The Triple Bottom Line Approach – Productivity Component Kai Bethke 12 June 2007

TBL - Approach  Productivity – organization and visual management of the workplace  Environment - more rational use of resources and reduction of waste and emissions at the source  Social domain – enhancement of labor standards, working conditions, health and safety, freedom of association, employees’ involvement in decision- making

Approach for Competitiveness What is Competitiveness and why? It is selling of products, which meet customer requirements at a least price.

Why Companies are in a situation, where: The workplace is poorly organized, cluttered and dirty There is spillage all over High equipment breakdowns Movement of people on the shop floor is very high Material transportation is of very high level Rejection and rework is more High customer complaints and returns of material Delivery Schedules are not met with all the time. Lower Output Higher energy and power costs Higher material costs Absenteeism of Employees is high Unsafe working conditions Employee Involvement is low

5S - TECHNIQUE

What are 5S? Seiri – Sort out Seiton – Set in order Seiso – Cleanliness/Shine Seiketsu – Standardize Shitsuke – Sustain

5S Tools and Techniques Red Tagging -Identify the items which are not required; -remove them with appropriate action

Before/After Photographs -Taking photographs of the areas which need improvement, helps identify the details for action -Gives a view to all regarding what is abnormal from the point of view of orderliness in the area -Together it can be seen by the group and improved 5S Tools and Techniques

Visual Display -It is an idea of putting sign boards and details related to the machine / process, action taking place at that place; so that it is self explanatory 5S Tools and Techniques

Implementation of 5S needs involvement of ALL employees! Involvement of Employees

More efficient use of resources (technology/equipment, people and time) Facilitated access to tools, supplies, equipment and information Companies report 5S efforts have:  Reduced needed shop floor space by 60%  Reduced in-process times by 25%  Increased inventory turns by 67%  Reduced inventory by 35%. Benefits of 5S

5S Tools and Techniques ProductivityEnvironment Social Domain Employee SatisfactionHealth and Safety - Reduced changeover time = higher productivity - Reduced delays = timely delivery of products and services - Elimination of cost causing waste - Reduced machine down time - Space Savings - Achieve work standardization - Reduced storage costs - waste elimination and separation - higher job satisfaction - no searching for tools and items (“stress-less” use) - no “crowding” - no need to walk around - workers can provide creative ideas on workplace organization - safer working environment - no bending or stretching - No clutter and physical obstacles - Employing ergonomic solutions

Results – Company A (Croatia)

Results – Company A (Croatia)

THANK YOU !