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Toll Today March 2011 - TOLL Group

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Global Logistics<br />

06<br />

Lean – up and running at Morningside Facility<br />

1 <strong>Toll</strong> Auto,<br />

Morningside<br />

Lean Team in<br />

their training room.<br />

L-R: Simon Allin,<br />

Damian Dunn,<br />

Richard Lockwood,<br />

Cherie Jaillet,<br />

Tony Oelosfe,<br />

Chris Brown,<br />

Darren Piper,<br />

Jason Wright.<br />

Absent:<br />

Murilo Fabri.<br />

The <strong>Toll</strong> Auto Komatsu site in<br />

Morningside, Queensland kicked<br />

off its Lean training in early<br />

August 2010, and the team are already<br />

passing on the benefits. The practical<br />

hands-on training structure applies the<br />

basic principles of Lean and puts them<br />

into practice from day one.<br />

The team performed a ‘Waste<br />

Observation’ of their work areas in<br />

the first session which resulted in a<br />

C4 (structured problem solving tool)<br />

exercise. Throughout the following<br />

seven training sessions, the teams<br />

then had the opportunity to use their<br />

new knowledge to further eliminate<br />

waste or refine their improvements.<br />

After completing their final session,<br />

and delivering a report to the senior<br />

management team on what they had<br />

learned and achieved, the Lean team<br />

at Morningside had this to say.<br />

Cherie Jaillet, HSE Coordinator,<br />

<strong>Toll</strong> auto – Components<br />

“Our Lean report to Joe Serratore<br />

was a great success. All staff on our<br />

Lean team contributed to ensuring our<br />

day was successful and informative.<br />

The Morningside Lean team has<br />

embraced its learnings from Richard<br />

Lockwood and is continuing to make<br />

Lean improvements every week onsite.<br />

“Lean has not only taught us to identify<br />

waste, it has developed a group of<br />

people who now strive to work together<br />

as a team. The Lean training has further<br />

reinforced the <strong>Toll</strong> culture of working<br />

together as One <strong>Toll</strong>. We would all like<br />

to thank Richard for the time he has<br />

spent with us”.<br />

Damian Dunn, warehouse<br />

Manager Komatsu,<br />

<strong>Toll</strong> auto – Components<br />

“Lean was embraced by all involved at<br />

Morningside and the results have been<br />

fantastic. The greatest improvement<br />

from a management perspective has<br />

not been the physical changes or<br />

efficiency improvements, which can<br />

be easily monitored, but the change<br />

in my team members’ approach to<br />

their daily tasks, improved moral<br />

and team building.<br />

“The tools and knowledge gained by<br />

those involved, together with their<br />

change in focus will ensure that<br />

continuous improvement is always alive<br />

in Morningside. The team now has a<br />

clear vision on the standards that need<br />

to be set, how we go about setting<br />

them and ensuring these standards<br />

are maintained. The focus now needs<br />

to be on filtering our learnings down<br />

onto the floor to create a real Lean or<br />

continuous improvement culture”.<br />

1<br />

PuTTinG LEan inTo PRaCTiCE<br />

The first C4 completed at the site has<br />

resulted in reorganising the receiving<br />

area. The relaid out the area has<br />

greatly improved productivity and flow.<br />

The receiving area now uses less<br />

overall space resulting in a significant<br />

reduction in operator walking. Rubbish<br />

management has improved to further<br />

reduce motion. Containers are now<br />

unloaded and received faster resulting<br />

in improved order to delivery times.<br />

Benefits have resulted in a 67 percent<br />

reduction of operator walking when<br />

sorting freight in the receiving area<br />

and gone a long way to impact the<br />

overall site efficiency improvements.<br />

The site efficiency rating has shown<br />

a 45 percent overall improvement<br />

between February and November<br />

(NB efficiency is a calculation of total<br />

lines processed divided by total direct<br />

hours worked). The next areas of<br />

focus will be despatch and storage<br />

which will yield further improvements.<br />

Even our customers have started to<br />

see the benefits of Lean. Gordon<br />

wilson, National Parts Logistic<br />

Manager, Komatsu Australia said,<br />

“Lean is a business culture change<br />

that when delivered successfully has<br />

significant benefits to all aspects of<br />

the supply chain. <strong>Toll</strong> Auto is always<br />

focussed on supporting our business<br />

with the highest levels of safety [zero<br />

Lost time injury frequency rate to date,<br />

over 500 days] and total efficiencies.<br />

“Implementing this program within the<br />

largest DC operation at Morningside<br />

has already seen dramatic results<br />

such as delivering increased efficiencies<br />

upon inbound and outbound functions,<br />

and assisting with lead time reductions,<br />

increase parts availability, increase<br />

storage capability and waste removal<br />

in the supply chain. All these elements<br />

impact the total business cost and<br />

customer support favourably.<br />

“I wish to thank the management of<br />

<strong>Toll</strong> and the complete project team for<br />

being so positive and proactive to this<br />

new culture within this operation”. n

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