Capacity Enhancement through Value Stream Mapping and Line Balancing Technique in Compressor Assembly Line

Abstract

In competitive global market, manufacturers are urged to know the customer needs well in advance to serve the customer. Customer satisfaction and on time delivery of products play a vital role in establishing long and healthy relationship. When demand for a product is growing, manufacturer ought to plan their activity well in advance to ensure product availability to customer. Capacity planning is done considering dynamically varying demand of customers. Manufacturers are also continuously thriving to reduce cost by enhancing machine utilization. But, Capacity loss is unavoidable in any manufacturing facility. And also it is basic necessity that production capacity to be enhanced, with production cost in consideration. The study intends to increase the capacity of an assembly line and in parallel optimize the manpower (productivity improvement). It deals with identifying non value adding activities and handling them to enhance the capacity of an assembly plant to meet forecast demand. These improvements achieved by using the lean tool, “Value stream mapping (VSM)” which helps to segregate value addition and non-value addition activities for each machine or work station and also will help in continual improvement. Current and future state mapping of assembly line will showcase the lean waste involved in process, current issues, line imbalance, possibilities of further improvements, gap between takt and actual cycle time, inventory at each assembly points, WIP machines and lead time at each stations. These individual issues are sorted out by generating kaizens at each station, which involves brain storming and expert opinion, involving all members of team. These improvements will spread over the entire process flow chain as small pockets. These many numbers of small pockets of improvements is harvested by using another lean tool, “Line balancing”. Line balancing will improve the overall line efficiency and hence capacity enhancement & man power optimization is achieved. The benefits of value stream mapping followed by line balancing technique had yielded capacity enhancement by 86%, manpower reduction by 28%, productivity improvement by from 1.24 to 1.70 units per person per day, through put time reduced from 325.6 to 259.5 mins, line efficiency improved from 79.7% to 97.9% and VA ratio improved from 33 to 37%.