Lean Leader Presentation Lauren Larsen 2017

Lean Leader Presentation by Lauren Larsen

Lean Leader Presentationby Lauren LarsenConsulting and Training on initializing 5S and Set Up Reduction Industrial Insite and Arctic Fox

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IntroductionApplicant: Lauren Larsen - Manufacturing Consultant, Industrial Insite - Contractor through Industrial Insite to provide LEAN consulting to Arctic Fox. I was contracted by Industrial Insite, to lead Arctic Fox into to lead it's initial start into LEAN manufacturing from April 2016 to June 2016.

The Project: Introduce LEAN manufacturing5S implementation 3 areas, Receiving, Tube Bending and Welding Prep Set Up Reduction project - Tube Bending areaThe Team: Ken Huss - VP Operations Arctic FoxBrenda Reardon - Human Resource Manager Arctic FoxKen Sievers - Production Manager Arctic FoxTom Frey - 2nd Shift Supervisor Arctic FoxScott Paul - Shipping and Inventory Control Supervisor Arctic FoxMark Pittman - Principle and Lead Instructor - Industrial Insite

The Companies: Arctic Fox LLC is a part of the Phillips & Temro Industries. Arctic Fox is based in Delano MN with about 65 full-time and part-time employees and was incorporated in 1979. Arctic Fox, LLC is a leading supplier of high quality components to the heavy-duty trucking and off-highway equipment markets. The company manufactures its own product line of in line fuel diesel motor tank and fluid heaters. Arctic Fox extends its manufacturing capabilities to existing and new industries. Current capabilities include tube bending, tube end forming, tube fabrication, manual & robotic welding and brazing.

Industrial Insite is a manufacturing training company in Anoka MN. Industrial Insite provides industrial training in both standard and custom approaches. The company offers world-class quality training through program design, tailored curriculum development and expert qualified instruction.

Comment that some elements such as equipment and some specific processes were requested to be held confidential. Therefore in some cases no photo or final document can be shared due to nature of the relationship between to the two companies. 2

Initial Assessment and PreparationCurrent Situation: Arctic Fox is experience substantial external pricing and scheduling pressure from their OEM customers. On their Arctic Fox product lines, the issue here was a make to stock that created an over burden of too much inventory of finished goods. Operation management recognized that they had a lot of issues on the production and warehouse floor and wanted to initiate LEAN manufacturing into their operation. Goal: The goal was to conduct an introduction into LEAN manufacturing for the plant and lead and coach the plant team members on how to do 5S and set up reduction. So that they could maintain the gains and then apply the new processes to other areas in the plant. To do the training and 5S projects, 3 teams were created to work on a specific 5S hands on process improvement and then a 4th team to be created to perform a set up reduction on the tube bending area. Goal was a 50% reduction in labor time. Training and Process Improvement on 5S and Set Up Reduction: I implemented a process of doing 9 hours of training on LEAN and 5S. The training was broken out into 3 3 hour sessions in alternating weeks. At the end of each training session, I had a specific section of the 5S process to be done in the following practical implementation. In the practical, I then reviewed the teams progress, scored the teams participation, review 5S board updates and made recommendations.

Set reduction, I conducted a 3 hour training session on how to do a set up reduction followed up by the actual review of the current setup. Categorizing, selecting and assigning opportunities with a schedule. Measurement: I created a basic knowledge test on LEAN and 5S for the teams to be done at the end of the training sessions. For Arctic Fox, a 70% was a passing score. In the practical, I had the teams conduct an audit on the areas and to learn consistency on auditing.

On the Set up Reduction, the measurement was the difference in steps and time to complete the process.

Initial Meeting and Assessment:

April 14, 2016 - Ken Huss, Brenda Reardon, Ken Seivers, Mark Pitman - Owner Industrial Insite and I met for our initial meeting on the process to introduce LEAN. A tour of the plant operation was conducted, I specified that the tour follow the current flow of materials through the plant. The goals were set to conduct initial training on LEAN, train and perform 3 5S projects and then roll into a Set up Reduction project with tube bending. April 20/22, 2016 Meeting with Arctic Fox team (Ken Seivers, Tom Frey, Scott Paul and Brenda Reardon) to narrow down the 5S projects. Through my guidance, I had the team select the tube bending production area, Welding prep area and the receiving area. Each of these three areas have a high impact to the overall flow in the plant. The remaining six areas were tabled for the next round of 5S process improvements. The tube bending was also selected with the set up reduction in the next step. - Determined from the teams feedback that their were very few plant personnel that had any experience with LEAN. Tom Frey and Ken Seivers both had some prior experience with three floor employees. April 22 to April 27, 2016 Developed LEAN and 5S training curriculum.

