“resource efficiency through operational improvement”€¦ · brand leadership operational...
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7/12/2018
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“Resource Efficiency Through Operational Improvement”
CII- GREENCO SUMMIT 2018
An Industrial Garden Township of
3000 acres in Mumbai, India
ABOUT GODREJ
14 SBUs with Corporate Offices &
Manufacturing Facilities Employee Welfare through
Residential Facilities
Employee Welfare through
Company Schools
Commitment to Society through
Godrej Memorial Hospital
Commitment to Sustainability
through 1800 acres of Mangrove
Plantation
118 YEARS OLD- EMPHASIS ON CUSTOMER CENTRICITY & OTHER STAKEHOLDERS NEEDS
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One of the largest divisions of G&B
Market leader. Crossed Milestone of 2000 Cr revenue in 17-18
Heading towards 2500 Crs Business in 18-19 with a growth of over 20%
Unmatched reach. 16 Branches & over 700 Dealers
Supported by 7 manufacturing locations and over 100 major suppliers
ABOUT GODREJ INTERIO
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4
Vision : Godrej – The choice for home and workspace solutions
Mission : Enriching life by transforming home and work spaces
Integrity Trust To Serve
Respect Environment
OUR VALUES
OUR MISSION, VISION, VALUES…
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INTERIO
B2B
(60%)
Products
Desking
OPOS
Storage
Seating
Healthcare
Projects
Interiors
Laboratory
Marine Accommodation
Vending Services
Audio Video Solutions
B2C
(38%)
Products
Home Furniture
Home Storage
Mattress
Kitchen
Projects
U & US
Service
(2%)
AfterSales
Services
OVERVIEW OF OUR OFFERINGS3 STREAMS OF REVENUE
ABOUT OUR GREENCO CERTIFIED PLANTS
Shirwal plant(Relocated from Vikhroli, Mumbai in 2011)
Total Area – 24,420 SQM
Total Strength
• Management Staff : 119
• Total Workers: 298
Plant 13&14, Vikhroli
Total Area – 38,734 SQM
Total Strength• Management Staff : 183
• Total Workers: 1070
GREENCO PLATINUM RATED GREENCO GOLD RATED
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FOSTERING A CULTURE OF SUSTAINABILITY
National and International Green certifications
Green Buildings IGBC GOLD certified
showroom
IGBC Green Factory Platinum
Rating
Green Company Rating
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2
GREENPRO
certified
products
Green Products
9
BIFMA Level
certified
products
78
GREENGUARD
certified
products
Plant Vikhroli Silver rating June 2014
Plant Shirwal Gold rating May 2015
Plant Vikhroli Gold rating March 2016
Plant Shirwal Platinum rating May 2016
Plant Chennai-Registered for GreenCo (Target-Platinum Rating)
Continual
improvement
beyond
Platinum
OUR GREENCO PLATINUM JOURNEY
Green
thinking
culture
Understanding the rating system Creating a
focused central task force Plant wise
GREENCO parameter champions for EE, RE, Water, WM, MCR
Capacity/
capability
enhancement
through total
employee
involvement
(TEI)
Focused
improvements to
achieve and
surpass
stretched targets
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Resource efficiency through operational improvement
BRAND
LEADERSHIP
OPERATIONAL
EFFICIENCY
LEADERSHIP
DESIGN
LEADERSHIPChannel
Vitalization
Supplier
Capability
Management
STRATEGIC DIRECTION – GODREJ INTERIO6 focus areas to achieve market leadership & profitable growth with innovations and sustainability as
the central focus
Employee
Competency
Development
INNOVATION
&SUSTAINABILITY Green Certified
Products-
BIFMA Level,
GreenPro
30% revenue from
Good and Green
product
Yield Improvement
Energy Efficiency
Water Conservation
Waste Management
Design for Environment, LCA
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PROCESS OVERVIEW AT SHIRWAL
Raw materialWood, Steel
Wood workingCutting, edge banding,
routing, drilling
Paint shopPTL, Powder coating
Press shopNotching, punching,bending
laminationImpregnation, lamination
Packing Panel packing
Finishedgoods
Wood Steel
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LIST OF MATERIALS USED AT PLANT SHIRWAL
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BOARDS- PPB (80%)
BOARDS- MDF (7%)
BASE PAPER(1%)
LIPPING(1.5%)
STEEL (10%)
POWDER (0.5%)
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APPROACH ADOPTED FOR MATERIAL CONSERVATION
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Yield Improvement
Reduction in Design
Reduction in process rejection
Reuse in alternate products
Use of alternate size raw material
Re-Optimize
the product
Approach towards
enhancing yield
improvement
5 R Approach-
Reduce
Reuse
Recycle
Recover
Redesign
BEFORE AFTER
Design Waste Optimising BST from waste
Reutilization Design Waste for other products
Utilizing Design Waste for optimising - 2 BST are made from off-cuts of 1 Bed
YIELD IMPROVEMENT PROJECTS
Approach 1: Reduce design Waste
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• LVD Sheet Utilization increased from 74.1 % to 76.3%
Approach 1: Reduce design Waste
Net saving of metal is 1.2 Tons
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BeforeAfter
Lesser utilization Better utilization
by optimizing
side flanges
YIELD IMPROVEMENT PROJECTS
Approach 2:Reduce in-process rejection
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Major Steps to reduce Rejection:
• Change in resin formulation
(Modification in chemicals compositions)
• Change in impregnation process parameters (reduction in Resin content and Volatility of impregnated paper)
• Change in process parameters of Short cycle lamination m/c ( Pressure and temperature settings w.r.t Paper thickness and shade
Net saving of boards is 0.6 Lac Sq.ft.
