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Continuous Improvement Project: Filter Manufacturing Department at BAT in Heidelberg

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Continuous Improvement Project: Filter Manufacturing Department at BAT in Heidelberg BPJ 410 – Final Report Continuous Improvement Project: Filter Manufacturing Department at BAT in Heidelberg Benito Decina s28345186 Executive Summary Production industries are subject to the ebb and flow of demand and supply fluctuations, with an increase in a product’s demand driving up the supplier’s production. At BAT’s factory in Heidelberg, the Filter Manufacturing Department is currently operating at nothing more than 75% efficiency, and is the bottleneck in BAT’s production process. If BAT plans to keep up with the increase in consumer demand, improvement is needed. To achieve a more acceptable production efficiency of about 85 to 95%, blockages hindering filter supply need to be minimised, changeover times reduced, and waste production needs to be kept to a minimal. The only way to achieve this objective would be to analyse the current layout, identify its flaws and areas of improvement, and then implement a new layout that would improve the department’s performance and complement future objectives. With the aid of simulation models, information is retrieved to determine the extent of improvements the proposed layout will be able to provide. The freed up floor space created by the proposed layout design will also be looked at to determine its best possible use. The information gathered from the simulations as well as the available floor space will provide a clear indication of the viability of the proposed layout. i Table of Contents 1. Introduction and Background ......................................................................................................... 1 2. Project Aim ...................................................................................................................................... 2 3. Project Scope .................................................................................................................................. 2 4. Literature Review ............................................................................................................................ 3 4.1 Sources of Information ........................................................................................................... 3 4.2 Information Gathered ............................................................................................................. 4 4.2.1 Departments ................................................................................................................... 4 4.2.2 Staffing ............................................................................................................................ 5 4.2.3 Products .......................................................................................................................... 6 4.2.4 FMD Machines ................................................................................................................ 7 4.2.5 Work Breakdown Structure ............................................................................................ 8 5. Supplementary Methods and Tools ................................................................................................ 9 5.1 Customer feedback forms ....................................................................................................... 9 5.2 Proposed facility layout ........................................................................................................ 10 5.2.1 Aluminium pipes ........................................................................................................... 10 5.2.2 HAUNI Alignment with FLC ........................................................................................... 11 5.2.3 HAUNI Orientation Change ........................................................................................... 12 5.2.4 HAUNI Positioning and Filter Movement ...................................................................... 13 5.3 Machine move ...................................................................................................................... 19 5.3.1 Work Breakdown Structure .......................................................................................... 19 5.3.2 Machine Movement Strategy ....................................................................................... 21 5.4 Free space analysis ................................................................................................................ 22 5.5 Simulation model .................................................................................................................. 26 5.6 Feasibility study..................................................................................................................... 26 6. Conclusion ..................................................................................................................................... 28 7. References .................................................................................................................................... 29 Appendix A ............................................................................................................................................ 31 Filter SKU’s ........................................................................................................................................ 31 Appendix B ............................................................................................................................................ 35 Customer Feedback Forms ............................................................................................................... 35 Appendix C ............................................................................................................................................ 38 FMD Original Layout ......................................................................................................................... 38 Appendix D ............................................................................................................................................ 39 FMD Proposed Layout ....................................................................................................................... 39 Appendix E ............................................................................................................................................ 40 Filtromat Specification Drawing ........................................................................................................ 40 Appendix F ............................................................................................................................................ 42 Magomat Specification Drawing ....................................................................................................... 42 Appendix G ............................................................................................................................................ 44 Gannt Chart ....................................................................................................................................... 44 Appendix H ............................................................................................................................................ 46 SMD Machine Information................................................................................................................ 46 ii List of Figures Figure 1: Process flow diagram at BAT Facility ....................................................................................... 4 Figure 2: Organogram for FMD ............................................................................................................... 5 Figure 3: AutoCAD drawing of FMD ........................................................................................................ 7 Figure 4: Downtime percentage per complaint ...................................................................................... 9 Figure 5: FLC in operation ..................................................................................................................... 12 Figure 6: Pipe set-up of new layout in alignment with FLC .................................................................. 12 Figure 7: Current HAUNI Orientation .................................................................................................... 13 Figure 8: Proposed HAUNI Orientation ................................................................................................. 13 Figure 9: Original Layout (Left) and Proposed Layout (Right) ............................................................... 14 Figure 10: First simplification of production data in MS Excel ............................................................. 15 Figure 11: Average number of pipes per week for each weekday ....................................................... 15 Figure 12: Average and standard deviation calculated for each filter SKU .......................................... 16 Figure 13: Pipes needed per day per SKU ............................................................................................. 17 Figure 14: Average SKU utilisation per weekday .................................................................................. 17 Figure 15: Production capacity as per filter length ............................................................................... 18 Figure 16: WBS of machine move ......................................................................................................... 20 Figure 17: (Left) Current
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