Recap: Smurfit-Stone Container Operational Excellence Boot Camp

Recap
Smurfit-Stone Container * Operational Excellence Boot Camp 1

Mindsets and capability introduction

WHAT DOES SUCCESS LOOK LIKE?
Success requires an integrated system of technical, managerial, and cultural excellence
Attribute World-class manufacturers have . . .
1 • Clear links between the technical operating system to

Operating
manufacturing strategy
system
• Material and information flows that minimize movement, tie
production rates to true customer demand, and build only what is
consumed or ordered
• Fully defined work standards, maintenance and quality systems
• Full understanding of the operating system by all employees, down
to front line
2 Management • Rigorous performance and health management systems

infrastructure • Organization structure (re)design to best match operating system
needs
• Capability building structure and processes, with continuous
improvement infrastructure to drive sustained change
3 • Explicit shifts in mindsets and behaviors down to the front line

Mindsets, • Full buy-in and understanding of roles for each individual
capabilities, • Fully, continuously aligned leadership that can resolve issues quickly
behaviors • Appropriate skills at appropriate levels within the organization
WHAT DOES IT TAKE TO DRIVE CHANGE?
Motivated,
capable people
A powerful
change engine
Management
information and
systems

OPERATIONAL TRANSFORMATIONS REQUIRE A THREE DIMENSIONAL
APPROACH
“The way physical

assets and resources
“The formal structures,
are configured and Management processes, and
optimized to create value systems systems through which
and minimize losses” “the steering wheel the operating systems
and dashboard”
are managed to deliver
the business
Operating systems objectives”
“the engine”
Mindsets and
capabilities
“the driver”
“The way people think, feel,

and conduct themselves in
the workplace, both
individually and collectively”

MAKING CHANGE “STICK” CAN BE A CHALLENGE
Performance
Behavioral
effect
“Technical”
improvement
Time
Stability Step change Sustainability

WHY IS “REAL CHANGE” SO DIFFICULT?

PEOPLE MAY UNDERSTAND, BUT WILL NOT NECESSARILY COMMIT TO
CHANGE BECAUSE YOU TOLD THEM SO!
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Operator Supervisor
(7 years’ (12 years’
experience) experience)

SOME BASIC BELIEFS ON CHANGE MANAGEMENT IN OPERATIONAL
ENVIRONMENTS
• Operational and organizational change are reinforcing; both are more

successful and sustainable if done together
• Successful transformations design change management as an integrated

program from the individual’s perspective, including all “events” from floor lay-out
changes to skip-level lunches
– A clear view on the current and future state guides the design, using inputs from the
operational and organizational assessments
– To change their behavior, each person needs to experience change on four

dimensions (their capabilities, their understanding of the change, the behavior of
their role models, and the systems that govern their job)
– People change over time and the stages of change are fairly predictable ;
successful change programs take this into account and are rolled-out in a sequence
that reinforces these stages
• Change programs are dynamic; as individuals experience the change program,

new insights or issues will develop – necessitating refinements to the original plan

REFLECTING ON OUR POSITIVE CHANGE STORIES

EFFECTIVE CHANGE MANAGEMENT ACHIEVED BY ADDRESSING BOTH
BEHAVIORS AND MINDSETS
Behaviors themselves are not assessed directly, but through mindsets and capabilities
People development
Behaviors are a
Visible example
result of
What we see underlying
and attempt to • I don’t make time for
coaching mindsets and
address Behavior capabilities
• I care about people,

but don’t feel
Invisible Thinking coaching is as high
What we don’t and feeling a priority as ops and Mindsets and
see, but creates financial issues capabilities
behaviors are more
(Mindsets & Values • Coaching doesn’t objectively
Capabilities) and beliefs help me or others measured
get ahead using tools
Needs that are met • None of my bosses
or not met ever took time to
coach me . . .

HOW THIS TYPICALLY PLAYS OUT POORLY
We’re going to need to review

our approach to performance
management
I don’t like the sound
- Change Agent
of this – what if I don’t
Production and make the targets?
Usual focus of the
management - Supervisor/Manager
change effort
systems
Critical
determinant of
Trust
Values whether change
Motivation happens or not
Beliefs
Fear Behavior
What are the

hidden sources
of resistance to
change in the
plant?
How have you
overcome
them?
INFLUENCING MINDSETS AND BEHAVIORS BY PULLING MULTIPLE
CHANGE LEVERS SIMULTANEOUSLY
Lever categories Lever categories
Fostering understanding
Role-modeling and conviction
• Leadership actions “…I see superiors, “…I know what is • Story development
• Opinion shapers peers and subordinates expected of me – I (includes all the key
• Interactions behaving in the new agree with it, and it is elements, e.g., values,
way” meaningful” strategy, case for
change)
• Story delivery (across
relevant levels, i.e.,
organizational,
employee, functional)
• Talent management “…The structures, • Organization structure

– Hiring “…I have the skills and processes and systems • Targets and metrics
– Replacing competencies to behave reinforce the change in • Management
– Retaining in the new way” behavior I am being processes
• Learning asked to make” • Business processes
– On-the-job • Rewards, recognition
development Developing talent Reinforcing with and consequences
– Training and skills formal mechanisms • Information systems
– Action learning

Performance management introduction

PERFORMANCE MANAGEMENT INFRASTRUCTURE IS AN IMPORTANT
PART OF THE TRANSFORMATION MODEL
What it is
“Implement formal processes
through which plant is managed in
support of continuous improvement”
What you do
• Develop managerial capability
– Establishing/monitoring KPI’s
OPX – Conducting performance
dialogues
Management – Supervising compliance and
System improvement to standard work
OPX Operating
Tools
System
• Visual management boards
• Machine operating logs
Smurfit-Stone • Standard metrics and targets
Performance
Culture

A STRUCTURED PERFORMANCE MANAGEMENT PROGRAM IS
REQUIRED TO ACHIEVE OBJECTIVES
Elements of PM Objectives
Metrics &
• OPX KPIs cascaded to floor
targets
• Targets provide performance stretch
• Individuals held accountable for performance
• Performance logs, boards and reports are simple and support

Performance
Tracking
meetings
• Mechanism in place for tracking actions
• Individual appraisal process includes performance gap, strengths
and development needs. Peer performance is compared
Performance
dialogue
• Cascaded meetings with clear structures and agendas
• Meetings are well prepared and attended with good team dynamics
Actions /
Rewards &
Consequences • Problem solving approach used (problem identified, prioritized, solutions and actions)
• Poor individual performance identified and addressed. Good performance rewarded

WITHIN THE MANUFACTURING ORGANIZATION, CLEAR ROLE
ACCOUNTABILITIES ARE DEFINED IN DRIVING PERFORMANCE
Key accountabilities OPX manages to
• Operational capabilities and standards • Safety
RVPs – Industry cost leadership • Costs
– Industry safety leadership • Cost improvement
• Resource management • Margin / MSF
– Talent [informational]
– Assets
• Safety • Safety
Area Ops • Operational execution
Managers
• Cost / MSF
– Margin • Margin / MSF
– Waste [informational]
– Quality
• Safety • Safety
Plant • Plant performance • Cost / MSF
Managers – Cost
• MSF / machine hour
– OEE • OEE
• Waste
• Quality
Plant
Superintendent
• Safety
Supervisors • Machine center performance • Safety
– Production • Production / machine
*Machine type – Waste hour*
dependent – Quality
(lineal ft / MH,
MSF / MH, or Hourly
kicks / MH)
Source: OPX Playbook
MANAGEMENT TOOLS PROVIDE CLARITY INTO PERFORMANCE
Frequency Tool Information Availability

