Analyzing 5s implementation at the pm department ofterumo bct vietnam company

MINISTRY OF EDUCATION AND TRAINING HO CHI MINH CITY UNIVERSITY OF TECHNOLOGY AND EDUCATION FACULTY FOR HIGH QUALITY TRAINING INDUSTRIAL MANAGEMENT ANALYZING 5S IMPLEMENTATION AT THE PM DEPARTMENT OFTERUMO BCT VIETNAM COMPANY SUPERVISOR: MBA NGUYEN THI ANH VAN STUDENT: NGUYEN HOA CAM TIEN SKL 0 Ho Chi Minh City, June, 2021 MINISTRY OF EDUCATION AND TRAINING HO CHI MINH CITY UNIVERSITY OF TECHNOLOGY AND EDUCATION ECONOMY FACULTY FINAL THESIS ANALYZING 5S IMPLEMENTATION AT THE PM DEPARTMENT OF TERUMO BCT VIETNAM COMPANY Student’s name : Nguyen Hoa Cam Tien Student’s ID : 17124208 Course : 2017 Major : Industrial management Instructor : MBA Nguyen Thi Anh Van Ho Chi Minh city, June 2021 ACKNOWLEDGEMENT In each person's success and growth, there appears to support, whether more or less, whether directly or indirectly from others During four years of studying at school up to now, I have received a lot of attention and help from teachers, family, and friends I would send to the teachers of the Economy Faculty my gratefulness They have dedicated themselves to teaching and imparting valuable knowledge, creating a solid foundation for our children In particular, I would like to thank Ms Nguyen Thi Anh Van - my instructor Thanks to her enthusiasm, dedication has helped me to finish my thesis on the right track Besides, I would like to thank Terumo BCT Vietnam Company- a good company to experience I have experienced, learned, and cultivated specific knowledge there That is a valuable thing for an intern to apply what they have studied from school into reality I would also thank my colleagues in the PM department They did not hesitate to help me with the work Besides, I have learned a lot from their sharing Especially, I would like to send to manager PM- Mr Shiras Madathiparambil thanked him with all my admiration And those indispensable people are family and friends who shared, encouraged me, facilitated me to pursue my passion and complete this project well Ho Chi Minh city, June 2021 Student Nguyen Hoa Cam Tien i LIST OF ACRONYMS ACRONYMS EXPLANATION BCT Blood and Cell Technologies TBV Terumo BCT Vietnam FDA Food and Drug Administration PM Process maintenance ETO Ethylene oxide WH Warehouse QC Quality control WS Water system PIC Person in charge EHS Environment Health Safety USD United States Dollars ii LIST OF TABLES Table 1.1: The 5S Steering Committee 12 Table 1: Garbage classification 44 Table 2: 5S Audit Checklist (effective version) 51 Table 1: The sort step 58 Table 2: Criteria of the setting order based on the necessity of objects 59 iii LIST OF PICTURES Figure 1: Logo of Terumo BCT Vietnam Figure 2: The internal landscape of Terumo BCT Vietnam Figure 3: Blood bag (Trima) Figure 4: TBV’s Trima kit Figure 5: Core values Figure 6: TBV’s organization chart .8 Figure 1: Re-describe the 5S circle of David Visco 14 Figure 2: Seiso- Check 16 Figure 3: Relationship of 5S 17 Figure 4: Route Map 19 Figure 5: The advocacy model of the PDCA process for quality improvement .20 Figure 1: Good performance of sorting- Autocell (Hanel) 27 Figure 2: Before and after sorting- Hanel (Autocell) 28 Figure 3: Before and after sorting- Toolroom Two 28 Figure 4: Before and after sorting- Toolroom Two 28 Figure 5: Before and after rearranging- Toolroom Two 29 Figure 6: Before and after sorting- ETO 29 Figure 7: Inside cabinet before and after sorting- BB’s Cleanroom 30 Figure 8: The change before and after sorting- Toolroom One .30 Figure 9: Hanel machine in the process of assembly 31 Figure 10: Before and after sorting- Spare-part 31 Figure 11: Before and after sorting- Water system 31 Figure 12: Document rack status before sorting- PM’s office 32 Figure 13: Document rack status after sorting- PM’s office .32 Figure 14: Sorting process- WH outside 33 Figure 15: Before and after sorting- WH outside 33 Figure 16: Some parts are not well arranged for retrieval and return .34 Figure 17: After setting in order (Mold shop) 34 Figure 18: The wires are arranged beautiful- Toolroom Two 35 Figure 19: Before and after setting in order- Toolroom