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Convert Waste into Value using OTM

        Value IN Waste OUT


      Get More form your OTM
Boxing Bout
Mr. TIMWOOD                 Mr. OTM
Who is Mr TIMWOOD?

                                                         Inventory

                                      Transportation


                                                                      Motion
                                 Defects           7 Deadly
                                                    Wastes

                                                                     Waiting
                                    Over
                                    Processing
                                                          Over
                                                       Production
STRATEGY :-
Distracts you and attacks with
• SHORT JABS
• BACK HAND PUNCH
• TWIST PUNCH
Mr TIMWOOD is all prevalent

Waste            What is it?                    Examples
Transportation   • Unnecessary transportation   • Moving over longer distances than
                   moves                          required.


Inventory        • Excess resources deployed    • Under-utilised Vehicle /
                   than required                  Equipment

Motion           • Actions of people or         • Manual Data Entry
                   equipment that do not add    • Misalignment of Dock scheduling
                   value to the process           with staging point


Waiting          • Materials not moving         • Order stuck in a queue
                 • People waiting for work      • Staging of packages
                                                • Vehicle waiting to be handled
Mr TIMWOOD is all prevalent
Waste             What is it?              Examples
Over-Production   • Producing more than    •   Moving packages through express
                    is actually required       when normal mode can meet
                                               delivery date


Over-processing   • Working beyond what   • Adjustments of shipment units in a
                    is needed to satisfy    container
                    the customer          • Re-checks in process
                  • Any unnecessary steps • Duplication of Data Entry
                    in processing


Defects           • To work over again, to • Rework
                    revise, to repeat a    • Rejects
                    process usually to
                    correct an error
Mr OTM = Mr DEPENDABLE



         BEST                 ENDURING
       PRACTICE;               WASTE                SUSTAINABLE
        THEORY                REMOVER               OPERATIONS




OTM provides the Capability to Continuously Improve & Sustain Operations

                            STRATEGY :-
            CONSISTENT ATTACK TO TIRE OUT THE OPPONENT
                 • STRAIGHT RIGHT AND LEFT HOOK
                          • HOOK PUNCH
                           • UPPER CUT
Plan before the Bout :
          Value Stream map : Logistics Operations
                                                                                                                                                                                                                           ADC

                                                                                                                                                                                                                           Manual

                                                                                                                                                                                                                            Verbal
     Orders to suppliers
                                                Parts Kitting                                                           TMS
                                                                                                                                                                                                              Special dixs
                                                                                                                                                                                                                                               Customers
                                                CT: 18 mins
                  ERP                                                                                                                                                                                         CT: xxxxx
                                                                                                                                                                                                                                                     Outlets / Dist
                                                People 13                               ERP                                                  Planning                                                         People xxxx                            Consignment
                                                Shifts : 2                                                                                                                                                    Shifts : 2                             Freq: daily 25/30
                                                Load : 5000
                                                   Mtrs ps                                             ERP                                                                                                    Load : xxxxx                           Total qty items:



                                                                                                                          ERP                    NA
                                                              Discrepancy                        ERP                                                                                     ERP
                                                                 report
                Daily                                                                                                      Non                                                                                   Invoice + LR
                                                                                                                        availability                        TMS
                                                                                                                                                                                                                                 TMS

                          Goods                                                                                 Sorting and                                                Packing                       Weighing
                                                      Binning                     Zone wise                                                    Scanning                                                                                Consolidation
                          Receipt                                                                                 Merging
                                                                                   Staging
                        CT: 5 mins                 CT: 12 mins                                                  CT : 16 mins:                 CT: 6 mins                                                CT: 2 mins                      CT: 2 mins
                                                                                  CT: 2 mins                                                                             CT: 8 mins
                        People: 1/2                People: 1/6                                                  People: : 1/20                People 1/4                                                                                People
                                                                                                                                                                                                        People 2/4
                                                                                  People:: 2/2                                                                           People 3/12
                    Batch size -SKU                Batch size-SKU                                               Batch :-86 mtrs               Batch – 86 mts
                                                                                  Batch – Pick list                                                                      Batch – Ship Unit              Batch – Ship Unit
                    Load :- 40000                  Load :- 40000                                                Load40000                                                                                                               Shifts 2,
                                                                                  Load : 200 pd                                               Load4 0000                 Load – 1000                    Load – 1000
                    Mtrs per day                   Mtrs per day                                                    Mtrs pd                    mtrs pd : :                Bales pd                       Bales pd




