EtolaIntroduction &
Key Business Areas
Sales l 2011-4-1 l Henri Manner
Table of Contents
1. Etola China Introduction
2. Renergy CFL-System
3. Pipe Assembly
4. Hose Assembly
5. VMI-Service
6. Q&A Session
22
1. Introduction, Key Figs & Business Model
Facilities: Tianjin 5.800 sqm and Shanghai 600 sqm
Personnel: 80 (2 foreigners and 78 Chinese)
Sales Budget ¥100m in China Etola Group €400m
www.etola.fi
www.etra.fi
Stock Value ¥25m All Etola Group Cos’
warehouse valuetotalling €40m
33
Business Model
C-Parts Management
1. Introduction, O-Chart44
1. Introduction, Qlty is Nbr.1
Etola hydraulic pipe and hose assemblies have been approved and registered by DNVISO9001:2008 QMS
Etola is commited to continuousimprovement per ISO9001:2008requirement in product and processQuality
Etola Management Team will havemeetings on half year basis to evaluate and develop our valueproposition
55
1. Engineering l Systems
LUBRICATION SYSTEM in an Industrial Gearbox Application
66
++
or
Pressure hose
Suction hose
1. Engineering & Sub-Contracting l Assemblies
77
MYMY--Wind 3 MW WIND TURBINEWind 3 MW WIND TURBINE•• Hydraulic pipe assembliesHydraulic pipe assemblies•• Hydraulic hose assembliesHydraulic hose assemblies•• Piston accumulatorsPiston accumulators
1. Service l Industrial Products88
Service at the customer’s factory VMI:Service at the customer’s factory VMI:
•• HydraulicsHydraulics
•• FastenersFasteners
•• SealsSeals
•• Other COther C--PartsParts
1. Etola China Milestones
Adding Value to our Customers in each step!
99
Oct. 12 2005Oct. 12 2005Oct. 12 2005Oct. 12 2005
Apr. 2006Apr. 2006Apr. 2006Apr. 2006
Sep. 2009Sep. 2009Sep. 2009Sep. 2009
Dec. 2009Dec. 2009
Oct. 2008Oct. 2008Oct. 2008Oct. 2008Business Business License
FTZ
First Sales First Sales delivery
Move to Move to TEDA
1 batch of pipe assys 1st batch of pipe assys delivered
ISO9001:ISO9001:2008 QMS
Rename Rename to EIPTJ
March 2009March 2009March 2009March 2009
VMI lVMI lLUB System lQLTY NBR1!
Jan. 2010 –Jan. 2010 –Dec. 2011
1010
Selected List of Customers Etola is supplying
1. Etola China References
1. Locations of Customers in China
Tianjin
Beijing
Dalian
Shanghai
1111
2. Renergy CFL-SystemC = Cooling
F = FiltrationL = Lubrication
Sales l 2011-4-1 l Henri Manner
Table of Contents
1. Application Introduction
2. Renergy CFL-Systems 3D
3. Q&A-Session
1313
1. Introduction, Application WTCustomer Reference: VESTAS
1414
Nacelle l Pitch l Yaw Deliverables:Nacelle l Pitch l Yaw Deliverables:•• Hydraulic pipe assembliesHydraulic pipe assemblies•• Hydraulic hose assembliesHydraulic hose assemblies•• Piston accumulatorsPiston accumulators
1. Introduction, Application Gear BoxCustomer Reference: SEW
1515
Factory 3
Heavy Series
up to 50 tons
Factory 2
M & ML –series
40.000 sqm Factory 1
1C & CN –series
40.000 sqm
Compact系列M 系列
CN 系列
Q系列行星
扭矩范围 kNm6 40 60 500 1200
SEW 减速电机TIANJIN PLANT
BASIC PRODUCT RANGE
1616
Etola Deliverables: Hydraulic Pipe and Hose assemblies l Etola HFC-Systems
