10milionpel TThruRtlnnovat LG Electronics /Digital Appliance LGGETA MNO
6s Thru RTY Innovation Achieve 10 million per year LG Electronics / Digital Appliance Company LGETA MWO
SOn DMADC 60 Global No. 1 MWO Division (05 Sales: M$ 385; Profit: 8 %) Vision x China Market Top 1(05 China M/S: 45%) Vision Global Position (’03, Million) Fast Growth 2005 04 Targe) TA(11.1) 2.5 04093召 TA100)11.8 宝UN Fast/nnovation Vision 10,1 Gala 10.0 Before- SHARP 9.8 As the basement of profit turnaround MWO Maker Benchmarking 1/19
Vision 6s 12.5 11.8 10,1 10.0 9.8 (’04 Target) (’03, Million) TA(10.0) TA(11.1) Global No.1 MWO Division ( `05 Sales: M$ 385 ;Profit: 8 % ) China Market Top 1 ( `05 China M/S : 45% ) Cost Competition Vision Before 2005 Now As the basement of Profit Turnaround Fast Innovation Fast Growth Global Position MWO Maker Benchmarking Vision Vision 1/19 D M A I C
Big ISsue MAMIC〉6 Accelerate tool shift(0.7-1.8) Productivity loss↑ a Shorten the development period eQuality loss u Increasing number of parts e Parts loss↑ M unit /year Portfolio by Category Fast High Growth oo 10.0 Brown OTR 7.1 2 CMO 08-1.8) Profit CMO (0.7cu. ft) Low Price 02 03 High 2/19
Big Y Issue 6s 7.1 10.0 `02 `03 CMO Productivity loss↑ Portfolio by Category Low Price High Profit High Quality loss↑ Parts loss↑ Fast Growth New MDL ❑ Accelerate tool shift ( 0.7 ~1.8) ❑ Shorten the development period ❑ Increasing number of parts M unit / year CMO (0.7cu.ft) CMO (0.8~1.1) OTR CMO (0.7cu.ft) CMO (0.8~1.8) BrownerOTR 2/19 D M A I C
ig ISsue DMADC 60 Logistics AssY M units/year 10.0 Miscellaneous ratio RTYZ 120 EA/Hour 70% 50% 2.7825% 60 02.12 Target 02.12 Target 02 Target PCB Painting RTYz Portfolio RTYZ RTYZ 3.5 25628% 2.7521% 3.5 02.12 Target 02.12 Target RTYC 10 million per year Assurance 3/19
6s Input Process Output Assy Line Press Welding Painting Purchase IQC OQC PCB Supplier Customer • Logistics system (Material, Product) • Parts loss control • Inspection System • Box quality control • Round Cavity strength • PCB ICT FCT control • Powder quality • Gap defect . • Product and Quality Strategy • IR sensor quality • Press line system • Quick response system • Outgoing Inspection system • Material storage system Main Issue Big Y Issue • 0.7Cu.ft latch adjustment • Door ass’y trouble • Anode abnormal temp. • 0.7 UTC cavity Distortion • P/Cord scratch • Door dirty Production Process System Assembly Line Painting PCB MFG 6σ ▪ L/B improvement ▪ Powder thickness BIG Y Little Y Action ▪ WG Weld intensity Quality ▪ Part quality Yield Quality up MFG 6σ ▪ Line balance MFG 6σ Pressing ▪ PCB lead improvement ▪ Logistic Lead Time ▪ Quick Response Logistics TQ 6σ NWT MFG 6σ RTY Innovation RTY↑ TDR MFG 6σ MFG 6σ Welding TQ 6σ 02.12 Target 120 50% 02.12 Target 3.5 2.78 25% 02.12 Target 3.5 2.56 28% PCB Painting Logistics Ass’y Miscellaneous ratio RTYz RTYz 02.12 Target 3.5 2.75 21% 60 RTYz 10 million per year Assurance 02 Target 7.0 M units/year 10.0 30 % 80 85 90 95 RTYq 60 70 80 90 RTYp A B C D RTYz Portfolio 3.5 EA/Hour 3/19 D M A I C
est practice-1 ,→ Painting Supplier ac Assy -oQc(Customer) Logistics improvement. PCB Define e Better logistics Measure Neck Point Analysis Worst logistics aiting for...? Improve Plan change Everyday Control 翻围具具! Stock is not enough Elevator is not enough QC Packing Time too long Painting Stock PCB line Ass'y line Ine · Broken box Check time conflict Poor loading method Product stock 4/19