Process: I. Introduction to Lean + 5S Training => Practical Application + Evaluate + Test

II. Set Up Reduction Training + Initial Set Up => Categorize Waste + Opportunities + Assign Changes=> Review New Set Up + Time reduction => Next application

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Training and 5S schedule

Intro and 5S broken into 3 parts with practical application of that section. I developed the schedule to be 3 hours of training with time allotted for the team and then my follow up the next week to review and provide guidance. A test was given at the end of part 3 to ensure that participants had the basic knowledge down; 5

Over view of training and 5S

Define the S for each S in 5S Sort, Set In Place, Shine, Standardize, SustainDescribe parameters required to implement 5S programDescribe why each S in 5S is important to your businessIdentify the tools needed to implement each step of the 5S system.Discuss the obstacles that must be overcome to have a completely successful 5S implementation.Develop a high level diagram that includes major milestones and an implementation time frame for your company to become a 5S company.

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Lean Basics Training Slides Key Examples

Some of the key materials covered about the basics of LEAN. Have other slides, one which talks about LEAN in based on customer value and increased flow in the operation. 7

Basics of 5S Training Slides Key Examples

All the above is not possible without employee and management commitment.8

Main slides for 5S - Sort and Set In Place (order)

Practical Application Sort - Set

Teams were selected. I directed each team on how to break up the project and to allocate time, 2 hours to the team each week.

Lab Evaluation - Used that to review 5S Red tag and sorting process on the floor. I would ask questions of each team member on their activities to the group. Most teams devised a flow through the department.

Pic 1 Red Tag area for Welding Prep Pic 2 Start of 5S board10

Shine and Standard

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Practical Application Shine/Std

First picture Orginial boxes of parts. Not uniform and spread on 4 shelves. Hand written notes on side of boxes. Old materials up to 5 years found.

Second picture Std use of bins, labeling and the high volume Hot Fox area located and end of rack and at nearest travel location to welding. The parts also show new bright yellow label to indicate receiving parts for Weld Support.

Third - New standard process incorporated into Weld Support. New parts having dedicated area to be checked into Weld Support. From going through Standard process. The Weld Support team found an opportunity with Blue Sheet or missing components that had quite a bit of Frequency. When asked Why. Potential future improvement.

Sort and Shine eliminated boxes of junk around the tube bending equipment. Also, note in third pictures. Pallets placed under racks and areas swept. Not pictured Tube bending area jigs were reorganized and reduced to 3 levels of racking and properly labeled. Equipment confidential

Pic 4 Before Receiving bay. Right by door. Major amount of handling waste. Pic 5 Improved stacking of common materials. Red tagged outside. 12

Lab of Shine and Standard

Shine and Std Homework with Draft created for Receiving process. Down to 9 key steps and needed SAP screen shots for final. 13

Sustain and Knowledge Test

Purpose of the test was to ensure that participants were engaged in the training sessions. Arctic Fox wanted a 70% passing. I designed the test to encompass the basics of Lean and 5S. Overall, the process of training on the topic and then going out onto the floor was ideal to put new knowledge to the test.

Performed group auditing to give each group the feedback on uniform expectations: Initial average scores ranged from mid 30s to mid 60s. 14

Bending MachineSetup Reduction ProjectKickoff

Arctic FoxJune 2, 2016

Arctic Fox / Setup Reduction Kickoff Meeting / June 20162016 Industrial Insite, LLC. All rights reserved.15

What is Reduced Setup Time? Setup is the time between the last good piece of the current run and the first good piece of the next run.The next step was to identify the worst bottlenecksthe machines with the longest setup times. These bottlenecks offered the opportunity for the biggest initial improvements. Most LEAN manufacturing experts follow four stepsDocument the current change-over. Determine what setup steps can be done while the machine is still running. Streamline setup steps that must be done while the machine is not running. Put the basics in place for workplace organization and visual control.

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Why are we here/Project DescriptionTo gain benefits of Quick Changeover Reduced SetupMore frequent changes LEAN Pull demand Smaller batches Lower inventory Better quality Less waste More Flexibility Less STRESS!!! Improved teamwork17

Review the goal of the electrical troubleshooting class with the students.


