Lean 6 Sigma at Solar Turbines - International Society for ... · Lean 6 Sigma at Solar Turbines Gary Higganbotham Solar Turbines Black Belt Apr il 16, 2009

Lean 6 Sigma at Solar Turbines

Gary HigganbothamSolar Turbines Black Belt

April 16, 2009

Agenda• Solar Turbines \ Caterpillar

- Brief background of company and products

• The Burning Platform - Why change?

• What is 6 Sigma?- Background behind the methodology

• Lean 6 Sigma at Solar Turbines- Organizational structure, training, and project execution- Successes and lessons learned

• Solar Turbines \ Caterpillar- Brief background of company and products




Caterpillar is . . .

• The world's largest manufacturer of construction and mining equipment, diesel and natural gas engines and industrial gas turbines.

• Technology leader in logistics, construction, transportation, mining, forestry, energy and electric power generation.

Caterpillar at a glance.

• 277 Company facilities• 198 Caterpillar dealers (main stores)• 1,689 Dealer branch stores• > 400 FG Wilson, MaK, Perkins and Solar Turbines Distributors• 1,437 Dealer rental outlets• 3,000+ key suppliers

Solar Turbines

• Industrial Gas Turbines

• Centrifugal Gas Compressors

• Compressor Sets, Mechanical Drives, Generator Sets

• Construction Services

Solar Turbines

• 5600 Employees Worldwide• 38 Sales / Service Offices• 16 Overhaul / Repair Centers• Presence in over 90 Countries






! !

The Burning Platform - Why change?

200’

• Significant culture change begins with the creation of a “burning platform”, a compelling vision of why change is needed

• An enterprise can not move forward unless the need for change is clearly established

What is the burning platform at your company?

! !


200’

!!


Caterpillar’s 6 Sigma Journey Began in 2001…And We Have Learned a Lot.

Quality & ReliabilitySales

Percent of Industry Sales





• Lean 6 Sigma at Solar Turbines- Organizational structure, training, and project exectution- Successes and lessons learned

What is 6 Sigma?

3.4 defects per million opportunities – it’s near perfection

What is 6 Sigma?

• A measurement of variation

• A method for improving our processes

• The disciplined application of statistical tools

The higher the Sigma value, the lesser the chance of defects occurring

What is 6 Sigma?

• The organizational commitment and involvement that engages and further develops your people

• The strategy for prioritizing your business opportunities

• The proven methodology and structure to manage yourprojects and deliver exceptional results

What is 6 Sigma?

Sustains the Gains

Define

Measure

Explore

Develop

Implement

DMEDI

Define

Measure

Analysis

Improve

Control

DMAIC

PROCESS OWNER

PROCE

SS IM

PROVE

MENTS PROCESS CREATION

What is 6 Sigma?BusinessPhilosophy

ProjectManagement

Proven Quality Tools

Statistical and Analytical Methods

Desired / Nominal

- +

6 Sigma Performance

Desired / Nominal

Elimination of Variation

- +

Elimination of Variation Desired / Nominal

- +

Squish

- +Desired / Nominal

- +

Scoot

What is 6 Sigma?BusinessPhilosophy

ProjectManagement



• Problem Identification• Root Cause Analysis• Select Optimum Solution• Satisfy Customers

Quality FunctionDeployment

What is 6 Sigma?

In-and-Out-of-Scope ToolIn Scope

Out of scope Out of

scope

Project Scope

Goal Statement

Opportunity Statement

Business Case

Project Plan Team Members

CharterMulti-Generation Plan

Vision Generation #1Generation #2 Generation #3

Gantt Chart/Project PlanID Task Name

1 ID Customers

2 ID Needs

3 ID CCRs4 Review5 Develop Concepts6 High-Level Design7 Capability8 Design Review9 Develop Details10 Simulation11 Cost Analysis12 Design Review

13 Procurement14 Implementation

Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep

Qtr 4, 1999 Qtr 1, 2000 Qtr 2, 2000 Qtr 3, 2000

StakeholderCommunication

ObjectiveDesired

ResponseWhat Do

They AlreadyKnow?

CurrentAttitudes

CommunicationsChannel

Timing Who Preparesand Delivers

Communications Plan

Crea

tion

Proc

ess

Improvem

ent

Process Management

Proven Disciplined Process• Clear Objectives• Specific Deliverables• Stakeholder Involvement

PROCESS OWNERPROCE

SS IM

PROVE

MENTS PROCESS CREATION

BusinessPhilosophy

ProjectManagement



What is 6 Sigma?

• Focus on the Customer• Fact Based Decision Making

• Process Focus

• Cross Functional Collaboration

• Drive for Perfection; Tolerance for Failure

Voice of the Customer

Measurements Driven

Process FocusActivityInputs Activity Output Inputs

6 Sigma is Philosophy

BusinessPhilosophy

ProjectManagement



What is 6 Sigma?

