Using Multi-layer Stream Mapping to assess the overall efficiency and waste of a production system: ...

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AUTOMOBILE AND TRANSPORT

AERONAUTICS, SPACE AND

DEFENCE

22nd – 24th May 2016

Organized by: In cooperation with: Sponsored by:

Using Multi-layer Stream Mapping to assess the overall efficiency and waste of a production system: A case study from the plywood industry

E.J. Lourenço, J.P. Pereira, R. Barbosa, A. J. Baptista

António J Baptista

[email protected]

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1. Introduction

2. MSM: Its origin and development since LCE 2013

3. Multi-Layer Stream Mapping description

4. Case study definition and results

5. Conclusions and remarks

AGENDA

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1. Introduction

Main productivity issues of production systems:

Productivity (output/h)

Energy consumption

Raw material and resource consumption

Other variables, as quality, flow

IMPROVE THE PERFORMANCE OF

PRODUCTION SYSTEMS

“If you can't measure it, you can't manage it”. (Peter Drucker)

The challenge: How to measure the overall efficiency / performance of a system ?

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1. Introduction

Base aims of the Multi-Layer Stream Mapping methodology (LCE 2013)

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1. Introduction

Base aims of the Multi-Layer Stream Mapping methodology (LCE 2013)

Develop a multi-variable combined use of the Value Stream Mapping (VSM) Lean Tooland demonstrate its suitability to assess environmental and energy efficiency of unitprocesses and production systems in a flexible manner;

Demonstrate the importance of presenting environmental issues and efficiency in asimple manner through visual management maps and layouts for decision making andoverall awareness;

Create an approach that is able to asses productivity, the efficiency and eco-efficiency ofa production system, since the tools and methods are not always directly applicable toevery product and/or production system, and often addressed as “isolated stageanalysis”;

Create a very easily understandable assessment (for all level collaborators) based in fastvisual management attributes in most methods and tools used for eco-efficiencyassessments.

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Aim’s towards sustainable Value maximization and global waste reduction

Relates directly EFFICIENCY (%) << >> WASTE REDUCTION

Wide spectrum of users utilization by its simplified analysis

Useful for analysis from the top management to the more operational worker

Integrated / disaggregated view of information (strong and systematic data integration)

MSM Dashboards for easy to interpret information and results

Fast identification of inefficiencies in critical or limiting process steps

Facilitated assessment of inefficient processes steps and their impact on the overall efficiency

To relate (in)efficiency with process costs (that add value or just create waste)

Facilitated analysis of costs per process step / variable

List of characteristics of the MSM framework (1|2)

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Capacity to easily model and to assess efficiency and cost improvement scenarios

Generation of improvement scenarios, cost reductions quantification / simple payback analysis

Intrinsic focus on efficiency continuous improvement and its sustainability over time

Intrinsic motivation towards efficiency and continuous improvement (“lean thinking”)

Simplified lexicon and fast visual information assessment by MSM Scorecards

Adoption of visual management, with common colours, simple units (% or €, $, etc.)

Three types of analysis: AD INITIO >> Greenfield designs

IN LOCO >> Static analysis of existing production systems

IN CONTINUUM >> Online monitoring of production systems

Ability to be easily integrated into IT Management Systems and process large amount of data

Robust base algorithm to process large amount of data into information for decision support

List of characteristics of the MSM framework (2|2)

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Value Stream Mapping (VSM) with application of Lean Principles

Pillar 1: Assess Value Addition versus not adding value

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A value stream mapping consists in the collection of all actions (that add value andactions that do not add value) that are required to bring a product through themain production flow, starting from the customer and ending at the raw-material(upstream).

The primary goal of this tool is to identify all types of waste in the value stream inorder to take actions for the waste elimination and towards value increase

Example of a common VSM of a Metalworking Industry

Transport

WTS

(input)

Cleaning

WTS

Coating bolt

holes

(manually)

Mixing paint

(pneumatic

mixer)

Applying

primer coat

Drying

primary

coat

Coating

Inspection

2 2 2 2 2 2 2

VA 0,75 h 0,50 h 0,50 h 1,50 h 3,00 h 0,50 h PT 6,75 h

NVA LT 7,89 h

0,38 h 0,03 h 0,20 h 0,15 h 0,15 h 0,06 h WT 1,14 h

𝜑 86%0,70 h0,53 h1,13 h0,17 h

- 66% 94% 71% 89%

Production

Time (hours)

0,56 h3,15 h1,65 h

0,17 h

91% 95%

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Pillar 1: Assess value addition versus not adding value

The VSM root transforms, in the MSM concept, the understanding of efficiencyassessment into something easily quantifiable, simpler, concise and directlyapplicable to any production system, in a process sequence or even incompartmented units

The combined use of Value Stream Layers of a Value Stream Map emerges in orderto “see beyond” the global environmental and financial performance of aproduction system in a simpler manner

Enables the understanding of the overall efficiency assessment, and at the sametime simplify the identification and quantification of specific inefficiency situations

Combines the assessment of resource efficiency with other type of variables, suchas control variables (operations control), enabling the connection of bothefficiency assessment and effectiveness assessment.

