
(c) 1-31 downtime tracking.
(d) 1-31 labor efficiency tracking.
(e) 1-31 rework tracking.
(f) 1-31 changeover tracking.
(g) 1-31 safety tracking.

(2) Page 2 – Monthly cell parameters board.

(a) Monthly scrap tracking.
(b) Monthly downtime tracking.
(c) Monthly labor efficiency tracking.
(d) Monthly rework tracking.
(e) Monthly changeover tracking.
(f) Monthly safety tracking.

(3) Page 3 – Quality metrics board.’

(a) Cell customer PPM.
(b) Cell customer complaint for 12 months.
(c) Cell customer delivery performance for 12 months.
(d) Operator certification training chart.
(e) 8d or PDCA for a customer complaint.
(f) 8d or PDCA for a customer complaint.

(4) Page 4 – Standard work board.

(a) Takt time, target cycle time, and manning.
(b) Flex takt time, target cycle time, and manning.
(c) Cell layout with operator work pattern.
(d) Cell layout with flex operator work pattern.
(e) Manning balance workload chart.
(f) Flex manning balance workload chart.

(5) Page 5 – Safety and Environmental metrics board.
(a) Cell recordable incident rate.
(b) Cell lost time case rate.
(c) Cell layout with injury locations.
(d) 5S audit assessment scores.
(e) Housekeeping diagram with clean-up assignments.

(6) Page 6 – Employee Involvement board.
(a) EI meeting schedule.
(b) Employee company training status.
(c) Suggestion and implementation monthly graph.
(d) PDCA for EI improvement.

(7) Page 7 – Materials board.
(a) Supplier parts list.
(b) Water-spider route.
(c) Line layout of material delivery points.
(d) Color coding of manufactured parts

(8) Page 8 – Daily Production Information board (back).
(a) Weekly production schedule posted.
(b) Hour by hour production tracking sheet for the shift.
(c) Preventative maintenance board.

  1. Job books (white binder(s) stored at cell).
    a) Each part number on a cell will have an individual job book with the following information in the book:

(1) Work Instructions.
(2) Process Flow Diagram.
(3) Process FEMA.
(4) Process Control Plan.
(5) Work Instructions.
(6) Gauge Instructions.
(7) Packing Instructions for each final assembly.
(8) Changeover Instructions for each machine.
(9) Tool cleaning instructions after removal of the tool.
(10) Machine parameters and/or settings for each machine.

  1. Databook for cell – (white binders stored at cell).
    a) Cell history data will be stored at the cells in the following books:

(1) Daily production sheets (history).
(2) Past month 1-31 tracking sheets for 6 cell parameters.
(3) SPC data collected.
(4) Quality Alerts (history).
(5) Safety incidents and near misses (history).
(6) Preventative Maintenance book.
(7) EI Team book.
(8) Before and after picture books.

  1. Shadow boards.
    a) Tools need to perform changeover and adjustments mounted on board with the outline of the tool. Outline of the tool is used to identify the missing tool.
    b) Boards are to be located at the point of use.
    c) Boards (white).
    d) Outlines of tools (blue or black).
  2. Red Rabbit parts
    a) Sample parts are established with failures built into parts. These parts are used to verify that the error-proofing devices in machines are functioning properly.
    b) Parts are painted red, labeled to show a failure to be tested, and stored on the cell.
    c) Red rabbit parts are to be controlled through the quality department.
  3. Housekeeping supplies.
    a) Supplies are to be held on a rack at the cell or in a supply cabinet located close to the cell. They should be available to the operators during downtime and/or the end of the shift.
    b) Operator 5S housekeeping document and clean-up area to be defined and posted online board.
  4. Equipment error proofing.
    a) Error proofing is identified on each machine as P1, P2, or P3.

(1) P1 – Will not allow a bad part to be made.
(2) P2 – Will allow a bad part to be made but not passed on to the next operation.
(3) P3 – Will allow a bad part to be passed on to the next operations but contained at the future station within the cell.

  1. Boundary sample board.
    a) Boundary sample boards are to be mounted on the cell in the operator view.
    b) The boundary sample board contains three samples and color-coded the following.

(1) Good part (green).
(2) Acceptable / max allowance (yellow).
(3) Bad part (red).

c) Boundary sample boards are to be controlled through the quality department.

