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In this phase, descriptive case study method has been deployed (Yin, 2003). The
chapter presents the detailed survey conducted in reputed manufacturing organization
that has been engaged in holistic TPM as well as synergetic TQM-TPM implementation
over a considerable period and has realized significant organizational performance
enhancements. The objectives of case study includes investigations of current status of
TPM as well as benefits attained through synergetic TQM-TPM implementation in the
manufacturing organization to assess roadmap followed by Indian manufacturing
entrepreneur and also evaluating the contributions made by strategic TPM approach as
well as TQM-TPM combined approach towards affecting manufacturing performance
enhancements.
The case study has been conducted at Wire Rod Mill plant (WRM), which is a
part of Long Products (LP) division of Tata Steel, at Kharagpur. Wire Rod Mill plant of
Tata Steel started with holistic TPM implementation over a considerable period i.e.
(Financial Year (FY) 01, 02, 03) and have realized significant organizational
performance enhancements over that period of time. Further they have integrated TQM
approach along with TPM i.e. (FY04, 05, 06), so as to attain the synergistic benefits of
both of quality initiative programmes.
In order to scrutinize the manufacturing organizations for the research work,
support was sought from various reputed Indian manufacturing organizations rigorously
involved with adaptation of TQM and TPM principals. For this purpose, the detailed
research objectives, methodology, scope of work was shared and discussed at length
with the industrial experts and resource persons, followed by detailed clarifications and
personal interactions. It was then decided that manufacturing organizations recognized
by TPM Club India and Japan Institute of Plant Maintenance (JIPM) for their exploits in
TQM-TPM implementation should be selected for conducting detailed case study in the
present context. The manufacturing organization has been scrutinized for its exploits in
thses implementation and willingness to share its learnings and data related to TPM as
well as synergetic TPM-TQM implementation.
The case study have been conducted in a phased manner starting from the
evolution of the need for incorporating various quality initiative programmes in any
171
organization from the tactical level to the excellence with the support of every person
starting from the Top management level to the workers on the shop floor. In the case
study, the methods/techniques/approaches adopted for implementing TQM and TPM,
the success achieved, the modifications made in the future plans has been compiled and
analyzed in detail.
5.1
a part of LP division located in the eastern part of India. Tata steel is the flagship
company of the Tata Group, Indias most admired trademark, with an annual turnover of
$ 2500 millions. Tata group of companies, with an annual turnover of $12000 million, is
one of the oldest business groups in India and has pioneered various new ventures in the
country including steel, textiles, tea, chemicals, telecom, motors, software, hotels and
steel. The company was established at Jamshedpur in 1907, at a time when steel was not
produced in the country in an organised manner.
Today it represents the countrys single largest integrated steel works in the
private sector. It has a stature of being the lowest cost producer of Steel globally.
Though the Companys main business is manufacturing and sales of various types of
steel, it is also involved in forward and backward integration of steel. Tata Steel Group
is the fifth largest flat steel producer in the world with a production of 14 million tones.
Tata Steel represents countrys single largest integrated steel works in the private sector
and exemplifies Indias industrial growth. The operations include raw material mining,
iron making, steel making, rolling it in to various products like Hot Rolled Coils, Cold
Rolled Coils, Wire Rods, Reinforcing Bars and further downstream to pipes, rings,
bearings etc. Steel Business Unit is further categorized in Profit centers or Cost centers.
Figure 5.1 depicts various core business activities of Tata Steel. Out of this,
Tata Steel Long Products division (LP) was formed through a reorganization in year
1999 as a part of steel business unit in order to bring focus on the LP business portfolio.
The Division with a turnover of 900 million US dollar accounts for about 28% of the
total turnover of Tata Steel. The Division had an margin of 43% which is the highest in
the world among all large (> 1 million tonne) Long Product producers. This is largely
because it caters to the high end segment of the market through superior quality
products and services while being the lowest cost producer. With an annual sales
172
volume of 1.70 million tons, the Division has a domestic market share of about 6% of
the total LP market which is supplied by a large number of secondary and unorganized
producers. However the Division targets only the high end segments in all its product
categories with superior quality products. The key products of LP Division are
Reinforcement bars (Rebars) used in construction and Wire rods consumed by the wire
drawing industry. It is the largest producer of the high end wire rods and the third
largest producer of rebars in India. Rebars and wire rods are offered to both institutional
and retail customers. LP division is headed by Vice-president (VP) and the
organizational chart of the division is shown in Figure 5.2.
