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The assessment of Wylie Engineering was carried out on site and included talking to the key members of staff. Areas reviewed were costing of key products to check margins and Return on Sales. Layout of the assembly area, welding and painting equipment was examined including the flow of work and the organisation of the shop floor. Assembly and storage space The production area has been transformed with a 5S application, clearing away little used equipment and freeing up much needed space for a shipping area and parts storage racks.
The cutting equipment has been sited in the bottom shed where it can be used without disrupting the other production activities. Some equipment was underutilised and taking up space and the decision was taken to sub-contract out the balancing, equating to an annualised saving of £1440. A buyer has been found for the machine, which is expected to be in excess of £10,000. The Layout improvement and streamlined workflow has resulted in a 30% improvement in Lead Time and combined with the introduction of shadow boards has realised over £10,000 in annualised savings.
Many of their own components were made in house and assembled on the factory floor. This meant that a lot of the available floor space was taken up in this area and valuable resources needed for the bottleneck in main assembly were tied up making these. Quality sheets have been introduced which are signed off at each stage of production by the operatives and this is expected to have a positive impact on quality of the finished product and reduce warranty issues. Summary of savings Labour savings due to 5S, layout change to allow continuous flow and including introduction of shadow-boards. Total savings: £19,060 |
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