Cooling, Filtration and Lubrication System l Renergy CFL-Systems
Vendor Managed Inventory Service l Etola VMI-Service
1. Introduction, Application Gear BoxCustomer Reference: SEW
2. Etola Engineering l CFL-Systems
Renergy CFL(LAC)-System (Air to Oil)
Production will start Q1FY11 in China
1717
Renergy CFL(PWO)-System (Plate Cooler l Water to Oil)
Production will start Q1FY11 in China
1818
2. Etola Engineering l CFL-Systems
3. Hydraulic Pipe Assembly
Sales l 2011-4-1 l Henri Manner
Pipe Assy Table of Contents
1. General Introduction
2. Raw Materials Quality Control
3. Design & Engineering
4. Pipe Assembly Manufacturing
2020
1. Introduction, Application WT2121
Nacelle l Pitch l Yaw Deliverables:Nacelle l Pitch l Yaw Deliverables:•• Hydraulic pipe assembliesHydraulic pipe assemblies•• Hydraulic hose assembliesHydraulic hose assemblies•• Piston accumulatorsPiston accumulators
1. Introduction, Application WG&IG2222
Internal Piping (to lubricate the mesh and bearings) and external piping (to connect the lub system to gearbox)
For Bearings
Internal Piping System
External Piping System
1. Introduction, Value Proposition
ETOLA VALUE PROPOSITION IN PIPE ASSEMBLIES:
High Quality Product1. Leak-Free Pipe Assembly
2. Very Accurate Bending
3. High Cleanliness Level
Value Added Processes 1. 3D-Customized Engineering
2. QA & QC Product Testing
3. Product Recall & Liability Insurances
4. On-Site Technical Support & After-Sales
Continuous Development & Training for Etola Company and People
= Attractive Price/Value Ratio
2323
2. Raw Material Quality Control
ETOLA test and document all incoming raw materials and components in our own QC-Lab Incoming materials quality control
Destructive & Non-Destructive tests
DNV certificate of ISO 9001:2008
2424
Hydraulic Pipes are tested vigorously throughout the whole supply chain Tests performed by the suppliers (incl. Chemical composition reports)
Third-Party tests in authorized institutions (incl. Chemical composition reports to verify the original material reports)
Final inspection by the ETOLA QA/QC Team(salt test and measure)
2. Raw Material Quality Control2525
Salt Spray Testing for Pipes, Nuts, Cutting Rings and Pipe Fittings Salt spray test according to the ISO 9227-2006
2. Raw Material Quality Control2626
ETOLA high quality steel pipes can meet the standards below:
Stainless Steel ASTM A269-2000
GB 14976-2002
Carbon Steel DIN 2391
2. Result High Quality Materials2727
2. Result High Quality Materials
The Nuts, Cutting Rings, Support Sleeves and Pipe Fittings are imported from Germany and according to the ISO standard, there is a very high anti-corrosion capability due to international advanced techniques of zinc-nickel plating
37°flaring connectors according to the ISO 8434-2
the hour of appearance of red rust, according to the DIN 50021-SS salt spray test > 720 h
2828
3. Design & Engineering2929
PROTOTYPE PROTOTYPE
SERIESSERIES
3 MW WIND 3 MW WIND
TURBINETURBINE
w/ 2 BLADES!w/ 2 BLADES!