Corrugating Converting
Continuous
• M/C speed • M/C speed
• Downtime • Actual downtime
• Special Alert msg • Light indicator for
(e.g. low temp) downtime
Hourly
Corrugating Converting
• M/C speed • M/C speed
• Total Lineal Feet • Kicks produced
• COPARs chart • Major problems
Shift Pic of Shift Board

Handover • Output by m/c (average/hr)
• Total output by Corr and Conv
• Major actions to take
Weekly • Output by m/c (hrly average) for past week

• Total output by m/c
• Major actions to be taken to meet any
shortfalls or issues
Machine performance logs

Target Kicks Actual Kicks Avg
Machine: 821 FFG Date: Shift: Operator: (whole shift) 69,600 (this shift) Kicks/hr
69,600
Top Problem and Action Taken
Initial
Supv
63,800
Hr
58,000
1
52,200
46,400 2
40,600
3
Total Kicks Made
34,800
29,000
4
23,200
17,400 5
11,600
5,800 6
HOUR 1 1 2 3 4 5 6 7 8 9 10 11 12 7
Machine running at Y Machine running at Y If "N" at start or end of shift, record
start of shift? N end of shift? N reason in box #1 or #12  8
Kicks (# last HR)
9
Total Kicks
Downtime (for
Hr)
10
Speed
(kicks/min)
11
Tgt Speed 252 252 252 252 252 252 252 252 252 252 252 252
Target Actual Available at Set Up? (Y/N) 12

Order Time Time Stock Ink Plates Cut Die Paperwork Pallets # BOX
S 15
Target Actual Available at Set Up? (Y/N)
E 15 S Order Time Time Stock Ink Plates Cut Die Paperwork Pallets # BOX
T 15 E 15
U T
15 15
P U
S 15 15
P
15 S 15
15 15

69,600
Initial
Supv
63,800
Hr
58,000
1
52,200
46,400 2
40,600
3
Total Kicks Made
34,800
29,000
4
23,200
17,400 5
11,600
5,800 6
HOUR 1 1 2 3 4 5 6 7 8 9 10 11 12 7
Kicks (# last HR)
9
Total Kicks
Downtime (for
Hr)
10
Speed
(kicks/min)
11
Tgt Speed 252 252 252 252 252 252 252 252 252 252 252 252

S 15
T 15 E 15
U T
15 15
P U
S 15 15
P
15 S 15
15 15

69,600
Initial
Supv
63,800
Hr
58,000
1
52,200
46,400 2
40,600
3
Total Kicks Made
34,800
29,000
4
23,200
17,400 5
11,600
5,800 6
HOUR 1 1 2 3 4 5 6 7 8 9 10 11 12 7
Kicks (# last HR)
9
Total Kicks
Downtime (for
Hr)
10
Speed
(kicks/min)
11
Tgt Speed 252 252 252 252 252 252 252 252 252 252 252 252

S 15
T 15 E 15
U T
15 15
P U
S 15 15
P
15 S 15
15 15

69,600
Initial
Supv
63,800
Hr
58,000
1
52,200
46,400 2
40,600
3
Total Kicks Made
34,800
29,000
4
23,200
17,400 5
11,600
5,800 6
HOUR 1 1 2 3 4 5 6 7 8 9 10 11 12 7
Kicks (# last HR)
9
Total Kicks
Downtime (for
Hr)
10
Speed
(kicks/min)
11
Tgt Speed 252 252 252 252 252 252 252 252 252 252 252 252

S 15
T 15 E 15
U T
15 15
P U
S 15 15
P
15 S 15
15 15

69,600
Initial
Supv
63,800
Hr
58,000
1
52,200
46,400 2
40,600
3
Total Kicks Made
34,800
29,000
4
23,200
17,400 5
11,600
5,800 6
HOUR 1 1 2 3 4 5 6 7 8 9 10 11 12 7
Kicks (# last HR)
9
Total Kicks
Downtime (for
Hr)
10
Speed
(kicks/min)
11
Tgt Speed 252 252 252 252 252 252 252 252 252 252 252 252

S 15
T 15 E 15
U T
15 15
P U
S 15 15
P
15 S 15
15 15

PERFORMANCE DIALOGUE
Description
Purpose • Manage productivity of crews Progress of boxes major

and make fast decisions to problems
produced in shift
resolve throughput issues encountered
compared to plan
each hour
Agenda • Typical questions/actions
– Queries over log completion
– Query poor performance e.g.,
speed, setup, quantity
– Provide problem solving and
issue resolution with crew
Attendees • Supervisor with lead operator
Timing • Every hour of shift with the most Major KPIs eg

critical time being first and last machine Set-ups-
1/2 hours speed & kicks number and
length
Inputs • Performance logs Crews must complete
logs themselves and be
accurate in order to hold
them accountable
Shift handover board exercise

Shift Handover Meeting
• Review machine performance for the prior

shift
• Provide an account of what happened to cause
that performance
• Assign actions to address the top problems
• Elevate problems that cannot be fixed
immediately (within 48 hours)

1. Reviewing the Performance
Average
Kick/Operating
Hour
Performance,
by machine, by
shift
Clear
target for Green if above
each goal, Red if
area below goal
Just focus on the “red” machines from the prior shift

1. Reviewing Machine Performance
• Come prepared to discuss the top 2-3 problems that held the
performance back
• Come prepared with actions that we can take to resolve
these problems
• Don’t forget about problems that cause the machines to run
slow
• Poor setup performance, and various minor stop issues,
system performance issues, and process failures. This is
not a running maintenance list.

2. Assign Actions to the Top Problems
Specific actions
Listed by Area
that address the
and Shift
top problems
Single-
person
owner
Due Dates
Our aim is to generate at least one action for each area in within 48 hours
the red …and then complete them within 48 hours!

Assigning Actions
• Actions must be specific/biggest problems

– Check to see if ink pump is clogged versus check ink
pumps
– Spend 2 hours training Bob on feeder adjustments
versus training
– Look for actions to improve the process
• Actions must have a single owner
– This person must be present and will be responsible
for ensuring the actions get done
• Actions must have a due date within 48 hours

3. Elevate Problems that Cannot be Fixed Immediately
Systematic,
Chronic and High
Complexity
problems can be
elevated to weekly
steering
Time and Agenda Problems for

Rules steering
If we can’t fix it in a few days, and it’s a worthwhile problem to solve,

then elevate it to the Production Manager
Who needs to be there?
• Must Attend:
– Superintendent (leader in morning and
afternoon)
– Outgoing supervisors (conv & corr)
– Incoming supervisors (conv & corr)
– Maintenance supervisor / representative
• Optional Attendees:
– Scheduler, Customer Service Rep, Plant
Manager

When and Where
• When:
– Soon after shift change
– Allow enough time for outgoing supervisors to update
the board and incoming supervisors to get machines
started
– Last no longer than 15 minutes
• Where:
– In a visible, public location (no sitting)
– Quiet enough to hear each other
– In front of the Shift Handover Board

