OPTIMISING THE PRODUCTION PROCESS OF EXPORT COMPONENTS IN ROOTS CAST PVT LTD.

A PROJECT REPORT

Submitted by

SRIDHAR V Register No: 098001123096

in partial fulfillment for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

SRI KRISHNA COLLEGE OF ENGINEERING AND TECHNOLOGY, COIMBATORE 641 008

ANNA UNIVERSITY OF TECHNOLOGY, COIMBATORE

JUNE 2011
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SRI KRISHNA COLLEGE OF ENGINEERING AND TECHNOLOGY, COIMBATORE 641 008

MASTER OF BUSINESS ADMINISTRATION
PROJECT WORK JUNE 2011

This is to certify that the project entitled

OPTIMISING THE PRODUCTION PROCESS OF EXPORT COMPONENTS IN ROOTS CAST PVT LTD.
is the bonafide record of project work done by SRIDHAR.V Register No: 098001123096 of MBA during the year 2010-2011.

------------------------

---------------------------

Project Guide

Head of the Department

Submitted for the Project Viva-Voce examination held on

----------------------------Internal Examiner

---------------------------External Examiner

DECLARATION I affirm that the project work titled OPTIMISING THE PRODUCTION PROCESS OFEXPORT COMPONENTS IN ROOTS CAST PVT LTD being submitted in partial fulfilment for the award of MASTER OF BUSINESS ADMINISTRATION is the original work carried out by me. It has not formed the part of any other project work submitted for award of any degree or diploma, either in this or any other University.

Sridhar.V 098001123097

I certify that the declaration made above by the candidate is true

Signature of the Guide, Mrs.V.Kalyani Assistant Professor

ACKNOWLEDGEMENT The list of people, who made this project a reality, is very large one. I take this opportunity to try and identify each and every one of them and thank for their valuable and generous contribution. To begin with, I offer my humble thanks at the sacred feet of the Almighty; the creator whose will was to make this project a great success. I express my deep and sincere heartfelt gratitude to MR. K. RAMASAMY, CHAIRMAN, ROOTS INDUSTRIES INDIA LTD. For giving me the opportunity to carry out the internship in this esteemed organization. I also take the privilege in thanking, DR. KAVIDASAN, HR HEAD, ROOTS INDUSTRIES INDIA LTD., MR. N. SAMPATHKUMAR, SR. MANAGER, TRAINING & DEVELOPMENT ROOTS INDUSTRIES INDIA LTD, MR .JAMES BASKAR & MR.PREM KUMAR, ROOTS CAST PRIVATE LIMETED, MR.

SENTHIL GANESH, HPED, ROOTS INDUSTRIES for their support and guidance in carrying out the project. I take this opportunity to thank first the Principal of our college

Dr. S. SUBRAMANIAN, B.E., M.Sc.(Engg.)., Ph.D., for giving the permission to carry out the project work. I am pleased to thank my guide, MRS. KALYANI,

SRI KRISHNA SCHOOL OF MANAGEMENT, for her guidance throughout the course of project. I would like to thank my family members and friends for their blessings and encouragement to complete this work.

TABLE OF CONTENTS CHAPTER NO Abstract Introduction 1.1. Introduction to study 1.2. 1.2. Company profile 1.3. 2. 1.3 Statement of problem Objectives and Scope of study 2 2.1 Objectives of research 2.2 Scope of research 1 2.3 Key Assumptions Review of Literature 3 3.1. Introduction 3.2. Lean Manufacturing 3.3. Lean Manufacturing Principles 3.4. Lean Manufacturing Goals 3 3.5. Value Stream Mapping 3.6. Value Stream Mapping and Process Flows 3.7 Value add versus Non-Value add analysis 3.8 Lean thinking 3.9 Lean Six Sigma 3.10 Sources of Waste Research Design and Methodology 4.1 Introduction 4 4.2 Tools used in this research TITLE PAGE NO ii 1 1 2 11 13 13 13 13 15 15 16 17 19 19 21 22 24 25 25 28 28 28

Current State mapping 5 5.1 Inference Implementation of Future State Map and Improvements 6 6.1 Comparison between Current and Future state maps

35 36 37

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6.2 Future State Mapping Findings and Suggestions and Conclusion 7 7.1. Suggestions 7.2. Findings 7.3 Summary of Research 7.4 Benefits brought by the research 7.3 Conclusion Bibliography

42 43 43 43 44 44 45 46

LIST OF FIGURES

S.No 3.1.1 5.1 5.2 5.3 5.4 6.1 6.2 6.3 6.4

Particulars Goals and their level of abstraction Current state mapping- Adapter Current state mapping- Faden Current state mapping- Largershitten Double Current state mapping- Housing F Unloader Future state mapping- Adapter Future state mapping- Faden Future state mapping- Largershitten Double Future state mapping- Housing F Unloader

Page No 15 32 33 34 35 38 39 40 41

CHAPTER 1 INTRODUCTION 1.1 INTRODUCTION TO STUDY:

The business environment has changed during the last ten years. It seems no industry is immune to the direct or indirect consequences of global competition. For many organisations, obsession with quality and productivity is evident. Very few organisations take into consideration the following: Production of item which are not needed Mistakes in processes which require work Steps in production process which are not actually needed Movement of employees and transportation of goods from one place to another without any purpose A group of employee downstream who are standing without any work to perform

As much as 60% of operations in a manufacturing business do not add value to the product and customer. World class organisations tend to invest on sophisticated technology with the intention of saving costs. This form of cost saving only applies to reduce labour cost, which is a short term solution to the problem of inefficiency. In this day and age, managers are forced to think lean. Some organisations especially in the manufacturing industry, have decided to implement lean six sigma which has the following benefits: Helps the organisation become more profitable by cutting costs, improving delivery time, reducing inventory and increasing customer satisfaction. Develop valuable job skills such as decision making, problem solving and teamwork. Makes the workplace better by getting rid of waste. Roots casting focuses on die casting, will be briefly discussed, depicting the problem that they are now facing. The main problem will be identified and addressed by this study.

This will be done by identifying the sub-problems, establishing and confirming the key assumptions, conducting literature studies and implementing the philosophies and principles. This study is aimed at answering the question of how value stream mapping will be used to add value to bottom line of roots castings and eliminate all non-value adding activities in the process flow of refurbishing rolling stock.