NVA
      45 mins                         24 mins                       .45-60 days                       60 mins                     .32 mins                     25 mins                       .20 mins                        45 mins

VA                  5 mins                            12 mins                      2 mins                           16 mins                     6 mins                       8 mins                        2 mins                          2 mins




                                TIM WOOD had created 82% waste in the operations
TIMWOOD had attacked multiple areas

    Waste                                  Waste Identified
Transportation   • Multiple vehicles routed to same region on same day
                 • Last minute changes in plans necessitated by business was
                   leading to excess transportation moves
Inventory        • Vehicle capacity was not effectively utilised
Motion           • Repetitive Manual planning entry was slow , errors and
                   unproductive
Waiting          • Manual Dock scheduling resulted in wait time & demurrage
Over             • Ordering excess capacity due to lack of visibility
Production
Over Process     • Manual Invoicing by carriers led delayed payments & leakages
                 • Ship Unit re-loading, adjustments after loading a container to
                   optimise space utilisation
Defect           • Transhipments of critical items led to product damages
                 • Fitment Parts were left out while the main assembly was shipped
Let the match begin


Mr. OTM                     Mr. TIMWOOD




                                BOX
Removing the “Inventory” Waste by using
    container space optimally

•   In “ Load Configuration” Configure “custom”
    logic configuration with type “Container
    optimization”
      – Parameter Value “ TRUE” for the
          Parameter USE 3D BASED LOAD
          CONFIGURATION



•   Install Cortona 3D viewer




•   Configure new parameter set
     – Set the Parameter Value
         “CONTAINER_OPTIMIZATION” for the
         Parameter CONTAINER OPT CONFIG ID
     – Priority Setting was selected as “Yes” to
         enable critical items to be dispatched first
     – Stackability Norms were build at the Ship
         Unit specification level
Removing the “Inventory” Waste by using
container space optimally : 3D Output
Removing the “Inventory” Waste by using
container space optimally : Handlers Output
Removing the “Inventory” Waste by using
container space optimally : Loading Pattern
 To arrive at the ideal loading pattern
 multiple “waste identification exercises
 were undertaken” and best loading pattern
 was determined based on which

 •    Load Configuration was configured and
                                                 Pinwheel
      Loading pattern* was set up at ship unit
 •    Maximum Number of Stacking Layers
      were set up
 •    Maximum Number of Loading Rows were
      set up
 Notes
 If the Maximum Number of Stacking Layers or
 Maximum Number of Loading Rows is left
                                                            Crosswise    Standing Straight
 blank, then no restrictions apply.

 Loading Patterns* specify the orientation and
 layout for when ship units are loaded in              Standing Nested       Lengthwise

 equipment.

                                                               Canon          Rolling
Removing the “Inventory” Waste by using
container space optimally : Tim Wood has a Black Eye
Removing the “Inventory” Waste by using
container space optimally : Future Proofing


•   Due to changing Business needs we
    understood that Loading Configuration
    and Loading Patterns may not provide
    optimized results for the future too

•   A What if Option was created to review
    outputs with different loading patterns
    wherein the weight / volume utilization
    was less than 95%

•   Operations staff can re-set the Loading
    Patterns for Group of ship unit based on
    trends established through the What If
    scenario
Removing the “Defect” Waste of Fitment Parts left
out while the main assembly was shipped using BOM Structure
Fitment parts and Main Assembly are identified
•   In “ Item” Configure new BOM Structure
      – Enter details of fitment parts
      – Establish link to Parent ( Main Assembly)
      – Create new planning group “SHIP
          TOGETHER”.
      – Planning group for all the parent and child
          item is managed through an agent which
          automates the check as an mandatory
          option.
      – Plan orders with the agent Planning group.

