VSM AND WIP WITH
RELATED TO ARENA
SIMULATION SOFTWARE
BY
Md. Asrafuzzaman
IPE, SUST

Objectives
Improve shop floor efficiency and
productivity by examining the
existing WIP scenario and reducing
WIP in the current manufacturing
line.

Background
 We find that in our production floor WIP is
a big problem and root cause of many
other problems.
 These problems are:
• Maintaining 5S,
• Quality issues,
• On time delivery,
• Line Efficiency,
• Learning curves,
• Line layout setup time

Status of one day of Manufacturing flow
Like at statistics at 16-6-2015
• Total cut pieces at = 34602 pieces
WIP= 8564 pieces
• Total input in line at =26038 Pieces
WIP= 103 pieces
• Total output line at = 25935 pieces
WIP= 492 pieces
• Total good pass quantity to finishing at
=25443 pieces

Some pictures of WIP in our production floor

Some picture related to 5S

Steps of the study
 First step: VSM a lean tool for
visualizing the real scenario of the
manufacturing flow
 Second step: Identify the WIP and
find the way of eliminating WIP
 Third step: Simulate the present
situation and proposed improvement
by using Arena simulation software

VSM
A value stream involves all the
steps, both value added and non
value added, required to complete a
product or service from beginning to
end

Overall steps involved in the study

VALUE STREAM & IDENTIFYING WIP
VALUE STREAM
RELAXATION CUTTING SEWING FINISHING
PROCESS PROCESS PROCESS PROCESS
RAW
MATERIALS
FINISHED
PRODUCT
CUSTOMER
WIP WIP WIP

THE STEPS - VALUE STREAMS MAPPING
Product
Family
Current State
drawing
Future State
drawing
Plan &
Implementation
Understanding how the shop floor currently
operates. The foundation for the value state.
Designing Lean Flow

Current state

Improved scenario of VSM

Measurable Metrics & Performance
Metric Current
Estimate
Target from Future
State Map
Process Time 55.26 Min. 55.26 Min.
Lead Time 8.390 Days 3.14 Days
First Time Quality 80% 80%

Data analysis and findings
The data and information was collected
through the observation of the production
floor and some past record from the
industrial engineering and planning
department .
Finally all data has been analyzed by
using various types of tables, some tools
such as cause effect diagram and 5S.

Causes of WIP
 Operator absenteeism
 Machine breakdown
 Improper line balancing in the
beginning of the layout.
 Raw materials supply problem
 Quality issues

Improvement proposal
 Operator skill matrix operation base
 Implementation of TPM ( Total
Productive Maintenance)
 Sewing line Layout analysis and
layout proposal
 Building supplier relationship, its a
long term process and cost and
quality related issues.
 Our IE and Quality team is working
on this, we will work on this issue in
future.

Operators skill matrixq

Implementation of TPM
1. There are 8
pillars of TPM
2. Already we are
practising some
of the pillars
3. Another
1. Autonomous
maintenance
2. Quality
maintenance
3. Planned
maintenance
we can implement

Simulation analysis of Layout
 By using arena
 1. present situation layout
 2. proposed layout result.

Present line in the Arena Simulation

Simulating result

Showing WIP by Arena

Cost related to implementation of
TPM
 To implementation TPM need 3 or 4
man for every unit, but they have to
work extra time or holyday when
production will not running. So have
to pay for extra time duty of the
employee.
 Total man power need = 12 to 16
• Already we have 13 man for
maintenance purpose

Cost related to Buy the Software
 I have no exact purchase related
idea.
 Hear provided contact details of
selling partner of Arena ( RockWell
Automation) Selling partner
China
Beijing EnSky
Contact Name: Zhang Qing
Phone: +86-10-59009377
Email: info@ensky.com.cn
Website: www.ensky.com.cn
https://www.arenasimulation.com/purchasing-options/global-partners-
contact-for-sales

Benefits
 Improve efficiency and productivity
 On time delivery
 Improve 5S
 Reduce new style layout time

Benefits
 Our floor space rent per sq. Ft per month
15.07 Taka, so that if we reduce WIP then
our every sq. Ft of space will be effectively
used
 Total CPM is 0.08$ so that if normal
Layout time is 8 hour more than normal
layout time ( 6 hour ) then extra loss of
taka per month, 19353.6 $ ( extra cost for 1
lay out 537.6 $)

Benefits
 If we miss the shipment schedule then we
have to pay for air shipment, which
manufacturer have to pay for lost the
shipment schedule.
 Cost per kg for Europe: 3$ and 1.6$ for
non Europe air shipment.
 So per container 400 cartoon cost:
• Europe : 24000$ ( per container)
• Non Europe: 12800$