173
Market
Segments
High
Carbon
Wire Rods
Railways,
Automotive
and
Construction
Low
Carbon
Wire Rods
Electrodes
Rebars Retail
Rebars Projects
Housing
Construction
Infrastructure,
Commercial
and industrial
Complexes
Some Key
Customers
Wire Division,
Miki, RIC,
UIC, Bansal,
Raj Ratan,
Gustav
ESAB, ADOR,
SHAKUNT,
ANAND ARC
Key Product
Requirements
Chemical Composition
and drawability,
Consistent Mechanical
Properties
Consistency in
Chemistry, Drawability
Individual
house builders,
Builder
Promoters
HCC,
Gammon,
LandT
174
5.1.1
consolidate and improve its position in the Long Products sector. To that end the
division is aiming to a.
Become the most preferred rebar supplier to key infrastructure companies in India.
b.
Maintain market leadership for rebars in the Individual House Building (IHB)
segment in India.
c.
5.2
Become the dominant and most preferred supplier of high end wire rods in India.
taken by Tata Steel in the year 1983. WRM is one of the major production units in the
long products profit centre (LPCC) as shown in Figure 5.3. The order for this mill was
placed in October 2, 1984 and the project was completed within a record 28 months
time. Designed and executed with primary emphasis on product quality and at optimum
costs, this single strand Bar and Rod Mill commenced hot rolling on 2nd March 1987.
The name of the mill was changed to Wire and Rod Mill (WRM) in the year 1999. The
mill is designed for 100 meters per second for 5.5mm diameter Low Carbon Grades (in
No-Twist block) and has a capacity of producing 3,20,000 tons per annum.
nails, wire mesh, pins, PC strand wires, stick and continuous welding electrodes etc for
domestic and export market. The production process at WRM is carried out under
controlled condition at optimum cost. All the main equipments are online like pinch roll
and laying head, cooling facilities, coil handling equipment, coil compactor etc and need
to be operated continuously 24 hrs a day, 7 days a week. Apart from the main mill
equipments other facilities available at Wire Rod Mill as support facilities are Mill
Providing (for raw material storage), cranes, Oil Cellars, testing Lab, Water Pumps,
offices, stores, Guide repair shops, Roll turning shops, Shipping Yard are also part of
Wire Rod Mill. All the above equipments, areas and the support facilities are subject to
TPM.
5.2.1
176
177
5.2.3
178
with the commitment from the Top Management of Tata steel as well as the Top Union
officials re-iterating their commitment toward the TPM journey. This followed a joint
agreement between management and union to implement TPM in the organization.
Further, one full time TPM coordinator was appointed and provided TPM instructor
course training from JIPM, Japan. The managers and other employees were trained
through TPM seminars and company visits to have a thorough understanding of TPM
methodology, practices and benefits. Further, TPM organization structure was finalized
for ensuring streamlined implementation of TPM initiatives and realization of true
potential of TPM. Figure 5.7 depicts the organization structure for TPM
implementation for ensuring total employee participation in the WRM.
179
training about TPM methodology. The first phase was preferred for the deployment of
Jishu Hozen Activities. Apart from the same, subcommittees were also activated viz.
Jishu Hozen (Autonomous Maintenance), Planned Maintenance, Kobetsu Kaizen and
Education and Training, Quality Maintenance, Office TPM and Safety, Health and
Environment (SHE). Each subcommittee was managed by a set of officers and
supervisors and the department has one full time TPM coordinator, for coordinating the
various pillar activities.
The key point of TPM deployment had been formation of small groups / teams
of front line operators at the production floor for effective problem solving and
equipment improvements. These teams comprised of small groups consisting of 57
workers lead by a supervisor performed preliminary TPM activities like autonomous
maintenance, focused maintenance and preventive maintenance etc.
A working structure was formulated for the functioning of the subcommittees and
having a review system. Each Pillar Subcommittees used to have its internal review
every week and chief had its review every Fortnight. A steering committee formed at
the apex level of Tata Steel, headed by the Deputy Managing Director Steel used to
review the progress of the same every twice a month. The whole movement was guided
and supported by TPM consultant from JIPM who comes once in every two months to
guide and review the process of implementation.
