Industrial Engineering study reveals a hidden potential to double the plant output
A large global corporation, well established in the Middle East, North Africa and Far East Asia, set up a plant in 2007-08 in India to take advantage of its booming economy and high growth potential. By early 2010, it realised that its current production, though close to its initially envisaged capacity, will be inadequate to get a sizeable share of the fast growing Indian market for Pre-Engineered Steel Buildings. But, before finalizing the decision to set up another production facility to augment its share of the lucrative Indian Market, the management wanted to examine the possibility of increasing production from its existing plant, for which it sought help from Actuate Business Consulting (ABC).
Using Industrial Engineering techniques, Consultants from ABC examined different aspects of plant operations, identified critical deficiencies & problems that were restricting production and evolved optimal solutions to debottleneck critical facilities and raise production through Productivity Improvement.
Consultants used Video Cameras & ABC’s copyrighted FRAME © methodology for Work Measurement to set Production Standards after methods review & analysis.
Changes were proposed in Plant Layout & Materials Handling, Materials Planning & Inventory Management and Production Planning & Scheduling with a new system for Performance Monitoring & Control. When implemented, these changes will alter the production paradigm from Batch to Flowline.
ABC’s study made an amazing revelation – the plant can produce 50-60 % more with present facilities and can almost double the production by adding a few balancing equipments.
Implementing the recommended changes, with respect to facilities re-layout, and using space saver Racks would free up some floor area that will allow further capacity expansion by adding more machines.
Recognising plant’s potential to double its output, management decided to keep on hold its plans to invest in another plant and instead shifted the focus to realise plant’s hidden potential unearthed by ABC’s study.