1.2 COMPANY PROFILE: Roots-Group of Companies

NAME OF THE COMPANY 1 2 Roots Industries Ltd. Roots Auto Products Pvt. Ltd. PRODUCT/SERVICE Electric horns Air horns, switches &

controllers 3 4 Roots Multi clean Ltd. Roots Cast Pvt. Ltd Industrial cleaning equipment Aluminium and Zinc pressure die cast 5 6 7 Roots Precision Products Roots Digital Services Pvt. Ltd. Roots Metrology Laboratory Dies, tools, jigs & fixtures Digital Engineering Services Instrument quality consultancy 8 9 Roots Polycraft RK Nature Cure Home Plastic components Nature cure therapy, yoga and massages 10 Crystal Clean Care Range for modern cleaning techniques calibration, system and

Roots Auto Product Private Limited:

Roots Air horns ensures a smooth and safe passage of thousands to heavy vechiles on the move. Roots Auto Products limited (RAPPL), the largest supplier of Air horns in India caters to the needs of several OEMs : Ashok Leyland, Caterpillar India and JCB Escorts. Roots air horns also finds a place of pride in passenger vechiles, trucks, earth moving equipment, etc. Roots air horns are exported to countries in North America, Europe, Middle East, Africa and SAARC region.

Roots Multi Clean Limited:

RMCL is situated in the suburbs of Coimbatore, is a joint venture with Hako Werke Gimbh & Co., Germany. It commenced manufacturing of cleaning equipment in early 90s at its modern factory located amidst natural greenery. RMCL is the sole representative of Hako Werke Gimbh & Cos entire range of cleaning equipment for India and SAARC countries. To improve and facilitate a better service to its customers, RMCL has established regional offices in all metros and a huge dealer network in bigger Cities and States. The superior quality products and the added advantage of good sales and after sales service has established the company as the companys largest manufacturer of floor cleaning equipment.

Roots Cast Private Limited:

Roots Cast Pvt. Ltd., (RCPL) formally known as Aruna Auto Casting Pvt. Ltd., was established in 1984 to meet the captive requirements of Roots group. With its ever probing eye on the needs of the market, the company in the late 80s expanded its operation to manufacture High Pressure Die Cast Aluminium and Zinc components to the extracting needs of various customers in Automobile and Textile Industry with a high degree of Quality and Perfection. RCPL now has established itself a major player in the die cast component manufacturing thanks to the expertise built in the core activities like tool design, tool making

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and pressure die cast component manufacturing. RCPL supplies machined castings and sub assemblies as per customer requisitions.

Roots Precision Products:

Roots Precision Products was established in 1987 to address the in-house tooling needs of the diverse industries in Roots group. Owing to continuous improvement and investment into better resources, the company had become self-sufficient. It is catering to the needs of various Industries RPP acts as a one-stop solution for tooling and precision machining.

Roots Digital Services Private Limited:

Roots Digital Engineering Services Private Limited specializes in offering cutting edge engineering services that include Computer Aided Design and Computer Aided Manufacturing with emphasis on product development technology. Companies that look for digital engineering expertise use our services as a strategic tool to maximize their business impact. Roots Digital specializes in New Product Development. Skills to develop concepts, designs and prototype products, manufacturing fixtures, test equipment are assets on which the business is built. The Company handles both Product Engineering Design and Product Industrial Design.

Metlab:
Roots state-of-the-art Metrology Laboratory is a comprehensive calibration centre in the South India that offers mechanical, electrical, torque, pressure and vacuum calibration instruments all under one roof. The expertise of the laboratory has attracted the renowned Public and Private Sector undertaking.

Roots Polycraft:
Roots Polycraft (PC) was established in 1988 to manufacture precision plastic components. It is equipped with latest microprocessor injection moulding machines to maintain consistent process parameters. Over the years, Polycraft has gained skills and unique techniques to manufacture small and medium size components for Automotive, Pump, Textile, and Medical Industries besides meeting the captive requirements of Roots

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Group. Being fully equipped to provide the best service, Polycraft has satisfied customers who have helped augment its technological advances.

The Company's commitment towards the customer is demonstrated with quality products and service. This has resulted in continuous growth and product diversification. The process is closely monitored with proven techniques to obtain consistently good quality parts.

1.2.1 ROOTS -VISION STATEMENT:

We will stand technologically ahead of others to deliver world-class innovative products useful to our customers. We will rather lose our business than our customers' satisfaction. It is our aim that the customer should get the best value for his money. Every member of our company will have decent living standards. We care deeply for our families, for our environment and our society. We promise to pay back in full measure to the society by way of selfless and unstinted service.

1.2.2 QUALITY:
They are committed to provide world-class products and services with due concern for the environment and safety of the society. This will be achieved through total employee involvement, technology up gradation, cost reduction and continual improvement in - Quality of the products and services - Quality Management system - Compliance to QMS requirements Quality will reflect in everything we do and think - Quality in behavior - Quality in governance - Quality in human relation

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Quality - An All Pervasive Entity Roots is committed to manufacture customer-centric and technology-driven products on par with international quality standards. For example, the horns manufactured undergo a rigorous life-cycle test and are subjected to an endurance of over 200,000 cycles of performance while the industry norm requires only 100,000. Roots believe in a quality culture that goes beyond just products. Equal emphasis is given to quality in human relation and quality in service. Roots in its journey towards Total Quality Management have reached important milestones: ISO 9001, QS 9000, VDA 6.1, ISO/TS 16949 and ISO 14001 Certification, presently in the process of obtaining NABL accreditation for our Metrology lab. The Group's TQM policy has a well-integrated Quality Circle Movement with active employee participation at various levels.

1.2.3 ENGINEERING:
The Engineering Research Centre (ERC) is involved in the continuous improvement and enhancement of design to increase performance and reliability. The ERC functioning under three distinct heads cater to the needs of Roots Industries, Roots Multiclean and Roots Auto Products. Though there is a three-pronged operational ethos, the ERC is integrated and meshed seamlessly with one single objective: that of design research and performance monitoring. Through extensive product engineering, the ERC cell of ROOTS achieves the following: - Designing and developing new products with customer focus. - Conducting required tests to ensure product reliability. - Initiating necessary corrective and preventive action for ensuring peak performance - Fine-tuning products with available components to satisfy customer requirements

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The ERC consists of the best talent that includes engineering graduates, ITI brains and design engineers. The team works with top-notch tools like Proe2000i2 - for solid modelling AutoCAD 2000 - for Drafting CorelDraw V 8.0 - for Graphical Applications

1.2.4 PEOPLE VALUABLE ASSET:

Roots has a strong people-oriented work culture that can be seen and felt across all its member concerns. Whether they work in group or in isolation, their effort is well appreciated and achievements well rewarded. They have a sense of belonging and they revel in an environment of openness and trust. Cross-functional teams function as one seamless whole and foster the true spirit of teamwork. Roots as a learning organization systematically train its employees at all levels. Conducted in-house, the training programmes equip them to meet new challenges head on. Employees are encouraged to voice their feelings, ideas and opinions. There is a successful suggestion scheme in operation and best suggestions are rewarded. Lasting relationship will evolve only when people know that their work is valued and that they contribute meaningfully to the growth of the organization. At Roots, people across the group companies, through interactions at workshops and seminars, get to know each other individually, share their common experiences and learn something about life. Personal Culture The management has been encouraging and promoting a very informal culture, "Personal touch", sense of belonging, enabling employees to become involved and contribute to the success of the company. The top management also conscientiously inculcates values in the people.