In August FY02, equipments were taken so as to cover all the equipments in the
department for Jishu Hozen Horizontal Deployment and lastly in March FY03 other
than the equipments in the department rest of the support areas and facilities were
covered with Small Group Activities covering the entire Area of the mill and all the
employees of the department.
180
181
5.3
Machines, under the guidance of JIPM TPM Consultant. TPM implementation started
with the selection of key model machines from different areas and adoption of four key
TPM initiatives autonomous maintenance, preventive maintenance, focused
improvement and quality maintenance at these critical production facilities. The
responsibility for implementation and follow up of TPM activities at each of the
machines was attached to supervisors and engineers concerned with that particular
production activity area.
The Small Group Activities (SGA), driving force behind the TPM
implementation, were then introduced at various manufacturing areas in the plant. The
production operators and executives at various levels and related with the different
organization functions were encouraged to form small group kaizen teams. The process
of taking Kobetsu Kaizen (called as improvement Projects in Tata Steel), started when
the quality movement was started in India. The system of taking big Kaizens before
starting TPM has been shown in Figure 5.8.
182
Thus in this process, the projects were getting completed but there was no direct
correlation with the improvements observed. Also there was double counting. With a
view to channelize the energy in the correct direction, Kobetsu Kaizen pillar was
activated with the objectives as shown Figure 5.9. The basic aim was to sweat the
assets and eliminate / cut down on losses in the system.
183
Target
80
80
120
2.14
70
0.5
56.8
50
0.02
3.5
01
3.5
suggested by JIPM. The various TPM pillar initiatives adopted by the organization
included: Jishu Hozen; Kobetsu Kaizen; Planned Maintenance; Quality Maintenance;
Education and Training; Development Management and Safety Health and
Environment. The strategic initiatives deployed under various TPM implementation
pillars have been depicted one by one. The data reveals that TPM has a huge potential of
affecting systematic improvements in manufacturing system performance and requires
lots of efforts on the part of management to dramatically transform the enterprise for
reaping sustained competitive advantage.
5.4.1
interruptions and failures due to lack of knowledge and ownership about the equipment.
Unorganised work place was resulting in high revival time of Breakdowns and
interruptions as well as making the work area hazard prone. There was a strong sense of
division of work making it difficult to work cohesively between various functions. In a
bid to bring about change in the mind set cluster-manning concept, Quality Circles etc.
were introduced but the expected outcome didnt come through.
The concept of Jishu Hozen was deployed in 3rd phases for various equipments.
In 1st Phase all the critical equipments were planned, in phase 2nd rest of the online
equipments and support systems were covered and in the last phase all the support areas
were covered. The deployment plan for the same is depicted in Figure 5.10.
184
created. The TPM circles work on the Jishu Hozen 7 step methodology and do the
activities as defined by the step. The resources if any are provided through the team
leader and for proper guidance at each step, the same is being provided with the Jishu
Hozen Pillar team, which constitutes of officers from the department. Autonomy during
the working for the TPM teams and the leader was provided as far as possible. The
working methodology of the TPM Circles is shown as in Figure 5.12.
186
[[
187
5.4.2
188
Table -5.4 Planned maintenance support during each step of Jishu Hozen activities
Jishu Hozen Steps
Step-1: Initial thorough
cleaning
189
Table -5.4 Planned maintenance support during each step of Jishu Hozen activities
Jishu Hozen Steps
Step-2: Countermeasures
against the sources
contamination and Hard to
access areas
Step-3: Preparation of
tentative C, L, I, T standards
There is lot of cohesion between the operation and maintenance team at all
levels. At worker level there are Kaizen teams for the each equipment where both
operation and maintenance workers are part of each team. Similarly at officers level the
PM Team consists of members of maintenance and operations working towards
improving equipment availability and reducing number of stoppages. Daily review
meetings are held at Chiefs level where members from operation and maintenance are
present to discuss daily performance and to improve equipment and plant performance.
Shutdown meetings are held by leader of planned maintenance team in which leader of
Jishu Hozen team is also present and the points requiring planned maintenance support
are noted and attended to in the shutdown. The shutdown job list addresses the
requirements of operations groups. In addition to motivate operations and maintenance
group towards common objective of improvement in performance of the department,
same incentive bonus is given to both operation and maintenance based on overall
performance of the mill, in terms of production and quality. A basic Plant Maintenance
(PM) structure existed WRM has been shown in Figure 5.17.
