Lean Manufacturing

Tell us how you use mobile phone and social networks for business!

ShopTips readers are invited to participate in a survey about their use of mobile devices.

According to a Pew Internet Project study, 58 percent of adult Americans have used a cell phone for a non-voice data activity, such as texting, emailing or looking at maps.

For online Europeans, 75 percent of them use social networks from home or office.

We’re looking at other ways to deliver our news to you, and your responses to the brief survey will help us do so.

Check future e-newsletters for the results! 

Click here to take the survey.

If the above survey link does not work, copy and paste the following into your browser: http://www.wattresearch.com/se.ashx?s=705E3ED44B6577E0&a mp" title="http://www.wattresearch.com/se.ashx?s=705E3ED44B6577E0&a mp" target="_blank"http://www.wattresearch.com/s...;test=wood

Thirteen AWFS members and association officers participated in the second Woodworking Equipment and Wood Processing Public Policy Fly-In meeting with congressional representatives from several states, in Washington, D.C.

Contingents from WMIA and WMMA also attended the meeting, during which time the Senate was voting on the Stimulus Bill.

The group learned the Manufacturing Institute is embarking on a three-part strategy to raise awareness about modern manufacturing, aimed at generating favorable government policies and spurring interest in manufacturing careers. 

TMI’s program will include:

• A communications and advertising awareness campaign utilizing print, radio and television, designed to change public attitudes about manufacturing
• New research initiatives designed to dispel outmoded notions of manufacturing to educate government on new, high-tech realities of the industry
• Making manufacturing careers a priority for young Americans by 2010 through a campaign called Dream It. Do It.

The Emmy-winning PBS home improvement series, “This Old House,” selected Blum’s Servo-Drive drawer opening feature to be used in a Brooklyn brownstone for the show’s first New York City renovation.

Part of the renovation was a 250-square-foot kitchen that includes a cabinet outfitted with Blum's Servo-Drive feature that opens a drawer electronically with a light touch of the drawer front. Blum's Tandem plus Blumotion concealed runners, Orga-Line drawer organization and Clip top hinges with Blumotion quiet closing also were used.

The kitchen was designed by the newest member of the show’s team — Carole Freehauf.

The “This Old House” New York City project airs Thursdays on PBS (check your local listings).

April 2 and 3, the Mid-Atlantic Industrial Woodworking Expo returns to its roots in Pennsylvania.

At the show, in York, Pa., at the Toyota arena, more than 300 exhibitors and 3,000 attendees are expected. TSI Expos is hosting the show.

Attendees will see product introductions and a series of professional seminars and roundtable discussions.

Hours are Thursday 9 a.m. to 5 p.m. and Friday 9 a.m. to 4 p.m.

Guests can gain free admission to the expo by clicking here. Use the pass code MAPR.

Highlights include:
Thursday, April 2
Early Bird Seminar - Become More Successful Making Cabinets: 8:30 to 10 a.m.
Helpful tips to create accurate, competitive quotes, establish efficient shop processes and deliver quality goods on time. Presented by the Cabinet Makers Association.

Friday, April 3
Closing More Sales: 12:30 to 2:00 p.m.
Learn the keys to presenting quotes and getting the customer to sign on the bottom line. Presented by the Cabinet Makers Association.

It’s Not a Leap Up, It’s a Step Up – How The Small Shop Moves To CNC: 2:15 to 3:45 p.m.
Learn about CNC technology and the software that drives it and how it can help shops of any size. Presented by KCDw Software.

For more information, call 828.459.9894 or visit www.tsiexpos.com.

Imports, employees and costs are still problems for the FDM 300 companies, but they were not keeping managers and executives awake at night. At least not in 2008.

In past years , we would carefully tally the answers from FDM 300 companies to our question: What is your greatest challenge?

This year, there’s no need for much analysis. Almost every company (more than 80 percent) that responded to this question said it was the economy.

