My college practicum study for the degree in Industrial Engineering (IE). It focused on Production/Operations Management issues, as well as other factors, in the manufacturing industry.
UGC NET Paper 1 Mathematical Reasoning & Aptitude.pdf
Operations Planning and Control (OPC) Practicum Thesis
1. CHAPTER I
THE PROBLEM AND ITS BACKGROUND
1.1 INTRODUCTION
Unilever is a multi-national consumer goods firm which is formed and
owned by British and Dutch business partners. The corporation is primarily based
in Rotterdam, Netherlands and London, United Kingdom since it is a dual-listed
company.
Its products include foods, beverages, cleaning agents, and personal care
merchandises. It owns over 400 brands of goods, amongst the largest selling of
which are Aviance, Axe/Lynx, Ben&Jerry's, Creamsilk, Dove, Flora/Becel,
Heartbrand, Hellmann's, Knorr, Lipton, Lux/Radox, Omo/Surf, Pond’s,
Rexona/Sure, Sunsilk, Toni&Guy, TRESemmé, Vaseline, VO5, and Wish-Bone.
These products emanate from different formulation, variant, and appearance.
Consistent with its developing networks, Unilever established their
companies in most continents all over the world. Philippines is one of the many
countries where Unilever has found opulent opportunity for huge investments and
employment.
Unilever serves as a manufacturer/supplier of home care and personal
care brands together with food classified products in the Philippines. Its
operations are subdivided into four companies: (1) Unilever Philippines, Inc. –
Home & Personal Care and Unilever Food Solutions division located at United
Nations Avenue, Paco, Manila; (2) Unilever RFM Ice Cream, also known as
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2. Selecta Factory, located at Manggahan Light Industrial Park, Manggahan, Pasig
City; (3) Unilever Foods – Dressing Factory division located at Gateway Business
Park, General Trias, Cavite.
Unilever Philippines, Inc. has a total land area of 10,500 square meters
which is mainly located in Paco, Manila. It employs over 2,000 employees
nationally. It has been a leader in introducing new technologies in the country
ever since its existence.
Unilever branch in Manila manages products which fall into three main
categories: Home Care, Personal Care (PC), and Food Solutions. Home Care
offers cleaning products used at households such as non-soap detergent (bar
and powder) and dishwashing liquid. Personal Care comes with products used
for hygienic purposes such as soap, shampoo and conditioner, facial cleanser,
toothpaste, body lotion, and deodorant. Under PC, there is a separate plant for
manufacturing of roll-on deodorants named as “Deos City”. Food Solutions caters
nutritious beverages and flavor enhancers such as iced tea, seasoning, and
mayonnaise.
Unilever branch in Cavite manages brands in two main groups: savoury,
dressings & spreads, and ice cream & beverages. Savoury, dressings and
spreads include variety of soups, sauces, snacks, mayonnaise, salad dressings,
olive oil, margarines, spreads, and cooking products, such as liquid margarines,
and some frozen foods. Ice cream and beverages include sales of ice cream,
tea, weight management products, and nutritionally enhanced staples.
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3. 1.2 BACKGROUND OF THE STUDY
Unilever Philippines, Inc. manufactures home and personal care products
ranging from soap (Lux and Vaseline), shampoo and conditioner (Vaseline,
Sunsilk, and Creamsilk), facial cleanser (Pond’s), toothpaste (Close-Up), body
lotion (Vaseline), and deodorant (Axe and Rexona).
The demand for the company’s services to produce different variants of
roll-on deodorants is relatively high. The company cannot meet the job orders
because resources are being planned and managed inefficiently. Therefore,
actual demand does not meet the target output. The concentration of the study is
on the production of roll-on deodorants – Rexona Men Sport Defence RO (Roll-
on) 50mL. Male variants and export-made deodorants are produced in Line 2 of
Deos City Production Area. It is an export product of the company which
experience unavailability in raw materials (e.g. bottle and label), machine
downtime issues, delay in delivery, and production stoppages.
