The DaimlerChrylser Twinsburg Stamping Plant in Twinsburg, OH is one of three main stamping facilities for DaimlerChrysler in the United States. The over 2 million sq ft plant produces metal body panels for Dodge/Chrysler Minivans, Dodge Neon, Dodge Durango, Dodge Ram, and Pacifica. There are 15 stamping lines, which run 24 hours a day, 6+ days per week.
Background
To complete the stamping process, purchased and in-house blanked materials are brought to the stamping lines. These sheet steel blanks are formed into shapes such as doors and roofs in large stamping presses. The materials must be moved from the press area to the assembly area and then on to shipping. In a typical 8-hour shift, the Twinsburg stamping plant processes 1,000 racks of metal stampings. Each part is transported approximately one mile as it is processed through the plant.
Over the 45-year life of the plant, the primary form of material handling involved using manned vehicles (forklifts, tow, and hilo vehicles) to move parts. A fleet of 138 vehicles was required, navigating through the plant to feed the hungry stamping lines. Strict safety guidelines had to be developed and adhered to, including allowing operators to drive only in reverse with a full load.
A few years ago, Chrysler asked plant management for plans to modernize stamping plants. Although never mentioned, the alternative to modernization was to close the old stamping plants and "start over with a clean sheet of paper."
Conrad Hawley, production control manager at Twinsburg (shown here with Jim Petruna), was instrumental in developing this modernization plan. Clearly, state-of-the-art, automated production equipment was required, but Conrad believed that automation should involve not only production equipment -- the material handling process also needed automation. If the material flow did not support the new production machines, the modernization program would be a failure. Conrad turned to Jim Petruna, Twinsburg Stamping Plant Material Handling Engineering, to develop an innovative plan for automating material handling.
The Problem
As different automated material handling solutions were considered, it quickly became apparent that this would not be an easy project. Difficult constraints had to be overcome to achieve success.
First, the project would take place in an existing, 50-year-old plant. The location of the equipment, width of the narrow aisles, and irregular woodblock floor (including in-plant railroad crossings) was set and could not be changed. There could be no interruption to production, and system flexibility was critical so that it could be reconfigured to support future products.
The second major obstacle centered on the labor force. After doing things the same way for many years, there was resistance to change, and a general perception that automation is the enemy because it eliminates jobs. As you would expect, the 2,300 employees at Twinsburg represent a force with considerable power, and a project will die without their support. Gaining acceptance by the labor force was a real challenge.
The third major obstacle involved providing an acceptable ROI or payback by not only keeping pace with increased production, but by reducing costs in certain areas (labor and damaged material) while maintaining high safety and ergonomic standards.
An Approach to Solving the Problem
The Equipment: After evaluating the alternatives, a plan was developed for an automated material handling solution that included Self Guided Vehicles (FMC Technologies), Over/Under Racks (SailRail), Turntables (Orchid), and Blank feed tables.
Phased Implementation: A key element was to break the project into small phases, prove the concept, and expand. Using this methodology, the project develops momentum. As one phase is successfully completed, there is an emotional lift, which increases support for the next phase.
"We focused on multiple stage projects in all departments. We wanted everyone, including management, the union, and the safety department comfortable with the solution," adds Jim Petruna. This phased implementation approach becomes more beneficial as the system price increases and as the potential effects on production increases. You limit risk by "walking before you run."
Following this implementation model, the Twinsburg project team divided the project into four basic phases. In the first phase, a 2-vehicle self-guided vehicle system was installed to haul full racks from certain press lines to the shipping department. The effect on throughput as a result of this change was simulated using simulation software, then actual values were benchmarked against historical numbers at Twinsburg and the other DaimlerChrysler stamping plants. Average throughput of the SGV-serviced stamping lines was determined to be 25% higher than manually fed lines as a result of less idle time at the press and assembly areas. The 2-vehicle system was run for 6 months to develop estimates of longer term operation vs what could be learned in very short duration testing.
In the subsequent three phases an additional 29 SGVs were installed along with over/under racking and turntables.
Project Team Organization: The entire project team included two material handling engineers, jitney repair department, production control, in-house skilled trades (UAW installation), and the equipment suppliers. The smooth working relationship of this project team cannot be underestimated.
Communication and Training: DaimlerChrysler went to great lengths to communicate to employees about the project. Conrad Hawley outlines what was done: "We used in-house TV, video presentations, safety talks, department meetings, and the plant newsletter to give employees information about the project. They were very receptive, because union leadership realizes we must be competitive to remain in business."
Special training was also conducted for the operators and maintenance (Jitney Repair) personnel. Because of the production demands at the plant, DaimlerChrysler felt it was critical to have internal resources that could respond to any issue that might arise.
"Our Jitney Repair Department has been excellent in keeping the material handling equipment in top working condition," states Jim Petruna.
Results
The results of this modernization program have been fantastic. According to Conrad Hawley, the project has been a complete success. Safety and productivity gains were achieved.
"We have met all of our cost savings goals that were originally forecasted," says Hawley. "Throughput has increased by 25% because of reduced downtime in the pressroom and assembly areas. The documented ROI was less than one year."
In addition, Twinsburg has become the benchmark stamping plant for DaimlerChrysler and the other two stamping plants are now implementing similar programs. Engineering teams from Daimler''s plants worldwide have visited to learn from what has been accomplished in Twinsburg.
The Future
The modernization at Twinsburg is not finished and has transitioned to a "continuous improvement mode." Twinsburg recently installed the first forked SGV in a DaimlerChrysler stamping plant.
During this guided vehicle project, new life was given to an aging plant at a time when cost containment was essential. Clearly this has contributed to the financial success of the Chrysler Operating Unit and proved that with the right people and plan, modernizing an old plant can be better than replacing or relocating it.