Agenda
• Review actions from previous day (2 min)
– Quick Done/Not Done responses from action owners
– Follow up actions can be brought up at this point.
• Review performance of the shift (5 min)
– Congratulate greens, highlight very low reds.
• Assign actions for “red” machines (5 min)
– Prioritize machines that need the most help
– Skip green machines and red machines that are “close”
• Identify problems to elevate to steering (1 min)
– Chronic, high complexity problems
• Shift Handover Communication (2 min)
– Outgoing supervisors pass on machine, order and crew-
specific information to incoming supervisors

Meeting Rules
• Be on time
• Be prepared
• Keep updates brief and fact based
• No problem solving in the meeting
– Just come up with actions
• Be open minded
– Don’t dismiss problems that are tough to solve

Roles - Supervisors
• Write up the performance of your machines on

the board (in red and green) before meeting
• Arrive on time
• Come up with proposed actions for your
machines that were in the “red”
• Identify problems that you will need help to
resolve (training issues, long standing machine
problems, chronic slow running etc.)
• Keep positive improvement mindsets

Roles - Superintendent
• Lead the meeting, keeping to the agenda and
time limit
• Stop idle discussion, problem solving and/or
complaining that starts up in the meeting
• Question owners of previous actions:
– Did you complete this action?
– What were the results (data!)?
– Is the problem permanently solved?
• Ensure that the proposed actions will drive real
results

Roles – Maintenance Attendee
• Be aware of machine problems that have

arisen during the shift
• Provide update on completed maintenance
actions
• Propose actions that the maintenance
department can take to improve
performance
• Take new actions from this meeting to the
maintenance department

Desired Outcome
• Actions!
– That will help the performance of the machines in the next 24
hours.
• Elevating tougher problems
– Get the to the Production Manager as soon as possible
• Recognition
– Recognition should start with installation of the board
– Award performance publicly
– Recognize crews that meet their targets

Shift handover board exercise

Shift Handover Meeting discussion points
• Was attendance acceptable?

– Name three key people / positions in attendance.
• Were they organized and did the meeting flow effectively?
– Where there outside distractions or were they focused?
• Did they review machine performance effectively?
– Provide one example of good machine performance and one example
of not so good machine performance.
– Where they prepared to discuss the issues? If so, how?
• Did the leader assign specific actions?
– Where they assigned to one person or more than one person?
– Did they have a completion time assigned?
• What do you feel was the most effective part of the meeting?
• What do you feel is the biggest opportunity to improve the meeting?

Supervisor coaching introduction
Building Mindsets & Capabilities of Front-line
Leaders

Front-line Leadership
• The capabilities of our front-line leaders is recognized as a significant gap
• These leaders set the tone, are the greatest influencers on the rest of the organization
Supervisors are THE

Relied on to teach & • Performance lever w/
Management
train the technical Hourly workforce in terms
systems
part of making boxes… of behaviors, processes
& results…
• Operating
Systems
• Mindsets
and
capabilities
Right or wrong they are the visible

model of the organizations principles & mindsets…

MINDSETS AND CAPABILITIES BUILT USING THREE
APPROACHES
• Description
• Classroom – Provide leadership and
training problem-solving training
to key plant personnel
involved in
transformation
• Building
• On-the-floor – Have plant personnel
mindsets
practice work with OPX team to
and
under-stand approach
capabilities
– Have a checklist or
scorecard for
supervisors that includes
them auditing introduced
processes
• Coaching – Assign a coach to super-

visors, superintendent,
plant manager
– Coach the coaches and
audit success

Management Influencers Individuals
• Formalized IDP’s • Classroom Trng • Formalized IDP

• 1:1 coaching • 1:1 coaching • Seekout feedback
• Supervisor mtgs • Vendor interaction • Vendor interaction
• Vendor interaction • JIT Training • Conduct training
• JIT Training
• Performance Feedback
• Model • Model

ON-THE-FLOOR TRAINING IS ASSISTED USING A
CHECKLIST
Checklists for
supervisors may
include items not part
core OPX but are still
their responsibility
e.g., safety

EFFECTIVE COACHING IS A GREAT MECHANISM TO ESTABLISH NEW
OPX ELEMENTS, BUILD CAPABILITY AND CREATE A SENSE OF
URGENCY
• Successful coaching is this . . . • . . . not this
– Coaches feel responsible for – Leave supervisor to explain poor
delivery of new targets performance to OPX team
– Coaches provide strong – Coaches do not demand

recommendations with rationale for compliance; if a difference of opinion
decision emerges take to OPX leadership
– Coaches work through supervisor – Coaches do not tell hourly staff what
to do, press buttons or pick up board
.
– Supervisor coaches spend most of – A hands off approach with limited
shift with supervisors and leadership interactions
coaches spend ~25% of day with
superintendent and plant manager
– Coaches should expect feedback on – Become defensive when questioned
coaching performance from OPX – treat as a learning experience
leadership
– Complete daily coaching logs to – Hold communications from team
share performanceSmurfit-Stone
issues Container * Operational Excellence Boot Camp 52
A DAILY COACHING SUMMARY TRACKS PROGRESS AND PROVIDES
INFORMATION TO PLANT LEADERSHIP
• Drives a common focus on hitting
new throughput targets – green
target is hit, red is under target
• Identify
any help
required
by OPX
team
• How
supervisor is
performing
Influencing techniques

UNDERSTANDING POWER AND INFLUENCE
• Our openness to influence • TOPS = Result
– Authority • T = Choice of influence tactic

– Similarity
– Liking • O = Your organizational power
– Scarcity
– Commitment and consistency • P = Your personal power
– Reciprocation
– Social proof • S = Your skill with tactics
– Logical proof

Source: Interpersonal and Interactive Skills, Lore International Institute, Inc., 1996
INFLUENCING TECHNIQUES
• Some influence with integrity… • …while others are unethical*
• Stating • Avoiding
• Legitimizing • Intimidating
• Persuading logically • Threatening
• Appealing to friendship • Manipulating
• Socializing
• Exchanging
• Consulting
• Appealing to values
• Modeling
• Building alliances
*Although these techniques can be effective, they can damage relationships and doom future
influencing attempts Smurfit-Stone Container * Operational Excellence Boot Camp 56
SOURCES OF ORGANIZATIONAL POWER
– Status, position, or authority
Role
– Ability to make decisions affecting others’ work or careers
– Power to reward or punish
– Ability to give or withhold recognition, promotions, or favours
– Control of important resources

Resources
– Ability to give or withhold resources -- and affect someone’s
chances
of success
– Access to, control of, and ability to disseminate information or
Information data
– Possession of information that others need to do their jobs
– Possession of privileged information
– Ability to help or hurt others with information
– Access to information, resources, etc., through inside or outside
Network contacts
– Committee/task force assignments, professional associations,
political contacts
– Ability to get things done (possibly sidestepping processes) through
– connections
Others’ awareness of your knowledge, expertise, talents, abilities,
Reputation or personal attributes
– Renown, respect, recognition, or acclaim within an organization or
industry
SOURCES OF PERSONAL POWER
– Expertise in a particular subject
Knowledge – Knowing how to get things done or how things work in an
organization
– Ability to apply knowledge or share it with others to solve a
problem or to help others do their jobs
Expressivenes – Ability to persuade by being articulate, expressive, enthusiastic,
s motivational,
or inspirational
– Presentation or public speaking skills
– Ability to communicate effectively
–
– Ability
Others’tosense
facilitate, to promote
of affinity with ordialogue,
similaritytotobring
you people in or together
Attraction – Friendliness, genuineness, openness, and willingness to disclose
information about yourself
– Interest in others
– Ability to listen and empathize
– Charisma
– Trustworthiness, honesty, and integrity
Character – Dependability
– Loyalty to and respect for others
– Personal ideals and values
– How well you know the person you want to influence
History – How often you’ve worked together
– How comfortable you are with each other
– Your willingness
Smurfit-Stone Container * Operational
to work Excellence
together,Boot
workCamp
things out, do favours, etc. 58
Maintenance introduction

