Lean Rolling Stock Maintenance How to improve efficiency of rolling December, 2009

Transcription

Lean Rolling Stock Maintenance How to improve efficiency of rolling December, 2009
December, 2009
Lean Rolling Stock Maintenance
How to improve efficiency of rolling
stock maintenance operations
C O N F I D E N T I A L | www.oliverwyman.com
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Introductory Remarks
 The present document provides insights on Oliver Wyman’s approach to lean rolling stock
maintenance
 The intention of the document is to provide a base for discussion on how to optimize rolling stock
maintenance operations using lean management methods and tools
 Therefore parts of this document may not entirely be self explanatory and may require additional
verbal explanations
 For any questions please contact:
Joris D’Incà
Oliver Wyman AG
Tessinerplatz 5
8027 Zürich
Tel.: +41 (1) 208 7749
Mobile: +41 (79) 4212484
[email protected]
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Jochim Wegner
Oliver Wyman Consulting GmbH
Kasernenstr. 69
40213 Düsseldorf
Tel.: +49 (211) 8987 694
Mobile: +49 (151) 21225386
[email protected]
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Content
 Rolling stock maintenance: A major cost factor for rail operators
 Oliver Wyman approach to reach best-in-class lean rolling stock maintenance
 How to unlock the potential of maintenance operations through lean management
 Oliver Wyman qualifications
© Oliver Wyman  www.oliverwyman.com
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Rolling Stock Maintenance: A major cost factor for Rail Operators
Maintenance accounts for approx. 30% of the lifecycle costs of a high-speed train,
making it the largest rolling stock operating cost factor besides energy
Life Cycle Costs – High-speed fleet
In percent
100%
7%
11%
Cleaning
Tech. management
30%
Maintenance
(incl. spare parts)
30%
Energy
23%
Depreciation
Example
Comments
 Besides energy and depreciation,
maintenance is the largest cost
factor of a high speed train
 Over the lifecycle of a high-speed
train, maintenance costs exceed
depreciation
 Approx. 60% of maintenance costs
are personnel cost and 40% for
material / spare parts
 For a fleet in service, maintenance
cost is the major cost position
subject to optimization as
depreciation and energy stay
constant during the fleet’s lifecycle
High-speed
Source: Oliver Wyman
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Example
Rolling Stock Maintenance: A major cost factor for Rail Operators
Therefore, effective maintenance is a driver of competitive advantage for rail operators
Example: Cost comparison of freight
wagon refurbishment
Example: Comparison of availability of
reference locomotive
93%
+47%
11,2
Adjustment for
labor rates
~0,4
Overheads
~4,6
Direct labor
9,2
7,6
1.4
88%
5%
+21%
2.7
Hours worked
on wagon:
3.5
4.2
Railroad A
Railroad B
~35
+97%
Materials
Railroad A
Railroad B
~70
Overall, in this example, Railroad A has a cost advantage of 3-4% over Railroad B
Source: Oliver Wyman Open-Book-Benchmarking
© Oliver Wyman  www.oliverwyman.com
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Content
 Rolling stock maintenance: A major cost factor for rail operators
 Oliver Wyman approach to reach best-in-class lean rolling stock maintenance