3. Design & Engineering
Prototype series ETOLA engineers participate to the prototype phase by making the
prototype piping on-site and then using 3D-measuring and AutoCADto prepare drawings for the serial production (5-Step Process)
3030
3. Design & Engineering
From Customer’s General Drawing Etola engineers can transform General Drawings into 3D Drawings and
produce the required pipe assembly
3131
3. Design & Engineering
We also design pipe assembly based on the customer's real pipe assemblies First we measure the pipes with high-precision 3D measuring machine
From the 3D-report our engineers do a bending feasibility study and after that make autoCAD drawings (radius 2 x OD)
3232
4. Pipe Assembly Manufacturing3333
1)Cutting,Deburring, Precleaning
2) Bending
3) Measuring
4) Flaring
5) Measuring
6) Flushing
7) Measuring
8) WP & BP Tests
9) Marking
4.1 Pipe Cutting, Deburringand Pre-Cleaning
Cutting Pipe with Belt Saw Machine
Deburring Machine
Pre-cleaning by Pneumatic Pellet Gun
3434
4.2 Pipe Bending
We have an advanced high-precision computer-controlled automatic CNC bending machine and a professional pipe assembly team
3535
4.2 Pipe Bending
Etola bending machine is imported from Europe and fully computer controlled thus making our pipe assemblies the most accurate in Northern-China
Bending Range: 6 – 42 mm (carbon steel)
Axis Accuracy: Size Accuracy +/- 0.05mm Angle Accuracy +/-0.05⁰
3636
4.2 Pipe Bending
We can reach the following accuracy levels the ready pipe assemblies:
A length tolerance of ±1mm
An angle tolerance of ±1°
A roundness / Ovalization within 10%
3737
4.3 Bend Pipe 3D-Measuring
High precision bending and measuring with 3D machine to verify the high accuracy
3838
4.3 Bend Pipe 3D-Measuring
Etola controls bending with high-precision 3D testing machine which creates test reports that can’t be modified
You get what you have ordered!
3939
4.4 Roll Flaring
ETOLA uses JIC 37⁰ Roll Flaring connecting technology to
ensure that the flaring joint's surface is of high quality
ETOLA flaring accuracy standard is 74⁰ +/- 0.1⁰
4040
4.4 Roll Flaring Advantage
Roll-Flaring is very accurate technology. In cold forming the joint surfaces always stay in the desired position in relation to the axis of the pipe
4141
4.4 Roll Flaring Advantage
Roll-Flaring flares the possible scratches away from the pipe’s joint surface
Roll-Flaring is key to LEAK-FREE pipe assembly!
4242
4.5 Roll Flaring Measuring
Etola Measures roll flaring angles are in the required tolerances 74⁰ + 1.2⁰
4343
4.6 Pipe Assembly Flushing
Etola provides inherently clean pipe assemblies
We have two flushing media oil and steamed water
4444
4.6 Pipe Assembly Flushing
Flushing Cleanliness A cleanliness level of ISO4406 standard class 17/14/11 (or NAS1638
class 5) or even lower is achieved
4545
System ISO 4406 NAS 1638
Low pressure systems with traditional valves
18/15 - 20/17 9 - 11
High pressure systems with traditional valves
17/14 - 19/16 8 - 10
Proportional valve systems 16/13 - 18/15 7 - 9
Regulating valve systems 15/12 - 17/14 6 - 8
Servo valve systems 14/11 - 16/13 5 - 7
Extremely sensitive heavy duty systems
12/8 - 13/10 3 - 4
46464.6 Cleanliness Class Requirement
Depending Valves in the System
4.7 Cleanliness Measuring
Flushing report generated by Argos-Hytos particle measurement machine
After flushing the pipes are plugged
4747
4.8 Working and Maximum Pressure Testing
ETOLA has in-house testing facilities to make Proof Pressure Tests and Burst Pressure Tests
Two test benches 0-700 bars
0-2100 bars
4848
Performance Tests
Proof pressure test : 2 x WP
4949
4.8 Working and Burst Pressure
Performance Tests
Burst pressure test : 4 x WP
5050
4.8 Working and Burst Pressure
Performance Tests
Maximum torque test
5151
4.8 Working and Burst Pressure
Proof Pressure and Maximum Pressure tests gives an ultimate safety factor for pipes used in high pressures and ensures that bursts in pipe assemblies due to sudden pressure peaks are avoided
5252
4.8 Working and Burst Pressure
4.9 Pipe Marking
Finally, we mark with marking machine and pack in the plastic bag the pipe assembly before delivery to customers
Customers item number can be marked to the pipe
Every producted pipe assembly can be traced back to the production date
5353
4. Hydraulic Hose Assembly
Sales l 2011-4-1 l Henri Manner
Table of Contents
1. Introduction
2. Raw Materials Quality Control
3. Design & Engineering
4. Hose Assembly Manufacturing
5. Performance Tests
1. Introduction
Etola VALUE PROPOSITION IN HOSE ASSEMBLIES:
High Quality1. 3D-Design & Tech Support
2. Manufacture
3. Swaging Quality Control
4. Flushing
5. Working & Maximum Pressure Testing
6. Hose Marking & Packing
Efficient Services1. On Time Delivery (D2D or VMI)
2. After Sales Service
Attractive Price/Quality Ratio
Everything Done In-House!