  1. Scrap red rack for cell (red).
    a) Rack to hold scrap parts found during the manufacturing process on the cell.
    b) Located in front of the cell.
    c) Scrap limits posted on a rack (“X” in a row, “X” in an hour – stop, contain, correct).
    d) Size of rack not to exceed the maximum limit.
  2. Process scrap container. (blue)
    a) Rack to hold scrap caused as part of the process and included in the Bill-of-Material.
  3. Painted manufacturing scrap container, (gray)
    a) Container to hold dirty metal (Alum part with paint) after disposition
  4. Repair rack (yellow).
    a) Rack to hold repair parts found during the manufacturing process on the cell.
    b) Located in front of the cell.
    c) Repair limits posted on the rack (“X” number – stop, repair, record).
    d) Size of rack not to exceed the maximum limit.
  5. Suppliers return rack – Internal and external suppliers (orange).
    a) Rack to hold supplier return parts.
    b) Located in front of the cell.
    c) Supplier return limits posted on the rack (“X” number – stop, return, record).
    d) Size of rack not to exceed the maximum limit.
  6. Cell Tool Storage.
    a) Tooling storage – off the floor on racks (white) or in cabinets.
    b) Location defined near the cell and labeled.
    c) Tooling to be color-coded by part numbers for a cell.
    d) Handling devices available for quick change over.
    e) The storage location of handling devices identified.
  7. Cell work area for operators.
    a) Work area to be free of the island and material racks.
    b) Maximum of one (1) part in any WIP rack.
    c) U-shape cell – 5 feet (approximate).
    d) Inline process – 5 feet (approximate).
  8. Environmental & chemical items labeled and organized in the location on cell.
  9. Fatigue mats. (black)
    a) Fatigue mats are in place properly on the cell to support operator work patterns.
  10. Borders and Lines – 3” – 4” width (yellow).
    a) Any fixture that is moved into and out of the cell is to have a border around it on the cell and in the storage location.
    b) Gauge(s) is to have a border around them on the cell or close to the cell.

c) Each cell is to have a border outlining the operator’s work area.

(1) U-shape for cells that have u-shape part flow.
(2) 2 straight lines for cells that have straight through part flow.

d) Cells need to have borderlines between cells.

(1) Single line if no water-spider routes.
(2) Two (2) lines if space between cells is used for the water-spider route.

  1. Equipment.
    a) Frames (white).
    b) Light guards and guarding (yellow).
    (1) Equipment fence style guarding – Yellow frames with black fencing is preferred.
    c) Moving platens (orange).
    d) A waste collection built into equipment at the point of use; (chip collection, material discard collection, drip pans, etc…).
    e) Operator buttons at point of use. Connect to the machine, not on the floor.
  2. Material supply to cell – totes.
    a) Material containers are to be labeled with part number and quantity.
    b) Feeder racks in place for all parts stored in totes.
    c) Feeder racks (both sides) on the cell is labeled with part number and minimum / maximum quantity.
    d) Container quantity reduced to minimum quantity and size to align with water-spider route and time.
    e) Rack size limited to 30 – 45 minutes of material to be stored at the cell.
    f) Material staging area to be defined and outlined for the next changeover.
  3. Material supply to cell – large bulk containers.
    a) The area defined outside the cell (yellow outline).
    b) The area labeled with the part number(s).
    c) Parts feed into the cell by water spider.
    d) Rack size limited to 30 – 45 minutes of material to be stored on the rack.
    e) Rack design to allow the operator to have a common point of use.
  4. Material supply to the cell – lot traceability
    a) Each rack for incoming material into the cell is to have attached the lot traceability form.
    b) Each container brought to the cell is to have posted close to its location the lot traceability form.
  5. Material supply to and from cell – Large containers and Finish goods.
    a) The area defined outside the cell (yellow outline).
    b) Area labeled.
    c) Utilize “Lazy Susan” (rotating table) on the cell to minimize downtime waiting for material handler/forklift operators.
  6. Cell Lighting
    a) Proper lighting for the work area is to be established at each cell for the operators to assure visual inspection criteria.
  7. Parts color-coded.
    a) Each part manufactured on a cell is assigned a unique color. Similar colors can be used on other cells. Color coding aids in operator communication and the reduction of change over time.
  8. Changeover
    a) Tooling storage provided and located near cell at point of use.
    b) The same color assigned to the part number is attached to each tool used in the manufacturing of that part number.
    c) Changeover tools are available on shadow boards close to point of use.
    d) Changeover sheets are created for the machine by part number and assigned the same color code as a part number. Changeover sheets include required safety steps and equipment, and tool PM/cleaning process required.
    e) Parameter set-up sheets are created for each machine by part number and assigned the same color code as the part number.
  9. Preventative maintenance (PM)
    a) PM board is located online information board
    b) PM board contains a cell layout with equipment numbered.
    c) PM board contains hooks to hang machine maintenance tag
    d) PM board contains storage pockets for safety and maintenance tags.
  10. Summary of cell Color Coding.
    a) Andon lights Red – equipment down
    Yellow – quality / manning downtime
    Blue – material downtime
    b) Pace clock and counter White with Red lettering
    c) Line boards White – high gloss
    d) Job books and data books White
    e) Shadow boards White with Black outlines
    f) Red rabbit Red
    g) Boundary samples White frame, green/yellow/red board
    h) 1st piece stand Green
    i) Manufacturing scrap (red rack) Red
    j) Process scrap Blue
    k) Banding / Misc. Scrap Green
    l) Repair rack Yellow
    m) Supplier return rack Orange
    n) Equipment White (high gloss) – frames
    Yellow – guarding
    Orange – moving platen
    o) Material racks White – high gloss
    p) Tooling racks White – high gloss
    q) Aisle lines Yellow
    r) Manufacturing floor area Light Gray
    s) Trash cans Light Gray

