Stephen Mummery Matthews Presentation

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The Manufacturing Journey into Lean & OEE June 2012

Our Business •

Australian and family owned



Over 35+ years in Australia



Strategic Alliance Partners with GS1 Australia



Sales and Service around the nation ( VIC Head Office)



Core business has always been product identification but we have evolved as industry and clients has required us to……



Hence our journey into Lean and OEE….

Product Identification requirements • Primary, secondary and tertiary identification for product traceability through the supply chain

Packaging Floor Issues • Inefficient code management practices • Coding errors: rework, wastage or recall • Multiple platforms: different interfaces, multiple messages, multiple

Production floor:

operators • SSCC Label printing separate process • No central point of control • Poor in-line quality control

• Increasing requirements for product trace-ability • Lack of overall plant visibility

Production Office:

• Poor connectivity from plant up to MRP/ERP systems • Poor automated production reporting • Poor automated fault reporting

Lean and OEE requirements

OEE is a global best practice measure to monitor and improve the effectiveness of manufacturing processes

“You cannot manage what you cannot measure."Bill Hewlett, Co-founder of Hewlett-Packard

Industry perspective

“Improve productivity and efficiency or perish” Terry O’Brien Managing Director

Why the drive for Lean and OEE in industry Lean practices focus on reduction of non- value adding waste in manufacturing Production waste includes: •

Waiting times



Overproduction



Rework



Motion times

Why OEE? OEE = Availability x Performance x Quality Availability = Uptime of equipment Actual running time/Planned running time Performance = Machine production Actual production/Potential production Quality = finished product Good units/Produced units

Lean systems The pillars of Lean include: Metrics, KPI’s and Score boarding Flexibility Perfecting quality Standardisation Continuous improvement

Effective combination of Lean and OEE Lean practices + strong OEE means:  Productive manufacturing  Efficient production  Profitable products and businesses

OEE requirements Reporting

“….operations management can use mobile applications or software remotely to gain critical insights into their production processes, perform inspection and maintenance tasks, receive productivity and logistics reports” Manufacturers Monthly June 2012

OEE requirements Measurement

OEE requirements – Quality focus Visibility

OEE requirements Integration into ERP, MRP and SCADA systems

Packaging hall innovations Increased Production  Efficiencies Packaging Management Software • Automation of coding • Dashboards & Scoreboards for real‐time monitoring of performance, availability and quality • Real time data on line status

Eliminate Coding &  Labelling Errors

Packaging Management Software + Vision Inspection

• Central product database • Scan & download product changeovers • Machine vision inspection validation 

Packaging Management Software

Vision inspection systems Application of camera and computer technologies to provide automatic inspection, process control and robot guidance in manufacturing and industrial applications.

Application – Cap position

Application

Application – Carton fill

Application – Label inspection

Vision Inspection – Quality focus •



Avoid any non shelf-ready product from reaching a customer •

Code presence & formation



Correct front & back label, crooked label



Cap color, cocked cap, tamper



Fill level



Damaged primary pack

Vision inspection provides the quality metrics for OEE –

Count of rejects



Reason for rejects



Any logic for redirecting rejects

Commercial in Confidence

A fine balance……

Quality Control

Quality Assurance

Systems integration outcomes Reduce waste, maintain OEE and deliver higher production levels but importantly have visible and instant reporting

Up-stream issues can be fixed in real-time

Alarms when the reject rate goes above the normal tolerance

Vision integrated with intelligent software that tracks defect rates in real time

Questions