PSPD

LIMITED

ITC LIMITED - PSPD Manufacturing Excellence June 2010

PSPD
ITC LIMITED

Safety Pause

PSPD
ITC LIMITED

Content Background Introduction TPM TPM Journey at ITC - PSPD

PSPD
ITC LIMITED

(100000 Ha)

120000 tons recycling

Through : Operational Excellence

Through : WOW

PSPD
ITC LIMITED

PSPD embarked on the Process Excellence Journey based in early 2005 to leverage Processes to gain competitive edge in the marketplace
Competitive Edge

Quality

Process Excellence Engine

PSPD Operations

Low cost

Prompt Delivery

PSPD
ITC LIMITED

Introduction - TPM

PSPD
ITC LIMITED

Background
Customer Expectation - Service & Quality priority Complex and continuous operations across the plant

Growth of Volume and Demand

INTERNAL & EXTERNAL ENVIRONMENT

Area prone to leakages, spillages, dust and corrosion

Numerous minor stoppages and more safety issues / incidents

Matching the Skills with Technological Upgradation

PSPD
ITC LIMITED

Strategic Directions

PSPD
ITC LIMITED

WHAT IS TPM? A well defined methodology to optimize resources & improve performance A culture change - never be satisfied
Involvement of All People Team-work and cross functionality Transparency and visibility Discipline and rigour

Continuous improvement

TPM is a system to organize practical, shop-floor methods to Eliminate losses In other words :
INCREASE THE RELIABILITY OF THE PLANT & OPERATIONS

PSPD
ITC LIMITED

What is TPM?
TPM is NOT cleaning. The goal of TPM is to improve production while simultaneously increasing employee morale and job satisfaction.

TPM stands for Total Productive Maintenance. TPM has 5 basic objectives:
Zero Breakdowns Zero Injuries Zero Defects Zero Changeovers Zero Waste

The focus of TPM is to involve everyone and create ownership at all levels

PSPD
ITC LIMITED

Total Productive Maintenance brings Cross Functional Teams together to improve the performance of the Plant

Total Productive Maintenance calls for people to take ownership of the area they work in
Cleaning and Maintaining Basic Conditions of the Area and Equipment (Autonomous Maintenance) Taking Corrective & Preventive countermeasures Finally setting up an asset & process care system

Total Productive Maintenance emphasizes the importance of people in the plant for bringing about improvements Total Productive Maintenance promotes a manufacturing team, as opposed to a production team, a maintenance team, a quality team, etc. Total Productive Maintenance involves everyone

TPM will reduce costs and increase productivity & delivery capabilities by involving everyone in a systematic process

PSPD
ITC LIMITED

TPM enhances the effectiveness of both Plant Equipment & Human Resources
Benefits
Transformation in human resources

Education & empowerment of employees such that Operators can perform autonomous maintenance Maintenance can perform high quality maintenance Every one can focus on product & process improvements

Transformation in plant equipment Efficiency improvement through Sweating of the existing equipment Life cycle cost considered design of new equipment

Reducing equipment breakdowns Minimizing idling and minor stops Lessening Quality defects / claims Boosting productivity Shrinking inventory Cutting accidents Promoting employee involvement / increased suggestions from employees

ITC LIMITED

Focus : Eliminate hidden losses in the plant leading to Profit leaks

Labour Materials Overheads
Finishing Losses Breaks

PSPD

Easy to Measure

Low impact on profit

Sheeter Losses
Breakdowns Machine Losses Machine speed loss

Repulping Losses Fibre Losses

Chemical Consumption

Handling Losses Losses due to improper planning Energy Loss High Grammage Losses Stoppages

Low Return on Capital Employed

Loss of Customer goodwill

Difficult to Measure

High impact on profit

PSPD
ITC LIMITED

The Daily Management system for plant operations adopts a crossfunctional team approach to resolve routine problems

PULP MILL

SRP JH-3 JH-4

PAPER MACHINE

FH

GODOWN JH-1 JH-2

SERVICES

UTILITY Each Zone

Operator Electrician

Entire Plant
Quality Production

Daily Management Teams

(Cross functional managerial teams)
Maintenance Fitter

Jishu Hozen Teams

(Cross functional employee teams)