Notes : This can be done at item level and need not
be repeated again and again. The BOM data can be
pulled in from BOM data maintained in your ERP




•   Any attempt to ship the parent without the
    child throws up an error for the parent to be
    dispatched

                Left Hook : TIMWOOD is Wobbling
Removing the “Transportation” Waste to cater to last
minute changes in plans : Using the Re-Sequence Option
 Load is planned for multi stops and load is tendered
 to the carrier and needs re-sequence of stops
 •    In “ Buy Shipment / Action” select option Re-
      sequence stops
 •    Change the sequence numbers and save. Lane
      based option was used
 •    Carrier will also be apprised of the sequence
      change
 •    Cost and service level impact due to the
      sequence is also visible before a decision is
      taken
 •    Incase carrier has been secured the re-
      sequencing option can still be used.
 •    Carrier apprised of the sequence change and the
      resource secured is marked as “un-scheduled”
      till the carrier accepts the change
 Notes
 •    Incase carrier has executed the load the re-
      sequencing option can still be used.
 •    Carrier and Driver apprised of the sequence
      change through mail and VTS



TIMWOOD rises after a 3 count
Removing “Transportation” Waste of Multiple vehicles
routed to same region on same day by using pooling Option

Multiple Points are clubbed into a region and transit
hubs are also entered in the master data

•   In   “Iternary”       configure    source    the
    deconsolidation pool point and destination.
•   When you plan an order it consolidates orders
    together for the region for the consolidation
    pool point.
•   The consolidated load is used to identify the
    best equipment
•   LTL shipments are created from the
    deconsolidation   hub     to   the    respective
    destinations



•   Cost for direct and pooled delivery are visible
    before the final option is exercised




    Here comes the Upper cut TIMWOOD being treated for Cuts
Removing “Over Process” Waste of Data Entry of
Manual Invoices by using conversion and loading tools
                   Manual / PDF /         Excel format              XML format
Process           Scanned Invoices          Invoices                 Invoices
                      Received              received                 received


    Invoice            Manual             Manual ( Excel )
  Registration




Invoice and POD        Manual                  Upload                 Data Upload
   Data Entry




                        OTM                    OTM                        OTM
  Verification




                   • High Manpower Cost           • Data Upload Errors
                   • Inaccuracy                   • Mapping Errors
                   • Training                     • Infrastructure Cost
Removing “Over Process” Waste of Data Entry of
Manual Invoices by using conversion and loading tools
                   Manual / PDF /     Excel format    XML format
Process           Scanned Invoices      Invoices       Invoices
                      Received          received       received


    Invoice              Scan          Excel to XML
  Registration                          converter




Invoice and POD     Digitize, Map &    Map & Load      Map & Load
   Data Entry             Load




                         OTM               OTM            OTM
  Verification
Removing “Over Process” Waste of Data Entry of
Manual Invoices by using conversion and loading tools

                        Fetch                            Map                           Web-service

                       Digitize                          Load                             XML



          iFetch                            iCap                         LoadX                         OTM
 •   FTP based fetch            •    Digitize correct           •   Mapping Accuracy         •   Freight Settlement
 •   OCR convert                If required                     •   Loading accuracy
                                • Inbuilt intelligence          •   Error window




          TIMWOOD send back to the Corner before round ends
Removing “Defect” and “Wait” Waste leading to
 damages and demurrage charges by using Mobile sols
Equipment# / LR# and Vehicle# on departure from the
plant are transmitted to a Mobile App at the receiving site
      – On receipt of vehicle the gate selects the
         Equipment # / LR #
      – The App pops up a list of Vehicle # and selects
         “Vehicle does not exists”
      – Receiving person selects the vehicle number or
         “Vehicle does not exists” option.
      – Incase “Vehicle does not exists” is selected the
         App requests the receiving person to take an
         image
•   The receiving date and time are also used
    for settlement of the bills and monitor
    service levels
     –   Shortages and Damages if any are also captured
         with images in the Mobile App at the point of
         unloading
•   The time difference between the
    receiving date and time and the actual
    unloading is used to calculate the
    demurrage charges.