RELATIONSHIP OF MAINTENANCE TO OPX DIAGNOSTIC OVERVIEW
Description
Background • Maintenance is the backbone of any successful manufacturing operation and
a large “enabler” of increased throughput. Poor maintenance practices lead
to substandard machine utilization, poor quality product, and wasted SSCC
funds
• Standardized procedures for the reporting and completion of work orders are
not being consistently followed, resulting in poor recording of machine
breakdown issues and inhibiting scheduling of plant assets
• Inadequate machine cleanliness causes breakdowns and limits throughput
• Repair part storeroom organization is poor and represents wasted time and
plant resources
OPX • Standardizes sustainable maintenance procedures and mindsets

features to strive for goal of 80% planned maintenance
• Prioritizes equipment strategy and maintenance actions around the true
drivers of machine downtime and reduced throughput
• Focuses all crews on machine cleanliness and makes it a part of the weekly
routine
• Sets a basic expectation for parts storage and ongoing inventory
management

MAINTENANCE DIAGNOSTIC: DETAILED WORK ORDER DIAGNOSTIC
DIAGNOSTIC &DESIGN
OPX End-State Sample Issues
Work Order • Work orders used to report, assign and • Work Orders are underutilized
Utilization schedule all non-preventive maintenance • Maintenance leadership not enforcing “no work
• Operators trained in how to fill them out and without a work order mentality”
supervisors should be ensuring that the proper • Plant personnel do not see value in functioning
work order process flow is followed work order system
Work Order • The plant has a process in place for the • Machine centers have no idea how to fill out work
Process submission, approval, prioritization, and orders and are not expected to
Flow assignment of work orders • Maintenance leadership assigns and completes
• Feedback loops are in place to inform corrective maintenance without using work orders
machine centers of the status of their • Machine centers and floor leadership have little
machines’ work orders confidence in work order system they consider a
• Plant leadership is regularly updated with the “black hole”, since they never hear back on
status of all open work orders and associated status of submitted work orders
required parts
Equipment • Completed work orders form the material • Although electronic database captures some
History history for a piece of machinery machine history, plant relies on the memory of its
• Whether retained electronically in a personnel for machine history
spreadsheet, in a logbook for a machine, or • Limited time for administrative work by
as a collection of completed work orders, maintenance leadership, little computer sills
some history is maintained to troubleshoot among technicians
repeated issues causing machine downtime

MAINTENANCE DIAGNOSTIC: EQUIPMENT STRATEGY DIAGNOSTIC
DIAGNOSTIC &DESIGN
PM • PMs are done on the day they are scheduled • PM process has been done incorrectly for so long
execution at the time they are scheduled, and are only people are resigned to continue it
switched by the Plant Manager under • Maintenance leadership does not have a structured
extreme circumstances approach to rebuild their PM program
• PMs and work orders start on time, finish • Plant leadership wants to switch PM times due to
when all maintenance is complete, and are “flexibility concerns”
followed immediately by machine startup • If maintenance is complete, machine sits idle until the
end of the PM period instead of being started back
up
PM design • PMs are a hybrid of: OEM • Sparse records of machine maintenance history
recommendations, operator/maintenance • OEM technical documents missing for some
input, and material history machines
• PMs designed to prevent the major causes • Some OEM-provided checklists are little more than
of machine breakdown and slower than a lubrication schedule
required speed • Plant is unwilling to “lend” operators to workshop
process, or scheduled operators don’t show up
Operator • Operators share with the maintenance • Hard to train operators on basic maintenance
involvement department the responsibility of keeping their • Union issues (i.e. change to job description)
machine in top working order. • Operators and maintenance not used to “working”
• Cleaning of the machine is conducted during on machine at the same time
weekly cleanups, not during the PM time.
• Operators are involved in the development
of the PM sheets, as their day-to-day
experience provides valuable insights

MAINTENANCE DIAGNOSTIC: SCHEDULING/TRAINING DETAILED
DIAGNOSTIC DIAGNOSTIC &DESIGN
Maintenance • Work is scheduled in accordance with • Maintenance is scheduled on an ad hoc

Scheduling the criteria laid out in the OPX basis without any real structure
Playbook. In general • Maintenance is started without truly
– Work is prioritized based on safety knowing the scope of work or even if
and throughput considerations parts are present
– Work needs are compared with • Leadership and maintenance do not talk
plant/department resources about the prioritized work for each
– Schedule is communicated between machine.
maintenance department and
production leadership
Training • All OPX plants emphasize the following • Maintenance technicians have widely
when it comes to the training of their varying skill levels
maintenance personnel • No training plan in place to improve skills
– Basic technical skills and training of young technicians
– Knowledge of OEM Equipment • Manning centered around wants of
– Effective placement of their technicians rather than needs of plant
technicians to meet both plant and
training needs
• Additional detail can be found in the See performance management section on
OPX playbook maintenance meetings and dialogues for
further detail on maintenance scheduling

FUTURE STATE OF MAINTENANCE MEETINGS AND DIALOGUES DESIGN
New Meetings/interactions
New Reports + tools
Performance dialogue cascade
Frequency
On-shift/real-time Shift Daily Weekly Monthly
Plant Manager +
Superintendent
Maintenance
planning &
Organizational level
prioritization
Maintenance
Shift work plan
Supervisors
Review work-
orders and
Planning
determine root-
board
Maintenance causes
Techs
Parts
availability file
Work-order
board
Work orders Work orders
Operators developed completed file
Provides crews with Planning for day, next day Posted at machine
prioritized work for shift and discussion of major centers to allow operators
issues to review progress

SHIFT WORKPLAN MEETING CHARTER
Description Board design
Purpose • Assign daily work to crew & gather

info from preceding shift like
machine issues and incomplete
repairs
Agenda • Summary from preceding shift

(each crew member)
• Make assignments for next shift
– PMing which machine and time
– Discuss priority work orders
– Routine work in inbox (not
discussed )
Attendees • Maintenance supervisor

• Parts clerk
• Crews (both shifts)
Timing • Start after toolbox at shift change

• 10-15 min
Inputs • Work orders distributed by

maintenance person

MAINTENANCE PLANNING AND PRIORITIZATION MEETING CHARTER
Description Board design
Purpose • Plan and prioritize work for

– Next PM* (next day)
– Weekend
– Open projects
Agenda • Review upcoming PM and

anything other than PM for that
machine
• Preplanning outages for open
issues (superintendent feeds back
PM info)
• Possible weekend project review
• Need for external resources
Attendees
• Maintenance supervisor Board should be located
• Plant superintendent in same area as daily
Timing Maintenance Department
• 15-20 min daily meetings
Inputs
• PM bottlenecks, opportunities from
Superintendent
• Parts availability log
*Once the system is in place consider planningContainer
Smurfit-Stone one week in advance Excellence
* Operational rather than Boot
dailyCamp 67
Equipment Strategy Workshop

EQUIPMENT STRATEGY WORKSHOP INTERACTIVE SESSION
• To understand how to identify the “gaps” in your current PM

program and create a PM task list and schedule that
Purpose addresses your major causes of machine downtime
• OPX members will help facilitate an equipment strategy

workshop with the Bootcamp participants (likely on one
Process section of a converting machine) Questions to be addressed:
– What are the maintainable components on this machine?
– How could/do those components fail?
– What actions could we take to prevent those failures (or do
we run the components to failure)?
– How often do we take those actions?
– Who should be responsible for those actions (maintenance
personnel or operators)?
• PM plan for machine component analyzed during workshop.

