The calculated economic benefit over twelve months was
$647,000.
Description of Problem
A particular line internal to the division of a metals producer was incurring serious quality deterioration due to spots on the coated surface. The rejection rate was running at 2.53% versus a target of 1.26%. This was causing excessive yield loss coupled with lost capacity and rework inventory levels increasing. At the same time customer quality demands were becoming more stringent.
Approach
A team was organized to address the coated spot issue. The primary methodologies included problem solving and problem elimination (two different methodologies). The strategy called for an analysis of all major parts to the process.Countermeasure were then developed and implemented in these areas. This included a cleaning station, the furnace, a pot area and final inspection.
Results
The target of 1.26% was hit exactly. This represented a reduction in rejection rate of 50%. The low level of rejections were maintained well beyond this point. The calculated economic benefit over twelve months was $647,000.
Submitted by LWI
Consultant
Bob Pahlkotter