Supplier Forum 2016

World Class Manufacturing to
World Class Management
Tetra Pak / EFTA Seminar
6 October 2016
André Meeuwis
Director Capital Equipment Operations & WCM
1984-1999 Tetra Pak Moerdijk
2002-2007 Tetra Pak Berlin
2008-2012 Tetra Pak Limburg
2012-2015 Tetra Pak Converting
Line ( R&D )
Internal
AM/2016-10-06
/2
Agenda
 Tetra Pak
 World Class
Manufacturing towards World Class Management
 WCM in Tetra Pak Printing
 Autonomous team
 Applying Methodology in Printing
 Development connection and furhter expansion
 Key messages
Internal
AM/2016-10-06
/3
Tetra Pak in summary - January 2016
 Employees: 23,600
 Net sales billion €: 11,9
where Tetra Pak®
packages are available: >170
 Packaging material and closure plants: 37
 Filling machine assembly plants: 5
 R&D units: 6
 Technical training centers: 11
 Countries
Internal
AM/2016-10-06
/4
Tetra Pak Group January 2016
Machines in operation
74,450
8,850
19,570
processing
units
packaging
machines
distribution
machines
Internal
AM/2016-10-06
/5
Carton packages sold 1981 - 2016
184 billion packages sold 2015
Mio packs
200 000
180 000
160 000
140 000
120 000
100 000
80 000
60 000
40 000
20 000
0
'81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 13 14 15
Internal
AM/2016-10-06
/6
Key WCM principles
World Class Manufacturing to World Class Management
 WHAT
 WHO
 WHEN
 WHERE
 WHY
 HOW
 MINDSET
 LEADERSHIP
Continuous improvement
All
Continuous
Everywhere
Safety, Quality, Cost & Delivery
Systematic
Zero loss
Coaching / GEMBA
Internal
AM/2016-10-06
/8
WCM Basic Principles
► Zero Accidents, Zero Breakdown,
Zero Defects, Zero Scrap
► Continuous improvement through loss
eradication
► No type of waste is accepted
► Methods for improvements are applied
strictly
► Voice of customer is heard to the last
level in the organisation
► People are the driving force of change
► Motivating environment
► All faults are visible
Internal
AM/2016-10-06
/9
Key benefits
►
Standardised approach and methods
►
Balanced top-down / bottom-up approach
►
Driven by key performance indicators (KPIs)
& facts
►
Visualisation of losses & results
- Clearer message, mobilising, focused
communication
►
Better work environment & employee morale
►
Eliminate fire-fighting approach
►
Increased people skills
►
Common mission, goals & targets
►
Cross-functional sharing & teamwork
Internal
AM/2016-10-06 / 10
WCM Pillars and Zero Losses mindset
1
Loss Intelligence
2
Loss Eradication
3
Loss Prevention
Internal
AM/2016-10-06 / 11
Learnings from 16 years of WCM

