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ICC In Providing Innovative Solution For Superior And Quality Products By Mazuin Dahlan Fujitsu Component (Malaysia) Sdn Bhd (FCM) was founded in October 1980 and is a Malaysian based subsidiary of Fujitsu Component Limited, Japan. FCM is located in Johor with a total area of 78,000m 2 and a built up premise size of 27,700m 2 . FCM specialises in producing two key areas of electromechanical components including relays and keyboards. Not only that, it also manufactures dies and assembly machines for the electronic products. All these products are marketed through a worldwide network of Fujitsu Component sales offices. The company is committed in implementing modern technologies and industry practices to provide the clients with the solutions needed for success in today’s marketplace. With a payable capital of more than RM200 million, FCM has manifested continuous technology investment in machineries that supports the vision of being a global leader in electromechanical component parts. FCM places great emphasis on its relationship with various clients and prides itself on the ability to respond to the clients requirements in an efficient and cost effective way. FCM employs approximately 1,464 employees who are committed to provide innovative, superior goods and services to the customers. In the quest of quality improvement, FCM complies with ISO 14001:2004 and ISO 9001:2008 certification for Keyboard and Power Relay and TS 16949:2009 certification for Automotive Relay. This is to maintain the quality of products and at the same time to ensure they meet the expectations of customers. High Rate Of Customer Claims In Twin Relay Components As a producer of electromechanical component parts, FCM is particular in providing products that are of high of quality. One of the parts supplied by FCM is known as electromagnetic relay coil. It is an electromechanical component which is used to operate the switch electrically. Relay is used to change an electrical signal to a mechanical movement. Most of the relays are used in automotive vehicle or home appliances. In the automotive vehicle, it is applied in Engine Control Unit (ECU), fog lamp, wiper and door lock. Meanwhile in the home appliances, it is used in televisions, washing machines and refrigerators. Among some of the most prominent customers at FCM are Toyota, Lexus, Honda, Nissan, Isuzu, Hyundai/Kia, General Motors (GM), Sony, Samsung, LG and others end users. Safety is considered as the most crucial aspects of any relay produced at FCM. This is because any defects in relay could jeopardize a human life and may cause application in the vehicle fail in operations. In addition to that, accidents or breakdowns could happen and this will significantly affect FCM’s

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Page 1: ICC In Providing Innovative Solution For Superior And Quality ......FCM complies with ISO 14001:2004 and ISO 9001:2008 certification for and TS 16949:2009 certification for Automotive

ICC In Providing Innovative Solution For Superior And Quality Products By Mazuin Dahlan

Fujitsu Component (Malaysia) Sdn Bhd (FCM) was founded in October 1980 and is a Malaysian based subsidiary of Fujitsu Component Limited, Japan. FCM is located in Johor with a total area of 78,000m2 and a built up premise size of 27,700m2. FCM specialises in producing two key areas of electromechanical components including relays and keyboards. Not only that, it also manufactures dies and assembly machines for the electronic products. All these products are marketed through a worldwide network of Fujitsu Component sales offices. The company is committed in implementing modern technologies and industry practices to provide the clients with the solutions needed for success in today’s marketplace. With a payable capital of more than RM200 million, FCM has manifested continuous technology investment in machineries that supports the vision of being a global leader in electromechanical component parts. FCM places great emphasis on its relationship with various clients and prides itself on the ability to respond to the clients requirements in an efficient and cost effective way.

FCM employs approximately 1,464 employees who are committed to provide innovative, superior goods and services to the customers. In the quest of quality improvement, FCM complies with ISO 14001:2004 and ISO 9001:2008 certification for Keyboard and Power Relay and TS 16949:2009 certification for Automotive Relay. This is to maintain the quality of products and at the same time to ensure they meet the expectations of customers.

