01 karl fitzsimmons bombardeer 21 tocpa uk 11 november 2015 for web

21st International Conference of the

TOC Practitioners Alliance - TOCPAwww.tocpractice.com 11 November 2015, UK

Metal Bond (Centre 04) Flow Project

Karl Fitzsimmons, Bombardier Aerospace

N. Ireland

11 November, 2015

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TOC Practitioners Alliance - TOCPAwww.tocpractice.com

O4O4O4O4Karl Fitzsimmons

- Bombardier Aerospace

- Logistics Manager

Karl Fitzsimmons



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What is Centre 04?

• 221,000 sq ft plant housing approx. 350 employees

• It is the Centre of Excellence for Metal Bonding and Chemical Milling

• Main products are fuselage skins & nacelle components for almost all Bombardier Programs

• This pilot project centred on the fuselage skins involving approx. 100 employees.



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Fuselage Panel

What is Centre 04? (cont’d)



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This is Metal Bond Centre 04



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This is Metal Bond Centre 04

It contains some processes quite difficult to describe in

terms of capacity



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Autoclaves Masking Robot

Cleanline Chemi-mill

These processes are particularly difficult!



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6 Axis Router

What is Centre 04? (cont’d)

ERP systems are notoriously poor at understanding the product process characteristics of plant like this and consequently launch at the wrong time and in the wrong sequence causing all sorts of expediting and wasted effort



O4O4O4O4Our Project: Metal Bond (Centre 04) Flow Project

� Problem Statement – historically C04 was plagued wit h recurring problems

� Inventory levels were too high

� On time delivery to the Customer was sporadic

� Silo based governance

� Perception of poor teamwork

� Project Challenge

� Reduce Inventory by 40%

� Align C04 fuselage supply to Customer Demand

� Develop visual management for a flow environment

� Significant Leverage Potential



O4O4O4O4Our Approach

Theory of Constraints (TOC)

An approach to Continuous Improvement which aims to :

TOC seeks to ‘ PULL’ materials through the system,

rather than ‘ PUSH ‘ them in.

TThroughput

UPUP IInventory

DO

WN

DO

WN OE

Expense

DO

WN

DO

WN

Simultaneously



O4O4O4O4Bombardier C04 “pull system” First loop parameters

Loop 1 with

physical capacity

for approx 70 flight bars in front of

the laser



O4O4O4O4Bombardier C04 “pull system”

2nd loop risk and countermeasure

RM x

Farnhams Laser scribe

MATRIX

ORDERS

MATERIAL ON IT’S WAY TO THE BUFFER

1 DAYS WORTH

MATRIX

SEQUENCE

1-4 DAYS

TIME BUFFER

70 FLIGHT BARS CIRCULATING

Transfer buffer of

flight bars




The laser scribe scheduler

SDOS Horizon days

Mon-03

Tue-04 GS214 5066 001 1 SH670-31002-9 1 SH690-33102-17 1 SH690-33102-19 1

Wed-05 GS214 5041 003 1 SH670-33003-11 1 SH670-33003-11 1 SH690-33124-11 1

Thu-06 85360131-115 1 85360131-115 1

Fri-07 SH670-31151-13 1 SH670-33003-11 1 SH670-33162-13 1 SH690-31351-9 1SH690-31351-9 1

Sat-08

Sun-09

Mon-10 604-32151-7 1 85327112-105 1 85360111-107 1

Tue-11 85360131-116 1 85360131-116 1 GM124 1502 029 M1 12

Wed-12 SH670-33003-11 1 SH670-35133-10 1 SH690-31351-9 1SH690-35073-19 1 SH690-35073-19 1

Thu-13 600-31016-225 1 600-31017-219 1 600-31020-191 1 600-31021-83 1 600-31022-133 1

Fri-14 85360131-115 1 85360131-116 1 85360131-116 1 GS214 0097 003 1

Sat-15

Sun-16

3-Nov-08 14

1 2 3 4 5 6



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RESULTS TO DATE

Bombardier Pull System Implementation




Lateness Wk 47 vs Wk 50

As we get better Schedule Adherence at the Laser scribe and more predictable lead times in Loop 2 we should see the outliers “squeezed” increasing on time and reducing “earlies” and “lates”



O4O4O4O4Bombardier C04 “pull system” What is OTIF performance by Day?




What is OTIF performance by Day?




Lateness Wk 47 vs wk 50



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Period

Week

Day

Demand

in No of

Panels

Days of

Inventory

Value of Nett

Inventory $'s

Inventory in

No of Panels

Absolute

Savings in

$'s

Savings

Relative to

Demand $'s

Savings

Relative to

Demand

$000's

Inventory

Turns

1 36D3 333 39.97 588590 436 9.01

2 38D5 333 37.22 531229 406 57362 39,253 39 9.67

3 39D1 333 35.39 507380 386 81211 65,723 66 10.17

4 40D2 333 32.46 433378 354 155212 100,387 100 11.09

5 41D2 333 28.15 403942 307 184649 169,735 170 12.79

6 9'03D3 387 22.78 438159 289 150432 330,833 331 15.81

7 9'04D2 387 24.12 432432 306 156159 284,346 284 14.93

8 9'04D4 387 24.75 434943 314 153647 267,629 268 14.55

9 9'05D2 387 23.33 404008 296 184582 288,279 288 15.43

CO4 Performance Assessment



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Step 1: Identify the Constraint – i.e. pacing item - Limits throughput

Step 2: Focus all efforts on the constraint- Schedule the constraint

Step 3: Ensure all other activities in the system pr ovide a service to the constraint

Step 4: Manage the capacity at the constraint to mee t Customer demand

Step 5: Repeat the process as necessary – Plan, Do, Check, Act.

