2011 Industrial Placement Final Report

Farhan Kamal MEng Mechanical Engineering with Management The University of Edinburgh Mercedes-Benz Malaysia (MBM) Quality Management (QM) Intern 04-Aug-11

Industrial Placement 2011 Final Report
Mercedes-Benz Malaysia Kamal, Farhan 1. Company Profile-MBM MBM Brief Profile Mercedes-Benz Malaysia Sdn Bhd (MBM) is a joint venture between Daimler AG and Cycle & Carriage Bintang Berhad and it was incorporated on 1st January 2003. At present, it employs over 300 employees with its administrative and sales office located at Menara TM in Kuala Lumpur while its production plant is located at Pekan, Pahang. MBM manages the wholesale distribution of Mercedes-Benz, and Mitsubishi Fuso vehicles, service and spare parts as well as software development for global sales solution and automotive apprentice training. MBM has a retail network of 59 authorized dealers for the Mercedes-Benz, Smart and Mitsubishi Fuso brands (Mercedes-Benz Malaysia (MBM)). At the production plant, there are two main production lines: Passenger Car (PC) line that produces 12 C-Class units, 12 E-Class units, and 2 S-Class units daily; Commercial Vehicle (CV) line that produces 10 Light Duty (LD) units as well as 2 Heavy Duty (HD) units daily. Other niche models like the B-Class, M-Class, C-Class sports coupe, CLK and SL are imported. In collaboration with DRB-Hicom Berhad, a production plant for the local assembly of Mercedes-Benz S-Class, E-Class and C-Class as well as the Mercedes-Benz and Mitsubishi Fuso commercial vehicles was established in 2004. The production plant consists of 4 departments: Procurement and Logistics; Production Engineering; Quality Management and Vehicle Preparation Centre (VPC/PDI – based in Production Plant, under Sales & Marketing management). MBM Vision Mercedes-Benz Malaysia (MBM) consisting of 51% Daimler AG and 49% Cycle & Carriage Bintang Berhad really has the passion for perfection as stated in the quality policy. From the top management down to the executive level, MBM distinctly exudes its drive to maintain the number one position in the luxury car segment as well as its commitment to guarantee customer satisfaction in every unit it produces. Branding With a legacy that stretches back more than a hundred years, Mercedes-Benz strives constantly to remain the finest. The Mercedes-Benz brand name originated from the merger in 1926 of Gottlieb Daimler’s company “Daimler-Motoren Gesellschaft” and Karl Benz’s company “Benz & Cie”. While Benz & Cie kept their original name in their trademark, a completely new and unusual brand name, “Mercedes” which means grace in Spanish, was brought out for the products of Daimler-Motoren Gesellschaft. Page 1 of 48

Industrial Placement 2011 Final Report
Mercedes-Benz Malaysia Kamal, Farhan

As for FUSO, its history began with a single bus, Mitsubishi’s first B46 commercial bus, to which the FUSO name was first applied. Facing the challenges of dramatically changing world, from severe economic trends to environmental issues and ever-increasing globalization, Mitsubishi Fuso Truck and Bus Corporation (MFTBC) became a fully consolidated business unit of Daimler AG, the world’s largest commercial vehicle manufacturer. MFTBC is committed to manufacturing, sales, and service that will earn the acclaim, trust and full satisfaction of its customers. (MBM Intranet) Workforce
Position CEO Vice Presidents General Managers Senior Managers Managers Executives Non Executives Total No. of Staff 1 5 5 14 59 181 42 307

Table 1: MBM workforce by position (Source: MBM Intranet)

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and Commercial Vehicle (CV).Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Human Resource. Information Technology (IT). Page 3 of 48 . Production Plant. Farhan Diagram 1: MBM Organization Chart Overview (Source: MBM Intranet) 2. After Sales. Network Development. Finance & Controlling (FICO). MBM Corporate Structure The corporate organization of MBM may be divided to several key functional departments namely the Sales & Marketing. Corporate Communication.

Diagram 2: Sales & Marketing function cycle (Source: MBM Intranet) After Sales In ensuring profitable growth by considering all aspects of customers’ needs. consisting of Accounting. advertising. Service Marketing (support for dealer network).Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. and putting in place control as well as managing risk to protect company’s resources. warranty claims etc). Farhan Sales & Marketing This department is responsible for the planning. delivery. ordering. is responsible for ensuring accuracy of financial data. and media communication of Mercedes-Benz brand & products. this department consists of three divisions: Part Operations (spare parts etc). and reporting of Mercedes-Benz vehicles as well as for managing the promotion. Page 4 of 48 . Controlling. Technical Support (product training. marketing research. events. and Treasury. enhancing profitability through financial analysis. Finance & Controlling (FICO) FICO. pricing.

it develops and manages the distribution/retail network of MBM products in the market with the target of ensuring that an optimized and professional network is in place. Farhan Information Technology (IT) There are three main divisions within IT department-Office Support. SAP Support and After Sales Support operating in synchrony with a collateral division Technologies Services Solutions Asia (TSS Asia). HR Systems and Processes are fully integrated to the Daimler Group Systems and Processes philosophy as well as working closely with local management and employees in all Human Resource issues and concerns within MBM. relevant government. prospects. TSS Asia has established a group of software experts who focus on providing quality offshore support and maintenance services. Human Resource The responsibilities of this department include working with MBM Management Team in implementing Human Resource activities and initiatives directed by Head Office and/or Regional Office to ensure employees. and private agencies. Network Development As an integral part of MBM. Its roles are comprehensive i. employees. industry analysts and the media. Amongst the main responsibilities of its personnel include translating corporate objectives into a global messaging platform and driving the execution worldwide. Corporate Communication This department is in charge of both external and internal communications and plays a vital role in maintaining a good image of the company with investors.e. from identifying potential candidates to be the dealers through to the process of evaluating and selecting successful dealers and managing the whole dealer network through business meetings and/or newsletters. TSS Asia is a 100% Daimler AG subsidiary that helps Daimler AG maintain its independence in choosing suitable IT solutions by in-sourcing strategic IT competence.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. acting as a corporate liaison with key media. Page 5 of 48 .

Production Plant In collaboration with DRB-Hicom Berhad. market information etc internally within MBM and to MFTBC (based in Japan). product planning whenever a new model is introduced. This enables each individual organization to develop the minimum amount of documentation needed in order to demonstrate the effective planning. The production plant consists of 4 departments: Procurement and Logistics. under Sales & Marketing management). 2008) ISO 9001 has always been requiring a “documented quality management system” rather than a “system of documents”. reporting the activities. it is responsible for ordering monthly Fuso CKD. retail. Process-approach ISO 9001: 2008 Quality Management System (QMS) in MBM ISO 9001: 2008 allows an organization flexibility in the way it chooses to document its quality management system (QMS). communicating with government departments for approvals. E-Class and C-Class as well as the Mercedes-Benz and Mitsubishi Fuso commercial vehicles was established in 2004. there are changes in the specifications etc. Through its product management division. Generally.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. (ISO. 3. and marketing activities in Malaysia was established in the year 2005. financial result. operation and control of its processes (e) records required by this International Standard Quality Policy & Quality Objectives It is the responsibility of the top management to ensure that the quality policy (a) is appropriate to the purpose of the organization Page 6 of 48 . a production plant for the local assembly of Mercedes-Benz S-Class. Production Engineering. 2008) (a) documented statements of a quality policy and quality objectives (b) a quality manual (c) documented procedures required by this International Standard (d) documents needed by the organization to ensure the effective planning.(ISO. and control of its processes and the implementation and continual improvement of the effectiveness of its QMS. Farhan Commercial Vehicle (CV) A department exclusively managing Mitsubishi Fuso product. the quality management system documentation shall include the following:. operation. Quality Management and Vehicle Preparation Centre (VPC/PDI – based in Production Plant. fleet.

operation and control of its processes. 2008) Quality Manual The organization shall establish and maintain a quality manual that includes:.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. However. (ISO. These objectives shall be measurable and consistent with the quality policy. 2008) (a) Control of documents (b) Control of records (c) Internal Audit (d) Control of nonconforming product (e) Corrective action (f) Preventive action Documents It may be necessary for an organization to develop documents other than documented procedures to ensure smooth planning. process flow charts and/or process descriptions Page 7 of 48 . Farhan (b) includes a commitment to comply with requirements and continually improve the effectiveness of the quality management system (c) provides a framework for establishing and reviewing quality objectives (d) is communicated and understood within the organization (e) is reviewed for continuing suitability As for the quality objectives.(ISO.(ISO. 2008) (a) the scope of the quality management system. the only documents specifically mentioned in ISO 9001: 2008 are quality policy. There are several requirements of ISO 9001: 2008 where an organization could add value to its QMS and demonstrate conformity by the preparation of other documents although the standard does not specifically require them. and quality manual. These documents may include:(ISO. 2008) (a) Process maps. quality objectives. or reference to them (c) a description of the interaction between the processes of the quality management system Documented Procedures ISO 9001: 2008 specifically requires the organization to have “documented procedures” for the following six activities:. including the details and justifications for any exclusion (b) the documented procedures established for the quality management system. it is to be ensured that these objectives are established at relevant functions and levels within the organization.