Two 35 Figure 20: Before and after setting in order- Toolroom Two 35 Figure 21: Good and bad item put at the same place- ETO 36 iv Figure 22: Before and after labeling- ETO 36 Figure 23: Trash bin has no name and layout- Trima’s Cleanroom 37 Figure 24: Before and after setting in order- Toolroom One 37 Figure 25: Good machine and trash can put at the same place- Toolroom One .37 Figure 26: Before and after setting in order- Toolroom One 38 Figure 27: Machines, tools are not stored neatly at an appropriate 38 Figure 28: After moving to Rotomat 39 Figure 29: Cleanroom and WS 39 Figure 30: Before and after arranging- Warehouse outside 40 Figure 31: Before and after cleaning- Toolroom One .40 Figure 32: Regulations on placing fire extinguishers- PM’s office 41 Figure 33: Safety warning- Toolroom one 42 Figure 34: Before and after warning- BB’s Cleanroom 42 Figure 35: 5S self- check check sheet .43 Figure 36: Standardize the color for each document rack- PM’s office 43 Figure 37: Creating more space for 5S activities- Toolroom Two 45 Figure 38: 5S audit checklist .48 Figure 39: 5S test not performed .52 Figure 40: Before and after moving to get parts 53 Figure 41: Safety warning 53 Figure 42: Unsafe location for user 54 Figure 43: The parts are placed messily in the tray 54 Figure 44: The finding .55 Figure 45: The 5S results 56 Figure 46: The highest award 56 Figure 1: High- bond double- sided tape (3M) 60 Figure 2: The shelf shape 62 Figure 3: The separated area for each part 62 v LIST OF CHARTS Chart 1: Form 5S Steering committee & Working Committee 11 Chart 2: PM Department structure .12 vi TABLE OF CONTENTS Contents ACKNOWLEDGEMENT i LIST OF ACRONYMS ii LIST OF TABLES iii LIST OF PICTURES iv LIST OF CHARTS vi TABLE OF CONTENTS vii PREFACE 1 Abstract Research objectives Research subjects, research scope Research methodology Research structure CHAPTER 1: GENERAL INTRODUCTION ABOUT TERUMO BCTVIETNAM AND PM DEPARTMENT 1.1 Introduction about Terumo BCT Vietnam 1.1.1 A comprehensive overview Terumo BCT Vietnam Company 1.1.2 Core values 1.1.3 Company organization chart 1.1.4 Quality achievements that the company achieved 10 1.2 Introducing the 5S department of Terumo BCT Vietnam company 11 1.2 Introduction about PM department 12 1.2.1 PM department organization chart 12 1.2.2 Functions of the PM department 13 CHAPTER 2: THEORETICAL BASIC 14 2.1 The 5S concept (Quality- One International website) 14 2.2 The origins of 5S (Quality- One International website) 17 2.3 The PDCA- 5S cycle (B Singh Sidhu, V Kumar, A Bajaj, 2013) 18 2.5 The purpose of 5S implementation (Ngo Hanh Phuc, 2011) 21 2.6 The benefits of 5S implementation (Applied Performance website) 22 2.6.1 Benefits of S1 22 2.6.2 Benefits of S2 23 vii 2.6.3 Benefits of S3 23 2.6.4 Benefits of S4 23 2.6.5 Benefits of S5 23 2.7 Difficulties of 5S implementation (ISOCUS, 2017) 24 2.7.1 Difficulty of training and change the habits of employees 24 2.7.2 Difficulty of maintaining 24 2.7.3 Difficulty of infrastructure conditions 25 2.8 The meaning of implementing 5S (Manufacturing.net website) 25 CHAPTER 3: THE 5S APPLICATION STATUS IN AREAS IS UNDER THE RESPONSIBILITY OF THE PM DEPARTMENT 27 3.1 The 5S application status in areas is under the responsibility of the PM department 27 3.1.1 Sort (Seiri) 27 3.1.2 Set in order (Seiton) 33 3.1.3 Shine (Sheiso) 40 3.1.4 Standardize (Seiketsu) 41 3.1.5 Sustain (Shitsuke) 44 3.2 Evaluate the effectiveness of 5S application 45 3.2.1 Good points 45 3.2.1.2 Create a clean space, feel comfortable in the workplace 45 3.2.1.3 Tighten the relationship between colleagues 46 3.2.1.4 Reduce searching time, waiting time, increase production productivity46 3.2.1.5 46 Contribute to creating and reinforcing the company's image to customers 3.2.1.6 Be proactive in 5S activities 47 3.2.1.7 There are 5S specific evaluation criteria 47 3.2.2 Limitations 51 3.2.2.2 5S propaganda is not effective 52 3.2.2.3 Investment costs for 5S are high but not yet effective 52 3.2.2.4 The inefficiency in Spare-parts arrangement 54 3.3 The first audit results from company 55 3.3.1 The findings 55 3.3.2 The results 56 viii 3.3.2 The results