Full top management commitment is essential

Willingness to invest in time and coaching

Needs involvement at all levels

Does not work overnight – requires persistence

Empowered people deliver breakthrough results!
Security Level
Internal
/ 12/ 12
Initials/YYYY-MM-DD
AM/2016-10-06
World Class Management
 It’s
the way of THINKING that
changes the Culture and the Way We
Work
 WCM
is just an enabler BUT it makes
individuals stronger and more skilled
and thus the overall organisation is
stronger
Internal
AM/2016-10-06 / 13
WCM?
WCM = World Class Management?
OR
WCM = Waste of Company Money?
Internal
AM/2016-10-06 / 14
Breakthrough results through WCM
Consolidated Global Results
Waste (Index 100)
Claims (Index 100)
100
100
100
100
- 59%
80
- 79%
75
68
51
41
21
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2015
1999 2000 2001 2002
2003 2004 2005 2006 2007 2008 2009 2010 2015
2015
For sure we are not Wasting Company Money!
2015
Internal
AM/2016-10-06 / 15
The origins
How did flexo print evolve in Tetra Pak?
50+
Who
are
we?
100k
78
33
Years of experience in
printing & prepress
Printing
Presses
4.95
Live
Designs
Mrd. Meters
printed annually
Converting
factories
Internal
AM/2016-10-06 / 17
Tetra Pak Printing history
Flexo Process
Flexo Line
Offset
Rotogravure
1960
1980
1990
2000
2010
2015
Internal
AM/2016-10-06 / 18
Autonomous Management
Team
People engagement – main outcome from WCM
 Engaging
people in the
improvement activities  autonomous  innovations  collaborating
across factories working as one global team
 Leveraging
 Spreading
the innovative force in factories and
best practices
Internal
AM/2016-10-06 / 20
Autonomous Maintenance
Internal
AM/2016-10-06 / 21
Developing our People
Abilities for the Change
Steps
Ability to detect
anomalies
Ability to
handle/correct
abnormalities
Ability to
perform
cause
analysis
Ability to make
improvements
Ability to
stablish
conditions
Ability to
improve
conditions
Ability to
maintain
conditions
7
6
5
4
3
2
1) Ability to detect
abnormalities
2) Ability to
handle/correct
abnormalities
1
5) Ability to establish
conditions
Master and practice of basic idea
M
I
7) Ability to
maintain
conditions
6) Ability to improve
conditions
3) Ability to
perform
cause
analysis
4) Ability to make
improvements
Master and practice of the way
it should be
Improvement through practice
Internal
AM/2016-10-06 / 22
WCM applied in printing
Set up reduction
Production process
1 = Printing
5 = Shipping
Farbe
Karton
4 = Paletizing
Polyäthylen
Aluminium
2 = Lamination
3 = Slitting
Internal
AM/2016-10-06 / 24
Set up reduction
 Why:
− Main loss
− Increase of small orders
 Using
SMED ( Single minutes exchange of dies ) methodology
 Resulted
in 7 minutes and 90 meter set up
 Centrally
driven and standardised based on local best practices
Internal
AM/2016-10-06 / 25
Solution description
Machine upgrade & methods
7/90 team standard
Recommended steps to reach global set-up targets




3 shaft solution upgrade for rewinder
Last roll function upgrade
P2 New Order Change method
Man-machine diagram improvement using SMED methodology
Optimal shaft cycle time
for the individual setup
roll
Internal
AM/2016-10-06 / 27
3 Shaft solution
Upgrade for Rewinder
Internal
AM/2016-10-06
3 shaft solution enables to splice out set up material on a 3rd shaft
Separate rolls for finished, set-up and new rolls
Finished Roll
Set up
New Roll
3 shaft
solution
Speed (m/min.)
S1
S 11
2,8 min.
A1
A2
S3
SPLICE
A3
S7
A4
S5
A5
A6
A8
A7
A 11
Time (min.)
Set Up End
meters
Set Up End
time
Internal
AM/2016-10-06 / 29
Splice out set-up material in printer rewinder instead of
laminator unwinder
Splice out
in Printing
3 shaft
Positive
Splice out
in Laminator
2 shaft
1.
2.
3.
Waste saving in lamination
Quick quality check
Less risk of EE losses on
Lam- the bottleneck
machine
1.
Better time saving for printing,
especially if we can do quality
check in higher speed
1.
Set-up speed limited to 40
m/min, limiting EE
improvement in printing.
Need more core
Investments needed
1.
Increase process waste due to
security level needed to avoid web
breaks.
Potential risk to cause web break in
Laminator at the splice, hence
unplanned EE losses
Negative
2.
3.
2.
Internal
AM/2016-10-06 / 30
3 shaft installation
Machine upgrade & work load
3rd shaft
Software
upgrade
3 shaft solution
12 hours installation
4 sensors
installation
Cable
connection
Last roll function
Last roll function updated version available for VTFlex
175 ES
 Stop at rewinder (using brown paper):
− Machine stops automatically when rewinder splice activated
− Approx. 10% saving in brown paper waste
 Stop at creaser (using white paper):
− Machine stops automatically when splice reaches 2 m before
creasing tool
− Saving12 m white paper
Internal
AM/2016-10-06 / 33
Man-machine diagram
Internal
AM/2016-10-06
SMED – Set Up Route
SMED / Set Up Route
1.Link with business strategy
2.Select & Justify.
3.Set a Target / Make a plan
4.Understand Process/Equipment
5.Grasp the Actual Situation
6.First Standard definition. SMED Phase 1
7.Introduce a System to Register and Eradicate the
Anomalies . SMED Phase 2
8.Further improve the current Std. SMED Phase 3
9.Adjustment method definitions. SMED Phase 3
10.Check Results
11.Standarization
12.Future Plans
Internal
AM/2016-10-06 / 35
SMED – Set Up Workflow
ISW=inside work,OSW=outside work
Video
Macro Activities Description
Man Machine Diagram (original)
5S
Travel Chart
ISW / OSW
Process Flow Diagram.
VA / NVA
ECRS
Man Machine Diagram (new)
Saturation
(Reorganization /
Rebalancing)
Check Parallel Activities
SMED Phase 2. Reduce
Variability
1st Standard
Action Plan
Training
5W+1H
Follow Up Anomalies
4M
Anomalies Analysis
5W
Internal
AM/2016-10-06 / 36
SMED – Set Up Workflow (cont..)
SMED Phase 3
Further Improvement.
Descompose Macro Activities in Micro
Activities
Man Machine Diagram 1st Standard
5S
Travel Chart
ISW / OSW
Process Flow Diagram.
VA / NVA
ECRS
LCA
Man Machine Diagram (new)
Adjustment Method Definition
5C0D / Counter
Measure Ladder
Final Standard
Training / Handover to AM
Internal
AM/2016-10-06 / 37
Optimised man-machine diagram is essential for reaching final
target
Local improvement teams using SMED methodology
Finished Roll
Set up
New Roll
Manmachine
diagram
Speed (m/min.)
3 shaft
solution
S1
S 11
4,2 min
A1
A2
2,8 min.
S3
SPLICE
A3
S7
A4
S5
A5
A6
A8
A7
A 11
Time (min.)
Set Up End
meters
Set Up End
time
Internal
AM/2016-10-06 / 38
Two set-up standards are required
Different procedures for white and brown paper
 White paper
− Stop the splice before creasing tool
− 4 operators required in Lund TPPM
 Brown paper
− Manual splice in unwinder
− Stop splice at rewinder
− 5 operators required in Lund TPPM
Internal
AM/2016-10-06 / 39
Lund TPPM key success factors using SMED
methodology

