Laminates

Make To Stock Project

Team SelectionRole NameTeam Leader Keabetswe

Taukobong

Assistant Team Leader and Value Added Manager

Andreas Landman

Stock Coordinator Thabo Motloung

Team member Sphamandla Kubheka

Team member Elvis Mthimkhulu

Team member William Mabena

Team member Marius du Plessis

Team member Thabang Pelo

Project DefinitionIntroduction.

The planning department requested the IE trainee to determine the storage capacity for MTS(Make To Stock).

Title of the project.

Determining the storage capacity of MTS.

Scope of the project.

Problem Statement

Since the storage capacity is unknown it makes it difficult to distinguish the safety stocks on SAP. This causes overproduction, hence storing some of the material in the loading bays.

Objectives

• Increasing the storage capacity of all MTS.

• Change the current safety stocks on SAP.

• Reduce material handling.

• Implement the ABC analysis.

• Reduce the amount of glass on pallets in the loading bays.

• Train operators on 3 leg A-frames and 4 leg A-frame.

• Improve the knowledge of point loading.

Stock covers

Data collected

Storage Bin Number of A-frames being used

0ABA01 7

0ABA02 7

0ABA03 6

There are 3 storage bins allocated only for MTS which are OABA01,0ABA02 and 0ABA03.Below is the number of A-frames which were utilized in the storage bins.Table 1

Some legs of A-frames were not being utilised which actually results in less A-frames being used.

Materials were not correctly stored in terms of the point loading rule. Refer figure 1Operators don’t know which glass size goes onto which A-frame.

20 A-frames were being utilised for all the MTS excluding the standards which are material number: 1550, 1638, 1645 and 3964.

Analysing

Aspects to be considered :

• How many A-frames can be utilized and the type of A-frame.

• The actual length of the A-frame legs in different bins, the number of sheets that would fit in that A-frame and the number of A frames in that storage bin should be determined.

• Which material is fast moving material.

Storage bin Number of A-frames Number of 3 leg A-frames Number of 4 leg A-frame

0ABA01 7 1 6

0ABA02 8 2 6

0ABA03 8 5 3

Below is the number of A-frames that can be

utilised.

Below is the lengths of A-frames in different storage

bins.

ABC analysis• Activity Based Costing or ABC analysis is a method of allocating overhead and

direct expenses related to the most important activities of the company first.

• All the material that has high target stock or average sales will be our first priority

Laminates non-coated stock covers 14.03.2016

Material Number Material Description Stock Target Stock

1550 6.38 INTRUDERPRUFE NS 2440x2000 2428 5232

1638 6.38 INTRUDERPRUFE NS 2440x2134 1340 1742

1642 6.38 INTRUDERPRUFE NS 3210x2250 1095 1234

10351 6.38 INTRUDERPRUFE NS 3210x2440 509 1138

1645 6.38 INTRUDERPRUFE NS 2440x1830 723 778

25869 6.38 INTRUDERPRUFE NS 2700x2025 550 688

28524 6.38 INTRUDERPRUFE NS 3210x2440 P 139 257

26929 6.38 INTRUDERPRUFE NS 3660x2440 32 119

1801 6.38 C/V ARCTIC SNOW NS 2440x2000 161 632

29940 6.38 INTRUDERPRUFE LOW E NS 3210x2250 374 339

1689 6.38 C/V COOL GREY NS 2440x2000 421 326

15314 8.38 INTRUDERPRUFE NS 3210x2440 70 325

1707 6.38 C/V COOL BRONZE NS 2440x2000 896 307

3228 8.38 INTRUDERPRUFE NS 3210x2250 275 303

1821 6.38 C/V SHADOWLITE 25 NS 2440x2000 526 266

26604 8.38 INTRUDERPRUFE NS 3660x2440 489 224

Laminates coated stock covers 14.03.2016

Material Number Material Description SP3 Laminates Durban Cape Town Average Sales

1542 6.38 S/S S10 SILVER NS 2440x2000 1633 214 71 88 1253

1599 6.38 S/S S10 BRONZE NS 2440x2000 959 207 100 95 750

1776 6.38 S/V HL NEUTRAL NS 2440x2000 532 176 69 31 361

1557 6.38 S/S S10 GREY NS 2440x2000 347 105 69 56 303

13344 6.38 S/V HL NEUTRAL NS 3210x2250 118 458 0 0 250

30046 6.38 S/V HL NEUTRAL LOW E 3210x2250 182 60 0 36 220

1681 6.38 S/S S10 BLUE NS 2440X2000 285 63 49 48 153

13971 6.38 S/S S10 SILVER NS 3210X2250 147 8 0 26 141

13923 8.38 S/V HL NEUTRAL NS 3210x2250 0 165 0 79 125

13750 6.38 S/V HL NEUTRAL NS 3210x2440 0 90 0 37 120

15489 6.38 S/S S10 SILVER NS 3210x2440 0 76 0 43 106

20712 S/V HL GREY NS 3210x2250 0 94 0 19 84

15498 6.38 S/S S10 BRONZE NS 3210x2440 288 1 9 22 52

17333 6.38 S/V HL SERENE GREEN NS 3210x2250 0 109 0 0 36

Standards

Class A

Class B

Class C

RESULTS

Before sorting the glass

Storage Bin Number of A-frames being used

0ABA01 7

0ABA02 7

0ABA03 6

Total 20

After sorting the glass

Storage Bin Number of A-frames being used

0ABA01 7

0ABA02 8

0ABA03 8

Total 23

Conclusion However forecasting has its own disadvantages for

an example not being accurately correct on what may happen in the future.

Since the demand of materials fluctuate, the allocation of some materials may be incorrect.

However there is an alternative plan.

Physical Inventory Management

In order to sustain the project and standardize it all operator should be trained on differentiating the types of A-frames, and point loading and a

sustainability plan should be adhered to.

Questions??????????