OBS: Lägg inte in förrän det är ändrat! Konfidentiellt! Titel: Productivity growth: Ovako Ajax Inc.
Independent thesis Advanced level (professional degree), 20 credits / 30 HE creditsStudent thesis
The ring manufacturing industry in the United States is operating on a market where overcapacity has led to a fall in prices. Therefore, one of the larger producers of seamless steel rings, Ovako Ajax Inc., has decided to look over the production logistics in order to cut costs and increase productivity. The purpose of this assignment was to analyze the present situation, at the Ovako Ajax Inc.’s plant in York, regarding the finishing side of the facility, by observing the current work practices, material flows, handling methods, equipment utilized, and staffing levels. The analysis was used to develop proposals in order to increase productivity. The production facility includes two production channels, one that produces small rings and one that produces large rings. The finishing side of the shop includes the operations heat-treatment, testing, inspection, packaging, and shipping. Data for the analysis was gathered at interviews with the management and operators, and from observations in the plant. Benchmarking at Ovako Hofors in Sweden and Ovako La Foulerie in France were used as a complementary tool to get ideas that could be implemented at Ovako Ajax Inc. The gathered data was used to analyze the present situation. From the analysis, proposals, regarding the material flow, material handling, production planning, and staff levels, were prepared to increase productivity. To make the flow more efficient, Ovako Ajax Inc. should redesign the floor layout to minimize the distances between the operations, avoid major backflows, and straighten the material flow. The inspection and packaging of big rings, which is very manual today, should be reorganized in order to make these operations more efficient. The inspection line for small rings should be automated to reduce the material handling and minimize the distances between the different operations. In order to increase the efficiency of the heat treatment, this operation should be planned more closely. It would also be beneficial for Ovako Ajax Inc. to make some personnel changes in the finishing side, to cut cost and increase productivity. The suggested recommendations would, according to the project group, make the throughput time target of 4 days within reach. Calculations show that the tied up capital within the finishing would decrease by approximately 25 % and the number of emplyees could be reduced from 15 to 11. Work related injures would also decrease due to elimination of pysically hard and repetetive motions.
Place, publisher, year, edition, pages
Technology, Productivity, Logistics, Steel rings, Automation, Material, Handling, Material Flow, Manufacturing, Production
IdentifiersURN: urn:nbn:se:ltu:diva-56657ISRN: LTU-EX--01/027--SELocal ID: d6a16981-d5bf-4c1d-9186-8fb6d88787b7OAI: oai:DiVA.org:ltu-56657DiVA: diva2:1030044
Subject / course
Student thesis, at least 30 credits
Industrial and Management Engineering, master's level
Validerat; 20101217 (root)2016-10-042016-10-04Bibliographically approved