ImproveSafety

Reduce Cost

Manufacturing Velocity

MaintainabilityNew

ProductIntroduction

CustomerSatisfaction

ISO

DeliveryPerformance

Product Quality

6 SIGMA





• Lean 6 Sigma at Solar Turbines- Organizational structure, training, and project execution - Successes and lessons learned


Structure• Executive management accountability• Master Black Belts• Finance• Black Belts• Green Belts• Subject Matter Experts


Black Belts• 2 year commitment• Certification • 4 projects per year• E-Tracker• Financial Reporting System• Annual Quality Award competition


BB Training• 1 week per month over 4 months• Work first project at same time• Executive management support• Facilitated by MBB’s• Formal graduation ceremony with Solar President


Project Teams• Sponsor• Black Belt• Green Belts• Yellow Belts / Subject Matter Experts• Stakeholders• Master Black Belt

Project Charter

! Pilot/Solution Results vs. Project Goals

! Budget and Benefits Case

! Potential Problem Analysis

! Detailed Implementation Plan

! Communication Plan

! Standards and Procedures

! Training Plan

! Key Metrics and Process Control System

! BRM

! FRS Updated & 2/6 mo control meetings scheduled

! Scheduled Transition to Process Owner(s)

! Replication Opportunities

! Variation shown graphically(Cp, Cpk, SQL)

! Performance gap(s) quantified

! Problem Statement(s)

! Process Map Analysis (bottlenecks, value-add)

! Potential Root Causes quantified and prioritized

! Root Causes ValidatedY= f (x)

! Financial Baseline approved

! BRM

! FRS Forecast Entered

! Generate Multiple Solution Ideas

! Evaluate and select solutions

! Communicate team recommendations to stakeholders

! Link solutions to root causes

! New Future State Process Map(s)

! High Level Implementation Plan

! Process Owner(s) confirmed

! Projected Benefits

! BRM

! FRS Updated

Define Measure Analyze Improve Control

" Business Case

" Opportunity Statement

" Goals

" Scope

" Team Resourced &prepared

" High Level ProjectPlan

" High Level ProcessMap (SIPOC)

" Quick Wins

" VOC Translated toCCR’s

" Communication Plan

" BRM

" E-tracker updated

" Define Y = f(x) and list your measures

" Deployment Map(s)that depict measurelocations

" OperationalDefinitions

" Data Collection plan

" Measurement SystemEvaluation

" Output Measure (Y), Baseline Performance quantified(updated in Analyze)

" Financial How/How(updated in Analyze)

" Process Owner(s) Identified

" BRM

DMAIC Tollgate Summary



The specific, precise and measurable expectation which a customer has regarding a product or service. • Mower starts within two pulls on

the cord • Mower starts with an effortless

pull on the cord not exceeding 24” in length

• Add additional menu items to the voice system (bad)

• Customer reaches correct person the first time within 30 seconds (good)

• Every design feature needed is built into the package

• The software is fully operational on the customer’s existing system

Actual customer statements and comments which reflect their perception of:

• An attribute of a product or service

• An experience with a product or service or its delivery

• An encounter or experience with a business processes or representative

“This mower is way too hard to start”

“I’m always on hold or end up talking to the wrong person”

“This package doesn’t do squat”

Critical Customer Requirements Key Customer IssueVoice of the CustomerThe real customer concerns, values or expectations regarding a product or service. Void of emotion or bias, the statement describes the primary issue a customer may have with the product or services. Describes the experience surrounding the attributes of the product or service expected or desired by the customer. Wants the mower to start quickly and painlessly

Wants to talk to the right person quickly

The software does what the vendor said it would do

Y = f(x), - Measurement Plan

YPackage Cost

YPackage Cost

X1Manufacturing Processes &

Workflow

Y X Measurement plan

X2Standard Parts &

Subassembly

YDrawing Release

Cycle Time

YDrawing Release

Cycle Time

• Total Product Cycle Time• Total Process Time • Cycle Efficiency

X1Elapsed Time

Y X Measurement plan

X2Accuracy of

Inputs

• Frequency of Rework • Pareto of Root Causes

• Time Lost Due to ReworkX3Problem

ResolutionTime

<Executing Special Requirements for Package Manifolds>

Business Managment Quality Sales Order

Engineering StructuresCustomer

PAEReviews

customer spec

PRA Released

PE Released PID in PDSWIN

IKOM

ACS sent to Project Team

PAEHandoff

to PM/PE

QECreates Initial

ITP

ME validates key long lead

items and releases

Forecast BOM

HME Releases Initial Hydro’s

(HMSTAT)

CKOM(This loop may be repeated via Customer input

throughout the project)

ACS Revision that Impacts ITP?

No

A

ITP Revisions?

No

End

QE Revises ITPYes

A

2

PM Reviews/Approves ITP

and ACS revisions

Revised ITP sent to customer3

4

QEUploads ITP to

Windchill

Yes A

Customer changes?

PE/PM/QEReviews Initial

ITP with Customer3

1

2

Yes

End

No

1

Business Risk Management

Risk Map

1

2

3

4

5

6

7

8

9

10

1 2 3 4 5 6 7 8 9 10Likelihood

Sign

ifica

nce

PeopleOperationalStrategic

Key Risk Category Risk Comments Actions Owner of Actions

Exte

rnal

Fina

ncia

l

Delayed drawing releases will increase probability of expedite fees.