Figure 45: The 5S results (Source: Collected Author) After company’s Audit, PM team has got 79/80 score So, PM would get the highest award Figure 46: The highest award (Source: Collected Author) 56 CHAPTER 4: SOME SOLUTIONS TO IMPROVE 5S IMPLEMENTATION IN THE PM DEPARTMENT 4.1 Development of “sort” and “set in order” standards Features of parts, items, Step Step - Asset of PM: Revoke - tools - Asset of company: Out of date / damaged make an application to - Not yet accepted: Store in discard the item (send WH outside to production - Accepted: Revoke department) - Asset of PM: Revoke - Asset of company: No use plan / no use - - Not yet accepted: Store in make an application to WH outside discard the item (send - Accepted: Revoke to production department) Contact for return - 3-4 years of use once Store in WH out side - For annual, monthly or daily Keep and place at - use work area Belongs to another department 57 -Quit (if determined not Not determined Contact teams to use) -Save at work (if it is determined to use it) Table 1: The sort step (Source: Collected Author) Although the 5S plan was disseminated to all employees, how they apply it also needs to be controlled We will not avoid the cases: Do not know where to it, how to it, etc That is because of an unspecified 5S plan Although the managers have actively developed standards, it still lacks out of screening standards and standards for arrangements Therefore, we need to build standards and inform all members act on The PM department should take advantage of the warehouse area to store some items and machines properly Below are the sorting steps that apply to the PM department PIC of each area should train these steps for their member directly For new members, they not know how to write an application to discard the item, so they needto be trained step by step to ensure the correct procedure is followed After sorting, we need to arrange the items in the right place In the PM department, the S1 step and S2 step should be implemented in parallel Because there are many machines and components of big size, they should be arranged immediatelyafter sorting to getting space The space to store components, tools, and machines is not large, so some items used for less than one year can be stored in the WH Below are the criteria for arranging objects These criteria will assist quite a bit at the beginning of the arrangement In case the employees are confused in the arrangement,this criterion will be like a guide board, everyone in the PM department can use Documents about PM records from previous years can be stored in the archive room 58 Frequency of use Necessary level Rarely Place Put in the WH outside Less than once a year No (Not applicable for PM using plan office) Sometimes One per six months Put out of workplace (Ex: Corridor) Often One per one to two months Put near the workplace Usually One per one to two weeks Put in the workplace Always Daily Put near the user Table 2: Criteria of the setting order based on the necessity of objects (Source: Collected Author) 4.2 Intensive 5S training To new employees, the company does not have a specific training program on 5S, so people will not understand the importance of 5S in the organization They just follow the movement and not have the discipline, thereby creating many consequences for the next generation of employees To avoid ineffective propaganda, we need to educate these employees on the 5S concept to apply 5S successfully Besides that, the PM department needs to organize workshops or courses about 5S so that everyone has a place to learn and answer questions together New employees should be trained to understand and concurrently perform 5S If only training, people still cannot apply 5S effectively Studying should go with practicing It is recommended to organize a 5S contest for each team to complete with each other and reward for great achievements It is not only creative but also motivates members to implement 5S together Furthermore, this will help peoplebecome familiar with 5S and make it a habit 59 The theory is very different from reality Therefore, the manager needs to regularly