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Work Environment Special and conscious efforts are directed towards housekeeping of the highest order. Renovation and modernization of office premises and office support systems are carried out on an ongoing basis. Training Roots believe in systematic training for employees at all levels. As a part of the Organizational Development efforts, training programmers are being conducted in-house, for employees at all levels. In addition, staffs are also sponsored for need based training programmers at leading Management Development Institutes. Total Quality Management Customer Focus is not merely a buzzword but it has become an important factor of every day work and has got internalized into the work environment. There is an equal emphasis on internal customer focus leading to greater team efforts and better cross-functional relationship. Quality Circle Movement To ensure worker participation and team work on the shop-floor, Roots Industries India Ltd has a very effective Quality Circle Movement in the organization. As on today Roots Industries India Ltd has 3 operating Quality Circles having 24 members and some of them have won awards at different conventions and competitions. Through interaction with workmen in these sessions, a process of 2-way communication has been initiated and valuable feedback has been received on worker feelings, perception, problems and attitudes. Simultaneously management has communicated the problems faced by them and the plans to overcome these problems.

1.2.5 ROOTS PRODUCT RANGE:

Roots Industries specializes in the manufacture of a wide range and line-up of automobile horns. Roots is a leading supplier to all the major vehicle manufacturers like Ford, Daimler

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Chrysler, Mitsubishi Lancer, Mahindra & Mahindra, Toyota, Tata Motors, Fiat Uno and Siena, TELCO, TVS Motor Company, Kinetic Honda, etc. Roots Industries India Ltd places a premium on original technology and innovation. Roots' indigenous talent has kicked off a spree of growth unmatched in the history of automobile OE manufacturers.

1.2.6 GLOBAL ALLIANCES FOR COMPETITIVE ADVANTAGE:

Roots is a leading Original Equipment supplier to major vehicle manufacturers like Mercedez Benz, Mitsubishi, Mahindra & Mahindra, Toyota, Fiat, TELCO, Harley Davidson, Navistar etc. The ever demanding requirements of Customer Satisfaction has strengthened the R & D activities and increased Roots technical competence to international standards.

Roots Multiclean Ltd. (RMCL) is a joint venture with Hako Werke GmbH & Co., Germany, one of the largest cleaning machine manufacturers with global operations. RMCL is the sole representative in India and SAARC countries for Hako Werke's entire range of cleaning equipment. The quality of RMCL products is so well established that Hako buys back a major portion for their global market. RMCL also represents several global manufacturers of cleaning products and is gearing itself up to provide customized, total cleaning solutions.

1.2.7 MILESTONES:
1970 1972 1984 Promotes American Auto Service for manufacture of Electric Horns. First to manufacture Servo Brakes for Light Motor Vehicles. Roots Auto Products Private Limited was established to manufacture Air Horns. Die Casting Unit commences commercial operations. 1988 1990 Polycraft, a unit for Plastic Injection Moulding was established. Roots Industries India Ltd takes over Electric Horn business.

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1992 1992 1994

RMCL enters into Techno-Financial collaboration with M/s. Hako Werke GmbH, Germany. Roots Industries India Ltd obtains the National Certification - ISI mark of quality. Production of floor cleaning equipment commences. Roots Industries India Ltd wins American International Quality Award.

1999 2000

Becomes the first horn manufacturer in Asia to obtain QS 9000 Becomes the first horn manufacturer in Asia to obtain VDA 6.1 and the first in the world to win ISO / TS 16949

2000

The first to introduce digitally controlled air horns and low frequency, low decibel irritation free Jumbo Air Horns.

2003 2003 2004

Roots Industries India Ltd., Horn Division is accredited with ISO 14001 : 1996 Roots Industries India Ltd., upgraded its ISO / TS 16949 from 1999 version to 2002 version Roots Industries India Ltd (RIL) opens its 100% exclusive Export Oriented Unit at their Horn Division, Thoppampatti, Coimbatore to cater the needs of Ford North America.

2004 2004

RIL's EOU commences its supplies to Ford, North America Roots Multiclean Limited (RMCL) inaugurates its 100% EOU Plant at Kovilpalayam, Coimbatore

2004 2004

Roots Cast Private Limited (RCPL) inaugurates its Unit II at Arugampalayam, Coimbatore Roots Auto Products Pvt Ltd (RAPPL) expands with its Machining Division at Arugampalayam, Coimbatore

2004 2004 2005

RIL successfully launches its Malaysian Plant The group company American Auto Service is accredited with ISO 9001 : 2000 Roots Industries India Ltd., is certified with MS 9000, a pre-requisite for Q1 award for Ford Automotive Operations Suppliers. Focus on Systems and Processes

2005

Roots Metrology & Testing Laboratory has been accredited by National Accreditation Board for testing & calibration in the field of Mechanical Linear & Angular

2005 2005

Roots Industries India Ltd., is awarded Q1 by Ford Motor Company Roots Industries India Ltd., Horn Division upgraded its ISO : 14001 from 1996 version to 2004
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1.3 STATEMENT OF PROBLEM:

Global competition is based on reduced waste, good product quality, efficiency and cost reduction. Toyota in Japan was the first manufacturing company to develop and apply lean manufacturing practices through Toyota production systems. Lean manufacturing is a manufacturing strategy that seeks to attain a high level of throughput with a minimum of inventory. One of the prime focuses of lean manufacturing is to reduce waste by eliminating what does not add value to the bottom line of the organization. Lean six sigma was subsequently introduced as another wing of lean manufacturing. It focuses mainly on delighting the customer by meeting and exceeding product quality and speed of delivery and in so meeting the organizational goal. Value stream mapping is a combination of lean manufacturing and lean six sigma. Value stream mapping is a method of visually mapping the flow of raw materials through all the manufacturing process until final product stage. Value stream mapping has the following benefits: Helps to visualize the production process at plant level and not just the process. It is a holistic concept. Helps one see the source of waste in the organization. It shows the linkage between information flow and material flow. It forms the basis of the implementation plan and serves as a point of departure in the improvement of manufacturing processes. It ties together lean concepts and other manufacturing techniques to enable improvements that are reflected in the organizations bottom line. Multinational companies that reside in India have started implementing lean manufacturing techniques. They have implemented Ford production system and Toyota production system. Roots cast a major casting producer in India and as a global competitor is not exempted from these world best practices. Roots cast are currently using kanban system to control manufacturing process, which is not even applied consistently throughout the organization.