Specifically, a few of the answers included:

• Housing crisis
• Economic conditions
• Maintaining sales volume
• Decreased confidence in our economy
• Gaining market share in a down economy
• Depressed housing market
• Spiraling economy
• Trying to find new customers
• Maintaining larger market share of a shrinking market
• Uncertaintly of industry
• Ensuring vendors stay in business
• Lack of sales
• Economy and structuring company to fit economy

What were the other concerns? They included:

• Debt collection
• Retaining good employees
• Low-end imports from Asia
• Fluctuation of U.S. and Canadian currencies
• Constant automation in manufacturing process
• Managing costs and overhead
• Rebuilding after a fire destroyed factory and almost all finished goods

Two other comments stood out. One was pessimistic: It’s like being beaten to death.

The other was at least hopeful: Hoping there are orders that will make it our way.

The Furniture Buying Index for February 2009 rose one point to 59. This is the third consecutive month the index has risen at least one point, according to America’s Research Group. The Furniture Buying Index is compiled each month from interviews with 5,000 to 8,000 consumers across the U.S.

A message to the woodworking community.

Letter to the Editor:

For nearly 100 years, the Association of Woodworking & Furnishings Suppliers has been supporting the woodworking community. During that time, the association has witnessed the most profound boom and bust cycles in our country’s history. But through it all, our mission has remained unchanged: We are a non-profit organization dedicated to securing and strengthening the future of our industry.

For 50 years, the biennial AWFS Fair has provided a valuable service by bringing the woodworking industry together in one location. In addition to the countless connections made between suppliers and woodworking professionals, participants benefit through the unparalleled education program. This event is a launching ground for the latest trends, technologies, resources and information to help woodworking businesses improve efficiency, increase profitably and ensure their long-term success.

This year’s event will feature the strongest educational program in our history, with an emphasis on sustainability and multiple strategies for competing in a challenging economy. Fair participants will also find this to be the most cost-effective show in years, due to lower gas prices, airfares and hotel rates.

While we believe that there are better times ahead, our message is clear and precise. AWFS and its members, exhibitors and sponsors remain dedicated to serving and supporting the woodworking community. This dedication and commitment has been at the very heart of our mission for nearly a century and will not waiver, regardless of economic circumstances.

Additionally, as a non-profit organization, proceeds from the AWFS Fair are reinvested back into our industry through legislative and education initiatives. AWFS serves as a voice in Sacramento to oppose unfair legislation and influence the enforcement of laws affecting woodworking businesses in California and, potentially, the nation.

AWFS also provides scholarships to students involved in woodworking programs in community colleges and universities across the country and has been the single largest contributor to WoodLinks, a program that is reviving and updating wood technology training in the United States. Through various AWFS initiatives, today’s youth have access to the knowledge and opportunities they need to become tomorrow’s industry leaders and entrepreneurs.

We look forward to seeing you at AWFS Vegas this July 15-18 and thank you, in advance, for your participation. Your support will not only benefit your organization, but will help secure our industry’s future.

Sincerely,
The AWFS Board of Directors:

• Joan Kemp, president
• Jeff Oliverson, vice president
• Wade Gregory, secretary/treasurer
• Skip Hem, immediate past president
• Kevin Bedell
• Steve Byers
• Kevin Corder
• Tom Elliot
• Dan Hershberger
• Rob Howell
• Philip Martin
• Stephen Regele
• Jon Sanchez
• Archie W. Thompson

SCM Group USA is offering four seminars and a technology tour in 2009, according to a press release.

One of SCM’s three Hi Tech panel events, a technology tour of SCM factories in Italy is scheduled for March 6-14, 2009, and is free for qualified customers.

The company also will host two open house seminars April 14-16 and Nov. 3-5 focusing on sanders, CNC routers, edgebanding and lean manufacturing. The seminars are free to attend and will be held at SCM headquarters in Atlanta.

SCM’s two Advanced Wood division seminars will be held May 18-20 and Oct. 19-21, 2009, and will focus on doors, stairs, windows and millwork.

These seminars also are free to attend and will be held at SCM headquarters in Atlanta.

For more information, contact Thomas Tuck at 800.292.1850 or ttuck@scmgroup-usa.com, or visit www.scmgroup-usa.com .

KI  has teamed with other companies, city, county and state agencies and Guilford Technical Community College to help train the furniture industry’s next generation of skilled trade workers in High Point, N.C., according to the company.

The group, Combining Resources for Advancement of the Furniture Trade , recently launched a multi-year effort to address short- and long-term workforce requirements of the furniture manufacturing industry.

