Maximized Manufacturing Reaps
Rewards at Whirlpool-Findlay
by James K. Ryan, Marshall Institute, Inc.; with Kirk Wolfinger, Tom Meyer & Jim Dray,
Whirlpool Corp., Findlay, Ohio ©

Imagine supporting a business plan
that requires a transition to pull manufacturing, while reducing work in process and
finished goods inventory. The industry demands continuous supply of product to the
customers hands at the right price, in the right quantity, and of the finest
quality. And while demand for product is increasing, capital dollars for expansion are not
available. If you cant supply the customer, you know the story, your competitors
will.
When you consider the cost of lost
opportunity, also known as cost of unreliability (CoUR), the potential losses are
staggering. In addition to lost sales, loss of marketshare is even more threatening.
At Whirlpool Corporations
Findlay, Ohio Division, demand for product is at an all-time high. The Findlay Division
manufactures dishwashers for Kenmore, KitchenAid, Estate, Roper, Inglis, and Whirlpool
brand. The objective for this manufacturing facility was how to get more out of the
facility and its equipment without making huge capital investments? And more specifically,
for Kirk Wolfinger, manager of maintenance and plant engineering, how can the maintenance
department support the needs of manufacturing to achieve the company goals?
In 1995, Wolfinger sponsored a
cross-functional team of skilled trades personnel to develop a Maintenance and Tooling
(M&T) Department Master Plan. This team, along with assistance from their production
partners, set forth to develop a plan that would allow the plant to improve production
rates by eliminating unplanned downtime. The vision of zero unplanned downtime, which was
a significant culture change, would be supported by improved planning, machine specific
preventive maintenance, more utilization of predictive maintenance technologies, TPM, root
cause failure analysis, and the companys Operational Excellence (Six Sigma) program.
The M&T Master Plan, along with
the resulting improvement initiatives at Whirlpool-Findlay evolved into what is now known
as "Maximized Manufacturing," a term coined and strongly supported by Mark
Buehrer, director of plant operations. Maximized Manufacturing underscores the importance
of aligning many different improvement initiatives into a single effort that focuses
totally on improving efficiency and ultimately "maximizing" manufacturing
processes.
To make these improvements, the
Division needed to obtain a measure of their current equipment efficiency. The tool they
used to do this was Overall Equipment Efficiency (OEE) rating, a cornerstone measurement
of the Total Productive Maintenance methodology. OEE assesses the current status of
equipment and can track future gains. The basic formula of OEE is Availability x
Performance x Quality. The formula turns raw data into a meaningful interpretation of how
well equipment resources are utilized. The lower the OEE (usually shown as a percentage,
such as 78%), the more opportunity for improvement.
As the company started tracking
individual pieces of equipments OEE ratings, it became apparent that there was room
for improvement. "The low equipment efficiency could be tied directly to a need for
more ownership, awareness, and use of problem solving tools by the equipment operators and
maintenance personnel," said Wolfinger.
Under the Maximized Manufacturing
umbrella, operations and maintenance personnel joined forces. And in the words of Jim
Dray, TPM Facilitator, "it was the people that made this change possible". But
the change did not come easy.
When they first started initiating
the TPM process, there were many skeptics. Many viewed TPM as another "program of the
month". As with any new improvement initiative, people were sensitive to change. What
they didnt know was that TPM was not a program, but a true cultural change in the
way that the equipment is maintained and the product is manufactured.
What people at the Findlay Division
were experiencing wasnt anything different than what most employees feel when
implementing TPM. In general, people would prefer doing things the same way; they resist
change. But to be competitive in an intensely competitive industry, things must change.
Continuous improvements must be a way of life.
As a result of the M&T Master
Plan, employees at the Findlay Division had introduced preventive maintenance, predictive
maintenance, and root cause analysis programs, but they still had too much reactive
maintenance. They also needed a tool to align maintenance and operations.
