Elg lgi i Rub ubber ber Com ompany pany La Larry y Wh Whit - - PowerPoint PPT Presentation

Elg lgi i Rub ubber ber Com

• mpany

pany La Larry y Wh Whit ite e – Retr trea ead d Prog

• gram

am Ma Mana nager er

Get the “MOST” from your Retread Pl Plant nt

Econom

• nomy

y of

• f Scale

ale

• As we all know – VOLUME can make a HUGE difference in

the operating results of a retread plant.

• Increasing the volume flowing through a plant aids in many

tangible ways:

• Most obviously – more direct income
• Better scheduling opportunities
• Ease process flow – managing “work in Progress” to

reduce “start / stop” of activities

• Spreads your “fixed costs” over a larger volume of

casings – can actually ‘reduce’ your prices and exponentialy increase your volume.

Econom

• nomy

y of

• f Scale

ale

HOWEVER Volume can ”Hide” a lot of operating “lost opportunities ”

Foc

• cus

us on

• n Reducing

ducing Co Cost sts s in in You

• ur

r Retr tread ead Pl Plant nt !

Retreading ‘CAN’ be a very lucrative business!

• My focus will be on helping you REDUCE the Variable costs

in your Retreading operation.

• Focusing on:
• Labor cost (Productivity)
• Cost of Consumables
• Cost of Energy (and some additional hints!)

Remember – every Rupee that you ‘save’ goes right to your pocket!

Co Cost t of Labor! bor!

• Many consider Labor cost to be a “fixed” cost!
• But considering differing levels of “Productivity” we can

really see Labor as a “Variable Cost” … one that can make a huge difference in your financial results!

• In the next few slides I am going to talk about:
• What is Productivity? How is it measured?
• Show some real examples and impacts.
• Discuss how to “improve” your productivity.

Pr Produc ducti tivi vity ty

• Refers to the finished output of your Retread Operators
• ver a given period of time.
• There are many ways to measure, though my preference is:
• Finished Tires / Man hour worked.
• In my experience here in India a “typical”, reasonably

modern Retread shop has an operating Productivity of ~ 0.8 Tires / Man hour. (* operators within the process)

• Lets see what this means in terms of Cost and what even

some small changes would make!

Productivity cont’d

Lets consider a Retread Plant producing 600 tires per month

(7,200 / yr).

• Employee Total cost to Company – 22,000 Rupees / month

(Employee of 5-10 years experience, trained on multiple work posts.)

• Over a typical year at this plant …. cost of labor at :

0.6 Productivity = R 15,00,000

Now – lets see the impact of even some small productivity improvements!

Productivity cont’d

Remember @ 0.6 = R 15,00,000

• Productivity 0.8 = R 11,25,000 (savings of R 3,75,000)
• Productivity 1.0 = R 9,00,000 (savings of R 2,25,000)
• Productivity 1.2 = R 7,50,000 (savings of R 1,50,000)

And even better is possible! … so who wouldn’t want to add these savings directly to the bottom line?

• OK ….. Is that realistic at my plant and how do I get

there?

Productivity cont’d

Productivity is principally dependent on 4 key factors!

• Machines
• Capable Supervision / Leadership
• Operators
• Organization

Lets explore each of these factors!

Productivity cont’d

Machines:

• Must be in good working condition – within original
• perating specifications – good preventative and corrective

maintenance.

• Most reasonably modern machines are capable of at least:
• Buffer = 12 casings per hour
• Builder = 10 casings per hour
• With these machines the productivity is definitely possible!

Productivity cont’d

Capable Supervision / Leadership

• Need to know the cycle time of the principle work stations.

(assuming casing availability and operators functioning at pace 100)

• Initial inspection = 4 min (15 / hour)
• Buffer = 5 min (12 / hour)
• Builder = 6 min (10 / hour) assuming separate tread preparation
• Final inspection = 3 min (20 hour)

With this basic information a good supervisor / leader can really begin to better organize the work.

Productivity cont’d

Operators

• Working to standard / pace 100 / achieving cycle times.
• If NOT – Why not?
• Capable but Not achieving -- Why?
• Machines? / Organization? Availability of casings?
• Not Capable – Why?
• Training?
• Polyvalence / Cross training – Very important to address

bottlenecks / absences / etc.

Productivity cont’d

Organization

• With Machines / Operators functioning as appropriate,
• rganization of the work and process flow becomes critical

for the Supervisor / Leader to achieve good Productivity.

• Knowing the volume required --- Establish the “Tread

Builder” as the “Heartbeat” of the plant.

• All other work posts are focused on ensuring casings are

available at the Builder.

