QRM4.0 case: Hayen Laser Technology
Hayen Laser Technology (HLT), based in Sint-Truiden, is a one-stop shop in metalworking. The company specialises in laser cutting, bending, welding and painting of industrial sheet metal and tubes in a high-mix low-volume environment.
With a focus on increasing business growth, Hayen Laser Technology embarked on a change processs in 2017. The first changes focused on integrating the office, shop floor and machinery. Although this already allowed them to make great strides, the company was left with some remaining challenges. Orders tend to consist of small runs, each with a different quantity and sequence of production steps. This created a lack of overview in the current system, both on the shop floor and in the office, resulting in a negative impact on lead time and delivery reliability. The inefficient planning of the production process also put a brake on the company’s growth. For instance, large amounts of work in progress made it impossible to provide sufficient capacity to meet additional customer demand.
With a focus on increasing business growth, Hayen Laser Technology embarked on a change processs in 2017. The first changes focused on integrating the office, shop floor and machinery. Although this already allowed them to make great strides, the company was left with some remaining challenges. Orders tend to consist of small runs, each with a different quantity and sequence of production steps. This created a lack of overview in the current system, both on the shop floor and in the office, resulting in a negative impact on lead time and delivery reliability. The inefficient planning of the production process also put a brake on the company’s growth. For instance, large amounts of work in progress made it impossible to provide sufficient capacity to meet additional customer demand.
To address these challenges, HLT chose to implement Quick Response Manufacturing (QRM). With the help of PROPOS, a shop floor control system for QRM manufacturing, a better overview was created. Complementary to the implementation of PROPOS, an intermediate software layer ensured integration with the various underlying systems, which were already in use (ERP, Machine Management Software, …). Subsequently, QRM cells were set up for three major customers. Within these cells, virtually all operations for those customers’ products are carried out.
With the implementation phase behind them, Hayen Laser Technology is already experiencing some significant improvements. An initial result can be seen in work in progress. At the start of the implementation, this was €315,000. Today it is € 89,000 or a reduction of 82%, this with a constant order volume.
A second result is noticed in delivery reliability. Today it is 76%, compared to 27% three months ago. Given the variability in order length, this measure is more important to HLT than net lead time.
The implementation of PROPOS brought some additional benefits:
- Continuous visibility of order flows;
- No paper planning or planning meeting needed;
- No more small orders lying around or being forgotten;
- No more starting on orders that are incomplete;
- Correct communication with customers.