This inspection is usually carried out by the workers themselves and in case of any problem. The rework time in Page 8 of 48 . There are four stages of quality feedback loops or control systems that require excellent co-operation and cross-communication between four different departments at the production plant. (ISO. training. MBM implements a 4eyed approach within Quality Management. there are quality gates/stations (Qgates/stations) at which qualified inspectors from the quality management (QM) department conduct the product check verifying CS1. screws and plug connection. the workers will notify the supervisor who will set up an “escalation” model as a problem-solving process. both the pre-processed product and the process itself need to be checked so that they comply with the specifications and work instructions respectively. 2008) 4. skills & experience. Control System 2 (CS2)-Section/ Gate Check At each stage of the production line. in case of repetitive/major defects. All defects are recorded immediately on the job cards and the supervisors will act on those to initiate immediate corrective/preventive actions and they will verify the rework results. Those contents usually involve connection for welding. results of corrective action & preventive action etc. Production Quality Management System (QMS) in MBM Complying with ISO 9001: 2008 and ISO/TS 16949:2009. results of calibration and verification of measuring equipment. It is the responsibility of the supervisor to implement the second hand check on all identified contents according to the control plan.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Control System 1 (CS1)-Regular Inspection Before carrying out a certain process. results of supplier evaluations. Farhan (b) (c) (d) (e) (f) (g) (h) (i) Organization charts Specifications Work and/or test instructions Documents containing internal communications Productions schedules Approved supplier lists Test and inspection plans Quality plans Records Examples of records specifically required by ISO 9001: 2008 include management reviews.

Defects are reported to the supervisor and the auditor checks the rework results. Control System 4 (CS4)-Customer Product Audit (CPA) CPA is described to be a production independent method to verify the quality characteristics of the finished vehicles based on the feedbacks from the customer’s perception of quality and defect on vehicle. The supervisors will act on those reports to implement immediate corrective action and auditors are responsible to recheck all rework activities before stamping in the job cards which will be the last thing to do before sending the products to the VPC/PDI. production volume and actual quality situation (depending on the escalation model result) while the process audit for the whole production line from the warehouse to the VPC /PDI is carried out twice in a year according to a pre-planned schedule. Implementation and findings are recorded in job cards and checksheets and reports will be prepared by the auditors. Farhan the line (Q-Gate) must be less than 15 minutes while it is permissible for the rework time to be beyond that in rework station. Control System 3 (CS3)-Production/Process Audit (PA) PA is a production independent method to verify the efficiencies of CS1 and CS2 in all production stations/areas. The random sample size/amount of audits depends on the Production Audit manual.e. Page 9 of 48 . It covers a static inspection. continuously increasing the productivity. Preventive measures for repetitive defects will be suggested and implemented. dynamic test and rain test. Roles in MBM There have been diverse tasks assigned during MBM placement up to now. (B) Suggesting ways to prevent major problems at the CV line as well as to reduce the defects detected at the quality gates. All tasks are challenging in their own ways and the primary tasks assigned include the following:(A) Providing possible solutions to achieve the company’s target in the Commercial Vehicle (CV) line i. (C) Suggesting a monitoring system that will clearly inform the top management of the real situation at the CV line in terms of the problems and defects. 5. as well as improving the quality standards at the same time.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. reducing costs.

the cause of most quality problems such as the variation in products. The main objectives of this SPC analysis are to determine the effectiveness of CS1 and CS2 as well as to identify the main defects that affect the quality of the finished products (for Light Duty Model only). Farhan (D) Conducting training sessions for the CS1 operators based on the principle “Quality is to be produced. backed by management commitment and good organization. the FG83PE 4 x 4 Pilot Production (H) Involved in the After Sales Field Issues (I) Preparing the weekly Quality Management System (QMS) report (J) Providing a practical solution to the Corrective Action Request (CAR) Data Management System 6. Preventive measures are then suggested based on the cause-and-effect (fishbone) diagrams. The following flow diagram shows the sequence of the quality gates found in the production line.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. in ways of doing things. Page 10 of 48 . 1997). not to be checked” and “Quality starts in CS1” (E) Assisting in the product audit documentation (F) Assisting in the production plant internal documentation audit (G) Involved in CV projects namely the New Tester Line Project. It is a strategy for reducing variability. provide objective means of controlling quality in a production process. Prior to carrying out the analysis. in materials and even in people’s attitudes (Oakland. Streamlining CV Line Statistical Process Control (SPC) Analysis SPC methods. it is imperative that the production process flow for Mitsubishi Fuso TD Canter (Light Duty Model) is carefully studied and understood.

as it is more desirable in terms of time and cost for the defects to be found early in the production process. sanding marks etc. it also means that there might be some problems with the production processes at paint shop and body shop that lead to the more frequent occurrences of the defects. Nevertheless.) and the coating (such as scratches. Farhan FUSO Quality Gate Sequence-CS2 Indicators:*FQG: Final Quality Gate *HAMM: Hicom Automotive Manufacturer Malaysia *MBM: Mercedes-Benz Malaysia *VPC: Vehicle Preparation Centre Diagram 3: FUSO Quality Gate Sequence Trend Analysis A trend analysis of the defects per unit found on TD Canter (LD FUSO) from January 2010 until February 2011 was carried out to determine the correlation between three categories or production stages-body. DPU for “body + paint” should be greater than the DPU for buy-off which is the last process before vehicles are sent to VPC. paint and buy-off 2 (HAMM + MBM).). Since buy-off process is aimed primarily at finding the defects on both the body surface (such as dents etc. the buy-off plot is compared with the “body + paint” plot.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. In general. Page 11 of 48 .

The trend of paint DPU is really a concern as the target DPU for paint is only 4 on average while the trend of body DPU shows that it is on the right track to move below its target DPU which is 2 (the average DPU/month for body in 2010 is 2. The reasons behind the alarming trend of paint DPU will be dissected in the fishbone diagram section. Farhan DPU acc.45 in December 2010 before slightly decreasing in the first two months of 2011. Page 12 of 48 .21).6) and then slumps over a few months until June 2010 and then begins to increase up until 10. It is intuitive to note that the DPU level for body is much less than that of paint due to the fact that there are more types of paint defects in comparison with those of body defects. it can be said that the body DPU is decreasing throughout the period with the lowest being 0.77 in September 2010.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. to Categories 20 15 DPU 10 5 0 M ’1 0 AR CH ‘1 0 AP R ‘1 0 M AY ‘1 0 JU NE ‘1 0 JU LY '1 0 AU G '1 0 SE PT '1 0 O C T' 10 NO V' 10 DE C' 10 JA N '11 FE B' 11 JA N FE B ‘1 0 Body Paint Buy-Off Body + Paint Months in 2010 Indicators:* Peak for each category *DPU: Defects per unit Diagram 4: Plot of DPU according to defect categories from Jan 2010 until Feb 2011 for TD Canter (LD FUSO) The DPU for paint starts with the peak (10. Generally. it can be seen that the DPU level is below 5 except in March 2010. As for body DPU.

00 1.09 Paint 7.87 BuyOff 7.21 Trim 1. thus increasing the production rate.06 U/Body 0.56 0.08 1. Rowlands. In terms of general trend.00 3. With respect to TD Canter (LD FUSO).00 0. The DPU/month table and its Pareto chart are presented as follow:Defect Categories (Sequential) Average DPU/Month Target DPU/Month (<) DPU Difference Body 2.30 0.08 FQG & Mech 0. The biggest difference between these two DPU plots is 7. 2005). two Pareto charts are plotted-the average DPU/month in 2010 as well as rework time (in minutes) according to the defect categories. the DPU level for “body + paint” is higher than that for buy-off for all months except in August 2010.81 which is in December 2010.08 6. 80% of the amount of y-axis variable denotes the main contributor to the problem.08 Table 2: Average DPU/month for TD Canter (LD FUSO) in 2010 Page 13 of 48 .21 2. the production team will have more time to focus on the production process.00 0.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal.39 0. As can be observed from diagram. is used in determining which category/categories contribute the most to a certain problem (George. Pareto Analysis Pareto chart which is a bar chart arranged from the largest to smallest. Usually. Farhan Comparing the buy-off DPU with the “paint + body” DPU is extremely important in order to know how effective CS1 and CS2 are in detecting defects early in the production process so that a lot of time for rework can be avoided and instead.50 0. Price.87 4. the diagram suggests that CS2 (the quality gate control system) works effectively to detect defects early in the process but this also gives the impression that the problems at the stations (CS1) are soaring especially at the paint shop considering the DPU level being well above the target DPU. & Maxey.