Simulation software related
For improving the running low efficient
line performance usually do:
• Layout change
• More skill and efficient operator involve
• Process improvement
To do these we need around 3 hours to come
out expected results.
If the result will not come then we will loss for
4867.2$ for one month ( on basis of line status of 26-
5-2015, 13 line of that day ware not meet the expected result)

Case study result provided by RockWell
Automation
Challenges:
 Increase
throughput
 Decrease inventory
 Decrease operating
expenses and cycle
time
 Do a better job of
capacity planning
 Gain access to
accurate, timely
information
Results after using Arena:
 The model helped the
manufacturer increase sales by
more than $1 million
 The simulation effort identified
several options to optimize
process performance
 Cycle time was reduced from 5
weeks to 3 days
 Overtime and operating
expenses were lowered
 On-time shipping performance
increased 70% to 95%
Sources:
https://www.arenasimulation.com/resources/Production_simulation.pdf

Recommendation
 Technique such as zero defects, setup
time reduction, and Poka-Yoke can be
applied.
 Arrange schedule training operator
 To reduce absenteeism and to build up
moral and trust:
• Job enrichment,
• Relationship improvement between employee
and management,
• Worker motivation.

WIP running status and proposal
Unit Line Style Name Target Input/Day Total Input Total Output WIP C urrent WIP Target
Our WIP
target
Reduce pcs Reduce %
UNA
SAA Maja Crochet 1040 40165 37542 -2623 1560 1040 -520 35%
SAB Vincent Top 1150 9383 6223 -3160 1725 1150 -575 35%
SAC Vincent Top 1150 4517 1626 -2891 1725 1150 -575 35%
SAD Vincent Top 1150 7583 3916 -3667 1725 1150 -575 35%
SAE Majken dress-CWG 900 28054 25456 -2598 1620 900 -720 35%
SAF Vincent Top 1150 6504 4829 -1675 1725 1150 -575 35%
UNB
SBA Majken dress-CWG 900 20113 18218 -1895 1620 900 -720 35%
SBB Chung Top 1550 32449 30189 -2260 2325 1550 -775 35%
SBC Vincent Top 1150 6468 3731 -2737 1725 1150 -575 35%
SBD Vincent Top 1150 9269 6710 -2559 1725 1150 -575 35%
SBE Chilli tunic 690 5882 4496 -1386 1035 690 -345 35%
SBF Vincent Top 1150 9214 6651 -2563 1725 1150 -575 35%
UNC
SCA Vincent Top 1150 11438 7765 -3673 1725 1150 -575 35%
SCB Vincent Top 1150 11920 10605 -1315 1725 1150 -575 35%
SCC Chilli tunic 690 4885 3224 -1661 1035 690 -345 35%
SCD Majken dress CWH 900 9213 7319 -1894 1620 900 -720 35%
SCE Vincent Top 1150 7312 3620 -3692 1725 1150 -575 35%
SCF Rosie S-2 1590 1480 45 -1435 2385 1590 -795 35%
UND
SDA Chung Top 1550 36133 34272 -1861 2325 1550 -775 35%
SDB Maja Crochet 1040 31066 28910 -2156 1560 1040 -520 35%
SDC Vincent Top 1150 11544 8384 -3160 1725 1150 -575 35%
SDD Majken dress CWH 900 5653 4083 -1570 1620 900 -720 35%
SDE Vincent Top 1150 9342 6970 -2372 1725 1150 -575 35%
SDF Rosie S-2 1590 10698 9417 -1281 2385 1590 -795 35%
G.Total 27140 330285 274201 -56084 41790 27140 -14650 35%

Recommendation Con’t...
 Improve supplier relationship to get
the raw materials on time and
standard quality.
 Arrange the Arena Simulation
commercial version software to save
the dollar in relation with the
interruption of the line due to
experiment for process improvement

Conclusion
 VSM was implemented to find out the
amount of wastes and WIP in cutting,
sewing and finishing section; because the
selected product had a long lead time and
was unable to meet the expected
production rate . Cause effect and was
done to identify the reason of WIP, and
proposing different solution.

Conclusion Con’t...
 As VSM can be drawn in relatively short time with
almost no expenditure of money and as it can
identify wastes with good accuracy, thus it’s very
helpful for managers who are having difficulties
with their low production rate, higher lead time
and high production costs high WIP.
 The simulation software helps to represent the
real problems and analyse the total process and
make scope to improve without interruption the
production process, and after getting appropriate
solution direct implement it in the manufacturing
process.