Lean Manufacturing Case Study

Managing Lean Manufacturing in Oilfield Equipment Industry

Case Study

Research Problem 

Operational objectives are set by top management and Lean Manufacturing is defined as a method of obtaining those objectives.



Operational management is giving a set of lean principles but no way of establishing how to apply them or implement them.



Operational management is often left with the task of defining the objectives of deploying lean principles.



Materials Handling is often one of the key sources of waste in many companies.

Research Objectives 

The objectives of this study are: 

To develop a methodology that can be used to assist in determining management objectives of lean manufacturing.



To show how this methodology can be used to assist in eliminating waste in material handling processes. Case study will be limited to a single cell



Research Approach 

Review literature on lean manufacturing, its implementation and material handling.



Overview of lean manufacturing and management objectives



Development of the Methodology



Case Study: Hughes Christensen



Conclusion and Direction for Future Research

Methodology 

Management Input



Lean Assessment Development of Lean Strategy Definition of Lean Objectives Selection of Lean Tools Solution Implementation

   

Case Study 

Hughes Christensen 

Oil Services – Leading Drill Bit Manufacturer 



Over 30% of Current Market Share – Market Leader

Lean Manufacturing  

Current Implementation Deployment in ‘Diamond Products’ Lafayette Manufacturing Facility

Case Study 

Lean Manufacturing 

Lean Manufacturing Mandated



Lean Tool Kit Provided



Addressing Material Handling in Diamond Products Remains an Issue



Management Objectives of Lean Manufacturing in Regards to Materials Handling Not Defined by Top Management

Research Process

Determine Management Objectives

Survey / Interview Management

Review layout / material flow

Value Stream Mapping

Select areas of Opportunity

Lean Assessment Safety

Determine area with impact to management objectives

Application of KPI’s

Weigh Management Objectives against Areas of Opportunity

Quality

Output Determine lean manufacturing methods to implement

Application of Lean Tool Kit

Management Objectives of Lean Manufacturing Defined

Implementing Management Objectives of Lean Manufacturing

Customer Service

Determining Management Objectives of Lean Manufacturing



Use Lean Tools to Develop a Solution

Assemble Applicable Metrics

Implement Solution

Monitor Metrics

Standardize Solution / Report on Results

Sustain Lean Thinking

Research Process

Continuous Improvement Loop to Develop a Holistic Solution

Case Study 

Hughes Christensen 

Area of Opportunity 

Crown Machining Cell – Thread Connection for API Connection Shank Machined and Shank Connected.



Problem Area – Material Handling of Connection Stock.

Performance Evaluation 

Performance Measures 

KPI Values Linked to Objectives of both Lean Manufacturing and Operational Goals.



Dependent upon needs and goals by Management 

(e.g. Incident Report, Productivity, Through Put, etc…)

Business unit and operational group goals

Cell Layout

Material handling value stream map – crown machine cell

Value stream map data – current state map

Lean manufacturing tools

Proposed Staging Device

Layout after lean implementation

Future state value stream map – crown machine cell

Comparison of current state and future state maps

Conclusion 

 



Material Handling Layout and Flowchart Methodology VSM – Current State Performance Measures- Time; #Activities Lean Tools VSM – Future State %Savings