Establishment of a Lean Production System for Funwick
Client: Funwick Manufacturing
Location: Kunshan, China
Funwick Manufacturing Co. Ltd. is a successful private company focused on manufacturing high quality products for global leading companies, mainly manufacturing fire extinguishers, machinery parts for construction materials and pressed metal components. TXM has previously helped Funwick to implement lean in the fire extinguisher factory in 2005 and 2012, which brought significant financial returns to the company. But Funwick was still facing many problems, including high levels of internal defects, downtime, excess of labour and excess of inventory.
TXM worked with the Funwick management team to map the current state of the key product streams through the plants. The current state map will enable the management team to see the waste in their processes. Then TXM used the “Seven Steps to the Future State™” to develop the future state map.
After the development of the Future State of Value Stream Map, TXM coached the Funwick management team to use the A3 Report method to solve problems, including the application of the following Lean tools:
- Pull System, Kanban and Supermarket: established the Supermarket for finished goods, through the Pull
management with a reasonable safety stock, reduced the setup times and improved the production efficiency.
- Continuous Flow: established a continuous flow in Cell 2, Cell 4 and Cell 5, through the observation of each process, adjusted the work and movements of the operators to achieve balance between all the processes.
- Quick Setup: observed and analyzed the different setup methods, established the standard work for the setup, and tracked the implementation status of setting up the standard work.
- Leveling Production: improved the “two-bin” pull system, designed and produced the Leveling Management Board and established the standard work for levelling the pull production.
- A 9% increase in average workforce efficiency;
- A 48.8% reduction in the setup times and a 54% reduction in the setup of lead time;
- A 21% increase in OEE;
- A 24% reduction in inventory days.