- Improve efficiency of release process

- Provide ability to find lost/delayed items

- Metrics to improve process mgmt

- Project Team

- Group Managers

Peop

le

Submitters will not understand process and will not provide all required information.

- Revise process documentation

- Train submitters

- Project Team

- Group ManagersO

pera

tiona

l

Delayed drawing releases will increase probability of material shortages.

- Improve efficiency of release process

- Provide ability to find lost/delayed items

- Metrics to improve process mgmt

- Project Team

- Group Managers

Stra

tegi

c

BRM 6 Sigma Risk Action Plan Engineering Drawing ReleaseUpdated On: 3/25/09

Structures Lean Journey

Not so good to GREAT!

Packaging's Largest Supplier

Manifolds

Brackets

Business CaseSolar’s volumes were increasing in 2006 and

were to grow by 30% in 2007.

That was an additional11,000

Structures parts for 2007

Voice of the CustomerIn 2006 the Structures department struggled to

meet increased production levels; their inability to support the package takt rates put the year's financial plan at risk.

! "#$%&'($)*+&,+-#.-)/01'%21)34%$+'#(.1

Meetings, Meetings, Meetings

Monday Tuesday Wednesday Thursday FridayJuly 2006

5%%'#.- 5%%'#.- 5%%'#.-

5%%'#.- 5%%'#.- 5%%'#.-

5%%'#.- 5%%'#.- 5%%'#.-

5%%'#.- 5%%'#.- 5%%'#.-

5%%'#.-

5%%'#.-

5%%'#.-

5%%'#.-

5%%'#.-

5%%'#.-

5%%'#.-

5%%'#.-100 hours

per month !!!

Process Mapping

Freight ForwarderTrucking Company

Turbine AssemblyM.E.

Turbine AssemblyProduction Scheduler

(Marin)

ASL Coordinator

Inventory Specialist(Allen)

After Market Shipping Coordinator

(Alex)

After MarketShipping Packer

Turbine Assembly

Photographer(Joe Canales)

Ancillary Shipping Lead (Tommy)

Creates BOM for engine

Inputs something into text routing (after test items

removed from engine after test?)

Signs offCashes parts 5 M-days

from PSS date “Package Final” (Titan, Mercury, T65,

T70 only)

Cashes PA engine Loose ship parts 2 weeks from PSS date “Final Date”

Audits Loose Ship parts delivered by Stores. With

ASL Bill

Delivers parts to KM 25 Low Bay PA engine DZ

Coordinates acceptance of Loose Ship parts & T.A. parts, PM audit, Photo’s

Packs Loose Ship. Gets Weights & Dimensions Delivers W &D’s to Lisa & Veronica, or does Alex? Loads truck

Create Preliminary Pack List

Receive W&D’s from packer and forwards to TJ

Cox in Logistics

Takes Photo – Posts on-line

Receives engine, ????, eventually packs

Checks Bill of Lading and transports engine to next

location

Logistics Analyst(TJ Cox)

Lisa & Veronica

Receives W&D’s, creates shipping instructions

Contacts Switzerland of pickup date

Sends shipping instructions to Lisa & Veronica to create

the Bill of Lading, Final Pack List????

Assembles Engine, Test Cell completes test, returns

engine

Borescopes engine, ??? Buttons up, sends to paint

Creates Bill of Lading

Returned from paint Gets M.E. to sign off, install data plate

Sends Weights & Dims to Veronica & Lisa Loads truck

Contacts PM for Audit(Van Arsdale)

Pulls Floor Stock Stores in Triangle until audited by PM

PM audit

# DATE Len's off ice

LINE FLOW DAN'S OFFICE

BURN TABLE

DEBUR FORM/ BREAK

DRILL SAW IRON WORK

LID BOOTH IN RACK

WB 1

PPO In Box

WB 2

WB 3

WB 4

WB 5

Total WIP Exits MCT

1 20-Sep 108 69 72 3 2 3 0 9 4 2 2 3 0 0 1 278 13 21.382 21-Sep 82 94 105 10 0 0 0 5 5 1 7 3 0 0 7 319 13 24.543 22-Sep 67 90 102 3 1 0 0 6 4 1 5 4 0 1 5 289 7 41.294 25-Sep 67 88 106 2 3 0 0 4 4 1 4 4 0 1 4 288 20 14.405 26-Sep 83 56 91 0 2 0 4 11 4 3 7 3 0 3 3 270 11 24.556 27-Sep 88 71 92 0 3 0 1 3 4 1 6 2 0 2 4 277 21 13.197 28-Sep 89 68 61 1 4 2 0 5 4 1 3 1 0 2 1 242 24 10.08