     Hook Punch TIMWOOD is on Count of 10
Removing “Defect” and “Wait” Waste leading to
 damages and demurrage charges by using Mobile sols


                          Web Service                                 Map                           Web-service

                                                                      Load



         OTM                                         POD App                         LoadX                                   OTM
•   Despatch Data                          •      Transshipment              •   Mapping Accuracy                 •     Freight Settlement
    Transfer                                      Integrity                  •   Loading accuracy
                                           •      Shortage / damage          •   Error window
                                                  Integrity
                                           •      Arrival times
                                           •      Demurrage
                                                  Management


                                                                                                App Technology Elements
                                                                                                Hardware
                                                                                                Android/iOS Device with a device camera for
                                                                                                scanning barcodes
                                                                                                Software
                                                                                                RedLaser SDK (licensed) Or ZXing SDK
                                                                                                for Android Devices 2.2+ required to provide
    Process Flow                                                                                Bar Code scan functionality
    The data and business logic present in the
    OTM server is exposed to the mobile client
    using OTM web services. The mobile App
    accesses these web services over http/https
    to acquire/update data




                                                  TIMWOOD is on Count of 10
KNOCK OUT
              Waste Out Value In




Mr. TIMWOOD                    Mr. OTM
NEED HELP TO KOCK OUT

               MR. TIMWOOD

               CONTACT US AT

vikasg@hexaware.com contact no +44 7799644535

dhruvm@hexaware.com contact +49 1721617774

navals@hexaware.com contact no +91 9004014283

          Visit us at Our OTM Lab
                      at
               Chennai, India

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Otm 2013 c13_e-18a-sabharwal-naval-covert-waste-to-value-with-otm

