PECM Issue 20 2016 | Page 105

At Huco, acceptance of the potential of Lead times have fallen from more than minutes, then to ten. Now a changeover lean came early, says Noone “We set up four weeks to less than two days. Quality takes 58 seconds, which means we can a model of good practice in one area of levels have risen dramatically and on-time, manufacture in any batch size we want.” our Hertford plant, establishing a cellular in full delivery performance is now higher approach to manufacturing, removing than 97 percent. In some product lines excess inventory and streamlining customers can now order in any quantity operations. The advantages of the new they want, with guaranteed delivery within approach were so obvious to everyone three days. in the plant that there was immediate appetite to adopt it elsewhere.” This kind of performance matters. If customers have the confidence that they Today, the company’s manufacturing can get the products they need, when operations have been transformed. It has they need them and at the right quality, established dedicated production cells they can hold smaller inventories without for each product group. The majority of fear of downtime due to missing parts. products flow through manufacturing That means less cost, less risk and greater processes one by one, rather than in responsiveness in their operations. batches. Production teams run those operations using standardised processes, with team leaders trained in problem solving and improvement techniques. Management boards at each cell record problems and improvement opportunities, and the company uses Pareto analysis to focus its on-going improvement efforts on the most important issues first. The new flexibility and responsiveness has called for changes right across the organisation, as sales and order management processes have had to adapt to cope with "a far higher number of transactions." The company has changed its relationships with suppliers too, in order to streamline upstream processes as well as internal ones. Take heat treatment for example. In the past, parts might have spent a week or more at an external supplier receiving heat treatment, now, says Noone, the supplier Customers have seized that opportunity, will collect a batch of parts at 8.30am and says Noone, changing their purchasing return them 24 hours later. habits to order smaller quantities more regularly. But that change in purchasing behaviour makes operational flexibility even more important. “We have done a lot of work to reduce changeover times between product lines,” he explains. “On our bellows coupling line, for example, it For Huco’s customers, the impact of the used to take 30 minutes to switch between change has been highly significant too. product types. We reduced that to 15 Despite the huge strides Huco has already made, there is still more to do, "An outsider looking at our operations might assume we are 99 percent of the way there," says Noone. "But we think we're only 30 or 40 percent into the journey." Issue 20 PECM 105