83 77 90 3 2 1 1 6 4 1 5 3 0 1 4 280 16 21

STRUCTURES WIP

Averages

Exit Logs

What else did we find? WIP

MachineShop

Weld Booths

Hydro Test Plasma

Burn Table

Weld Booths

Supervisor’s Office

Structures Baseline

21

Baseline PerformanceBrackets

6048362412

Median

Mean

232221201918

1st Quartile 17.000Median 19.0003rd Quartile 23.000Maximum 63.000

18.506 23.054

17.672 21.000

6.683 9.970

A-Squared 3.41P-Value < 0.005

Mean 20.780StDev 8.001Variance 64.012Skewness 3.3112Kurtosis 15.4189N 50

Minimum 12.000

Anderson-Darling Normality Test

95%Confidence Interval for Mean

95%Confidence Interval for Median

95%Confidence Interval for StDev95%Confidence Intervals

Summary for C1

Demand for 80-90Brackets per day

280 Brackets in WIP

Cycle time of 20.7 days

Baseline Performance

14/day @ 7 days/wk1512963

Median

Mean

7654

1st Qua rt ile 3 .0000M e dia n 5 .5000

3rd Qua r tile 8 .0000M a x im um 15 .0000

5.0036 6 .6260

4.0000 7 .0000

2.4984 3 .6690

A-Squa re d 0.86P-Va lue 0.026

M e a n 5 .8148StDe v 2 .9720Va ria nce 8 .8330

Sk e wne s s 0.639209Kurtosis 0.160072N 54

M inim um 2 .0000

A nde rs on-Da r ling Norm a lit y Te st

95% Confide nc e Inte rv a l for M e a n

95% Confide nce Inte rv a l for M e dia n

95% Confide nce Inte rv a l for StDe v95% Confide nce Inte rv a ls

Summary for Weld booth exits Pipes

Baseline Performance

16/day @ 7 days/wk

Large GS_1C40-T70 CSMD_1MarsTitanCSMD_1Small Gen_1

50

40

30

20

10

0

Dat

a

Shortages per Value StreamMarch - August 2006

Baseline Part Shortages

700Pipe

Backlog

Variation Analysis

33Caterpillar: Confidential Green

250200150100500

Median

Mean

806040200


Variance 5130.118Skewness 3.3280Kurtosis 11.6178N 14

Minimum 1.450

A-Squared


95% Confidence Interval for Mean

-7.957

2.90

74.753

95% Confidence Interval for Median

3.404 34.215

95% Confidence Interval for StDev

51.925 115.391

P-Value < 0.005

Mean 33.398StDev 71.625

95% Confidence Intervals

Summary for C1

Drilling AnalysisDrilling

Analysis: Outlier due to common

cause variation.

Largest size hole required three separate drilling phases to reach proper diameter.

Outlier

26Caterpillar: Confidential Green

Coping Baseline

Program # Diameter Tools needed OldO20 2"RUN 1.5"PIPE T18 14.33O21 3"RUN 1.5"PIPE T18 14.52O22 4"RUN 1.5"PIPE T18 23.32O23 6"RUN 1.5"PIPE T18 54.02O24 8"RUN 1.5"PIPE T18 87.30O25 3"RUN 2"PIPE T18 34.17O26 4"RUN 2"PIPE T18 41.53O27 6"RUN 2"PIPE T18 36.52O28 8"RUN 2"PIPE T18 68.18O29 4"RUN 3"PIPE T18 38.14O30 6"RUN 3"PIPE T18 56.45O31 8"RUN 3"PIPE T18 72.37O32 6"RUN 4"PIPE T18 66.30O33 8"RUN 4"PIPE T18 97.24

COPINGTIME STUDY

10080604020

Median

Mean

7060504030


Variance 666.432Skewness 0.278043Kurtosis -0.780435N 14

Minimum 14.330

A-Squared



35.408

0.21

65.219


33.612 68.396


18.715 41.590

P-Value 0.832

Mean 50.314StDev 25.815


Summary for C1Coping

50:31 average coping time per pipe

Out of Control

3530252015

14

12

10

8

6

4

2

0

MCT BEFORE

Freq

uen

cy

Histogram of MCT BEFORE

Outlier

Bracket Cycle Time

Welded Assembly Exits

Solar Success

Safety +5Sset, sort,

shine, standardize,

sustainSafety

Employee Engagement

Order Management

WIP capsVisual Control

BoardsGreen Change Management

VelocityCycle Time reductions

Process Optimization

Response Time

Chase WasteNVA Activities

Waiting Overproducing

Rework Motion

Processing Inventory

Transportation

Structures Multi Generation Project Planv

Lean 6 SigmaIntegrity Excellence Teamwork Commitment

PSO Success

Safety +5SSafety

Employee Engagement

set, sort, shine,

standardize, sustain

Order Management

WIP capsVisual Control

BoardsGreen Change Management

VelocityCycle Time reductions

Process Optimization

Response Time

Chase WasteNVA Activities

Waiting Overproducing

Rework Motion

Processing Inventory

Transportation

Structures Multi Generation Project Plan

Lean 6 SigmaIntegrity Excellence Teamwork Commitment

PSO Packaging Value Streams

5S+1

/($')6 /%')6 /7#.%/'+.8+$8#9%)! /:1'+#.

Safety

Safety

Quality

VelocityErgonomic

;24<(0%%);.-+-%2%.'

