Study On The Improvement Of Auto Parts Production Line Balance For DA Company

Currently, Chinese manufacturing industry are facing with unprecedentedchallenge under the factors of the global financial crisis, the raw material pricefluctuations, the implementation of the new “labor law” and the adjustment of exporttax rebate etc. As to how to deal with these challenges, differ from all walks of life.However, there are two points widely recognized: one is the development ofinnovation through technological updating; the other one is change the extensivemanagement mode for the lean production mode by the innovation of management.Undoubtedly, technology innovation is one of the best ways to extricate theenterprises from the difficult position at present. But for most Chinese minorenterprises, it is unrealistic to set up their own R&D center developing theindependent intellectual property products. Because they are not only lack of strongfinancial support, but also have no talent resources to rely on. Therefore, theeffective way for an enterprise to get rid of the predicament and remain invincible inthe fierce market competition is offering clients low cost and high qualityproductions by the way of management innovation making full use of the existingresources of enterprise.As an automobile and engine parts enterprise, DA company mainly providedesign, manufacturing and customer service of related products for the automobileenterprises like Hafei, DA Dongli, DA Sanling, Jili, Huatai, Zhongtai, BYD,Jianghuai, etc. Since the enterprises join the automotive industry from the mideighties, the organization of production management ant logistics was influenced by the traditional planned economy. There’s waste phenomenon like suspending,waiting and overstocking in material purchasing, products processing, transporting,storing, packing and delivering. At present, the prices of raw materials and thedepreciation of the host company dilemma presents a challenge to the survival anddevelopment of the enterprise. Continuously improve the production efficiency,eliminate all kinds of waste, reduce the cost, fully tap the potential and equipmentand improve the comprehensiveness of the enterprise are the urgent problem tosolve.By learning from successful experience of outstanding enterprises, thecompany constantly explores effective ideas of continuously improving tools,methods and lean management. After consideration, the company decided to selectthe auto production site as the observation point to study the whole productionprocess and analysis from the point of production line balance, production line of thebottleneck link, facilities and equipment layout, tools, personnel and the processfrom input to output of raw materials. Through the analysis, put forward the concreteproblems. Using ECRS (eliminate, combine, rearrange, simplify) technology as wellas SMED and visual management methods, through process optimization, equipmentutilization rate, employee action improvement, production line optimizationproposed the improvement scheme. The implementation of the new plan eliminatedall kinds of waste in the bottleneck of the production process, greatly enhanced theproduction line capacity, steadily improved product quality, greatly reduced themanufacturing cost, and satisfied the customers’ needs. After the optimization of theproduction line, day production raised from750sets to12000sets, and crested anannual direct economic benefit of720,000Yuan for labor cost saving and162,700Yuan for quality loss cost. Meanwhile, it helped the company accumulating theexperience of improving, balancing and optimizing the production line.