 How to unlock the potential of maintenance operations through lean management
 Oliver Wyman qualifications
© Oliver Wyman  www.oliverwyman.com
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Objectives of Lean Rolling Stock Maintenance
The overall objective of Lean Rolling Stock Maintenance is to reach an optimum
between maintenance costs, availability and quality of the fleet
Quality
Optimization of vehicle
reliability, security and comfort
Maintenance
costs
Vehicle
availability
Minimization of personal
and material costs
Maximization of vehicle
availability for operations
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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Lean Rolling Stock Maintenance – Overall KPI targets
Measurable Key Performance Indicators (KPI) should be the guiding line for lean
maintenance optimization
Lean Rolling Stock Maintenance
Overall KPI examples
Quality
Vehicle availability
Maintenance costs
Failure rate
Cycle time for
interventions
Preventive maintenance
Reliability
(MTBF/MDBF)
Delivery times
(inbound/outbound)
Curative maintenance
Customer comfort
Response times to
failures
Costs of indirect
functions
Condition of rolling
stock
Downtime due to failures
Assets and facilities
...
…
…
© Oliver Wyman  www.oliverwyman.com
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Oliver Wyman lean maintenance approach – Overview
Lean Maintenance can be achieved in three stages
B
A
C
Maintenance Strategy
Setup
Maintenance Process
Redesign
Lean Workshop
Transformation
 Re-definition of
maintenance regimes
– Modularization
– Condition based
– Stretching
 Redesign of maintenance
core processes
– Planning and Controlling
– Fleet Management
– Technical engineering
– Repairs
– Retrofitting /
Modernization
– Spare part/Component
logistics and procurement
 Implementation of lean
methods to optimize
workshop efficiency
– Standardized work
– Workplace organisation
– Shopfloor management
 Scope of activity
 Workshop footprint
 Leadership organization
and systems
Impact on
operating costs
Time horizon
2+ years
1 - 2 years
<1 year
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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A
A
B
C
Maintenance Strategy Setup
Four areas have to be addressed to define the overall rolling stock maintenance setup
Re-definition of maintenance regimes
A
 Transition to
modularized
maintenance regimes
Maintenance Regime
A modularized maintenance regime helps to optimize downtime of a train and introduce
condition based maintenance
Non modularized maintenance regimes
Modularized maintenance regime
Freight traffic traction
Freight traffic traction
140k km
F2
35k km
F2
5k km
F1
F0
F0
t
SM 7
SM 6
SM 3
SM 6
SM 7
SM 2
SM 5
SM 2
SM 5
SM 2
SM 1
SM 4
SM 1
SM 4
SM 1
Natural train
downtime
 Driven by kilometric performance
 Service modules to use natural down times
 Avoidance of short term control due to
extensive preventive maintenance
 Transition to flexible service capacities through
qualification on as many locations as possible
 Synchronization of circulation and maintenance
often not possible
 Tailored modules by km / time / erosion / utilization
t
Scope of activity
A
 Condition based
maintenance
Workshop 1
Preventive Maintenance
Corrective Maintenance
Modifications
Small
Exam
Med.
Exam
Diagno
stics
Light
Light






