Essar Steel

REDUCING RE-WORKING OF
GP COILS PROCESSED AT
CGL LINES

1
 Essar Steel

TEAM MEMBERS :-
. SUVRO CHAKRABORTY (LEADER)

2
 Essar Steel

DEFINE

3
 Essar Steel

PROBLEM DEFINITION :-
FREQUENTLY , GP COILS ARE NEEDED TO
BE RE-WORKED AT DMS LINE DUE TO A
NUMBER OF QUALITY ISSUES.
OUR OBJECTIVE :-
TO IDENTIFY THE CAUSES AND AGENCIES
OF THE PROBLEM AND REDUCE THE
FREQUENCY OF RE-WORKING NEEDED.

4
 Essar Steel

EFFECTS :-
1) INCREASE IN COST OF QUALITY IN TERMS OF
INTERNAL FAILURE COSTS IN THE FORM OF RE-
WORKING COSTS AND OVERHEAD COSTS.
2) INCREASE IN INVENTORY.
3) DELAY IN DISPATCH.
4) DECREASE IN PRODUCTIVITY OF RE-WORKING
LINES.

5
 Essar Steel
PREVENTION COST
COSTS INCURREED DUE TO :-
1) TRAINING & DEVELOPMENT
2) QUALITY DESIGN
3) CAPABILITY STUDIES
4) VENDOR SURVEYS
5) INFORMATION SYSTEMS DESIGN
6
COST OF QUALITY
INTERNAL FAILURE EXTERNAL FAILURE
APPRAISAL COST
COST COST
COSTS INCURRED WHEN PRODUCT
FAILS AT CUSTOMER’S ENDS.
COSTS ASSOCIATED WITH :- COSTS INCURRED TO RECTIFY THESE COSTS INCLUDE THOSE
PRODUCT DEFECTS CREATED IN ASSOCIATED WITH:-
1) INSPECTION & TESTING COMPANY’S MANUFACTURING
2) TEST EQUIPMENT OR DEISTRIBUTION OF ITS 1) CUSTOMER COMPLAINTS,
CALIBRATION & ITS PRODUCTS. THESE INCLUDE :- INVESTIGATION & ADJUSTMENTS
MAINTAINANCE 2) RECEIPT, HANDLING, REPAIR &
3) INSPECTION & TEST 1) SCRAP & RE-WORK COSTS REPLACEMENT OF NON -
REPORTING 2) LABOUR & OVERHEAD COSTS CONFORMING PRODUCTS.
4) ANY OTHER REVIEWS 3) EXCESS INVENTORY COSTS. 3) WARRANTY CHARGES &
PRODUCT LIABILITY COSTS.
4) LOSS OF REPUTATION.
OUR OBJECTIVE
TO REDUCE INTERNAL FAILURE COSTS
 Essar Steel

.
EXTERNAL FAILURE COSTS EXTERNAL FAILURE COST
SAVING

INTERNAL FAILURE COSTS

INTERNAL FAILURE COST
QUALITY COSTS

SAVING

APPRAISAL COSTS
TOTAL COST
TOTAL COST WITHOUT USING
USING QUALITY
QUALITY COST
COST SYSTEM
SYSTEM
PREVENTION COSTS

TIME

7
 Essar Steel

LINE TECHNICAL SPECIFICATIONS:-

* LINE SPEED (PROCESS) – 160 mpm
* THK. RANGE – 0.30 mm TO 3.25 mm
* WIDTH RANGE – 800 mm TO 1370 mm
* FURNACE OUTPUT – 56 TPH
* COIL INNER DIA (ID) – 508 / 610 mm
* COIL OUTER DIA (OD) – 1800 mm (MAX)
* COIL WEIGHT – 25 MT (MAX) / 5 MT (MIN)
* I/P MATERIAL GRADES – COLD ROLLED LOW / MED / HIGH
CARBON STEEL & STRUCTURAL
STEEL.
O/P MATERIAL GRADES – CQ / LFQ / FULL HARD AND
STRUCTURAL GALVANIZED STEEL.
8
 Essar Steel

MEASURE

9
 Essar Steel

DATA COLLECTED
TONNAGE
FOR RE-WORK FREQUENCY
(MT)

JUNE' 08 42.045 7
JULY ' 08 99.670 9
AUG ' 08 47.835 7
SEPT ' 08 33.310 6

10
 Essar Steel

RESPONSIBLE AGENCIES Reason Total

ELECTRICAL IMPROPER / TELESCOPIC WINDING 9
ELECTRICAL Total 9
INPUT MATERIAL UNTRIMMED AT PKL2 2
INPUT MATERIAL Total 2
MECHANICAL ID MISMATCH 4
UNCHROMATED 1
MECHANICAL Total 5
OPERATION COIL COLLAPSED 1
ID MISMATCH 1
WELD INSIDE 1
ID V-NOTCH 1
DENT IMPRESSION 1
OPERATION Total 5
MANUAL MISTAKE OVER WEIGHT AS PER TDC 4
MANUAL MISTAKE Total 4
ORDER ENTRY IN SAP ID MISMATCH 4
ORDER ENTRY IN SAP Total 4
Grand Total 29
11
 Essar Steel

ANALYSE

12
 Essar Steel

99.670
100.000 10
9
80.000 8
7
6 6
60.000 47.835 6
36.995
40.000 33.310 4

20.000 2

0.000 0
J UNE' 08 J ULY ' 08 AUG ' 08 SEP T ' 08
M ON TH

13
 Essar Steel

10
9 9 9
8
7
6
5 4
4
3
1 1 2
2
1 1
1
0

REWORKING REASONS

14
 Essar Steel

WELD INSIDE
10
9
8 UNTRIMMED AT PKL2
7
REWORKING REASONS

6 UNCHROMATED
5
4 OVER WEIGHT AS PER TDC
3
2
IMPROPER / TELESCOPIC WINDING
1
0
ID V-NOTCH

ENTRY IN

MISTAKE
OPERATION

ORDER

MANUAL
MATERIAL
ELECTRICAL

MECHANICAL
INPUT

SAP
ID MISMATCH

RESPONSIBLE AGENCIES DENT IMPRESSION

15
 Essar Steel

10
9
9
8
7
6
5
5
4 4 4
4
3
2
2
1
0

RES P ONS IB LE AGENCIES

16
 Essar Steel

. ELECTRICAL MECHANICAL ORDER ENTRY IN SAP

ID MISMATCH
(SHEET STRUCK IN R#2)
IMPROPER / TELESCOPIC
WINDING UNCHROMATED
(SQUEEZE ROLL PROB.) ID MISMATCH

RE-WORKING

ID MISMATCH
OVER WT.
WELD INSIDE
UNTRIMMED (PKL # 2)

DENT IMPRESSION

MANUAL MISTAKE ID V-NOTCH I/P MATERIAL PROB.

OPERATION
17