190
Wire Rod Mill has been certified to quality system ISO 9001 and the department
follows the procedures listed down for drawings, calibration of measuring instruments,
control of rolls etc. The rolls are machined in CNC machines as per profile indicated in
the drawing. The drawings are controlled centrally and whenever any change is carried
out, drawing with a new revision number is issued and the previous version is destroyed
by all controlled copy holders. All the measuring instruments have a listed calibration
procedure and records are maintained for the date of calibration, next due date.
Calibration certificate is issued by the competent certifying authority and this is
maintained in the records. Any measuring device that does not pass the calibration test
is discarded. The spares part category is given in Figure 5.18 and trend of spare part
inventory is shown in Figure 5.19. Maintenance costs are determined in terms of
Rupees per ton of production. Maintenance, labour costs and contract labour costs are
separately monitored. Figure 5.20 shows the trend of Maintenance cost.
191
defects through observing required equipment maintenance and achieving zero customer
complaints. The methodology adopted for achieving the QM objectives included:
confirming standard quality characteristics; instantaneously recognition and defection of
defect symptoms and occurrence of defects; assuring product quality; investigating unit
processes, material and energy utilization; maintaining equipment conditions on
production systems; setting 3M conditions and inspection reference values;
standardization of work practices and trend control.
The flow chart shown in Figure 5.21 depicts the methodology adopted to carry
out the activities of the Quality Maintenance pillar to eliminate / reduce the various
causes of defects / defect modes. Once the quality defect modes and the process are
identified and mapped based on above flow chart, also subsequent to the development of
the operating conditions, the parameters already being monitored then are identified.
Check sheets developed for the parameters, which were not being captured is shown in
Figure 5.22. This gave the extent / areas where the particular defect modes were
generated, and which need to be controlled by the pillar.
192
193
Figure 5.22 Check sheet developed for controlling the quality parameters
The check sheets for the ease of implementation were put across the shifts and
functions. The same underwent refinement after some usage and got amalgamated with
the existing check sheets. If the data / conditions set, deviates from the standards,
analysis of the same is carried out and remedial actions like; standards revision or some
kaizen is adopted. The results of overall achievement through Quality Maintenance
Initiatives are as given from Figure 5.23 (a - d).
194
enhancing technical skill level of operators and maintenance men to realize zero
breakdowns, zero defects, zero accidents, and leveraging overall knowledge. The targets
for ET pillar included: realization of zero breakdowns, zero defects and zero accidents
by enhancing knowledge, skill rating with overall average skill matrix.
The prevailing situation before TPM implementation involved: lack of system
for skill identification, training imparted to achieve only number of training man-days /
employee / year, discrimination through repeated training of certain employees, nonevaluation of training effectiveness, and absence of structure for assessing training
needs and training the employees. Also the training system was focussed on the number
of training man days provided to the employees. The effectiveness of the training was
not being captured and monitored. Also the training imparted was not fully based on the
needs employee-wise but on a generalized basis for a set of employees doing a
particular job.
This resulted in a situation where the person, even though had the skill to tackle
a situation and perform his job, was send to the training repeatedly. In light of the above
drawbacks, Education and Training pillar was initiated with the twin objectives as given
in Figure 5.24. And taking a clue from the drawbacks of the previous system, the
needs for the future system were drawn out as shown in Table 5.5.
195
S. No.
3
4
For officers a Personal Development Plan (PDP) was developed and for Supervisors and
workers a Training Need Survey (TNS) was done. For supervisors and workers
(unionized category), the inputs to the above were taken from:
Past performances (Feedbacks of superiors): How the person has performed at the
field / workplace in the last one year, expertise in conducting his jobs, attitude,
commitment and enthusiasm towards performing his duties and any self initiated
Good Jobs performed by him.
Futures expectations: plans of the company, new upcoming technologies, market
predictions.
196
Figure 5.25 System of sharing knowledge with the employees after TPM
197
198
5.4.5
and maintaining zero accident level, and creating a healthy, clean working area. The
strategic initiatives under the SHE pillar to achieve the aforesaid objectives included
adopting safety measures to protect production operators from equipment accidents,
making operations safe and promoting a cheerful working environment, adopting
appropriate measures to achieve environment protection (noise, vibration, heat, smoke
etc.), paying attention to health and hygiene of employees.
