Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe

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Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe
Electrolux Manufacturing System
            Transforming info-board into digital interface

            Giuseppe Caiulo

11/7/2018
Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe
ELECTROLUX PURPOSE

Electrolux Group Presentation 2018
Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe
Who we are

Electrolux shapes living for the better by reinventing
taste, care and wellbeing experiences, making life
more enjoyable and sustainable for millions of
people. Founded in Sweden in 1919, we’re a global
                                                              122
                                                             billion SEK in sales
                                                                                     150
                                                                                     markets reached
leader in appliances for households and
professionals. Our main strategic drivers are to act
sustainably, create better experiences and always
improve!
                                                              60
                                                              million products
                                                                                    56,000
                                                                                       employees
                                                               sold annually

             ELECTROLUX CORPORATE PRESENTATION           3
Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe
An offering for best-in-class consumer
                       experiences

               Taste                                                          Care                                                     Wellbeing
The offering includes cookers, hobs,                        The offering includes washing                                   The offering includes vacuum
 ovens, hoods, microwave ovens,                           machines, tumble dryers and other                                   cleaners, air conditioning
refrigerators, freezers, dishwashers                       small appliances for fabric care,                                 equipment, water heaters
        and small appliances.                                       such as irons.                                                and heat pumps.

      Electrolux is the only appliance company with a complete offering for consumers as well as for professional food, beverage and laundry service customers.

               ELECTROLUX CORPORATE PRESENTATION                                 4
Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe
2017 ELECTROLUX
                       Geographical        SALES
                                    presence and sales

Sales by region

                                                                                                  Professional kitchen
                                       30%            6%                   Air care, water care
                                                                                                  and laundry 6%
         35%                                                                  and services 11%

                                         9%                           Floor care and small
                                                                    domestic appliances 6%         Sales
                                                                                                  category
                                                                                   Laundry
                    15%                                                               17%                      Kitchen
                                                                                                               60%
                                                               5%

                  ELECTROLUX CORPORATE PRESENTATION        5
Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe
2017 ELECTROLUX FOOTPRINT

  FACTORIES
EMA: 34 sites and 34.4 M Units produced
                                                                                                                                                                 PL-Swidnica
HC&SDA: 4 sites and 21.7 M Units produced                                                                                                                        Ov FS MWO 1161
                                                                                                                                                                 PL-Olawa
                                                                                                                                                                 Wm 1810
                                                                                                                         PL-Zarow
Professional: 10 sites and 206 K Units produced                                                                              Dw 1438                             Best Poland
                                                                                                                                                                 Hood 320
                                                                                                          D-Rothenburg
                                                                                                         Ov Ho Co MWO 2064                                       PL-Siewierz
                                                                                                                                                                 Dry 1100
                                                                                                                                                                 UE –Ivano
                                                                                                                                                                 Wm 235
                                                                                                                                                                H-Nyíregyháza
                                        St Cloud                                                                                                                Ref-Frz 603
                                 Ref-Frz-Cfrz 866
                                                                                                          I-Solaro                                              RO-Satu Mare
                                                                                                             Dw 591                                             FS 916
                           Springfield
                                FS 2219                                                                       I-Susegana                            H-Jászberény
                        Memphis                                                                                                                     Ref-Frz-Cfrz 1210
                                                            Kinston                                                 Ref-Frz 829
                         Ov FS 286                          Dw 1300                                                                         I-Porcia
                                                                                                                                            Wm 951
                                                                                                                   Hangzhou
                          Juarez (2)                                                                               Ho 353                 Best Italy
                              Wm 739                    Anderson                                                          I-Forli         Hood 60
                                                        Ref-Frz-Cfrz 2034                                                    Ov-Ho 1590
                         Ref-FRz 1382                                                  Egypt (3)           Rayong
                                                                                         Ref 136
                                                                                    KWIKOT                 Wm 760
                                         Manaus                                       FS Cookers 101
                                                                                    Water Heater 336
                                        MWO 1075                      São Carlos            Wm 175
                                                                                                           Ref-Frz 441
                                          AC 713                      FS 829                WH 739
                                                                      Wm 1696

                                           Santiago
                                         FS Ov Ho 292                                                  Adelaide
                                              Ref 145                                                  Ov FS 311
                                              Wm 288         Rosario        Curitiba
                                                             Wm 63          Ref-Frz-Cfrz 1809
                                                             Ref 439
                                                             FS Cookers 30

*closed during 2017
                                                                                                                                          Bubble size indicates approx
                                                                                                                                           production volume in units

                                                                             6
Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe
Electrolux Manufacturing System

            Global program to achieve operational and cultural excellence.
            ‘How we do things’ within Electrolux manufacturing.
            Internally developed best practice principles and tools to
             leverage the talent of the whole team.
            Our way to excellence!

