INTEGRATING MANUFACTURING & SPECIAL PROCESSING

KAIZEN PROCESS 3.1.1 INTEGRATING MANUFACTURING & SPECIAL PROCESSING

Brief History of Joined Alloys • 50 Years of experience • Integrated Capabilities • Vacuum, Torch & Induction Brazing • Welding • Heat Treating • Machining • Sheet Metal Fab INTEGRATING MANUFACTURING & SPECIAL PROCESSING

Products • Honeycomb Seals • Turbine Nozzles • Bearing Housings INTEGRATING MANUFACTURING & SPECIAL PROCESSING

3.1.1 Kaizen Process The purpose of the Kaizen Process is to accelerate and create breakthroughs in work-area process performance. KAIZEN PROCESS PPT report Preparation Event Setup Post Event Feedback Value Stream Maps Kaizen Splash Plans Annual Improvement Plan Kaizen Team Leader appointed from work area Kaizen Objectives set and linked to Annual Improvement Plan Kaizen Leader collects data from work area related to upcoming Kaizen event Kaizen Leader confirms objectives with Process Owner and Champion Resources are approved by Champion – standby resource confirmed Kaizen event schedule is set with specific daily action plans Conduct training Assign action plans Daily report outs Pilot run if applicable Create new standard work and training Prepare report out Present results Manage event follow-up Share results and learning with other teams/work areas Collect feedback and improve process Areas Addressed 3.1.1 Kaizen Process – How does your organization set and review priorities for Kaizen events? How are Kaizen events conducted? How is recognition for team members provided and are senior managers and the workforce involved? How are lessons learned shared with others who can benefit? How are process improvements documented and deployed to others using the same or similar processes? How are internal Kaizen leaders developed and deployed? How are goals set for Kaizen leadership and how is progress monitored? INTEGRATING MANUFACTURING & SPECIAL PROCESSING

INTEGRATING MANUFACTURING & SPECIAL PROCESSING

Key Roles Team Leader follows up on Action Items related to the Kaizen. Process Owner is responsible for updating documentation, and ensuring that training takes place. Process Champion oversees the change process, and ensures accountability of the Process Owner and Team Leader. INTEGRATING MANUFACTURING & SPECIAL PROCESSING

Strategic Goals • Goal #1 Increase Process OTD from 97% to 98% by September 2012. (Measured on a 3 month rolling average) • Goal #2 Increase Manufacturing OTD from 96% to 97% by September 2012. • (Measured on a 3 month rolling average) • Goal #3 Increase Productivity (earned hours/actual paid hours) from 55% to 85% by September 2012. (Measured on a 3 month rolling average) • Goal #4Reduce Scrap Dollars from $15,476/mo. (2.4% of Sales) to $10,850/mo.(1.7% of Sales – 1% per month) by September 2012. • Goal #5Decrease Internal and External PPM from 3273 to 2000 by September 2012. (Measured on a 3 month rolling average) • Goal #6Decrease Safety Incidents from 3 to 0 by September 2012. INTEGRATING MANUFACTURING & SPECIAL PROCESSING

6S Set-Up Reduction Value Stream Improvement Process (VSM) Kanban- Pull Systems Office Kaizens Flow Manufacturing The one common element: these tools help us eliminate waste from our processes. INTEGRATING MANUFACTURING & SPECIAL PROCESSING

Value Streams INTEGRATING MANUFACTURING & SPECIAL PROCESSING

RELEASE TO FABRICATION RELEASE TO FABRICATION RELEASE TO PRODUCTION Cope Tube Supermarket Purchase Receive Rec Inspect Supermarket CUT Bend Tube Lathe Debur Tube Mill Debur Laser Brake Weld Sub 3 locations Tube Sheet metal Bar Need: # Operators, # Shifts, Cycle time 1 piece, Scrap/Rework each Distance of moves from one to the next INTEGRATING MANUFACTURING & SPECIAL PROCESSING

RELEASE TO PRODUCTION Auto Blast Manual Blast Oil Pack OP P.O. Ship Final Insp Weld Insp Debur Rec Manual Weld Robot Weld Pack Debur END Need: Distances of moves from one to the next INTEGRATING MANUFACTURING & SPECIAL PROCESSING

TRACTOR RAMP SPAGHETTI 8215 FT INTEGRATING MANUFACTURING & SPECIAL PROCESSING

6S Set-Up Reduction Value Stream Improvement Process (VSM) Kanban- Pull Systems Office Kaizens Flow Manufacturing INTEGRATING MANUFACTURING & SPECIAL PROCESSING

Plant Productivity % INTEGRATING MANUFACTURING & SPECIAL PROCESSING

Furnace Productivity % INTEGRATING MANUFACTURING & SPECIAL PROCESSING

Customer On Time Delivery % INTEGRATING MANUFACTURING & SPECIAL PROCESSING

Lessons Learned • Don’t be rigid in your kaizen process • Have a coordinator to manage the events • Too many events at once will create a mess • Schedule the events to manage resources • Communicate, Communicate, Communicate • ROI Before the event • Small to make big, Big to make better INTEGRATING MANUFACTURING & SPECIAL PROCESSING

Questions ??? Thank You Paul Kobishop Director of Quality Assurance and Lean Systems Joined Alloys Phoenix, AZ pkobishop@joinedalloys.com 602-328-4235 INTEGRATING MANUFACTURING & SPECIAL PROCESSING

INTEGRATING MANUFACTURING & SPECIAL PROCESSING