PSPD
ITC LIMITED

The process based improvement structure frees the time of senior managers and engages everyone in the improvement agenda.
Plant Steering Board (PSB) - Unit Head, Manufacturing Head, Champions, Plant Facilitators
Strategy & Operations Planning & Review

Daily Management Teams (DMT)

Continuous Improvement in Routine Management

Pillar Teams
Focused Improvement Projects Pillar Roadmaps

Service Daily Management Teams (SDMT)

Improve Service Level Reduce Fixed Expenses

Jishu Hozen Teams (JH Teams)

Care of machinery and unit processes & operation

PSPD
ITC LIMITED

Pillar teams bring in best practices and systems in different functional areas across the plant

Productivity, Quality, Cost, Delivery, Safety, Morale

Pillar Teams for Focussed Improvement
Education and Training Planned Maintenance Quality Management Early Management Kobetsu Kaizen Environment, Health and Safety

Jishu Hozen

Daily Management Teams & Jishu Hozen Teams (Operator Level) for Routine Management

5 S, Visual Workplace
Self Assessment & Audits, R&R mechanism

Office TPM

ITC LIMITED

Each Pillar team addresses the internal challenges faced PSPD by the organization
Jishu Hozen To attain Leakages equipment basic Spillages Minor Stoppages condition and Contamination bring a culture of ownership
Kobetsu Kaizen To eliminate all Various Losses losses and to Less Production improve Overall Cost increase Equipment Efficiency (OEE) & profitability Planned Maintenance To improve Breakdowns equipment life Chronic Failures More downtime cycle and Cost of maintenance improvement in maintenance system Quality Maintenance To establish Rejections equipment and Recycle Defective Products process Customer Complaints conditions to avoid quality defects Safety Health & Safety issues Environment Health & Hygiene To develop and establish an Working Environment environment that Dust, Noise, Smell results zero and lighting issues accident & least Accidents, Incidents pollution

Education & Skill Level Training Knowledge Update To develop Technology equipment Multi skill competent Training needs personnel

INTERNAL CHALLENGES

Early Management New product To improve life New equipment Issues cycle and develop Stabilization maintenance free equipment

Timely Delivery Office System retrieval Improvement Procurement To improve office Stores, efficiency and Godown issues eliminate all Inventory wastages & losses Response time

PSPD
ITC LIMITED

TPM Journey at ITC - PSPD

PSPD
ITC LIMITED

TPM Journey
100 % Teams at Level 1 & 70 % in Level 2

First JH Level 1 team TPM Journey with ECS

Expansion of JH to All Areas Model Machines Deployment and Kick-Off Ceremony TPM Journey with JIPM

All Pillars crossed Level 1 journey 100% JH teams achieve Level 1 in Mfg. areas First DMT Level 1 team First JH Level 2 team Launch of Service JH teams

ITC LIMITED

TPM ORGANISATION STRUCTURE

UNIT STREEING BOARD
TPM SECRETARIAT ECS CONSULTANTS

PSPD

SBU 1 DMTs : 3
Pulp Mill Recovery Utility

SBU 2 DMTs : 11
PM 1 PM 23 FH 123 PM 4 FH 4 NSFT PM 5 FH 5 PM 6 FH 6 PG

Services & Others DMTs : 3

TS - QISD TS - C Lab Workshops

8 Pillars (in each SBU) 1. Jishu Hozen 2. Kobetsu Kaizen 3. Planned Maintenance 4. Quality Maintenance 5. Early Management 6. Education & Training 7. Office Improvement 8. EHS

DMTs : 8
Raw Materials Materials HR Admin IS Plantation Finance Engg. Offices

25 TOTAL DMTs
(Daily Management Team)

JH Teams : 85 Manufacturing Areas

JH Teams : 22 Office Areas

107 TOTAL JH TEAMS

(Jishu Hozen Team)