BUFFER

ROPE

What does this look like within C04?

Concept Applied

- Control the release of material

DRUM

DRUM BUFFER ROPE

- Protect the constraint



O4O4O4O4Our Application

Drum = Laserscribe

Laser

True Customer Demand

Drum Schedule

Loop 2 Flow post Laser through all subsequent activities

Time based buffer

Buffer

Loop 1 Flow to Laser through all preceding activities



O4O4O4O4Our Governance – Schedule Adherence &

Flow Rate

Schedule Adherence at Laserscribe =

Percentage of jobs completed to the planned sequence through the Drum.

Target = 100% Schedule adherence

Drum Schedule

Daily Visual Governance for Flow Flow Rate = The percentage of jobs dwelling less than 1 day at each activity.

Target = 100% Flow

100% Schedule Adherence & Flow Rate = Optimum performance.



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C04 Culture

– Long established way of working

– Poor teamwork, low morale, unhappy customers

– Risk averse

Leadership Challenges

� Investment in training and education was significan t – the need was not always understood

� Lower inventory unearthed “hidden” problems

� New process was held responsible when things went wrong

� Importance of developing support strategies

� Major change in mindset required

� Theory of constraint principles challenged traditional views / financial metrics

� Needed to separate the complexity of C04 with the simplicity of the solution



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- 51% Inventory days reduction - Rope mechanism prevents inventory

build- up / over production- Scrap reduction - material handling

reduced due to less queues

Eliminating Waste

- Synchronised Customer delivery on time.- Improved responsiveness to Customer - Moving towards zero travelled work (fix at source)

- Alignment creates Customer confidence

Amazing Customer

Experience

- Improved Teamwork - Natural Team aligned to common goal

-Significant workplace environment change supporting Health and Safety

-High visual governance system – new metrics

Safe & Rewarding Workplace

Business Results aligned to Bombardier Business Priorities

“As a customer, the introduction of the C04 flow

project has certainly improved panel supply significantly, and

with further improvements expected, satisfaction levels

will certainly grow.

Harry WilkinsonProduction Manager

Panel Assembly Centre

George Dodds

VP Operations

“If we can refine this process in a complex area such as Centre 04, we can easily rollout the learning

to other areas. Quality, Cost, Footprint all get a benefit, on the

people side, people like to be part of a success and therefore

will become aligned.”

Ronnie Scott – Supply Chain manager, Composites Unit

“This project challenges all our conventions – measu res, governance and how we run a fabrications business. The

leverage potential is absolute……….. we witnessed a tea m working in harmony with genuine alignment around a common

purpose”



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Summary and Next Steps

Next Steps• Continue to improve pilot results• Leverage to the balance of product / people in C04.• Leverage beyond C04.

Before (Wk35 08)

Inventory reductionNo. panels

Days worth of Inventory

$ Value

432 178

39 19

587K 254K

% Reduction

After (Wk15 09)

57%

59%

51%

Flow GovernanceSchedule Adherence

Flow Rate

n/a

n/a

80%

92% Loop165% Loop 2

Schedule Adherence

Customer Satisfaction6 per week Avg No. of Jigs Stopped 0-1 per week



O4O4O4O4Making schedule adherence live

Not just a measure for the planner: how well did they stick to my plan?

A measure for operations to focus the whole team on how we’re using – and

losing – time:

– Equipment not available due to breakdown

– Waiting for materials

– Waiting for product

– Waiting for people

– Production run took longer due to running at lower than standard line

speed

– Changeover took longer than standard time

– Production run took longer due to need to rework product/run in manual

instead of automatic

Drives the continuous improvement cycle



O4O4O4O4Bombardier Flow Project Oct

Current State

2 x Key Resource control points depending upon products

Other

Autoclaves Chemi Milling

Centre 04

Finished goods

7.41 days

Work in Progress

15.70 days$ 865k

$ 399k

OTIF to MRP 43% -50%

2.1 days 2.6 days

Snap shot of the buffers

1 x Free flow (Other)



O4O4O4O4Bombardier Flow Project Oct

Current State

2 x Key Resource control points depending upon products

1 x Free flow (Other)

Average Lead Time is 21 days (Before)

Standard Deviation is 10 days

Coefficient of Variation 0.5 – unexceptional

Average Lead Time is 15.7 days (After)

Standard Deviation is 7.8 days

Coefficient of Variation 0.5 – unexceptional

Average Planned Lead Time is 12.14 days (MRP)

01 karl fitzsimmons bombardeer 21 tocpa uk 11 november 2015 for web

Documents

centre of excellence

ukmetal bond centre

como4o4o4o4our project

como4o4o4o4bombardier

c04 fuselage supply

metal bonding

pilot project

flow project problem