E. Group Functions

  1. Shop floor organization.
    a) Each group is assigned its specific parts which are dedicated to run on that cell.
    b) Each Operator is assigned to a specific group or assigned to multiple cells if groups are on a rotation pattern due to product mix.
    c) Each group is to have an assigned Line Leader who is an operator on the cell.
    d) Each group is assigned to a Team Leader.
    e) Team Leaders are responsible for a group of cells. They are responsible for the performance of their cells; the equipment operation, part quality, material handling, and the operators assigned to the cells.
    f) All Team Leaders are assigned to the Shift Supervisor.
    g) Disciplinary actions involving the Operators are the responsibility of the Supervisor. It is not the responsibility of the Team Leader or Line Leaders to perform disciplinary actions.
  2. Shift start-up meeting. SOP/WI XXXXXXXXXX
    a) Each team leader is to have a 10-minute start-up meeting with their team at the beginning of every shift.
    b) All cell operators are to be present for the meeting.
    c) Meeting agenda will cover the following:
    (1) Safety issues from the previous day.
    (2) Quality concerns have generated from their groups.
    (a) Customer concerns & alerts.
    (b) Internal customer concerns.
    (c) MRB – concerns from quality hold areas.
    (3) Today delivery concerns and from the previous day.
    (4) Today’s production schedule and line assignments.
    (5) Shift pass-down/ hand-off information.
    (6) Any facility communication from plant management.
  3. Daily shift start-up sheets. SOP/WI XXXXXXXXXX
    a) At the start of every shift the operator(s) complete the daily start-up sheets for each machine which contains the following.
    (1) Machine safety checks both equipment and personal protection equipment.
    (2) Equipment preventative maintenance checks and parameter verifications.
    (3) Cell equipment error-proofing verification checks (red rabbit).
    (4) The team leader verifies at any point during the shift that the shift start-up process has been completed.
    b) The daily start-up sheet is posted on each machine. At the end of the week, the sheets are collected and stored at the cell information board.
  4. Error proofing and red rabbit process. SOP/WI XXXXXXXXXX
    a) Quality Engineer and Manufacturing Engineer will create red rabbit parts to check error proofing.
    b) At the start of each shift, the operator will install the red rabbit and cycle the manufacturing equipment to verify that the error-proofing in each machine is functioning correctly.
    c) If the machine fails the red rabbit verification the machine needs to be repaired before manufacturing starts.
  5. 1st piece sample in 1st piece rack (green). SOP/WI XXXXXXXXXX
    a) Before the start of mass production a 1st piece inspection is to be completed by the operator
    (1) Both visual check and gauge verification checks are to be completed on the 1st piece.
    (2) The part must pass check verifications and 1st piece tag filled out and attached.
    (3) The part is placed in the 1st piece stand (green) in front of the manufacturing cell.
    (4) Previous shifts part is visually inspected for defects and packed into finish goods container.
  6. Operator certification. SOP/WI XXXXXXXXXX
    a) Each operator must complete the four-quadrant certification training for manufacturing parts on the cell.
    b) Operators will be trained on each manufacturing station; their training will be tracked through the four (4) quadrant approach.
    (1) Quadrant 1. – Instruction
    (2) Quadrant 2. – Verification
    (3) Quadrant 3. – Validation
    (4) Quadrant 4. – Certification
    c) Team leader and line leader is responsible to train the cell operators on the processes.
    d) The training document is to be displayed on the cell information board.
  7. Standard work. SOP/WI XXXXXXXXXX
    a) The manufacturing engineer is to create the standard work patterns used on the cell. They are to create two (2) work patterns at two (2) different manning levels to allow for volume fluctuations.
    b) Operators are to manufacture parts using the defined standard work.
    c) Standard work documents are to be displayed on the cell information board.
    d) If operators identify improvement to the current work pattern, all standard work documentation must be updated and used across all shifts.
  8. Andon light process. SOP/WI XXXXXXXXXX
    a) Operators should never have to leave their cell for downtime reasons or to get product/supplies to run their cell.
    b) If an Operator determines they have a quality issue on a part, starting to run low on material, or have an equipment build issue they are authorized to shut-down their cell if necessary and request assistance through the Andon light process.
    c) The operator should turn on the appropriate switch for their specific issue.
    (1) Red – Cell has an equipment issue.
    (2) Yellow – Cell has the quality or manning issue.
    (3) Blue – Cell has a material issue.
    d) Team leader, quality tech, material handler, and supervisor should be looking for these signals through-out their shift. When the appropriate light is seen the team member needs to address the issue.
    (1) Red – equipment issue – team leader or supervisor address
    (2) Yellow – quality or manning issue – quality tech or supervisor address
    (3) Blue – material issue – material forklift driver or water-spider address e) Each issue if not immediately corrected should follow the escalation process.
  9. Pay point for material at the end of the cell. SOP/WI XXXXXXXXXX
    a) Pay point needs to be established into the Bill of Materials if the parts are packed into a container at the end of a cell.
    b) Part numbers are used to schedule the parts built on the cell.
  10. Part counters on the cell. SOP/WI XXXXXXXXXX
    a) Operators are to track the number of parts produced on the cell and packed into the F/G container.
    b) An operator will activate a switch to state a good part has been produced.
    c) A counter will update when a good part is produced to show the actual good parts produced during the shift.
  11. Pace clock process SOP/WI XXXXXXXXXXX
    a) Line leader is to zero the pace clock at the start of the shift
    b) Line leader is to start the pace clock at the start of their shift production and after any changeover is complete during their shift.
  12. Operator Work Instructions SOP/WI XXXXXXXXXXX
    a) The manufacturing engineer is to create an outline, in bullet point format, showing the step-by-step actions at the work station which the operator is to perform when manufacturing each part.
    b) The manufacturing engineer is to post the bullet point operator instructions at each work station above the operator, with a slight downward angle, at a distance that allows the operator to read the instructions without difficulty.
    c) The operators are to complete the manufacturing of the part in the order outlined in the posted operator instructions.
    d) During the part changeover, the operators are required to verify and change the outline of step-by-step instruction to the right part number.
