Innoven OHS

Designer Vans

Background Situation

Designer Vans is a small manufacturer of caravans with either timber frames and aluminium walls or foam sandwich plastic walls. Each van is personally designed to the customer's requirements. So personal is the service that the customer often expresses their value as "building my van".

Innoven had obtained some funding for training from Manufacturing Skills Australia and approached the Industry Capability Network for a possible client to assist. Of the companies suggested Designer Vans agreed to participate. The situation at Designer Vans was that they were making less than two vans per month, the rate required to meet customer demand, even with working overtime and weekends. A further issue was that all information was held by the Principal of the business.

Initial Approach & Observations

The Innoven approach is to thoroughly understand the business issues through discussion with the principals and operators of the business and to spend time observing the operations. A single page A3 report is then used as a basis to discuss the issues facing the business. A training program is then developed around these issues for business members to then implement improvements with coaching from the Innoven consultant.

Information being held by the Principal created the need for excessive supervision and caused their office to become "central station" due to the need for operators to get the right information to build the vans. The supply chain did not meet Designer Vans' needs with supplies often being delivered late, of inferior quality and occasionally the wrong component. The internal receipt of goods also meant that poor quality goods were not detected until just prior to use and sourcing replacements increased build time of each van. Overtime was then used to get vans ready for when clients had expected delivery.

Operators were specialists in their skills and so to keep them utilised multiple vans were in various stages of construction at one time. This created clutter and confusion in the workshop.

Clutter in the workshop meant that the build stage of each van was not easily visible and which supplies belonged to which van was not immediately evident. This information was held by the Principal and caused a great deal of searching to find the required part at the time.

Workshop layout had grown organically with three stations being used to build internal cabinets. The layout did not support the flow of vans which meant vans were often shuffled around to allow preparation prior to and for delivery.

Key Actions

Sort, set, shine standardise & sustain (5S) was conducted in the workshop.
The workshop was re-organised to implement flow through the workshop with three van positions. Two for construction and one for cleaning & final inspection.
A schedule was developed for the construction of vans with each being worked on for two weeks out of three to best utilise the various operators skills.
Low skill level jobs were being shared between operators.
A comprehensive order list was developed for each van design which reflected only the components available for that van.
An information stand was implemented for each van which contained a copy of the completed order list and the drawings for the van.
A visual system was implemented so that supply chain issues could be readily identified and acted upon.

Outcomes

Consistently manufacture two vans every four weeks
Reduced inventory and better visibility of components for each van.
Better flow and higher visibility of progress of the van through the workshop which enables more targeted utilisation of labour and surety of delivery on time to clients.
Customers being provided with more realistic delivery dates which removed stress from manufacture and improved cash flow into the business.
Reduction in traffic through the Principal's office and less searching for components.
Better management of the supply chain with improved ordering and timely identification of issues before they impact on manufacturing

Contact GOTAFE's Manufacturing Commercial Manager to find out how to improve your business and develop your people. Call 1300 GOTAFE (1300 468 233).

Authorised by: John Bursill
Page updated on October 13, 2011 8:53 by Webmaster SK

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