KI will add lean manufacturing curriculum to the program.

By Jim Lewis

You've probably heard how the Chinese government subsidizes furniture manufacturers and their suppliers. How can American retailers and the public expect domestic furniture manufacturers to compete against both low wages and government subsidies while our governing bodies sit on their collective hands and watch factory after factory close?

Well, the fact of the matter is our representatives haven't been sitting idly by. Believe it or not, our government is subsidizing furniture manufacturers, too. Maybe they aren't handing out blank checks like China's manufacturers seem to be getting, but there is help out there if you are willing to take a little time to search for it.

Funding sources

The Center for Lean Learning has located funding resources for several companies to use to augment the cost of a lean initiative. If you follow this column, you know that lean is the key to leveling the playing field against China and other Pacific Rim countries. This article will introduce you to a sampling of funding resources for your lean journey.

There are a number of different ways to begin your search. At the center, we quickly narrowed the search down to the Economic Development Corp., which, at the federal level, is a pretty large animal. Every state has at least one government affiliated EDC and there are a number of EDC offices that are not official federal or state government agencies, but, nonetheless, they have money to support lean initiatives.

Fortunately, it's a general rule of thumb that the government agencies that appropriate and administer the grant funding are not the ones to approve grant requests and distribute the money. That's a good thing because there is less oversight to contend with and the application process is much simpler.

The federal EDC works with organizations such as the Manufacturing Extension Partnership, MEP, to channel funds to other agencies that actually approve applications. Every state except South Dakota has an MEP. The process may seem complex, but the only agencies you will be dealing with are in your city, county or regional area where there is a vested interest in making your organization succeed.

Michigan's MEP

The MEP office in Michigan is the Michigan Manufacturing Technology Center . We worked with the West Michigan office, MMTC-West. They are hosted by The Right Place Inc., a regional non-profit economic development organization supported through investments from the private and public sectors. Simply stated, its mission is to promote economic growth in West Michigan.

It has been our experience that they live their mission with a passion you might not experience in dealing with a more detached organization. Each MEP is equipped to support client companies in a variety of areas. The MEP conducts assessments, provides assistance in strategic planning, training, marketing and sales, etc. Assistance is provided through organic resources or consulting groups such as The Center for Lean Learning.

The grant that we partnered with MMTC-West to attain for our client company, Worden of Holland, Mich., reimbursed 75 percent of the cost of the lean initiative for the first six months of implementation. That made all the difference for Worden management in their decision-making process. As you can well appreciate, furniture manufacturers usually don't have a budget line item for outside lean facilitators, so the money to retain those resources has to come from other scarce finances, which means the program, albeit valuable, probably won't happen. Thanks to the support from The Right Place through MMTC-West, Worden was able to achieve great success in its lean initiative.

West Coast programs

We haven't worked with all of the agencies that have resources available to defray the cost of a lean implementation, but among those we are familiar with, California and Arizona have very impressive programs. For some reason, though, furniture manufacturers don't seem to be aware those states have very generous and employer-friendly programs waiting for your company's application.

The California grant administrator told me other industries are taking advantage of the program, but furniture manufacturers are hesitant to even allow the agency to share the message with them. Our own experience indicates their frustration is real. Why would managers complain about unfair competition and then turn their backs on assistance tailored to help them be more competitive?

Arizona will even allow manufacturers to form a consortium for grant application purposes. In other words, if you have an upholstery plant, one of your business associates has a casegoods plant, and another one is a foam supplier, and you are all interested in adding points to the bottom line and growing your businesses through lean, your consortium can apply for grant funds to be shared to meet the needs of each individual company.

You could also share the cost of the transition process by retaining one consulting group to work with the consortium. I was especially impressed with Arizona's one-page application. Unlike the grant criteria of most other states, Arizona allows the recipient to spread use of the funds over a two-year period. That's especially important because it allows a company's lean champion to phase the transition to lean in a more balanced manner rather than force-feeding all the tools and strategies in a short time before many of them are ready to be used.

There are a number of other agencies that are privately funded, some by special interest groups that are passionate about retaining domestic manufacturing jobs. Others are successful public/private partnerships that include manufacturers, county governments and educators.

