LSSGB - Project - 5 - Improving Manufacturing Process

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The key takeaways are that Cool Inc. is a manufacturer facing various quality and efficiency issues across its production and needs to improve processes within 6 months or risk losing customers. A Lean Six Sigma Black Belt was hired to help resolve the underlying problems.

Cool Inc. was facing issues like wasted time cleaning rust, customer complaints of spoiled goods, damaged products during packing and storage, use of old inefficient machinery, and lack of standardized documented processes and operator training.

The exercises asked to calculate sigma value, perform correlation and regression analysis, and calculate process capability (CP and CPK).

IMPROVING MANUFACTURING

PROCESS
Project on the Lean Six Sigma Green Belt Course
Contents
Introduction.................................................................................................................................................2
Data tables………………………………………………………………………………………………………………………………………………4
Exercises …………………………….……………………………………………………………………………….………………………………….5

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Cool Refrigeration Inc. is a manufacturer of many commercial refrigeration products. All
these years, Cool has been an industry leader when it comes to quality & efficiency.

Cool Inc. has the ability to adjust to market trends, employ new strategies for meeting
Customer’s needs, and address the increasing demands in the manufacturing industry.
Some of their Commercial Refrigeration products were -

1) Deep Freezer for Labs, Blood Banks


2) Ice Cream Freezers
3) Confectionary Showcases
4) Mortuary Chambers

Overall Cool has been a leader in efficient & responsible manufacturing.

However the team noticed many Defects & complaints cropping up over the last few

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months. Here are some of the issues which Cool Inc. was facing –

a) In the production department - Lot of time was wasted on cleaning the rust from the
Tarnished Iron.
b) One of its Long Term Customers Magic Pastries were complaining that the Pastries
were getting spoilt.
c) Coming to Packaging & Storage Department, they were many complaints of
damaged products being delivered due to improper packing.

Apart from this the company was facing various other issues like they were still using

old machinery which was considered inefficient in today’s world. Additionally there was no

proper procedure or step by step process for the manufacturing and packing process.

Operators were not trained on a Standard Documented Process.

On the whole, Cool Inc. was facing a lot of problems. Hence the management felt the

need to hire a Six Sigma Black Belt to help them reduce the Defects / Complaints and

resolve the underlying issues. Cool Inc. had about 6 months to improve their processes or

they would lose a lot of their existing Customers due to these Issues.

BELOW IS THE DATA WHICH THE TEAM HAD COLLECTED OVER THE LAST FEW MONTHS –

TABLE 1

NO OF UNITS NO OF UNITS
MONTH PRODUCED DAMAGED

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Oct-16 33 8

Nov-16 23 6

Dec-16 25 5

Jan-17 34 5

Feb-17 27 4

Mar-17 31 5

TOTAL 173 33

TABLE 2

STORAGE TIME IN TIME TAKEN TO CLEAN THE


NO OF DAYS RUST IN MINS PER BLOCK

30 61

40 83

50 103

60 120

80 122

90 172

EXERCISE 1

SIGMA VALUE CALCULATION

TABLE 1 Gives the monthly data of no of refrigerators produced verses damaged for the last 6 months.

There are 11 possible damages which can happen to a Product, which in turn causes Rework and also

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leads to Loss due to Returns. Calculate the Sigma Value for the Damages ?

EXERCISE 2

CORRELATION & REGRESSION

The team had collected data in shown in Table 2 relating to the time of procurement of Iron which was

one of the Raw Material used for manufacturing the Cooling Units and the time taken to clean the rust

which was additional time taken or rework for making the Iron ready. Calculate Correlation &

Regression Studies to check if there is a Relationship between No of Storage Days & the Time taken to

clean the Rust ?

EXERCISE 3

PROCESS CAPABILITY CALCULATION (CP & CPK)

Pastries served at Magic Pastries should be between 38° F and 48° F when it is delivered to

the customer. The Pastry Showcase used to keep the pastries at the correct temperature has a process

standard deviation of 1° F and the mean value for these temperature is 41° F . What is the process

capability of this Pastry Showcase ?

EXERCISE 4

Propose a few solutions for the various issues faced by Cool Incorporation.

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