Grappone Collision Center
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1 Photo reproduced with permission of Scott Marshall Grappone Collision Center Lean Conversion 2009
2 WHY TOYOTA S THINKING PRODUCTION SYSTEM (TPS)?
3 Why TPS? Our daily tasks involved more stress than productive work No standardization of tasks Nebulous definition of quality Heavy reliance on just the right person who can fight fires Grappone customer expectations not being met In a nutshell: long hours, mad customers, poor quality (though we were making lots of money!)
4 Why TPS? The Respect for Humanity system The fifth generation: a long-term solution Improving others processes (i.e., vendors) Commitment to bettering society
5 Grappone s Lean Journey 2007 Exposed to concepts of lean manufacturing through industry conferences research begins. Purchase The Toyota Way and The Toyota Way Fieldbook. Become hooked May: Attend Baldridge/Lean conference, hosted by Granite State Quality Council. December: Formally engage NHMEP to train us on the fundamentals of lean. Secure grant from State of NH to pay for half of all costs.
6 Grappone s Lean Journey 2009 January: Introduce basic TPS concepts and commonly used phrases to all staff Feb 21 st : Lean 101 with NHMEP and entire team (full day) March 1: Convert all flat rate personnel to salary based on prior 12 months performance March: Value Stream Mapping events with team (several days) April 4 th & 5 th : Kaizen event in shop April 17 th : Tour Marshall Auto Body with DuPont Business Council group April 18 th : Start begging Aaron Marshall to help convert our shop based on the principles of Toyota s Thinking Production System (TPS) May 20: Aaron and Scott come to NH to see if we have what it takes June 10: Fly seven staff to Aaron s shop in Wisconsin for tour June 15-19: Convert shop with Aaron, Scott, and their two lead Technicians, Mike & Jeff Late June: Discuss with MEP how to keep them involved, if at all June 20 th infinity: Continuous improvement and total waste elimination August 3-5: Marshalls come for follow up visit and to help establish admin. flow in office
7 The traditional body shop in the United States
8 Grappone Collision A Traditional Body Shop Production system: Technicians own the Job shops within the shop Independently responsible for quality and time management but. Interdependent upon limited resources Paint booth Frame machines Use of Admin. Marshall Services 2009
9 Our Shop Before Marshalls Arrival Without a plan, it was every man for himself. Whoever could get to the frame machine or spray booth first won! Photo reproduced with permission of Scott Marshall
10 Grappone Collision A Traditional Body Shop Commission Pay structure - Techs. in business for themselves Negotiate bottlenecks, solve problems or no check Lots of deal making Oversimplified view of management Primary objective: Keeping ourselves productive While the customer [car] sits in queues Marshall Services 2009
11 Our Shop Before Marshalls Arrival Photo reproduced with permission of Scott Marshall
12 Grappone Collision A Traditional Body Shop Process is doomed from the start Parking Lot Estimate Creates waste downstream Supplements Parts returns Commitments are made : Time & $$ Impossible to keep Constant firefighting Marshall Services 2009
13 Grappone Collision A Traditional Body Shop Push System: in on Monday, out on Friday Need plenty of work to keep busy Completely asynchronous: Large batches pushed through constrained processes Admin. - supplements Paint Department Cleanup & Detail Customer pick up - rushed Marshall Services 2009
14 Grappone Collision A Traditional Body Shop Resource Demand: REFINISH, OFFICE, BODY TECHS Overload Balanced Underutilized Monday Tuesday Wednesday Thursday Friday Marshall Services 2009
15 Grappone Collision A Traditional Body Shop Quality?: Techs. work for themselves Maintain own standards Having to do it over for free Incentive to DRTFT? High comeback rate >10% Improvement?: Localized No way to trace effect on overall system performance No standard, no stability, no framework to sustain Mostly look for cost savings Marshall Services 2009
16 Grappone Collision A Traditional Body Shop Office / Admin. Causing the problems, or saving the day? Setup, estimate, promise dates Reacts to Production Breeds firemen Always one step behind unrecoverable A/R Marshall Services 2009
17 Grappone Collision A Traditional Body Shop The Result? : A lot of Waste Ave job = 18 hours, ave. cycle time = 9 days Overproduction (bottleneck at the paint booth) Inventory (caused by above, and, needed to stay busy) Rework (supplements, parts exchanges, comebacks) Movement car travels 1.4 miles in a 10,000 sq ft shop Motion Employee travels 2 miles a day. Going to office with new problems, checking up on old ones Looking for misplaced and run out material Traveling to re-acquisition shared tools Nothing really ever where it s supposed to be Marshall Services 2009