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There are daily material shortages which lead to wasted time and inability to meet daily output and customer demand. This tendency subsequently leads to lost profits and customer dissatisfaction. Raw material is received and accepted by inventory staff without proper inward inspection. Raw material defects are only identified during manufacturing process. This also leads to lost production and wasted time through rework. Die casted materials are returned to inventory store as work in progress. This material gets drawn from inventory stores to production lines. This is a time consuming flow. This process described above leads to the discussion that Roots cast has poor quality systems that fail to delight the customers. Roots cast is always behind on agreed delivery schedules with the customers. This leads to the research question mentioned below which will be addressed by this research: How can Value stream mapping at Roots cast be used to add value to the bottom line? 1.3.1 Sub problems In developing the research strategy that will resolve the main problem, the following sub problems were identified: What manufacturing best practices are suggested by the literature? How is Roots cast applying manufacturing processes from the receipt of raw material through production processes to the release of product to the customer? How can the results obtained from the resolution of the first sub problem be integrated and implemented in Roots cast?

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CHAPTER 2 OBJECTIVES AND SCOPE OF RESEARCH 2.1 OBJECTIVE OF THE RESEARCH:

The result of this research would increase awareness of Roots cast management of the available world best manufacturing practices like Lean manufacturing, Lean Six Sigma and Value Stream Mapping.

2.2 SCOPE OF THE RESEARCH:

Applying the lean concept would increase Roots competitiveness by improving productivity, quality; reduce waste, cost saving, and customer satisfaction. It would also produce motivated workforce through working smarter rather than working harder. In addition, it could result in integrated and holistic approach to manufacturing. As Roots cast strive to be a globally competitive organization, the application of the best practices, with particular reference to manufacturing was be considered and adapted to suit Roots.

2.3 KEY ASSUMPTIONS:

In this research it was assumed that: Assumption One: Top management, from the chief executive officer to production foreman level, are committed and have successfully driven the implementation process. Assumption Two: A strong culture of productivity is entrenched within the organization.

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Assumption Three: All employees were involved in the manufacturing process are well trained to perform their function. Assumption Four: All employees take personal responsibility for their work and are competent. Assumption Five: An output measurement method was developed, through which employees can be monitored and measured.

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CHAPTER 3 REVIEW OF LITERATURE

3.1 INTRODUCTION: The information gathered in this chapter was used to help the researcher to implement the relevant methodology when conducting value stream mapping at Roots cast. The purpose of the organization may be earning profit for its owners. The mission statement of the same organization may be offer a full service or product. The distinction between the mission statement and the purpose of the organization can be a fine one. The goals at the highest levels of abstraction express an organizations overall purpose, whereas goals at the lower level are relatively specific as shown in figure below: Figure No: 3.1.1

According to Smith, the well-managed business has goals in eight areas as follows: Market standing Innovation Productivity
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Physical and Financial resources Profitability Manager performance and development Work performance and Attitude Public responsibility

These areas can be performed successfully with the application of Lean Manufacturing principles and Value Stream Mapping. As global competition intensifies, achieving best practice and would class performance is not just a desirable goal, it is a necessity for survival. Globally active companies today are applying best practices in the form of Lean Thinking, Lean Six Sigma, Lean Manufacturing, Value Stream Mapping et cetera. These manufacturing practices are discussed in the next section. 3.2 LEAN MANUFACTURING:

Lean manufacturing has dramatically lifted the competitiveness of many manufacturing companies and the value they deliver to the customers.

Smalley states that core elements of Lean Manufacturing were developed in Japan at Toyota Motor Corporation between 1950 and 1955. The following key concepts were tested under strict supervision during the development of lean manufacturing:

Task time, which is the desired time between units of production output and is synchronised to customer demand. Process flow, which is relates to both material and information flows between customer and suppliers who work together in a supply chain. Standard work, which is found where the method of doing work has been planned and written in detail and to perform the same each time. Single minute exchange of die (SMED) refers to the set up time or exchange of die that can be counted in a single digit of minutes. Pull system, this is a system of planning and producing strictly acc to the customer demand.
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In order to ensure that basic stability in the manufacturing process is achieved, the following points must serve as a yard stick: Availability of machine uptime to meet customer demand. Availability of material to meet production needs. Availability of trained employees to handle the current manufacturing processes. Availability of clearly defined work methods as basic instructions or Standard Operating Procedures (SOPs). Lean manufacturing is providing more and more with less human effort, less equipment, less inventories, less time and less space while coming closer and closer to providing customers with exactly what they want and when they want it.

Lean manufacturing is used in companies that pursue zero waste relentlessly in all processes and operations. It is about operating the most efficient and effective organisation possible with the least cost and zero waste.

The main goals of a lean organisation within a manufacturing process are the elimination of waste and continued efforts to: Provide world class customer service. Reduce manufacturing lead times. Increase labour efficiencies. Improve product quality. Increase labour flexibility. Increase market flexibility. Reduce inventories and. Lower the cost of overheads.

3.3 LEAN MANUFACTURING PRINCIPLES:

The organisations that subscribe to lean manufacturing practices focus on the reduction of waste and the creation of value in all its processes. They continually improve their products through research and development. Products that do not perform in the market are removed
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from the production lines and new ones are introduced through the results from market research. Following are the principles to enhance lean manufacturing in order to ensure that processes followed to produce products do add value to the bottom line of the organisation.

No buffer of safety stock

The authors point out that making only few parts before assembling before assembling them makes mistakes to show instantly. It is therefore important not to retain buffer stock.

Work Teams

An important aspect is to group workers together into teams with Team Leaders rather than a foreman. This allows shop floor employees to make decisions regarding their activities in the manufacturing processes.

New Material Handling Systems

New ways are sought to coordinate the flow of parts within the supply system on a day-to-day basis. These systems include the Just- In-Time system called KANBAN at Toyota.

