Recapitulating the 6 months of Labor Productivity National Project
The first results of the work within the framework of the national project titled Labor Productivity and Employment Support were summarized at the production site of INGENIUM Company. Within half a year under the assistance of the experts from the Federal Competence Center (FCC) the productivity of the refrigeration equipment production shop at this Rostov-based enterprise has increased by a quarter.
INGENIUM specializes in deployment of internal utilities, and its work ranges from design to implementation of the utilities. Annually, our company produces 300 units of refrigeration equipment. Process solutions of the company are used in agro-industrial complexes, logistic hubs at the enterprises of food processing, retail and wholesale trade, and at the objects of power industry.
"We studied the whole production process of the refrigeration unit manufacturing. We analyzed the time spent on production, estimated the load of employees, the level of reserves”, says Sergey Kamyshansky, FCC project manager. “For example, we found out that the assembler performs a job outside of his scope: ensures receipt, verification and transportation of components from the warehouse. And these operations take a lot of time. We decided to organize a kitting station, where all the preparatory work is done by specially assigned specialist. As a result, the assembler now spends 30% less for assembly of one refrigeration unit. The whole process takes less than 27 hours, and previously the work took almost 38 hours".
In general, the production time of refrigeration equipment, the optimization of which was worked by the company's employees together with FCC experts, was decreased by 58% - from 478 hours to 201 hours. It is planned to speed up the full production cycle to 136 hours by February 2021.
Also, within those six months, the volume of unfinished production was decreased by more than 60% - from 31 to 12 assembly kits of materials and components. The plan is to have the number of unfinished production reduced to 10 assembly kits by February.
"During our participation in the project, we were able to increase the production efficiency by 25%, expand the production site itself and increase the number of production employees by 12%. According to our estimates, the revenue growth will amount to about 15%, and the production cost has already decreased’ - comments Christoph Dzhibgashvili, Director of INGENIUM, LLC. “All the ideas on work optimization submitted by the employees have a positive effect. We have also implemented a provision on improvements, and the employees receive financial compensation for such proposals".
Project results achieved are no limit for INGENIUM. For the further transformations to be efficient, the FCC experts have trained 25 employees of the enterprise in the basics of lean production. Besides, the enterprise has prepared its own expert in the field of lean technologies implementation. This expert has already trained 20 employees of the company, and in the future he will train the entire 100% of INGENIUM team.
As a reminder, the National Project Labor Productivity and Employment Support was approved by the May Decree of the President of the Russian Federation in 2018 and is intended to create conditions for annual growth of labor productivity in the country by 5% by 2024. In order to achieve its objectives, the Russian Government has developed a set of state support measures for business which includes financial incentives, employment support and expert assistance in optimizing production processes. The project will involve at least 10,000 enterprises in 85 regions of Russia. FCC will train 23 000 specialists on the production system in the country. The operator of the national project is FCC.