18 Our Shop Before Marshalls Arrival Hey, I ve been looking for that!
19 Grappone Collision A Traditional Body Shop Waiting For the overproduction from the body shop to get painted For Admin. to get more parts, or the right parts Car sitting in queue waiting to come into shop Etc. Over processing (lack of standards tied to customer perception of value) Friction Internal & External Marshall Services 2009
20 Our Shop Before Marshalls Arrival Vehicles waiting to be brought in for work by individual Technicians- which car is in what phase of repair? Are the right parts here? Who knows? Photo reproduced with permission of Scott Marshall
21 Something has to be done
22 False Start April 2009 Understood the theory but NOT how to deploy it Our plan went awry (too many cooks in the kitchen) No plan to account for extreme variability in types of jobs we perform No Heijunka (leveling work) dictated by takt times No functional interdependence to establish where constraints were No method to exploit constraints had they been identified Off flat rate, but team attitude was lacking not 100% buy in by staff
23 THE FIRST ATTEMPT DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY PREP DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY REFINISH DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY Marshall Services 2009
24 Saved by the Marshalls
25 Implementation Make the work environment into a system (tool) for facilitating measurable, continuous improvement. Understand the Voice of the Customer subordinate what we do to this. Marshall Services 2009
26 Implementation Isolate Value add operations from current way, measure how long they take. Exclude wasted motion, transportation, rework Other wastes may be too hard to see and subtract at this time Calculate a Pace - takt time of market demand Product mix : Speed, Small, Medium, Heavy 5 per day, 8 hour window Marshall Services 2009
27 Implementation Smooth output to takt time One every 96 minutes instead of all on Friday Standardize: What tasks are going to be done & where? How the work is going to be done: Posted, simple, best practices we know today Do work only where and when it can be done 100% completely, and correctly To insure quality within the available window of time Marshall Services 2009
28 Implementation Create continuous flow of interdependent tasks balanced to the pace of the market (takt time) Bodywork Painting Reassembly Cleanup Support flow with pull, when variability too high Repair Planning (create blueprint for repair) Insurance authorization / parts procurement Variability reduction dept. (make all jobs same size) Marshall Services 2009
29 Implementation Chain flow process together to surface problems, to demonstrate waste Continuously measure Find and fix weakest link, (only one slowest ) Develop problem solving process: Consistent measurement, Kaizen This, after all, is why we built it Run the Program Get To Work! Stabilize, Maintain Marshall Services 2009
30 Day One Laying the Groundwork Photo reproduced with permission of Scott Marshall
31 Our Shop Before Marshalls Arrival Photos reproduced with permission of Scott Marshall New parts and R&I parts often stored in the car
32 Our Shop After Implementation Photos reproduced with permission of Scott Marshall All parts stored on carts cart travels with job throughout production
33 Our Shop Before Marshalls Arrival Fairly clean & organized but no flow. Once inside, it was hard for cars to move through, move out. Photo reproduced with permission of Scott Marshall
34 Our Shop After Implementation Photo reproduced with permission of Scott Marshall Defined work spaces: looks less busy, but more actual work gets done.
35 Our Shop After Implementation Parking lot is now a component of the Visual Management System Photo reproduced with permission of Scott Marshall
36 Our Shop Before Marshalls Arrival The Parts Department: all the car s parts are here. Somewhere. They may be damaged, but we ll deal with that when we re putting the car back together Photo reproduced with permission of Scott Marshall
37 Our Shop After Implementation A standardized cart for each job; only new parts and R&I parts go out to Production. Photo reproduced with permission of Scott Marshall
38 Our Shop Before Marshalls Arrival Photo reproduced with permission of Scott Marshall Look, we have our own paint store!
39 Our Shop After implementation Mab cabinet picture We have plenty of materials take some more!
40 BEFORE DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY PREP DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY REFINISH DISMANTLE BUILD DOWN BODYWORK PRIME ASSEMBLY Marshall Services 2009
41 AFTER END START PRIME BODYWORK CLEANUP BUILD DOWN PREP REFINISH REPAIR PLANNING ASSEMBLE Marshall Services 2009
42 Heijunka Resource Demand: REFINISH, OFFICE, BODY TECHS Overload Balanced Underutilization Monday Tuesday Wednesday Thursday Friday
43 The Week Admin. Get all of the work hidden in drawers up on the wall Photo reproduced with permission of Scott Marshall
44 Photo reproduced with permission of Scott Marshall The Week 5S. Again.
45 The Week Learn Repair Planning Photo reproduced with permission of Scott Marshall
46 The Week Build Parts Procurement Process Photos reproduced with permission of Scott Marshall
47 The Week Laying Out the Visual Management System Photo reproduced with permission of Scott Marshall
48 Throughout the Week Creating Kanban Signals Photos reproduced with permission of Scott Marshall
49 Throughout the Week Standard work posted in each bay a starting point Photo reproduced with permission of Scott Marshall
50 Photo reproduced with permission of Scott Marshall The Old Shop
51 The New Shop
52 Some Early Challenges Understanding what it takes to level - Heijunka Understanding the market demand / Scheduling Personnel challenges Everything matters It s all tied together now You can t hide in this system Attacking the process, not the person Attitudes Natural response to change Some tasks, and the positions managing them, have become obsolete
53 Some Early Challenges System works too well at uncovering problems Which ones to fix first???? Saturation seems like everything needs to be fixed at once Single piece flow why can t I move this car forward so we can make a sale? Fiscal Former flat-rate staff now have a guaranteed paycheck based on what they had been producing; when sales are off by $70,000 this does not bode well for the bottom line Not getting hung up on profitability
54 There s work to be done
55 Continuous Improvement Moe s light signaling system (now labeled) to communicate the status of vehicles in prime, prep., and the spray booth
56 Continuous (fun) Improvement
57 Thoughts From the Staff I don t have to stay until 7:00 on Fridays anymore. Bob, Wash Bay There s no more chaos. Johnny, Production Team Leader From the Paint Department s perspective, we don t have to re-do things like we used to we have time to read the work orders now. Jeremy, Painter We have a lot more room to work. Niles, Body It isn t perfect yet, but we have way fewer phone calls from people looking to get updates. Carol, CSR The way we re scheduling now is so much better than it used to be. I can t believe we ever did it the old way. Mark, CSR Getting those parts carts was the best thing we did. George, Parts I had a chance to work in reassembly and RP does a much better job of taking a car apart and bagging and labeling everything. Jim, Body
58 Grappone Collision Center Lean Conversion 2009
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