Farhan DPU/Month in 2010 acc.00 Average DPU/Month Target DPU/Month (<) Cumulative DPU % Diagram 5: Pareto chart of DPU/month in 2010 according to defect categories The rework time table and its Pareto chart are presented as follow:Defect Categories (Sequential) Longest Possible Rework Time (mins)* Body 30 Trim 60 FQG & Mech 1440 Alarm System/ Spongy Brake U/Body 60 Paint 15 Buy-Off 30 Defect Detail** Remarks:- Dent Alignm ent Leakage Scratches etc Secondary Dent *It refers to the total time for rework to be done (Rework Time + Waiting Time) **The defect that requires the greatest time for rework Table 3: Rework time (mins) for TD Canter (LD FUSO) in 2010 Page 14 of 48 .00 100.00 80.00 0.00 60. To Defect Categories 9 8 7 6 5 4 3 2 1 0 Paint Buy-Off Body Trim FQG & Mech U/Body 120.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal.00 20.00 40.

As for the target DPU/month. The most frequent problems may not have the biggest impact in terms of time. Price.00 100.00 Time (mins) M ec h U /B od y Bo dy FQ G Longest PossibleDe fe ct Cate gories Rework Time (mins)* Bu yO ff & Diagram 6: Pareto chart of rework time (mins) according to defect categories Diagram 3 indicates that paint and buy-off are two main contributors to DPU in 2010 considering that these two categories make up around 80% of the average DPU in 2010. The fact that the average DPU/month for paint is much greater than its target connotes that there might be some problems with the paint process. Pa in t Cumulative Rework Time % Tr im Page 15 of 48 . There is a high possibility that the whole system/part needs to be replaced with a new one.00 90.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Therefore. during the buy-off. the average DPU/month is slightly greater than the target DPU/month for all categories except the paint category. & Maxey. Defects like faulty alarm system and faulty brake require a lot of time in terms of detecting the main causes of these problems. To Defect Cate gories 1600 1400 1200 1000 800 600 400 200 0 102. paint defect is detected most frequently.00 94.00 98. Farhan Longest Possible Re work Time (mins) acc.00 88. paint category will be stressed on in the fishbone diagram section. or costs (George.00 84. Rowlands. another Pareto chart that looks at the impact-the rework time of defects was plotted. quality.00 86. As observed from diagram 4.00 82. it is crystal clear that Mechanical FQG defect leads to the longest rework time. 2005).00 92. Since usually.00 96.

Farhan Fishbone Diagram Cause-and-effect or fishbone diagram is useful in ensuring that a balanced list of ideas has been generated during brainstorming and major possible causes are not overlooked.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Fishbone diagrams for paint defect as well as mechanical defect are as follow:- Diagram 7: Fishbone 1-Paint DPU Diagram 8: Fishbone 2-Mechanical DPU Page 16 of 48 .

A reminder workshop/class to be organized once a week to stress the importance of CS1 inspection and CS2 checking. Farhan Based on diagram 5. Primer paint provides a surface that the final coating can stick firmly to apart from giving more uniform finish. certain primer paint might contain additional materials to protect against corrosion and rust (Wikipedia. Primer (paint)). It has been observed that CS1 inspection is not working effectively. Simple and clear guidelines based on the accepted level of visual appearances(sample border. Lax inspection in CS1 after the assembling of parts at each stationTo confirm with the mechanical assembly supervisor [Procedures]. Not applying primer paint before the final coating makes the final coating vulnerable to sanding marks and this has been confirmed by the inspectors at the paint shop FQG. procedures. workforce. 1. Result (Root Causes)-after observation and investigation No primer paint. 2. facilities & equipment. so it's easy for sanding mark defects to occur-To confirm with the supervisor at the paint shop [his records of defects] Suggested Preventive Measures PAINT SHOP 1. Machine maintenance needs to be done according to the schedulespecific maintenance team? Table 4: Root causes & their preventive measures Page 17 of 48 . after several site visits and investigation. Amongst these four sections. As for the mechanical problems. and after the assembling/installation (CS1)/checking (CS2) of partsCS1 operators /CS2 inspectors are responsible for this. Apart from this.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. prevention is better than cure. machine calibration was not carried out according to the schedule leading to faulty readings at the tester line. the causes are divided into four sections-policies. during. OK /NOT OK) 2. Delay in calibrating the tester TRIM FINAL machine leading to wrong readings given by the machine [Facilities & QUALITY Equipment/Procedures] GATE Applying primer paint before the final coating Inspection before. As the saying goes. there is a problem with the coating system (currently 2 coat system-ED + Final Coat). Furthermore. 2. suggested preventive measures are presented in the table below. it has a great impact-a lot of time will be lost and the production process will be badly affected. MECHANICAL. whenever it occurs. Though mistakes do not occur frequently. the root causes also lie in the procedure section.

it is suggested that a class/workshop is conducted once a week and the session (comprising a small group) should only last for about half an hour. The main purpose of this CS1 training is to strengthen the quality foundation of CS1 as well as to motivate the production team in improving their work quality in line with CS1 philosophy. it is proposed that the training is held on the second and fourth Friday. For instance. With respect to the CS1 & CS2 training. Training Materials CS1 awareness training will be held in two stages: the first stage will be aimed at Light Duty (LD) CS1 operators while the second stage at Heavy Duty (HD) CS1 operators. CS1 Awareness Training Objectives A Statistical Process Control (SPC) analysis had been carried out to identify the root causes of the major defects detected in the TD Canter production line. Page 18 of 48 . Since there is no LD production on every Friday in April. it was believed that its root causes lay in the lack of procedural enforcement. it was strongly recommended that a proper CS1 training specific for Commercial Vehicle (CV) production team is conducted over a planned period of time considering that no CS1 training for CV had been conducted before and the fact that quality starts with CS1. With respect to the mechanical defects that led to a lot of time lost. Apart from that. it is hoped that valuable feedbacks can be gathered from the participants with regard to any difficulty in upholding and practicing the CS1 standards. there will be a trainer from each of the PE and QM departments. As for the trainers. The exact time for the session will be decided later. Farhan Follow-up actions with regard to the preventive measures have to be further discussed with other departments. Monitoring the progress in CS1 inspection is also equally important. faulty alarm system was attributed to the lax inspection in CS1 while suspected spongy brake case to the delayed calibration of the tester machine which fell under the maintenance team’s responsibilities. Having mentioned the above results from the SPC analysis. The trainer from the QM department will talk about the general philosophy of Total Quality Management (TQM) as well as the QM documentations whereas the trainer from the PE department will talk about the details and extra information related to CS1 as well as PE documentations. One thing that has to be considered whether to apply the primer paint or not is the cost involved in transforming the paint process from 2 coat system to 3 coat system.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal.

Question by question count approach has been used in this analysis that will be guidance for the trainers in improving their explaining in certain segments of the training materials. It has been found that generally. participants obtain more than 60% which means that their level of understanding during the training session can be regarded as very good. the effectiveness of the CS1 Awareness Training was assessed at the end of the training session via multiple choice answers tests and questionnaires to be completed by all participants. Farhan A CS1 syllabus will be drafted based on the CS1 Handbook and the Quality Management Handbook as well as other relevant sources.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Marks from the tests were categorized into several levels of marks directly indicating the participants’ level of understanding. (See appendices) As for the feedbacks. a new transparent monitoring system has been proposed with the monitoring team having the responsibility to produce a report after a certain period of time. the evaluation has passed through two stages namely the reaction as well as the learning stage. 4 stages of evaluation has been considered. Since the current monitoring system lacks a lot of things for it to be used as a platform to go through the last two stages. The marks from the tests as well as inputs from the questionnaires are to be fully utilized for future programs. These stages can be concisely described as follow:(a) Reaction Stage: Feedback gathered during the training (b) Learning Stage: Results from the post-training tests & questionnaires (c) Behavior Stage: Observed during the production process (d) Effectiveness Stage: Analysis of the problems and defects detected at the production line So far. Page 19 of 48 . (See appendices) Further analysis has also been conducted by identifying the question that has been answered correctly by most of the participants and the question that has been answered wrongly by most of them. In evaluating the effectiveness of the CS1 training conducted in terms of improving the role of CS1 operation to produce quality. Analysis of the Training Effectiveness As for the evaluation. verbal feedbacks have been gathered from the participants during the training session while written feedbacks have been extracted from the questionnaires filled up by all the participants and these will definitely be dissected further. Concise yet illustrative presentation slides will be made based on the aforementioned syllabus and those slides are to be adjusted so as to make all CS1 operators fully understand the contents.

