Performance and capacity evaluation
Task analysis and instruction implementation
Process auditing
Accredited and non-accredited training packages
Value Stream mapping / process mapping
Policy implementation
Reporting systems and key performance monitoring
Management support
Stock rationalisation / Consignment and obsolete stock strategies

 

Performance and capacity evaluation

The performance and capacity evaluation service provides us with critical information about your business. The data that we collect allows us to create a benchmark, and at this point we can understand a true measurement of outputs verses capacity.
Optimising the capacity leads companies down the path of OEE (Overall Equipment Effectiveness). The OEE formula relates the potential output against the capacity of the operation.
The uptime of your plant determines the parts produced over a given time period, and this will reflect the business performance and bottom line profit.

As we look at the OEE philosophy, our consultants will measure various aspects of the operation beginning with the total operating time of given processes. We then start to analyse the elements of the operating time, and place values against each of the activities within the cycle. This delivers specific information as to where we begin to make improvements, and what activities display limiting factors, or limit the optimisation of the true potential. We achieve this by understanding the 6 main causes of lost time in plant.
As the analysis take place, we will utilise the following major elements to identify, and examine the reasons for lost productivity:

• Breakdowns and machine or plant failure
• Change overs, machine set ups and adjustments
• Minor stoppages where plant becomes idle for brief period losses
• Speed reduction of plant
• Defects and product yield, where reworks and rejects significantly impact the output
• Machine start up after periodic shut down or planned shut down

Below is a typical graphical illustration of the analysis:

In order to make the improvements, we will need to understand the impact of the elements, identifying the major elements first, and taking actions to reduce the impact of such losses.

A simple bar chart highlights the advantages of a visual analysis. This allows us to map out the high impact elements and to clearly ascertain what causes have consumed the highest hours of potential uptime. This is accompanied by historical data which typically reflects trends and fluctuations demonstrating the control over each of the elements. The bench marking exercise would require a minimum of 3 to 6 months of data where available. This would demonstrate the average lost time against each of the causes and benchmark to current performance.

The OEE formula provides a measurement of the business. It uses three criteria to calculate the benchmark of business performance. The three ratios used in the formula are multiplied as percentages as follows:

Availability ratio: The time span by which machines or equipment is available for operation, divided by the period of time for which the calculation is based.
Performance ratio: The actual rate of production divided by the capacity of the machine or process.

Quality ratio: The quantity of first off good units divided by the total amount of units produced.

This is then calculated as per the formula below. This offers a standard to measure current performance and ongoing improvements driven through the organisation.

OEE = Availability x Performance x Quality

We aim to be specific, collecting data by machine / cell, shift and operator. This information then allows us to analyse the characteristics contributing to the reduced outputs, and offers potential direction for improvement exercise.

Part of the capacity evaluation is to take times from each of the elements within the process. This means that each part of the task is broken down into segments, and times are recorded and made into standards. This will aid in realising the performance gap based on past data, compared to the actual times taken.


It will also aid in the value stream mapping, where all forms of waste are identified to add value to the business operations. The tools of muda are used to capture this, by section, and by category.

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Task analysis and instruction implementation

Each task within the workplace has a defined sequence and role in order to reduce the impact of variation and build a consistent product and operation. These instructions are also a valuable tool to the employee in the form of offering direction and definition to their roles.

This service begins with the task analysis, which records all actions of the employee in a typical working environment. By documenting this, we build a base knowledge of the current practice. This information is then submitted to a committee within the business, and the actions that occur are compared to the requirement. This analysis is then edited, and drafted into a task instruction. Its compliance becomes critical in efforts to reduce hazards, defects, and standardise the approach to the manufacturing operation.
All alterations are then reported back to employees, where they are trained to work to the correct procedure.

The task instruction also defines the requirements for the job at hand. If heat proof gloves, steel caps, safety glasses are required to maintain safety, this is clearly defined to the employee.
Likewise in relation to the tools that may be needed. These are made into a list, so the employee learns and reflects on the task requirements before entering into it. This will delete unnecessary stoppages whilst searching for articles that make the employee better prepared to complete the task.

Each task instruction also comes with detailed photos and pictorial aids to assist the interpretation of the works. This is accompanied by a step process definition, and this will aid the employee to become repeatable and effective in their role.

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Process auditing


The process audit ensures the sustainability of the improvements driven. Random audits are conducted throughout the organisation to ensure compliance with the designated elements.

