Project Status Update P09457 – Process Improvement Project

1. Project Status UpdateP09457 – Process Improvement Project Eric MacCormack (IE) Colin Roy (IE)

2. Project Status Update • Project Name • Process Improvement Project • Project Number • P09457 • Project Family • Sustainable Technology for the Global Market • Track • Process Improvement Innovations • Start Term • 2008-2 planned academic quarter for MSD1 • End Term • 2008-3 planned academic quarter for MSD2 • Faculty Guide • Professor John Kaemmerlen • Faculty Consultant • Dr. Kuhl, choice for simulation • Faculty Consultant • Dr. Carrano, choice for manufacturing processes • Primary Customer • Dresser-Rand with the point of contact being Dennis Rice at the Olean facility

3. Mission Statement • The mission of the Process Improvement Project is to implement lean principles into the piping and packaging line at Dresser-Rand Corporation’s Olean facility. • Goal: reduce cycle time by 30%. • Approach: improve the flow of products, warehousing of parts, visual controls, and reduce the waste within the line.

4. Current Layout Test Assembly Piping Assembly & Packaging Parts

5. Customer Needs • Reduce Cycle Time • Improve Flow of Product • Visual Controls System • Standardize Work Processes • Accurate Drawings • Free Up Floor Space • Maintain High Level of Safety

6. Staffing Requirements

7. Work Breakdown Structure P – D – C – A

8. Work Breakdown Structure

9. Risks and Constraints • Risks • Quality – Tradeoff of quality vs. speed • Worker resistance to change • Disruption to other processes • Increased cost to production • Constraints • Factory distance (Olean plant 2 hour drive) • 22 week improvement period • Cameras not allowed in facility • D-R staff availability

10. Resources Required

11. Deliverables • Current State Value Stream Map • Future State Value Stream Map • Detailed Current State Layout • Future State Layout • Factory CAD Drawings and Analysis • Simulation Models and Analysis • Cost-Benefit Analysis • Visual Control System

12. Team Values