only a staff from a department will be assigned to be in charge in solving the problem while other staffs from other departments will not take any effort to help solving the problem even though the problem might be relevant with their job scopes. The session should last between 30 to 40 minutes and the team will monitor the production line afterwards to make sure that all preventive measures are carried out up to the required standard. The main objective of this Kaizen team is to prevent major problems from occurring during the production process. a monitoring team consisting of staffs from the Production Engineering (PE) department. there shall be a monitoring team whose main task is to monitor the problems or defects detected in the production line and carry out certain analyses in order to come up with preventive measures every two weeks. Whenever there is a problem occurring at the production line. there is a high possibility that the whole production line will be stopped and the company will incur a substantial amount of losses in terms of productivity. Page 20 of 48 . the Quality Management (QM) department and the Logistics department that has the main task of monitoring the defects as well as problems detected in the production line and carrying out the SPC analysis in order to come up with preventive measures every two weeks. There will be a multidisciplinary team consisting of staffs from the Production Engineering (PE) department. and faulty parts (might be due to supplier’s fault or damage during the handling by logistics staffs). Farhan Transparent Monitoring System (TMS) Follow-Up Action: Kaizen Team As a follow-up action to the CS1 Awareness Training that has been carried out.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. It has been observed that the teamwork between different departments at the production plant is very much lacking particularly at the executive level. In the event of major problems such as machine’s faulty reading. Why cross-disciplinary monitoring team? Hence. the Quality Management (QM) department as well as the Logistics (LO) department shall be set up for the sake of expediting the problem solving process and coming up with more comprehensive and reliable decisions. parts not being available. A small group of operators will be called upon once in every two weeks by the team so that the preventive measures can be properly explained to them.

the main purpose of the setting up of a cross-disciplinary monitoring team is to prevent major problems in the production line and to further reduce the Defects Per Unit (DPU) in the long run. thus might be more worthwhile to be implemented. Page 21 of 48 . the maintenance operation. a report consisting of the Cause & Effect analysis as well as a list of preventive measures should be presented to the upper management for immediate actions.(Oakland. and experience. (Job Satisfaction) • Problems that cross departmental or functional boundaries can be dealt with more easily. Based on the aforementioned statement. In line with the company’s mission to increase productivity and to reduce costs as well as to improve the quality standards of the units produced at the same time. (Speed/ Efficiency) • The approach boosts morale and ownership through participation in problem solving and decision making. it is much more favorable to the company if preventive measures are stressed instead of always coming up with corrective measures whenever a problem arises. (Complexity) • Problems can be solved more efficiently due to the fact that a team possesses a greater diversity of knowledge. Farhan The team approach to problem solving has many advantages over allowing individuals to work separately:. With regards to the time frame. The measures or actions can be categorized into several headings namely the LO supply management. and the supplier management (managed by QM). the Pareto analysis. (Effectiveness) • The quality of decision making in good teams is high. it is suggested that after 2 weeks of monitoring. the production/ PE. Afterwards. 1997) • A greater variety of complex problems may be tackled. skill. and Cause & Effect analysis prior to a brainstorming session that will produce a number of ideas that can be taken as the preventive measures. Implementation Plan It is proposed that 2 staffs from each department work together in carrying out the SPC Analysis –the trend analysis. (Quality of Decisions) Purpose of Project “Prevention is better than cure”. the team shall continue with their monitoring until a month has passed and they have to present a complete report of the SPC analysis and the preventive measures in an easy-tounderstand format.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal.

Farhan Evaluation The evaluation of the effectiveness of the monitoring process depends on the results presented by the monitoring team. it is hoped that the number of major problems at the production line can be reduced to an extent at which the production can run as smoothly as possible towards achieving the company’s target. Diagram 9: General Overview of the Transparent Monitoring System Page 22 of 48 .Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Eventually. This is of the utmost importance since the measures proposed by the team have to be effective and have to be implemented according to the team’s proposals. Less effective measures might have to be replaced with more effective ones. It will be known whether the same problem occurs over and over again even though preventive measures have been proposed and presented. Less preventive measures proposed as the time passes by might most probably indicate that the number of major problems at the production line has been reduced.

The daily problem report sheet can be viewed in the appendices. this kind of problem happened twice last week. Nonetheless. causes are clearly stated in the weekly problem report. the CV line’s supervisor was assigned to present a weekly problem report which comprises the daily problems identified at the assembly line (both mechanical and trim). This means that the root causes of the problems have to be identified. One week has passed and the first weekly report has been obtained. Meanwhile. Though this is just a possibility. this has caused the units in the buffer area to overflow due to lack of space. As mentioned before. For instance. Farhan With reference to the general overview of the transparent monitoring system. The Maintenance Team which is under the Production Engineering (PE) department managed to repair the hoist in 30 minutes on average causing the assembly line to stall for that period of time. there were two main problems at the line and these can be summarized as follow:NO PROBLEM AVERAGE REMARKS TYPE DOWNTIME (STATEMENT OF PERIOD CAUSES) Fog Lamp not fitted Material One Whole Still waiting for CKD Day supply from Japan Hoist Breakdown Machine 30 minutes Cable problem Table 5: Summary of CV Assembly Line Weekly Problem Report PROBLEM 1 2 Based on the table above. only one lot (consisting of 12 units) of CKD supplies has arrived while the rest of the supplies are expected to arrive next week (third week of July 2011). However. which is due to the shortage of parts. the first problem. these on-the-surface causes are not sufficient for the monitoring team to suggest preventive measures. the root cause might be the fact that the maintenance team is not carrying out maintenance works according to the schedule. it has to be investigated further. As for the frequency. In the ‘remarks’ column. As a conclusion after a cross-departmental meeting at the executive level. did not cause the assembly line to cease but since cripple units were produced. the units could not be inspected by the Quality Management (QM) team. Up until now. This led to a quick decision by the upper management to store the units in the buffer area while waiting for the CKD supplies to arrive. The first problem is within the job scope of the Logistics personnel while Maintenance personnel are responsible for the second one. as for the hoist problem. the supervisor was required to state the causes of the problems identified at the CV assembly line whenever possible.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. the causes of the problems are clearly stated. Page 23 of 48 .

The TMS now looks like the following diagram:- Diagram 10: New Transparent Monitoring System (TMS) As shown in the diagram above. Farhan After considering suggestions from MFTBC technical assistants. CS3 auditors would submit a weekly product audit report to the supervisor/leader of the CV line so that the supervisor/leader could present both Daily Problem Report as well as Product Audit Report to the monitoring team. the following process flow of the TMS has been presented to the monitoring team:- Page 24 of 48 . In order to clearly clarify the actual sequence of events in the TMS. it has been decided that the problems detected during the product audit (PA) sessions also have to be considered by the monitoring team.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal.

Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. There is a need for a visionary leader in the team itself so that practical preventive measures could be suggested on a continual basis and all these measures are implemented by the concerned operators/inspectors in a way that is up to the team’s expectations. “One person seeking glory does not accomplish much. 2002) Findings as well suggestions obtained from the trial run would be presented to the top management for due considerations. (c) Teamwork. Farhan Diagram 11: Transparent Monitoring System (TMS) Process Flow With 2 weeks before presenting the trial run results of this transparent monitoring system (TMS) to the top management. If the top management desires for a Kaizen (continuous improvement)based monitoring at the CV line. These are presented as follow:(a) Strong leadership in the monitoring team. their commitment is undeniably crucial. Page 25 of 48 .” (Maxwell. requirements for a successful monitoring system have been identified. (b) Commitment from the top management. Success is the result of people pulling together to meet common goals. It would not suffice if only the employees at the executive level are committed in implementing this monitoring system.

4 x 4 transmission mode can be switched off. With the introduction of this new project. As for the cabin. production engineering. Page 26 of 48 . Farhan 7. Apart from this. All modifications are to be planned and implemented by the production engineering department. a new stud welding jig has to be ordered from the supplier. This project involves all departments of the MBM production plant-logistics. It is divided into four sections: body shop. New Model FG83PE 4 x 4 Pilot Production Project Overview This new project aims to facilitate the production of a new Mitsubishi FUSO model and it involves several changes to the previous FE 4 x 2 models. thus a new roller for the front wheel is unnecessary. and tester line. The main alteration is the transmission system from rear wheel drive to all wheel drive. there have been uncertainties as to whether the front wheel should also be aligned as well as whether the braking force value is the same as that of the previous model. there has been a major problem with the tester line due to the fact that the existing tester line can only cater for models with 4 x 2 transmission system. In the quality management (QM) department. assembly. and VPC/PDI. initially the production engineering (PE) team thought that the tester line has to be modified by putting a roller for the front wheel as the front wheel will also spin. it starts with a work package that comprises all things necessary for quality inspections to run smoothly and efficiently. Nonetheless. The project started with the initial discussion of the work package among QM staffs to determine whether any adjustment to the inspection/quality documents such as the travelers and inspection manuals. after a correspondence with MFTBC. It is the responsibility of the QM staffs to make a pre-control plan based on the Failure Mode & Effect Analysis (FMEA) which is under the responsibility of the PE team. Other than this. training plan and a few other things is necessary. PE now understands that there is a transmission selector switch inside the cabin which means that during the speed test. chassis frame. At present. the list of inspection tools. since the frame design is different. the frame stand has to be modified according to the instructions from Mitsubishi FUSO Truck & Bus Corporation (MFTBC). Project Planning The first stage of any project involves a thorough planning from all departments. quality management.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal.