High Rate Of Customer Claims In Twin Relay Components As a producer of electromechanical component parts, FCM is particular in providing products that are of high of quality. One of the parts supplied by FCM is known as electromagnetic relay coil. It is an electromechanical component which is used to operate the switch electrically. Relay is used to change an electrical signal to a mechanical movement. Most of the relays are used in automotive vehicle or home appliances. In the automotive vehicle, it is applied in Engine Control Unit (ECU), fog lamp, wiper and door lock. Meanwhile in the home appliances, it is used in televisions, washing machines and refrigerators. Among some of the most prominent customers at FCM are Toyota, Lexus, Honda, Nissan, Isuzu, Hyundai/Kia, General Motors (GM), Sony, Samsung, LG and others end users. Safety is considered as the most crucial aspects of any relay produced at FCM. This is because any defects in relay could jeopardize a human life and may cause application in the vehicle fail in operations. In addition to that, accidents or breakdowns could happen and this will significantly affect FCM’s

Page 2: ICC In Providing Innovative Solution For Superior And Quality ......FCM complies with ISO 14001:2004 and ISO 9001:2008 certification for and TS 16949:2009 certification for Automotive

reputation and increase the number of customer dissatisfaction rate. A high customer claim which contributed to 2.755ppm for twin relay products (high power twin relay use for automotive application) was recorded in 2013. It was recorded as the top defect relay among the FCM relay products and the customer claims were mainly on defect due to broken wires, Polybutylene Terephthalate Dust (PBT) and wire defect. Executing Innovative Solutions Towards Problem Solving The problem of high defect in relays led to an Innovative and Creative Circle (ICC) team to take immediate actions in improvement. The team known as New Avengers which had 10 members laid down their ideas. They believed in innovation as new ideas implemented in any work processes will boost efficiency and cost reduction. As a start, New Avengers came up with a project known as “Twin relay spoilage improvement on wire defect reject”. The group set their target of 30 percent reduction in twin relay wire defect cases. This target was based on the FCM management feedback and it was within the capability of the team. Members of the team also aimed to provide high quality products to the customers and reduced waste that will impact the environment in a positive manner. There are two types of twin relay namely the complete and semi complete relay parts. The semi complete relay part is a component that is used to produce other finish products such as coil part, break terminal, core part and base mould part. There are 16 processes involved in twin relay assembly production flow.

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The defects are identified at Coil Winding Resistance checkpoint, Middle Scope checkpoint and Final Electrical & Running Test Inspection. The complete and semi complete relay parts are rejected when coil or lead wire surface is scratched or dented or even broken that eventually leads to the relay functional failure. It came to surface that the monthly spoilage cost was RM2,970. In resolving the problem, brainstorming sessions were conducted regularly which allowed the team to identify root causes of the problem and simultaneously generate ideas for solutions. They started with Fishbone analysis of 4M1E (man, method, material, machine and environment) categorisation, and found that there were five causes con-tributing to high defects in twin relay wire which included:

1. Rough surface of winding magazine entrance area at the magazine transfer jig during the coil winding inspection.

2. B pressing supporter at the B terminal pressing had sharp edge.

3. Imperfect pick and place handling process at the final assembly as well lack of standard quantity needed to be put in a relay box that caused relay slant and wire scratch or broken.

Page 3: ICC In Providing Innovative Solution For Superior And Quality ......FCM complies with ISO 14001:2004 and ISO 9001:2008 certification for and TS 16949:2009 certification for Automotive

Root Cause Proposed Solution Action Taken

Rough surface of winding magazine entrance area at the magazine transfer jig during the coil winding inspection

To place barricade at magazine entrance area for avoiding coil touch the rough surface

1. Insert chamfer at supporter edge area to prevent coil surface dented, scratch or damage.

B pressing supporter at the B terminal pressing had sharp edge

To place barrier that create big gap between coil and supporter

2. Make radius at the edge of coil supporter

Imperfect pick and place handling process at the final assembly as well as lack of standard quantity needed to be put in a relay box

To revise existing Standard Operating Procedure (SOP), instruction manual & PFMEA (Process Failure Mode and Effect Analysis) of five or more pieces/time picked from feeder into box

3. a) Revise the quantity pick and place into relay box to piece-by-piece pick from feeder into box.

b) It was found that operators were still using the old method. The new preventive solution:

Change Sensor position to pre-vent from relay drop if operator did not immediately pick up the relay into relay box