  • 1. Convert Waste into Value using OTM Value IN Waste OUT Get More form your OTM
  • 3. Who is Mr TIMWOOD? Inventory Transportation Motion Defects 7 Deadly Wastes Waiting Over Processing Over Production STRATEGY :- Distracts you and attacks with • SHORT JABS • BACK HAND PUNCH • TWIST PUNCH
  • 4. Mr TIMWOOD is all prevalent Waste What is it? Examples Transportation • Unnecessary transportation • Moving over longer distances than moves required. Inventory • Excess resources deployed • Under-utilised Vehicle / than required Equipment Motion • Actions of people or • Manual Data Entry equipment that do not add • Misalignment of Dock scheduling value to the process with staging point Waiting • Materials not moving • Order stuck in a queue • People waiting for work • Staging of packages • Vehicle waiting to be handled
  • 5. Mr TIMWOOD is all prevalent Waste What is it? Examples Over-Production • Producing more than • Moving packages through express is actually required when normal mode can meet delivery date Over-processing • Working beyond what • Adjustments of shipment units in a is needed to satisfy container the customer • Re-checks in process • Any unnecessary steps • Duplication of Data Entry in processing Defects • To work over again, to • Rework revise, to repeat a • Rejects process usually to correct an error
  • 6. Mr OTM = Mr DEPENDABLE BEST ENDURING PRACTICE; WASTE SUSTAINABLE THEORY REMOVER OPERATIONS OTM provides the Capability to Continuously Improve & Sustain Operations STRATEGY :- CONSISTENT ATTACK TO TIRE OUT THE OPPONENT • STRAIGHT RIGHT AND LEFT HOOK • HOOK PUNCH • UPPER CUT
  • 7. Plan before the Bout : Value Stream map : Logistics Operations ADC Manual Verbal Orders to suppliers Parts Kitting TMS Special dixs Customers CT: 18 mins ERP CT: xxxxx Outlets / Dist People 13 ERP Planning People xxxx Consignment Shifts : 2 Shifts : 2 Freq: daily 25/30 Load : 5000 Mtrs ps ERP Load : xxxxx Total qty items: ERP NA Discrepancy ERP ERP report Daily Non Invoice + LR availability TMS TMS Goods Sorting and Packing Weighing Binning Zone wise Scanning Consolidation Receipt Merging Staging CT: 5 mins CT: 12 mins CT : 16 mins: CT: 6 mins CT: 2 mins CT: 2 mins CT: 2 mins CT: 8 mins People: 1/2 People: 1/6 People: : 1/20 People 1/4 People People 2/4 People:: 2/2 People 3/12 Batch size -SKU Batch size-SKU Batch :-86 mtrs Batch – 86 mts Batch – Pick list Batch – Ship Unit Batch – Ship Unit Load :- 40000 Load :- 40000 Load40000 Shifts 2, Load : 200 pd Load4 0000 Load – 1000 Load – 1000 Mtrs per day Mtrs per day Mtrs pd mtrs pd : : Bales pd Bales pd NVA 45 mins 24 mins .45-60 days 60 mins .32 mins 25 mins .20 mins 45 mins VA 5 mins 12 mins 2 mins 16 mins 6 mins 8 mins 2 mins 2 mins TIM WOOD had created 82% waste in the operations
  • 8. TIMWOOD had attacked multiple areas Waste Waste Identified Transportation • Multiple vehicles routed to same region on same day • Last minute changes in plans necessitated by business was leading to excess transportation moves Inventory • Vehicle capacity was not effectively utilised Motion • Repetitive Manual planning entry was slow , errors and unproductive Waiting • Manual Dock scheduling resulted in wait time & demurrage Over • Ordering excess capacity due to lack of visibility Production Over Process • Manual Invoicing by carriers led delayed payments & leakages • Ship Unit re-loading, adjustments after loading a container to optimise space utilisation Defect • Transhipments of critical items led to product damages • Fitment Parts were left out while the main assembly was shipped
  • 9. Let the match begin Mr. OTM Mr. TIMWOOD BOX
  • 10. Removing the “Inventory” Waste by using container space optimally • In “ Load Configuration” Configure “custom” logic configuration with type “Container optimization” – Parameter Value “ TRUE” for the Parameter USE 3D BASED LOAD CONFIGURATION • Install Cortona 3D viewer • Configure new parameter set – Set the Parameter Value “CONTAINER_OPTIMIZATION” for the Parameter CONTAINER OPT CONFIG ID – Priority Setting was selected as “Yes” to enable critical items to be dispatched first – Stackability Norms were build at the Ship Unit specification level
  • 11. Removing the “Inventory” Waste by using container space optimally : 3D Output
  • 12. Removing the “Inventory” Waste by using container space optimally : Handlers Output
  • 13. Removing the “Inventory” Waste by using container space optimally : Loading Pattern To arrive at the ideal loading pattern multiple “waste identification exercises were undertaken” and best loading pattern was determined based on which • Load Configuration was configured and Pinwheel Loading pattern* was set up at ship unit • Maximum Number of Stacking Layers were set up • Maximum Number of Loading Rows were set up Notes If the Maximum Number of Stacking Layers or Maximum Number of Loading Rows is left Crosswise Standing Straight blank, then no restrictions apply. Loading Patterns* specify the orientation and layout for when ship units are loaded in Standing Nested Lengthwise equipment. Canon Rolling
  • 14. Removing the “Inventory” Waste by using container space optimally : Tim Wood has a Black Eye
  • 15. Removing the “Inventory” Waste by using container space optimally : Future Proofing • Due to changing Business needs we understood that Loading Configuration and Loading Patterns may not provide optimized results for the future too • A What if Option was created to review outputs with different loading patterns wherein the weight / volume utilization was less than 95% • Operations staff can re-set the Loading Patterns for Group of ship unit based on trends established through the What If scenario