         EMS allows:
            Gaining advantage of group scale through standardization
            Leveraging the talent and innovation of each team member
            Obtaining world class employee safety, cost, working capital and
             customer delivery
            Driving our value proposition through product quality
            Creating ‘One Electrolux’
            Support our Purpose: Shape leaving for the better

                      7
Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe
EMS : Electrolux Manufacturing System

                                          8
©2018 Electrolux All rights reserved
Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe
EMS Way: Our Management System

             EMS Elements

              EMS Principles

                                       9
©2018 Electrolux All rights reserved
Electrolux Manufacturing System - Transforming info-board into digital interface Giuseppe Caiulo - Axiom Groupe
EMS Way: Our Management System

                    EMS Principles

           Visual Factory is fundamental to:

           •     Clearly communicate strategy
           •     Facilitate alignment
           •     Engage everyone

                                                10
©2018 Electrolux All rights reserved
Business Plan Deployment

                    Business Plan Deployment uses a structured methodology to
                    align the organisation to reach goals and manage change.

                                                                  Goals

                                                                Objectives
                                                                and Targets

                                                                 Methods

                                                               Control Items

                                              11
©2018 Electrolux All rights reserved
BPD Board
                                                                                                                         Owner                                                                        Support

                                                                                                                                                           Business Plan Deployment
                                                                                                                                                                                  Plant

                                                                                                                                                                                                                                                                     Responsibility

                                                                  Policy ◎ / Routine

                                                                                                                                                                                                                                   Cross Functional (Y/N)
                                                       Category
                                                                                                                         Objectives               Target   Timing                 Method                       Control Item

                                                                                        Growth

                                                                                                 Profit
                                                                                                 110%

                                                                                                 105%

                                                                                                 100%

                                                                                                      95%

                                                                                                      90%

                                                                                                      85%
                                              DSA
                                                                                                      80%
                                              Target
                                                                                                      75%

                                                                                                      70%

                                                                                                      65%

                                                                                                      60%

                                                                                                      55%

                                                                                                      50%
                                                                                                                   JAN     FEBR        MÁRC      ÁPR       MÁJ      JÚN      JÚL           AUG    SZEPT    OKT           NOV                                DEC
                                                                                                          DSA      80%      84%         88%      97%
                                                                                                          Target   96%      96%         97%      97%       97%      97%     97%            97%     98%     98%           98%                                98%

                                                       COMPANY                                                                                                                                           MGR                  COORDINATOR                                      ISSUER

                                                       PART NAME
                                                                                                                                        PROBLEM FOLLOW UP SHEET
                                                       PART NUMBER

                                                                                       NO.                                            PROBLEMS                                                   COUNTERMEASURE                            FOLLOW-UP RESULT

                                                                       DATE                                                                                               CAUSE                             Person
                                                                                                                                                                                                                                                                                      Progress
                                                                                                            Item                                 Sketch                                      Action       Responsible   Date                                Result         Date
                                                            ORIGINATOR

                                                                                       COUNTERMEASURE PROPOSED                             COUNTERMEASURE AGREED                  PROBLEM SOLVED               PROBLEM DOES NOT OCCUR AGAIN

                                         12
©2018 Electrolux All rights reserved
Multilevel BPD boards

L1
PLANT

L2
AREA
                 Assembly              Tecnological   Quality   Engineering   Supply chain Controlling

                                                                                                         Plant Manager
                                                                                                         Area Managers
L3                                                                                                       Team Leaders
                                                                                                         Team Members
TEAM

                                                                 13
©2018 Electrolux All rights reserved
EMS Award

                                        14
©2018 Electrolux All rights reserved
Challenge & Needs

                                                            > 4000
                                                           ACTIONS
                                                           per year !
                  EMS
              improvement
               processes                          •   Easy to loose control of situation
                                                  •   Need repeated calls for update
                                                  •   Lack of prioritization
                                                  •   Delay in response
                                                  •   Lost opportunities and people
                                                      disengagement/frustration

• Always individual action plans, no integration, no system coordination
• No way to have a real time overview of status of improvement activities unless
  visiting each team and manually consolidate info

                                       15
Digital technology can help us !

Networking?