check and point out the wrong, giving examples and directions to guide This helps the members understand and it right Checking is also a way to motivate members to maintain the implementation of 5S Moreover, organizing the 5S program for the PM team is a great way All members will compete and make efforts to perform 5S That contributes greatly to the formation of habits of members Through the competition, 5S will be monitored and maintained regularly This program requires a cost to reward teams and individuals with good performance We can hold a 5S test overall or just for each step in 5S and evaluate it This program can also encourage the spirit of creativity, and since then 5S can be improved Besides, the manager can also give more exciting topics for the 5S program such as 5S beauty, Kaizen in 5S, etc 4.3 Improving the problem related to Rotomat and letter tray To ensure that the process of taking goods from the Rotomat is not interrupted by safety warnings, we need to ensure that components and tools not fall out during the movement The corrective action is to fix the trays that are put components and tools in the room at the compartment Therefore, it can be difficult if you want to change their location However, the Rotomat is in the final stage of completing the Rotomat, so it is important to make sure that the placement is reasonable and does not need to be moved for a long time to be able to fix the position of the trays without any consideration Fix the straps using a high-bond double-sided tape This tape is very often used in maintenance operations then it can be found easily However, this kind of tape is quite expensive, so it should be used reasonably, avoiding wasted Figure 1: High- bond double- sided tape (3M) (Source: Collected Author) 60 Because of the insecurity from using the letter tray, the superiors ordered a different type of tray Besides, Toolroom, Spare-parts rooms, and cleanroom can use those trays To avoid danger, they should use a soft object attached to the edge of the letter tray to prevent injury The letter trays should be ordered enough to use in the PMoffice Before buying anything, it is essential to consider the current quantity, the needed quantity, its benefit, and the quality where the order is placed These are the four basic elements of using objects effectively For decisions to buy components, tools, machines to serve for maintenance and repair, we need to consider carefully We need to consider how many minimum components, tools are allowed, estimate the amount to be used, and then submit a purchase request When buying robots and machines, it is necessary to determine the purpose and location of using Also, one should list out all possible benefits and drawbacks to be promptly prevented Since then, the products purchased will always bring us positive results 4.4 Create a dedicated shelf Creating a dedicated shelf is needed to manage Spare-parts We can make it withour hands Everyone can take advantage of the cutting machines, welding machines to create a dedicated shelf The finding that auditor have found out is that the rulers were put messy So creating the separate shelf is also a solution to fix this finding The shelf material includes aluminum and plastic ALU The price of this materialis not too expensive, and it is easy to process as you like The shelf shape is described as follows: 61 Figure 2: The shelf shape (Source: Collected Author) In Spare-parts storage rooms that already have shelves so, we need to create an ALU plate with the corresponding size fixed at an angle of 30-40 The use of this tiltedALU is so that the parts can slide automatically from above Each ALU plate should be divided into a separate area corresponding to each type of part That will keep the parts in order Separate area for each part is designed as follows: In put (maximum stock) Minimum stock Out put Speed humps Figure 3: The separated area for each part (Source: Collected Author) 62 This shelf can only accommodate parts that can roll or slide and is small and medium in size, not too heavy The parts are placed close together according to the inclination of the ALU