Project DescriptionObjective: Reduce the set up time on Bender #8 on a commonly run part. Application of the 4 Step method using the above methods. Methods: To use a variety of tools to help determine areas that are causing issues.Standardize improvements when complete.Compare final version with original version.

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Project Implementation ScheduleActionDescriptionDate CompleteResponsible PartyBenchmark Current ProcessesIdentify and document where we are now6/1/16; 2:30 4:30Lauren Larsen/Ryan HartmannConduct Kickoff MeetingMeeting to include how to participate/contribute in a brainstorming session; gain alignment6/2/16; 2:30 4:30Lauren Larsen/Work GroupConduct Brainstorming SessionUse diagramming tools to solicit and capture opportunities for set-up time reduction6/3/16; 2:30 4:30Lauren Larsen/Work GroupFormalize OpportunitiesResults from the brainstorming session will be chronicled in a comprehensive format that describes each opportunity6/6/16Lauren Larsen/Mark PitmanApprove OpportunitiesThe opportunities to be implemented are approved by the production manager6/7/16Ken Sievers/ Lauren LarsenReview Opportunities/ Brainstorm ImplementationIdentify implementation challenges/gain alignment6/8/16; 2:30 4:30Lauren Larsen/Work GroupDefine Action Items Identify specific action items and assign ownership (for each approved opportunity)6/9/16Lauren Larsen/Ken SieversFormalize Action ItemsIdentify specifically what needs to be done, what done looks like, who is responsible for doing it6/9/16Lauren LarsenImplement Action ItemsImplementation will be staged to minimize production disruptions6/22/16TBDAction Items Complete/ Evaluate Performance ImprovementCompare improvements on machine to initial benchmark6/27/16Lauren Larsen/Mark Pitman/Ken SieversReview ProjectClose the loop6/29/16Lauren Larsen/Work Group


Project Kickoff Meeting AgendaProject goal and metrics to be used for performance measurementMethodologyBrainstorming SessionconductReview the current operation of the machine20



Kickoff Meeting Part 1Project goal Metrics to be used for performance measurement21



Project GoalCut the current 2.5 hour set-up time in halfThe participant will gain an understanding of methods used to identify improvements in machine setup time and demonstrate those skills by reducing the setup time of Bender #8 by 50%Tools and methods to be used on other pieces of equipment. 22

Switched to Bender #1 due to this being a more representative with 2 bend product set up being typical and communication capability to the part reader system. Arctic Fox / Setup Reduction Kickoff Meeting / June 20162016 Industrial Insite, LLC. All rights reserved.22

Metrics for Performance MeasurementAverage Set up time reduced (from 2.5 to 1.15 hours)Number of steps reduced in change out processReduced lead time Smaller lotsMachine run time increase (OEE Operational Equipment Effectiveness)Number of products produced Plant EfficiencyOverall, more flexibility and production

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Kickoff Meeting Part 2MethodologyFour Steps to LEAN Setup ReductionMethods for identifying issues24



Four Steps Step OneDocument our current processVideotape set up change outDocument the individual process steps as done currently (to be used during brainstorming)Proceed into Brainstorming Document with an Idea Worksheet25


Four Steps Step TwoDetermine which setup steps can be done while the machine is runningConvert Internal to External Setup.Convert any internal setup events to external setup events using focused, engineered methods. Re-examine internal events from Step 1 and verify that they are truly internal.

Areas to reviewOrganization 5S?Checklists ToolsCheck Tables Process Plans Functional Checks Gigs, gauges, measuring blocks, etc.Improving transportation

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Biggest area of gain in Set up Reduction. Nearly 50% or more of your gains should be coming from this section. Arctic Fox / Setup Reduction Kickoff Meeting / June 20162016 Industrial Insite, LLC. All rights reserved.26

Step Two Dealing with ToolsTools Organize for SetupFact: Significant setup time is lost searching for setup hardware and setup information. Setup Hardware: Tools, Fixtures, Nuts and Bolts, Clamping Devices, Measuring Devices Setup Information: Data (Tool and Machine Settings) and Procedures27


Four Steps Step ThreeStreamline setup steps that must be done while the machine is not runningStreamline Internal Setup by: Simplifying Movement One-touch tools Single thread bolts Reducing Movement Reduce the number of bolts Add Parallel Operations Eliminating Movement Prepare Operating Conditions in Advance Replace bolts with hydraulic or cam-operated clamps.28

