Production system improvement : floor area reduction and visual management

Abstract

This thesis suggests on the development process of a new layout design and visual management tools to improve the efficiency of a production line in a medical device company. Lean production philosophy and common lean techniques were adopted as a guideline in this project. A new layout design was proposed to utilize less manufacturing space while maintaining or improving the current production rate. A thorough study of the current system was conducted and preliminary analysis on the current system efficiency was evaluated. Design concepts were generated based on major reduction opportunities, namely removal of non-production areas on the floor, a point of use inventory system, consolidation of equipment and benches, new bench configuration. The final layout design reduced 479 ft 2 from the original layout with the same production rate. Visual management tools were developed after identifying key performance indicators for the production line. The visual management tools presented important data in a comprehensive way, facilitated communication among the production team and management team and empowered production associates in making continuous improvement on the floor. Key Words: Lean Manufacturing, Floor Area Reduction, Visual Management, Key Performance Indicators, System Efficiency