The focus of this is to report back to management the capacity to improve, and to reinforce the reporting function. General compliance is audited relating to safety, quality and reporting systems. We aim to find the weaknesses in the organisation, offering opportunity to highlight and take corrective measures.

This role has been done on many occasions, and some audits have exceeded 25 pages of data and some 130 elements for improvement in larger businesses. This merely displays a need for motivation and a driven workforce empowered to meet the obligations of the company.

Please contact us for a format of a typical audit, outlining the concerns, criteria and recommendations.


Alternative business consulting may also offer a free after service audit to our customers to ensure the improvements have been driven through the clients company. This is generally done within or up to 3 months after the date of contract expiration. Please contact us for more details.

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Accredited and non-accredited training packages

Accredited and non-accredited training packages are offered as part of the business package. Part of empowering the workforce is to increase the skills levels of employees and to demonstrate the willingness to partner and foster their future.
Training to higher level of skills also promotes career paths, and longer term employment. As individuals grow in skills, they can also increase income, based on new roles and suitability for them. Succession planning ensures the business has the skills and versatility to sustain rates and functions within the operation.

The first stage is to identify the requirements. Consultation with management to find employee ownership over roles within the workplace is a major factor. A skills matrix is created mapping out all of the skills required from the employer. This highlights those who are advanced in the workplace, and able to perform a variety of roles, and also those who may need further development.
The units of competence are based on the ATQF competency standards, where nationally recognised learning and certification can be achieved at the successful completion of the training and assessing. The training needs analysis takes place during this stage, where by employees and management, with our consultants, map out the individual learning needs of employees, and agree on current skills levels.

The next stage is to develop the training materials, and a time table by which it can occur. We are able to conduct training on the job, and utilise these opportunities for employees to demonstrate real tasks and ability that applies directly to employer needs.
Once the matrix is done, the training gaps are identified, ensuring that the needs are again met. The training time table will be created and employees are now mapped for skills and given opportunity to learn new roles.
Alternative business consultants will also work to the materials that define the task requirement and ensure a range of variables statement is produced to define each of the words and processes. This again reinforces the employer needs, to guarantee that the aids are effective and well known as part of the assessment stage.

The assessment stage is a process by which the employee must demonstrate the skills and underpinning knowledge required to complete the task. This is governed by an evidence file, by which the trainer will develop and collaborate with both management and the employee.
Once an employee has completed the assessment, the skills matrix can be updated. Depending on whether the training is accredited or not, will affect the validity of issuing an external statement of attainment and / or certificate, or achievement certificate via an in house training course.

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Value Stream mapping / process mapping


The Value stream mapping exercise demonstrates the wastage that occurs in the workplace, in a given process. It involves cultural change and both the efficient and effective means of completing the manufacture of a product. The mapping will highlight many unseen or unknown effects that have an impact on the business. In regards to the muda of manufacture, we would examine the wastage of the following:


• Waiting
• Correction
• Motion
• Over production
• Inventory
• Conveyance
• Processing

Each of the elements of waste relate to ongoing functions in the workplace. Many workplaces find they have breakdowns, and wait for the fix. The non value added process of reworking from a fault, walking large distances to carry components or tools, excessive work in progress and transport, or simply handling goods to many times.


Alternative business consultants aim to identify and eliminate such wastage, by highlighting it to our clients and re-evaluating better ways of doing the job right first time.
Some of the benefits of value stream mapping are as follows:


• Reduces lead time on parts both internally and externally
• Improves product quality and space utilization by improving the floor layout
• Reduces rework/scrap and inventory levels by making the right amount of parts correctly the first time
• Reduces indirect labor costs, by reducing the needs for secondary non value added processes.


The value stream applies from conception of raw materials to the final delivery of the finished good. It means the depth of mapping can be highly productive and accurate. The amount of weight the goods are as they move from section to section, the cost of raw material waste and the bill of materials and activity costing against every stage of the map.

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Policy implementation


Alternative business consulting understands the need for effective policy within the work place. We utilise a range of policies within our own business which ensures the best possible value and service to our customers.
This same approach is taken when working with our clients. We offer a range of reviews to policies to ensure they are easily understood and full in content. This process is done in collaboration with the client management team, and covers key issues such as:


• Occupational health safety and welfare Policy
• Environmental policy
• Disclosure policy
• Code of ethics policy
• Employee human resource and harassment policy
• Contractor and visitor policy
• Task instruction and compliance policy
• Dispute resolution policy
• Fire and evacuation policy
• Bomb threat and business continuity policy
• Purchasing and supply policy


We aid companies by ensuring that policies are in place to govern the behaviour and activity of employees. This is designed to enforce the company’s legislative, ethical and moral responsibilities and is a critical part of business management.