One such agency is the Southwest Virginia Alliance for Manufacturing Inc., SVAM, a non-profit educational organization. The focus of the SVAM is to retain regional jobs, enhance employee skills through a variety of training programs and educate young adults in the value of employment in the manufacturing sector to ensure a sustainable workforce for future growth and to attract more manufacturing jobs to the area.

The feature program of the SVAM, Dream It Do It, a manufacturing careers awareness program created by the Manufacturing Institute, is gaining national recognition for its emphasis on helping students identify and achieve their dreams.

Other resources

Other resources that shouldn't be overlooked are the State Employment Security Commissions. They have programs for manufacturers to enhance skill levels and create a more productive workforce. Worden obtained a grant from the Michigan Employment Security Commission that allowed us to provide lean skills training for a select group of employees.

If you are vacillating on whether to launch your company's lean initiative because of scarce financial resources or a lack of trained staff, hesitate no longer. Contact the organizations mentioned in this article or The Center for Lean Learning, at www.thecenterforleanlearning.com , for assistance in locating resources near you.

Gero Sassenberg

If ever there was a time to take a hard look at how to become lean, now is the moment. Yes, all the bad economic news makes us wonder when are times going to be normal again. Basically, it does not matter, the only thing that matters is that life goes on, and so must we.

What better time than when things are slow to think about how to become more efficient!

Starting to think lean

Lean thinking paves the way. How do we begin the process? Start with the dictum in lean: "The only value we have is what's seen through the customer's eyes." What does this mean? At face value it certainly means the finished work; this is what is seen. But also it may be the initial contact and the impression your services will make on the customer. It may well be what your shop looks like or even how you speak. It is true that people buy from people they like.

To be sure, the dictum may well mean different things to different people, but we should be able to fashion what it means to most customers. It also will mean many things we do to bring the product from inception to completion have no value at all!

Learn how to streamline

There are many things we need to do, such as choose our suppliers, determine which products we use, select what machinery we employ to engineer the product, all of which have no value in the customers' eyes. But these things are nevertheless very important for our business. The fact that we have to make cutting lists and machine parts means nothing to the customer. It means nothing that we have to keep accounts and operate computers and deal with staff issues. It means nothing that we have a thousand daily little things to deal with that take up our time and resources.

If these activities have no value but take up most of our time , shouldn't we take a hard look at these and determine how to streamline them, or do away with them altogether? Lean thinkers say yes, because they consider them to be waste.

Through a new lens

Take the time now to look at your past and present activities through this new lens and rethink all that is being done. Start by taking one job and writing all associated tasks that are now done, and determine how much time each took. Once this is done mark those which have value in one column and the rest in another. Do not be surprised if you find 60 to 70 percent of your activities have no value. Now pick the low-hanging fruits of these in the no value column and think about how you can take time out of them or even do away with them.

Pursue this thinking relentlessly and soon you will be on a path to becoming lean. Once you do, you will be surprised as to how well things will run; how much better the value you create will flow.

Do not expect instant success, it will take many months before you will see positive results, but rest assured others have done this and experienced changes that can only be described as miraculous.

By Peter Hildebrandt 

When Lowes and Home Depot opened stores near Hagerstown Lumber Co., its owners, brothers Mark and John Myers, realized they needed to make a significant change simply to survive.

They knew customers wouldn't keep coming to their small lumberyard when the bigger stores were closer and had more selection, so they decided to concentrate on the millwork and cabinetry end of the business.

In 2003 the owners broke completely with the past, changing the name to Maryland Millwork Inc. and became a commercial cabinet and millwork business.

The changes they implemented have led to a thriving operation that makes from $4 to $5 million a year with 20 employees.

The whole package

Mark and John remain the owners, but John's son, Tim Myers, is general manager and has been involved with the business since his early twenties. Myers finds that many clients like the idea of dealing with just one shop. Focusing on the entire package has been a key to their success.

Their business comes chiefly from schools and hospitals under construction in rapidly-growing Virginia and needing extensive cabinetry.

"We take care of it all, handling the entire project management, doing our own field measuring, building it in the shop and installing it ourselves," says Myers.

Although the shop can do residential work, the vast majority of jobs are commercial.

The company purchased a Holz-Her CNC machine in 2001 and another in 2006.

