Crompton Greaves' Operations Overhaul
 |
Details
Themes: Operational Restructuring
Period : 1990-2000
Organization : Crompton Greaves
Pub Date : 2002
Countries : India
Industry : Electrical Equipment
Buy Now
Case Code : OPER003
Case Length : 05 Pages
Price: Rs. 200;
Tools
The Nashik Unit Overhaul Contd...
|
The above setup offered many other advantages. While production volumes were more or less the same, they now required only one-fourth the floor space. This released space for new products. Turnover or rotation of space therefore increased by three times. Also, smaller batches offered more flexibility and therefore higher customization. SPF also increased the pressure on processes by identifying problems and bottlenecks very quickly. For instance, one shop had a board with different-colored bulbs that indicated the reasons for various bottlenecks. For instance, if there was no material or no order, a red bulb lit up; if the basket was full, a yellow bulb lit up, and so on. This resulted in efficiency improving by 10%. |
|
CGL worked on the housekeeping front as well to make the unit more efficient. Material was organized so that no searching was required. All the items were allocated a place, close to where it was used, with the date and inspection status marked on it. The layout was correspondingly changed so that minimum transport was required. None of the machines were grounded, which meant that layouts could be changed easily. Several meters of pipe in different colors were put up so that problem lines could be easily identified. Fixtures were also colored according to the product they were used to make. Detailed instructions in both English and the local language Marathi were put up at various spots. Charts displaying the cost of energy per machine per hour were put up to reduce energy wastage.
CGL formed cross-functional teams to identify and solve problems on the shopfloor. For instance, a malfunctioning magnetic sensor (which would have cost Rs 80,000 and taken six weeks to import) was fixed for just Rs 440. This was made possible by a technician who went to Pune and spent two days with a local manufacturer to set the sensor right. To reduce set-up times and ensure faster changeovers, teams were formed to work towards bringing the time elapsed in exchange of dies to a single minute. 'Andon' devices were installed on automatic lines to warn of faults that would have otherwise been passed without being noticed, and later rejected or reworked. For instance, any fault in the insulation of copper wire resulted in a signal from the andon device installed.