The Company Comercializadora del Centro Bonanza, S.A. de C.V. (BONANZA) is located in Villa de Pozos, SLP Mexico. BONANZA was founded in 2003 and began operations in 2005. While BONANZA s start up of operations is recent, the company's experience dates back to 1995, when it began supplying industry with machined and turned parts. The location of the production facility is strategically planned to cover markets in central, north and northern states of Mexico and the northern boarder zones. The location also allows for access to markets in the United States, Canada, Central and South America. 1
Specialization BONANZA s production capabilities are focused on products for the Automotive, Transportation, Power, Aerospace, Energy, Railroad, Appliances, Agricultural, Heavy Equipment, Marine and other industrial requirements. The company s core business is focused on manufacturing products from metal and none metal alloys and other specialized materials. CNC Machining and Turning Sub-Assemblies Specialized Welding 2
A Unique Company BONANZA s uniqueness and strengths are based on its ability to respond to market needs with Technical Intelligence and a commitment to provide its customers added value products and services. The company continually interacts with its customers, exchanging experiences and objectives as requirements increase in sophistication. This alliance allows BONANZA to examine alternate approaches and arrive at solutions based on the definition of the problem and the use of appropriate technologies. This concept ultimately results in quality products, services and sustained post-solution alternatives. This is what our customers expect from BONANZA; as BONANZA expects of its staff. 3
Enterprise Cultural In BONANZA Total Quality is a Culture based on attitude, language and Lean Thinking. The core purpose is to remain competitive by providing customers with the lowest possible price while maintaining the continued growth of the company and growth of its staff. BONANZA s human resources are the company s core asset. The company is convinced that its ongoing ability to remain competitive is based on the commitment of staff to the development and improvement program. The company invests in staff development and individual initiatives of its work teams. The result of BONANZA s investment in staff development is a unique culture defined by a commitment to Total Quality. 4
Value for Customers BONANZA is committed to manufacture high end quality and low cost products for its customers. To achieve this, the following tools, practices and procedures are used throughout the organization. Quality: Service: 1. Quality administration system (Supplier development, evaluation and pursuit) 2. Product know how (Comply with functional criteria s) 3. Statistical process control (SPC) 4. Product validation, (APQP, AMEF and control plan) 5. Criteria in product receipt (Receipt inspection, corrective actions and control plan) 1. Deliveries (Commitment, production program, discipline and local suppliers) 2. Communication (Communication tools, supplier evaluation and on site visits) 3. Contingency response (Time response to corrective and/or containing actions) 4. Complaints (Attitude and communication channels) Enterprise Culture: 1. Manufacturing Strategy (Lean focus and visual management) 2. Specific customer requirements (Quality Image and certifications) 3. Leadership (Continuous improvement, management involvement, development and team work) Quotation and Prices: 1. Supplier approval (None disclosure agreement, quality, costs, deliveries and service evaluation) 2. Competitiveness (Price, added value and competitive attitude) 3. Quotation system (Cost system) 4. Annual price improvements ( Productivity) 5
Quality PROCESS CONTROLS BONANZA understands its customers requirements, hence the company is committed to use of improved and sustainable control processes to obtain the highest degree of efficiency and productivity. BONANZA s production control systems enables the company to anticipate, in real time, potential deviations. This information yields contingency plans and readily reduce any resulting added costs. 6
Quality CORE TOOLS BONANZA, with its Lean Thinking Practices and continued improvement programs, has achieved a level of competitiveness that allows it to participate in international markets. In order to achieve this, BONANZA has developed, planed and reached objectives through the use of tools as: Advanced Product Quality Planning (APQP). Production Part Approval Process (PPAP III y PPAP IV) Analysis Mode Effect Failure (AMEF). Work Flow Analysis (WFA). Control Plans. Work Instructions Just on Time (JIT). Single Minute Exchange Die (SMED). Total Product Maintenance (TPM) Value Stream Mapping (VSM). Detection and Elimination of Waste (7 Mudas). Rote Cause and Tree Factor Analysis. 7