MBM has decided to delay the pilot production of the new model-FG83PE 4 x 4 to an unknown time. There is a high possibility that the new project will start off next year since Japan requires at least a year to recover from the aftermath of the tsunami and the radiation leaks. Manufacturing of jig and welding equipment by MBM. the pilot production would be carried out from the 25th to 29th of July 2011 with a few technical assistants from MFTBC coming to MBM production plant to advise in several aspects of the new model production particularly in the assembly line. Technical Assistance for frame and chassis Mass production. Considering this major problem. has been postponed to the last week of July 2011 due to the tsunami disaster and the nuclear crisis in Japan. Malaysia has also been reducing its production rate as CKD kits for Mitsubishi Fuso are rapidly diminishing and new kits have not arrived in Malaysia since the end of March this year.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Farhan The schedule summary for the new project is as follows:Time Period Apr '11 until May '11 Activities Indicators:MFTBC-Mitsubishi Fuso Truck & Bus Corporation MBM-Mercedes-Benz Malaysia Table 6: FG83PE 4 x 4 project schedule summary Impact of Tsunami in Japan Oct '10 until Mar '11 Drawing by MFTBC. Sales Due to the impact of tsunami as well as the radiation leak issue in Japan at the moment. According to the confirmed schedule. CKD plant in Pekan. Manufacturing of frame by MFTBC Jun '11 until Aug '11 Pilot production. Tokyo. Page 27 of 48 . MFTBC has been slowing down its operation since certain part supplies fail to reach their major plant in the area of Kawasaki. New Date for the Pilot Production New model FG83PE 4 x 4 pilot production which was previously scheduled to be in April. As a result of this.

there were a lot of issues during the assembling processes and during the inspection. this checklist ensures that 4M (Man. the underlying issue is the fact that the parts list does not always Page 28 of 48 Process Name . at the Frame Line. Nonetheless. Most often than not.C003 Paint Shop -Appearance/function Weather strip Refer to inspection wise not satisfactory squeezed out manual Gap Standard Table 7: Basic example of what can be included in the pre-control plan (b) Preparing station release checklists at every stage of the production i. Essentially. Checking Item Specification Product Process Assembling grommet. It is not uncommon for lots of issues to be raised during the pilot production. This can be achieved in two ways:(a) Preparing a pre-control plan which is based on the Probable Failure Mode and Effect Analysis (PFMEA). Pre-control plan is a comprehensive list of preventive measures that are being taken by MBM from when the parts arrive at the warehouse until one whole unit is bought off prior to delivering it to the Sales & Marketing personnel. With regard to this. Machine. Farhan During the pilot production. Method) and 1E (Environment) requirements at every station are met. Material. MBM has been proactive by preventing the problems that might occur during the pilot production.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Final Wrap-Up Meeting During the pilot production. and MFTBC technical assistants. Invaluable feedbacks and suggestions were also received from the MFTBC technical assistants. Body (Cabin) Shop. a wrap-up meeting would be conducted daily to highlight the problems of the day and to discuss ways to overcome them. Paint Shop. and the Assembly Line. HAMM representatives.e. all issues were put under control during the final wrap-up meeting between MBM representatives. Part damaged Not allowed cab lock Under tightened Not allowed (Refer to AOS) -existing sealant hole No proper Refer to Paint application of inspection Standard sealant from TM510 . Example of the station release checklist can be viewed in the Appendices.

Farhan tally with the Assembly Operation Sheet (AOS). This issue is a common one but inspectors need to consider a few extra components to watch on during the inspection. After the inspection at the tester line. A checking instruction will be drafted for the inspectors.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Page 29 of 48 . (b) The continuous improvement process at the CV line is still very much lacking and there is not constant monitoring by the leader. These issues include:(a) Whether the axle oil and gear oil inspection has to be done or not. amongst others. During the wrap-up meeting. (b) Hoses touching each other or other components. there were a few arguments. there are certain conditions that can be felt and these have been properly taught by the MFTBC QM technical assistant. it has been proposed that the unit should be brought along the test track and 3 running modes of the unit should be tested. even though there is a possibility that the oil might get contaminated. (c) Counter measures have to be proposed after carrying out the product audit sessions. The MFTBC QM technical assistant carried out several audits on the finished units and raised a few issues. invaluable suggestions/feedbacks were received from the MFTBC technical assistants with respect to streamlining the CV line:(a) It has been suggested that the CS1 operators check or mark the torque tightening of nut immediately after tightening. (c) High/low gear switch cable interchanged with 2WD/4WD switch cable. There are two switches on the right hand side of this model’s instrument panel and these switches (2WD/4WD switch & high/low gear switch) are not available on the previous models. considering that there were major cases that happened years ago in which the axle oil was not filled up in a few units and those units failed during the delivery to the dealer. For each mode. so that there will be no nut left unchecked. The issues raised. include the following:(a) Left Hand Side (LHS) bracket harness stud was too short (b) 2 horns had been received for each unit but there was only 1 horn drawn in the AOS (c) There was a need for longer torque wrench to easily tighten certain nuts One thing worth mentioning about this new 4 x 4 model is the 4WD function check. A checking instruction needs to be drafted as a guidance for the workers in charge of the tester line inspection. but the final decision is to continue inspecting. in order to know whether 4WD works perfectly or not. During the final wrap-up meeting.

(e) Modification of the engine hanger to avoid damage to the engine. Farhan (d) Proposal for an additional subassembly station for fuel pipe assembly on fuel tank to expedite the production process. Page 30 of 48 .Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal.

MBM – Mercedes-Benz Malaysia. Page 31 of 48 . Apart from that. ISP – Inspection. BO – Buy-Off. MBM intends to have its own tester line and shower test facilities (MBM is currently sharing the facilities with Isuzu) so that the production line would run smoother and more efficiently. Mini Projects New Tester Line & Finish Line Project for CV (Commercial Vehicle) Line Indicators:FQG – Final Quality Gate.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Farhan 8. HAMM – Hicom Automotive Manufacturer Malaysia. the current layout involving both LD and HD has to be altered. VPC – Vehicle Preparation Centre Diagram 12: The current production process flow/layout In order to increase the production rate. The vacant space in the production line will be utilized for this purpose.

This bay is very important in MBM’s efforts to substantially reduce the DPUs (Defects Per Unit) detected at the buyoff area. requirements. and suggestions by all 3 departments. there will be a new inspection bay called the Visual Check Quality Gate after the shower test and before the buy-off. As for the QM (Quality Management) department.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. methods and the environment. 2 main requirements have been conveyed to the project leader: inspecting the product quality by having inspection bays for every production stage including the product audit bay. fulfilling the process quality requirement such as the manpower. environmental issues such as the drainage system for the spray booth (b) LOG: making sure that the logistics team has enough space to deliver the parts/items. Farhan In the new layout. materials. machines. Page 32 of 48 . Progress of the New Layout Project After several meetings between the 3 departments in the production plant chaired by the PE (Production Engineering) team. there have been a lot of feedbacks. A lot of issues have been raised during the meetings and the main issues are summarized as follow:(a) PE: proper location of the frame spray booth to make the line run smoothly.

(Cycle Time Reduction) Page 33 of 48 . There are a lot of factors that determine the amount of cycle time for a given production line. The ‘Taktzeit” concept aims to match the pace of production with the customer’s demand. if the inspection time is much less that the “Taktzeit”. Since these quality gates are incorporated in the production line. inspection time that exceeds the “Taktzeit” will turn the gates to undesired bottlenecks. there will be bottlenecks that will affect the production rate.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. (Takt time) Cycle time for each station in the production line should not differ too much from the “Taktzeit”. However. Otherwise. The concept of cycle time is actually derived from the concept of “Taktzeit”. Farhan Cycle Time Study Introduction Cycle time can be defined as the time required to complete a certain process. a German word which refers to the cycle time. (Applications) Factors that affect the cycle time include the following:(a) Setup Times (b) Schedule Changes (c) Mix/Volume (d) Equipment Failures (e) Repair Times (f) Scrap/Rework (g) Absenteeism (h) Queuing of Work In Process (WIP) (i) Process/Test Times (j) Lot Sizes (k) Sample Sizes (l) Material Shortages (m) Engineering Changes (n) Engineering Lots A cycle time study has been carried out covering all quality gates in the assembly line. it might lead to the lack of inspection quality which means that several steps in the inspection process are skipped.

Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. For instance. An inspection task of a Quality Management executive at a certain quality gate was broken down into several working elements and each of these elements/ activities was timed at least twice and its average was determined. Page 34 of 48 . Due to the fact that working elements are usually not sequential which means that an inspector might carry out two or three elements in the same time period. Then. the average time for each element was determined before they were all totaled up to obtain the cycle time for that particular quality gate. checking the tightening of bolts and nuts. checking the functions. The time for each of these elements was timed three times and its average was determined and recorded in the standard cycle time table (see in Appendices). it was not feasible to time the elements one by one. the estimation of the fraction is deemed reasonable enough. checking the general cabin appearance. the task of inspector at the Light Duty (LD) Mechanical Quality Gate was broken down into seven working elements-transfer to the inspection area. The whole task of inspector at a certain quality gate was timed for at least twice and the time for each working element was determined by multiplying it with each fraction assigned to each element. transfer to rework and reconfirming. The solution to this problem was to assign a fraction to each working element with the element that took the longest time being assigned a fraction with the highest value. Farhan The “Taktzeit’ was determined using the equation below:Takt Time (Time/Unit) = Working Time/Target Capacity *Working Time = 85% of the Available Time [Considering 85% efficiency) *Target Capacity = 8 or10 for FUSO Light Duty (LD) & 3 for FUSO Heavy Duty (HD) Equation 1: Takt Time Cycle Time Data Collection The real challenge lies in getting accurate data for this study. filling out details in the traveler. As the working elements were closely observed.

6 HD Buy-Off 1-MBM & HAMM 87.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. if there is any suspected major defect such as problematic wheel alignment. since Mohd (production person) is doing 2 tasks i.6 LD Mech QG/ FQG 39. 2 inspectors are placed at LD Buy-Off 1-HAMM. the inspectors will have to do further tests.5 9.6 LD Trim QG 39.3 10. The cycle time for LD Trim QG is found to be longer than HD Trim QG which might mean that the LD Trim QG inspector is still not competent enough. At LD Buy-Off 2-MBM. Azuki (QM person) has to wait long before he can buy-off a new unit if there are a lot of reworks to be done on a specific unit considering that Azuki depends on Mohd alone to prepare the unit. ii.8 HD Chassis QG 46. iii.3 10.1 14. preparing unit before buy-off and rework. As for the HD road test which is one of the working elements in HD Buy-Off. hence the longer-than-usual cycle time.0 HD Trim QG 32.2 13 Table 9: Summary of cycle times and capacities Conclusions that can be drawn from the tables above are:i.3 LD Buy-Off 2-MBM 39. Farhan Cycle Time Summary Parameters Available Time (mins) 490 430 490 Working Time (mins) 417 366 417 Target Capacity (Unit) 10 8 3 Takt Time (Time/Unit) 42 46 139 Table 8: Parameters necessary for the cycle time study FUSO LDMon until Thu FUSO LDFri FUSO HDMon until Thu FUSO HD-Fri 430 366 3 122 Station Cycle Time (mins) Capacity (units) LD Buy-Off 1-HAMM 29.3 10.e. thus its cycle time is relatively short.4 4. Page 35 of 48 . iv.

The simulation will be designed using the Flash MX software and the production line will flow based on the ideal time or the pre-determined “taktzeit”. Farhan Cycle Time Simulation/Visualization Before the new layout is finalized. HD Assembly Line (“Taktzeit” of 104mins) HD Mechanical FQG New Tester Line and Finish Line for both LD and HD (“Taktzeit” of 26mins) Last Station: Buy-Off Bay LD Mechanical FQG LD Assembly Line (“Taktzeit” of 35mins) Diagram 13: General Layout of the Production Line Page 36 of 48 .Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Examples of this are probable space insufficiency for a certain operation as well as improper flow sequence. it has been proposed that a simulation or a visualization of the overall production process flow is carried out to ensure that there would not be any problem or issue that might affect the production line.

and assembly line by random check according to a pre-determined PA Audit Plan.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Photos as well as necessary details related to every stage of the process flow are to be included in the guideline. the PA guideline would be a comprehensive overall process flow of the product auditing. It has been proposed by the upper management in MBM that a comprehensive guideline of PA auditing procedures covering the most important aspects in the audit scope. Farhan Product Audit (PA) Guidelines Introduction The Control System 3 Product Audit (PA) evaluates the quality of partial product at the end each production stage namely in body shop. Overall Process Flow Essentially. examples of application and person to contact is to be drafted as it would be useful in case the company needs to train a new product auditor. These PA activities evaluate and monitor the effectiveness of production control system 1 to 2 as part of internal quality assurance measures. coordination processes. specification of criteria. The overall process flow is illustrated in the flow chart below:- Page 37 of 48 . paint shop. directives.

leakages check (the piping system. it starts with choosing the units to be audited randomly based on the PA schedule. the screw check (checking the tightening of the important joints). signal check etc). colour etc.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. chassis number. the liquid check (the engine oil check. the fuel filter piping joints etc). The number of units to be audited depends on the number of units produced. vehicle data check (making sure that the engine and chassis numbers tally with the ones in the documents). the paint surface etc). Then. Details include the engine number. model. the quality condition of a certain production lot. the coolant level check etc). Farhan Diagram 14: Overall Process Flow (starting with “Vehicle Check” or planning based on the PA schedule) To generally describe the PA overall process flow. visual check (the fitting condition. Page 38 of 48 . the auditor would carry out a few types of checks or inspections on the unit namely the function check (air-conditioner check. the auditor would make necessary preparations like filling up the details of the unit to be audited in the PA form. Afterwards.

With the left hand side inspection completed. Afterwards. the auditor would proceed with the dynamic check which is the road test. the engine vibration and noise as well as the suspension system performance. the auditor would classify the defects spotted during the inspection before commencing a root cause analysis and writing up the PA report to be presented to the upper management. a PA session would start with the inspection of the front compartment of the cabin and then the auditor would move to the left hand (passenger) door for both exterior and interior inspections. After the road test. cable harnesses etc. The check sheet is being drafted based on the PA manual with different check sheet for different manufacturer i. Farhan With the static check completed. Amongst the elements tested during the road test include the wheel alignment. It would also be useful in ensuring that the product auditor would not miss any item that has to be checked.e. Basically. Page 39 of 48 . it will be cleaned up prior to sending the unit to the rain check bay. Last but not least. One thing that has been proposed by the current product auditor is that the check sheet has to be sequential so that it would take less time for an auditor to finish a PA session apart from being more convenient for the auditor. the auditor would move around and begin inspecting the right hand side of the vehicle. if the unit becomes dirty. Sequential Check Sheet A check sheet that comprises the details of what to be inspected during a PA session would be really useful in guiding a new product auditor. one for all Fuso models and one for Mercedes-Benz truck models.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. the auditor would inspect the tilting mechanism of the cabin before proceeding to inspect the chassis condition and other related items namely the pipes.

Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Although the check sheets have been drafted intensively based on the PA (Product Audit) manual. The sequential check sheets for both MBCV (Mercedes-Benz Commercial Vehicle) and Fuso units have been drafted and these sheets are currently being used in trial product audit sessions so that any necessary modification to the sheets could be made after getting feedbacks from the auditor himself. Page 40 of 48 . Farhan 1 2 3 7 4 6 Diagram 15: Illustration of the PA static check flow 5 The descriptions as well as the pictures for each process within the overall process flow have been finalized. the check sheets should not miss out on any important part or component that has to be checked. hence the trial product audit sessions using the drafted check sheets.

DAG requires the product auditor to present a weekly summary of the defects detected during the audit sessions on Mercedes-Benz Actros. Quality Management System (QMS) Weekly Report Since there was a need for a summary report on the QMS activities.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. a suggestion has been made that the originators of the Page 41 of 48 . Material. at the moment. the auditor does not carry out a proper root cause analysis which means that the root causes are only assumed after some investigations have been conducted on the production buy-off (the final stage of production) team. Method. CAR. Mercedes-Benz Commercial Vehicle Product Audit (MBCV PA). As for MBCV PA. In order to comply with ISO 9001: 2008 which stresses on the processes. On the other hand. it is imperative that a proper documentation for the root cause analysis is made available. and MBCV PA. DAG or the relevant supplier would provide the production plant the reasons for the corrective and/or preventive actions suggested. PI is information sent by DAG to the production plant if they expect that a part or some parts are going to arrive in the plant with defects. requires some time to be done. a form has been drafted based on the 4M (Man. Thus. and Machine). Before compiling all of the data related to PI. The auditor has the responsibility to identify the root causes based on the 4M. There is no documentation for the investigations. these data have to be confirmed with the originators of the data and this. only verbal investigations. Usually. after the defects have been identified. Therefore. CAR is a form that will be sent to either DAG or the local suppliers depending on the parts affected with the objective of requesting necessary corrective actions. Farhan Root Cause Analysis For the time being. A week-long observation might be necessary to spot any non-conforming process or activity. They would advise the plant to do necessary corrective actions such as claiming the parts or accepting the parts. and Corrective Action Request (CAR) sent to both Daimler AG (DAG) as well as the local suppliers should be presented during one of the top management meetings. A sample form is included in the appendices. The number of defects is presented on a chart based on the defect classification approved by DAG. it was decided that a weekly summary report on Preventive Info (PI).