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Reporting systems and key performance monitoring


The reporting phase will also be implemented whilst information is gathered. The Management Report System provides information by hour, shift, day and weekly summary. This will provide ‘real time’ key performance indicators to assist in the decision and planning of operations.
This system is built from data based on outputs reflecting each of the processes within the business. It captures the amount of employees, the absence, the output, yields in both rework and reject and maps it into a graphic display to highlight performance based on the trend against the planned output. It also records reasons for lost time and builds a history for problem machines and plant within the clients company. Any relevant and important information is required and prompted for entry. This includes safety and environmental incidence where the underlining structure of the business has both legislative and ethical obligations.

This demonstrates to managers the progress against the scheduled production. It also has the cycle times of each of the machines within the manufacturing operation. This ensures that parts are tracked against the optimum output, rather then standards that vary based on estimates. Operator and user performance is then measured into a performance rating, and averages can be made readily between each employee, to assist in identifying the ability and willingness of the individual.

 

Our data bases are assembled through Microsoft Access, and can be interfaced with Excel. The reporting system has an administrative privilege to amend details such as new plant or employees. The database is purchased as part of the package and becomes the intellectual property of the client.

We offer full training and custom build the database to suit the client’s needs. The reports can be graphed in any format, ensuring our customer gets what they require.

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Management support

Management support is critical in operations. By defining hierarchy, we then move forwards to mentor and coach the frontline management in their roles. Effective support mechanisms help management to realise the importance of management systems and reporting, and to derive the rewards from them.

Our consultants work beside the frontline management, assisting them in identifying critical performance issues. We promote confidence and self value, to ensure the positive outlook is reflected on employees. By developing relationships and trust with our client’s hierarchy, the implementation of such systems becomes streamlined and profitability grows. We reflect on ’Maslow’s hierarchy of needs’, to ensure the employees and the management team truly understand the impact of employment and value of their status.

By developing the psychological component of confidence and true leadership, we endeavour to assist in the general process flow of the organisation. We relate the experiential learning philosophies by Carl Rogers, by associating the personal involvement, self initiating, evaluation and persuasive effects on the development modules of the employees and management.

We aim to set a positive climate for learning and development, and clarify the purposes of change. We ensure access to organisational and learning resources, whilst balancing the intellectual and emotional characteristics of learning. Our role is far greater then a walk in / walk out consultant, as we share experiences, values and thoughts with our clients teams, to earn trust and assist in the change process.

The understanding of effective leadership means managers must sustain the needs of the organisation, whilst dealing with the everyday issues of employees. Placing demands for growth and profit on employees can often lead to spiteful and vindictive emotions, without explanation and mentoring.

We assist in the overall impact of such improvements, ensuring we are available for the management and employees, and mediating the transition between the two.

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Stock rationalisation / Consignment and obsolete stock strategies

This strategy deals with vendor negotiation. We consult with our customers purchasing department and the suppliers. The strategy aims to reduce the holdings of stock and deliver the cost of such holdings to the vendors.
We seek to create tiers of suppliers, with business continuity planning in mind. By negotiating with vendors, we deliver various cost effective transitions to businesses. Such transitions are cost downs, better buying prices, pay as use systems, and stock monitoring, all incorporated into the vendors responsibility.

Much of this depends on the volume and current contracts with suppliers. We place demands for your vendors to interact at a higher level with your company, ensuring a long term benefits for both parties. We have a significant amount of contacts and alliances in many areas and industries, which are available to make competitive arrangements, and seek to enhance customer satisfaction.

We also ensure that your suppliers are aware of internal policy, such as environmental and occupational health and safety responsibilities. This makes them accountable for the services and products they offer, and benefits our clients in both ethical and legislative directions.

The obsolete stock and rationalisation examines the true business needs. By analysing data of goods used and the volumes of stocks held, we then negotiate the rationalisation

Part of this approach identifies stock that has not been used, or exceeds the required quantity, due to engineering changes, or cancellation of contracts in the past. In some cases, such stock may hold value in the market place, and may return value to your organisation, by adding revenue, improving the flow of materials, and identifying redundant stocks.

We also make important evaluations on such critical issues as lead times, and quality endorsements of our client’s vendors. This means we ensure that the materials utilised by our customer to manufacture / produce products is always available to prevent stoppages and stock outs.

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