Keeping alignment?

Manual updates?

                              16
Digital EMS
Digital Action Tracking      Digital Improvement        Digital Boards
and instant notification
                           Problem
                           solving

                           EMS Way
                           Suggest & win

                           BPD

     Digital Auditing            Digital reporting   Digital Team Meeting

          5S
          SOP
          5D
          Leader Check

                                        17
Digital EMS
Digital Action Tracking         One single platform where we have:
and instant notification
                                •   All improvement actions, any type, originated from any
                                    source (Audits, CIP,PS, EMS Way) with :
                                      Instant messaging on progress status
                                      Real time overview at a glance of progress of
                                        activities at team, Area, Plant Level
                                      Actions automatically inserted in users TODO lists
                                      Automatic reminders sent to actions responsible
                                        before due date is expiring

                                •    Possibility to measure improvements lead-time and
                                    level of employee engagement

           More improvements, more control, more transparency, faster process

                                              18
Digital EMS

                                  One single platform where we have:
Digital Auditing
                                    •   All type of audits, with possibility to see summary
                                        results and detail audit cards
                                    •   Possibility to connect to each audit the relative
    5S
    SOP                                 improvement actions
    5D
    Leader Check                    •   Audits are automatically shared with all involved
                                        people (no need to send mails)
                                    •   Audits can be performed on tablet or smartphones,
                                        eliminating paper
                                    •   Audit form which are immediately containing pictures

         More control, more transparency, faster process, less non value added time

                                             19
Digital EMS

                                         One single platform with:
                                           •   All structured improvement (Problem Solving, EMS
       Digital Improvement
                                               Way, CIP workshop, Before/after, Suggest&Win…)
    Problem
    solving                                •   Real time update of project team members
                                           •   Real time possible control of improvements and
    EMS Way
    Suggest & win                              their status
    BPD                                    •   Possibility to share solutions and results among
                                               users
                                           •   Stronger BPD process

More control, more transparency, faster process, less non value added time, more time to do improvement.

                                                  20
Digital EMS
              Digital Boards                 One single platform where we have
                                              •        All KPI and charts supporting Digital Team Info
                                                       Board and KPI:
                                                        •   KPI
                                                        •   Audit
                                                        •   Improvement
                                                        •   Actions tracking

Audit Board
                                                        •   Reporting
                        Improvement Board
                                                         • Communication
                                              •        Everything real time updated, nothing to print
                                                       or to e-mail
                        Open Actions Board

Reporting
                                             All this is not possible with traditional
                                              board, where all info are on paper

                                                  21
Team Info Board: from 2D to 3D or more

        Before                              After
Front                        KPI Board                                 Audit Board

Back
                              Open Actions Board

                                                                         Improvement Board

                                               In principle no limit
                                                  to number of
                                                      boards

                                     22
Digital EMS
Digital Team Meeting   •   Having all info managed in one single platform

                       •   Team Leaders can
                             • Have all info at finger print
                             • Full possibility to choose what to display in
                               limited time
                             • Use the screen to present defects or to share
                               completion of an improvement activity
                             • Use the screen to show some relevant info to
                               the team about some initiatives

                                            All these is possible only with
                                                    a digital board

                                           10x communication impact!

                            23
Project benefits

• Totally in line with «Paperless factory» concept
• Supporting Digital Auditing
• One single platform, accessible by pc/smartphone/tablet, where we have:
  a. All improvement actions,
  b. All type of audits,

• Connecting people across the organization through automatic info & update
  sharing
• Manager easily understanding where they need to focus their attention on
  coaching
• Project managed to be 1 Global platform: we have only one Electrolux cloud
  space

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