A few procedures such as putting the data in the same folder as the summary report have also been clarified to the originators to ease this process. Nevertheless. One practical solution to this problem is to automatically extract a few main details from the CAR form using Visual Basic for Excel programming and putting in all the details in a separate Excel file (summary table file). The benefits of using database as a platform. since the CAR form at present is in Excel format. The suppliers to whom CARs have been sent are responsible to give a reply as soon as practically possible so that the production line will not be affected. installing licensed database software in the company’s workstations might be costly to the company. Due to this problem. the Page 42 of 48 . Nevertheless. most often than not. thus rendering the database useless in generating the analysis for presentation. The summary tables are to be divided into 3 categories: PQ (Parts Quality).Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Every week. the CAR issuers have to key in a few main details in the database after filling up the CAR form. (See appendices for sample presentation slides) CAR Data Management System (DMS) Every time a part or component is found to be faulty or not in the best condition. analysis on the Corrective Action Requests (CARs) has to be updated and presented to the top management. the issuers of the CARs who are responsible in updating the summary tables as well as the charts are too slow to do so. LQ (Logistics Quality). amongst others. Furthermore. Demos of a newly-proposed data management system were presented to the senior management of MBM and the system was based on database software. and LC (Local Content). are the fact that data in the database can be easily managed and manipulated for analysis and the fact that the summary table can be generated easily. Nonetheless. most often than not. the corresponding charts are to be generated automatically in the same Excel file. A web interface has been proposed as a convenient interface to link up all the necessary files and has to be used by the CAR issuers in filling up the forms. a system that automatically updates and generates the summary tables as well as the charts has to be introduced. Then. Every week. This would not work since there is a high possibility that the CAR issuers would forget to update the details in the database. Farhan data have to quickly update and confirm the data by the end of every week. analysis on the CARs has to be updated and presented to the top management. a CAR (Corrective Action Request) will be issued and sent to the supplier of that part or component and CARs are sent to both the suppliers or Daimler AG itself in Germany and the local suppliers.

any authorized staff can click on either the third or fourth button depending on the type of CAR (either CAR sent to DAG. Diagram 16: Screenshot of the CAR DMS macro Essentially. Page 43 of 48 . Farhan issuers of the CARs who are responsible in updating the summary tables as well as the charts are too slow to do so. which is the most important one. would prompt a blank CAR form to be opened. would automatically extract the main details from the Excel CAR forms located within a predetermined folder. the model involved. a system that automatically updates and generates the summary tables as well as the charts has to be introduced. Since the main purpose of the system that has to be built is to automatically update the main details of the CARs such as the date issued. when clicked. If it becomes necessary to view more details of a CAR. Due to this problem. this built-in macro that will be prompted after opening the Excel file has four command buttons. when clicked.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. The second button. This is meant for any staff who would like to issue a new CAR. The first button. a simple macro in the Excel file that contains the charts and the figures over the months has been built. part name etc. Both the CAR issuers and the weekly report compiler could utilize this function to view the updated list of CARs without the need to open the Excel CAR forms. thus tackling the problem of having to wait for someone to update before finalizing the weekly report. The macro basically looks like below.

Control of Documents As one of the compulsory standards of ISO 9001: 2008. Essentially. In each department. The hierarchy of documents is illustrated as follows:- Diagram 17: Hierarchy of Documents A plan has to be drafted for IQA (Internal Quality Audit) which would take place in July 2011. and the LOG (Logistics). Farhan Germany or CAR sent to local suppliers) to directly open a specific folder wherein the Excel CAR forms are saved.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. This CAR Data Management System is still in the trial stage after which this system can be fully utilized within MBM. The formatting of the summary table has to be further modified and refined while the user interface has to be sleek as well as easy-to use. The schedule for IQA can be found in the appendices. control of documents by internal audit on documents is vital in demonstrating the effective operation and control of the company’s processes. the PE (Production Engineering). IQA will be carried out on all 3 departments of the MBM production plant namely the QM (Quality Management). Page 44 of 48 . It is estimated that the trial stage would run over a month’s time in order to consider all suggestions for improvements and to implement those improvements. staffs have to carry out any task in accordance with the proper procedures that have been predetermined by the department leader.

Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. Representatives are the document controllers of particular procedures. commitment from the top management. The main objective of this IQA is to ensure that each department in the production plant is operating under a “documented” management system which means that all operations have documents and records associated with them. and teamwork are main requirements for the monitoring system to achieve its targets. Page 45 of 48 . 9. detected at all stages of production must be recorded by the line supervisor and the monitoring team is responsible in suggesting preventive measures for these problems. Strong leadership. to reduce the costs. and the lack of action plan by the product auditor are the things that need to be tackled by the top management. which are defined as those that stop the line and/or affect the quality of the finished product. The team is also responsible in monitoring the concerned parties in ensuring that the preventive measures are implemented up to the required standard. Final Conclusions In the company’s efforts to increase the production rate. Problems. the current procedures and forms are identified and subsequently several auditing sessions will be conducted between the auditors and the auditees or representatives of each department. a Kaizen-based transparent monitoring system (TMS) is extremely crucial. Farhan As for the IQA procedure itself. discontinuous improvement process. The feedbacks obtained from the MFTBC technical assistants are in parallel with the objectives of the monitoring system. as well as to improve the quality standards of the units produced at the Commercial Vehicle (CV). Lax implementation in CS1 procedures.

the defect classification. I took a few weeks to plan for the CS1 Awareness Training. and discussing with the trainers about the training program itself. My understanding of how an organization is actually run has increased by leaps and bounds. It has encouraged me to be more organized than ever if I intend to finish drafting it within a reasonably short timeframe. During the first month of placement. this was proven true when the program was being conducted. My curiosity as to whether the organization is doing the right thing prompted me to carry out the SPC analysis. However. Farhan 10. Meanwhile. Mrs Fatimah Abdul Razak. I made an initiative to carry out my own project-“Streamlining CV line”. It basically involves data collection which means that I have to go down to the production line and gather as much information as possible from the production team. Taking an average of three time sets as well as observing each working element or activity at the station would give one a good indicator of the cycle time at that station. As for the cycle time study. I learned a lot about the organizational structure of MBM. Good planning ensures the success of a program. My major task initially was to be actively involved in a new project for a new model. due to the fact that the project was postponed to a later date in July. Amongst the things that I had to do were preparing the training materials. choosing suitable dates for the training (by making sure that the training would not affect the production line due to insufficient manpower). Making sure that the data/information is reliable enough as well as coming up with practical solutions had been a real challenge for me. I think that inter-departmental communication is extremely important for the project to run smoothly with any problem encountered being overcome as soon as possible. All suggestions from all 3 departments of the production plant had to be taken into consideration.Mitsubishi Fuso PG83PE 4 x 4. presenting the justifications for this training to the top management. the specifications of a proper PA bay etc. drafting a professional guideline for Product Audit (PA) is also a new thing for me. However.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. I have to consider all aspects of PA such as the process flow. it also involves analyzing and discussing the data in accordance with the standard SPC analysis. I learned a lot on project planning during my involvement in the new tester line and finish line project for the CV (Commercial Vehicle) line. As for the new project. it has been a real challenge for me to make sure that the time taken for a particular station is reliable enough. The main objective of this Page 46 of 48 . Professional & Personal Development I have been positioned as an intern in the Quality Management department under the Assistant Manager. only suggestions that would contribute to the main objectives of the project should be seriously considered in order to expedite the project planning.

has to identify the real root causes of the problem. I have been working on CAR Data Management System (DMS) which is quite challenging since I have to make sure that the solution is going to be practical and user-friendly at the same time.e. one has to plan carefully and gather all the necessary information before launching off the project. not to mention a solution that works perfectly. the root causes. Otherwise. what I have learnt is that to be able to suggest preventive measures. Farhan project is to produce 12 LD (Light Duty) units and 4 HD (Heavy Duty) units in a smooth and efficient manner. (Note: currently the CV production line is operating at 10 LD units and 2 HD units) About 2 weeks ago. FG83PE 4 x 4 ran smoothly for a week. managerial skills in delegating the tasks as well as communication skills have improved by leaps and bounds. So far.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. the monitoring team. by hook or by crook. Besides the projects above. All the feedbacks and suggestions from the MFTBC technical assistants have been taken into consideration in order to improve the production processes. the postponed pilot production for the new model. the problems. my analytical skills in doing practical tasks. The underlying causes have to be identified and this entails hard work and time. This monitoring system essentially highlights 3 important elements i. one might need to redo the project over and over again and this is time-consuming and not favorable to the company. and the preventive measures. I started up a trial run for my proposed transparent monitoring system which is based on the continuous improvement (Kaizen) principle. On-the-surface causes like hoist breakdown due to cable problem would not suffice. By carrying out all these tasks during my placement in MBM. Page 47 of 48 . Lastly. I have learned that in order to succeed in any project.