Heavy
Refurbishment
Heavy

Outside








Workshop 5

()
Cleaning
Inside
()

Workshop 3
Workshop 4
Overhauls
()
Workshop 2
 Stretching of
maintenance intervals
 Depth of maintenance
operations
– Light maintenance
– Heavy maintenance
– Refurbishment
– Cleaning
Scope of Service performed internally by workshop
Maintenance is split across several facilities
 Types of rolling stock
Full scope
Limited scope
Source: Oliver Wyman
Workshop footprint
A
Leadership organization and systems
 Optimization of
workshop footprint
balancing
– Cost of locations
– Transfer cost of
rolling stock
– Transfer time
needed
Footprint
Location planning needs to take trade-off between transfer cost of rolling stock
and cost of location into consideration
Location planning for maintenance cites
Example ICE-T
Trade-Off for Location Optimization
Location of trains
in downtimes and
location of trains
with failures
Hamburg
Location of trains
with failures
Berlin
Dresden
Transfer cost for
rolling stock
Leipzig
Wiesbaden
Frankfurt
Saarbrücken
33
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12
© Oliver Wyman  www.oliverwyman.com
Optimized
location concept
Munich
Cost of location
(direct and
indirect costs)
A
 Definition and
implementation of
leadership and KPI
system
Leadership Systems
An integrated KPI system ensures appropriateness and quality control in maintenance
planning and execution
Performance indicators for maintenance planning and execution
Performance Indicators
Maintenance
costs
Frequency of
investigation
 24/7
 Peak times
 …
Availability
Quality
Overall maintenance
costs per train-km
Fleet availability
Mean time / distance
between Failures
Vehicle maintenance
costs per 1.000 km
Vehicle availability
Absolute failure
frequency per 1.000
train km
Parts and labor costs
per replacement
Spare part
availability
Refurbishment quota
…
…
…
ICE-T depot
© Oliver W yman  www.oliverwyman.com
13
© Oliver Wyman  www.oliverwyman.com
14
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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A
B
B
C
Maintenance Process Redesign
Process redesign for maintenance encompasses direct maintenance related processes
and related planning and supporting processes
Illustrative
Core processes
1.0 Integrated Planning and Controlling
1.1 Vehicle support and maintenance standards
1.2 Capacity planning and controlling
1.3 Vehicle transfer and return
1.4 Spare parts – Purchase / Logistics
2.0 Fleet Maintenance
2.1 Task preparation
2.2 Plant planning /
controlling
2.3 Periodical work
2.4 Repairs
2.5 Cleaning / vehicle
preparation
3.0 Modernization &
retrofitting
3.1 Task preparation
3.2 Plant planning /
controlling
3.3 Engineering
3.4 Modernization
3.5 Retrofit
4.0 Component manufacturing and refurbishment
4.1 Task preparation
4.2 Plant planning /
controlling
4.3 Component
manufacturing
4.4 Component
refurbishment
5.0 Support functions
5.1 Finance and Controlling
5.2 IT
5.3 QSE
5.4 Human Resources
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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A
C
B
C
Lean Workshop Transformation – Objective
Lean Workshop Transformation eliminates the root causes creating inefficiencies in the
workshops by creating a higher level of industrialization of the workshop
Typical issues creating inefficiencies in a rolling
stock maintenance workshop (examples)
Objective of Lean Workshop Transformation
Maintenance tasks are not standardized
- Inadequate checklists or work instructions
- Lack of standards for tools and locations
- Missing standard times for tasks
Workshop organization not performance driven
- Lack of performance management
- Supervisors lack information about job status
- No sharing of best practices
Insufficient planning and preparation
- Repairs are given the highest priority and interrupt
scheduled work
- Scheduled maintenance tasks are started before all
parts and equipments are ready
Industrialization of the workshop
- More standards
- Higher efficiency
Infrastructure constraints
- Tracks are not equipped in a standard way
- Teams have to wait for a shared equipment to
become available
Spare parts logistics
- Long lead times for spare parts
- Repairables logistics not optimized
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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A
C
B
C
Lean Workshop Transformation – Foundations
Industrialization is achieved by applying Lean and Six Sigma concepts in 3 key areas:
Work standardization, Workplace organization and Shopfloor management
Lean Manufacturing
Six Sigma
 Lean system: delivery of products
and services matched to customer
needs
 Six sigma system: reduce
variation and defects to improve
quality
 Lean concepts: eliminating
waste, i. e. anything not adding
value to the product or the
customer, and improving process
flow
 Six sigma concepts: reduce
process variation to eliminate
defects, while ensuring the
organization is focused on the
voice of the customer to
differentiate products and services
 Lean approach: a total
organizational and cultural
transformation
Lean Workshop
Transformation
3 focus areas:
 Work standardization
 Workplace organization
 Shopfloor management
© Oliver Wyman  www.oliverwyman.com
 Six sigma approach: measure
defects, analyze the root cause,
systematically improve the system
and ensure sustainment of the
gain
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A
C
B
C
Lean Workshop Transformation – Overview
Our experience shows that these 3 areas are key pillars to drive Lean Workshop
Transformation
Objective
Results
Work standardization
Workplace organization
Shopfloor management
Reduce variation in preventive
and curative maintenance tasks
to improve efficiency and quality
Organize workplace in the most
efficient manner possible
Establish adequate planning and
communication on the shopfloor
 Stabilized, repeatable
maintenance processes
 Defined standards in terms of
cleanliness and orderliness (“A
place for every tool and every
tool at its place”)
 Quicker exchange of
information on the shopfloor
 KPI-based process to ensure
sustainability
 Continuous improvement on
the shopfloor
 Reduced throughput time
 Increased quality (elimination
of sources of error)
 Increased flexibility in the
deployment of employees
 Accelerated feedback to work
order planning teams
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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A
C
B
C
Lean Workshop Transformation – Toolbox
Lean Workshop Transformation uses a toolbox combining traditional and Lean Six
Sigma methods and tools
Traditional Process Improvement tools
Lean tools