As the background issues for undertaking Safety, Hygiene and Environment (SHE)
initiatives at WRM plant included:
Visibility of the unsafe conditions even after logging in to Log Book was poor.
clean environment to its employees and other stakeholders as an integral part of its
business philosophy and values. For which they modified SHE working structure which
is shown in Figure 5.30 and various aspects of Environmental protection at work place
has been shown in Table 5.6.
3.
4.
5.
Characteristics
Noise
Emission
chimney
from
Hazardous
waste
generation
Waste Oil Sludge
Auto Emission
Smoke
Specific Energy
Frequency
6 Months
6 Months
1 Year
Monthly
6 Months
Monthly
Maintained by
EMS
Co-ordinator
Process
Manager
Rolling
Process Manager
Rolling and Sec.
head Mechanical
Supply
Management
All concerned
200
Protection
Use of ear plugs and ear muffs
if noise level > 80 db.
Keep emission within 150
mg/Nm3. Milligrams per cubic
meter (at normal conditions)
SHE initiatives at WRM plant establish with a vision that WRM will continually
enhance the Environmental, Occupational Health and Safety (EHS) performance
activities, products and services through a structured EHS management framework and
towards this commitment, it shall:
1. Establish and achieve EHS objectives and targets.
2. Ensure compliance with applicable EHS legislation and other requirement and
go beyond.
3. Conserve natural resources and energy by constantly seeking to reduce
consumption and promoting waste avoidance and recycling measures.
4. Eliminate, minimize and / or control adverse environmental impacts and
occupational health and safety risks through adopting appropriate State-of-theart technology and best EHS management practices at all levels and functions.
5. Enhance awareness, skill and competence of employees and contractors so as to
enable them to demonstrate their involvement, responsibility and accountability
for sound EHS performance.
The results of overall achievement through Safety, Hygiene and Environment are as
given from Figure 5.31 (a-d).
201
Figure 5.31 (a-d) Results of overall achievement through Safety, Hygiene and
Environment
5.5
(a-p). The study has revealed that holistic approach towards TPM implementation has
resulted in host of benefits for the organization. A brief account of benefits realized by
making proactive investments in TPM initiatives has been presented below to highlight
the contributions made by TPM initiatives in enhancing the manufacturing performance.
Some of the intangible results which are very evident are as follows
(a) A sense of self-prestige in the employees for being their plant clean and
arranged compared to other plants.
(b) Better communication between the various functions. People al last started
looking at the problems in the mill above their functional responsibilities.
(c) Employees are coming forward without any hesitation for implementing any
kaizen.
(d) A culture developed where people started being more open to sharing
knowledge and developing their colleagues.
202
203
204
205
206
5.6
department only, rather than being understood as a tool for gaining competitive
advantage by focusing on customer requirements. Similarly, maintenance was also
treated as a low profile job with its scope limited to breakdown and preventive
maintenance. The strategic implications of quality and maintenance to improve
competitiveness have been realized by many business captains in the beginning of last
decade. Now days modern organizations are implementing various quality initiative
programmes like Total Quality Management (TQM), Total Productive Maintenance
(TPM), Six Sigma, Business Process Reengineering (BPR), Lean, and International
Organization for Standardization (ISO) simultaneously to achieve synergy. All these
approaches have different orientations, but over the last couple of decades, TQM and
TPM have become key concepts for enabling organizations to meet and conquer
fierce competition. Many manufacturing companies have implemented at least one of
these improvement programs or even both of them for strengthening their competitive
position.
Total Quality Management and Total Productive Maintenance have gained
considerable acceptance in a organizations to take on the challenge of fierce global
competition. These two improvement drives are being adopted and adapted for raising
performance standards of a company to world class level.
Though TQM is defined as an approach for improving effectiveness and
flexibility of business as a whole. It is a way of organizing and involving the whole
organization, every department and every individual (Oakland, 1988). Similarly TPM,
as defined by Nakajima (1988), is plant improvement methodology, which enables
continuous and rapid improvement of manufacturing processes through use of
employee involvement, employee empowerment and closed loop measurement of
results. Both are considered as comprehensive management strategies, which are
built on a common foundation of continuous improvement and organization-wide
involvement, but with different focus areas, i.e. quality and maintenance respectively.