HeijunkaScheduling

Methodology

Visual Order Management

WIP Caps

Heijunka

Over 1,200 pipes in finished goods.

Yet, Structures could not deliver the correct pipe to its customer on time.

After

Employee Lead Kaizen Event

Before

One Bin System

After

Two Bin System

Design for Manufacturability

Lean Fabrication

Gas Fuel Module

Removed 14 feet of weld per module

4,000 feet annually!

50% cycle time reduction

Gas Fuel Module

Customer Interface Panel

80% cycle time reduction

4,200 feet of

welding annually

Customer Interface Panel

Feet of welding

Labor hours

Lean Machining

1.00.80.60.4

Median

Mean

0.70.60.50.40.3


Variance 0.10199Skewness 1.56562Kurtosis 0.50138N 14

Minimum 0.30000

A-Squared



0.27632

3.48

0.64511


0.30000 0.33860


0.23152 0.51450

P-Value < 0.005

Mean 0.46071StDev 0.31936


Summary for C1Machining CT

Reduced cycle times from 30 minutes to

30 seconds

Outlier: Uncommon sized diameter pipes

Manufacturing Engineer

Continuous Improvement Operator created a solution

for larger pipes, cycle times = 2 minutes

Machinist

=(.!>+<:%)?8

8%8)

Eliminated

daily trips

Barstow

2008

Lost opportunities dueto poor safety and anunderutilized workforce

Production or rework of out-of-specification parts

Excess raw material,work-in-processor finished goods

Excess supply beyondthe requirements ofthe next process

Lost time due topoor product flow —shortages, bottlenecks,down machines

Wasted movementmade while working

Excess movement ofwork-in-process

Work that adds no valueto the customer or business

UnusedCreativity / Capability Defects Inventory

Over Production

WaitingExcess Motion Transportation

Over Processing

Overproduction

8 Deadly Wastes

Waiting110

@:$.)'+A<%@:$.)'+A<%

"(:A<%)"(:A<%)1 #8%81#8%8

BB??CCDD//

Burn BarnBurn Barn

3EE#&%3EE#&%

/7%8/7%8

*+<<%'1*+<<%'1

MOTION

74

Processing

Hand

Writing

99% First Pass X-ray Inventory

Phase 1 Phase 2

Metrics BoardMonthly

Employee Communication

Meetings

Forum for new ideas and

feedback to sustain process

control

In 2006 the Structures department struggled to meet increased production levels; their inability to support the package takt rates put the year's financial plan at risk. The Lean 6 Sigma process improvements not only allowed Structures to get caught back up and support our 2006 volumes, the improvements have allowed Structures to successfully supported record levels in 2007, including our 2nd quarter performance of one package a day, 7 days a week, for over 100 days straight! This has been a phenomenal improvement!

DirectorPackaging Systems Operations

We have seen excellent benefits related to the Structures organization process improvements and 6 Sigma efforts. Delivery performance from the Structures department to Customer Services went from a very low 25% on time delivery in July 2006 to an outstanding 100% on time delivery in July 2007.

Manager Customer Services Project Management


;2A%88#.-)F)/#-2+)&:<':$%)

5%%'#.-)(:$)&:1'(2%$1).%%81)

G#1'%.#.-)'()(:$)4%(4<%);3/)

HHI)E#$1')4+11)J!$+0)'%1')1:&&%11) C0&<%)'#2%)

$%8:&'#(.1)

"%1#-.)E($)5+.:E+&':$#.-) >+<:%)*$(4(1#'#(.

K5L1

Controls Assembly

Major 5S+1 Event

Offices

Central Supermarket

Floor Stock

Project Kitting

Lean Work Centers & Product FlowAfter

Off-SkidLean Work

Center

On-SkidLean Work

Center

Controls SupportLean Work

Center

Pkg. AssemblyPkg. Test

Assembled Tested

Assembled Tested

Better aligning product flow to our Customers

Panel BuildUp Panel Wiring System

Wiring1st PassTEST

2nd PassTEST Packaging

Single Piece Flow

Final Test

1st Pass Test

Cross Wiring

Panel Wiring

Panel Build Up

Kit

Pull PullPullPullPull

MotionBefore After

By implementing the material kitting operation, we eliminated internal excess motion

Results and Benefits

20

Packaging

Controls

Off-SkidOn-Skid

17

Packaging

Controls

Off-SkidOn-Skid

By changing our internal product flow we were able to change our external product flow

Before After



11

32

11

32

8.57.5

8.57.5

37 days

12 days

37 days

12 days


Controlling the New Process

PACMEMgr.Spvr.

Schedulers

8.57.5

8.57.5

13%13%11

32

11

32

6565%

87%

29%

87%

29%

37 days

12 days

37 days

12 days

67%67%


Drawing Release Project

Business CaseEngineering drawing release cycle is unclear and inefficient.

Opportunity StatementReduce labor cost, material shortages, and expediting fees.