1/19/2010
5656
2. Raw Materials Quality Control
Etola test and document all incoming raw materials and components in our own QC-Lab Incoming materials quality control
10-Step Procedure
Destructive & Non-Destructive tests
DNV certificate of ISO 9001:2008
1/19/2010
5757
Salt Spray Testing for Hose Fittings and Ferrules Salt spray test according to the ISO 9227-2006
Anti-corrosion requirement per customers needs
2. Raw Material Quality Control
1/19/2010
5858
2. Raw Materials Quality Control
Measure hose reelMeasuring hose-ID, hose-OD and wire-OD with caliper gauge
Hose-ID
Hose-OD
Wire-OD
2. Raw Materials Quality Control
Measure the fittings tolerances Thread and Caliper Gauge as tools
Typical fitting types METRIC, JIC, BSP, SAE and ORFS
3. Design & Engineering
Etola offers a dedicated engineering service, supply customers with product and value-added servicesWe have inhouse design capability, our engineers can design hose
assemblies according to customer’s drawings or specifications
3. Design & Engineering
Whether you need to develop new products, re-design existing applications, or design completely new systems, Etola offers unparalleled engineering expertise
4. Hose Assembly Manufacturing
Etola hose assemblies manufactured by experienced professional operators according to strict production process
4. Hose Assembly Manufacturing
MeasuringMeasuring Cutting Skiving SwagingSwaging MeasuringMeasuring FlushingFlushing Marking Marking
4. Hose Assembly Manufacturing
Etola manufacture hose assembly according to the following process chart strictly
1/19/2010
6565
4. Hose Assembly Manufacturing
MeasuringWe measuring hose length and fittings before swaging
4. Hose Assembly Manufacturing
Cutting hose High technology cutting machine guarantee vertical section with hose
centerline
4. Hose Assembly Manufacturing
Skiving hose No skiving for 1SN, 2SN/ skiving for 4SP, 4SH
4. Hose Assembly Manufacturing
Etola uses the state-of-the-art swaging machine: Finn-power FP120
Crimping range (mm)
Crimping range (inches)
Crimping force (kN)
Crimping force (tonnage)
Crimpings / hour
Max. hose size (inches)
10 — 87 0.39—3.42 2800 280 2400 2.5
4. Hose Assembly Manufacturing
Swaging Hose is attached with fitting and sleeve and taken to the Finn-Power
swaging machine
The biggest size can reach 2 ¼ " and mass production is available
4. Hose Assembly Manufacturing
Etola can make following kind of joint connections: BSP, JIC, ORFS, METRIC, SAE and other customer tailor-made joint
connections
4. Hose Assembly Manufacturing
Hose Assembly Accuracy Control :
Fitting angle orientation tolerance +/- 3°
Length of the hose ≤ 300 mm, tolerance max +4.5mm
Length of the hose ≥ 300 mm, tolerance max +1.5%
4. Hose Assembly Manufacturing
Etola use oil as flushing media, we internally clean every hose assembly we produced The Ultra Clean system reduces downtime, extends pump-valve-filter
life
4. Hose Assembly Manufacturing
Flushing A cleanliness level of ISO4406 standard class 17/14/11(or NAS1638
class 5) or even lower is achieved
System ISO 4406 NAS 1638
Low pressure systems with traditional valves
18/15 - 20/17 9 - 11
High pressure systems with traditional valves
17/14 - 19/16 8 - 10
