IMPLEMENTATION OF LEAN MANUFACTURING

CONCEPTS AT NISSAN MOTOR EGYPT

1. Hesham Samir Barakat MDP480: GRADUATION PROJECT
2. Amr Mohamed Mahmoud
3. Mohamed Mahmoud Ali Supervised by: Dr. Mohamed H. Gadallah Mechanical Design & Production
Dept.
PRESENTATION OUTLINE
• Introduction
• Problem Definition
• Lean Manufacturing
Concepts
• Progress
• Improvements
• Timeline
• Conclusion
• References
• Discussion
INTRODUCTION
 Nissan Motor Egypt (NMEG 6th of October)
 The Agreement
 Unpacking Area
NISSAN MOTOR EGYPT
Nissan Motors Egypt is located in the 3rd industrial Zone in 6th October

Production target rate is 120 car per day.

The workforce is currently 969

NISSAN PRODUCTS
MATERIAL HANDLING
DEPARTMENT LAYOUT
 UNPACKING AREA
Warehouse
Shop Pallet
(Body)
(Trim)
(Special)
PRESENTATION OUTLINE
• Introduction
• Problem Definition
• Lean Manufacturing
Concepts
• Progress
• Improvements
• Timeline
• Conclusion
• References
• Discussion
PROBLEM DEFINITION
 High Shipping Cost
 Time Waste
 Over Processing
 Production Line Breakdown
SHIPPING COST

Unused box Low box utilization Low box utilization

SHIPPING COST
Before After

Low box utilization Better box utilization

TIME WASTE
TIME WASTE
Walking
Video
 TIME WASTE
Action sheet ( Checklist sheet)
OVER PROCESSING
Low utilization of the box leads to unpacking similar
boxes.
 PRODUCTION LINE
BREAKDOWN
Number of break down per
month 12 hours
PRESENTATION OUTLINE
• Introduction
• Problem Definition
• Lean Manufacturing
Concepts
• Progress
• Improvements
• Timeline
• Conclusion
• References
• Discussion
LEAN MANUFACTURING
Lean Can Change the Way You
What is lean?
Do Business
Elimination of the manufacturing
processes that add no value to improve
efficiency, effectiveness and profitability.

Time
Cost

Quality
8 DEADLY WASTES
1. Overproduction
2. Waiting
3. Transportation
4. Motion
5. Over-processing
6. Inventory
7. Defects
8. Bad Workforce Utilization
8 DEADLY WASTES
1. Overproduction
2. Waiting
3. Transportation
4. Motion
5. Over-processing
6. Inventory
7. Defects
8. Bad Workforce Utilization
PRESENTATION OUTLINE
• Introduction
• Problem Definition
• Lean Manufacturing
Concepts
• Progress
• Improvements
• Timeline
• Conclusion
• References
• Discussion
PROGRESS
 Broadview of the factory layout and material flow from the unpacking area
 Full understanding of the unpacking area
 Collecting all the necessary data related to the N17
 Creating, reviewing and improving a tool that summarizes the supplier,
input, process, output and customer of the unpacking area. (SIPOC)
 Flow-chart
Video recording
Time study
Analysis
PROGRESS

SIPOC
Supplier Input Process Output Customer
 Supplier Input Process Output Customer

India (29 RV) LOTS:

- Body Lots = 17 RV.
Japan (6 RV) Body Lots = 16 RV. -Transfer Lots to the material handling
Material Handling Department (MHD)
Thailand (3 RV) Trim Lot= 21 RV. Department using fork lifts
-Trim Lot= 22 RV.
China (1 Box) Plastic Paint = 2 RV.

-Unpacking on shoot pallets. Paint Shop

Parts 22 Loaded shoot pallets.
- Moving from MHD to Customer using tractor. Line

- Material Handling - Unpacking on special pallets.

Body Lot (16 RV) Special 20 Loaded Special pallets. Line
Department
- Moving from MHD to Customer using tractor.

Half Unpacked RV Unpacking only body parts and the rest of it is

Partially Unpacked RV Trim
(Shared) (9 RV) unpacked in trim.