Checklists

PDCA

Pareto Charts

5S

Flowcharts/Process Maps

Standardized work

Cause-Effect Diagram (Ishikawa diagram)

Level production

Histogram

Value Stream Mapping

Correlation

Total Productive Maintenance (TPM)

Control Chart

Visual Controls

Problem solving (5 Why, A3 boards,…)

Pull/Kanban Systems

Continuous improvement process
 …
Lean Workshop
Transformation
Organization and Planning tools
Statistical tools

Vision, Mission, Values

Gage R&R (MSA)

Hoshin Planning (Policy deployment)

Process Capability

Roles and responsibilities

Data Collection Plan

“Go see it” Management system

Hypothesis Testing

Empowered workforce

Multiple Regression

Flexible workforce

Design of Experiments

Quality circles/Quality function deployment

Modeling

Supplier development

Statistical Process Control

CTQ/Voice of the Customer (Kano model)

Cross-Functional Mapping

…
© Oliver Wyman  www.oliverwyman.com
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A
C
B
C
Lean Workshop Transformation – Oliver Wyman Lean Curve
Lean tools used will depend on the organization’s current lean maturity
Lean Maturity levels and corresponding lean focus/tools
Position of best-in-class
workshops in the rolling
stock maintenance industry
4
Realized
improvements
Lean maturity
3
Position of average
workshops in the rolling
stock maintenance industry
2
Maturity level
1
Transformation focus
Organizational
development
Discipline building
Lean tool use
Continuous improvement
Methods
and Tools
 Vision, Mission, Values
 Hoshin Planning (Policy
Deployment)
 Visual controls
 Quality circles
 Roles and responsibilities
 Core competencies linked
to performance
 PDCA
 Empowered workforce
 Flexible workforce
 “Go see it” Management
System
 Problem solving
 5S
 Error proofing (EP)
 Continuous improvement
process
 Feedback and
communication system
 Quick changeover (QCO)
 PD linkage via DFA/DFM
and QFD
 Pull/Kanban systems
 Supplier development
 Standardized work
 Andon
 Level production
 1-piece-flow
 Value Stream Mapping
 Just-in-time (JIT)
 Total Productive
Maintenance (TPM)
 Statistical process control
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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B
A
Lean Workshop Transformation – Standardized work
Standardized work has several levels of excellence, ranging from basic checklists for a
complete check to standard worksheets for every single task of this check
Standardized
work
C
C
Basic Checklist
Level 1
Contents
 Optimized checklist with
maintenance tasks
Advanced Checklist
Level 2
 Optimized checklist
including
– Tools used and locations
– Material used
 Standard time for entire
check
Standardization  Missing tasks and existing
and optimization standards included in
levers
checklist
 Improved coordination
between different tasks
(e. g. mechanical and
electrical)
 Improved task preparation
 Reduced movements and
search time
Workplace
organization
Shopfloor
management
Standard worksheet
 For each task:
– Detailed description of how
the task is carried out
– Standard time for each step
– Visualization of each task
– Safety equipment
– Tool
– Material
 Reduced variance in
carrying out a certain task
 Maintaining a predefined
quality level
 Workers perform each task
in the most efficient way
 Optimized sequence of
maintenance tasks
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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B
A
Lean Workshop Transformation – Standardized work
In order to standardize work, the actual steps of maintenance tasks are recorded and
optimized with the maintenance teams
Standardized
work
C
C
Workplace
organization
Shopfloor
management
Oliver Wyman case example
Recorded sequence of I2 maintenance level
Excerpt
Pos.Nr. Pos. #
Aktivität
Check- Nr.
MA
-12
1 Werkzeug Vorbereiten
6.1.1.1 -1
13
1 Kompressor Sicht- und Funktionsprüfung Luftockner
5 -1
14
1 Luftgerüstschrank: Absperrhäne prüfen
-1 Filter vom Magazine holen (unvollständige Bon)
-Unterbrechung wegen 1503 Reparatur
-1 Werkzeug Vorbereiten
1 Alte Filter ausbauen Sichtprüfung, Entwässerung
6.1.1.1.-1 Filter aus Lager holen
6.1.1.2
1 Neue Filter einbauen
-2 Ersatzteile für I2 aus dem Wartungspaket für I3 ausgesucht
-Pause
-1 Abklärung Checkliste mit Baureihenbetreuer; Checkliste Eintragen
-2 Materialbeschaffung
-1 Absprache bezüglich Pannenbehebung
-1 Werkzeug vorbereiten
-2 Absprache mit Vorarbeiter
-1 Materialbeschaffung
-1 Turbolader reparieren
6.2.1
1 Hydrauliköl wechseln
6.2
1 Ölfilter ausbauen, Schleuderfilter auslaufen lassen
6.2
1 Hydraulikölfilter abbauen
-Beobachtung unterbrochen wegen Reparatur 1817
6.2
Filterspritzwanne Hydrostatik