Project GoalsImprove cycle efficiency

Clean up the process(es)

Mod

elin

g

Draf

ting

Stru

ctur

es

Com

plia

nce

Purc

hase

d Pa

rt Dr

aftin

g

Conf

igur

atio

n M

anag

emen

t

Info

rmat

ion

Tech

nolo

gy

Project Drawings x x xSource Control Drawings x x xSource Control Drawings x x x x

Specfication Control Drawings x x x xProcurement Control Drawings x x x

Project Drawings x x xProcurement Control Drawings x x x x

Project Drawings x x x xSource Control Drawings x x x x x

Specfication Control Drawings x x x xProcurement Control Drawings x x x x

Project Drawings x x x xSource Control Drawings x x x x

External Supplier x x

Structures / PSOSUR x x x

Structures / PSOSUR x x x x

External Supplier x x x

Pro-E Shop Floor Drawings x x x xCADDS Shop Floor Drawings x x x

Man

ufac

ture

d

CADDS

Pro-E

Assy

AutoCAD

CADDS

Pro-EPurc

hase

d

Word

Multiple Drawing Types and Processes

Multiple Drawing Types and Processes

D oes it g o to t he M E or straight t o CM ?

OUTPUTS : new DEF item review flag

INPUTS : New part number

Create part in Windchill , RTP,

complete initial setup , set NEW flag to Done , collect signatures for

PPRD / RFC initial submital , and prepare

dwg packet

VALUE ADDED TIME :

OUTPUTS : LOA – supplier begins work sooner

INPUTS : Lead time and need date

Initiate LOA and copy Planner and Buyer

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Make electronic documentation from supplier available

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Make log entry

VALUE ADDED TIME :

Design ServicesEntry and Exit

Log

OUTPUTS :

INPUTS :

Make log entry and complete drafting

VALUE ADDED TIME :

If Required

If Required

OUTPUTS :

INPUTS :

Create Model if required

VALUE ADDED TIME :

Pro-E and CADDS Drawings

OUTPUTS :

INPUTS :

DE back checks model /drafting

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Structures ME initiates item setup in BAAN

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

DE reworks design as required per Structure’s

feedback

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Update BOM as required

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

CM Group initiates release in ARP

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Review for CM requirements and create DHR entry (sys release)

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

CM group puts drawing

on T: drive????

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

IT checks structure , releases drawing in Windchill and sets DEF flag to Done

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

CM group releases through ARP (Windchill) and sets

DEF flag to Done

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Compliance verifies certification certificates

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Make log entry and complete drafting

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Back check drawing and sign RFC

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Make log entry and add ERCC stamp to drawing

VALUE ADDED TIME :

I

WIP ________

Exits ________

Design ServicesInbox

I

WIP ________

Exits ________

ComplianceInbox

Word and AutoCADDrawings

Word, Excel and AutoCADDrawings

I

WIP _______

Exits ________

Purchase Part Drafting Inbox

Word Drawings

I

WIP ________

Exits ________

Original Submitter’s Inbox

Word Drawings

I

WIP ________

Exits ________

DraftingInbox

Pro-E DrawingsNo modeling required

Pro

-ED

raw

ings

I

WIP ________

Exits ________

Package DE Inbox


Pro- E

andC

ADD

SD

rawin gs

Package DE Inbox


I

WIP ________

Exits ________

Manufacturing Engineer Inbox


AutoCAD and Excel

Drawings

Purcase Part Drafting Log

Drafting Log

I

WIP ________

Exits ________


Word Drawings

Purcase Part Drafting Log

Pro

-Ean

dC

AD

DS

Dr a

win

gsf o

rM

anuf

actu

red

Par

ts

I

WIP ________

Exits ________

Configuration Management

Inbox

Pro-E, CADDS, AutoCAD, and Excel Drawings

Pro-E

OUTPUTS :

INPUTS :

Complete Planner portion of item setup

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Buyer gets quote from supplier and inputs item

cost

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Planner releases purchase order

VALUE ADDED TIME :

FIFO

FIFOFIFO FIFO

FIFO

FIFO

FIFO

OUTPUTS :

INPUTS :

ODS Administrator loads drawing into

Windchill

VALUE ADDED TIME :

I

WIP ________

Exits ________


FIFOOUTPUTS :

INPUTS :

ODS Administrator sets DEF flag to Done

VALUE ADDED TIME :

Modeling Required?

OUTPUTS :

INPUTS :

Prepare PPRD / RFC and drawing packet

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Create part number in Windchill

VALUE ADDED TIME :

Pro

-Edr

awi n

gst h

atr

equi

rem

odel

ing

Drafting Required ?