PSPD
ITC LIMITED

Linkage between DMTs and Pillar Teams: Each member in the DMT plays the role of an DMT member and is also a Pillar representative
Subject specific Pillar teams are interwoven with the DMTs
Kobetsu Kaizen Planned Maintenance Quality Management Jishu Hozen Environment, Health & Safety
Members

Education & Training

Early Management

DMT No 1

Members

Members

Members

Members

Members

Members

DMT No 2

Members

Members

Members

Members

Members

Members

Members

DMT No 3

Members

Members

Members

Members

Members

Members

Members

DMT No 4

Members

Members

Members

Members

Members

Members

Members

DMT No 5

Members

Members

Members

Members

Members

Members

Members

Pillar teams improve systems using subject expertise and identify world class best practice solution for all DMTs

Process Based, Daily Management Teams (DMTs) improve KPI within their areas of influence

PSPD
ITC LIMITED

Roles of each team

The teams meet on a predefined frequency to solve problems and to bring in improvements
Jishu Hozen Teams - Meets Daily at Gemba (Shop Floor) Initial meeting for 5-10 min discussing yesterdays problems and

analysis using Why-Why/fishbone, safety talk

Performing CLTI activity scheduled for the day Identification and elimination of abnormalities Perform Self audit checks to improve JH Scores

PSPD
ITC LIMITED

The teams meet on a predefined frequency to solve problems and to bring in improvements
Daily Management Teams (DMTs):Daily

Pillar Teams :-Once in a week

1. Meeting once in a week/fortnight with all

1. Meeting daily for 45 mins to discuss that

days problems/creating plan for eliminating abnormalities in their own area and updating trends of KPIs on the board 2. Solving problems in their area with tools 2. 3.

the respective members from all DMTs

Preparation of roadmap for the pillar Arriving at working methodology for

roadmap points and ensure implementation

of the same in each DMT. 4. Identifying Best Practices in that domain and sharing it to DMTs during pillar meeting 5. Review Progress against roadmap

like 5-Why, Fish Bone diagram and Single

Point Lessons 3. Acting on Pillar roadmaps in each DMT meeting to ensure progress (One pillar a day) 4. Performing selfaudits of their own area with DMT standards

PSPD
ITC LIMITED

This improvement journey is divided in to 4 notches of Excellence

Level 1: (Introduction)
Everyone Involved JHs doing CLTI Introduce Daily Management Define Standards for basic conditions & improve Define & improve on Key Performance Metrics for Customers & Shareholders

Committed to Excellence

Level 2: (Refine & Standardise)

Identify Best Practices to do things Make adherence to standards Easy to Do Define Pillar Roadmaps for Excellence Identify variability drivers and develop action plans

Basic Levels

Level 1

Level 2

Level 4: Achieve Best in Class

Achieve Optimum Conditions and benchmarks with reduced effort Achieve 4-6 levels for significant periods Practice full Self Management Achieve Rapid Customer Response Capability Practice Corporate Sustainability consistently

Level 3 Level 4
Advanced Levels

Level 3: (Build Capability)

Define & Achieve Optimum Conditions Practice Lean Management Reduce variability and improve predictability Synchronise Supplies Practice Maintenance Prevention Achieve Flawless New Product Introduction Operate through Process Based Self Managed Teams Improve Competencies Develop Sustainability Roadmap

Recognized for Excellence

PSPD
ITC LIMITED

Audit Sequence for TPM

Level2: - Initiation of Work Standardization, Contamination elimination Level-3: Complete standardisation and move towards Zero Loss

Level-1 : Maintain basic conditions for process & equipment

Shop Floor evidence: Workplace & Equipment / Process conditions. Applicable to JH Zones

JH Level 1 -80% marks

JH Level 2 80% marks

JH Level 3 -80% Marks

DMT Level 1 60% marks

DMT Level 1 80% marks Level 2 60% marks

DMT Level 2 80% marks Level 3 60% marks

DMT Level 3 80% marks Level 4 60% marks

Set up Robust Daily / Routine Management

Refine Best Practices

TPM Process Audit : State of Maturity of Work processes. Applicable to DMTs

PSPD
ITC LIMITED

Linkage of Operational Excellence Levels to Financial Benefits

Level1-Build Basic Stability Level2-Refine & Standardize
Identify Best Practices to do things Adherence to standards is Easy Pillar Roadmaps for Excellence are defined Identify variability drivers for critical KPOVs and develop action plans Product & process quality reliability Significant tangible results