End products

“WHAT IS EQUIPMENT STRATEGY?”
Equipment strategy is the approach used by an organization to

maximize effectiveness of their machines, operators and
maintenance.
Elements of equipment strategy include:

–Maintenance planning and scheduling
–Cleanliness
–Roles and Responsibilities
• What is the operator responsible for?
• What is the maintenance person responsible for?
–Training

PROPER EQUIPMENT STRATEGY BENEFITS STAKEHOLDERS ACROSS
THE PLANT
Operators
• More time running boxes
• More predictable schedules
• Job made easier
• Higher throughput
• More time running
machines
• Less scheduled •More, better,
overtime (fewer
weekends worked) Maintenance faster….
Supervisors • Money freed up for Department •Be competitive in
improvements • Frees up budget used the industry
• Less time for shipping (~50%)
fighting fires • Higher utilization of
• Meet volume maintenance
goals personnel
• Minimize • Not pulled off PMs
waste to fix breakdowns
elsewhere

OVERVIEW OF 4 STEPS OF THE INITIAL EQUIPMENT STRATEGY
WORKSHOPS
Identification Development of
Root cause analysis Definition of operator
of major causes daily/weekly/monthly
and action steps responsibilities
of failure PM items
Reason • Because so little • Once root causes • OEM specs and group • Operators currently
maintenance is currently identified, root causes input used to set correct have little knowledge of
unplanned, root causes identified and maintenance schedule failure modes and feel
of frequent failures must prioritized in order of that both addresses root little sense of
be identified. impact. causes and minimizes ownership for the
machine downtime. machine
Input Failure Root Daily checks Operational basic care

type cause Action
Weekly checks Cleaning Maintenance
• ... • ... • ... Monthly • ... • ...
checks
• ...
Product Tree diagram of major Listing of steps to Formal division of daily, Detailed descriptions of
failure modes, sorted by address top causes of weekly, and monthly required cleaning and
component, used to set failure, helping establish maintenance checks, maintenance to be
preventive maintenance priorities based on OEM specs performed by operator
priorities. and group input

Source: team analysis
FLEXO – EQUIPMENT STRATEGY WORKSHOP
Prefeeder failure mode analysis
Maintainable item Failure mode Impact Root Cause

Belt worn
Belts Lacing pulled out
Wrong/mismatched Belt
Tamper worn out

Tamper
Loose bolts
Seal blown out
Rollers and Bearings Failure
Leaks
Hydraulics Clogged Filters
Solenoid failure
Leaks
Air system Broken lines
Air motors lock up
Dirty
Photo Eye
Blocked
ROOT CAUSE ANALYSIS
Purpose: Once major causes of equipment breakdown are identified by component and
root cause, they can be assigned a corrective action that fixes root cause in the future
Failure mode Impact Root cause Potential fix

Example 1 Main drive motor Damaged dies, Bad SCR in drive Enter work order to
shuts off after 4 loss of productivity motor replace SCR
hours
Example 2 Broken counter- Lost productivity Improper lacing on •Inspect lacing

ejector belt every 4 belt, not changing •Inspect rollers
weeks often enough, bad •Change belt more
rollers frequently
Example 3 Rounded bolt Maintenance time Poor tooling, not •Make regular PM
heads on pull wasted to drill out changing often to change bolts
collars bolts enough •Regular
inspection/replace
ment of tooling
Ideally potential fix should result in a PM of agreed-
upon frequency, a new corrective work order to fix
problem, inclusion into operator basic care
PRIORITIZATION OF FAILURE MODES
Should be done in order of impact on production
Photo eye dirty Prefeeder belt

breaks due to wear
High
Probability of Failure
Leaks in hydraulic Lead edge feeder

system grate gets out of
parallel
Low
Low High
Impact on Production

DEVELOPMENT OF PLANNED MAINTENANCE ITEMS SLIDE
Input Output
OEM specs Converted into standard
maintenance items
W-1 W-2 W-3
Maintenance items •... •... •...
sorted by frequency •... •... •...
Operator • Weekly •... •... •...
experience • Monthly
• Semi annual M-1 M-2
• Usage based •... •...
• Etc. •... •...
•... •...
Output of
root cause Maintenance items include
workshop • Work to be performed
• Equipment needed
• Safety precautions
• Approximate time to complete
• Spaces for sign-offs of com-
pleted and inspected items
Once generated, maintenance items should be scheduled accordingly

Preventive Maintenance Plan Operational Start up expectations:
•PM’s end on time

•Machine is zero and registered-machine readiness
•Circles items are calibrated-machine readiness
•Operations starts up machine at designated time and is producing a quality box at normal run
speeds

Sample Checklist
Daily OC - FFG
Time
Shutdown During Required( mi
? Setup? n) Signature Issues Discovered
Prefeeder
Feed Table
Check operation of section locks x

Print Section

Slotter
Visually inspect glue tab anvil x

Cutting Die

Folding Rails
Jam detector needs to be wiped off daily x

Counter Ejector
Clean the lenses of the photo eyes with air,
either by blowing them off or vacuuming them.
Wiping them with a cloth may damage them. x
Corrugator diagnostic walk through

CORRUGATING: DIAGNOSTIC WALKTHROUGH
• Introduce the diagnostic elements of the corrugator

workstream
Purpose • Familiarize the class with machine condition and process
control elements on the corrugator
• Break into two groups. One group from starch to stacker, the
other from stacker to starch, write down all mechanical or
Process process problems observed
• Time: ~30min tour and ~15min debrief
• Tools: Paper and pen
• Debrief of the findings from both teams on whiteboard

• Identified common findings (circled on board)
End products • Discussion of prioritization of elements
• Understanding of diagnostic steps