Unavailability of barricades at the final assembly of part feeder guider

To place barricade at the part feeder guider

5. Create radius at the feeder guider

Gap in between part feeder joint area at terminal insertion process

Review the handling method as well as design new tools for part feeder supporter guider

6. Insert supporter guider to close the gap.

It was found that parts were still stuck in between the gap area when the terminal insertion conveyor belt had stopped operation. The new preventive solution:

Re-Design new part feeder supporting guider

In-house tooling and installed in between core yoke riveting and terminal insertion part feeder

4. Unavailability of barricades at the final assembly of part feeder guider.

5. Gap in between part feeder joint area at terminal insertion process.

The findings gave a clearer picture to New Avengers in generating more ideas for solution. They used the Advantage versus Disadvantage analysis and Others Impact Consideration in coming up with five best solutions for each of the root cause. The table below shows the root causes, proposed solution and the action taken to resolve the issue in relations with twin relay wire defect cases.

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This ICC project resolved the problem of high defect cases in producing twin relay and ultimately the team was able to achieve all the targeted goals. Following these developments and innovation, New Avengers was recognised for their effort and success. The team was rewarded as a champion on the 19th FCM in-house QCD convention and received rewards amounting RM1,500 cash from the management at FCM, a gratitude shown by FCM towards dedicated staff. New Avengers also obtained recognition from internal stakeholder during monthly quality department meeting as well as e-mail recognition from the management at FCM for their success. The email also indicated the improvement in the twin relay wire defect and process spoilage as well as customer claims.

Page 4: ICC In Providing Innovative Solution For Superior And Quality ......FCM complies with ISO 14001:2004 and ISO 9001:2008 certification for and TS 16949:2009 certification for Automotive

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1. Insert chamfer at supporter edge area to prevent coil surface dented, scratch or damage

2. Make radius at the edge of coil supporter

3. a) Revise the quantity pick and place into relay box to piece-by-piece pick from feeder into box

3. b) Change Sensor position to prevent from relay drop if operator did not immediately pick up the relay into relay box

5. Create radius at the feeder guider

6. Insert supporter guider to close the gap (In-house tooling and installed in between core yoke riveting and terminal insertion part feeder)

ICC SOLUTIONS

Page 5: ICC In Providing Innovative Solution For Superior And Quality ......FCM complies with ISO 14001:2004 and ISO 9001:2008 certification for and TS 16949:2009 certification for Automotive

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RM5,864 per month. The annual total of spoilage cost before the implementation of ICC project was RM57,321. After these improvements, FCM managed to save RM34,019 amounting to 59 percent improvement until today. The Management at FCM was proud to share and report the new improvement initiatives at Fujitsu Japan. It was a delightful moment for all parties at FCM when the team received recognition on these new initiatives. FCM was also audited by one of the automotive customers with full system audit and managed to get an overall 96 percent score. This project was extremely helpful in the reduction of waste produced by high relay spoilage and led to a cleaner and healthier environment.

Analysis Of ICC Project In FCM

The project successfully achieved its target of 30 percent reduction in twin relay customer claims and improved process spoilage on wire defect reject. After the ICC project, the twin relay customer claim reduced to 0.702 ppm as compared to 2.755 ppm previously. Consequently, the twin relay customer claim cases have reduced to only one case. The team achieved below the targeted value of 1.928 ppm.

This is supported by the reduction in wire defect quantity from 12,002 pieces to 1,916 pieces. Before the ICC project, FCM has to bare a total cost of RM6,984 for these defects, amounting to a saving of

COMPARISON BEFORE AND AFTER ICC IMPLEMENTATION

Before : 2.755ppm

After : 0.702ppm

Customer claim :

Spoilage cost :

Before : RM57,321.55/year

After : RM23,302.10/year

Before : 2

After : 1

Twin relay customer claim cases :

Before : 12,002 pieces

After : 1,916 pieces

Wire defect quantity:

Twin relay wire scratch reject:

Before : RM6,984.50/month

After : RM1,119.97 /month

Cost saving per year:

Before : 0

After : RM35,969.64