Level3- Build Distinctive Capability

Define & Achieve Optimum Conditions Practice Lean Management Synchronize Supplies Practice Maintenance Prevention Operate through Process Based Self Managed Teams Build Distinctive Competencies Develop Sustainability Roadmap Key corporate functions involved Multiple resultscustomer, employee

Level4-Become World Class & a Benchmark

Cumulative Annualised Benefits as a % of Turnover

Everyone Involved JHs doing CLTI Daily Management introduced Tentative standards for Basic Conditions defined Improvement Trends visible on KPIs Key Pillars launched Low hanging fruits

Point of No Return

With TPM

8 10%

3.5-4% 1.5 2%

As-Is

Committed to Excellence

Recognized for Excellence

PSPD
ITC LIMITED

Improvements

PSPD
ITC LIMITED

Ownership : My Machine Concept

PSPD
ITC LIMITED

Mass TPM Activity

PSPD
ITC LIMITED

People Involvement Training being given by operators

PSPD
ITC LIMITED

People Involvement Working through different teams

Employee sharing achievements with the top management

An employee level JH team sharing its way of working with visitors

Internal Campaign: A Mass TPM Session underway

Employee taking up a training session

A cross functional DMT discussing issues and finding solutions through root cause analysis

A Proud team on achieving the JH Level # 2 certification

PSPD
ITC LIMITED

Training of Employees & Managers being planned by 6 month calendar & tracked through Skill Matrix
Y/N Date (Enter in mm/dd/yy format)
Session 1 Session 2 Session 3 Session 4 Topic Faculty Duration (Hrs) Is Material ready? N Y N Y Y N N Y Y N N

S No

MAY
37 40 41 35 42 44 29 46 47 39 30 Risk Assesment Fire inspection in methonal area Chemistry behind clo2 preparation Types of valves and flow meters DCS operation fundamentals Disc chipper were plate replacement(sop) Bearing Assembly standard work sheet Acid unloading(sop) Voltas chiller PLC All about OSHAS,ISO9000,14000,18000 knv kishore shaik sivaram krishna S.N.Deva sanjay sathpathi msn Dvm naiudu Jhleader mohiddin naveen 2 2 2 1 2 1 2 1 0.5 2 2 04-May Mon 11-May Mon 11-May Mon 18-May Mon 25-May Mon 25-May Mon 04-May Mon 18-May Mon 18-May Mon 11-May Mon 05-May Tue 12-May Tue 12-May Tue 19-May Tue 26-May Tue 26-May Tue 05-May Tue 19-May Tue 19-May Tue 12-May Tue 07-May Thu 14-May Thu 14-May Thu 21-May Thu 28-May Thu 28-May Thu 07-May Thu 21-May Thu 21-May Thu 14-May Thu 09-May Sat 16-May Sat 16-May Sat 23-May Sat 30-May Sat 30-May Sat 09-May Sat 23-May Sat 23-May Sat 16-May Sat 04-May Mon 08-May Fri

JUNE
48 49 5 51 52 53 54 Chipper PLC Roles and responsibilty of emergency team Chipping Types of level , temperature,pressure transmitters Liquor filter wire cloth replacement Condition assesment of equipment rechipper jam cleaning nagrjuna shaik krk/jaipal sai kalyan Kalyan srirama raju jaipal 2 2 2 2 2 2 0.5 N Y Y N N N Y 01-June Mon 02-June Tue 01-Jun Mon 05-Jun Fri 11-June Thu 18-June Thu 25-June Thu 04-June Thu 25-June Thu 25-June Thu 11-June Thu 13-June Sat 20-June Sat 27-June Sat 06-June Sat 27-June Sat 27-June Sat 13-June Sat 08-June Mon 09-June Tue 15-June Mon 16-June Tue 22-June Mon 23-June Tue 01-June Mon 02-June Tue 22-June Mon 23-June Tue 22-June Mon 23-June Tue 08-June Mon 09-June Tue 04-June Thu 06-June Sat

16
36

Lubrication fundamentals
Training on fits and tolerance.