VOLUMEN ESTIMADO:2 MESES Y MEDIO Continuous Improvement BONANZA s commitment to produce high quality products conforming to ISO 9001:2000 certification standards. The focus on certification standards is evidence of its extensive Quality Assurance and Improvement Program. The company will soon be certified under the requirements of ISO/TS 16949:2002. Complementing these certifications, BONANZA s Internal Quality Control System BQS (Bonanza Quality System), is integrated around the TPS (Toyota Production System) and Lean Manufacturing principals. In addition BONANZA has integrated other Total Quality systems as ISO 14001 and 18001 standards, SPC (Statistical Process Control) all of which make up an ERP (Enterprise Resource Planning) an enhanced computer aided software system. This system allows for analysis of production, costs, purchasing, shipping and other major control data of the organization. VOLUMEN DE PRODUCCION POR NUMEROS DE PARTES releases a 9 semana releases proyectados N.P descr. sem 5 sem 6 sem 7 sem 8 sem 9 sem 10 sem 11 sem 12 sem 13 sem 14 sem 15 sem 16 sem 17 sem 18 sem 19 sem 20 sem 21 sem 22 sem 23 sem 24 sem 25 sem 26 sem 27 sem 28 volumen total moneda 1,500 1,500 1,500 1,500 1,500 1,500 15,000 562907 chica 1,500 1,500 1,500 1,500 663524 cazuela chica 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 15,000 663523 cazuela grande 500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 14,000 566204 spool grande 1,000 1,000 1,000 1,000 1,000 1,000 1,500 1,500 1,500 1,500 12,000 566209 spool chico 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 9,000 345247 Retainer diaphragm 3,080 20 80 160 240 300 380 380 380 380 380 380 305052 push rod 20 80 160 240 300 380 380 380 380 380 380 3,080 310044 insert release valve 20 80 160 240 300 380 380 380 380 380 380 3,080 PQ KAIZEN BONANZA ENERO 2007 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 15,000 15,000 14,000 12,000 9,000 3,080 3,080 3,080 Retainer push rod insert release moneda chica cazuela chica cazuela grande spool grande spool chico diaphragm valve 562907 663524 663523 566204 566209 345247 305052 310044 NUMEROS DE PARTE 8
1 Visual Management In BONANZA a visual administrative system is used to measure and establish improvement actions of any deviation from established standards and targets. Performance charts and alerts that detect in real time any deviation from planed performance cover the total manufacturing processes. These visual systems alert management of any unplanned equipment shutdown. Likewise, comprehensive visual operation, instructions and specifications assist operators in understanding the established processes and customers specifications leading to increased production efficiency and productivity. 1,400 1,200 1,000 800 600 400 200 0 (200) (400) (600) Análisis Producción Producción Diaria Producción Perdida 1 Merma 0 2 4 Scrap Retrabajo S. Inspección 1 0 50 100 150 200 Estándar: 28 Semana: 47 1:00 N Parte: 566204-2 Fecha Inicial: 1/1/2006 VARIACION Estándar Real Acum. Hr. Acum. 56 6 6 (50) (50) 84 55 Producción Real VS. Estándar 61 (29) (79) 120 84 52 113 (32) (111) 100 84 60 173 (24) (135) 80 112 76 249 (36) (171) 60 112 81 330 (31) (202) 40 112 71 401 (41) (243) 20 112 73 474 (39) (282) 0 112 51 525 (61) (343) -20 112 52 577 (60) (403) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 112 110 687 (2) (405) 112 104 Real Estándar 791 (8) (413) 112 71 862 (41) (454) 112 42 Variación Promedio 904 (70) (524) 10 112 94 998 (18) (542) 0 112 78 1,076 (34) (576) (10) 28 15 1,091 (13) (589) (20) (30) FALSO 0 1,091 0 (589) (40) FALSO 0 1,091 0 (589) (50) 28 5 1,096 (23) (612) (60) (70) 28 28 1,124 0 (612) (80) 28 28 1,152 0 (612) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 28 28 1,180 0 (612) Variación 28 28 1,208 0 (612) 1,820 1,208 Totales 1,208 (612) RO ME CM TA CH CT FE FM AO 9
VSM IUSA Production Control RELEASE LLAMADA X TELEFONO MRP WABTEC distribucion de tiempos de spool grande REPORTE A JEFES DE TURNO 350.00 1000 PCS X SEM 1 TONELADA X DIA INVENTARIO DE SEGURIDAD DE 60 BARRAS 300.00 250.00 200.00 150.00 100.00 50.00 0.00 A010 A020 A030 A040 A050 A060 A10 A20 A30 A40 A50 A60 TORNEADO TORNEADO 2ª OP. Centro de maquinado Fresado LAVADO INSPECCION EMBARQUES WIP 3996 Pcs NOTA: de una barra se obtienen 9 pzas aprox. Existen 444 barras en almacén de materia prima WIP Cycle Time 185 Secs 0 Pcs Cycle Time 300 3 TURNOS 3 TURNOS Rework (%) 170 Secs Pcs 54 WIP Pcs WIP WIP WIP Cycle Time 26.25 Secs Cycle Time 300 Secs Cycle Time Secs 0 Pcs Pcs Cycle Time 300 Secs 3700 Pcs 3 TURNOS 3 TURNOS 3 TURNOS 3 TURNOS PALLETS 70 PCS C/U Takt 7.035 Mins 3.996 Wks 0 Wks.054 Wks 0 Wks 0 Wks 3.7 Wks Total 54 Days 185 Secs 300 Secs 26.25 Secs 300 Secs Secs 300 Secs Lead Time 811.25 Secs Lead Time 13.52 Mins Total Lead Time Lead Time 54 811.25 13.52 Days Secs Mins 10
Internal Improvement BENCHMARKING Currently BONANZA s benchmarking is referenced to scales that defines major industries today. BONANZA s references are focused on methods which increase productivity, efficiency and quality. The company compares its practices with other proven and mature practices used by world class companies. Samples of some recent comparison benchmarking and lessons learned are: I. Autoliv: This benchmarking comparison resulted in increasing investment in staff and local community development, safety and environment. II. III. Delphi: BONANZA s benchmark comparison resulted in increased attention to cost control, visual management and 5 s. Valeo: Similar to Delhi, increased use of visual management and performance charts. 11
Main Customers Wabtec de México (Railroad). Valeo Termico (Automotive). Bosch Rexroth (Industrial). ABB (Power) Zoppas Industries (Appliances). Halliburton (Energy) Cummins Filtration (Transportation) 12
THANK YOU Comercializadora del Centro Bonanza, S.A. de C.V. Villa de Pozos, S.L.P. Mexico 52 (444) 8245326 y 8245327 13