Corrugating process controls

RELATIONSHIP OF CORRUGATOR PROCESS CONTROLS TO OPX
DIAGNOSTIC OVERVIEW
Description
Back- • Poor quality coming off the corrugator was impacting converting machine
ground performance
• Corrugator operators did not have the training or experience to recognize

poor quality sheets, nor did they have the direction to stop corrugator
operations (line-stop authority) to get to the root cause of poor quality
sheets
• Plant supervisors and operators displayed a significant knowledge

deficiency regarding quality measurements and SSCC tools and training
regarding problem identification
• Corrugator physical condition was poor and undermining board / stack

quality and operations (downtime and speed).
OPX • Corrugator supervisors and operators are trained to recognize and

features measure board quality attributes and conduct those measurements while
running the corrugator at optimum speed
• The corrugator owns the sheets coming off the corrugator, into the WIP,
until they are fed into the converting machines
• The physical condition of the corrugator serves as the foundation for
effective corrugator operations
• An OPX transformation includes a rapid diagnostic of the corrugator’s
physical condition, and coordination with Carol Stream resources and
vendors to bring prioritized corrugator elements to a minimum standard
CORRUGATOR QUALITY DIAGNOSTIC DIAGNOSTIC
Objective: Corrugator produces quality sheets and stacks to enable throughput on the converting machines
Using the Toolkit: Audit the current process and see how it compares to the Desired State. Areas lacking should be addressed on a priority basis.
Impact Levels are based on following:
• A = Is likely to directly affect throughput on downstream machines
• B = Results in minimal segregating at the converting machine
• C = Results in extra work at the output of the corrugator
• D = Is an external enabler to sustained corrugator quality
Current
Topic Ideal End State Impact State
Corrugator 1. What are the biggest sources of poor quality in • No low-quality sheets reach the converting • A
the WIP area? machines
quality output
2. Does corrugator stack quality meet standards • Stack quality does not inhibit converting • A
or inhibit converting performance? throughput
3. Who is perceived to “own” sheets lying in the • The corrugator “owns” the sheets until it is fed • D
WIP area? into the converting machines
4. Is there a method of communicating poor • There is rapid and quantitative feedback
quality from the converting machines to the regarding poor quality from the converting
corrugator? machines to the corrugator
• D
Quality 1. Does the plant’s quality office maintain • Crews receive regular training on quality
measurement documented training for crews on quality measurement, the effect of poor quality, and • D
checks, including the use of Plant Test specific operations that affect quality
Methods?
2. Are plant operators conducting quality checks • Quality checks are conducted during corrugator
during corrugator operations operations, not to interfere with corrugator • A
throughput
3. Are quality standards posted in the vicinity of the • Quality standards are visible to all pertinent
operators? operators
4. Do operators have the knowledge and tools • Measurement tools and procedures are placed • D
necessary to ensure board quality? within working distance of the operation (5S)
5. Does the supervisor understand quality • Supervisors are active in ensuring corrugator • D
standards, measurement techniques, and quality
how to observe an operator’s performance? • A
CORRUGATOR PROCESS DIAGNOSTIC (1 of 2) DIAGNOSTIC
Objective: Rapid diagnostic results in identification and repair of mechanical and process issues affecting corrugator output, both quality and
throughput related
•A = Major repair is needed to meet quality or throughput standards OR enables follow-on critical repairs to be done
•B = Repair or enhancements that are likely to affect throughput and threaten the ability to hit throughput targets. Likely a chronic source of downtime
•C = May be a longer-term repair, does not affect throughput within the OPX timeframe
Current
Adhesive 1. Starch formulation

• Starch formulation is prepared by vendor, exists as a controlled document, and is followed verbatim
• Starch preparation area is clean (5S) and only the tools needed for proper adherence to the formula and
quality standards are in the area
• A
• Machine diagnostic shows no evidence of mechanical failure compromising adhesive application (e.g. no
Application leakage of water into starch, mixing pumps are in good condition)
• Gap settings and indicators are calibrated, centerlined for operations; gap scales are installed
• Gap settings procedures are in use for startup and monitoring operations, with targets and corrective actions
2. Starch preparation for out of tolerance defined
• B
- Cleanliness of area • Temperature vessels are consistent in temperature, steam systems are not leaking
• Temperature monitoring tools are available for each operator and calibrated
• Procedures are in place for temperature monitoring at the wet-end stations; vessel monitoring takes place
- Correct tools (Steinhall) to measure quality frequently while running
• Other temperature systems (e.g. Profero “hot shoes”) are used as designed and all indicating systems are
3. Starch delivery system calibrated
• A
4. Adhesive gap settings

• A
5. Adhesive application procedures

• B
Temperature 1. Temperature vessel material condition

• A
2. Temperature monitoring tools
3. Temperature monitoring procedures

• A
• B
4. Other systems
• A/B
CORRUGATOR PROCESS DIAGNOSTIC (2 of 2) DIAGNOSTIC
Current
Paper 1. Parallelism • All rolls in parallel • A

2. Paper edge alignment • Edge alignment procedures and indicating • A
equipment are installed and used to correctly
line rolls
3. Stackers and stack quality • Stacker(s) result in clean stacks the first time, • A
with minimal re-stacking
4. Triplex / knife / slitter • All cutting processes cut and score to the • A
planned dimensions without jamming
1. Glue roll speeds and brake tensions

Tension • Tension systems are calibrated and operated to • A
prevent misalignment of paper
2. Splicer condition
• Splicer equipment is clean and enables
successful splicing operations
• A
1. Machine cleanliness
Other /
• Machine cleanliness is maintained so that
General
material abnormalities may be detected early • B
(e.g. no splattered adhesive hiding rust spot
2. Machine structural stability from small steam leak)
• Machine frame provides stability for all
3. Bearings and motors operations • A
• Bearings are lubricated and not worn; motors
are clean and run as expected • A

MAJOR CORRUGATOR DIAGNOSTIC ELEMENTS DIAGNOSTIC
Who Performs Expected Outcome
Rapid • Performed by the OPX • Top-level assessment of initial state

Process team during the Diagnostic • Prioritization of actions by impact on
Diagnostic phase throughput / quality
• Prioritization of maintenance items for
plant to correct
Machine • Performed by Carol • Additional support for OPX team

Audit Stream support during the • Assessment of machine condition
pre-diagnostic phase and gaps to best-practice
operations
Vendor • Performed by the • Deep dive on machine condition

Audit appropriate vendor(s) early • Deep dive on adhesive processes
in the implementation and health
phase (as quickly as • Identification of throughput-
vendors can be identified inhibiting items
and arranged).

CORRUGATOR QUALITY END STATE EXAMPLES
From To
Board
Quality
Stack
Quality
Clean, Straight, Defect-Free

CORRUGATOR PROCEDURAL END STATE EXAMPLES
Locally developed
procedure
SSCC OPX developed

CDSOPs procedures

Corrugating operations

RELATIONSHIP OF CORRUGATOR OPERATIONS TO OPX DIAGNOSTIC OVERVIEW
Description
Back- • FI had already established some habits of pushing speed, and rolling shift performance
ground into supervisor dialogues
• Repeatable speed trial process did not exist
• Downtime recording did exist, but there was no active analysis of results, and no
incorporation into performance management
• No existing procedures in use for typical corrugator operations like splicing, butt-roll
management, automatic-order-change (AOC)
• If procedures existed, they were used infrequently, with no enforcement by supervisors
• “Circles” had not been used on corrugator to date
• No equivalent to “Rainbows” exists for corrugator (exception –Rainbows for the triplex)
OPX • Corrugator operations are centered around aggressive running to target

features speeds as defined by a speed trialing process that captures key machine
parameters
• Operations also includes rigorous problem-solving around sources of
machine downtime, and the resulting actions to preclude or mitigate
downtime
• Corrugator operations are characterized by on-shift performance
management from the supervisor to the operators including goal setting
(targets), verbal communications (positive and negative), and response to
visual management of KPIs
• Corrugator operations are conducted using standardized procedures
where possible to reduce variability and encourage repeatability
CORRUGATOR OPERATIONS DIAGNOSTIC (1 of 2) DIAGNOSTIC
Objective: Corrugator operations will be the direct driver of improved corrugator throughput
• A = Has an immediate and direct impact on throughput