Rexona Men Sport Defence RO 50mL undergo the following processes:
preparation of raw materials (unscrambler machine), filling, capping, code dating,
labelling, forming corrugated boxes (mechanical case packer/case erector), post
packing, and quality inspection. Raw materials used are bottle, cap, ball, violator
sticker, label, and chemical mixture. First, bags of empty bottles are being
dumped into the unscrambler machine. Next, bottles are organized by the bottle
hopper and elevator in a single file motion. These bottles are being poured with
liquid mixture through the filling machine. Balls (also called “roll-ons”) are injected
to the bottle to make it settled. Then, caps are tightened up to the bottle using the
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4. capping machine. Code dates (manufacturing and expiration date) are imprinted
at the top of the cap. At that time, label and violator sticker are attached
correspondingly at the front and back surfaces of the bottle. Vision camera
detects reject deodorants due to label misalignment, cap issues, and code date
deficiencies. These are also subject to rework by quality assurance. Lastly, these
good units are subject to final quality inspection.
The company encounters 13.20% productivity loss in manufacturing
Rexona Men Sport Defence RO 50mL from the months of July to December
2012. It is primarily caused by the following reasons: First, Shortage of Raw
Materials – Bottles, Caps, and Labels (4.38%), for the reason that the stocks of
raw materials being supplied to them every month was delayed. The supply
needed for mass production was not utilized properly. Moreover, based on
forecast they will only order raw materials every two weeks; Second, Worn-out
Parts of Capping Machine (3.84%), due to exceeded lifespan of the certain parts.
Design capacity of the machine is not met. Furthermore, it encounters
breakdown occasionally that leads to more downtime and low machine utilization;
Third, Inaccurate Visual Detection of Vision Camera Sensor (3.36%), since the
sensor experiences errors due to poor maintenance practice resulting to low
quality machine. Thus, the company must schedule maintenance consistently;
Lastly, Operators not following Work Instruction (1.62%), because they
erroneously fix the settings of each machine. They commit mistakes due to
incorrect reading of information or mistype of certain numerical values.
Therefore, the whole production will be delayed due to minor stoppages.
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5. 1.3 STATEMENT OF THE PROBLEM
Unilever Philippines, Inc. is experiencing 13.20% productivity loss in
manufacturing Rexona Men Sport Defence RO 50mL amounting to Php
3,066,373.52 from the months of July to December 2012
1.4 OBJECTIVES OF THE STUDY
General Objective:
To minimize productivity loss by 87.72% in manufacturing Rexona Men
Sport Defence RO 50mL
Specific Objectives:
1. To develop proper inventory control of roll-on deodorant raw materials
2. To improve production capability of the capping machine
3. To improve performance of the vision camera
4. To ensure discipline of the operators
1.5 SCOPE AND LIMITATIONS
The study focuses on the production line of Rexona Men Sport Defence
RO 50mL and all the other factors that contribute to the loss. It includes findings
and results based on actual observation of the whole operations, from
preparation of raw materials up to the delivery of finished goods. The study is
limited to problems related to operations planning which contribute to the 13.20%
productivity loss. The analysis of data was based on the production summary last
July to December 2012.
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6. 1.6 METHODOLOGY
The following methods were used in gathering information to examine the
problem which the company encounters:
1. Interviews
With the assistance of production managers & supervisors, especially the
manufacturing crew, the researcher has been provided data (company profile,
machine specifications and breakdown reports, summary reports regarding the
inventory of raw materials and delivery of finished goods, flow process chart, and
others) to clearly understand the problem situation.
The following people have been consulted about the study:
1. Mr. Dodong Pagarigan – Assistant Production Engineer, Deos City
2. Ms. Trina Evangelista –TPM Secretariat, Deos City
3. Ms. Rica Torres – Document Controller/Production Admin
4. Mr. Marvin Gutierrez – SAP Analyst
5. Mr. Dexter Pineda – Maintenance Planner
6. Mr. Philip Nadela – Maintenance Engineer
7. Mr. Basil Rosacay – Warehouse Staff
8. Mr. Kenn Ante – OJT, Deos City
*Source: Deos City, Unilever Philippines Incorporated, Paco, Manila
2. Data Analysis
One way to examine data is by using engineering tools, mathematical
models, and templates to improve the content of the study. Here are the lists of
methods used:
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7. Quality Tools
Include flow chart, fishbone diagram, and control chart that supports
and analyzes the data. These are also helpful in presenting solutions to the
existing problem.
