Hartman Industries: Just In Time
Hartman Industries: Just In Time
Hartman industries are the premiere industry in plastic mold injections. ???Hartman Industries create innovative plastic designs that have earned international acclaim. Attention to detail, extreme precision, and high quality control standards are the hallmarks of Hartman Industries??? (Hartman Industries, 2011). Hartman Industries defines its operation by utilizing quality management tools that help the industry maintain the competitive advantage that the company currently retains in its respected industry. This industry has facilities in the U.S. and China, and has been successful during recent operations, however there are areas of opportunity in the manufacturing process. The implementation of a Just-In-Time delivery and manufacturing is a continual improvement tool will be helpful in creating an efficient use of materials in an already efficient and successful process. In this proposal the company will learn why Just-In-Time (JIT) manufacturing will improve quality for the company. With help from the Quality Management Assessment Team A (QMATA), the company will also become familiar with the systems needed to implement the JIT process and how it will benefit Hartman Industries. Also the current variations in the process at Hartman Industries will also be examined, and Hartman Industries will see how beneficial the JIT process will help reduce variations in the manufacturing process.
JIT??™s Benefit to the Organization
According to? “Investor Words???? (2011), JIT is ???A? strategy for inventory management in which raw materials and components are delivered from the vendor or supplier immediately before they are needed in the manufacturing process.??? This type of quality management became known first by Toyota Production System (TPS) when developing cars for Toyota. This process name changed to JIT, referring to developing inventory at the right time so that if this process is used correctly one component at most will be onsite when new shipments arrive. This will allow money otherwise engaged in inventory sitting and waiting to be used.
JIT quality management will benefit Hartman Industry in the assembly, packaging, and shipping departments by allowing the management teams of each department to control what is needed and when it needs to be there. This type of management shifts control to lower levels of management while also holding each department responsible for each action that department takes. Benefits depend on upper-management??™s ability to put the proper employees in the correct place. Employee placement is a must when using JIT management. Department heads are responsible for having the inventory in stock. This will allow the assembly team to have only a particular part or particular employee??™s knowledge onsite when needed instead of around the clock.
Although this type of quality management has benefits there are also negatives. The Quality Management Assessment Team A (QMATA) at Hartman Industries chose to look at the quality management of the company and acknowledge that the employee placement is correct. Knowing this helped the QMATA make the decision to focus on JIT quality management. Six Sigma and ISO 9000 is being used to the best of Hartman??™s Industry ability. Six Sigma and ISO 9000 are quality management systems that help the organization run at full capacity while using less employee hours, how to find where issues are starting and how to correct the issues instead taking apart a whole department. The QMATA feels comfortable concentrating on the one quality management system that Hartman Industry is not using to their maximum potential for growth by saving with JIT quality management.
As is Flow Chart and Variations
The current as-is flow chart is a process map of the manufacturing process at Hartman Industries. The current flow chart maps the current manufacturing process: Receiving, Mold and Fab Department, Mixing Department, Molding Department, and Trimming. The flow chart is, ???a necessary step in improving a process is to flowchart it??? (Davis & Goetsch, 2010). In the current flow chart Hartman has the ability to capitalize on some current opportunities that can be found in the process. The QMATA has found some variations that have been found in the current flow chart that can be identified as common cause variation. Common cause variation can be defined as, ???the result of the sum of numerous small sources of natural variation that are always part of the process??? (Davis & Goetsch, 2010).
The common cause variation that can be found, is the length of time that raw materials are stored in the inventory. Because Hartman industries uses a high density polyethylene (HDPE) in the production of plastic molds, the quality of the HDPE decreases the longer the raw materials remain in storage. These variations in quality can cause the HDPE to shrink and will cause molding elasticity issues in the molding and mixing process. Also the use of man hours and excess warehouse space to inventory and store the raw materials cost the company thousands of dollars per quarter. Also the as-is flowchart also shows that there is much waste in the scrapping process of used raw materials. HDPE is a recyclable product that can be reused by our vendors or the company.
One tool that can be used to combat some of the mentioned variations is the use of Just-in-Time manufacturing (JIT):
???The concept of just-in-time delivery has the reduction of inventory as part of its broader purpose. In a manufacturing setting, this might mean having more parts stack up at an assembly station than can be used for a given production run. In a service setting, this could mean a bookstore carrying more copies of a given book than it is likely to sell??? (Davis & Goetsch, 2010).