  13. Quality checks and part gauging SOP/WI XXXXXXXXXXX
    a) The quality engineer is to create a step-by-step outline, in bullet point format, showing the quality checks at the work station the operator is to complete after manufacturing each part.
    b) Operator quality checks are to match the quality checks outlined in the process control plan.
    c) The quality engineer is to post the bullet point quality instructions at each work station above the operator, with a slight downward angle, at a distance that allows the operator to read the instructions without difficulty.
    d) The operators are to complete the quality checks of each part in the order outlined in the posted quality checks.
    e) During the part changeover, the operators are required to verify and change the outline of quality checks instruction to the right part number.
  14. Statistical Process Control (SPC) and part testing SOP/WI XXXXXXXXXXX
    a) The quality engineer is to create SPC tracking sheets and calculate upper and lower control limits for all critical characteristics outlined in the process control plan.
    b) The team leader collects dimensional data from the manufactured parts in the frequency stated in the process control plan.
    c) A team leader is to plot data points on the SPC chart and take the following actions:
    (1) If point is between upper and lower control limits and not showing any trend (4 points) toward upper or lower control limits, no action required.
    (2) If point is between upper and lower control limits and showing a trend (4 points) toward upper or lower control limits, adjustment to process is required to change trend direction.
    (3) If point falls outside upper or lower control limits, adjustment to process is required to bring dimensions back into limits.
    (4) If point exceeds upper and lower tolerance, line is to be stopped and escalation process is to be initiated.
    d) Team leader is to note on the back of SPC chart all process adjustments completed to correct SPC issues.
    e) Team leader is to file SPC sheets in the cell’s SPC log book stored in the cell line information board.
  15. Material Supply – water-spider SOP/WI XXXXXXXXXXX
    a) Material stations in the cell should be designed for operators to have their material presented to them in a consistent method and same location “point of use philosophy”.
    b) Operators should not leave the cell to get material, remove containers, or perform acts other than manufacturing parts.
    c) The material held on a cell should be no more than 30 – 45 minutes worth of stock. This aids the operator with better point of use and shorter work patterns.
    d) Through-out the shift the material water-spiders bring material and other items to the cell, feed them into the cell through Kanban racks, and remove empties and other items from the cell.
    e) The water-spider is to verify each container loaded into the cell is labeled properly with the correct part number.
    f) The water-spider is to complete a transaction to use-off the raw material they are feeding into the cell. The transaction will transfer the raw material from raw inventory to work in process (WIP) in the cell material location.
    g) The water-spider is to complete lot traceability document for each container feed into the cell.
    h) Forklift drivers are to bring large containers to the cell, remove finish goods, and empty containers.
  16. Material Supply – forklift driver SOP/WI XXXXXXXXXXX
    a) Material brought to the cell and removed from the cell by forklifts should have defined areas outside cell or utilize rotating tables to eliminate cell downtime for lack of material.
    b) Operators should not leave the cell to get material, remove containers, or perform acts other than manufacturing parts.
    c) The material held on a cell should be no more than 30 – 60 minutes worth of stock. This aids the operator with better point of use and shorter work patterns.
    d) Through-out the shift the forklift driver brings material containers and other items to the cell, and removes empties and other items from the cell.
    e) The forklift driver is to verify each material container brought to the cell is labeled properly with the correct part number.
    f) The forklift driver is to complete transaction to consume the raw material they are feeding into the cell. The transaction will transfer the raw material from raw inventory to work in process (WIP) in the cell warehouse.
    g) The forklift driver is to complete lot traceability document for each container feed into the cell.
  17. Labeling and scanning finish goods off line – forklift driver SOP/WI XXXXXXXXXXX
    a) Forklift driver or water-spider will bring empty finish good containers to the cell, and remove completed finish good containers.
    b) Finish goods containers brought and removed from the cell utilize rotating tables to eliminate cell downtime for lack of material.
    c) Prior to bring empty finish goods container to the cell the forklift driver or water-spider is to remove all old labels on the container.
    d) Cell operator is to verify that the labels have been removed from finish goods container, and apply current running part label to finish goods container.
    e) The forklift driver is to scan the finish good container when full, and remove container from the cell.
    f) Scan transaction will remove components from cell WIP warehouse and add final assembly to finish goods warehouse.
  18. Process scrap SOP/WI XXXXXXXXXXX
    a) Process scrap is defined as any scrap caused during the process cycle that is necessary in manufacturing the part (drill chips, end cuts, runners, etc…). Process scrap is defined as un-avoidable.
    b) Machine or operator collect process scrap during the manufacturing cycle.
    c) Process scrap is removed from the cell and placed into the “blue” process scrap hoppers for disposition.
  19. Manufacturing scrap and escalation process SOP/WI XXXXXXXXXXX
    a) Manufacturing scrap is defined as any scrap caused by the improper handling or an incorrect or failed manufacturing process. Manufacturing scrap is defined as avoidable.
    b) Operator identifies a defect on a part and marks defect with china marker.
    c) Operator places part in red rack and records defect on daily production sheet.
    d) Operator initiates escalation process if the number of parts on the red-rack exceeds the escalation criteria. Escalation process;
    (1) Operator stops the manufacturing cell, signal using Andon light, and contact team leader.
    (2) Team leader investigates, determine root cause, fix problem, and verify part quality to the CAS/RAS and gage work instructions.
    (3) If team Leader cannot determine cause of problem, escalation process should continue through supervisor, business unit leader, and plant manager until correction is completed.
    e) Team leader, material tech, or quality tech review throughout the shift the red-box parts and quantities recorded on the daily production sheet. Final disposition of the parts is made and any corrections to the quantities recorded on the daily production sheet.