Proportional valve systems 16/13 - 18/15 7 - 9
Regulating valve systems 15/12 - 17/14 6 - 8
Servo valve systems 14/11 - 16/13 5 - 7
Extremely sensitive heavy duty systems
12/8 - 13/10 3 - 4
4. Hose Assembly Manufacturing
Flushing report generated by Argos-Hytos particle measurement machine
4. Hose Assembly Manufacturing
Finally , Etola hose assemblies are marked by hot marker before delivery to customers Identification of the part number
Identification of manufacturer
Identification of production date
Hose assemblies will be fitted with plastic plugs and packed into plastic bag before delivery
5. Performance Test
Etola has in-house testing facilities undertake Proof Pressure Tests and Burst Pressure Tests
1/19/2010
7777
5. Performance Test
Relying on performance test, Etola hose assemblies are successful in avoiding the following pressure related problems: Hose abnormal burst
Coupling crimp improperly
Hose pinhole leaks
Coupling blow-off
5. Performance Test
Etola hose assemblies work perfectly in high pressuresWe can reach up to 2100 bars in our pressure testing bench
5. Performance Test
Proof Pressure and Maximum Pressure tests give an ultimate safety factor for hose assemblies used in high pressures and ensures that bursts in hose assemblies due to sudden pressure peaks are avoided
1/19/2010
8080
5. Performance Test
Proof pressure test : 1.5x WP
1/19/2010
8181
5. Performance Test
Burst pressure test : 4x WP
1/19/2010
8282
8383
4. VMI-SERVICECONCEPT;CASE SEW
Sales l 2011-4-1 l Henri Manner
OUTLINE
1. VMI Concept1. VMI Concept
2. How Does ETOLA Operate VMI? 2. How Does ETOLA Operate VMI?
3. ETOLA VMI Benefits to Customer3. ETOLA VMI Benefits to Customer
4. Statistics and Feedback From Customer4. Statistics and Feedback From Customer
5. Challenges and Continuous Improvement5. Challenges and Continuous Improvement
6. Wrap Up and Q&A Session
8484
1. Etola VMI Concept
What is Etola VMI? Vendor Managed Inventory is a out-sourced service which performs customer’s daily working routines to supply the industrial parts (commonly categorized as C-Parts) to satisfy the production line needs.
8585
2. Business Case l SEW IG8686
Factory 3
Heavy Series
up to 50 tons
Factory 2
M & ML –series
40.000 sqm Factory 1
1C & CN –series
40.000 sqm
Compact系列M 系列
CN 系列
Q系列行星
扭矩范围 kNm6 40 60 500 1200
SEW 减速电机TIANJIN PLANT
BASIC PRODUCT RANGE
1. How Does Etola Operate VMI? l Planning Period SEW Tianjin Plants
SEW-IP VMI Implementation Record
No. Start Date End date Steps Responsible Person/Participant
1 2009-12-01 2009-12-07 VMI parts list clarification & confirmation, including intake quantity for last 12 months Customer Mgr.
2 2009-12-07 2009-12-27 VMI implementation proposal given to customer Customer Mgr.
3 2009-12-07 2009-12-07 Visit & check customer's layout for VMI parts in workshop Customer Mgr.
4 2009-12-27 2010-01-29 Prepare bins and other necessary tools for VMI project e.g. Label & Bin Local buyer
5 2010-01-04 2010-01-04 Kick off meeting held by Customer's GM
Customer Mgr./Warehouse Sup./VP/GM-Etola VP-
Production, Purchasing Mgr./Assy. Manager/Warehouse
Mgr.-Customer
6 2010-01-14 2010-01-29 To discuss stocktaking and make schedule Warehouse Sup.