With the same above mentioned vision for attaining synergic benefits Total
Quality Management (TQM) practices was started at Wire Rod Mill (WRM) in FY04
at Tata Steel. TQM was started in view to support already functioning TPM
207
5.6.1
create value by becoming Economic Value Addition (EVA) positive through sweating
of assets and (b) Serving the Individual house builders (IHB) through an organized
retail network. These business objectives called for TQM practices focusing on cost
and productivity so that the LP division could become more effective and efficient in
its operations. At the same time Retail Value Management was taken up as the key
TQM practice, which would help us build relationship with channel partners and
enhance satisfaction to customers (IHBs). Therefore the TQM objectives have been
envisioned to create specialists in problem solving across the organization to address
the objective of becoming EVA positive and de-commoditization through Branding to
address the second objective of serving the IHBs through an organized retail network.
208
In the current period (FY04-06) there has been a paradigm shift in the
business objectives in terms of becoming more pro-active with the customers. The
division realized that with limited volume of production it had to create differentiation
in the market by constantly identifying the latent needs of the customer and
translating them into new product and service features. Also partnership with the
demanding, hi-end leading Construction companies was important to remain far ahead
of its competitors. The division also realized that in the retail segment the local
competition has been quick to copy the new product and service offerings of LP
Division. Thus the organization has to become flexible and agile by aligning the goals
of the various departments. One of the key success factors to enable this is to propel a
culture of cross-functional working across departments. A summary of the past and
the present business objectives has been depicted in Table 5.8.
Table 5.8 Business objectives matching the TQM objective
Past (FY01-03)
TPM ALONE
Business
Objective
TQM
Objective
Enhance
Customer
Satisfaction
Create Value and
Build
Relationship
with Customers
De-commoditize
Rebars
through
Branding
Stretch
propel
ideas
Targets to
innovative
Create specialists in
problem solving
Current (FY04-06)
TPM-TQM
Enhance brand image of
Re-bars to the Individual
House Building segment
To be the most preferred
re-bar supplier to leading
construction companies.
To maintain the most
preferred and dominant
supplier status in high
end Wire Rods
Improve margin in line
with
Company
Objectives
Improve frequency rate to
World Benchmark of 0.8
Capture and Address
latent / unstated need of
customers
Bring Flexibility and
agility with culture of
Cross-functional
working
Align
departments
towards common goals
and measures
Continuous improvement
thru benchmarking and
PDCA
209
New segment
Customers
Direct
5.7
framework as articulated in the company. However, the various TQM vehicles as well
as the Focused Methodologies have been suited to the needs of WRM based on the
remaining problems from the past period and the current TQM objectives. The TQM
vehicles and methodologies were mapped against the focused activities related to the
challenging strategies. This was done for all the business objectives. Once this
detailed matrix had been finalized for 80% of the focused activities, department wise
education and training needs were identified and complied across WRM.
5.7.1
was too much of fire-fighting, with focus on the short term only. The Policy
Management System was modified in the current business environment to bring about
more alignment with the customer. Also a drill down of the Means through cause and
effect ensured that only the important means were pursued and reviewed. A PDCA on
the Policy Management system resulted in the new process as outlined in Figure
5.34.
210
211
did not ensure that the right SKUs (Stock Keeping Units) are produced at the right
time and amount and shipped to the right location. Hence, customers most often got
the volumes of SKUs less than their requirement and most often delayed, and as a
result, the delivery compliance remained very low.
With a shift in the policy formulation process, the policies were now derived
from customer focused business objectives and strategies. This ensured that the policy
measure (KPM) changed from what the mills desired (weekly volume dispatch
compliance) to what the customer desired (daily/weekly delivery compliance). A
considerable effort was also put in to understand benchmarks across the best steel
companies. Thus the whole process of identifying policies and setting targets was
revised based on the new policy formulation process. Table 5.9 below illustrates the
change in target setting methodology towards customer orientation.