    f) Manufacturing scrap is placed in “red” manufacturing scrap hopper for proper disposal. If manufacturing scrap is determined to be dirty metal (painted aluminum) it is placed in the “gray” manufacturing scrap hopper for proper disposal.
  20. Repair process SOP/WI XXXXXXXXXXX
    a) Operator identifies a repairable defect on a part during production build.
    b) Operator places part into the repair rack “yellow” on the front of cell.
    c) Operator initiates repair process if the number of parts in the yellow-box exceeds the repair criteria. Repair process;
    (1) Operator informs line leader of repair criteria exceeded.
    (2) Line leader stops the manufacturing cell and starts the repair process.
    (3) Operator repairs all parts in the repair rack and enters them back into the manufacturing cell at the point of build process. If the build process is the last station all parts must be visually checked and run through the final inspection station.
    (4) Line leader records on the daily report the number of good parts packed into the finish goods container, number of scrap parts placed in the red rack, and the total number of repairs completed.
    d) Line leader initiates repair process when a container of repair parts is brought from MRB to the manufacturing cell for repair. Repair process;
    (1) Line leader stops the manufacturing cell and starts the repair process.
    (2) Operator repairs all parts in the container and enters them back into the manufacturing cell at the point of build process. If the build process is the last station all parts must be visually checked and run through the final inspection station.
    (3) Line leader records on the daily report the number of good parts packed into the finish goods container, number of scrap parts placed in the red rack, and the total number of repairs completed.
    e) Team leader and supervisor review throughout the shift the yellow-rack repair process is being followed when parts exceed repair criteria.
  21. Supplier return process – internal or external SOP/WI XXXXXXXXXXX
    a) Operator identifies a defect on a supplier part brought into the cell, and mark defect with china marker.
    b) Operator places part into the supplier return rack “orange” on the front of cell.
    c) Operator initiates escalation process if the number of parts, in the supplier return box, exceeds the escalation criteria. Escalation process;
    (1) Operator stops the manufacturing cell and contact team leader.
    (2) Team leader investigates, determine root cause, fix problem, and verify part quality to the CAS/RAS and part fit requirements.
    (3) If team Leader cannot determine cause of problem, escalation process should continue through supervisor, business unit leader, and plant manager until correction is completed.
    d) Team leader places all supplier return parts on quality hold, and has them removed from the manufacturing cell.
    e) Quality tech places parts into quality hold area (MRB) for final disposition and completes material transfer documents to reduce raw material and place in MRB.
    f) Quality tech submits paperwork for entry.
    g) Team leader and supervisor review throughout the shift the supplier return process is being followed when parts exceed the escalation criteria.
  22. Changeover process SOP/WI XXXXXXXXXXX
    a) Manufacturing engineer is to create for each machine; changeover instruction by part number, parameter set-up sheet by part number, and shadow boards for all mechanical tools needed to complete changeover.
    b) Manufacturing engineer is to provide storage areas and handling devices for all tools used to manufacture parts. Storage areas are to be located close to the equipment or at the point of use.
    c) Manufacturing engineer is responsible to ensure back-ups exist for all equipment programs and settings.
    d) Team leader displays on the information board the order in which the part numbers are to run for the shift, and which part number will be manufactured next. Signal for next changeover is displayed.
    e) Material handlers are to pre-stage the material for the next run.
    f) Line leader signals changeover to start and starts a timer to track the changeover time. Each operator participates in the changeover of the cell.
    g) Operator follow safety lock-out/tag-out instructions outlined in the changeover instructions and remove current part number tools from the equipment using provided tools.
    h) Operator install next part number’s tooling into the equipment according to the changeover instructions and secure using provided tools.
    i) Operator verifies all tooling is secured, removed tooling is cleaned and put in proper location, and changeover tools are placed back on shadow boards.
    j) Operator removes any lock-out/tag-out devices and powers up equipment.
    k) Operator sets parameters according to the parameter set-up sheets.
    l) Operator completes start-up check sheet and builds 1st piece part.
    m) Line leader stops timer after 1st piece is approved and records changeover time on daily production sheet.
    n) Team leader to inspect removed part tooling for proper cleaning and PM at the cell. If required team leader will send part tooling to the tool room for additional cleaning or repair.
  23. Hourly production information board SOP/WI XXXXXXXXXXX
    a) Line leader is to update the hourly production board after each hour with the following information:
    (1) Parts per hour standard
    (2) Quantity of good parts produced .
    (3) Number of parts scraped
    (4) Number of repair parts
    (5) Downtime minutes including changeover time.
    (6) Downtime reasons and comments
  24. End of shift clean-up SOP/WI XXXXXXXXXXX
    a) Cell clean-up is to start 10 minutes prior to the end of the shift. All necessary cleaning supplies are located close to the cell on shadow boards or in a supply cabinet.
    b) Team leader and supervisor are to create a 5S housekeeping zone diagram for each cell and assign each operator on the cell to a 5S zone with specific clean-up items.
    c) Operator is to complete their clean-up items in their zone according to the 5S zone instructions.
    d) Operator is to return cleaning supplies to appropriate storage area when end of shift housekeeping is complete.
  25. Daily production sheet SOP/WI XXXXXXXXXXX
    a) Line leader is to record on the daily production sheet throughout the shift the hour by hour information:
    (1) Number of good parts produced in each hour.
    (2) Number of parts scraped in each hour.
    (3) Number of repair parts in each hour.
    (4) Downtime minutes including changeover time in each hour.
    (5) Number of operators on the cell in each hour.
    (6) Number of scrap parts per scrap code.
    (7) Number of downtime minutes per downtime code.
    b) Line leader at the end of the shift will total the following:
    (1) Total number of good parts by part number
    (2) Total number of scrap parts
    (3) Total number of downtime minutes including changeover.
    (4) Total number of repairs