Planning Templates
These templates are used by the company which include Gantt chart,
monitoring sheets, and scheduling software. It has been utilized by the
researcher throughout the training hours.
Mathematical Models
Comprise of productivity formula, reorder point equation, simulation
method, and bar graphs which present the results of actual observation in the
production of Rexona Men Sport Defence.
3. Internet and Literature Research
A research was utilized to provide essential information to clearly
understand the condition of the company. Internet researches are useful for the
terminologies of unfamiliar words, reading books regarding operations
management topics help to understand the situation and learn the different
techniques in solving problems.
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8. 1.7 SIGNIFICANCE OF THE STUDY
To the Company
This study will help improve the manufacturing system of Rexona Men
Sport Defence. Hence, they can meet the production quota on the designated
time as well as abide to the standard of the operations.
To the Workers
This study will help the workers to make their easier and be more efficient
during working hours. They can readily assess the present problems in their work
area by recommending appropriate solutions.
To the Students
This study will serve as a background and backdrop to students
concentrating in the field of Operations Management which can be used for
future reference and studies. They may also suggest new concepts by proposing
other solutions to the existing problem.
To the Readers
This study will help the readers to gain knowledge on the field of
Production and Operations Management. They will gain information on how to
resolve problems that give rise to productivity loss.
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9. To the Researchers
This study will provide a venture for the students to apply what they have
learned in Industrial Engineering like Operations Management, Methods Study
(MTS), Human Factors Engineering (Ergonomics), Quality Control and
Assurance, and Operations Planning. The actual observation is an introduction
and experience for real life industry practice.
1.8 DEFINITION OF TERMS
Actual Output is the amount of a product that a production facility actually yields,
as opposed to the amount that it could produce if it were to run at full
theoretical capacity.
Buffer also called as Safety Stock. A supply of inputs held as a reserve to
safeguard against unforeseen shortages or demands.
Capacity is the total productive capability of a system during a unit of time.
Capping is a process which inserts ball onto the bottle and covers it with cap. It is
done after the filling process.
Case Packing is the process of automatically forming, erecting, and sealing the
corrugated box using the MCP machine.
Code Dating is the practice of placing a code indicating the date and site of
packaging on certain products.
Delay is the interval of time between two events; postponement.
Deodorant is the substance applied to the body to prevent body odor caused by
bacterial growth and the smell associated with bacterial breakdown of
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10. perspiration in armpits, feet, and other areas of the body. This substance
is often combined with an antiperspirant, for inhibiting or masking
perspiration or other bodily odors.
Deos City is a separate division under Personal Care Department. It has been
entitled as such since the production of roll-on deodorants is isolated from
the main plant.
Design Capacity is the total achievable capacity under perfect conditions;
operating at design capacity essentially means operating at the
organization’s productive limits and can cause rapid wear and
breakdowns.
Dispatch means to relegate or send off to a specific destination.
Downtime is the period of time when a machine/equipment is not operating,
especially as a result of malfunction or breakdown.
Efficiency is the comparison of what is actually produced or performed with what
can be achieved with the same consumption of resources; “Doing the things
right.”
Filling is a process wherein chemical mixture of deodorant is being poured into
containers.
Inventory refers to a company's merchandise, raw materials, and finished and
unfinished products which have not yet been sold.
Labelling is the process of displaying information about a product on its container,
packaging, or the product itself.
Lead Time is the amount of time that elapses between when a process starts and
when it is completed.
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11. MCP refers to Mechanical Case Packer. It is a machine that forms corrugated
boxes.
MSO refers to Manufacturing Statement of Origin. It is a specified document
certifying the country of origin of the merchandise required by certain
foreign countries for tariff purposes.
Paraben is a class of chemicals widely used as preservatives by cosmetic and
pharmaceutical industries.
Planned Output is also called forecast demand; estimate of expected demand
over a specified future period.
Post-packing is often called as final packaging; the process of arranging and
lifting the series of bottles and placing into the erected cases by using
robotic mechanism.
