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LEAN MANUFACTURING PROCESS IMPLEMENTATION AND

THEIR CASE STUDY


Harshit Srivastava*, Rohit Sharma*
* ME Research Scholar, PEC University of Technology, Chandigarh

Abstract
In this paper a framework is created by a brief exposure to lean manufacturing process and its implementation on
some companies chosen as case study in this paper. These companies have main focus on maximizing profit even in
their limited resources and inventories. They have to do so by not neglecting the quality according to World Class
Manufacturing (WCM) standards. To do so they adopted strategies and philosophy of lean manufacturing concept.
Here we are covering up with the case study of a company and its sister concerns that were initially lagging in
proper technology utilization. But after they had adopted Lean manufacturing Process, they had overcome most of the
hindrances they were facing on the business front. With the use of Lean concept they were able to remove the
bottleneck in their manufacturing process and were able to achieve increase in overall productivity and other
parameters which maximize their monetary gain. Although to achieve it they had worked for years but by the
continuous improvement they have finally achieved their goal of overall success.
Key words: Lean Manufacturing Process, World Class Manufacturing (WCM), Manufacturing Waste.

1. Introduction
This paper will give us the knowledge about :

World Class Manufacturing (WCM)

LEAN Manufacturing

Manufacturing Wastages

It also includes a Case Study of Oilgear Towler


Polyhydron Ltd. (OTPL).. The detail of the method
adopted by the company to implement Lean Concept is
thoroughly given as well as comparative study of its
previous and current situation is given.

2. Literature Survey
2.1. World Class Manufacturing
World Class Manufacturing is a different set of
concepts, principles, policies and techniques
for managing and operating a manufacturing company.
It is driven by the results achieved by the Japanese
manufacturing resurgence following World War II,
and adapts many of the ideas used by the Japanese in
automotive, electronics and steel companies to gain a
competitive edge. It primarily focuses on continual
improvement in quality, cost, lead time, flexibility and
customer service. [1]

Make-to-order
Streamlined flow
Small lot sizes
Families of parts
Doing it right the first time
Cellular manufacturing
Total preventive maintenance
Quick changeover
Zero Defects
Just-in-time
Variability reduction
High employee involvement
Cross functional teams
Multi-skilled employees
Visual signalling
Statistical process control

Companies engaging in World Class Manufacturing


strategies focus on improving operations, strive to
eliminate waste and create lean organizations. This
often results in higher productivity. But these
companies also focus on speed of total throughput
from order capture through delivery setting new
standards for delivery without the heavy dependence
on inventory. Sequential methods of performing work
are being replaced with concurrent methods to
compress time, and functional and hierarchical
divisions of duties are being replaced by team-driven
activities.
2.2. Lean Manufacturing

World Class Manufacturing is a process-driven


approach where implementations usually involve the
following philosophies and techniques:

Much as mass production was the production system


of the 20th century, lean manufacturing, which focuses
on the elimination of waste in the production process,

has been heralded as the production system of the 21st


century. Although the Japanese automaker Toyota
pioneered the concept, the term lean manufacturing
itself was coined in the early 1990s by three
researchers from the Massachusetts Institute of
Technology.
The National Institute of Standards and Technology
(NIST) Manufacturing Extension
Partnerships Lean Network offers the following
definition of lean manufacturing:
A systematic approach to identifying and eliminating
waste through continuous improvement, flowing the
product at the pull of the customer in pursuit of
perfection.[2]
In other simple words we may Define Lean
Manufacturing Process as, Lean manufacturing is a
performance-based process used in manufacturing
organizations to increase competitive advantage. The

2.4. Methods Organizations


Implement Lean

Are

Using

basics of lean manufacturing employ continuous


improvement processes to focus on the elimination of
waste or non-value added steps within an organization.
The challenge to organizations utilizing lean
manufacturing is to create a culture that will create and
sustain long-term commitment from top management
through the entire workforce.[3]

