<h2>Shorter Lead-Times for Albany International with Delfoi Planner</h2>
Delfoi Planner helps Albany to shorten their lead time by 33% and cut their WIP by 25%
Albany’s main target was to reduce their inventory value and, in particular, WIP (Work in Process). Extensive WIP requires extra material handling and extra floor space and takes up working capital. Cutting lead time is the most effective way to reduce inventory value. Albany had improved lead time using a set of traditional methods. However, new tools were needed for further improvements and to increase understanding of production behaviour.
The main target in reducing WIP was halving lead time. A shorter lead time also improves productivity, delivery accuracy, production control and customer satisfaction.
Production simulation
Simulation was chosen as tool for searching for new improvements. Albany production was modelled using Delmia QUEST and several scenarios with planning iterations were carried out. As a result, it was found that halving the delivery time was possible, but it would require production control to be performed daily instead of weekly.
The project was implemented in 9 months including a long break in the summer months. The commitment of the Albany project team was vital. This, together with skilled and motivated Delfoi application engineers, made it possible to deliver a system that was ready to use right after delivery.
System Structure
The integration and architecture of the Delfoi Planner solution at Albany International follows standard Delfoi Planner methods. At the heart of the system is the Delfoi Planner Enterprise Server, which runs on a selected J2EE application server. Initial data sources like MFG/Pro for customer orders and an employee calendar system have been integrated into Delfoi Planner. Delfoi Planner users with specific user roles are connected to the system with browser-based GUIs. This means that any workstation within the company, equipped with a standard web browser such as IE or Netscape, can access Delfoi Planner.
Results
Albany took the system into production in May 2003 without it being integrated on-line with their enterprise resource planning (ERP). Finite scheduling was still carried out on a weekly basis and team leaders were in charge of daily scheduling.
As a result of this, delivery time was cut by 33% and the value of WIP was reduced by 25%. With these figures, the payback time of the system is already less than 12 months. Even better results are expected with on-line integration of ERP and finite scheduling set at a daily level.
“Simulation and the Delfoi Planner are really valuable tools in achieving our business goals,” says Production Manager Kari Kitusuo from Albany International Oy
Production enlargement
At the final stage of the project we found out that the customer is planning to move to a certain production site in Helsinki and this might involve production enlargement.
The effect of the new production was studied with Delfoi Planner and QUEST. A new version of the simulation model was made which included new machines and other resources. New orders were added to the existing order book in the form of a special scenario and this scenario was run within the new simulation model. With Delfoi Planner and QUEST it was easy to demonstrate to the management what would be required in order to achieve the new production volume and any possible extra investments. It will be possible to use this model when the new resources are implemented.
Albany International Oy facts
Albany International's primary business is supplying the expanding world paper industry with consumable, technologically sophisticated products called paper machine clothing. Paper machine clothing is used to produce all grades of paper from lightweight sanitary tissue to heavyweight containerboard.
Albany International operates on a worldwide basis. The Dryer Fabric Division in Europe operates from two plants: Helsinki, Finland and Bury, England. This project was carried out at the Albany International Oy plant in Helsinki. (www.albint.com)
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