Operator from all shifts included in team

SMED steps carefully followed

Challenging old way of working

Increase set-up speed

Moving out internal set-up to external

Implementing low cost automation

Solving register/pre-setting issues
Internal
AM/2016-10-06 / 40
WCM can be applied
everywhere
The three levels
Linked with Business as whole in a logical expansion
Innovation Chain
Technology Development
Plan
Suppliers
Source
Make
Deliver
Customers
and
Consumers
Product Development
OUR
TPM
FOCUS LEVEL
Cost Aims
Supply Chain
TPM Level 1
TPM Level 2
TPM Level 3
Factory Operational Excellence
Integrated Supply Chain
Extended Supply Chain
Defending & Strengthening
Production Excellence by
Competitive Position
learning and mastering TPM through flexible
tools and techniques
& efficient Supply Chain
Reduce Production Cost
Reduce Total Product
Cost
Zero Loss Company by
Innovative TPM Activities
Improve Overall Cashflow
Internal
AM/2016-10-06 / 42
Work prepration
Planning
Design handling
Pre Press
Printer
Ink Inplant
( Outsourced )
Internal
AM/2016-10-06 / 43
WCM Mindset and Capability
Work prepration
Planning
Design handling
Pre Press
Printer
Ink Inplant
( Outsourced )
Internal
AM/2016-10-06 / 44
WCM Mindset and Capability in Office environment
Work prepration
Planning
Design handling
Pre Press
Printer
Ink Inplant
( Outsourced )
Internal
AM/2016-10-06 / 45
The three levels
Linked with Business as whole in a logical expansion
Innovation Chain
Technology Development
Plan
Suppliers
Source
Make
Deliver
Customers
and
Consumers
Product Development
OUR
TPM
FOCUS LEVEL
Cost Aims
Supply Chain
TPM Level 1
TPM Level 2
TPM Level 3
Factory Operational Excellence
Integrated Supply Chain
Extended Supply Chain
Defending & Strengthening
Production Excellence by
Competitive Position
learning and mastering TPM through flexible
tools and techniques
& efficient Supply Chain
Reduce Production Cost
Reduce Total Product
Cost
Zero Loss Company by
Innovative TPM Activities
Improve Overall Cashflow
Internal
AM/2016-10-06 / 46
Key messages
Key messages
 Engagement
of shopfloor, through autonomous teams, develops
capability. Improvements will only work when they are developed with
the people using them
 Discipline
in using the methodology correctly will give results
 Central
organisation and collaboration with development secures
cross sharing and proper industrialisation
Internal
AM/2016-10-06 / 48
Thank you!
Internal
AM/2016-10-06 / 49