• B = Is a key enabler to improved throughput
• C = Is a secondary enabler, but has implications for sustainability
Current
Speed 1. Speed Targets

• Speed Targets are set for each shift on a MLF/hr basis, consistent with desired plant targets for throughput
• Targets are displayed and communicated from the supervisors to the operators as part of a performance
management system
• B
• Speed Trials are conducted with documented results
• Supervisor is using data to drive speed performance
• Operators are using data to stabilize running at speed (speed boards)
• B
• Downtime codes are defined in Kiwi
• Crews (supervisors) are entering downtime data)
• Downtime data is used to pareto and conduct root cause problem-solving
• Priorities are established as the result of downtime monitoring and problem-solving
• Supervisors drive measurable results through downtime problem solving
2. Speed Trials
• B
• A
• A
Downtime 1. Downtime Monitoring

• C
• C
• B
• B
• A

CORRUGATOR OPERATIONS DIAGNOSTIC (2 of 2) DIAGNOSTIC
Objective: Corrugator operations will be the direct driver of improved corrugator throughput
• A = Has an immediate and direct impact on throughput

• B = Is a key enabler to improved throughput
• C = Is a secondary enabler, but has implications for sustainability or meets secondary objectives (e.g. minimize waste)
Current
Other 1. Splicing • Splicing operations are conducted according to • A

procedure and minimize missed-splices and
Operations
dwell time, while maximizing speed; at a
minimum, splices are done at the rated speed of
the splicer
2. Order Change / Setups • Setups (e.g. triplex) are conducted according to
procedure at the maximum speed possible
• A
3. Butt-roll Management • Roll-stock is managed according to the 30” butt-
roll policy; no butts less than 30” are found on • C
hand (in the warehouse)
• Shift handover meetings are conducted to

Performance 1. Crew Meetings exchange machine condition information, • B/C
Management abnormalities, training on important issues, and
information about production targets; the
supervisor leads these meetings to ensure
consistency of message and leadership
• Management enablers such as LED’s,
2. Visual Management performance boards and prioritization boards
are in place for all operators to see; the info is
• B/C
understood, easy to gather and tied to
production targets
• The corrugator supervisor is engaged in active
3. Supervisor routine management and leadership of the crew, and
knows when to lead and when to do; throughput • A
is clearly the supervisor’s priority

SPEED TRIAL IMPLEMENTATION APPROACH IMPLEMENTATION
Steps Details End product
• Ensure basic quality control has been • Stable starting point in place
achieved
Pre-work • Identify “hot-running” board combinations • Identify board combinations to include in
speed trial data collection
• Conduct speed trial using speed trial • Enforced compliance to SOP

procedure and data collection sheet
Speed Trial
• Make speed trial results boards for both • Provide supervisor and operators the
supervisors and operators (physical baseline parameters at which to run all
Post the construction as appropriate to the board combos
Results environment) • Provides confidence in running at high
speed
• Speed trial results become part of • Faster operations while meeting quality
performance and speed expectations for standards
Supervisors
crews’ performance
reinforce

SUPERVISOR COACHING AROUND A PRIORITY CHECKLIST
Failure to prioritize is a large gap

for many supervisors
Leading, not just doing, is the

ultimate goal
Checklist helps the OPX

coaches keep the big picture
as well

CORRUGATOR OPERATIONS PERFORMANCE MANAGEMENT END STATE
EXAMPLES
Speed
Board
Downtime
Monitoring
Overhead
Management
(LED’s)

Corrugator quality exercise

Diagnostic prep introduction

DIAGNOSTIC PREPARATION INTRODUCTION
• Diagnostic and design phases in the rollout

– Diagnostic
– Design
• Rapid Diagnostic Introduction

WITHIN EACH AREA, OPX IMPLEMENTATION WILL FOLLOW A
5-STEP TRANSFORMATION APPROACH AT THE PRIMARY PLANT
Partial OPX team involvement
1 2 3 4 5
Prepare Diagnose Design & Plan Implement Sustain
Timing (weeks) 1 3 1 12 Ongoing
Description • Establish prerequisites • Create baseline • Design end-state • Execute through • Check-in and follow-
• Fill data requests • Prioritize efforts • Create workplan plant team on coaching
• Introductory training • Establish unit • Plan for area • Upward feedback on
specific targets implementation OPX
Key activities 1.1• Collect data & aid 2.1• Develop overall 3.1• Develop master 4.1• Rollout and re- 5.1• Follow-up
prerequisites intro plant baseline implementation fine the phased performance
(MIFA & OEE) plan OPX elements dialogues (area
1.2• Plan out important and plant)
meetings and 2.2• Plant opportunity 3.2• Tailor OPX ele- 4.2• Rollout the
reviews assessment of ments to suit performance 5.2• OPX team circle
OPX elements local plant con- management back for audit
1.3• Prepare local man- ditions system and potential
agement for OPX 2.3• Prioritization of Kaizen events
OPX element 3.3• Develop detailed 4.3• Coach & train
1.4• Establish the team, implementation workstreams plant 5.3• Update OPX
organise logistics action plans transformation
and provide OPX 2.4• Set plant perfor- approach and
team training mance targets playbook based
on lessons
Learned
Key individuals •RVP and AOMs •OPX team •OPX team •Plant team •Plant management
•Plant management •Plant team •OPX team •RMMs
•OPX leads •OPX PMO

DIAGNOSTIC ELEMENTS – PRIORITIZE THROUGHPUT LEVERS
Plant Throughput
level opportunity Rationale
• Most board is out of spec (warp) and severely impacting converting throughput
Process controls Low High
Corrugating
Operations (speed/minor stops) Med High • Major OEE losses identified
Setups
Direct • Order readiness Low High • ~50% of time operators hunt for materials
• M/c readiness Low Med • No rainbows or zeros
Converting • Setup process Med High • No standard process and very long times
Minor stops Low Med • Continuous run approach not working
OPX Speed Low Med • Most operate 40-60% OEM

throughput Scheduling ... Med • No systems thinking
elements
Work orders/admin Low Med • Not in use consistently. No prioritization
Maintenance
Equipment strategy (PM) Low Low • PMs not built from machine failure
M/c cleanliness Low Low • Machine state poor resulting in difficult start-ups and minor stops
Workplace WIP organization Low Med • Poor WIP organisation causing lost stock
Organization
Indirect
M/c center Med Low
• Will aid sustainability but not critical
Support function Med Low
Manning Med High • Key positions missing
Performance • Good use of boards in plant. Some gaps to be filled

Med High
management
M&C: Coach Low High • Supervisors and mgnt not driving throughput
and training
MANNING DIAGNOSTIC EXAMPLE
Sample Issue
Possible Problems Throughput Impact

• Missing plate/CD person on one shift
• One machine pair without a floater
• Maintenance supervisor and plant superintendent missing
• Operat ors not required to stay over to f ill i n f or absent eeism
• Machines oft en closed for breaks