Quick fix clamps (bike tire clamps), less screws, clamps and pre-operations ( pre-heating etc)Arctic Fox / Setup Reduction Kickoff Meeting / June 20162016 Industrial Insite, LLC. All rights reserved.28

Four Steps Step FourPut the basics in place for workplace organization and visual control.Eliminating Adjustments and Trial Runs Use data and settings and not intuition and guessingEliminate! Stop reliance on intuition for settings. Process is to be data driven for precision settings. First part quality is the goal. Convert intuition into data. Best way to avoid adjustments, scrap and test runs. Pre-programmed data and settings?29

Good example: Pop Lock folding machine guessing on settings, implemented tape measure for guides. 12 hrs to 30 minutes and any operator could do it!Arctic Fox / Setup Reduction Kickoff Meeting / June 20162016 Industrial Insite, LLC. All rights reserved.29

Continued Step FourQuestion adjustmentsWhat is the steps function and is it necessary?Why is the step needed?What is the skill level of the changeover operator? Why is it necessary to perform it this way? What conditions create the need for repeated adjustments? Look at alternatives and identify what can be eliminated or reduced. One adjustment at a time rule

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Set Up Reduction Worksheet

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Set Up Reduction Initial PhaseConducted Initial Video and documented initial steps and time. Group analyzed Video tape and documented the stepsCategorized the steps and potential opportunities on the bender set up See Fishbone

Overall Opportunities by Team

Auto correction capability The Laser measuring device and the bender are capable to communicate between each. Opportunity here is that less complicated corrections could be communicated to the bender automatically. This opportunity will require additional training and the correct set up. Result here is reduced time and/or number of adjustments manually by members of the group. Maintenance: Die keys Retaining screws are broken and cause issues when being changed over. Opportunity would be to re-tap the set screws in the die. The other opportunity would be potential reduction in variation with the key being firmly in place. Time savings 1 -2 minutes.Die Block Lock down This item is a potential source of variation with in the set up. Improvement in the lock down/clamp mechanism would decrease variability. Currently, operators are compensating by intuitive feel in the alignment stage. Time savings would be reduced time in setting alignment. Time savings 2-4 minutes. Communication of Laser and Bender Equipment Opportunity to utilize the auto-correction feature. Maintenance time and training would be needed to fully utilize this feature. Time reduction here would be less adjustments by allowing the Laser and bender communicate on the part. Time reduction again with daily adjustments. Time saved 4-5 minutes per adjustment. Management: Pressure and Liner Range Project Bender operators need to develop more information on the pressure and liner range. This data would be used to develop the proper range of settings. Current state is that operators are using intuition to set the first settings. Having a range to set the pressures and liner would simplify the method and give a numerical range for operators to set up the bender to according to the type of job and material. This could be used to learn how to properly set the equipment to the variation in the material itself over time. The collection of the data to properly set ranges and then use the set ranges within the traveler or batch ticket. This additional information would reduce the amount of variation between skill levels and reduce variation in set up times from operator to operator. Recommend that this project to develop the proper range be given a significant priority. Time savings opportunity would be to eliminate the number of adjustments to get that first approved part between runs. Time savings again 4 to 5 minutes per adjustment. Maintenance Labor Utilization Need to place a priority on fixing dies and die lockdowns to reduce set up times. Time and variation are being incurred with not properly running equipment. Poorly performing equipment is incurring additional labor time and variation. Secondly, maintenance needs time to develop with engineering quick release devices and reduce the different number of Allen screws. Time savings 3 to 4 minutes with quick release devices and 4 to 5 minutes for each adjustment not needed. Scheduling - Current system is very reactive. Commented about what are hot priorities and breaking into the current job that is set up. Currently the Lead Operator take the daily work and breaks jobs according to equipment, operators and set up demands. No Standard written on

I had the Team classify their opportunities they found from the brainstorming. They found 20 items that could be improved. I had them narrow it down to 10 priorities that the team felt would give the process the biggest improvement. This is a summary report of the overall process. 33

