Professional Documents
Culture Documents
MPE-14, NMIMS
Executive Summary
Competitive Strengths: Beautiful product, great designs, classy printing, handling of innovative
and difficult package design and the ability to fold and glue the complex blanks
Specialized in innovative packaging solutions along with full service from design to final delivery
They also work closely with customers to develop the design as per their need
X The company does not have a method of determining the priority of orders
X Family member Neil Rand running expedites and not caring about the computer scheduling system
Problem Statement – Delivery, Quality leading to Net Loss
Time to process order (30000 piece * Time per piece) 75 Minutes Time per sheet (1 sheet = 3 piece) 0.0025
Set up time 2,5 hrs 150 Minutes
Total minutes per order 225 Minutes gang 2 orders in a batch, number of pieces in batch 60,000
Total capacity of Die-cut center in pieces 120,000 Pieces Set up time 2,5 hrs 150 Minutes
All orders are ganged Total minutes per batch 300 Minutes
Total minutes per day 900 Minutes Total capacity of Die-cut center 4 Orders
Minutes required for one required set up 150 Minutes
Total capacity of Die-cut center in orders 6 Orders
Remaining available minutes for running orders 750 Minutes
CASE - 1 CASE - 2
40 orders require 40 set ups (no partials) 40 orders require 80 set ups (no partials)
Total number of set ups 40 + 37 77 Setups Total number of set ups 80 + 37 117 Setups
Total set up time 231 Hours Total set up time 351 Hours
Total number of working hours for three machines (347 * 3) 1041 Hours Total number of working hours for three machines (347 * 3) 1041 Hours
Time left for folding and gluing (1041 - 231) 810 Hours Time left for folding and gluing (1041 - 351) 690 Hours
Time required for F&G of one piece 0.0023 Minutes Time required for F&G of one piece 0.0023 Minutes
Number of pieces to be folded and glued 21,130,435 Pieces Number of pieces to be folded and glued 18,000,000 Pieces
Order size to the Royal / Queen and Staude work centers
Number of Set up per Total set up Speed per machine Speed per work center
Work center
Machines Machine Time (minute/piece) (minute/piece)
Royal / Queen 3 180 540 0.0023 0.00077
Staude 4 40 160 0.015 0.00375
Difference in setup time 380 minutes
in 380 minutes, Staude center can process 101,333 pieces
380
minutes
set up time needed to set up the same order
on Royal Queen, the Staude can produce
101.333 pieces
98
minutes
Will take Royal/Queen to catch up after both
machines are operational
127.506
pieces
Above orders should be routed to the Staude
Recommendations Focused on Effectiveness and Efficiency
Increase capacity by allowing for Manage variability better by managing of Increase capacity by investing in
overtime demand e.g. introducing price reductions additional equipment
for bulk orders
Daily meetings Introduce a companywide ERP
Increase capacity by widening the bottle system in order to schedule
Prioritizing orders (e.g. red flags for
neck (e.g. extra shift on the Heidelberg production in reliable, achievable
rush orders) and weigh the
press) way that is adhered to by all
consequences of rush orders for the
departments (including sales). This
remaining orders, therewith Introduce pre-Work Order Jacket – a
should result in fewer rush orders,
optimizing the number of rush report that is sent to other departments
fewer partial orders and less
orders when the prior department starts working
unnecessary set up time.
on and order. This way, the later
Increase / improve maintenance on
department knows what orders are on the
machines in order to increase quality
way in couple of days.
THANKS