-Unpacking on shoot pallets. Local Supplier

11 Loaded shoot pallets.
- Moving from MHD to Customer using tractor. Line
Part RV
-Unpacking oo Kits. Local Supplier
12 Pairs of Loaded kits.
- Moving from MHD to Customer using tractor. Line
Alternating 6-10 Loaded Special
- Unpacking on special pallets.
Special RV (10 RV) pallets. Line
- Material Handling
Trim Lot (21 RV) - Moving from MHD to Customer using tractor. (Avg: 8)
Department
Preparation only
Opening only to be prepared for the tyres section Opened Tyres RV Tyres Section
(Unpacking) (1 RV)

Balancing
Opened Tyres RV Tyres Line
Sub-assembly
PROGRESS

Flow-Chart
 N17
Flow chart of the material flow of N17 (Container
s)
(39) Plastic Paint
(2)

Body Trim
(16) (21)

Half Unpacked
Parts
Special boxes
(shooters) Special
(20) (Shared)
(22) Parts (6-10
(9)
Avg:8)
Paint
Shop
Preparation only
Shooters Kits
(Unpacking)
(11) (12 Pairs)
(1)

Local
Supplier Tyres
Department
Line
PROGRESS
Video recording
PROGRESS
Time Study
PROGRESS
Analysis
 PROGRESS
Pareto
PIE ChartAnalysis
PRESENTATION OUTLINE
• Introduction
• Problem Definition
• Lean Manufacturing
Concepts
• Progress
• Improvements
• Timeline
• Conclusion
• References
• Discussion
IMPROVEMENTS
 Barcode Scanning System
 Industrial Hand Carts
 Packing Boxes Volume Reduction
IMPROVEMENTS
Barcode Scanning System
the analysis shows
A suggested solutionthat
for5%
thisof the
total timeisfortothe
problem process
replace the of
pen and
unpacking (760 Seconds) is wasted
paper with Barcoding Reader
because of checking the items of the
which
box will pen
using eliminate this wasted
and paper which
time and
takes a lotwill
of be
timemore
fromaccurate.
the works to
do it and the error percentage is
very high
IMPROVEMENTS
Industrial Hand Cart
Material Handling Department Layout
Instead of distributing
It was observed each box of
that the transportation
separately on that
all the trim parts thewere
kits unpacked
after opening
and
the
placedbox. Now,
on the kitsthe worker
caused will open a
the major
box and
walking distribute
problem. It wasthe parts
exactly inside
55% of it
on
the the designed
walking time which industrial
was 2356hand cart.
seconds per lot.
IMPROVEMENTS
Industrial Hand Cart

Video
IMPROVEMENTS
Boxes Volume Reduction
Volume Reduction Analysis
These Boxes are samples of the
non-utilized volume, and each of the
lots is imported with more than one
of the same box type and that adds
up to a lot of volume waste and over
processing during the unpacking
process.
PRESENTATION OUTLINE
• Introduction
• Problem Definition
• Lean Manufacturing
Concepts
• Progress
• Improvements
• Timeline
• Conclusion
• References
• Discussion
TIMELINE
Gantt Chart
PRESENTATION OUTLINE
• Introduction
• Problem Definition
• Lean Manufacturing
Concepts
• Progress
• Improvements
• Timeline
• Conclusion
• References
• Discussion
CONCLUSION
The following table summarizes the improvements:

Improvement Type of Waste Percentage Improved

Barcode Reader Non-Value added Time 5%
Industrial Hand Cart Non-Value added Time 11%
Boxes Volume Shipment Cost 2.56%
Reduction

Total Improvements:

16% Reduction in the unpacking process time.

2.56% Reduction in the shipment cost.
PRESENTATION OUTLINE
• Introduction
• Problem Definition
• Lean Manufacturing
Concepts
• Progress
• Timeline
• Conclusion
• References
• Discussion
REFERENCES
 http://www.leanproduction.com/intro-to-lean.html
http://www.mindtools.com/pages/article/newSTR_44.htm
http://www.nissan.com.eg/en/web/homepage/index.htm
https://www.google.com.eg/imghp?hl=en&tab=wi&ei=6nnjVNWUM8n4UILig
ogI&ved=0CAQQqi4oAg
PRESENTATION OUTLINE
• Introduction
• Problem Definition
• Lean Manufacturing
Concepts
• Progress
• Timeline
• Conclusion
• References
• Discussion
THANK
YOU