To insure the effectiveness of Maximized Manufacturing, and more specifically, to combine
the various efforts to focus on improving OEE, Whirlpool sought out the services of
Marshall Institute, a Raleigh, NC based manufacturing/maintenance consulting firm.
Whirlpool had worked with Marshall earlier, at the initial stages of the M&T Master
Plan. What they were looking for was a tool that would enable the entire organization to
see and feel what reliability looked and felt like. Improving the plants reliability
was not only in the best interest of Whirlpool; it was the best use of resources for the
employees who worked at the facility. That tool was The Manufacturing Gametm.
"We had been using this
simulation for over a year with one of our large clients and thought it was a perfect fit
with what the group at Whirlpool really needed," said Dale Blann, CEO, Marshall
Institute. "We knew that the workforce at Findlay was highly skilled and highly
motivated, but the problem was getting everybody aligned in the same direction. What The
Manufacturing Game did was to allow large groups of people to experience in two short
days, the journey from a reactive world to a extremely reliable, proactive one."
The combination of fundamental
maintenance practices such as root cause failure analysis and a preventive/predictive
maintenance system, along with very strong support from Division leadership, enabled the
Findlay Division to gain steam in implementing their TPM system. The Manufacturing Game
has helped demonstrate how multiple initiatives can work together toward accomplishing a
common goal of improved plant efficiency.
"Initial TPM efforts didnt
always allow us to get the right people together for team meetings. We know that the
people operating and maintaining the equipment are the real experts to improving
performance. The format of the Manufacturing Game has allowed us to combine teams of
production operators, skilled trades, and management to work on a common goal that will
provide a specific improvement in their area. Our expectation is that upon completion of
the initial project, the teams will continue by considering other improvement
projects," said Dray.
The Manufacturing Game provides an
excellent opportunity for people that sometimes have adversarial relationships to come
together as a team, working towards a common goal of improved plant efficiency. According
to Tom Meyer, Maintenance Engineer, "some of our people have really changed the way
they go about their work as a result of having "walked in the other guys
shoes" during the game simulation."
"The massive improvements we
have made in our OEE numbers are a direct reflection of the efforts from our people on the
floor," Wolfinger said. "We were very fortunate that there were tools available
to us that allowed our workforce to see how a completely reliable plant ran. Without that
tool, I dont know that we would have gotten where we are so quickly.
"In contrast to some of our
previous thinking, we learned that the answer is not necessarily to assign more time to
PM, but to actually reduce the reactive work by eliminating the defects that cause
breakdowns," Meyer said. "This in turn allows us to spend time on the right
things, the proactive work, which directly improves our plant availability."
Action teams have applied various
training techniques, along with The Manufacturing Gametm, principles, to record
phenomenal improvements in OEE numbers on many pieces of equipment. This fits together
into what Jim Dray calls the paradigm shift of TPM: "We are all responsible for our
equipment". The Manufacturing Game Workshop also instills an expectation among the
participants that their equipment can perform better, and work life can be better - if we
all pull together and work on defect elimination as a team.
So what are the results of Maximized
Manufacturing in Findlay? The Division has been able to increase production by 21%,
without any significant capital costs. "We feel very comfortable that these are
actual production gains, not inflated numbers. The increased product availability is a
direct result of our people taking ownership in their equipment through methodologies of
TPM," according to Kirk Wolfinger.
In this intensely competitive
environment, Whirlpool-Findlay is not resting on its laurels. The team has developed a
solid accountability system that will allow the Division to maintain the gains and set the
stage for continued improvements. This system includes establishment of a TPM Council,
made up of the senior leaders, responsible for reviewing and certifying all new TPM teams.
In addition, a TPM Steering Committee made up of production and maintenance managers,
meets monthly to review the progress of all TPM teams. The group also shares best
practices and looks for ways to promote TPM throughout the plant. The system also includes
assigning specific people to specific pieces of equipment to lead TPM implementation and
ensure that it is sustained after implementation. This accountability system, along with
monthly reviews of all the equipment OEE ratings, has created a means for Whirlpool
Findlay Division to continue its success.
|