New Model Development Time

Firms take a long time to change production and model specification in mass production and are expensive. By contrast, a pre- eminent manufacturer such as Toyota needs half the time required by mass production to design a new product. This means that Toyota can offer twice as many cars with the same resources and budget. Having a competitive advantage over your competitor is very important in the global market.

Demand fulfilment

All the variety available from lean manufacturing would be enought if the organisation could not build or produce what the customer needs. Meeting the customer requirements is a key to lean manufacturing. On time delivery of quality goods to the customers specification is important for customer satisfaction.
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Make to order

At Toyota, the dealers become part of the production system. Build to stock system does not add value to the organisations bottom line as products produced are kept in stock rather than being sold to customers.

Customer involvement

Toyota focused relentlessly on repeat buyers and went directly to them to plan for the new product. They added value and had a contribution in the development process of the cars.

Shop floor involvement

All information pertaining to daily production targets, equipment breakdowns, personnel shortages, overtime requirements and so forth are displayed on the boards (Electronically lighted displays) that are visible from every work station. Information sharing with employees is important. It enables them to know how the business is performing.

Idea Stimulation

Employees must be encouraged to think actively, indeed proactive so they can devise solutions before problems become serious. Employees are the source of solutions as they are involved in Everyday processes and have long term experience of certain processes. Involving employee leads to then taking ownership of the organisation and thinking proactively to resolve problems.

3.4 LEAN MANUFACTURING GOALS:

The main goals of a lean organisation are the elimination of waste and continued efforts to: Provide world class customer service. Reduce manufacturing lead times. Increase labour efficiencies.

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Improve product quality. Increase market flexibility. Reduce inventories. Lower the costs of overheads.

Lean manufacturing addresses all aspects of business from strategic planning to maintenance, engineering, work culture, information management and production systems. Smooth flow of production is important in a manufacturing organisation. Lean manufacturing strives to reduce waste of material and time that results from a manufacturing process that is not operating and flowing smoothly. Continuous and smooth production flow is a key attribute of lean manufacturing.

3.5 VALUE STREAM MAPPING:

Value Stream Mapping is all the, both value adding and non-value adding in the process. These actions are required to bring the product through the processes flows that are essential for every product. The product flows from new material into the hands of the customer and the design of the product flows from concept to launch.

It is important that waste, in manufacturing processes be reduced to an absolute minimum. Other organisations like Goodyear Tyre Manufacturers, Ford Motor Company of South Africa and General Motors South Africa measure their efficiency on waste. Tar gets are set for waste on each and every process and explanations accompanied by corrective action plans are expected from the department manager. Waste in manufacturing is all the efforts that do not add value to the final product from the point of view of the customer. The following are the actions in reducing waste: Reduce variability in the manufacturing process Reduce the share of non-value adding activities Reduce lead time Simplify by minimising the number of steps, parts and linkages Increase flexibility

Value stream mapping is all about mapping all the process steps, each individual action
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involved in the process of physical production and order taking for specific products. 3.6 VALUE STREAM MAPPING AND PROCESS FLOWS:

Following are the process flow tools:

Process Mapping: This is a process where the analysts observes and documents the process steps through the production line. It is recommended that walking the floor and talking to staff asking questions about the process must be done when mapping the process. Flowcharts get into detail only on processes that will be helpful to identify the problem.

SIPOC (Suppliers, Inputs, Process, Output and Customer): This is a simple diagram that identifies the basic elements of the process. It is a good tool for translating customer requirements into output requirements and identifying Key Process Outputs (KPOs).

These tools are use for various purposes as suggested below: Visually documents and processes, including key data as captured on the value stream map. Provides fact-based process description as a basis for understanding current problems (poor flow, rework loops and delays) and opportunities to improve. Enables the team to quickly see improvement opportunities in the process and begin to define underlying causes. Helps the team to see how the process should work (future state) once they eliminate waste. Helps communicate inside and outside the organisation

A value stream is all the actions both the value added and non value added currently required to bring a product through the main flows essential to every product. The flows are the production flow from raw material into the arms of the customer and the design flow from concept to launch. Value stream mapping analyses the current state and converts it to the future state, having identified and eliminated all the non value added activities in the production flow.
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Rother and Shook (2003) state the following reasons why value stream mapping is an essential tool: It helps one to visualise not only the single process, but the entire flow. It helps one see the sources of waste in the value stream. It provides a common language for talking about manufacturing processes. It makes the decisions about flows apparent so one can discuss them. It ties together lean concepts and techniques. It forms the basis of an implementation plan. Value stream becomes a blueprint for lean implementation. It shows the linkage between the information flow and the material flow. It is much more useful than other quantitative tools and layout diagrams that produce a tally of non value added steps, lead time, distance travelled, and the amount of inventory. Value stream mapping is a qualitative tool by which one describes in detail how the facility should operate in order to create flow.

3.7 VALUE ADD VERSUS NON-VALUE ADD ANALYSIS:

The above analysis is used to highlight and distinguish process steps that customers are willing to pay for from those they are not. Identify and eliminate the hidden costs that do not add value for the customer. Reduce unnecessary process complexity which results in errors. Reduce the process lead time. Increase capacity by better utilisation of resources.

Value add activity This is any activity that is essential to deliver the product or service to the customer. It must be performed to meet customer needs and add form or feature to the product or service. It must also enhance quality and have an impact on price competition.

Business non-value adding activities These are activities that are required by the business to execute value adding work but add no
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value from the customer perspective. These activities usually include:

Tasks that reduce financial risk. Support financial reporting requirement. Aids in execution of value add work. Is required by law or regulation.

Non Value adding activities These are activities that add no value to both the customer and the business, they are waste. These activities include: Excessive handling and transportation. Rework to fix errors that should not have happened in the first place. Waiting and role time and delays. Over production. Over processing, having too many steps in a production process.

Value stream mapping has fundamental pillars that are aimed at ensuring that the customer reaps from the benefits of the service or commodity. It does not only apply within the confines of manufacturing and team manufacturing processes. It also ensures that these benefits are derived from the economies of scale. Economic value mapping properly distinguishes between the values of highly differentiated products benefits compared to the generally commoditised benefits. Commodity and product value are the worth of the benefits associated with the features of a product that resemble those of competitors product.

Once the Value Stream Mapping is done properly during the manufacturing stage of the product, Customer Value Model surfaces. The customer value model has value in use as one of its four different categories. Value in use is the monetary worth of product or service benefits received by the customer as a result of using the product or service.