plate We need to design a separate cap for it This lid has two holes, one is to put new parts in, the other is to observe minimum stock Minimum stock can be viewed easily when looking at the shelf without having to look at the file.People who take out the part without seeing a part in the minimum stock box means that they need to order for that part This shelf has only one input and one output Therefore, it would help engineers take out parts by FIFO (First in first out) method The part will slide down to the ledge and stop That is also where the parts are takenout When designing the area for each type of part, we need to check the minimum stock amount of each part type to be able to design the lid properly The cost of this work is about 2,000 USD This is not a huge cost for a long-term plan This work willtake a lot of time, but in return, Spare-parts control is easier, the working environment is more professional, and 5S is also more efficient 4.5 Condition infrastructure Terumo is a company located in Long Thanh, Dong Nai This place is known tohave a lot of lands Therefore, the company area also has a lot of vacant space Maybe because of the company's future project, these lands have not been exploited The proposal to expand the area for the warehouse is impossible So, first of all, we should make use of the space for proper storage The PM department implemented this in the outer warehouse area by ordering multi-story shelves and storing them to height However, it is necessary to consider the issue of safety Heavy objects should be placed below and light objects placed high above The construction of a new warehouse cannot be done immediately However, if there is a requirement to expand a warehouse by considering the available spaces then it is possible to argue in the short term to address this issue Because the company has a new project, more machines are imported Therefore, when we want to implement 5S and want to manage spare-part well, the problem of the PM department needs to be solved in coordination 63 Furthermore, for tool rooms and spare-part rooms, trolleys can be placed outside the walkway and marking corridors according to company standards to avoidoccupying room space Additionally, the chair should be removed, because it is not required during business hours Most people the machining or take part, tools without using chairs The Supper Senior can require all these thing to improve the space 64 CONCLUSION Production is the most essential and important step in maintaining company operations Therefore, production-related activities need to be guaranteed in terms of continuity and quality It is easy to see that maintenance and repair are very important to production When applying 5S in the production area and PM department, work efficiency is enhanced The 5S not only creates a comfortable, spacious, clean, and professional working environment, but also helps control assets, reduces waiting time, and downtime between stages The daily 5S implementation also creates good habits, ensures occupational health and safety Although the company is only in the early stages of applying 5S, it is still not perfect in its directions, but basically, the company has done quite well with 5S so far PM department has planned to 5S and implemented 5S as the plan very well It's good to see the manager and all members are willing to fix the findings and improve days by days If the PM department follows PDCA to implement 5S continuously, they will get great results Through the report, the author has shown a part of the process of applying 5S at Terumo BCT Vietnam Moreover, the Author suggests solutions for implementing improvements in the 5S program Although, steps S1, S2, S3, S4, S5 at the PM department have been performed, but still not set high sustain efficiency Since the company has just applied 5S, the data, efficiency as well as cost savings are still unclear Currently, the company is initially implementing Kaizen So, it's not bad if improving 5S as a Kaizen plan periodically or quarterly, or annually, will bring higher efficiency and 5S more and more complete Graduate thesis research is an