Kaizens
In mid 2002, Atlantic began studying the benefits of kaizens.
In addition to attending quality meetings and reading the classic, "Lean Thinking" by James Womack, three key managers participated in kaizens at a local manufacturer, American Saw.
Later, more than a dozen managers toured The Wiremold Company, a West Hartford Connecticut manufacturer, which has been running kaizens since 1991 and is considered a leader in the U.S.
The productivity improvements and efficiencies gained by American Saw and Wiremold provided the incentive for Atlantic to start its own program.
In the spring and fall of 2003, we hired a facilitator and ran two kaizens.
Our current goal is to run at least four each year.
Here's what we’ve gained through our kaizens:
Date |
Kaizen topic |
Goal |
Improvements made |
Jan. ‘07 |
Order entry error
reduction |
Reduce order entry errors by minimum
25% |
- Added freight collect number field to main
order entry screen to more easily identify discrepancies with standard
instructions
- Added warning message to order entry screen to ensure that
CERTS accompany orders
- Changed standard instructions to more clearly read "No Bulk Boxes"
instead of "Box Quantity Only"
- Retrained customer service on proper way to enter part numbers/quantities
and communicate with customers
|
Dec. ‘06 |
Stock put away |
Eliminate misplacement of stock. Improve put- away
process. Establish standard procedure |
- Fixed license plate put-away program for everyday use
- Replaced old scanners with new ones to minimize downtime due to malfunctions
and to triple scanning speed
- Rewrote put-away procedure to include all options within process
|
Sept. ‘06 |
E-item |
Reduce “exclusive” inventory stockouts
by 50% while maintaining turn rates |
- Reduced E-item
stockouts 80% through methods such as:
- - removing
Min/Max = 0 entries from stock out list
-
using “thaw” date to re-evaluate Min/Max = 0
- applying reserve feature to secure parts for customers
-
reevaluating Min/Max when re-buys occur
- using “Purchase Parameter Skipped Report” to re-evaluate Min/Max
|
July ‘06 |
Secondary operations |
Automate process |
- Created computerized process to replace hand written P.O.’s
- Gained access to order history for quick referencing
- Sped up payment process to secondary operation vendors
- Simplified
access to open orders for secondary operations
|
April
'06 |
Imaging |
Reduce
scan time by 50% |
- Modified software
to let multiple sales order numbers get entered against one scan.
Eliminated rescanning of same document and reduced scanning
time by 20%
- Added bar code
to automatic data entry forms, eliminating misreads and extra work.
Cut scan time by 10%
- Set up spare
imaging workstation for 30 day trial to encourage more use and minimize
disruptions to current workstation licensees
- Trained employees
on scanner use, proper orientation of documents to be scanned and
staple removal
- Purchased new
scanner that's 2.5 times faster
|
Jan.'06 |
Disaster
planning |
Set
parameters of long term plan |
- Met with electrician
and emergency power vendor to determine current load and capacity
of existing four cylinder natural gas backup generator
- Analyzed
feasibility of manual order processing and decided on purchase
of backup computer server
- Added and reconfigured
POTS lines as backup to T1 PRI phone circuit
- Initiated plan
for home working through cable/DSL connections and VOIP technology
|
July '05 |
Warehouse space |
Free up 20% more warehouse space |
- Identified 29%
more potential stocking locations through: 1) accurate count of open
locations. 2) by consolidating empty/partially used
locations. 3) by throwing away dead stock -- items not purchased or
sold in the last five years
- Developed an annual dead inventory disposal plan with
an area recycling company
- Earmarked Accounting
storage file boxes for dumping
- Designed plan for adding storage racks to mezzanine and
bins to back warehouse wall
|
Mar. '05 |
Broken (partial) box management |
Determine best method to manage broken box process |
- Changed software to produce more efficient pick list sort process,
storage bin sort sequence, and allocation rules
- Established new broken
box staging area
- Formalized process to return broken boxes to proper
area
- Combined broken boxes into full boxes, where possible, to free
up space
- Created process to combine boxes daily as partials arrive
at broken box area
|
Dec. '04 |
Accounts payable |
Increase efficiency |
- Eighteen changes included:
- - having Receiving
sort packing slips and bills of material alphabetically for
Accounting
- streamlining the check running process to reduce trips between buildings
- adding short cut commands to software
- routing Certs of Conformance directly from receiving to inspection
- providing the Warehouse with a check allotment to speed up COD processing
|
Sept. '04 |
Expediting |
Streamline and increase effectiveness |
- New Vendor Delivery
Date Change report produced for Customer Service so they can notify
customers of changes and then record dates on
orders. This allows for more accurate customer shipping performance
data
- Correct dates in system boosts the accuracy of our vendor on-time
delivery
reports, too
- Original promise
date added to Expedite report for more efficient expediting
- Software altered
to automatically populate the promise date on our P.O.’s
|
Oct. '03 |
Quote turnaround |
Improve electronic quote turnaround time |
- Achieved 68% improvement, initially by:
- - streamlining the use of electronic mailboxes
- creating a new electronic messaging system between sales and purchasing
- moving the fax machine so it's easier to spot incoming faxes
|
June '03 |
Warehouse |
Identify and remove bottlenecks |
- Moved UPS receiving
location for smoother operation and instituted new rules for limited
interruption of Receiver. This allowed
for receipt
of a day’s worth of deliveries within a day
- Purchased larger size
carts for more efficient put away
- Reorganized work stations for cleaner,
more efficient operation
|