  • 16. Removing the “Defect” Waste of Fitment Parts left out while the main assembly was shipped using BOM Structure Fitment parts and Main Assembly are identified • In “ Item” Configure new BOM Structure – Enter details of fitment parts – Establish link to Parent ( Main Assembly) – Create new planning group “SHIP TOGETHER”. – Planning group for all the parent and child item is managed through an agent which automates the check as an mandatory option. – Plan orders with the agent Planning group. Notes : This can be done at item level and need not be repeated again and again. The BOM data can be pulled in from BOM data maintained in your ERP • Any attempt to ship the parent without the child throws up an error for the parent to be dispatched Left Hook : TIMWOOD is Wobbling
  • 17. Removing the “Transportation” Waste to cater to last minute changes in plans : Using the Re-Sequence Option Load is planned for multi stops and load is tendered to the carrier and needs re-sequence of stops • In “ Buy Shipment / Action” select option Re- sequence stops • Change the sequence numbers and save. Lane based option was used • Carrier will also be apprised of the sequence change • Cost and service level impact due to the sequence is also visible before a decision is taken • Incase carrier has been secured the re- sequencing option can still be used. • Carrier apprised of the sequence change and the resource secured is marked as “un-scheduled” till the carrier accepts the change Notes • Incase carrier has executed the load the re- sequencing option can still be used. • Carrier and Driver apprised of the sequence change through mail and VTS TIMWOOD rises after a 3 count
  • 18. Removing “Transportation” Waste of Multiple vehicles routed to same region on same day by using pooling Option Multiple Points are clubbed into a region and transit hubs are also entered in the master data • In “Iternary” configure source the deconsolidation pool point and destination. • When you plan an order it consolidates orders together for the region for the consolidation pool point. • The consolidated load is used to identify the best equipment • LTL shipments are created from the deconsolidation hub to the respective destinations • Cost for direct and pooled delivery are visible before the final option is exercised Here comes the Upper cut TIMWOOD being treated for Cuts
  • 19. Removing “Over Process” Waste of Data Entry of Manual Invoices by using conversion and loading tools Manual / PDF / Excel format XML format Process Scanned Invoices Invoices Invoices Received received received Invoice Manual Manual ( Excel ) Registration Invoice and POD Manual Upload Data Upload Data Entry OTM OTM OTM Verification • High Manpower Cost • Data Upload Errors • Inaccuracy • Mapping Errors • Training • Infrastructure Cost
  • 20. Removing “Over Process” Waste of Data Entry of Manual Invoices by using conversion and loading tools Manual / PDF / Excel format XML format Process Scanned Invoices Invoices Invoices Received received received Invoice Scan Excel to XML Registration converter Invoice and POD Digitize, Map & Map & Load Map & Load Data Entry Load OTM OTM OTM Verification
  • 21. Removing “Over Process” Waste of Data Entry of Manual Invoices by using conversion and loading tools Fetch Map Web-service Digitize Load XML iFetch iCap LoadX OTM • FTP based fetch • Digitize correct • Mapping Accuracy • Freight Settlement • OCR convert If required • Loading accuracy • Inbuilt intelligence • Error window TIMWOOD send back to the Corner before round ends
  • 22. Removing “Defect” and “Wait” Waste leading to damages and demurrage charges by using Mobile sols Equipment# / LR# and Vehicle# on departure from the plant are transmitted to a Mobile App at the receiving site – On receipt of vehicle the gate selects the Equipment # / LR # – The App pops up a list of Vehicle # and selects “Vehicle does not exists” – Receiving person selects the vehicle number or “Vehicle does not exists” option. – Incase “Vehicle does not exists” is selected the App requests the receiving person to take an image • The receiving date and time are also used for settlement of the bills and monitor service levels – Shortages and Damages if any are also captured with images in the Mobile App at the point of unloading • The time difference between the receiving date and time and the actual unloading is used to calculate the demurrage charges. Hook Punch TIMWOOD is on Count of 10
  • 23. Removing “Defect” and “Wait” Waste leading to damages and demurrage charges by using Mobile sols Web Service Map Web-service Load OTM POD App LoadX OTM • Despatch Data • Transshipment • Mapping Accuracy • Freight Settlement Transfer Integrity • Loading accuracy • Shortage / damage • Error window Integrity • Arrival times • Demurrage Management App Technology Elements Hardware Android/iOS Device with a device camera for scanning barcodes Software RedLaser SDK (licensed) Or ZXing SDK for Android Devices 2.2+ required to provide Process Flow Bar Code scan functionality The data and business logic present in the OTM server is exposed to the mobile client using OTM web services. The mobile App accesses these web services over http/https to acquire/update data TIMWOOD is on Count of 10
  • 24. KNOCK OUT Waste Out Value In Mr. TIMWOOD Mr. OTM
  • 25. NEED HELP TO KOCK OUT MR. TIMWOOD CONTACT US AT vikasg@hexaware.com contact no +44 7799644535 dhruvm@hexaware.com contact +49 1721617774 navals@hexaware.com contact no +91 9004014283 Visit us at Our OTM Lab at Chennai, India