Value Stream Analysis focuses on a specific process of the business and map out the steps of how something is currently done. It identifies value added aspects of the business
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operation or manufacturing process that equate to steps required to put actual value into producing a product. Now value added time is the time that is devoted to activities that diminish the operations of the business and the actual production of the product. An analysis of the process in most businesses finds that value adding activities are actually a small percentage of the process time.

3.8 LEAN THINKING:

Lean Thinking is a way to specify value, line up value creating actions in the last sequence. Lean Thinking has five key principles namely: -

Specify value Value is expressed in terms of specific product or services, delivered at a specific price, at a specific time and meets the needs defined by the customer.

Identify the value Prepare that value stream in the macro view of the entire door-to-door perspective of productions, from raw materials to delivery. It includes the determination of all actions necessary to produce a product and the separation of non-value adding activities. This includes not only the physical transformation of the physical product, but also the information system necessary to produce the right quantity at the right time.

Flow Once waste has been eliminated, flow can be accomplished. Flow is the opposite of batch production and requires the movement of product from one value adding step to the next with no waiting or scrap.

Pull Pull is the production of customer requirements against specified delivery dates. Information travels upstream from the customer, signalling production only when a need is shown instead of pushing product from raw materials to the customer.
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Perfection Continuous improvement is vital for to perfection, where waste is constantly being eliminated. Perfection reminds manufacturers that reducing waste is never ending. Lean is not a specific control tool, improvement tool, floor layout or principle. It is the methodology or framework that focuses on the ideas of value, waste and meeting customer demand. Womack and Jones also state that Value Stream Mapping resulted as a of determining where the value and waste are located and aids in the reduction of lead time to help make the right product at the right time. The 5 key principles of lean thinking are illustrated below to further explain the philosophy.

Lean Thinking is about putting value stream for specific products relentlessly in the foreground and rethinking every aspect of jobs, careers, functions and firms in order to correctly specify value and make it flow continuously along the whole length of the stream as pulled by the customer in pursuit of perfection.

3.9 LEAN SIX SIGMA: Lean Six Sigma is an improvement method which user data to eliminate and identify unnecessary processes or activities in a certain process. It has four foundations that are fundamental to improving processes and keeping the customer happy at all times.

To delight the customers by delivering high quality product and service at low cost and high speed. To improve processes by eliminating defects in products and service and focus on the flow of work through the process. Implement teamwork for sharing ideas in order to solve the problem. Basing all decisions on data.

3.10 SOURCES OF WASTE:

Womack and Jones (2003:42) refer to over production as the main source of waste. According to Womack, over production strives to produce sooner than required by the customer in the
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form of mass production. It is based on pushing production according to schedules received from the Production Control instead of the needs of the waste stream process and end user.

Over production causes all kinds of waste, not just excess inventory and money tied up to it. It production requires storage space for product that has been produced unnecessarily. It

requires handling, people, equipment sorting and reworking of products. It also leads to material and product shortages as resources are tied up an unnecessary product. Money is wasted in that extra capacity must be created to manufacture the required part or product.

Womack and Jones (1996:38) also refer to the following types of waste in addition to overproduction. :

Waiting- this is time wasted where resources are ideally waiting for the preceding operation. Transporting- this is time wasted transporting an item from one operation to the other. Over processing- it normally happens where the product or service has met the desired or specified condition the process still continues. Inventory- this is material in stock that gets wasted due t o the fact that it is not needed for production. Motion- when motion is excessive, it becomes waste.

There are three measurements which express the goal of making money in any organisation, which helps a manager to develop the operational rules for running the plant.

Throughput- the rate at which the system generates money through sales. Inventory- all the money the organisation has invested in purchasing material for production. Operational expenses- all the money the company spends is converting inventory into through put.

A company that strives to make profits will focus on reducing waste and unnecessary activities, which leads to waste time and material.
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3.11 CONCLUSION

Value Stream mapping and all Lean Manufacturing principles have been around and applied for a long time. Companies that have applied Lean manufacturing principles in their processes have improves their productivity and reduced waste. Toyota is an example. Literature also confirms that proper use of lean manufacturing principles has yielded good results and improved the manufacturing efficiencies.

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CHAPTER 4

RESEARCH DESIGN AND METHODOLOGY

4.1 INTRODUCTION: This chapter explains the research tools that have been applied by the researcher to collect data analyse and interpret results. In this study, the researcher seeker to understand the current situation and process followed by Roots cast. Results obtained were analysed and used as a measure to decide on the appropriate production process to be implemented. Research methods are a programme that guides the researcher in collecting, analysing and interpreting data and facts. The following tools were used in this research:

4.2 TOOLS USED IN THIS RESEARCH: 4.2.1 Interviews There are many possible ways of gathering information directly from participants if such information cannot be observed. One of these direct ways of gathering information directly from participants is by interviews. An interview involves direct personal contact with the participant who is asked to answer questions.

There are two types of interviews, namely, non- scheduled structured interview and scheduled structured interview. Non-scheduled structured interview is structured in that a list of issues which have to be investigated is made prior to the interview. It is non-scheduled in that the interviewer is free to formulate other questions as judged appropriate for the given situation.

The most structured way of getting information directly from the respondents is by means of scheduled structured interview. This method is based on an established questionnaire with fixed wording and sequence of presentation. The researcher used a scheduled structured questionnaire in this research.

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Non Structured Interviews were conducted among production foreman and managers at Roots cast by the researcher to establish the attitudes of production foreman and managers towards manufacturing process as well as to evaluate the current manufacturing system. 4.2.2 Advantages and disadvantages of interviews: Advantages The interviewer is able to assess the extent to which the respondent is prepared to cooperate and the constraints that may affect co-operations. Constraints may be lack of time, fatigue and other priorities the respondent may have. In many cases, the researcher is able to assess whether the respondent is answering questions to please the researcher or to distort reality. The researcher is also able to assess the extent to which the interview is asking for the information the respondents do not have. Interviews ensure that the respondent understands the questions.

Disadvantages Interviews are very time-consuming and expensive. Research assistants need training. May introduce interviewer bias.

4.2.3 Time Studies The purpose of conducting time studies was to determine time taken to perform a specific activity in the process. Line balancing and activity sampling was also conducted to ensure that all operators are fully and equally utilised on the production line. Results obtained from the time studies suggested that certain stations were idling for longer periods. A decision was taken to select activities that must be eliminated or combined. Accurate time study was conducted to determine the cycle time, the time it takes to transfer material from inventory stores to production lines as well as determining time lost

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waiting for material. The value stream map was drawn, showing the current state from which a future state value stream map could be drawn, with recommendations. The results of literature survey and the empirical survey were integrated to develop a value stream map that would reduce waste, eliminate unnecessary processes and add value to the organizations profit line.

