Iarnrod Eireann - Irish Rail Engineering - Our Lean Journey
Introduction Peter Smyth Chief Mechanical Engineer Joe Sullivan Production Manager We will explore our Lean Journey from 2008 and what this has done for us (so far!)
Iarnród Éireann Irish Rail State owned national Railway Operator of Ireland Part of CIE Transport Group Operating since 1834 worlds first commuter Railway Invested more than 2bn since 2000 2200km+ of operational track 206 stations 900 Rail vehicles 40m passengers per year 3800 staff in total Fleets from Japan, South Korea, Spain, USA, Germany 1 st European country to buy trains from Asia
Rail Routes
Chief Mechanical Engineer (CME) Department responsible for maintenance of all trains in Ireland 500 staff, 1 x large worksite, 7 x Depots Budget 70m on maintenance and overhaul pa Budget 35m on fuel & electricity pa 1bn invested in new trains since 2000 The challenge to move forwards from outdated technology and practices
The CME Business - Fleets InterCity Railcars Freight Wagons Locomotives DART
The CME Business Dublin Depots Fairview Connolly Inchicore Heuston
The CME Business Regional Depots Portlaoise Drogheda Limerick Cork
New Hyundai-Rotem Intercity
New modern CAF Intercity
120t Loco arriving by Air!
Current state If someone asked a semi-state organisation to improve performance by 75% while reducing spend by 30%, you would say it was impossible This is what we have achieved in the CME department since commencing our lean journey in 2008.
Strategic Objectives 2008 The concept was to restructure the business over 5 years implementing LEAN into every aspect of the business Improve efficiency at all levels Introduce greater ownership of work at local level Remove old and bad practices Reduce costs Permit voluntary redundancy programme without replacement SO HOW DID WE DO THIS?
Set strategy Continuous development BASIC CONCEPT Communicate to all In depth LEAN training Basic LEAN tools training
Clear Strategy Communicated to All, The three phases of Change in CME (Three phases as identified in February 2007) Phase I Restructure 1.5 Years (2008) Phase II Step-Change Improvement 3 Years (2009 2011) Phase III Continuous Improvement 5 Years (2012-2016) Re-establish the basics of: Maintenance Management Defect Management Resource Management & Rosters Risk Management Budget Control Competency Assessments & Training Lean Mentoring for CME Managers Establish new methods: Mileage Based Exams Integrated system for Defects & Maintenance Management Lean Process Improvements Lean Training & staff-lead Improvement Projects Team-based strategic action plans Maintain momentum with Improvements: Continuous improvement ethic to become part of daily management and staff decisions Kaizen teams with a Wasteelimination focus Integrate CME within IE
Clear Strategy Communicated to All, The three phases of Change in CME (Three phases as identified in February 2007) Phase I Restructure 1.5 Years (2008) Phase II Step-Change Improvement 3 Years (2009 2011) Phase III Continuous Improvement 5 Years (2012-2016) Re-establish the basics of: Maintenance Management Defect Management Resource Management & Rosters Risk Management Budget Control Competency Assessments & Training Lean Mentoring for CME Managers Establish new methods: Mileage Based Exams Integrated system for Defects & Maintenance Management Lean Process Improvements Lean Training & staff-lead Improvement Projects Team-based strategic action plans Maintain momentum with Improvements: Continuous improvement ethic to become part of daily management and staff decisions Kaizen teams with a Wasteelimination focus Integrate CME within IE
Clear Strategy Communicated to All, The three phases of Change in CME (Three phases as identified in February 2007) Phase I Restructure 1.5 Years (2008) Phase II Step-Change Improvement 3 Years (2009 2011) Phase III Continuous Improvement 5 Years (2012-2016) Re-establish the basics of: Maintenance Management Defect Management Resource Management & Rosters Risk Management Budget Control Competency Assessments & Training Lean Mentoring for CME Managers Establish new methods: Mileage Based Exams Integrated system for Defects & Maintenance Management Lean Process Improvements Lean Training & staff-lead Improvement Projects Team-based strategic action plans Maintain momentum with Improvements: Continuous improvement ethic to become part of daily management and staff decisions Kaizen teams with a Wasteelimination focus Integrate CME within IE This is where we are now!
TRAINING Andy Carlino & The LEAN Learning Centre (USA) Structured and detailed 1 week LEAN training for all managers 1 day intro to LEAN for all engineering staff LEAN Leaders identified and trained to higher level Programme lasted over 2 years Included one to one mentoring and coaching & workshop facilitation SUPPORT John Hargaden & Associates 4 x LEAN experts full time across Irish rail Engineering Individuals supported projects and mentored managers Day to Day support and pushing for progress Day to Day LEAN processes are part of every day management at all locations Managers report monthly on progress with specific projects Projects are reviewed and assessed by steering group
Principles before Tools Change behaviours and you will change the outputs and the culture Principles Behaviours Actions Results Principle 2 - Systematic Waste Elimination Principle 1 - Directly observe work as Activities, Connections and Flows Action Principle 5 Create a learning organisation Reflection Principle 4 - Systematic Problem Solving Principle 3 - Establish High Agreement of both What and How Four Rules of Lean as the Bedrock Lean Rule 1 - Structure every activity Lean Rule 2 - Clearly connect every customer supplier Lean Rule 3 - Specify and simplify every flow path Lean Rule 4 - Improve through experimentation Source: The Lean Learning Centre
What LEAN tools were used Basic and simple tools deployed, for example: 5S Visualisation Waste walks Direct Observation A3 Reports Value stream mapping Kaizen Workshops Practical problem solving
LEAN tools in use 5S - (sort, set, shine, standardise, sustain) CME applies 5S throughout the business in all locations Quickly sorted out processes and workflows, removed waste Huge clean up of workshops and depots, implemented tool racks, kitting etc. Costs involved are small. Probably still at the 4 th x S (standardise) in most areas but 5 th x S (Sustain) would feature in some CME locations One of the most successful LEAN tools
LEAN tools in use Visualisation Control Room established at all 20 CME locations Simple low tech wall mounted marker boards (customised layouts) Daily meeting (or 2 x daily) to standard agenda Focal point for all staff management, craft, materials controllers, contractors etc to understand what is required each day
LEAN tools in use KAIZEN workshops KAIZEN is Japanese for improvement or change for better CME holds 2 x KAIZEN workshops per year Specific focus is on a major improvement requirement Facilitation of the workshop is key Identifying the current state and target state also key Such workshops producing substantial benefit e.g a Kaizen held in2012 lasted 5 days and generated immediate savings of 500k per annum
CME 2007
Successful application of Lean Tools 5S - Before
Successful application of Lean Tools 5S - After
Successful application of Lean Tools 5S - Before
Successful application of Lean Tools 5S - After
Successful application of Lean Tools Visualisation Control Rooms
Successful application of Lean Tools Visual control
Successful application of Lean Tools Standard Work Instructions
Successful application of Lean Tools Practical Problem Solving
Successful application of Lean Tools A3 Reporting
Results Results have exceeded expectations both in efficiency and financial terms since 2008: Costs -30% Headcount -25% Performance + 75% Currently 96 x LEAN projects in progress within the CME department LEAN is now the norm in every task and process
Lessons Learned Lean is not just applying tools. Leadership engagement is a critical success factor. Quick wins help to build momentum. Successful Lean is about creating a Lean culture.
Thank You! & Questions?