Selected ImprovementsArctic Fox Set Up Reduction Action ItemsDate: June 8 2016#Owner(s)Action ItemDue DateComments1Ken Seivers and Ken HussIdentify common toolsFriday June 10thAleady in progress for two cartsOrder tools ( 7 ID')Order Cart and tool box2.1Mike BradleyLayout of cart Monday June 13Mike ready with pulling together tools2.2Bending groupGroup feedback on layoutWednesday June 15Group will participate with cart set up prototypeAdd tools to the original 7 3Ryan HartmannProcess Check List Standard work process on steps to do a change out. Friday June 10Bullet process to flow4Ryan Hartmann and Ken SeiversKen to ID 10 of 25 commonly run part to develop set up ranges.Monday June 13Start on collecting data on 10 routine parts. Ryan will re-vamp the traveler to include the range set up work instructions on these particular jobs. Friday June 24This process will eliminate intuition and create data to follow in setting up change out. 10 is the initial goal. Tool has great potential. 5Sid "James" Walker and Ryan HartmannPrototype Bender 1 to Monday June 27Potential here is to reduce time and number of adjustments by using the auto-correct feature verses manual adjustments. use auto-correction functionChecking on communication link between bender and laserchecking tool. 6Rodney LarsonDie keys repaired - Keys come due to screws being worn out. Cause of variation in process and additional set up time. June 17 repairedTime wasted and variation caused by worn screws on the die key. Group recognized that this repair will stabilize the die head. May help on creating tighter operational ranges on jobs for set ups. 7Rodney Larson and Ryan HartmannDie Block Clamps - Submitted PO to have clamps re-machined. Time frame is > 4 weeks to have the blocks done. Mid -July Poor clamp ability. This is a large contributor to set up variation. 8Ken Seivers and Tom FreyMaintenance labor time management. Noted that 29 PMs were not conducted last month alone. Need maintenance focus on equipment to a quality process. 27-JunLEAN manufacturing requires equipment to be maintained at high levels. Poor equipment equates to poor quality products and production costs.

8 items were selected to be worked on as I had the team select priorities. Over the next 3 weeks, updates were conducted to ensure progress was moving forward. Wrap up and final video of new set up process taken on June 22 for the group. Specific tasks were assigned and timelines discusses.

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Set Up Reduction ResultsAchieved a 34 minute reduction for a 51% gain on the set up reduction on Bender 1. Reduced the number of adjustments to get an approved part to start production. Centralized tools on a cart, implemented a written set up reduction process, improved equipment with better blocks and die holders and started utilizing laser measuring tools automatic adjustment feature. What was gained on bender 1 in the set up reduction was planning on being implemented on the other benders after the holiday break. $4000 the pay back on implementing the new processes will have a significant pay back in reduced time and labor and quicker response to client demands.

From the final video. Significant waste in travel was eliminated by the tool set up cart. The operators also gather up the jigs and mandrels before the switch out. A set up check list was attached to the cart to keep the operator on task. One big win was the standardization of the automatic adjustment from the quality tube reader. This dropped 3 extra steps to just 1 adjustment in the new task. Longer term CI is to better utilize this adjustment knowledge and tool for one and done to zero adjustments. 35

Overall The pace of the process was very fast. 5S processes were very good in eliminating a large amount of clutter and unused parts or materials. By having the 5S done in the tube bending area was essential to the success of the SMED process reduction. By assigning everyone in the team specific parts to be done, they all had an opportunity to work on the changes on the floor. Ultimately, the floor employees after a few weeks expressed how much better the areas seemed. Recommendations for improvements or notable : Bring in accounting stakeholder into the 5S process to make the process more holistic to all of the plant operation . Red Tag areas were filled with unused parts and materials. However, accounting was hesitant to sell or throw out the items. All through there was a plant wide communications meeting about moving into LEAN, a central continuous improvement board was not immediately implemented. This would have been ideal to bring in as a part of the Leader Standard work to update. However, I did use 5S accountability/ process update boards for each team. CI board was ordered . Copies of all the training materials and tools are available for future process improvements. The teams were moving into the other 5S areas and to adapt the set up reduction gains on the other benders. The plant is incorporating 5S audits as apart of their KPIs. Plus, the gains should be measureable in their productivity measures as well.

Arctic Fox VP of Operations in my debriefing meeting is expecting monthly updates on the 5S audits. The team also has several projects to continue pressing forward in 5S and with Set Up Reduction. These processes will need to move onto the other process steps and departments at Arctic Fox to fully implement a whole LEAN process through out. One to of the long term goals will move from large set up volumes to order specific to switch to a true pull demand in the system. Other opportunities exist, but they did well on focusing on a small area to ensure success in that spot. 36

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Lean Leader Presentation Lauren Larsen 2017