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Evaluating variables (KPI) via efficiency ratios

Pillar 2: Systematically evaluate variables (and KPIs)

through efficiency ratios



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Pillar 2: Systematically evaluate variables (and KPIs) through efficiency ratios

Identify all the variables that influence the stages of the value chain

Create Key Performance Indicators (KPI) for the variables in the form of ratios

Values of the ratios should be always within the range [0-100%]

KPI always created in order to be always maximized

Basic form for the KPI formula

Φ“Value added” fraction

“Value added” fraction + “Non-value added” fraction

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The MSM consists in replicating part of the approach used for Value StreamMapping, but allowing the addition of multiple layers (for each process or stagevariable)

VSM

MSM

ØTPi=

PTPi

LTPi

[%]

ØEPi=

PEPi

TEPi

[%]

ØCPi=

PCPi

TCPi

[%]

ØXPi=

PXPi

TXPi

[%]

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The values in the lower line segments are those which do not add value to the product, i.e.representing the waste /misuses of time, resources, costs, etc.

The values on the upper line segments are those that add value to the product, thus representingthe “useful consumption” within the stream or system.

ØTP1ØTPi

ØTP2

ØEP1ØEPi

ØEP2

ØCP1ØCPi

ØCP2

ØXP1ØXPi

ØXP2

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Visual Management

Pillar 3: Apply simple methodologies of Visual Management






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Process Efficiency 100 - 90%



Process Efficiency <40%

Relate the level of efficiency with 4-color type of systems analysis (red, orange, yellow,green) in the direction of increased efficiency [0-100%]

Process Stream Analysis

Mu

lti-Layer S

tream

Map

pin

g

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Calculate overall efficiency of processes/systems (bottom-up analysis)

4th Pillar: Aggregate efficiency of unit processes (columns) and the variables (lines)

Visual Management







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Efficiency Process Stream Analysis

Cleaning

WPTS

Coating

bolt holes

Mixing

paint

Applying

primer Drying Inspection

2 2 2 2 2 2

Unit Process Efficiency

Process Efficiency 100 - 90% Process Efficiency 69 - 40%

Process Efficiency 89 - 70% Process Efficiency <40%

79% 83% 70% 69% 85% 90% 79%

Production Time (hours) 67% 94% 70% 90%

MSM

(reso

urce

efficie

ncy)

90% 80% 82%

Electrical Energy Consumption 69% 65% 70% 65% 80% 95% 74%

85% - 85%Diesel Consumption (kg) - - - 85%

Paint & Curing agent & Diluent

Consumption (kg)- 90% - 35% - - 63%

Auxiliary Material Consumption (kg) 100% - - -

Proper Waste Disposal (kg) - - - -

- - 100%

- 95% 95%

Key

Global efficiencyMSM® efficiency card

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P3

60%

P2

60%

P1

90%

P4

75%

Company

71%

L1 L2

L3

61% 62%

57%

Lines

Plant

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Desegregated Cost Analysis by monetizing the MSM KPI values

Added value costs vs. non added value costs

Labour

(k€)

Energy costs

(k€)

Water costs

(k€)

Diesel costs

(k€)

Packaging costs

(k€)

Non-value addedValue added

Costs

(E

uro

s)

due to confidentiality reasons the values are uncharacterized

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PDCA

5 SDMAIC

5 why

SMEDTPM

7 Wastes

VSM

Performance Assessment

ContinuousImprovement

MSM’s position regarding other Lean Tools

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MSM Strengths – Vision of the MSM with online monitoring (sensors IoT)

Aligned with the Industry 4.0 new challenges

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MSM Strengths – Versatile Analysis by “Efficiency Cards”

Efficiency Fingerprint

Summary analysis

Other KPI

OEE

bottlenecks

ResultsInputs

Inventory

Value added and non value added Customized

ContinuousImprovement

MSM Scorecard RESOURCES

MSM Scorecard OPERATIONS

MSM Scorecard FLOW

MSM Scorecard DOMAIN X

Energy Efficiency Materials

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Unit Process (Stages) Description

Feeding table Supply the conveyer with boards (automatically)

CalibratingConsist in calibrating the board's thickness using coarse and

medium sand paper

SandingConsist in sanding the MDF boards to obtain a smooth finish and

guarantee the specification thickness

Cutting

The cutting process consists of two steps, vertical cutting and

longitudinal cutting, during these steps the MDF boards are also

calibrated in terms of width and length

StackingDuring this unit process the MDF boards, already cut, are stacked,

and the protection board is placed on the top

PackingThis unit process is carried out by placing cardboard and the base

studs, finally the strapping PET tape placed

Plywood boards finishing line description

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Plywood boards finishing line description