"When we got our CNC machine back in 2001, the manufacturer told us we were the first of the shops in this area to purchase one," adds Myers. The first CNC machine is set up for cabinet parts, while the second is for solid wood jobs.

Assembly-line model

The company has found an assembly-line setup works best for the shop. Myers discovered when he worked out in the shop it's much better to have a person stay on one machine. Because they're going to be doing the same thing every day they will know their job inside and out.

"If you're jumping people around from machine to machine it's hard to get them in that groove where they're doing everything uniformly. With the way the machine is cleaned, set up or taken care of in general, you can see a big difference between someone who has their own machine versus someone who has three or four different machines to run and never knows from day to day what he's going to be doing."

Finishing work

Finishing has had its share of growing pains, says Myers.

"We've come a long way from the days of doing our finishing work in a garage, with one booth and mixing all our own stains," he says.

The biggest issues, he says, are keeping the finishing area clean, dirt and dust-free, the equipment clean and up-to-date, and giving proper training to the finishers. Simple things like dust and dirt can have a noticeable effect on the final product.

When using pre-catalyzed and post-catalyzed lacquers it's important to mix only the right types of chemicals, as each has a certain shelf life which must be adhered to.

"We pride ourselves on staying focused and sticking to OSHA standards," says Myers.

"We have a fire and explosion-proof booth and a sprinkler system. We're doing it right and have spent the extra money on this segment of our business. Ventilation is key in the finishing area, as is having enough light."

Maryland Millwork is a member of the Architectural Woodworking Institute, which requires its certified members control the climate of work areas.

"This is one more way to ensure that the product we're putting out is exactly what the customer is paying for," says Myers.

Space challenge

Space is the one challenge the company continues to face. Maryland Millwork Inc. has been in its current location a long time and its building is paid for, so it's difficult to justify going from what basically is profit to getting into a mortgage for more space.

If all the company's operations were laid out to make them 100 percent efficient, Myers figures they'd need 50,000 square feet. The company currently is 15,000 square feet away from reaching that goal.

"The trick for cabinet shop owners out there is to make sure what you have works for you as long as it can," says Myers.

"If a new building makes you more efficient, that's one reason to invest in a larger building, especially if you absolutely must have the extra space."

Dominating a veneer millwork niche

With a lock on the worldwide private aircraft market, Carl F. Booth Veneers plans to move to a larger facility and expand its business.

If you've had the opportunity to fly in a private aircraft during the past 32 years, chances are the wood interior was supplied by Carl F. Booth Veneers, Division of DeCrane Aerospace, in New Albany, Ind.

"We probably have 98 percent of the world market in aviation interiors," says Carl Booth, general manager. "That is very difficult to obtain, but I started the industry and I've nurtured it from then to now."

When Booth opened his business in 1976, he solved the problem of producing veneered plywood that passed Federal Aviation Administration burn tests. Soon thereafter his 1.8 mm-thick, three-ply veneered plywood made its first appearance in Sikorsky helicopters. Since then, private, corporate and head-of-state aircraft ranging from Pipers to 747s have featured wood interiors produced by Booth Veneers.

Booth believes a company can't compete on all three elements of quality, delivery and price. "You can only compete in two," he says. "Quality and delivery is where we compete, and that has been the cornerstone of everything that we've done."

Booth says he "only deals with the Rembrandts of veneer. I only buy the very best wood in the world, literally, the highest priced, the highest quality." Booth Veneers completes about 98.6 percent of orders in five days, with the flexibility to hit tighter deadlines. The company once received a rush order for an aircraft interior at 4 p.m. on a Friday. "We delivered, by noon Saturday in Little Rock, Ark., the plywood, all blueprint matched to a location in that interior," Booth says.

Because business remains vigorous and expansion isn't possible at the 57,000-square-foot building it has occupied since 1988, Booth Veneers plans to move to a new, 94,000-square-foot facility, located in the River Ridge Commerce Center in nearby Jeffersonville, Ind., later this year.

The product and market require an atypical business approach. "You can't create a niche without a lot of custom (capability)," Booth says, "and you surely can't be the major supplier in the marketplace without being extremely unique."

Booth Veneers stocks all veneers it sells. In inventory are 10 million square feet of 2,500 logs in more than 150 species. "Inventory to us is good," Booth says. "If you're selling fine art, art only goes up in value. If I don't sell it, in a year's time that pile of wood will be worth more then than now, provided I take care of it."