opportunity for me to have many perspectives on a problem, increase my ability to observe, compare between theory and practice At TBV, I had the opportunity to visit the 5S team I learned how to plan, how to test, and evaluate 5S From that, I understood the difficulty of implementing to take appropriate measures 65 REFERENCES B Singh Sidhu, V K (2013) International Journal of Research in Industrial Engineering The "5S" Strategy by Using PDCA Cycle for Continuous Improvement of the Manufacturing Processes in Agriculture Industry, 12, 13 Careerbuilder.vn (n.d) CÔNG TY TNHH TERUMO BCT VIỆT NAM Retrieved from Careerbuilder: https://careerbuilder.vn/vi/nha-tuyen-dung/cong-ty-tnhh- terumo-bctviet-nam.35A7A88E.html Deming, D W (1993) The Deming Institute Retrieved from Deming.org: https://deming.org/explore/pdsa/ Disha (2014, 09 03) Key Benefits of 5S Process Implementation Retrieved from Applied Performance: https://appliedperformance.ca/key-benefits-5s-process-implementation/ International, Q O (n.d) 5S Methodology Retrieved from https://quality- one.com/5s/ ISOCUS (2017) Difficulty in applying 5S, Kaizen for the whole company in our country Retrieved from https://isocus.vn/kho-khan-trong-viec-ap-dung-5s- kaizen-cho-toancong-ty-tai-nuoc-ta.html Parker, J (2012) 5S and Kaizen for Process Improvement Retrieved from Business Analysis, Uncategorized: https://enfocussolutions.com/5s-and-kaizen-for- process-improvement/ Phuc, N H (2011) Quality Management In N H Phuc Science and Technology Publishing House Suzuki, H (2006) 5S Bi Mat Thanh Cong Tu Nhat Ban In S Nguyen, Năng suất 5S Bí mật thành công Nhật (p 12) Ha Noi: Ha Noi Terumobct (n.d) Home page Retrieved from Terumobct.com: https://terumo.com.vn/Sanpham/ Visco, D (2015) 5S Make Easy United Kingdom: The CRC Press (Taylor and Francis) 66 PHIẾU CHẤM ĐIỂM BÁO CÁO THỰC TẬP TỐT NGHIỆP Tiêu chí Yếu Trung bình Khá Giỏi Thái độ - 0,4 0,5 - 1,0 1,1 - 1,6 1,7 - 2,0 Rất liên lạc với GV Thỉnh thoảng liên lạc với GV Thường xuyên liên lạc Rất thường xuyên liên lạc với GV để duyệt Hình – 0,2 để duyệt với GV để duyệt để duyệt 0,3 -0,5 0,6 – 0,8 0,9 – 1,0 thức Không theo hướng Theo hướng dẫn khoa, Theo hướng dẫn Theo hướng dẫn Khoa (khơng trình dẫn khoa (cấu trúccác cịn lỗi trình bày khoa, cịn số lỗi có lỗi tả văn bản, hình bày chương, đánh số đề văn bản, chưa đánh số biểu tả văn phong ảnh bảng biểu rõ ràng, văn phong mục, font chữ, cỡ chữ, bảng, đồ thị sáng, khơng có câu tối nghĩa, giãn dịng…) đạt yêu cầu số trang tối thiểu…) Phần – 0,2 mở đầu Không liên quan đến nội Nêu lý chọn đề tài Nêu đầy đủ Nêu trọn vẹn nội dung dung báo cáo 0,3 -0,5 0,6 – 0,8 0,9 – 1,0 chưa trình bày nội dung theo yêu cầu theo u cầu, phân tích có tính số nội dung như: mục chưa thực thuyết phục tiêu, phạm vi phương thuyết phục pháp – 1,5 1,6 -3,0 3,1 – 4,5 4,6 – 5,5 Điểm Nội Chỉ giới thiệu thông tin Giới thiệu đơn vị thực tập Có đầy đủ nội dung Có đầy đủ nội dung theo yêu dung đơn vị thực tập chưa đầy đủ nội theo yêu cầu khoa, cầu khoa, có đưa phân tích, (địa điểm, q trình hình dung theo yêu cầu thành phát triển) nhiên chưa phân đánh giá Mô tả thực trạng vấn đề Mô tả thực trạng tích, đánh giá nghiên cứu cách trung thực, Chưa mô tả thực chưa đầy đủ, thông tin chưa Mô tả trung thực, đầy đầy đủ, logic, chi tiết Nêu trạng vấn đề nghiên cập nhật cứu đủ, số mặt mạnh, yếu vấn đề Khơng có liên kết nội dung chưa chi tiết nghiên cứu, lý giải nguyên Nhận xét sơ sài, lạc phần nhận xét điểm mạnh, Nhận xét mặt nhân đề điểm yếu doanh nghiệp mạnh, yếu vấn đề So sánh thực tiễn lý thuyết học Kiến nghị không liên giải pháp nghiên cứu, lý giải trường, nêu khác quan đến nhận xét nguyên nhân biệt, định hình số Chưa có liên kết đưa giải pháp đề xuất cải thiện tình hình chương chưa có tính thuyết Các phân tích, lập luận logic, phù phục hợp với thực trạng mục tiêu nghiên cứu Phần kết luận Kết luận không liên quan Kết luận chưa tổng quát hóa Kết luận nêu Nêu tóm tắt điểm bật đến nội dung báo cáo 0,1 – 0,2 vấn đề nghiên cứu 0,3 - 0,4 0,5 điểm bật của báo cáo, nêu tìm báo cáo chưa hiểu, học hỏi trình đưa hướng nghiên thực tập nêu hướng cứu nghiên cứu Tổng điểm: Ngày ….tháng… năm 201…… Giảng BCTTTN viên chấm S K L 0