• P lant stops at shift-handover period
• P lant management pul l operators away for i ssues that could be done pre or post shi ft
• P erf ormance focus of staff is low as supervisors not driving any sense of urgency and plant management not holding supervisors accountable for poor perf ormance
(L,M,H)
Incorrect • Support function staff mis-manned L

number of • Floater to operator ratio incorrect H
staff • Missing key management roles H
• Underperforming people to remove
• Excessive absenteeism H
Staff not • No sick cover or shift cover policy
available to • Excessive training undertaken
work • Annual leave issues?
A diagnostic template
will be provided
• Meal breaks longer than planned H
Staff not at for most elements H
• Break cover process not in place
machine L
• Shifts handover process failing
• Operators repeatedly pulled away from
m/c during shift time for mgnt issues or
meetings
M
Staff idle or • Waiting for another operator to run
time is • Waiting on other personnel to fix
wasted machine or make a decision
• Waiting on materials
• Lack of urgency to perform

WITHIN EACH AREA, OPX IMPLEMENTATION WILL FOLLOW A PRELIMINARY
5-STEP TRANSFORMATION APPROACH AT THE PRIMARY PLANT
Partial OPX team involvement
1 2 3 4 5
Prepare Diagnose Design & Plan Implement Sustain
Timing (weeks) Prior to start 1-2 1 10 Ongoing
Description • Establish prerequisites • Create baseline • Design end-state • Execute through • Check-in and follow-
• Fill data requests • Prioritize efforts • Create workplan plant team on coaching
• Introductory training • Establish unit • Plan for area • Upward feedback on
specific targets implementation OPX
Key activities 1.1• Collect data & aid 2.1• Develop overall 3.1• Develop master 4.1• Rollout and re- 5.1• Follow-up
prerequisites intro plant baseline implementation fine the phased performance
(MIFA & OEE) plan OPX elements dialogues (area
1.2• Plan out important and plant)
meetings and 2.2• Plant opportunity 3.2• Tailor OPX ele- 4.2• Rollout the
reviews assessment of ments to suit performance 5.2• OPX team circle
OPX elements local plant con- management back for audit
1.3• Prepare local man- ditions system and potential
agement for OPX 2.3• Prioritization of Kaizen events
OPX element 3.3• Develop detailed 4.3• Coach & train
1.4• Establish the team, implementation workstreams plant 5.3• Update OPX
organise logistics action plans transformation
and provide OPX 2.4• Set plant perfor- approach and
team training mance targets playbook based
on lessons
Learned
Key individuals •RVP and AOMs •OPX team •OPX team •Plant team •Plant management
•Plant management •Plant team •OPX team •RMMs
•OPX leads •OPX PMO

PLANT DESIGN AND PLANNING WORK PLAN SUMMARY
Note: if diagnostic elements finish early
move immediately to the design of the
end-state; don’t wait until the 3 rd week
Mon Tue Wed Thu Fri Team
3.1 Develop overall master OPX team lead

implementation plan
3.2 Tailor individual OPX elements to OPX sub-team

local plant conditions
Each OPX workstream
• Approach/process & endstate team develops content (1
pair per 1-2 elements).
• Detailed workplan Tailor and test with plant
3.3 Detailed 1-2 week plans OPX sub-team

each OPX element
• Actions and accountabilities

for team
• Organize key plant staff or

external party meetings
• Obtain/order materials
3.4 SC review (develop material) OPX team lead

DIAGNOSTIC PREPARATION INTRODUCTION
• Diagnostic and design phases in the rollout

– Diagnostic
– Design
• Rapid Diagnostic Introduction

INTRODUCTION TO THE RAPID DIAGNOSTIC
Purpose • Get a hands-on feel for the diagnostic, end-products and performance culture required
within this team (roll-up the sleeves and make things happen quickly)
• Test run some of the material the pilot plant has developed
• Get to know other team members
• Provide this area a good head start in assessing opportunities in two of their plants
Process • Break into the class into 2 teams

• Timing:
– Prepare: Next session to determine logistics
– Diagnose plant: all day Friday
– Prepare presentation: Friday afternoon / evening
– Present findings: Saturday morning
End • Rapid diagnostic presentation (templates completed) to leadership group

Product

GENERAL REMINDERS
• Remember what it will feel like for the plant to have 10-15 OPX team
members crashing in for the day
• Don’t worry about trying to develop the perfect answer; you are doing what
we’d expect in 1-2 weeks in less than a day
• Be very end product orientated- only focus on the slide(s) you need to
complete for the presentation
• Information can be collected from a number of sources eg interviews, line

studies or SSCC reports
The OPX Staff and Area Leaders will take you

through more detailed work planning during your
live OPX diagnostics in your home areas.

Diagnostic prep team breakout

DIAGNOSTIC: TEAMS BREAKOUT
• All participants ready to go– everyone understands role in

diagnostic
Purpose • Participants understand where to go, how to get there, when
to meet, etc
• Define who will work on which elements
• Separate into the two groups that will go to each plant and
then:
Process – Conduct a brief intro of the plant
– Divide the work streams (and hand out ghost pages)
– Discuss logistics (when, where, how, etc)
• Clear plan on responsibility for workstream at each facility

• Understanding of logistics for getting to each facility
End products

Recap: Smurfit-Stone Container Operational Excellence Boot Camp

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Recap: Smurfit-Stone Container Operational Excellence Boot Camp

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Smurfit-Stone Container * Operational Excellence Boot Camp 1

Smurfit-Stone Container * Operational Excellence Boot Camp 2

Success requires an integrated system of technical, managerial, and cultural excellence

Attribute World-class manufacturers have . . .

1 • Clear links between the technical operating system to

2 Management • Rigorous performance and health management systems

3 • Explicit shifts in mindsets and behaviors down to the front line

Smurfit-Stone Container * Operational Excellence Boot Camp 4

“The way physical

“The way people think, feel,

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• Operational and organizational change are reinforcing; both are more

• Successful transformations design change management as an integrated

– To change their behavior, each person needs to experience change on four

• Change programs are dynamic; as individuals experience the change program,

Smurfit-Stone Container * Operational Excellence Boot Camp 9

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• I care about people,

Smurfit-Stone Container * Operational Excellence Boot Camp 11

We’re going to need to review

What are the

• Talent management “…The structures, • Organization structure

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• Performance logs, boards and reports are simple and support

Smurfit-Stone Container * Operational Excellence Boot Camp 16

Frequency Tool Information Availability

Shift Pic of Shift Board

Weekly • Output by m/c (hrly average) for past week

Smurfit-Stone Container * Operational Excellence Boot Camp 21

Top Problem and Action Taken

Target Actual Available at Set Up? (Y/N) 12

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Top Problem and Action Taken

Target Actual Available at Set Up? (Y/N) 12

Smurfit-Stone Container * Operational Excellence Boot Camp 23

Top Problem and Action Taken

Target Actual Available at Set Up? (Y/N) 12

Smurfit-Stone Container * Operational Excellence Boot Camp 24

Top Problem and Action Taken

Target Actual Available at Set Up? (Y/N) 12

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Top Problem and Action Taken

Target Actual Available at Set Up? (Y/N) 12

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Purpose • Manage productivity of crews Progress of boxes major

Attendees • Supervisor with lead operator

Timing • Every hour of shift with the most Major KPIs eg

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• Review machine performance for the prior

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Just focus on the “red” machines from the prior shift

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• Actions must be specific/biggest problems

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Time and Agenda Problems for