    (5) Total number of employee hours on the cell.
    (6) Total number of scrap parts per defect code.
    (7) Total number of downtime minutes per downtime code.
    c) Line leader will submit to team leader the cell daily production report. Team leader will review for accuracy, sign document, and submit document to the supervisor. Designated place will be defined for team leader to place sheets.
    d) Supervisor will approve and submit to material tech for entry.
    e) Material tech after entry will return daily production report to cell for filing.
  26. Tracking daily 1-31 charts on the cell information board. SOP/WI XXXXXXXXXXX
    a) Line leader at the end of the shift, is to plot the following 1-31 day charts using the daily production sheets information.
    (1) Plot number of scrap pieces.
    (2) Plot number of downtime minutes.
    (3) Plot number of changeover minutes.
    (4) Plot number of repairs parts.
    (5) Plot percentage of labor efficiency or parts per hour
    b) Line leader is to plot a point on the chart and connect the points with a straight line.
    c) Team leader will review 1-31 charts are updated at the end of the shift.
  27. Shift to shift communication book. SOP/WI XXXXXXXXXXX
    a) Team leader is to maintain a log book at each cell outlining the process issues/changes and maintenance issues/repairs that occurred throughout the shift.
    b) Maintenance, tooling, line leader, or quality tech, are to make entries into the log book.
    c) At shift handoff team leaders from both shifts are to review the issues from the previous shift.
  28. Quality Alerts SOP/WI XXXXXXXXXXX
    a) Quality engineer will issue a quality alert when a customer issues arises.
    b) Quality engineer will post alert on the cell where the issue occurred. Also, will post on the information board.
    c) Quality engineer and team leader will review quality alert with operators on all shifts and obtain a signature from each operator on the alert.
    d) Quality alert will stay active until corrective action is put in place and verified.
    e) Team leader will file closed quality alert in the Alert log book located in the line library.
  29. Daily maintenance process SOP/WI XXXXXXXXXXX
    a) Manufacturing engineer is to create for each machine a daily check sheet and store the check sheet at each machine.
    b) Manufacturing engineer is to create the PM board for the cell. Board contains a cell layout with equipment numbered, hooks to hang machine maintenance tag, and storage pockets for safety and maintenance tags.
    c) Operator completes the daily PM check list at the start of the shift using the daily start-up sheet (Daily PM schedule is included in the daily start-up sheet). Daily checklist is posted on the machine.
    d) Operator identifies a concern with the equipment during the daily start-up check or during normal shift operations; operator takes the following action:
    (1) Safety equipment failure – Shut-down cell, turn on maintenance Andon light, and contact team leader or supervisor. Cell does not start-up until maintenance has repaired safety concern.
    (2) Safety concerns – write safety PM ticket, hang copy on machine, and hang tickets on cell’s PM board.
    (3) Equipment operational failure – Shut-down cell, turn on Andon maintenance light, and contact team leader or supervisor. Cell does not start-up until maintenance has repaired equipment concern.
    (4) Equipment concerns – write maintenance PM ticket, hang copy on machine, and hang tickets on cell’s PM board.
    e) Maintenance on each shift will pick-up copy of safety and maintenance tags from the cell.
    f) Maintenance will write work-order, schedule, and repair identified concern. When concern is completed maintenance will sign-off on ticket.
    g) Line leader will record and file completed ticket in PM / maintenance book in cell library.
  30. Preventative maintenance program SOP/WI XXXXXXXXXXX
    a) Manufacturing engineer is to create for each machine preventative maintenance (PM) schedule for weekly, monthly, semi-annual, annual, and 3-5 year time periods. Preventative Maintenance schedules are to be in the PM book stored in the cell library.
    b) The manufacturing engineer submits PM schedule to the maintenance department to set-up work orders in the PM system and to schedule times to be completed.
    c) The team leader completes their assigned weekly PMs, completes the PM ticket, and submits PM ticket to the maintenance department.
    d) Team leader updates cell PM logbook to show PM completed.
    e) Maintenance person completes assigned weekly, monthly, semi-annual, annual, and 3-5 year PMs, completes the PM ticket and submits PM ticket to the maintenance department.
    f) Maintenance person updates cell PM logbook to show PM completed.
    g) The team leader tracks the number of PM completed on time per month by operators, team leader, and maintenance/tooling department.
    h) Team leader updates result on the cell information board.
  31. Employee Involvement (EI) SOP/WI XXXXXXXXXXX
    a) E.I. teams consist of 6-10 team members from a single cell or cells that have similar processes (example: molding).
    b) 100% of cell operators, line leader, and team leader are to be on E.I. team.
    c) E.I. Team will have a set time to meet once a week.
    d) Each team will meet between 30 to 60 minutes once per week to discuss cell issues and continuous improvement on their cell.
    e) Each team will have a logbook to collect meeting minutes and suggestions,
    f) Each team will elect an EI leader and scribe for the team.
    g) E.I.’s leader will create an agenda for each meeting. The agenda will cover cell safety issues, quality issues, delivery issues, and performance.
    h) Scribe will record the number of suggestions and the number of implemented suggestions in the EI team suggestion book.
    i) Scribe is to submit to the HR department at the end of each month the number of suggestions and the number of implemented suggestions for the month.
    j) Each team will have a salaried employee as a team facilitator and liaison to the business unit management team.
    k) The facilitator is to attend each E.I. team meeting.
    V. Business Unit
    A. Business Unit – Layout and Visual Management Criteria
    B. Business Unit – Function
  32. Material Handlers (water spiders)
    a) Define the number of cells responsible to supply material.
    b) 15 to 20-minute route defined for each water spider.
    c) Stop stations defined for each cell.
    (1) The material in and out of the cell.
    (2) Packaging and dunnage to and from the cell.
    (3) Other items to and from the cell. (example; scrap, cardboard, trash, etc…
  33. Operations for Business Unit
    VI. World-Class – Facility requirements to achieve.
    A. In order for a facility to achieve “World Class” status, the manufacturing cells in the facility must first reach a level of “World Class”.
    B. In order for a facility to achieve “World Class” status, 65% of the manufacturing cells in the facility must first reach a level of “World Class”.
    VII. Operations Organizational Structure