Pro-

ED

raw

ings

ManufacturePart

ENG

ManufacturePart

NEW

ManufacturePart

PLN

PurchasedPart

DEF

PurchasedPart

PLN

PurchasedPart

PUR

PurchasedPart

NEW

OUTPUTS :

INPUTS :

Planner completes item setup and sets cost

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Structures ME sets ENG flag to Done

VALUE ADDED TIME :

OUTPUTS :

INPUTS :

Planner opens production work order

VALUE ADDED TIME :

PurchasedPart

DEF

PurchasedPart

DEFW

o rdD

rawin gs

Word, CADDS, AutoCAD, and Excel Drawings

Wor

dD

raw

ing s

D225

D258 and D403

Access file on the S : drive. Info posted (read only) in livelink for users (Ref http ://solarweb2.solar.cat.com/engstandards /

purchasedpartdrawings /index.html “Where is my drawing now” )

Manually updated daily with all items received and pending release

Dave’s LogDave’s Log Dave’s Log

Dave’s Log

AutoCADand Excel

CADDS

WIP ________

Exits ________

IT Inbox

AutoCAD drawings require a tif file from the s ubmitter

Structures ME does not keep a log of inputs. Projects are distributed evenly across the (3) ME’s. Work is processed 6 weeks prior to base lay. No official process defined for returning drawings to DE .

Minor errors in drafting corrected by Structures. Major drafting or any modeling errors are returned to appropriate person (i.e. drafter or DE )

55 items in Kanban10/21/08

S:#Depts\187\Drafting Report .xls

S:#Depts\187\Modeling Report .xls

Purchased Part Flow (s)

Manufactured Part Flow (s)

Push

BAAN Item

Review Flag

Who gets drawing packet first?What is req’d for certification?What information is required?Who authorizes release?When and how do I expedite?Where is my drawing packet?etc…

MS Word Based Purchased Parts

–

t

:

,

: –

:

:

i

All data points are median values.

/

• Time Study

• Value Add Time

• Span Time

• Cycle Efficiency

MS Word Based Purchased Parts

–

t

:

,

: –

:

:

i

All data points are median values.

/

Time Study Datan = 60

Value Add Time

(Minutes)Span

(Hours)Cycle

EfficiencyDesign Services 1 0.5 0.0667Compliance 3 1.25 0.0417Purchase Part Drafting (1) 10 16 0.0003Backcheck 5 4 0.0003Purchase Part Drafting (2) 2 3 0.0003DHR / Config Mgmt 15 3.75 0.0011Load to On Line Drawings 2 3 0.0003

Span(Calendar Days)

ODS to DEF 0.67DEF to PLN 4.32PLN to PUR 7.25

2008 Historical DataMdays

Design Services to PPD 2PPD 1

PPD to DHR 2DHR to DEF 2DEF to PLN 1PLN to PUR 6

14

Simple Process Change

–

t

:

,

: –

:

:

i

SP2 SP3 SP3 SP3SP2 SP2

Simple Process Change

–

t

:

,

: –

:

:

i

OUTPUTS:

INPUTS:

Compliance

VALUE ADDED TIME:

OUTPUTS:

INPUTS:

Design Services

VALUE ADDED TIME:

Excel

SP2 SP3SP3 SP2

• Deliver to Compliance first

• Eliminate two trips between SP2 and SP3

• Reinstate Compliance spreadsheet

Excel

Locator Tool

–

t

:

,

: –

:

:

i

OUTPUTS:

INPUTS:

Compliance

VALUE ADDED TIME:

OUTPUTS:

INPUTS:

Design Services

VALUE ADDED TIME:

Excel

• Simple VB query on desktop

• Aging file locator

• Cycle time metrics

Process Documentation

Anci

llary

Des

ign

Engi

neer

Cont

rols

Des

ign

Engi

neer

Cont

rols

Man

ufac

turin

g En

gine

er

Cont

rols

Tes

t Eng

inee

r

Expa

nded

Ser

vice

s Co

ntro

ls D

E

Hydr

o M

echa

nica

l Des

ign

Engi

neer

Pack

age

(Mec

hani

cal)

Desi

gn E

ngin

eer

Pack

age

Desi

gn E

ngin

eer

Pack

age

Man

ufac

turin

g En

gine

er

Proc

ess

Cont

rol E

ngin

eer

Retro

fit C

ontro

ls M

anuf

actu

ring

Engi

neer

GN 5.3.2-01 IDA / Promis-E Hydro Dwg Rel & Rev Ctl 1GN 5.3.2-09 MID Engineering Guidance and Definitions 1GN 5.3.2-17 Promis-E Drawing Routing Process 1GN D258-17 Anti-surge Design Drawing 1GN P.ED-07 Drawing and Software Release 1 1 1 1 1 1 1 1 1GN PEC-07 Request for CADD and Release (RFC) 1 1 1 1GN PEC-23 Release Cycle for Base/Frame Assemblies/Sub-Assemblies & Detail Parts 1 1 1WI P.EC-12 Source Control Drawing Process 1 1 1 1 1WI P.EC-22 Rev and Rel for Stand Alone Pipe Assy's 1WI P.EF-06 Piping Detail Drawing Specifications 1 1WI P5.07 Project Legal Drawings 1 1 1 1 1 1 1 1WI PEC-12 Source Control Drawings (SCD) & Procurement Control Drawings (PCD) 1

Many options?• Process Maps• Work Instructions• Guidance Notes

•Better definition and understanding of drawing release process/requirements

Process Documentation•Better definition and understanding of drawing release process/requirements

Determining Need for a Part- part searching- new part creation- configuration management