7 2010-02-04 2010-02-04 To discuss the concerns with customer when taking stocktaking Warehouse Sup./Customer Mgr./VP
8 2010-02-07 2010-02-22 Stocktaking in Customer side Customer Mgr./Warehouse operators
9 2010-02-25 2010-02-25 Second meeting to review the first stage work by management members from both parties
Customer Mgr./Warehouse Sup./VP-Etola
VP-Production, Purchasing Mgr./Assy.
Manager/Warehouse Mgr.- Customer
10 2010-02-26 2010-03-01 Stock transfer from customer to Etola Truck driver
11 2010-03-01 2010-04-09 Start to feed the bins by Etola VMI Specialist, but information transfers via paper and manually VMI Specialist/Customer Service Specialist
12 2010-04-09 2010-04-16 Testing of information collecting via wireless terminal and e-mail the replenished parts list to EtolaIT Engineer./VMI Specialist/Customer Service
Specialist/Customer Mgr./VP
13 2010-04-16 Now Daily routine run VMI Specialist/Customer Service Specialist/Customer
Mgr.
8787
2. How Does ETOLA Operate VMI? l Business Case SEW China
ETOLA assigns 2 operators in SEW-IP production floor, totally 3 facilities, F1
plant, F2 plant, F3 plant.
8:30 – 10:00 am: ETOLA operators check the allocated responsible areas to replenish the short quantities
10:00 am: Receive the shipment coming from Etola and check at customer’s warehouse
10:00am – 12:00am: Items replenishment, feeding bins
15:00pm: Start to check the short items and transfer the shortage list to Etola internal staff.
16:00pm – 17:00pm
Replenish the items to the bins and balance the short parts from different location
* Operational manual
8888
8989
2. How Does ETOLA Operate VMI?
3. ETOLA VMI DELIVARABLES to CUSTOMER
1. Consistent QUALITY
2. EASY for CUSTOMER
+Removes Unnecessary
Work Processes
3. Costs SAVINGS!!!
9090
3.1 ETOLA VMI Competitive Advantage; Quality Nbr.1 !
Quality Management System ISO9001:2008
Destructive & Non-Destructive Tests for all incoming C-parts. ETOLA conducts strict QC-procedures to guarantee your C-parts are qualified!
C-Parts Testing Equipment
Salt Spray Corrosion Tests
Coating Tests
Hardness Tests
Tensile Tests
Thread Tests
9191
1. Visual Inspection Rust or corrosion
incorrect plating
Wrong parts or mixed parts etc
2. Dimension Measurement Based on DIN + ISO standards and
customers special application requirements
3. Testing l Destructive Tests Tensile and Hardness tests
Salt Spray Corrosion Tests
coating and plating thickness measurement
4. AQL (Accepted Quality Level) and
Visual inspection criteria Based on ISO 3269 and customer’s needs
3.1 Fasteners Quality Control
3.1 Fasteners Quality Control
DIN
STANDARD
ETOLA
REPORT
Simplifying Customer’s Upstream
Supply Chain Processes
9494
3.2 ETOLA VMI = EASY FOR CUSTOMER!
Minimizing Customer’s Purchasing, Warehouse and Assembly Operations Lead Times SEW purchasing department can save time from releasing purchase
order (also SEW doesn’t have to do internal time-taking processes before PO), getting order confirmation & clarification from Etola, which saves averagely 1 week to go through above process. Also, minimizing the paperwork!
No need to search parts from warehouse, just pick up directly from KANBAN bins, e.g. some items cannot be easily found by assembly operator, ETOLA VMI operators are able to provide them and send to the position immediately.