A. Corporate Operation Structure

B. Plant Operations Structure

C. Business Unit Structure
VIII. Daily Operations

A. Schedule of Meetings – Daily

  1. Business Unit Team Meeting – Daily prior to Plant meeting.
  2. Plant Business Unit Leaders meeting – Daily prior to 10:00 am Operations meeting.
  3. NA Operations Meeting – Daily 10:00 am.
    a) Safety, Quality, Delivery, and Performance
    b) Daily categories
    (1) Monday – Weekend, Customer Concerns, and customer chargebacks.
    (2) Tuesday – Weekly efficiency and utilization, headcount, scrap, and freight.
    (3) Wednesday – MRB, Inventory $ and turns, and cycle counts
    (4) Thursday – Weekend overtime schedule and supplier chargebacks.
    (5) Friday – employee requisitions, attendance, engineering changes, and financial performance.

B. Schedule of Meetings – Weekly.

  1. Program management review – *, Wednesday xx:xxam.
  2. Program gate review – *, Tuesday xx:xxpm.
  3. Operations staff meeting – , Tuesday 10:30am.
  4. Sales quote reviews – *, Friday 1:15pm.
  5. Scrap review meeting –
  6. Materials review meeting – .

C. Schedule of Meetings – Monthly.

  1. Plant metrics review – 2nd Thursday after the monthly close.
  2. Financial review – xxxxxx.

D. Schedule of Meetings – Quarterly.

  1. Board of Directors meeting – As scheduled.
  2. Operations quarterly review – As scheduled.
  3. Daily Business Unit Team Meeting
    a) Each Business Unit is to have a daily Team meeting. All team members; Business Unit Manager, MEs, QEs, Supervisors, Material Planners, and Customer Service are to attend (maintenance, tooling, and other team members are at the discretion of the BUL. Each team will meet daily for 30 minutes to discuss the previous day’s activities and any issues that are critical to the current day/ week. The team will follow at a minimum the agenda to discuss Safety, Quality, Delivery, and Performance.
    (1) Safety – review any recordable or near-miss incidents
    (2) Quality – Review Fast Response Board items
    (3) Delivery – Status of any missed shipments and potential delivery issues
    (4) Performance – Schedule attainment and downtime issues.
  4. Business Unit Team Meeting War Room (SOP# )
    a) Each Business unit is to have a meeting room dedicated to that Business Unit. The room is set-up that each team member has a seat at the main table. The room is set-up with visual aids that are arranged in a U-shape tracking left to right in a counter-clockwise direction. The following order is to be followed.