Applications. Introduction and support package: Guidance on the documentation requirements of ISO 9001:2008.Industrial Placement 2011 Final Report Mercedes-Benz Malaysia Kamal. (n. Oakland. 2011. Maxwell. Rowlands. Retrieved 05 10.htm Page 48 of 48 .d.com/applications. Oxford: Butterworth-Heinemann.wikipedia. from Montana Manufacturing Centre: http://www. The Lean Six Sigma Pocket Toolbook.).). New York: McGraw-Hill. Retrieved 05 10. 2011. from ManSim: http://www. from Wikipedia: http://en. (2002). Cycle Time Reduction. Maxwell Motivation. October). Retrieved June 17. References [1]. Total Quality Management. M. Takt time. M.).). Mercedes-Benz Malaysia (MBM). (n.d. S.. (2008.com/services/Lean/cycle_time_reduction. D. [2].. L. Inc.. 2011.iso. Retrieved 05 10.mansim.d. ISO. J. (1997). George. from International Organization for Standardization: http://www. Price.d. J. 2011. (2005).mercedesbenz-malaysia. About Us. Retrieved March 17. (n.html [7]. & Maxey.htm [8].com/ [5].org/wiki/Takt_time [9]. from Mercedes-Benz Malaysia Sdn Bhd: http://www. J. (n. 2011.mtmanufacturingcenter. Mercedes-Benz Malaysia (MBM) Intranet [6]. Farhan 11. Teamwork makes the Dream Work. [4].org/iso/iso_catalogue/management_standards/quality_management/iso_9 001_2008/guidance_on_the_documentation_requirements_of_iso_9001_2008. C. [3].

61 APR ‘10 2.82 FEB'11 1.33 8.61 AVE 2.23 10.67 2.21 -0.57 5.34 10.03 JAN'11 Section Body Paint Buy Off Body + Paint Difference 1.66 10.69 6.Appendices Section Body Paint Buy Off Body + Paint Difference JAN ‘10 1.52 9.04 7.77 5.98 0.78 9.92 JUNE ‘10 3.22 9.47 8.6 9 12.67 5.03 11.21 7.17 7.29 5.71 1.44 1.11 7.48 11.62 5.78 4.45 4.41 7.16 7.38 5.99 MARCH ‘10 6.03 3.82 1.84 6.34 JULY'10 AUG'10 2.64 15.1 7.9 1.14 FEB ’10 1.87 7.81 Table 1: DPU figures from Jan 2010 until Feb 2011 .61 8.6 9.86 7.25 OCT'10 NOV'10 DEC'10 1.17 SEPT'10 0.25 5.16 5.12 11.59 8.68 4.3 12.85 10.38 7.21 4.08 10.43 10.19 6.16 9.38 6.07 2.96 0.94 2.19 MAY ‘10 1.39 9.35 5.27 7.36 2.

Assumptions of Causes Good Paint awareness is rising again? Check the paint check specifications [Policies] CS1 and CS2 are improving? Hence. Incomplete training of staff at the paint shop [Workforce] Buy-Off The buy-off inspector is slacking Body Improvement in the body machining and processing? Inspectors are trying to hide the defects FQG & Mechanical Not applicable Problems in installing the alarm system/part-Human errors [Workforce]. the slump of DPU in Buy-Off Bad Possible Causes-after site visit Imprecise Oven Temperature Setting (Old Oven?)[Facilities & Equipment} Paint Problems in paint shop process or polishing [Procedures]. Original problem from Japan/supplier or during the shipment [External]. The system/part becomes faulty during the storage and moving process [Facilities & ProceduresLogistics] The remote control is not compatible with the control unit due to mix-up during the installation process. The alarm system does not work due to the accidental clipping of the cable [Procedures] Table 2: Cause-and-Effect Thought Process . Work Instructions are not followed closely [Procedures].

Diagram 1: FG83 4 x 4 project schedule sourced from Production Engineering (PE) department of MBM .

Diagram 2: Print screen of the cycle time data collection sheet for first buy-off station .

No. of Participant vs Mark Category
14 12 10 8 6 4 2 0 60-70 71-80 81-90 91-100 Mark Category

No. of Participant

Diagram 3: Participants classified according to their mark categories

No of Correct/Wrong Answers vs Question No.
25 No of Answers 20 15 10 5 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Question No No. of Correct Answers
Question No Material Segment No. of Correct Answers No. of Wrong Answers 11 QM-RT 21 2 H-MB 22 1 12 QM-DC 20 3 13 QM-PA 11 12 1 H-MB 23 0 14 QM-FC 23 0 2 H-OC 19 4 15 QM-SC 22 1 PEAOS 20 3 3 H-V 23 0 16

No. of Wrong Answers
4 5 QM-CS 20 3 17 PE-TBR 15 8 PEAOS 20 3 QMTQM 12 11 18 PEWSC 23 0 6 7 QM-BO 6 17 19 8 QM-CF 23 0 20 PE-WI 20 3 QMCS3 14 9 9 10 QM-BN 12 11

Diagram 4: Analysis of the participants’ understanding by questions


Meaning History-Mercedes-Benz History-Mercedes-Benz History-Organization Chart History-Video Quality Management-Control System Quality Management-Total Quality Management Quality Management-Buy-Off Quality Management-Chassis Frame Quality Management-Control System 3 Quality Management-Body Number Quality Management-Rework Time Quality Management-Defect Classification Quality Management-Product Audit Quality Management-First Hand Check Quality Management-Second Hand Check Production Engineering-Assembly Operation Sheet Production Engineering-Tiket Barang Rosak Production Engineering-Assembly Operation Sheet Production Engineering-Worker Self-Control Production Engineering-Working Instructions

Table 3: Meanings of the Abbreviations

Diagram 5: The IQA Schedule .

00 60.00 40.00 40. To QM Inspection Bay 12 10 8 6 4 2 0 Paint Buy-Off Average DPU/Month Body Trim FQG & Mech U/Body 120.00 100.00 20.00 60.00 100.00 80. To QM Inspection Bay 10 8 6 4 2 0 Paint Buy-Off Body Trim FQG & Mech U/Body 120.00 0.Average LD DPU/Month in 2010 acc.00 Target DPU/Month (<) Cumulative DPU % Diagram 6: Pareto Analysis for LD (Light Duty) units for 2010 and for 2011 YTD (Year to Date) .00 80.00 Average DPU/Month Target DPU/Month (<) Cumulative DPU % Average LD DPU/month in 2011 YTD acc.00 20.00 0.

00 8.00 40.00 0.00 0.00 20.00 60.00 40. To QM Inspection Bay 12.00 4. To QM Inspection Bay 7 6 5 4 3 2 1 0 Paint Body Buy-Off FQG & Mech Trim U/Body 120.00 10.00 Paint Buy-Off Average DPU/Month Body FQG & Mech Trim U/Body 120.00 Average DPU/Month Target DPU/Month (<) Cumulative DPU % Average HD DPU/month in 2011 YTD acc.00 100.00 100.00 80.00 6.00 0.00 80.00 Target DPU/Month (<) Cumulative DPU % Diagram 7: Pareto Analysis for HD (Heavy Duty) units for 2010 and for 2011 YTD (Year to Date) .00 60.00 2.Average HD DPU/Month in 2010 acc.00 20.

Diagram 8: C & E (Cause & Effect) Diagram for the Production/PE department .

Diagram 9: Asian Lotus Blossom as a way of presenting the suggested preventive measures .

Diagram 10: Sample of Root Cause Analysis Form .

Diagram 11: Sample of Daily Problem Report for CV Assembly Line .

Diagram 12: A part of the station release checklist depicting 2 elements of the 4M .

29/7/2011 DAIMLER CHRYSLER MALAYSIA Name: Mahendran No.FG83PE PILOT 25/7/11 .AOS pg 185 (x1) Pre -Control Plan Remark s MFTBC to advice included front axle & front propeler shaft To hold separate meeting to decide. Chassis Assy. Tyre sub assy. Chassis Assy. 2 QM 2/8/11 3 Tyre valve washer not fitted QM & PE 1/9/11 4 FMEA PE ? New Issue (0%) Planned (25%) Do (50%) Check (75%) Action (100%) Diagram 13: Sample of the Continuous Improvement Process (CIP) problems found during the pilot production . 1 Location: CHASSIS ASSEMBLY CIP Quality Management Agenda: Follow up issue Accountable Deadline Progress Name Area/Scope MFTBC Chassis Assy. 1/9/11 Problem/Require Measurement Horn quantity not according to AOS (X2) .

Diagram 14: Preventive Info (PI) Weekly Summary presentation slide .

Diagram 15: Corrective Action Request (CAR) Weekly Summary presentation slide .

Diagram 16: Mercedes-Benz Commercial Vehicle Product Audit (MBCV PA) Weekly Summary presentation slide .