2.3. Eight Types of Manufacturing Waste Targeted


by Lean Methods
Lean methods typically target eight types of waste.
These waste types are listed in Table 1. It is interesting
to note that the wastes typically targeted by
environmental management agencies, such as nonproduct output and raw material wastes, are not
explicitly included in the list of manufacturing wastes
that lean practitioners routinely target. [4]

to

There are numerous methods and tools that


organizations use to implement lean production
systems. Eight core lean methods are described briefly
below. The methods include:
1. Kaizen Rapid Improvement Process
2. 5-S
3. Total Productive Maintenance (TPM)
4.Cellular Manufacturing / One-piece Flow Production
Systems
5. Just-in-time Production / Kanban
6. Six Sigma
7. Pre-Production Planning (3P)
8. Lean Enterprise Supplier Networks

While most of these lean methods are interrelated and


can occur concurrently, their implementation is often
sequenced in the order they are presented above. Most
organizations begin by implementing lean techniques
in a particular production area or at a pilot facility,
and then expand use of the methods over time
.Companies typically tailor these methods to address
their own unique needs and circumstances, although
the methods generally remain similar. In doing so, they
may develop their own terminology around the various
methods.[5]

2.5. Why do organizations want to use Lean


Manufacturing techniques? [6]

To significantly improve overall productivity


To increase market share
To improve speed-to-market with new products
To reduce manufacturing and engineering labour
costs
To eliminate non-value-added operations and
processes

Lean manufacturing techniques focus on:

Equipment reliability
Balanced or level production
Just-in-time material control techniques
Stop-the-line to correct the problem and in-station
process control
Continuous improvement processes
Statistical Process Control techniques for quality
consistency
Developing human systems to support the
technical processes
How do you sustain lean manufacturing
techniques?
Create a solid business case
Align systems and processes
Share the vision
Empower the workforce
Ensure the use of proper measurement systems
Roadblocks to implementing lean
manufacturing:
Complacency; no reason to change
Using lean manufacturing to facilitate downsizing
efforts
Role clarity issues from senior management
Opposition from middle management
Poorly defined measurement systems
Short-term versus long-term thinking
Inadequate union involvement
Lack of commitment and ability to just-do-it
2.6. Implementation[3]
The First Six Months:
Building Organizational Awareness
Senior leaders clarify the business case for
using lean manufacturing techniques.

Senior leaders ensure that lean manufacturing


techniques are consistent with the
organizations long-term vision.
Management assesses the organizations
readiness to make the transition to lean
manufacturing.
Upper management defines the baseline
measures of success.
The organization defines a timetable
consisting of communication, objectives, and
scope of implementation.
The vision of the redesigned organization
strongly supports the linkage of business
strategy to cultural strategy.
The vision of the redesign includes the
alignment of the organizations
communication, accountability, skills,
processes, and systems.

Six Months to Year Two:


Creating the New Organization

Redesign the organization to use lean


manufacturing techniques.
Implement training and development processes
to assist the transition.
Help leaders and employees make the
transition to their new roles.

Years Three through Four:


Aligning the Systems
Continuous improvement processes are driven
from bottom-up versus top-down.
All organizational support systems are in
alignment.
Ongoing measurement and process monitoring
systems are ingrained in the new culture.
The bottom line is meeting the favourable
Expectations identified in the business case
from the first six months.
Year Five:
Completing the Transformation
The transformation to Lean Manufacturing
Techniques is completed.
Integration of Lean Manufacturing Techniques
with suppliers begins.
Ongoing continuous improvement and
organizational development is a way of life.

Figure 1. Time Frame for Implementing Lean Manufacturing

3. Case Study
In this paper a case study is discussed of a company of
my teachers earlier company. Manufacturing
strategies were adopted for the betterment.

Directional Control Valves,

Solenoid Valves,

3.1. Company Introduction

Pressure Controls,

Manifolds, Covers, Logic Cartridges,

Pressure Switches, Check Valves

Company Name: Oilgear Towler Polyhydron


Ltd, (OTPL)
RS-680/2 Udambag, Belgaum
Head Quarters: 51st Street, Milwaukee,

3.3. Strategies Followed by OTPL & its


sister concerns

Wisconsin, USA.
Sister Concerns:

At OTPL, the company manufactures


Hydraulic Actuators, Presses and systems; It is
in U.S. Collaboration since past 18 years.