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CHAPTER 5 CURRENT STATE MAPPING

38

39

Current State Map For ADAPTER-1613 5841 01

Production Control RCPL C/O UP TIME 2 Min 100 % SURFACE TREATMENT Cycle 5 Min Time FINAL INSPECTION Cycle 10 Min Time C/O 0 Min UP 100 % TIME

14 days

Figure No: 5.1 Current State mapping - Adapter

40
d

FETTLING INTERMEDIATE STORE (INSPECTION) MACHINIG Cycle Time C/O 5 0 UP TIME 100
1 day 5 mins

FINAL INSPECTION Min Min %

2 days 7 mins 1 day 10 mins

Customer

Cycle Time

Min

C/O
HPED

0 Min

DIE CASTING Cycle 1 Time C/O .5 UP 100 TIME

Cycle 1440 Min Time C/O 0 Min UP TIME 100 %
1 day 2 days 1 day 7 mins 18 days

Mi n Mi n %
Cycle 5 Min Time C/O 2 Min UP TIME 100 %

UP TIME 100 %

1.5 mins

1 day

7 mins

2 days

Current State Map For FADENFUEHRUNGACW-5-2929

IMPRIGNATION Production Control 5 Min 0 Min 100 % RCPL C/O UP TIME Cycle Time FINAL INSPECTION Cycle 10 Min Time C/O 0 Min UP 100 % TIME

14 days

Figure No: 5.2 Current state mapping- Faden

41
d

FETTLING INTERMEDIATE STORE (INSPECTION) MACHINIG Cycle Time C/O

FINAL INSPECTION 15 0 UP TIME 100

1 day 15 mins

Customer

Cycle Time

10 Min

C/O
HPED

0 Min

Min Min %
2 days 5 mins 1 day 10 mins

DIE CASTING Cycle 1 Time C/O .5 UP 100 TIME

Cycle 1440 Min Time C/O 0 Min UP TIME 100 %
1 day 2 days 1 day 30 days 5 mins

Mi n Mi n %
Cycle 3 Min Time C/O 2 Min UP TIME 100 %
2 days

UP TIME 100 %

1.5 mins

1 day

10 mins

Current State Map For LARGERSCHITTENDOUBLE 4-340.37.0010

IMPRIGNATION
14 days

Production Control 10 Min RCPL C/O 0 Min UP 100 % TIME

Cycle Time

FINAL INSPECTION Cycle 10 Min Time C/O 0 Min UP 100 % TIME

Figure No: 5.3 Current state mapping- Largershitten Double

42
d

FETTLING 5 Min 0 Min

HPED

Cycle Time MACHINIG

INTERMEDIATE STORE (INSPECTION)

FINAL INSPECTION 5 0 UP TIME 100

1 day 5 mins

Customer

C/O

Cycle Time C/O

Min Min %
2 days 10 mins 1 day 10 mins

DIE CASTING Cycle 1 Time C/O .5 UP 100 TIME

Cycle 1440 Min Time C/O 0 Min UP TIME 100 %
1 day 2 days 1 day 20 days 5 mins

Mi n Mi n %
Cycle 3 Min Time C/O 2 Min UP TIME 100 %
2 days

UP TIME 100 %

1.5 mins

1 day

5 mins

Current State Map For Housing F Unloader-1622 SURFACE 1713 05

Production Control RCPL C/O UP TIME 2 Min 100 % TREATMENT Cycle 13 Min Time FINAL INSPECTION Cycle 10 Min Time C/O 0 Min UP 100 % TIME

14 days

FETTLING INTERMEDIATE STORE (INSPECTION) MACHINIG Cycle Time C/O 10 0 %

2 days

FINAL INSPECTION Min Min

Customer

Figure No: 5.4 Current state mapping- Housing F Unloader

43
Cycle 1440 Min Time C/O 0 Min UP TIME 100 %
HPED

Cycle Time

15 Min

C/O UP TIME 100

1 day 10 mins

0 Min

DIE CASTING Cycle 1 Time C/O .5 UP 100 TIME

Cycle 8 Min Time C/O 2 Min UP TIME 100 %
10 days 10 mins 1 day 2 days 1 day

Mi n Mi n %

UP TIME 100 %

1.5 mins

1 day

15 mins

2 days

15 mins

1 day

10 mins

Inference
Based on the Current State Map the total manufacturing times for the following components are found to be:-

1. Adapter-1613584101 2. C77 Housing-16226141 3. Fadenfuehrung-ACW-5-2929 4. Lagerschlitten-double-4-340.37.0010 5. Housing F Unloader-1622 1713 05

: : : : :

43 days 38 mins 115 days45mins 55 days 45 mins 45 days 37 mins 34 days 62 mins

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CHAPTER 6

IMPLEMENTATION OF FUTURE STATE MAP AND IMPROVEMENTS

6.1 Comparison between Current and Future State maps.

Current State 1. Material delivered in bulk by supplier to 1. Material Future State delivered in the to straight to

inventory stores and then released to the Supermarket production line

production

lines.

Withdrawn from Supermarket when required for production. Material is delivered in the basis of Just- In Time principle.

2. Buffer stock between stations maintained at 2. Buffer stock reduced to one and a half days five days stock. between stations.

3. Capturing of received material by inventory stores.

3.

Electronic

communication

between

Supermarket and inventory stores in material received.

4. Physical and bulk withdrawal of material 4. Withdrawal and use of material by by Production Planners and transported to the operators from Supermarkets No distance lines. travelled.