6.2
Öl füllen
6.2
2 Einbau Ölfilter
6.2
1 Einfüllen Hydrostatiköl
-1 Checkliste Eintragen
3.5.1
1 Dieselfilter austauschen
3.5.1
1 Dieselfilter entlüften
-1 Checkliste nachsehen
1.6.8-2
2 Kühl- und Washanlage Flüssigkeit holen
1.6.8-2
1 Kühl- und Washanlage Flüssigkeit holen + füllen
-1 EPI holen (Helm)
2
2 Sichtprüfung Fahrwerk
-2 Checkliste Eintragen
2.5
1 Sichtprüfung Unterbau + alle Schalter und Steckdosen
-1 Checkliste Eintragen
-Pause
-1 Werkzeug vorbereiten (Radmeßung)
2.4.-2
2 Radsatz vermessen
-1 Datenblatt Radsatz abgeben
-1 Checkliste eintragen
-1 Meßwerkzeug zurück bringen
-1 Schmierpumpe holen
1.1.2.1.
1 Türschlösser und Scharnieren schmieren
-1 Schmierpumpe zurück bringen
-1 Checkliste eintragen + lesen
-1 EPI und Werkzeug weg räumen
# of workers
per task
Task
07:00
08:00
Issues
09:00
10:00
11:00
12:00
13:00
14:00
Visualization of actual
sequence
15:00
16:00
Dauer
(min)
5
10
10
5
25
5
10
10
10
10
15
10
30
20
5
5
10
20
15
15
15
290
15
35
10
5
20
30
20
10
10
10
5
10
5
15
10
30
10
25
5
15
5
5
15
5
5
20
 Sequence of PM tasks not
optimized, e. g.
– Oil purge valve only opened at
the beginning of oil filter
change  lasts several hours
– Brake test delays underbody
grease
 PM tasks have been fully
interrupted due to repairs on
another locomotive
 Frequent and lengthy
movements by workers to get
tools or parts
Duration
Checklist
references
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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B
A
Lean Workshop Transformation – Workplace organization
Workplace organization is optimized using the 5S method - a standard process involving
a systematic review of all items and installations in the work area using 5S cards
Standardized
work
C
C
Workplace
organization
Shopfloor
management
Oliver Wyman case example
5S implementation process
Sort
Straighten
Shine
Standardize
Sustain
Implementation stages
 Systematic review of all items and
installations in the pilot area using
5S cards
5S card
 Identification of usage type and
frequency for each item
 Definition of storage locations
 Organization of workplace
 Cleaning of area
 Disposal of unnecessary items
 Deployment of visual tools
 Clarification of responsibilities for
maintenance and inspection
 Review of delivered results
 Definition of checklist for area
 Implementation of KPI-based
continuous improvement process
Tagging of
equipment and
material using 5S
cards
Organization of
workplace
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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B
A
Lean Workshop Transformation – Workplace organization
Typically, a pilot area will serve as a reference for 5S roll-out to the entire workshop
Standardized
work
C
C
Workplace
organization
Shopfloor
management
Oliver Wyman case example
After (Examples)
Before (Examples)
Cleanliness/
orderliness
Workplace
organization
 Tools and materials
are not stored in
specified locations
 “A place for everything
and everything at its
place”
 Cleanliness variable
 Visual management
standards
 Tools are stored
without system
 Use of shadow boards
to ensure tooling is
complete
 No visual clues
 Cabinets in the work
area
– Insufficiently marked
– Work benches
insufficient and used
as shelves
 Sorting and systematic
storing of parts/tools
 Creation of additional
workspace in the work
area
Standards are kept through implementation of 5S checklists and KPI-based 5S audits
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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B
A
Lean Workshop Transformation – Shopfloor management
Efficient shopfloor management relies on effective communication by maintenance
managers and team leaders
Standardized
work
C
C
Workplace
organization
Shopfloor
management
Efficient shopfloor management
Principles of effective communication
 Communication should be structured,
disciplined and frequent
 All meetings held on the shop floor via
information centers/boards and or team
rooms
 One-on-one communication regarding
results of a process or other audit take
place at the point of cause (POC) or
location of the audit with the appropriate
employees
 In effective meetings only relevant
information/issues based on actions /
feedback and accurate data are discussed
Rules for visual displays
 All information and data are kept on simple,
visual displays (e. g. boards), which are
– Completed in a timely manner
– Updated by hand whenever possible
– Reviewed regularly by key personnel
 Characteristics of simple, user-friendly
visual controls:
– Current status communicated at a glance
– Prompt “go and see” activity
– Initiate containment, countermeasure and