Table 5.9 Target Setting Methodology for Delivery Compliance
Customer
Requirement
WRM
Performance
FY02
FY03
FY04
Up to
FY03
Daily/ Weekly
Delivery
Compliance
Weekly Dispatch
Compliance
60% to
68%
67% to
78%
Stop this
measure
FY04
onwards
Daily/ Weekly
Delivery
Compliance
Daily/ Weekly
Delivery
Compliance
Not
started
Not
Started
80%
FY05
(Target)
--------------
98%
The Policy Management process had resulted in the following benefits to WRM:
(a)
Only few and important policy items are tracked at various levels.
(b)
(c)
Means and policies are reviewed leading to a better understanding of cause and
effects.
The tracking of the Policy Management system is now done through the 4
Student model and its performance is shown in Figure 5.35 below. There has been
an increase in Student A over the last three quarters in FY06 indicating improvement
in Policy Management system.
212
5.7.1.2
Daily Management
In the past period daily management activities at WRM was confined to
214
5.7.1.3
215
5.8
216
Category
PARAMETER
Bench
Mark
FY01
Unit
Tons / year
285550
325545
62.4
70.2
88.1
Hrs / month
186
72
60
No. / month
316
62
50
Tons / man /
yr
722
877
1345
Performance Rate %
73.2
77.5
92.3
Overall
Efficiency
50.1
60.1
86.4
22
14
150
36
Production
Availability
%
(Calendar Hours)
Breakdown/
Failures
Productivity
Plant
Customer
Complaints
%
Numbers
month
Ton / month
Q
TPM
TPM Alone supported by Achievements depicted
though
FY03
TQM
TQM-TPM
FY06
Questionnaire
FY03
FY06
480000
Process Rejection
(cobble
and %
scraps)
1.45
Rejection
(Monthly)
0.85
0.78
0.36
Quality Rate
90.3
91.7
97.2
Conversion Cost
Rs / Ton
Overall Despatch
%
Compliance
1.1
1550
1520
50
69
0.32
1325
96
Major
Minor
22
12
Safety/ Accidents
Suggestions /
Numbers
Kaizens/ Morale
407
623
217
1432
0.450
0.813
3.601
3.761
<0.001
<0.001
0.583
0.729
3.406
3.870
<0.001
<0.001
0.443
0.496
3.431
3.566
<0.001
0.001
0.494
0.728
3.888
6.549
<0.001
<0.000
0.625
0.761
2.646
3.021
<0.011
<0.005
0.331
0.722
2.239
3.314
<0.030
0.002
218
219
220
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Cost
Safety
Morale
5.9
Remaining Problems
1. Variation in UTS in High
Carbon Wire Rods.
2. Plant utilization not increasing
beyond 81%.
3. Inability to run the mill at
speed of 100m/s due to
entanglements over, Stelmor
Conveyor.
4. Section changing delays.
5. Reduce power consumption.
6. Improve yield.
Future Plan
1.
Use
problem
solving
techniques to reduce variability.
2and3.Stabilize operating and
maintenance practices of Laying
Head and Stelmor Conveyor
through new control logics.
Concluding Remarks
A manufacturing facility has been studied and analyzed to study TPM as well as
TQM-TPM implementation issues, the roadmap followed and the key benefits achieved
from Overall Plant Effectiveness (OPE) as a result of implementing these quality drives.
Through TPM process focus, the cost and quality were improved significantly by
reducing and minimizing equipment deterioration and failures. Cost of rework and
repairs has been reduced due to very limited products rejected due to equipment failure,
as a result of which Number of Major and Minor Accidents has also been reduced and
various other factors along with above has been shown in Figure 5.32 (a-p). Thus, the
overall effectiveness at WRM plant improved significantly as shown in Figure 5.32
(e). As a result overall productivity of WRM also increased as shown in Figure 5.32
(c).
Later on TPM has been supported by TQM which embraces the philosophy,
principles, procedures, and practices necessary for providing customer satisfaction as
well as achieving productivity and business performance in the manufacturing industry.
The above approach of combining TQM with TPM implementation has resulted in host
222
of benefits for the organization. A brief account of tangible benefits realized by making
proactive investments in these initiatives has been presented in Figure 5.39 (a-p). The
tangible benefits also include reduction in quality, costs, better employee job satisfaction
because they do not need to attend to defects and client complaints, recognition by
clients, work carried out correctly right from the start, subcontractors with proper
quality management systems, and closer relationships with subcontractors and suppliers.
Intangible TQM-TPM performance measures have been reflected through top
management
commitment,
customer
involvement
and
satisfaction,
employee
223