Aegis Industrial Finishing - Business Consulting Project

Project Details

Project Client: Aegis Industrial Finishing
Project Description: Production work order flow and capacity management
Students: Patricia O’Brien, Andrew Stasiewski, Dean Wilkes
Term: Fall 2011
BCIT Program: Business Operations Management
A team of three BCIT students participated in a process improvement project at Aegis Industrial Finishing from September 14th to December 7th 2011. The purpose of the project was to analyze the current processes and make recommendations to improve production flow and throughput at the powder coating work station.

Aegis Industrial Finishing was utilizing the powder coating workstation an average of 5.95 hours a day. To realize increased monthly revenue, Aegis Industrial Finishing needs to increase the utilization of this workstation which will then increase the overall throughput and increase monthly revenues.

Through interviews, observations, Pareto analysis, activity sampling, and other analysis tools the students determined that the root cause of the problem is lack of manpower and long preparation and racking times. Racking and preparation is the most time consuming process creating a bottleneck in the process.

To improve the current system the students recommend that Aegis Industrial Finishing:
  1. Hire an additional employee with an emphasis on product racking and preparation
  2. Install a light outside the powder coating booth to visually prioritize work.
The solution creates a more balanced process flow and results in increased throughput and utilization of the powder coating station. This eliminates the current bottleneck and constraint in the process. The light outside of the powder coating station acts as a visual signal to alert employees that help is needed and that priority needs to be placed on racking and preparing products. This ensures that the powder coater always has product to coat.

The benefits of the proposed solution include a 48% increase in powder coating hours, 28% increase to powder coating booth utilization and a 23% increase in labour productivity. The potential revenue increase is $31,400 per month for an annual benefit of $376,776.