It follows a mix of American and Japanese


systems.

It is certified ISO-9000-2000 Company.

Waste Reduction at all stages including office


and paper wastes.

The workers identify wastes and process


improvements and these are systematically

1.) Polyhydron Pvt. Ltd.


2.) Hyloc Hydrotechnic Pvt Ltd.
Website: www. Polyhydron.com
www.oilgear.co.in
3.2. Products Manufactured

Hydraulic Radial Piston Pumps,

Mobile Hydraulic Valves,

Monthly

The Signaling or KAN-BAN system is fully


visualized within the company.

The management had a reward policy for best


suggestions and improvements by workers.

Training classes are regularly taken for


workers in Quality, Maintenance, Processplanning & improvements.

There are work-stations, which are fully selfsufficient for entire- assembly and testing of
Valves.

The management is a unique Ethical one, also


known as Temple of ETHICS.

documented
MRMs.

and

presented

in

Vendors are trained and they are fully


responsible for quality.

The company has a meditation room and


gymnasium for stress relieving.

The company used shop operating standards


and customized softwares for PPC and MIS.

At Polyhydron, the company manufactures all


types of Hydraulic Valves and Radial piston
pumps.

In contrast to the earlier system, the company


followed totally Japanese Systems.

The M.D believes spiritual development


should take place along with work. (Company
has in-house a temple of Swami Vivekananda
in which inspiring books, CDs on motivation
and strength are available. Weekly meditation
camps and Worships is organized by the
SWAMIs of Ramakrishna Mission Ashram.

The philosophy is to develop overall


HUMANs by inculcating in them Spirituality
and developing KARAMAYOGIS through
regular KARMA or WORK.

JIT is implemented, wherein the vendors are


fully developed and inventory is maintained at
their end.

Depending on the orders, the vendors are


given a delivery plan and the components
arrive just at the required time.

Wastes are reduced at all stages, In office


order bookings are all thru e-mails.

3.4. Results Achieved

The group was started in 1975 by name


Hyloc, manufacturing tube fittings by 3
entrepreneurs, with a very low initial
investment.

Today it has 3 major units along with 6


plants. One of them is an U.S.
Collaboration Unit. All have branch
offices in Bangalore, Pune, Mumbai and
Delhi along with dealers spread all over.
The actual work forces are around 350
employees in the 3 units together.

The combined turn-over of the 3 units in


India is around 50 Crores as of today. It is
increasing constantly at the rate of around
20% annually. The Main focus in all Units
is Unique Management styles and LEAN
manufacturing.

4. Conclusion
In this paper, we come to the following conclusion
about the Lean Manufacturing Concept.
Lean Manufacturing is

A collection of philosophies and techniques


that reduce waste and add value.

Becoming more accepted and implemented in


industry.

Essential for a company to remain competitive


in the long term.

Thus by adopting Lean Manufacturing Concept by a


company may result in a lot profit to it as it will reduce
its wastes and even reduce the inventory size which
will leads to more monetary gain to it.

References
[1]

http://www.rockfordconsulting.com/world-classmanufacturing.htm
[2]
Womack, James, Daniel Jones, and Daniel Roos,
The Machine that Changed the World, HarperCollins,
1990.
[3]
Michael H. McGivern, and Alex Stiber, Lean
Manufacturing Techniques, 2003.
[4]
Productivity Development Team, Just-in-Time for
Operators 8 (Portland, Oregon: Productivity Press,
2000)
[5]
Lean Manufacturing and the Environment: Research
on Advanced Manufacturing Systems and the
Environment and Recommendations for Leveraging
Better Environmental Performance, 2003
[6]
Aza Badurdeen, Lean Manufacturing Basics, 2003
(http://www.leanmanufacturingconcepts.com).
[7]

Womack, J. P. , Jones, D. T. & Roos, D. The


Machine that Changed the World: The Story of Lean
Production. New York: Harper Collins Publishers
(1990).
[8]

http://www.polyhydron.com

[9]

http://www.oilgear.co.in

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