support activity
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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B
A
Lean Workshop Transformation – Shopfloor management
Ultimately, a coordinated set of daily meetings involves all workshop levels – from the
worker on the shopfloor to the workshop manager
Standardized
work
C
C
Who?
Workshop
manager
Area
manager
Supervisor
Teamleader
What?
When?
Where
 Key points from previous shift
 Action relevant to Group/Team
 Specific trends for Group/Team
 Shift schedule
 Safety check
 Safety
 Quality
 Kaizen
Worker
Shopfloor
management
Purpose
Continuous improvement
 Confirmation of previous shift results
 Trend analysis
 Review actions taken and results
 Next steps
 Review shift report
 Review performance trends
 Review actions
 Review previous shift performance
 Review trends
 Set action
 Review outstanding tasks
 Review resources capacity
Workplace
organization
Infocenter
Before
each
shift
Group area
Team area
Communication of shift requirements
 Communication of key points from previous shift
 Consensus on actions for coming shift
 Communication of trends
 Prioritization of tasks
Consistent dialogue with group
 Overview of key points from previous shift
 Create awareness on coming actions
 Create awareness on Group metrics and actions
 Safety issues
Worker involvement
 Communication of key points specific to team
 Worker input to continuous improvement
process
 Develop ownership and accountability
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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B
A
C
Lean Workshop Transformation - Effects
Lean addresses all the key value levers of an organization to optimize operational
performance and economic results
Value levers for workshop operations
C
Illustrative
Key results
Hours per
maintenance
 Productivity increase
by 15% - 40%
Personnel
Hourly rate
COGS
Reduced material usage
Material
Costs
Limited but effective
support resources
requirements
SG&A
EBIT
Additional 3rd party
maintenance and
operations revenue
Turnover
ROCE1
Inventory
Working
Capital
Receivables
Liabilities
Capital
employed
 Reduced capital costs
through better inventory
management and
pooling
 Increased availability of
critical parts
Infrastructure
 Reduced infrastructure
costs (increased OEE)
 Reduced CAPEX
requirements
Rolling stock
 Increased rolling stock
availability by 3-4%
 Reduced CAPEX
requirements
Fixed assets
Overall ROCE
improvement
of +5 pts
1 Return on capital employed
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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A
C
B
C
Lean Workshop Transformation – Sustainability
Short term Lean Workshop Transformation should be combined with a longer term Lean
culture change to ensure sustainable productivity improvements
Performance curve of Lean Workshop Transformation projects
Lean Workshop Transformation methods
Workshop
Productivity
(indexed)
 Lean principles, benchmarks and
best practices
 Quick short term improvements
 Optimization of processes and
structure
 Productivity increasing measures
Change Management/Sustainability
 Proven methodology and coaching
 Sustainable Lean Workshop
Transformation
Productivity
with CIP/ Lean
culture change
125
Lean culture
change effect
Productivity
without CIP/ Lean
culture change
100
Lean Workshop Transformation
Continuous improvement/
Lean culture change
Time
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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Content
 Rolling stock maintenance: A major cost factor for rail operators
 Oliver Wyman approach to efficient rolling stock maintenance
 How to unlock the potential of maintenance operations through lean management
 Oliver Wyman qualifications
© Oliver Wyman  www.oliverwyman.com
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Lean Workshop Transformation – Principles
To achieve sustainable results, Lean Workshop Transformation implements a process of
top-down definition of KPIs and goals and bottom-up generation of ideas
Contents
RS
manager
up
mtto
Bo
Project sponsor
To p
- do
wn
Roles and organization levels
Workshop
manager
Core team
KPIs and
targets
Maintenance
manager
Project
team
Maintenance teams
Problem
solving
process
 Top-down definition of KPIs, targets and
approach
 Definition of issues
 Decisions (top level of escalation process)
 Consolidation of KPIs and targets
(“catch ball” principle)
 Implementation responsibility (escalation)
 Support of (pilot) areas
 Follow-up on improvements (KPI)
 Check effectiveness of implemented measures
 Escalation, in case of insufficient support




