Productivity Enhancement
Productivity Enhancement at Indus Motor Co Ltd through Focusing on 3M’s.
M. Uzair Farooq (14415)
Background
• • • • • Indus Motor Company Ltd (IMC) Established: Dec. 89 Plant Location: Port Qasim, Karachi First Production: Toyota Corolla Car 1300CC XE, March 93. Joint Venture: Toyota Motor Corporation (TMC) Japan & Toyota Tsusho corporation (TTC), Japan • Manufacturing of Toyota vehicles in Pakistan • Initial Installed Capacity: 10,000 vehicles/ year, single shift. • Stake Holders:
• House of Habib (HOH) - 50% share • TTC/ TMC - 25% share • Rest is public
• Comprises of:
• • • • • Weld shop: 22 workstations Paint shop: 37 workstations Assembly shop: 32 workstations Final Inspection Shop: 8 workstations Completely Build Unit (CBU) yard
Productivity Enhancement – THE NEED
• Signing of Technical Assistance Agreement with Daihatsu Motor Co. Japan, for production of 850CC Daihatsu Cuore. • 3,000 Units in the first year, increase in production capacity by 30% became expected. • Conventional method
• To increase production, increase the number of work stations. • Capital investment required for additional equipment / tools & utilities. • Increase of man power on the other hand.
• Decision Made:
• Increase the capacity by improving productivity. • Increase daily production from 38 vehicle/days to 50 vehicles/day • Reducing Task time from 10.5 min/vehicle to 8.5 min/vehicle.
THE STRATEGY
• Reducing Man Hours through reduction in 3Ms • 3Ms abbreviation of 3 Japanese letters :
• MURI = Over Burden • MUDA = Waste • MURA = Unevenness
Fundamental questions
• • • • • Why the activity is necessary? Can it be eliminated altogether? If not, can the time be reduced for doing the same activity? Is this the best method of doing it? Can we merge this activity with some other activity for better result? • Can this activity be brought forward? • Or can it be done at a later station? • Etc.
Yamazumi Chart - THE TOOL
• Yamazumi: Japanese word comprising
M. Uzair Farooq (14415)
Background
• • • • • Indus Motor Company Ltd (IMC) Established: Dec. 89 Plant Location: Port Qasim, Karachi First Production: Toyota Corolla Car 1300CC XE, March 93. Joint Venture: Toyota Motor Corporation (TMC) Japan & Toyota Tsusho corporation (TTC), Japan • Manufacturing of Toyota vehicles in Pakistan • Initial Installed Capacity: 10,000 vehicles/ year, single shift. • Stake Holders:
• House of Habib (HOH) - 50% share • TTC/ TMC - 25% share • Rest is public
• Comprises of:
• • • • • Weld shop: 22 workstations Paint shop: 37 workstations Assembly shop: 32 workstations Final Inspection Shop: 8 workstations Completely Build Unit (CBU) yard
Productivity Enhancement – THE NEED
• Signing of Technical Assistance Agreement with Daihatsu Motor Co. Japan, for production of 850CC Daihatsu Cuore. • 3,000 Units in the first year, increase in production capacity by 30% became expected. • Conventional method
• To increase production, increase the number of work stations. • Capital investment required for additional equipment / tools & utilities. • Increase of man power on the other hand.
• Decision Made:
• Increase the capacity by improving productivity. • Increase daily production from 38 vehicle/days to 50 vehicles/day • Reducing Task time from 10.5 min/vehicle to 8.5 min/vehicle.
THE STRATEGY
• Reducing Man Hours through reduction in 3Ms • 3Ms abbreviation of 3 Japanese letters :
• MURI = Over Burden • MUDA = Waste • MURA = Unevenness
Fundamental questions
• • • • • Why the activity is necessary? Can it be eliminated altogether? If not, can the time be reduced for doing the same activity? Is this the best method of doing it? Can we merge this activity with some other activity for better result? • Can this activity be brought forward? • Or can it be done at a later station? • Etc.
Yamazumi Chart - THE TOOL
• Yamazumi: Japanese word comprising