Changeover Tool. (COT3-device) Justification of the need Solution Technical summary. MID Manufacturing Improvement Devices, Inc.

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1 Changeover Tool (COT3-device) Justification of the need Solution Technical summary MID Manufacturing Improvement Devices, Inc. Prepared by: Dr. Dragan Filipovic, President Aug 2015

2 Justification of the need

3 Size-changeovers and Manufacturing landscape FACTS to be considered: To achieve world-class Overall Equipment Effectiveness (OEE) of 85%+, unscheduled machine stoppages must be minimized or eliminated Hi-speed production lines are sensitive to Stop & Go operation any unscheduled machine stoppage creates significant scrap and decreases OEE performance of entire line Machine fine tuning ( tweaking after changeover) is one of key contributors to low OEE Inexperienced operators are typically unable to make correct machine changeovers In most cases every machine operator has its own best changeover settings Old-school changeover training Learn from mistakes, it is not acceptable any longer Possibility to capture and save changeover knowledge of experienced machine operators has a great value for the company

4 Why changeovers are always challenging Production floor reality (concerns of both operators & managers) There are three main reasons why size changeovers are always difficult and unpredictable: 1. Significant number of changeover locations (up to 50 per machine) 2. Multiple settings at each changeover location (up to 20 different products) 3. Working under pressure to restore full line efficiency as fast as possible Kaizen training (waste elimination) can not address production issues with a huge financial impact: Creation of unnecessary scrap (caused by machine tweaking after changeover) Manufacturing of the product of inferior quality during ramp-up period On-machine training is only proven way machine operator gains changeover experience (slow) Changeover learning curve of a new machine operator is typically much longer then expected Operator s cross-training (to perform changeovers of multiple machines), can be counterproductive Desired solution: Device that will provide interactive step-by-step operator guidance

5 Changeover issues: Not so obvious consequences Traditionally, changeovers are viewed as a necessary evil... Lengthy changeovers result in longer than expected machine downtime Idle equipment reduces productivity of valuable human resources Changeovers are complex and require a high degree of skill and precision Changeover adjustments upset the delicate balance of machine settings, Any machine adjustment increases the risk of making out-of-spec products Scrap is created during machine fine-tuning ( tweaking after changeovers) Changeover duration is highly unpredictable Fast & accurate changeovers provide very BIG savings (millions of $/year conservative estimate) Major US Food Company Reduced Change-over time ($MM) Faster Ramp-up to full speed ($MM) Reduced Scrap ($MM) Reduced Training time ($MM) TOTAL savings ($MM)

6 Ideal changeover solution should deliver Minimal OEE decrease Predictable down-time NO scrap caused by changeover NO influence of operator s changeover experience Very short operator training and no re-training Short pay-back time (attractive ROI) Bottom line: Companies can save millions every year by better changeover practices

7 Solution

8 New tool for GUIDED changeovers Delivers big savings (outcome of 3-year deployment at major US food manufacturer) Changeover ISSUES: COT3-device Turn-key SOLUTION FACT: Machine changeovers ALWAYS create: Unnecessary Scrap Out-of-spec products Degraded OEE of entire line Difficult start-ups (tweaking) Unpredictable line downtime Dependence on operator skills Increased inventories Outside storage costs FACT: COT3-device DELIVERS: No Scrap/ Out-of-spec products No Ramp-time/ No tweaking High confidence in line re-starts Very predictable line downtime Line OEE is visibly improved No operator s skills needed GPS-like guided adjustments 10 min operator training MID Manufacturing Improvement Devices, Inc.

9 How #1: Location-aware wireless distance measurement Command Distance info Location info COT2-Sensor (wireless) Changeover adjustments COT3-Controller

10 How #2: Position & distance update every second COT3-Controller Wireless streaming CONTROLLER to SENSOR (update: 1sec) - Dynamically updates COT-sensor LED indicators - Remotely shuts OFF COT2-sensor due to inactivity COT2-Sensor Wireless streaming SENSOR to CONTROLLER (update: 1 sec) -Controls adjustment sequence (RANDOM or STRICT) -Constantly updates Sensor Location -Constantly updates distance reading

11 Technical summary

12 Technical summary Any new or old machine can use COT3-device Deployment of COT3-device will not change operational safety of the machine COT3-device serves up to 5 different machines (up to 50 locations per machine total 250 locations) COT3-device supports up to 50 different products (each product has a different size) COT3-device supports two different adjustment sequences (independently for each of 5 machines): 1. RANDOM (example of adjustment sequence: 1, 13, 8, 2, 4,.) 2. STRICT ascending sequence (example of adjustment sequence: 1, 2, 3, 4, 5, ) Operator is GUIDED to make accurate and fast adjustments (typically 1 to 3 minutes per location) COT3-device allows Hands-free operation (operator can use both hands for changeover adjustments) Operator training and re-training is extremely short (10 minutes or less even for a novice operator) Operator does not need any computer skills HELP function allows an operator to see/ review information related to each changeover location

13 Technical summary cont. No adjustment location can be missed or skipped (COT3-device displays progress of adjustments) No misplacement or location misreading errors (changeover location is automatically recognized) Adjustments procedure could be interrupted at any point (as long COT3-controller is powered) Location-aware brackets are made of anodized Aluminum or Stainless steel (wash-down capable) COT3-sensor can operate up to 100m (300ft) away from the COT3-controller COT3-device can withstand strong mechanical shocks and vibration (no moving parts) Changeover data safety is very high (any successful changeover is backed-up on the SD card) Interchangeability of COT2-sensors between different COT3-controllers is fully supported (5min) One-time installation of location-aware brackets requires 4-10 hours (scheduled down-time)