6s Define Measure Analysis Improve Control Supplier IQC Painting PCB Ass’y OQC Customer Better logistics Worst logistics IQC Waiting for ……? Stock Product stock Ass’y line Painting line PCB line Neck Point • Plan change Everyday • Stock is not enough • Elevator is not enough • Packing Time too long • Broken Box • Check time conflict • Poor loading method Logistics improvement Best practice-1 4/19 D M A I C
est practice-1 ,→ Painting Supplier ac Assy -oQc(Customer) Logistics improvement PCB Define Voice of Customer Vedrccuand supervisomgrgeeaing Measure Plan change Everyday Stock is not enoug Invoice Load way Analysis Can not unload in stock Invoice check is difficult Improve Elevator is not enough Unloading Packing Time too long Ay Loadingtool Contro Forklift is not enough Checking irregulars training for loader Load tools Waiting every procedure Stock manage Check time conflict Stock Poor loading vehicle Incoming check time Communicate o inspect system Stack management 5/19
6s Vendor and supervisor meeting Focus Improve Invoice Unloading Checking Load tools Stock Communicate Loading tool Load way Stock manage inspect system ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● Define Measure Analysis Improve Control Voice Of Customer Plan change Everyday Stock is not enough Can not unload in stock Invoice check is difficult Elevator is not enough Packing Time too long Forklift is not enough irregulars training for loader Broken Box Waiting every procedure Check time conflict Poor loading method Poor loading vehicle Incoming check time Poor part quality Stack management ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● Logistics improvement Best practice-1 Supplier IQC Painting PCB Ass’y OQC Customer 5/19 D M A I C
est practice.1 ,→ Painting Supplier ac Assy -oQc(Customer) Logistics improvement. PCB One-way ANOVA: waiting versus vendor Define Press 253625457130 Tota|101346088 Measure dividual 95%Cls For Mean on Pooled stDe 8:0010:0013:0015:0017:0019:00 Analysis Two-way ANOVA: waiting versus time, part Analysis of Variance for waitir en168028 Source prove 523546470910.200.001 63800.00(-*-) 2230211512.490.132 Error Control Total 17,30467 Indivdual 95% CI Mean 60120180240 Dotplots of waiting by vendor are ndicated by ines) 100 Individual 95% CI lean -+ press 0.016.032.048.0 a 3235i55 6/19
Best practice-1 6s Define Measure Analysis Improve Control Waiting for … 20 25 30 35 40 Target USL Process Capability Analysis for EA/Hour PPM Total PPM > USL PPM USL PPM USL PPM < LSL Ppk PPL PPU Pp Cpm Cpk CPL CPU Cp StDev (Overall) StDev (Within) Sample N Mean LSL Target USL 998775.93 998775.93 * 997842.96 997842.96 * 1000000.00 1000000.00 * -1.01 * -1.01 * * -0.95 * -0.95 * 3.73220 3.96161 30 31.3074 * 0.0000 20.0000 Overall Capability Observed Performance Exp. "Within" Performance Exp. "Overall" Performance Potential (Within) Capability Process Data Within Overall Ppk=-1.01 Miscellaneous ratio EA/h One-way ANOVA: make invoice, invoice, inspection, check, stock, recover Analysis of Variance Source DF SS MS F P Factor 5 908047 181609 70.14 0.000 Error 138 357333 2589 Total 143 1265379 Individual 95% CIs For