Bottom-up workshops to reach KPI-targets
Generation of improvement ideas
Implementation of improvements
Escalation, in case of insufficient support
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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Lean Workshop Transformation Pilot – Generic approach
Typical duration of a pilot phase is 12 weeks, including a 2 weeks quick scan
Lean Workshop Transformation – Pilot
Lean workshop loop
2 weeks1
1
Quick scan to
identify pilot
workshop area
 Quick assessment of
workshop areas
– Standardized work
– Workplace
organization
– Shopfloor
management
 Comparison of relative
maturity
Selection of pilot
workshop area
1 week
2
Definition of
priority topics,
goals and KPIs
 Definition of priority
topics for Lean
Transformation
 Assessment of
improvement goals
 Definition of
corresponding KPI
improvements
Priority topics and
KPIs defined
9 weeks
3
Lean workshops
4
 Specific workshops
with project teams for
each priority area:
– Task explanation
– Observation/Issue
analysis
– Action definition
– Implementation
launch
Actions planned and
implementation launched
Implementation
 Implementation of
longer term actions
 Follow-up on actions
through PDCA action
plan
Actions implemented/
Continuous improvement
1 Depends on the number of workshop areas to scan (~2 days per area)
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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Oliver Wyman case example
Example Lean Transformation approach
Standardized work, 5S, Shopfloor management and KPIs were implemented in a pilot
area of the client workshop using a 3-step approach
Lean Transformation
Step 1
Lean Transformation
Step 2
Standardized work Level 1:
 Fully completed checklists
 Coordinated electrical/
mechanical tasks
 Optimized task sequence
Standardized work Level 2:
 Tools
 Materials
 Standard time for complete
maintenance task
Lean Transformation
Step 3
Standardized work Level 3:
 Optimization of each individual
task
 Standard worksheets with
standard time for each task
Standardized work
Workplace organization and
cleanliness
5S
 5S implementation based on
maintenance tasks
 5S checklist and KPI to keep
standard
Capacity and resource planning
Shopfloor management & KPIs
 Implementation of two meetings
per shift
 Implementation of work, resource
and track planning
 Definition of KPI set
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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Success factors for implementation
Clear targets and management leadership are key success factors for Lean
Maintenance Transformation
Clear targets and responsibilities for improvement
measures