Productivity cont’d

Organization

• With Cycle times correct and volume requirements known –

it is easy to determine how many hours are required at each of the work stations. Examples:

• 600 / month ~ 28 / day (one shift)
• Initial Inspection +20% Rejection rate ~ 2.5 hours (max)
• Buffing ~ 3 hours (max)
• Building ~ 3 hours (max)
• Final Inspection ~ 1.5 hours (max)

Productivity cont’d

Organization

• The leader can take action to address temporary

bottlenecks that arise…. Examples

• Have the buffer select ‘clean’ casings that can go

through the process without skiving or repair.

• Know which operators can be temporarily reassigned

without negatively affecting the flow.

Productivity cont’d

Addressing each of these key factors: (Machines / Leadership / Operators / Organization) Will step by step improve the productivity of your Retread plant. To be realistic, it will not happen overnight….. BUT ….. All of this is at NO ADDITIONAL COST !

Co Cost t of Co Consuma sumables es

• The Highest Cost Consumable (on a “per cure” bases)

within a typical Retread operation is the: Envelope

• Followed by the:

Buffer Blades Lets examine “How to get the Best out of these Products”

Maximi ximize e the e life e of your r envelo lopes! pes!

• Start by purchasing high quality Envelopes!
• The temporary ‘pain’ of the cost of a high quality

envelope will quickly be outweighed by the Savings.

• Make sure that you have ‘enough’ envelopes in each

dimension you need – sufficient to allow the envelope to cool before using again.

• Ensure that they are properly sized for your application.

Maximiz imize e the life of your ur envelo elopes! pes!

• Ensure sufficient storage space for cooling.
• Stored flat, area free of dirt and debris, allowing air

circulation.

• Adequate use of Envelope Lube.
• Routine Inspection and minor repairs using approved

materials and methods.

• When using an Enveloper – ensure operators do not

‘overstretch’.

Maximiz imize e the life of your ur envelo elopes! pes!

• De-enveloping should be done when it is still hot.
• When using sealing systems like Rims – frequently

examine the materials for sharp edges that could snag.

• When installing valves – do not ‘overtighten’.
• As Envelopes ‘grow’ in size – move them up to a larger

tire and mark them as such.

• Always follow Manufacturer’s recommendations for

envelope fitment.

Buffing ing Blades ades

• Ensure your Buffer is well maintained and operating

within the Manufacturer’s specs and tolerances.

• Ensure exhaust ducting and water misting injection is

functioning appropriately.

• Purchase only high quality buffing blades!
• Again the savings will outweigh the initial higher cost.
• Follow Manufacturer’s guidelines for your specific

application and Buffer.

Buffing ing Blade des

• Ensure all pebbles and foreign materials are removed

from the casing before buffing.

• Choose an optimum depth and speed of cut (to ensure

appropriate surface texture and blade life).

• Flip the buffer blade assembly at approximately ½ life.
• Avoid buffing into steel belted cables – Use of a Buffer

with an automatic Under Tread Measuring Device is recommended.

Buffing ing Blade des

• If your buffer is not equipped with an UMD (Undertread

Measuring Device) consider purchasing a separate hand held unit.

• The ‘depth of undertread’ is very important.
• Will eliminate the need for “pilot skives”.
• Regularly examine the ‘used’ blades to determine:
• If teeth are being broken?
• If the full life of the blades is being used?

Co Cost st of En Ener ergy gy (and

nd so some e additional ditional hints) nts) !

• Cost of Electricity (power grid / generator) can be Brutal!
• Every cut or electrical saving you can make is important.
• Some ideas to consider or verify:
• Minimal time with the Autoclave door open – it has

taken a lot of energy to heat – every minute the door is open – it looses heat that you will have to reinvest.

• Machines running when not directly in use.
• Air Leaks are notorious in a Retread Plant –

compressor running when not necessary.

So Some e additiona ditional l hints ts !

• Wire brushes – using 3 different sizes of supporting

flanges will add approx. 33% to the life of your brushes.

• Take care of your Rubber Dust – there is a good market

for clean uncontaminated rubber dust.

• Use of a Monorail – between work posts will help your

process flow and reduce operator fatique – improving productivity.

• Consider rescheduling casing ‘pick up’ routes to ensure a

smoother / steady flow to the plant (productivity).

So Some e additiona ditional l hints ts !

• Work Post organization – materials close at hand.
• Be RIGOROUS with respect to Quality details.
• Workmanship / Process / Contamination
• Make Rework / Reruns / Adjustments – due to poor

quality, a THING OF THE PAST.

• All the time, work, materials, and energy that was put

into a tire that has to be redone or adjusted, comes 100% directly off the “bottom line”.

YE YES! ! Retreading ‘Can’ be a very lucrative business

• I hope that I have given you all some ideas and items that you

can take back and apply in your Retread Shops!

• I am absolutely confident that if you practice all of these

items, your Retreading operation will undoubtedly reward you with financial success. If you are already applying all of these techniques / principles ..

Congratulations !