Mean Based on Pooled StDev Level N Mean StDev --+-----+-------+-----+- make inv 24 14.70 5.71 (--*-) invoice 24 21.98 10.96 (--*-) inspecti 24 15.06 2.41 (--*-) check 24 26.75 15.64 (-*--) stock 24 229.85 122.93 (--*-) recover 24 8.27 4.47 (--*--) --+-------+-------+-----+---- Pooled StDev = 50.89 0 80 160 240 Make invoice Inspect Recover part Stock Check unload Invoice check Logistics improvement Supplier IQC Painting PCB Ass’y OQC Customer make inv invoice inspecti check stock recover 0 100 200 300 400 500 Boxplots of make inv - recover (means are indicated by solid circles) 8:00 10:00 13:00 15:00 17:00 19:00 111 55 136 12 7 15 21 101 40 9 16 9 2 0 1 0 2 6 Box Inject Press Two-way ANOVA: waiting versus time, part Analysis of Variance for waiting Source DF SS MS F P time 5 23546 4709 10.20 0.001 part 2 2302 1151 2.49 0.132 Error 10 4619 462 Total 17 30467 Individual 95% CI time Mean -------+---------+---------+---------+---- 100 11 (------*------) 130 54 (------*-----) 150 11 (------*------) 170 3 (------*------) 190 0 (------*------) 800 100 (------*------) -------+---------+---------+---------+---- 0 40 80 120 Individual 95% CI part Mean --+---------+---------+---------+--------- box 29.2 (-----------*-----------) inject 16.5 (-----------*------------) press 44.2 (------------*-----------) --+---------+---------+---------+--------- 0.0 16.0 32.0 48.0 One-way ANOVA: waitingp versus vendor Analysis of Variance for waitingp Source DF SS MS F P vendor 10 298536 29854 57.13 0.000 Error 91 47551 523 Total 101 346088 Individual 95% CIs For Mean Based on Pooled StDev Level N Mean StDev --+---------+---------+---------+---- daxian 7 99.60 0.40 (--*-) douxing 9 74.40 9.01 (-*--) geleide 9 223.80 0.00 (-*--) henan 7 89.60 0.60 (--*--) lianhe 9 197.60 28.93 (--*-) lianhua 18 188.60 48.58 (*-) nix 9 63.80 0.00 (--*-) sanyue 9 124.80 2.77 (--*-) xian an 9 89.00 0.00 (--*-) xianhe 9 92.80 0.69 (-*--) xushi 7 155.60 1.60 (--*--) --+---------+---------+---------+---- Pooled StDev = 22.86 60 120 180 240 daxian douxing geleide henan lianhe lianhua nix sanyue xian an xianhe xushi 50 150 250 vendor waitingp Dotplots of waitingp by vendor (group means are indicated by lines) 6/19 D M A I C
Through process mapping we found some procedue has problems 3-4567+8-910}1112 95% 99%99 82%98%99%93%83% Appearance Partand Function 2442322+21-20+19}18-1+16+15+414+13 99% 99 84%98 98 1. Cavity Prepare 09. Connection 1 17. Life test 2. Base Install 10. Connection 2 18 O/Case Install 3.L/Board fix 11. Door Gap Adjust 19. O/Case Fix 4. MGT FiX 12. Latch Adjustment 20. Leakage test 5. S/Guide Fix 13. Lamp Install 21 Nameplate stickup 6. P/Cord install 14. Structure inspection 22. Last Inspection 7 Controller fix 15. Function inspection 23. Packing 8. Door nstall 16. Aging 24. Pack up
D 6s M A I C 7/19 Define Measure Analysis Improve Control IQC Stock Product stock Ass’y line Painting line PCB line Press stock •Support time control 8:00~9:00 9:00~10:00 10:00~11:00 11:00~12:00 13:00~14:00 14:00~15:00 15:00~16:00 16:00~17:00 17:00~18:00 18:00~19:00 19:00~20:00 河南电子 许氏电子 斗星机电 成珉机电 宙和电子 富川机电 妮斯电子 德水电子 三跃注塑 哥雷德 联华注塑 文安塑料 润祥电子 元硕电子 赛龙电子 幸星电子 太成电子 新五星机电 太日电子 韩星电子 韩信电子 中川电子 时间 协力社 •Load method 12 13 14 15 16 17 18 19 20 Target USL Process Capability Analysis for C1 PPM Total PPM > USL PPM USL PPM USL PPM < LSL Ppk PPL PPU Pp Cpm Cpk CPL CPU Cp StDev (Overall) StDev (Within) Sample N Mean LSL Target USL 0.06 0.06 * 0.46 0.46 * 0.00 0.00 * 1.77 * 1.77 * * 1.64 * 1.64 * 0.885099 0.955153 30 15.3101 * 0.0000 20.0000 Overall Capability Observed Performance Exp. "Within" Performance Exp. "Overall" Performance Potential (Within) Capability Process Data Within Overall Ppk=1.77 20mm •HVT container truck •Be sure the way of turn around , enlarge the cartwheel 2 times •Add pothook , make the container and load car can connect , 124 60 32 Jan. Target Jun. Lead time(min.) Box stock Best practice-1 Logistics improvement Supplier IQC Painting PCB Ass’y OQC Customer Best Practice 2 Ass’y RTY innovation 1. Cavity Prepare 2. Base Install 3. L/Board Fix 4. MGT Fix 5. S/Guide Fix 6. P/Cord Install 7. Controller Fix 8. Door Install 09. Connection 1 10. Connection 2 11. Door Gap Adjust 12. Latch Adjustment 13. Lamp Install 14. Structure inspection 15. Function inspection 16. Aging 17. Life test 18. O/Case Install 19. O/Case Fix 20. Leakage test 21. Nameplate stickup 22. Last Inspection 23. Packing 24. Pack up Part and Function 1 2 3 4 5 6 7 8 9 10 11 12 24 23 22 21 20 19 18 17 16 15 14 13 Appearance Through process mapping we found some procedure has problems 99% 95% 99% 99% 99% 98% 82% 98% 99% 93% 83% 99% 99% 84% 98% 98% 99% 100%
est practice-2 → ainting Supplier] lach Ass'y oQC Customer Latch adjustment improvement PCB Define PPK=0.06 Process Capabity Analysis for C15 Winters' Multiplicative Model for latch Measure Analysis Improve 425224.13 PpMToad Time One-way ANOVA: latch, latch2, latch, latch4 Contro Man Material Analysis of Variance Latch Forget ser Facr353.1817733.400020 Old or ne Cavit Toa11965830 Individual 95% Cls For Mea Parameter Total inspection/ The way a(1 latchi Mould aging- ou+ Gage aging 100.92094( Machine Method lah33010227430 ah430100520.95( Latch 3 mould is CTO Poled SDev= 228 1000 101.0 1020 103.0 8/19
6s Actual Predicted Forecast Actual Predicted Forecast 0 10 20 30 1000 2000 3000 4000 5000 latch Time Smoothing Constants Alpha (level): Gamma (trend): Delta (season): MAPE: MAD: MSD: 0.100 0.100 0.100 17 498 385157 Define Winters' Multiplicative Model for latch Measure Analysis Improve Control Forget self check Latch Adjust D/Frame Latch L/Board Cavity Man Old or new Method Mould aging Total inspection burr Machine Parameter injection Material Gage aging The way 4 6 8 10 12 14 Target USL Process Capability Analysis for C15 PPM Total PPM > USL PPM USL PPM USL PPM < LSL Ppk PPL PPU Pp Cpm Cpk CPL CPU Cp StDev (Overall) StDev (Within) Sample N Mean LSL Target USL 424858.44 424858.44 * 425224.13 425224.13 * 366666.67 366666.67 * 0.06 * 0.06 * * 0.06 * 0.06 * 1.71843 1.72694 30 8.67439 * 0.00000 9.00000 Overall Capability Observed Performance Exp. "Within" Performance Exp. "Overall" Performance Potential (Within) Capability Process Data Within Overall PPK=0.06 Latch 3 mould is CTQ One-way ANOVA: latch1, latch2, latch3, latch4 Analysis of Variance Source DF SS MS F P Factor 3 53.18 17.73 3.40 0.020 Error 116 605.11 5.22 Total 119 658.30 Individual 95% CIs For Mean Based on Pooled StDev Level N Mean StDev ----+---------+---------+---------+-- latch1 30 100.92 0.94 (-------*-------) latch2 30 100.92 0.76 (-------*-------) latch3 30 102.27 4.30 (--------*-------) latch4 30 100.52 0.95 (-------*-------) ----+---------+---------+---------+-- Pooled StDev = 2.28 100.0 101.0 102.0 103.0 Latch adjustment improvement Best practice-2 Supplier IQC Painting PCB Ass’y OQC Customer 8/19 D M A I C