YIELD IMPROVEMENT PROJECTS
6.18%
2.84%2.06% 2.07% 2.02% 1.95% 1.80%
1%
FY 11-12 FY 12-13 FY 13-14 FY 14-15 FY 15-16 FY 16-17 FY 17-18 Benchmark
Process rejection for Boards
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YIELD IMPROVEMENT PROJECTS
Approach 3: Reuse in alternate products
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Offcuts of Penta’s Battens Batten Frames
Off-cuts of 25mm thick work surface used in preparing batten frames
Area per block (in sq.mt.) 0.154
Blocks processed per year 62800
Net area for blocks per year (in sq.mt.) 9651
Area of board 8 x 6 (in sq.mt.) 4.46
No. of boards Saved 2162
Net saving of boards is 1Lac Sq.ft.
Material Conservation and Recylability
Panels
SCRAP UTILIZATION PROJECT
10,600 units manufactured in FY
17-18
Saving of 1.2 Lac Sq.Ft of particle boards
Approach 3: Reuse in alternate products
• Segment of 8 Multifunction
Furniture Products introduced in Chocolate Shade - 5 % board area utilized (FY -2017-18)
• Use of large Size offcuts as
Partition panels size in bed
introduced in 18mm thickness
in (FY 2018-19)
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Approach 4 : Use of alternate raw material
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Material consumption reduced by ordering non std. size LVD blanks for cable pole &modesty panel .
For Single cable pole Material consumption reduced from 2.62 kg to 1.96 kg (25 % reduction)
YIELD IMPROVEMENT PROJECTS
Net saving of metal is 3.95 Tons
Boards Required -350 Nos
Waste -31.23%
BEFORE AFTER
Boards Required -308 Nos
Waste -8.13%
Savings of 20.16sq. ft/Bed
Re-optimization: Reducing Panel Size by 2mm
Before Size :
Mattress Panel -1827 x 998
Mattress Half-998 x 912.5
Size Changed:
Mattress Panel -1825 x 998
Mattress Half-998 x 910
YIELD IMPROVEMENT PROJECTS
Approach 5 : Re-design the product
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Lot Size Boards
Req
Scrap % Boards
Req
Scrap %
1 Eudora King Bed 100 350 34.5% 308 8%
2 Choclate King Bed 100 350 34.5% 308 8%
3 Squadro King Bed 100 350 34.5% 308 8%
4 Terra King Bed 100 350 34.5% 308 8%
5 Viva King Bed 100 350 34.5% 308 8%
6 Eudora N15 King Bed 100 350 34.5% 308 8%
7 Pride King Bed 100 350 34.5% 308 8%
8 Adriana Single Bed 100 108 20.8% 100 9%
Before AfterSr. No Product
Optimization Changes
YIELD IMPROVEMENT PROJECTS
Approach 5 : Re-design the product
Saving of 20.16sq. ft/Bed and 4 Lac sq. ft/annum
Impact categories ( Impact per 1- SQM) For StallionFor Stallion
+
Impact
Reduction
Acidification Potential (AP) [kg SO2-Equiv.] 0.33 0.25 24.2%
Eutrophication Potential (EP) [kg Phosphate-Equiv.] 0.02 0.02 Negligible
Global Warming Potential (GWP 100 years) [kg
CO2-Equiv.]63.67 53.17 10.5%
Frame ht of Stallion + is reduced from
1219 mm to 1143 mm
Bottom tile Ht of Stallion + reduced from
452mm to 376 mm
Bottom
Tile Ht
reduced
Reduction of overall Panel height by 3” .