Management buy-in,
commitment and
leadership

Transparency on
goals and methods

Trust in project
success from all
stakeholders, incl.
shopfloor workers

Fast execution of
improvements to
kick-off lean culture
Openness on performance gaps and related root causes
(“no sacred cows”), willingness to change
Management implication and leadership in order to
change things quickly
Success
factors
Implementation oriented approach quickly generating
visible results
Transparent communication within the project and to all
stakeholders
Early identification and mitigation of implementation
obstacles
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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Quick Lean Maintenance Operations Assessment
Have you implemented lean maintenance basics?
Quick Lean Maintenance Assessment Scorecard
Lean Temperature Check
Practice
Implementation level
Standardized
work
Not (0)
Partly (1)
Fully (2)
PM is carried out using comprehensive checklists as a reference
– standard times are defined for the whole checklist
20
For key tasks, standard worksheets show the optimal way to
perform the task. All workers are trained to the optimal method
18
For main fault categories, curative interventions (inspection,
repair) are standardized (use of fault trees,…)
16
Clear separation of team spaces and workplace
Workplace
organization
14
12
Workplace is always clean and orderly, tools are kept at their
designated places, materials and parts are stored away
10
Visual management standards (floor and installation markings,
tags,…) are defined and implemented everywhere
You’ve implemented a lot of
basic practices, but can still
improve on those
You’ve started with lean
practices, but could benefit
from a complete roll-out
8
5S checklist, KPI and audit process exist to sustain workplace
organization standards
Shopfloor
management
Congratulations, you are
ready to continue with
sophisticated lean methods
6
4
Team meetings, lead by supervisors, take place at least once per
shift on the shopfloor to perform resources and work planning
2
Visual displays, updated daily, with work and resource planning,
SQACM1 KPIs and PDCA action plan efficiently support meetings
Lean maintenance practices
are not implemented or seem
to be very weak only – call for
action needed
0
All unsolvable issues at one level are escalated, using the correct
escalation process, and are resolved in due time
Score2
x / 20
1 Safety, Quality, Availability, Costs, Morale
2 Assess your implementation level (not, partly or fully implemented) for each of the 10 practices, then sum up corresponding points (0 = not, 1 = partly, 2 = fully implemented)
Source: Oliver Wyman
© Oliver Wyman  www.oliverwyman.com
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Content
 Rolling stock maintenance: A major cost factor for rail operators
 Oliver Wyman approach to efficient rolling stock maintenance
 How to unlock the potential of maintenance operations through lean management
 Oliver Wyman qualifications
© Oliver Wyman  www.oliverwyman.com
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Qualifications of Oliver Wyman
Oliver Wyman disposes of comprehensive experience in the fleet management and lean
maintenance of railway companies
1
Comprehensive
experience in the
railway industry
Oliver Wyman is one of the leading consulting firms in the transportation
industry with in-depth knowledge of the rail industry and its relevant drivers
along the entire value chain
2
Extensive experience in
rolling stock maintenance
optimization
Over the past years, we have accumulated significant experience in the field of
rolling stock maintenance through projects with many leading European and
international rail operators
3
Lean maintenance
competences
© Oliver Wyman  www.oliverwyman.com
Oliver Wyman’s Transportation Team disposes of distinct (also railway-related)
experience and in-depth know-how in the area of maintenance, fleet / asset
management, sourcing, and resource optimization adapting lean principles
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© Oliver Wyman  www.oliverwyman.com
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