Resource and

energy variables

Time (h)

Electrical energy (kWh)

Diesel (l)

Appropriate referral of waste (kg)Linear meters sanded per sandpaper (m)

Sandpaper utilization (m2)

Operational

variables

Quality (units)

Length (mm)

Width (mm)

Thickness (mm)

Planned down time (min)

Planned production time (min)

Unplanned down time (min)

Analysed variables: KPI for Operational Variables

• Adopt statistical control technics,applying control bands to set theboundary limits (“area tend toadd value”)

• Penalize function that accountsfor the waste areas (“tend tocreate waste”)

• Assessment of effectiveness,rather than efficiency

Counts (N)

Variablevalue

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Resource efficiency assessment



- 100%

93%- 100% 80% - - -

- 100% 100% - -

- 100% 100% - -

- - 95% - 95%

18% 62%

Sandpaper utilization (m2)

Linear meters sanded per

sandpaper (m)

Appropriate referral of waste

(kg)

Diesel (l)

Electrical energy (kWh) 65% 71% 76% 75% 70%

100% 100%

95%-

56% 71%

Time (h) 78% 50% 67% 9% 70% 12% 36%

Resource overall efficiency 71% 84% 85% 60% 70%

Packing

0,42 0,42 0,42 0,58 0,58 0,58

StackingUnit processes

Feeding table Calibrating Sanding Cutting

Product : Plywood board Functional Unit: m3Period of analysis: 1 year

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Operation efficiency assessment



- 100% -

99% 98% 99% - -

- 100%

Thickness (mm)

Width (mm)

Length (mm) - - - - 100%

- 99%

100%- - -

100% 98%Quality (units)

67% 67% 67% 67% 67% 67% 67%Speed Loss (min)

100% 100% 86% 100% 100%

77% 80%

Availability (min) 62% 62% 62% 62% 62% 62% 62%

Operation overall efficiency 82% 82% 79% 77% 86%

Packing

0,42 0,42 0,42 0,58 0,58 0,58

StackingUnit processes

Feeding table Calibrating Sanding Cutting


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Overall dashboard

(Operation & resource efficiency)



INFORMATIVE VARIABLES

59% 23% 51%

42% 41%42%

Bottleneck 100% 41% 50% 31%

OEE 42% 42% 36% 42%

56% 71%

Overall Operation efficiency

(%) 82% 82% 79% 77% 86% 77% 80%

Overall resource efficiency (%) 71% 84% 85% 60% 70%

Overall production system

Performance (%)59% 69% 67% 46%

Unit processesFeeding table Calibrating Sanding Cutting

43% 57%

Packing

0,42 0,42 0,42 0,58 0,58 0,58

Stacking

60%


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Disaggregated Cost Analysis (€ / m3)


- €

1,0 €

2,0 €

3,0 €

4,0 €

5,0 €

6,0 €

7,0 €

8,0 €

9,0 €

Packingmaterials

ElectricalEnergy

Labour Sandpaper Diesel

Value added Non value added

14,31 €81%

€3,29 19%

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MSM approach brings a new perspective to assess Overall Performance of a System, since resultscan be quantified by a discreet method for a process sequence or a individual system

It integrates strong visual management attributes and is mathematically simple (very easy to use for all kind of stakeholders)

The Multi-layer Stream Mapping enables to calculate the aggregation efficiency of different aspects of management of a system, by the integration of different “MSM EFFICIENCY CARDS”

Very versatile and wide range concept that can be applied for multi-variable and multiple-domain activities (project management, logistics, economics, services, health care, etc.)

Other potential characteristics

Simple warning programming (Alarmistic) to assist in maintenance

Support the simplified identification of root causes of problems

Simplified ROI for improvement actions analysis (payback)

Easy tracking of indicators on the production line

Great alignment with Industry 4.0 (“sensing enterprise”, “Internet of Things”, etc.)

Inductor culture of continuous improvement and focus on reducing waste

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Other MSM applications Wine Vineyard Farm (ongoing project)

Other past or ongoing projects:

Textil Industry

Process Industry – SPIRE H2020

MAESTRI Project - ongoing

Aeronautics – CLEAN SKY H2020

PÁSSARO (with Airbus Spain) - ongoing

Bed 2

Bed 3

Bed 1

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Thank you for your attention

Using Multi-layer Stream Mapping to assess the overall efficiency and waste of a production system: A case study from the plywood industry

António J Baptista ([email protected])

mailto:[email protected]

Date post:	11-Feb-2017
Category:	Engineering
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Using Multi-layer Stream Mapping to assess the overall efficiency and waste of a production system: ...

Engineering