Drawing Types- decision flow- define drawing types- applications- nomenclature- procurement rules

Drawing Creation (drafting / hand markup)- when to use electronic or hand markup- instructions on how to get electronic copies- instructions on how to do markups

Release process- process flow- drawing packet contents- data requirements- expediting instructions

Training Material

Solar Product CertificationSolar Product Certification

An Overview of Solar Product CertificationAn Overview of Solar An Overview of Solar Product CertificationProduct Certification

R.K. Bostick 1-05


Package Hardware Certification

Requirements

Package Hardware Package Hardware Certification Certification

RequirementsRequirements

R.K. Bostick 5-05

Training for Certification DatabaseRev. 2, 3/15/07


Quick ReferenceQuick ReferenceQuick Reference

R.K. Bostick 5-05

• Create quick reference material

• Create links for functional departments

Lean Mechanical Drawings

• PG creates 2 drawings - Mechanical Installation Drawing

• OG creates 1 drawing - Mechanical Interface Drawing

Mech. DE Prunes Tree

Ancillary DEPrunes Tree

Mech. DECopy Standard

Add S.O. Features

Add S.O. Features

GenerateIn Crate Dwg

Generate Out Crate Dwg

Release In Crate Dwg

Release Out Crate Dwg

Pkg DECopy Standard

Enclosure DE Prunes Tree

Frame DE Prunes Tree

Pkg DEPrunes Tree

Ancillary DE Prunes Tree

Add S.O. Features

Add S.O. Features

Add S.O. Features

Add S.O. Features

Generate MID Drawing

Release MID

Design Freeze

Mechanical Drawing(s)

PGO&G

1000

800

600

400

200

0

Business Unit

Tota

l Mec

han

ical

Dra

win

g H

ours

Boxplot of Total Mechanical Drawing Hours

66 hrs

One Drawing VS Two

18

12

6

60

45

30

4.5

3.5

2.5

300

200

100

900600300

80

40

018126 604530 4.53.52.5 300200100

Mech Dsn & Dft Hours

ACS Revisions

Project Span (wks)

Total Releases

Sales Order Items

Custom Features

Dependent Variable = Mech. Design and Draft Hours

Predictor P

ACS Revisions 0.047

Project Span Time (weeks) 0.566

Total Releases 0.043

Sales Order Items 0.055

Custom Features 0.196

One Drawing VS Two - Regression

Analysis of variation after accounting for ACS Revs, Releases, Sales Order Items, and CF’s:

Factor P R-sq(adj) Impact of Different Levels

Certification .088 8.4% CE +268 / CENELEC +109 / NEC –66

Starting Equation: Total Hours = -140 + 12*(# of ACS Revisions) + 71.3*(# of Dwg Releases)

+ .97*(# of Sales Order Items) + 2.02*(# of Custom Features)

P = .002 (Model will correlate well with actuals)

R-Sq(adj) = 34.2% (34% of the variation in design and drafting hours is accounted for)

Analysis of variation after accounting for impact of Certification:

Factor P R-sq(adj) Impact of Different Levels

Custom Frame .075 6.5% Custom Frame +13.3 / Std Frame –68.7

Other factors (Custom Generator, Custom L/O Cooler, Enclosure, Fuel System, Marine, Inlet, and Exhaust) showed no statistical significance.

Final Equation: Total Hours = -275 + 12*(# of ACS Revisions) + 71.3*(# of Dwg Releases)

+ .97*(# of Sales Order Items) + 2.02*(# of Custom Features)

+ 336(if CE) +175(if Cenelec) + 82 (if custom frame)

One Drawing VS Two - Regression

PGO&G

750

500

250

0

-250

-500

Business Unit

Nor

mal

ized

Hou

rs

Boxplot of Normalized Hours

One Drawing VS Two

Content Differences

Isometric ViewsContent Differences

Isometric Views

Orientation of ventilation fans

Content Differences

• Transfer content to ‘Package Installation Guidelines’

• ! Exploded Views

Content Differences

Content Differences

Multiple views per sheet

One view per sheet

Content DifferencesElevation Views

• Single view per sheet adopted

Content DifferencesElevation Views

• Single view per sheet adopted• Changes for enclosure door swings

Content Differences

• Skid edge to device cable requirements• Content added to ‘Package Installation Guidelines’• Additional connection information added to MID

Content Differences

Supplier DrawingSolar In Crate Drawing

# ! Generator Terminal Box in MID

# Single source for information

New MID SummaryNew MID Summary• Single Mechanical Interface Drawing (MID)• Content Changes

! Exploded views• Single elevation view per sheet• Replacing enclosure door swings with ‘Stay Out Zone’

! Package component layout• Adding end device connection info to Table 1

! Generator terminal box• Adopting PG datum flags

• MIND Notes Changes• Reference to Installation Guidelines• References for cable sizes

• Refining Pro-E Drawing Simplified Rep

ConclusionConclusion

Documents

Lean 6 Sigma at Solar Turbines - International Society for ... · Lean 6 Sigma at Solar Turbines Gary Higganbotham Solar Turbines Black Belt Apr il 16, 2009