ETOLA has a good product knowledge so the sales technical support is able to give a very good help to customer’s relevant departments (e.g. purchasing, warehouse and production)
Maximize production efficiency by cutting unnecessary work
We are now handling total 443 items for SEW VMI. 9595
3.2 ETOLA VMI = EASY FOR CUSTOMER!
98%99%
97% 98% 98%
100% 100% 100% 100% 100% 100% 100% 100%
50%
60%
70%
80%
90%
100%
110%
MAR APR MAY JUN JUL AUG SEP OCT
OTD - Normal parts OTD - VMI parts
On Time Delivery Rate – Normal Parts VS. VMI Parts
* Above OTD rate for normal parts are calculated by Customer every month
9696
3.3 ETOLA VMI Benefits to Customer
2,373 169,418.86
-
20,000
40,000
60,000
80,000
100,000
120,000
-
500
1,000
1,500
2,000
2,500
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT
Normal order items VMI order items Normal order Qty. VMI order Qty.
3.3 ETOLA VMI Benefits to Customer
Save Warehouse Space
=Etola assigns 500 ㎡ to stock VMI items and a professional team to manage these parts.
Our customer save 500 ㎡ space and all the cost
incurred !
OUR INPUT = YOUR
SAVING
ETOLA CUSTOMER
9898
3.3 ETOLA VMI Benefits to Customer
Shift the risk of inventory from customer to ETOLA
Our customer will enjoy significant reduction in cash spent on safety stock, managing stock, and also warehouse area allocation
Also, indirect purchasing costs are reduced significantly. This is what in Finland and Sweden we call efficient logistics management – nowadays coming more important in China as salary levels rise especially in the supervisor and mgmt level!
9999
3.3 ETOLA VMI Benefits to Customer
Cost saved in 7 Months(Mar.01’2010-Sep.30’2010)
1.Labor Cost RMB89,600
2.Transportation Cost RMB20,2803.Warehousing Cost RMB105,0004.Stock value reduced RMB2,800,000
* Cost Calculation sheet
Dramatic Cost Savings
Total Tangible Cost Saved for Customer: RMB 3,084,100
100100
3.3 ETOLA VMI Benefits to Customer
100% 100% 100% 100% 100%
70%
30%
50%
20%30%
Labor cost Transportation cost
Mgmt cost Inspection Warehousing cost
Non-VMI After VMI
What We Saved for Our Customer
101101
3.3 ETOLA VMI Benefits to Customer
4. Happy People at Work
Save a lot of time to from the customer production line l assembly managers to focus on their core work; managing ops
Creates happiness w/in customers WH-operators reduces employee turnover and thus stabilizing work processes
0%
20%
40%
60%
80%
100%
120%
Sharp contrast
Non-VMI
After VMI
102102
4. Happy People = Efficiency
In one of our customer’s factory - F2, after VMI Service, to assembly one ML90 type gear box can save almost 30% ~ 50% time.
In other words, almost 100% efficiency increase!
Before VMI - 1pc After VMI - 2pcs
103103
5. Challenges and Improvements
Challenge Not enough information about customer’s production plan, which will
lead to urgent requirement especially after 17:00pm for 2nd shift.
Improvement solution Hope to share more information w/in customer and ETOLA, such as
production plan and accurate forecasts
Provide an isolated area (50m2 is enough), ETOLA will store some parts according to usage frequency
104104
6. Benefits Wrap Up
What benefits can you get from Etola VMI ?1. Very easy for customer because Etola will fill the bins and no POs issuing2. Cuts drastically indirect costs in purchasing and work load and thus
overall costs3. Lower handling costs at every stage to enhance competitiveness4. Minimizes customer’s inventory value and need for the warehouse space5. Etola will together with customer optimize the capital spending to the
inventory6. Technical and logistic support from Etola sales team7. Etola will together with customer optimize the upstream supply chain8. Stabilize customer’s manufacturing through well-organized parts
replenishments9. Etola a partner devoted to continuous improvement together with
customer10. Etola a Trustworthy and Solid Partner geared towards long-term
partnerships!
105105
XIE XIE! THX! KIITOS!
Sales l 2011-4-1 l Henri Manner
Top Related