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Distribution Capacity Analysis P09721 MSD II Final Presentation

Distribution Capacity Analysis P09721 MSD II Final Presentation. Aaron Heyman – Lead Jose Rodriguez Adam Cook Abraham Taleb. Project Description.

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Distribution Capacity Analysis P09721 MSD II Final Presentation

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  1. Distribution Capacity AnalysisP09721MSD II Final Presentation Aaron Heyman – Lead Jose Rodriguez Adam Cook Abraham Taleb

  2. Project Description • Problem Statement: What is the maximum # of orders/lines/units this facility can process in a given time period based on the current equipment/software? • Processes In Scope:Receiving > Put Away > Replenishment > Picking > Packing > Shipping • Pick and pack will likely be the first areas of focus. Others can and will be added given the team’s ability to handle a broader scope

  3. Customer Needs Importance Scale: 5= Must Have 3= Nice To Have 1= Preferential

  4. Metrics & Specifications Importance Scale: 5= Must Have 3= Nice To Have 1= Preferential Binary: Pass or Fail.

  5. Goals for MSD II • Add Pack area to computer tool • Validate computer tool through historical data and on floor trials • Turn computer tool over to customer for implementation • Identify process improvement opportunities and present to customer • Implement desired process improvement projects

  6. MSD II Project Description • Capacity Analysis/Computer Tool (Aaron and Adam) • Process Improvements (Abe and Jose)

  7. Tool Description • Focuses on labor needed for given demand • Modifiable to accommodate future changes • Has the ability to calculate various input structures • Has capacity analysis portion where user can experiment with different scenarios

  8. Updates to Tool • Pack added • Picking validated • Pack validated • Capacity Analysis of Pick and Pack • Added Printable Sheet

  9. User Interface

  10. Data Validation -0.64% Labor hours per area over 25 day time period

  11. Pack Second sheet in Excel Workbook Contains Pack Data

  12. Packing Explanation • The team chose to use Orders for pack calculations instead of lines. • This was chosen due to the high variability in the size of lines being packed.

  13. Packing Validation

  14. Overall Capacity View Based on Demand %, the Max Total Demand Supported is Third sheet in Excel Workbook Contains Overall Capacity View

  15. Maximum Outputs for Pack Areas Fourth sheet in Excel Workbook Contains Detailed Pack Capacity

  16. ADM Kaizen • Initial meeting • April 17, 2009 9:00 am • People present • Inventory control • Replenishment personnel • ADM operators • Pick Supervisors • RIT Students • Meeting was very productive, everyone contributed with good suggestions and critiques.

  17. Ideas Discussed • Ideas discussed • Single label with color coding, and barcode included • Two labels: one with barcode and another with three digits and colors

  18. Ideas Discussed • Re-slotting carton flow racks • Incorporate a flag system v.s.

  19. Meeting Conclusions • Single label with barcode • Re-slotting carton flow racks, not agreed • The benefits obtained from this are not so large when compared to the effort to be invested • Flags are to be incorporated only for the high movers as having 500 flags will drive operators crazy

  20. Final Label Design • Two sizes, one for ADM and one for carton flow racks • If white background is allowed next to barcode, number of colors can increase

  21. Cost/Benefit Analysis • Assumptions • Define a defect as replenishing a slot in the ADM with wrong product. Considered only locations with <95% accuracy • Sample cycle counted is representative of the state of whole system • Labor costs $10/hr • Assume 920 slots currently being used

  22. Cost/Benefit Analysis

  23. Implementation Plan • If approval is not obtained within timeframe, transition document will be developed. • If approval is obtained in time and product is received before Thursday may 14th, the implementation will be executed. • To minimize potential errors, no two stickers will be removed at the same time.

  24. ADM Replenishment Flags • Solution that all parties want but difficult to implement • Other Solutions involved showing the current levels of all channels • Idea for spring activated flag was generated but mechanics are difficult • Advantage would be flag would only show when current channel needed product. • Refilling channels before they become empty would increase productivity

  25. Current Prototype

  26. Shipping Conveyor Kaizen Event • The Shipping Conveyor Kaizen was attended by representatives from packing, shipping and engineering. • Quick decision was made to add Spring-loaded bottoms to re-sort bins, especially in light of the recent injuries. • Discussion of mechanical solution lead to mostly dead ends. Most solutions have been tried before (Adding chutes instead of rollers, speeding up/down conveyors).

  27. Shipping Conveyor Kaizen Event • The final discussion focused on boxes being placed on the conveyor incorrectly • Lisa defended that it is difficult to place the box correctly every time with the expectation to ship so many orders per hour • Solution was generated to remind packers at weekly meetings to place boxes label side up and vertically oriented

  28. Shipping Conveyor Today • Spring bottoms have arrived and installed in the re-sort bins • UPS blue bins will be switched out of those locations and replaced with either red or green bin • Labeling has also been designed for bin stating “DO NOT REMOVE” • Movement of MTO to a spot on the shipping conveyor will go a long way to reduce the number of packed boxes that need resorted.

  29. Questions ?

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