Frame ht of Stallion + is reduced from
1219 mm to 1143 mm
Bottom tile Ht of Stallion + reduced from
452mm to 376 mm
Frame
vertical Ht
reduced by
76 mm
Elimination of Aluminum
trims and caps
wherever possible
Option of extended tiles
given at 3 way junction
End trim ht reduced due to
reduction in panel ht
Elimination of 3 way trim
Offering of full panel length tile up to 3’0” width
facilitate better steel blank optimization
Approach 5 : Re-design the product through Life Cycle Assessment
YIELD IMPROVEMENT PROJECTS
Net saving of metal is 62.9 Tons
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AF
TE
RB
EF
OR
E
Decreased
number of
separators
from 4 to 2
Value
engineering
with packaging
only at corners
PACKAGING MATERIAL REDUCTION PROJECTS
Saving- 40 tons Saving- 16 tons Saving- 2.5 tons
Replacement of
plastic caps
with corrugated
paper at corners
Replacement of
thermocol with
honeycomb
Saving- 25 tons
STRATEGY METHODOLOGY
Technical council formation
Productivity Council
Quality Council
Safety Council
Total Employee Involvement
CII Cluster approach
Environment Day celebration
Poster / Slogan competition
Tool Box Meetings
Sustainable growth
PMO
Kaizen
CFT formations
Capacity Building Training - Internal, External
Optimizing Software
Communication
Visual & Interactive
One point Lesson
Standard Operating Procedures (SOP)
Do’s and Don'ts
Posters
STRATEGIES ADAPTED FOR AWARENESS CREATION AND EMPLOYEE INVOLVEMENT
Productivity Council
Daily Review Meeting
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Outcome of Productivity councilSr.No Result Area Kaizen Benefits In (Rs
lacs)
Energy
Saving(kwh)1 Productivity Change in process flow of fin 12 403200
2 Productivity To use router for grooving instead of grooving saw 2.43 37125
3 Cost To reuse damaged vacuum cups of BAZ machine. 15.3 --
4 Quality To reduce lipping consumption by eliminating agt side lipping of panel 0.3 10364 in mtr
5 Productivity To elminate the lipping constraint of panel less than 300mm on V-TAP machine 2.04 37380
6 Cost To reduce tooling cost by resharpening of router blades 25.8 --
7 Environment To improve optimisation of wooden boards 2.3 --
8 Productivity To improve the productivity of BAZ machine by process flow change in taper recta 5.76 37860
9 Productivity Use of aggreagate tool for drilling hinge holes 1.56 31200
10 Productivity Replacing scissor lift of HKL machine to eliminate waiting time loss 0.5 2928
11 Cost To reduce scrap OSR panels and save cost 0.65 --
12 Environment To reduce electric power consupmtion using transperent roof sheets 1.78 21840
13 Productivity To change the routing method of taper recta at BAZ machine 2.34 24560
14 Cost To use scrap OSR board instead of MDF for pack board(450 x 412.2mm) 0.26 --
15 Environment To provide unitized dust collector for SEB 7.14 10200
16 Productivity To improve productivty by using horizontal aggregate on BAZ machine 5.76 33030
17 Productivity To improve productivity of routing by nesting instead of cutting 1.26 31000
87.18 670323 kwhTotal Saving
STRATEGIES ADAPTED FOR AWARENESS CREATION AND EMPLOYEE INVOLVEMENT
SYSTEMATIC MONITORING PLANS
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S.No. Performance indicator Target Methodology for monitoring &
measurement
Frequency of
monitoring
1 Reduce Scrap generationReduce
below15%Scrap bin weighing mechanism Daily
2 Energy consumptionsp.consumption
< 0.15Smartsense report Daily
3 Product optimization > 90% Usage Cutrite optimization software Daily
4 Kaizen for yield > 20 Kaizen Management System Monthly
5 WIP Below 50 Lacs tfgbb0494m00 Monthly
6 Reduce rejection level 50000ppm Rejection rework analysis Monthly
7 CAPA 80% closure Monthly CAPA review Monthly
MONITORING AND MEASUREMENT PLAN - WOOD WORKING
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RESULTS ACHIEVED
Competitor 1 18%
Competitor 2 18%
Competitor 3 22%
Competitor 4 22%
0.297
0.219
0.169 0.178 0.168 0.162
2012-13 2013-14 2014-15 2015-16 2016-17 2017-18
Particle Boards
0.090.08
0.050.0458 0.0417
0.0312
2012-13 2013-14 2014-15 2015-16 2016-17 2017-18
Steel Metal
Specific Raw Material consumption Trend ( kg/ sq. ft. of production)
45% Reduction 65% Reduction
• Benchmarking for % waste
THANK YOU