st practice. 2 → ainting Supplier] lach Ass'y oQC Customer Latch adjustment improvement PCB Define Measure LATCH ARDP Analysis Regression Analysis: time versus latch b, latch b-p, latch b-l, latch Improve The regression equation is 0.24+0.01761 atch b+0.09201 atch b-p 0.2781 at ch h-1-0.01481atch Control Predictor SE Coef 0.24 0.0 latch b 0.01756 0.0317 0.55 0.585 atch b-10.091 4.03 PPK=2.19 latch b-1 0.27811 0.02761 10.070.000 latch 0.01481 0.02400 0.62 0.543 Pooling Regression Anal ysis me-versus latch b-p, latch b-l :: uperior pEriod time=0.019+0.09481 atch b-p+0.2781 atch b-1 ELATCH cTQ High ruler $100.8+0.2mm Enac :. SE Coef 25H0OK. CTO plug gage onstant 0.03 0.978 latch b- 0.02186 4.33 10.73 High ruler 39.50: s=0.02717 R-Sq=81.6影 R-Sq(adj)=80.2告 UB distance nuer3101±02mm Weekly 9/19
6s Define Measure Analysis Improve Control Regression Analysis: time versus latch b, latch b-p, latch b-l, latch The regression equation is time = - 0.24 + 0.0176 latch b + 0.0920 latch b-p + 0.278 latch b-l- 0.0148 latch Predictor Coef SE Coef T P Constant -0.243 3.481 -0.07 0.945 latch b 0.01756 0.03172 0.55 0.585 latch b-l 0.09197 0.02284 4.03 0.000 latch b-p 0.27811 0.02761 10.07 0.000 latch -0.01481 0.02400 -0.62 0.543 S = 0.02795 R-Sq = 81.9% R-Sq(adj) = 79.0% Regression Analysis: time versus latch b-p, latch b-l The regression equation is time = 0.019 + 0.0948 latch b-p + 0.278 latch b-l Predictor Coef SE Coef T P Constant 0.0192 0.6785 0.03 0.978 latch b- 0.09475 0.02186 4.33 0.000 latch b- 0.27777 0.02589 10.73 0.000 S = 0.02717 R-Sq = 81.6% R-Sq(adj) = 80.2% LATCH L/BOARD-P L/BOARD-L L/BOARD 100.6 101.0 9.3 9.7 23.1 23.5 100.8 101.2 8 10 12 14 16 TIME Main Effects Plot (data means) for TIME No. Manage PJTWay Tool SPEC Supervisor Period 1 LATCH CTQ High ruler 100.8±0.2mm IQC Weekly 2 HOOK CTQ plug gage 1.0±0.1mm Vender Daily 3 LATCH hole CTP High ruler 30.3 ± 0.2mm Vender Weekly 4 D/F high CTQ High ruler 11.8±0.2mm Vender Daily 5 L/B -up CTP High ruler 9.5±0.2mm IQC Weekly 6 L/B-low CTQ High ruler 23.1 ±0.2mm IQC Daily 7 L/B distanceCTQ High ruler 101±0.2mm IQC Weekly 5 6 7 8 9 100 101 102 103 102 101 latch L/B Contour Plot of time 100 101 102 103 102 101 latch L/B Contour Plot of time time 1 4 Lower Bound Upper Bound White area: feasible region Subgroup 0 5 10 101.5 101.0 S 100.5 ample Mean Mean=100.9 UCL=101.5 LCL=100.4 2 1 0 Sample Range R=0.9481 UCL=2.005 LCL=0 Xbar/R Chart for C1 6.0 6.5 7.0 7.5 8.0 8.5 9.0 Target USL Process Capability Analysis for C16 PPM Total PPM > USL PPM USL PPM USL PPM < LSL Ppk PPL PPU Pp Cpm Cpk CPL CPU Cp StDev (Overall) StDev (Within) Sample N Mean LSL Target USL 0.00 0.00 * 0.00 0.00 * 0.00 0.00 * 2.19 * 2.19 * * 2.63 * 2.63 * 0.298658 0.248340 30 7.03804 * 0.00000 9.00000 Overall Capability Observed Performance Exp. "Within" Performance Exp. "Overall" Performance Potential (Within) Capability Process Data Within Overall PPK=2.19 Pooling Latch adjustment improvement Best practice-2 Supplier IQC Painting PCB Ass’y OQC Customer 9/19 D M A I C