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Future State Map For ADAPTER-1613 5841 01

7 days

Production Control RCPL C/O 2 Min UP 100 % TIME

SURFACE TREATMENT Cycle 5 Min Time

FINAL INSPECTION Cycle 10 Min Time C/O 0 Min UP 100 % TIME

FETTLING Cycle Time 7 Min 0 Min Cycle Time C/O 5 0 MACHINIG C/O UP TIME 100 %
1 day 7 mins 1 day 1 day 7 mins 1 day

INTERMEDIATE STORE (INSPECTION) Min Min

FINAL INSPECTION

Customer

Figure No: 6.1 Future state mapping- Adapter

46
Cycle 1440 Min Time C/O 0 Min UP TIME 100 %
1 day 5 mins

DIE CASTING Cycle 1 Time C/O .5 UP 100 TIME

Cycle 5 Min Time C/O 2 Min UP TIME 100 % UP TIME 100 %
2 days

Mi n Mi n %

1.5 mins

7 mins

1 day

10 mins

Future State Map For C77 Housing -1622 6141 SURFACE 00

7 days

Production Control RCPL C/O 2 Min UP 100 % TIME

TREATMENT Cycle 10 Min Time

FINAL INSPECTION Cycle 10 Min Time C/O 0 Min UP 100 % TIME

FETTLING 5 Min 0 Min 0 Min %

2 days

Cycle Time MACHINIG Cycle Time C/O 5 Min UP TIME 100

1 day 10 mins

INTERMEDIATE STORE (INSPECTION)

FINAL INSPECTION

Customer

Figure No: 6.2 Future state mapping- C77 Housing

47
Cycle 1440 Min Time C/O 0 Min UP TIME 100 %
1 day 1 day 1 day 7 mins

C/O

DIE CASTING Cycle 1 Time C/O .5 UP 100 TIME

Cycle 5 Min Time C/O 2 Min UP TIME 100 %

Mi n Mi n %

UP TIME 100 %

1.5 mins

1 day

5 mins

12 mins

1 day

10 mins

Future State Map For LARGERSCHITTENDOUBLE 4-340.37.0010

IMPRIGNATION Production Control 10 Min 0 Min 100 % RCPL C/O UP TIME Cycle Time FINAL INSPECTION Cycle 10 Min Time C/O 0 Min UP 100 % TIME

7 days

FETTLING INTERMEDIATE STORE (INSPECTION) MACHINIG Cycle Time C/O 5 0 Min %

2 days

Customer

Figure No: 6.3 Future state mapping- Largershitten Double

48
Min Cycle 1440 Min Time C/O 0 Min UP TIME 100 %
HPED

FINAL INSPECTION

Cycle Time

Min

C/O UP TIME 100

1 day 5 mins

0 Min

DIE CASTING Cycle 1 Time C/O .5 UP 100 TIME

Cycle 3 Min Time C/O 2 Min UP TIME 100 %
5 days 5 mins 1 day 2 days 1 day

Mi n Mi n %

UP TIME 100 %

1.5 mins

1 day

5 mins

1 day

10 mins

1 day

10 mins

Future State Map For Housing F Unloader-1622 SURFACE 1713 05

Production Control RCPL C/O UP TIME 2 Min 100 % TREATMENT Cycle 13 Min Time FINAL INSPECTION Cycle 10 Min Time C/O 0 Min UP 100 % TIME

7 days

FETTLING INTERMEDIATE STORE (INSPECTION) MACHINIG Cycle Time C/O 10 0 %

2 days 15 mins

FINAL INSPECTION Min Min

Customer

Figure No: 6.4 Future state mapping- Housing F Unloader

HPED

49
Cycle 8 Min Time C/O 2 Min UP TIME 100 % UP TIME 100
1 day 10 mins 5 day 10 mins 1 day 2 days 1 day

Cycle Time

15 Min

C/O

Min

DIE CASTING Cycle 1 Time C/O .5 UP 100 TIME

Mi n Mi n %

UP TIME 100 %

Cycle 1440 Min Time C/O 0 Min UP TIME 100 %

1.5 mins

1 day

15 mins

1 day

1 day

10 mins

CHAPTER 7 SUGGESTIONS, FINDINGS & CONCLUSION

7.1 SUGGESTIONS
Lean manufacturing techniques can be implemented in order to reduce inventory levels at each stage. Transportation of components from RCPL to HPED should have bulk quantities so that HPED can start machining without keeping inventories. Initial delay in production must be avoided and production must be started immediately after receiving the order. HPED must have fully dedicated machines for RCPL in order to deliver the products without any delay. It is also recommended that Roots cast ensures that their suppliers are made aware of the value stream mapping process and material requirements and forecasts have changed. In all future process improvement initiatives, employees must be informed and trained so that they take ownership of the process.

7.2 FINDINGS
Based on the Future State Map the total manufacturing times for the following components are found to be:-

1. Adapter-1613584101 2. C77 Housing-16226141 3. Fadenfuehrung-ACW-5-2929 4. Lagerschlitten-double-4-340.37.0010 5. Housing F Unloader-1622 1713 05

: : : : :

15 days 38 mins 15 days 45mins 22 days 45 mins 22 days 37 mins 23 days 62 mins

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7.3 SUMMARY OF RESEARCH

The use and benefits of lean manufacturing principles were identified. When the researcher conducted this research, it became clear that the industry is in desperate need of lean manufacturing principles. The enthusiasm and co-operation that was rendered by labour unions, management and production foremen was a clear indication of the desperation.

The literature study that was conducted in chapter two presented the researcher with a number of lean manufacturing options to choose from. Due to the fact that not all of the options were pertinent to the casting industry, Value Stream Mapping was implemented as it was more relevant.

The results presented to the researcher the benefits of having management and labour buy-in when implementing a new initiative in the organisation. Roots cast was always operating inefficiently, the results suggest. With the involvement of management and labour from the start of the tr eaties, it became a success.

7.4 BENEFITS BROUGHT ABOUT BY THE RESEARCH

The research brought about the following benefits:

Cost saving on material

Cost saving initiatives was implemented during the research. Cost savings came from procuring less material, which was only delivered to the; lines as opposed to the stores. Material was wasted as it was procured in bulk and kept in stock. During transportation from stores to the production lines, material was damaged as it was transported on trailers. Due to the fact that material was no more transported in this manner, there were no more material damages.

Cost saving on labour

With the improvements made in the future state map, operators were utilised more effectively
51

and were idling time was eliminated. The combining of welding and inspection stations also led to effective operator utilization. Values add per employee also improved in the financial statements.

7.5 CONCLUSION
This research was conducted in Roots cast. Management and labour was involved throughout the process of implementation of Value Stream Mapping in the manufacturing process.

The value stream mapping identified inefficiencies in the process of die casting where employees were idling for longer period of time, resulting in wasted capacity. Operations that were utilised inefficiently were combined in order to be more efficient and value adding. This was done to address the main problem of Roots Industries of how to implement value stream mapping in Roots cast in order to eliminate activities in the die casting process that do not add value to the bottom line of the organisation.

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BIBILIOGRAPHY
Lean Production Simplified by Pascal Dennis Advanced Material Handling, 2nd Ed., Production Technology, Nag, Second edition (1988) www.leanadvisors.com/valuestreammapping.cfm www.wisegreek.com/what is lean manufacturing.html http://www.valuebasedmanagement.net/methods_value_stream_mapping.html http://www.igrafx.com/solutions/vsm/

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