Booth says "flitch" is more accurate than "log." When veneer is sliced or peeled from a specific log, that cumulative veneer is called a flitch. "One tree's production of veneer is what we buy," he says.

Images, dimensions and characteristics of the entire inventory are entered into a database, from which customers make their choices. The company sells a specific tree, not a species, and the database indicates what flitches are sufficient to meet the requirements of about 50 types of aircraft.

Unlike most companies, Booth functions without managers. "I don't manage people," Booth says. "The computer tells everyone what they have to do today, and who is doing what now. Any individual in our plant who is in production can look at the computer, know what's coming, know what they must do and when it must be done by." The system is built on flexibility. "We change our production schedule every 20 minutes," he says.

In the quality control room, these employees check to see if the product was made at the right size and for the right location, and if it looks like the samples that were sent to the customer. "Quality and delivery is where we compete, and that has been the cornerstone of everything that we've done." Carl Booth

Customer and employee education is a high priority for Booth. "We have an entire education division that does nothing but educate our customers," Booth says. "We present seminars to all of our customers on how to use our products."

All employees receive comprehensive training. "We believe the vocabulary is so foreign to everyone that until you understand the production vocabulary, you can't even be a receptionist," Booth says. In production, cross-training is essential. "I believe that multiple expertise is a requirement," he says.

All employees are trained in lean manufacturing. "The new plant is completely designed around lean total flexibility, total adaptability, flow everything is there," Booth says.

Because of its specific requirements, the company needs outside-the-box specifications and/or modifies or re-builds the equipment it purchases. "There is no other industry like ours, so our requirements are like no one else," Booth says. "Machinery is usually sold on how fast and how much a machine can produce in a given eight-hour day. Neither is important to me."

Key equipment includes an Accurpress hydraulic shear, Costa & Grissom widebelt sanders, Dantherm dust collectors, Hofer presses, Josting single-knife trimmer, Kuper FL veneer splicer, Levee Lift scissor lift, Southworth Products lift tables, Toyota fork lifts and Unarco T-Bolt pallet racking. Booth says all the new equipment for the new facility "is contracted for and already ordered."

The Hofer press is used to adhere the veneer to the core, both of which are chosen by the customer.

To start the ordering process, a designer consults with one of four program managers on the type of veneer desired for a specific aircraft. The program manager narrows the choices and orders samples for the selected veneers, which are produced and shipped overnight the same day.

The sampled flitches are put on hold until the customer makes the final choice. "About 60 percent of my inventory is on hold at any given moment," Booth says. When the customer decides, the selected flitch is permanently reserved and the others are released back to inventory.

The customer provides a blueprint and cutlist. Veneer is run through a press to smooth ripples and to dry to the correct moisture content, cut and put together in sheets, fire treated and tested, inspected, glued to one of at least 28 cores, sanded, crated and shipped, with meticulous documentation at each step and all within five days. "We do that about 1,500 times a year," Booth says.

"The aviation industry is expanding like mad in the world," Booth says. "As the third world becomes second and the second becomes first, airplanes are going to be more and more in demand."

The Costa & Grissom KHV wide-belt sander is used for precise sanding of the veneer near the end of the process. The machine is calibrated every day, and because the product is very thin, tolerances are precise to the nearest 1,000th.

"We know how many aircraft of every style are projected to be built over the next five years," he says. "So we are trying to make certain we keep up with the industry." The new facility will not only enable Booth Veneers to accommodate increased aerospace industry growth, it also will allow for expansion into other markets.

"We expect to create a plywood manufacturer that will in fact produce plywood in every form, any form," Booth adds.

“Story of a Lean Journey,” a novel by Jim Lewis, now is available.

According to the Society of Manufacturing Engineers, the book is about Allison Manufacturing Services (AMS), a small furniture manufacturing plant struggling to survive global competition and specialization.

Its board of directors is disheartened with the downward spiral of profits, continuing loss of market share and lackluster performance.

Looking for a way to save the company, the board hires Bill Watts, a lean manufacturing consultant, as its new executive vice president.

“Story of a Lean Journey” takes you through the first three years of lean application at AMS.