Rama raju
Ravi-mech

2
2

y
N

Have been shown the procedure and explained Have demonstrated back / understood

Practicing regularly Confirmed = Can train others = Expert

PSPD
ITC LIMITED

Workplace Improvement

Provision of Air pipe to avoid folding of sheets

Visual control to indicate direction of rotation

Separating Old and New knife to avoid rough cutting

Marking on machine for perfect head adjustment

PSPD
ITC LIMITED

Workplace Improvement Materials DMT Before After

Handling of Shafts used to be unsafe and time taking because of improper storage on the floor/stands and retrieval used to take more time.

Improved storage by fabricating one more rack and re-arrangement resulted into safe storage and easy retrieval.

PSPD
ITC LIMITED

Workplace Improvement Materials DMT Before After

Hard to access and retrieval of Metallic joint sheets and packing tapes due to Improper storage.

Improved storage by rearrangement of Metallic Joint sheets and tapes resulted into easy retrieval.

PSPD
ITC LIMITED

Visual Controls on SOPs and Dos-Donts

* SOPs

* DOs and Donts

PSPD
ITC LIMITED

Kaizen on Safety at Reel packing Before After

Before

After

Picture

Picture

Chances of Finger trapping between Discs and the reel is very high. To avoid this two paper tails attached to every side disc. As shown in picture

PSPD
ITC LIMITED

Kaizen in Paper Machine

Before Picture

After Picture

In predryer section DC motors getting heated up and failure was more due to high ambient temperature (55C).

Suggestion given by Mr. K. Ramamurthy P.No. 1069

Provided extended ducts to motor blowers for better cooling . Planning to provide upto 8th group DC motors. With this modification DC motor failures due to high ambient temperature was eliminated resulted in saving of Rs. 50

Lacs/annum

PSPD
ITC LIMITED

Kaizen in Paper Machine Before

FL Headbox side doors opening job was difficult Due to spillage from wire shower the floor is getting wet and slippery. Lot of time was required to complete the job

After

Provided with a platform support and extended more to avoid the fouling of side door. Time requirement for completing the task has reduced from 4-5 Hrs to 1.1.5 Hrs Total cost benefit = 90 Lac /Annum

PSPD
ITC LIMITED

ITC Limited - PSPD, UNIT: BHADRACHALAM KAIZEN SHEET

Team Name & Number: Causticizing Team -12101 Kaizen Theme: To reduce frequent gland leaks and arresting Source of contamination Problem/Present Status: Feed PPs gland leaking frequently even after changing the Gland packing Equipment: CD filter Feed Pumps Idea: Arranging Gland packing before Lantron ring Countermeasure : Arranging gland packing before Lantron ring

Activity Pillar

KK

JH

QM E&T PM EHS C D S M

P Q Benefit Area Kaizen Serial Number:

Target 28/12/2009 Kaizen start 25/12/2009 Kaizen Finish 30/12/2009 Team

GEORGE

SAMBASIVARAO

K.SANTOSH

Analysis: Idea

Results: Gland leakages reduced and Source of contamination arrested

Benefits: Liquor loss due to gland leakages = 100 ltrs Loss of alkali = 10*0.09 =0.9 MT Loss of gland packings = Rs.5000 Cost of alkali per MT = Rs 5000*0.9=4500 Total Savings = Rs 9500 Savings Per year = 9500*20 = Rs 190000

(why - why analysis)

1.9 Lakhs
Scope & Plan for horizontal deployment Sr No M/c / Area Target date Responsibility Status Kaizen completed & Benefit achieved Team Leader (Signature) DMT Leader (Signature) PBU Head (Signature)