(1) Safety – Information regarding recordable incidents and safety actions
(2) Quality – Fast Response Board to be displayed and operational
(3) Delivery – Information regarding delivery performance by customer
(4) Performance – Schedule attainment
(5) Labor – Drive factors regarding efficiency
(6) Downtime – Driving factors regarding equipment and cell downtime
(7) Scrap – Action items to drive down main scrap issues
(8) Rework – the status of rework conditions.
(9) MRB – Key drivers and action regarding MRB
(10) Inventory – Current status and action to minimize inventory
(11) New Launches – current status of new launches
(12) BU Floor Layout – current and future state

b) The room is set-up in this manner to drive daily activities from reactive mode (right side of the room) to proactive mode (left side of the room).

c) Each of the documents associated with the items above are outlined in the Opulence SOP.

  1. Production Scheduling and Material Control
    a) Run every part every shift or day
  2. Material Flow System
  3. Kanban system implemented for Raw to WIP, WIP to FA, and FA to FG
  4. Established production, buffer, and/or safety stock.
  5. Customer shipping schedule (SOP# )
    a) Customer Service Representative (CSR) creates a 13-week shipping schedule from customer requirements in Future 3. (Two weeks daily buckets, 11 weeks in weekly buckets). CSR is to release the shipping schedule to Material Planner (MP) by COB Wednesday. (Standard form to be used)
  6. Production schedule or leveling method in place (SOP# )
    a) MP is to create a production schedule for the following week by BU, cell, and part number by COB on Thursday for final assembly BU and COB on Friday for component BU. Every cell, press, oven etc… is to be scheduled. MP is to level schedule their cells using the concept of running every part every shift as a guideline. (Standard form to be used)
  7. Action plans being used to drive change (Drill Down Charts)
    a) Drill-down charts shall be used to drive and track change in the manufacturing cell. Drill-down charts focuses on a single measurement such as scrap and displays the trend, pareto of defects, action plans, and paynter chart tracking to demonstrate corrective actions eliminated the defect.
  8. Suggestion program being utilized with tracking of implemented suggestions
    a) Each team/cell will track and record the number of suggestions submitted in weekly meetings and any suggestions given during the week. The number of suggestions will be recorded in the suggestion log along with the number of suggestions implemented.
  9. Water-spider (material handler) supplying the cell with standard route.
    a) The in-direct operator is identified to deliver material to a group of cells in order for the operators not to leave the cell and interrupt production. The water-spider is set-up on a continuous path timed for 20 – 30 minutes per loop. The water-spider retrieves necessary material from the supermarket located along his path, stops at each material station on his path to replenish used material, and remove empty containers from the cell and place in designated areas. Cell’s material racks are designed to hold a maximum of 30 – 60 minutes of material at the cell.
  10. Large containers outside the cell in racking location, Water-spider feed small containers into cell
    a) Certain material stations in the cell will be designed to aid in the operator’s ability to have their material presented to them in a consistent method. The water spider will have to load material into the cell by unpacking parts from a larger container located just outside the cell feeding into a rack that is placed into the cell. This presents the operator with the part closure to the point of use and also aids in shortening walk patterns by not have large containers on the cell.
  11. Forklifts confined to main FG isle and main raw material aisle
  12. Water-spider aisle is narrower to prohibit forklift traffic.
  13. Material traceability in place

IX. Facility – Layout and Visual Management Criteria
A.
X. Facility – Processes
A. The employee of the Month Program
B. Customer Focus Business Units

  1. Purpose of Business Units
  2. Business Units structure
    a) Business Unit Leader – Report to Plant Manager
    b) Manufacturing Engineer(s) – solid line to BU Leader, dotted line to Manf Engr Manager
    c) Quality Engineer(s) – solid line to BU Leader, dotted line to Quality Manager
    d) Supervisor(s) – solid line to BU Leader
    e) Material Planner(s) – solid line to BU Leader, dotted line to Material Manager
    f) Customer Service Rep(s) – solid line to BU Leader, dotted line to Material Manager
  3. Support structure
  4. Customer focus approach

C. Work tone system (signal shift start, breaks, lunch, hourly production report and end of shift

D. Facility Color Codes

  1. Fire Systems and extinguishers Red
  2. Other safety items – machine guarding, rails, etc… Yellow
  3. Safety – aisle lines (3 to 4 inches wide) Yellow
  4. Machine guarding Yellow
  5. Machine guarding with grid Yellow trim with Black grid
  6. Machine moving platen/plain or moving rotation Orange
  7. Machine frames White – high gloss
  8. Floor isle Light gray or polish
  9. Floor line area Light gray
  10. Utilities – natural gas lines Yellow
  11. Utilities – compressed air Green
  12. Utilities – electrical Gray
  13. Utilities – City water Dark Blue
  14. Utilities – Processed water in – out (cooling etc…) Light Blue
  15. Utilities – Air Ducts Sheet metal – No paint
  16. Manufacturing Scrap Red
  17. Process scrap Blue
  18. Trash Light Gray
  19. Banding / Misc. Green

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