This tool will be beneficial for the company??™s bottom line by reducing variations in the process that reduce waste, man hours, and space.
Implementation of JIT and Reducing Variation
Hartman Industry??™s has a strong commitment to Six Sigma and ISO 9000 in today??™s economy this is an important part of cutting cost. The QMATA has discovered a few setbacks in the way the Hartman Industries purchases and stores raw material. Our team suggests Hartman Industry??™s implement a Kaizen event also known as 5s. The first of the 5s is Sort this act will take unnecessary items from the workstation and keep only those needed by the employee to perform his or her duties. The second part of this process is straighten remember everything has a place where it belongs by creating shadow boxes for tools needed for the job at hand. To painting the floor as to where to place a trash, this visual controls. The third step is sweep and shine, better known as spring-cleaning, which may involve painting, scouring, sweeping, washing, rinsing, scrubbing, and whatever needed to make your workplace shine. The four-step is standardize the process involves routine maintenance, which can be done by the maintenance department and in some areas it is done by the persons using the equipment. The fifth and final step of this process is sustain, this happen when the employees and management accept this as a daily routine. The concept that QMATA is looking at is Just in Time Inventory by implementing Kaizen. Not only will the plant look better but also the employees will be able to fine the material needed to perform the job at hand. Kaizen helps with the control of inventory levels helps track the amount of material in the plant. With the outstanding job, Hartman Industries is doing with Six Sigma and ISO 9000 implementing the process of Kaizen would only improve the quality of work within. With Kaizen, everything has a place from charts given the flow of the raw material shows only to make sure the invoice matches the material. At this point QMATA would suggest some sort of identification of the raw material entering the plant. An inventory control system could be used, an inventory control many companies use a system called AS400 with this system the shipping and receiving clerk can enter data showing the material was received and where it is located. After locating the raw material the shipping department can invoice the raw material to the intended department, by doing this it help track the material from one process to the next the result are no lost inventory. Implementations of the AS400 will help with Just in Time Inventory when raw material is pulled from the inventory it can atomically be order to replace the material the material used to the supplier to replenish current inventory to supply and demand.
Histogram is a quality tool used daily identifies and reduces process variability when using a histogram attributes and variables data is measured. Attributes data refers to has or has not, good or bad, pass or fail, accept or reject, conforming or nonconforming, and variables data measures values such as dimension, weight, voltage, and surface. When using a histogram it is important for the sample, which is, measured stay as simple as possible due to variables in the measuring large samples tend to give a false readings. ???The fifth of the seven tools is the scatter diagram. It is the simplest of the seven and one of the most useful. The scattered diagram is used to determine the correlation relationship between two characteristics variables??? (Davis, Goetsch, p.372, 2010). ???The Run chart is straightforward, and the control chart is a much more sophisticated outgrowth of it. The two are frequently thought of together as a single tool. Both are powerful and effective for the tracking and control of processes??? (Davis, Goetsch, p. 375, 2010).
It is important to realize that there will always be inherent costs and process inefficiencies in any business process. The key to overcoming these inefficiencies is through continual improvement initiatives similar to Hartman Industries effort to improve process efficiency. The integration of just-in-time manufacturing will prove to be very beneficial for the injection molding process at Hartman industries. This quality management tool will help the company reduce inventory waste, cut man hours, and free up manufacturing space at facilities throughout the sphere of operations. Continual improvement initiatives similar to the just-in-time implementation will give Hartman Industries a competitive advantage in manufacturing efficiency and will allow the company to maintain its status in plastic mold injections.
Davis, S., & Goetsch, D. (2010). Quality Management for Organizational Excellence: Introduction to Total Quality. Upper Saddle River, NJ: Prentice Hall.
Investor Words.? (2011).? Retrieved from http://www.investorwords.com/2688/just_in_time.html
Hartman Industries. (2011). Retrieved December 17, 2011, from Ecampus.Phoenix.edu Course Materials: https://ecampus.phoenix.edu/secure/aapd/JSSB/MGT449/HI/index.html