PSPD
ITC LIMITED

ITC Limited - PSPD, UNIT: BHADRACHALAM KAIZEN SHEET

Team Name & Number: FH6 Reel Wrapping Machine 13605 Kaizen Theme: Reduction of Downtime due to uppender and pallet picker Problem/Present Status: Equipment: AHI Reel Wrapping Idea: Macking a collection station before uppender Countermeasure :

Activity Pillar

KK

JH

QM E&T PM EHS S M

P Q C D Benefit Area Kaizen Serial Number: RP 02

Target Kaizen start Kaizen Finish Team

4/30/2009 4/20/2009 4/26/2009

Sanyasi Sahu Sambasiva Rao Madhu Akbar

Analysis: Previously if there is any problem in uppender and pallet picker,Reel wrapping machine stopped. If a collecting station will be provided, we can remove the reels from that collection station with the help of clamper without inturuption the Reel wrapping

Results: Without effecting the reel wrapping production, removing the reels with this collecting station

Benefits: Every month down time reduced by Approx. 10 Hrs.

Scope Plan for horizontal deployment Sr No M/c / Area & Target date Responsibility Status

Kaizen completed & Benefit achieved PBU Head (Signature) PBU Head (Signature)

PSPD
ITC LIMITED

USAGE OF Do BACKWATER IN OZONE STAGE

A PRESS A PRESS

O3 REACTOR

O3 REACTOR

O3 DIL SCREW

O3 DIL SCREW

HOT WATER 80-90 M3/Hr

HOT WATER Do BACK WATE 55-60 M3/Hr 25-30 M3/Hr

BENEFITS REDUCED HOT WATER CONSUMPTION BY 700 m3/DAY REDUCED STEAM CONSUMPTION TO MAKE HOT WATER REDUCED LOAD ON EFFLUENT (FLOW & TEMPERATURE)

PSPD
ITC LIMITED

86 Lakhs

PSPD
ITC LIMITED

72 Lakhs

PSPD
ITC LIMITED

22 Lakhs

PSPD
ITC LIMITED

8 Manpower saved

PSPD
ITC LIMITED

14 Lakhs

PSPD
ITC LIMITED

Benefits from TPM

PSPD
ITC LIMITED

Achievements

JH Pillar
80 (out of 85) Manufacturing JH teams have achieved Level 1 status and 57 amongst them have achieved Level 2 status 20 (out of 22) Service JH teams have achieved Level 1 status and 1 amongst them is in Level 2 status 11 DMTs have achieved the Level 1 status (out of 25) 2400+ Kaizens have been conceived by the JH teams

ITC LIMITED

JH Status Graph Level 2

JH LEVEL 1&2 STATUS (Total Teams 107) as on Today

PSPD

Nov-06 Dec-06 Jan-07 Feb-07 Mar-07 Apr-07 May-07 Jun-07 Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10

110 105 100 95 90 85 80 75 70 65 60 55 50 45 40 35 30 25 20 15 10 5 0

98

100

Level 1

Level 2
82 74 75 70 60 61 55 47 49 50 63 65 77 83 84 86

88

90

92

94

74 71 61 53 48 45 40 41 36

No. of Teams

44 40 40 32 24

26 20 17

15 7 1 1 1 1 3 3 3 3 4 5 3 4 4 4 4 4 4 1 1 2 7 9

13 14

PSPD
ITC LIMITED

Achievements

PM Pillar
1600 (45%) critical sub-equipments have been

brought back to ideal state (out of total 14700 total

equipments, 3560 are critical)

PSPD
ITC LIMITED

Achievements

QM pillar: Out of 204 identified sub-processes, 52 critical subprocess have been made as Defect Free

PSPD
ITC LIMITED

Achievements
Around 9800+ hours of training completed (includes only training provided by respective DMTs) during last year This is about 7.3 hrs / employee / year where as we target at 12 hrs / employee this year Each JH team has a live training matrix for each member and a

E&T Pillar

6 month rolling training calendar

1900+ OPLs have been generated by the JH teams which are being used as the training tool. Trainers have been developed

for 820 OPLs (among employees)

61000 abnormalities have been identified and 84 % of them have been addressed / rectified

PSPD
ITC LIMITED

The journey continues

Thank You