1. Sonic Speakers Facility Design Chris Chesla Dan Hovde Tony Niemczyk Mike Rosenthal

2. Outline  Introduction  Approach and Methodology  Results  Recommendations  Conclusion

3. Introduction  Sonic Speakers purchased new Facility  Engineering team New layout New design of production Plan growth for next five years

4. Approach and Methodology  Current Situation  Lean Manufacturing  Line Balancing  Inventory Control  Layout  Truck Routing

5. Current Situation  120,000 square feet  16 docks  Work 10 hr days 5 days a week

6. Lean Manufacturing  Used in plant layout Minimize distances traveled Balance lines  Assembly lines Based on pull system Cross-trained workers  Inventory Reduce 20%

7. Line Balancing  Cellular Design Cross-trained teams In charge of Quality  Lines Based on speaker size Designed to peak demands Run north to south  Puts finished products close to dock

9. Inventory Control  ABC inventory Control Most often used  Easiest to access Least used  Hardest to access Rank  A ~ Highest Volume Flow  B ~ Medium Volume Flow  C ~ Lowest Volume Flow

10. Plant Layout  Warehouse 27,500 square feet including aisle 12 foot aisles Stack three pallets high  Wood and Carpet stored separate Located near production  Assembly located in center Easy access to all areas

12. Truck Routing  15 routes  6 to 7 orders per truck  Shipped 3 times a week  Filled in reverse order

13. Results  Tact times Yellow ~ 24 min Blue ~ 28.09 min Green ~ 28.09 min Red ~ 73.34 min  Line efficiencies

14. Results Cont.  Reduction of Inventory work days/ year250 YearT/YPercent CubePallets in CubePallet Reduction 138000100%1712342 24075080%1370342 34375060%1028343 44675040%685342 55000020%343

15. Recommendations  Short-term Purchase necessary items Classify inventory Arrange inventory Develop truck routes Manage Flow  Long term Diminish Inventory Improve line efficiency Multifunctional work staff

16. Conclusion  Cellular manufacturing  Engineered plant layout  Lean Manufacturing Decline inventory Reduce travel  Inside the plant  Outside the plant