Productivity Loss is defined as the reduction in production/efficiency caused by
unanticipated conditions; these may include scheduled overtime, material
delivery problems, and adverse weather. It is the difference between the
actual productivity observed and the productivity that might reasonably
have been expected if not for the unanticipated condition.
PC is an extension of the term – Personal Care.
Reorder Level (or reorder point) is the inventory level at which a company would
place a new order or start a new manufacturing run.
Rexona Men Sport Defence is a variant of a famous deodorant brand, Rexona,
manufactured by Unilever Philippines. It is primarily exported to Asia
Middle East countries.
RO is a type of deodorant which is also recognized as “roll-on”.
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12. Scheduling means determining when an activity should start or end, depending on
its duration, predecessor activity and relationship, resource availability,
and target project completion date.
Task Error includes doing work incorrectly, work not requested, work in the wrong
order, or working too slowly.
TPM refers to Total Productive Maintenance. It is a philosophy used to improve
machine availability through better utilization of maintenance and
production resources
Traceability is the ability to track the components used in production through their
inclusion in a finished product and from there to specific customers.
Triclosan is a white powdered solid, organic compound with a slight
aromatic/phenolic odor. It has been shown to be effective in reducing and
controlling bacterial contamination on hands and on treated products.
Variant means variation or type of product based on target, fragrance, scent,
flavor, or others.
Violator Sticker refers to tag/label which indicates instruction on how to use the
product; it designates a custodial mark of the company’s brand.
Vision Camera is a device which collects data and forms an image that is
interpreted by a computer to determine an apt position of an object.
Worn-out denotes thoroughly exhausted or spent spare parts; used until no longer
usable or effective.
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13. CHAPTER II
REVIEW OF RELATED LITERATURE
Productivity in Manufacturing Industry
In today’s industrial era, manufacturing companies have sprouted and
spawn everywhere. Due to bigger demands of products and services,
businessmen are more eager to enhance their markets and competitiveness. The
concept of production system has been widely used in all countries. The most
popular concept is the bulk system or “mass production”.
Mass production is the manufacture of products in large amounts through
the effective combination of three factors: specialized labor, mechanization, and
standardization. The result of mass production is the availability of large quantities
of products produced efficiently and sold at substantially lower prices than if such
products were individually crafted or made. (Pierce College, 2010)
Manufacturing firms consider productivity as a major factor in building a
stronger corporation. Thus, a productive manufacturing company delivers excellent
business output.
As defined by Panneerselvam (2005), “Productivity is a relationship
between the output (product/services) and the input (resources consumed in
providing them) of a business system.” Furthermore, for the survival of any
organization, productivity ratio must be at least 1. If it is more than 1, the
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14. organization is in a comfortable position. Several ways for improving productivity
are the following:
1. Increased output for the same input
2. Decreased input for the same output
3. Proportionate increase in the output is more than the proportionate
increase in the input
4. Proportionate decrease in the input is more than the proportionate
decrease in the output
5. Simultaneous increase in the output with decrease in the input
Dealing with Unhygienic Practices
As mentioned by Chesterton (n.d.), “Man does not live by soap alone; and
hygiene, or even health, is not much good unless you can take a healthy view of it
or, better still, feel a healthy indifference to it.” This means that being healthy is to
take care of one’s body. Every individual has its own concept of personal hygiene.
Ultimately, people can prevent unpleasant scent or wetness by understanding its
rational and scientific implications.
Oftentimes, kids are not concerned with hygiene and cleanliness until the
onset of puberty. Nasty smell and sweaty appearance are prevalent during this
stage especially after a long day of playing outdoors. As indicated by Iannelli
(2004), “Since body odor is linked to puberty, the first step is determining if they
have started puberty. Keep in mind that girls typically start puberty between the
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15. ages of 8 to13 years old, while boys start between 9 to 14 years old. Whether or
not they are entering puberty, when they have a 'very strong body odor,' then you
want to help them control it. In addition to considering the use of deodorant, you
might practice these general personal hygiene basics,” including:
1. Take a daily bath or shower to prevent bacteria on skin.
2. Take another bath or shower after outdoor activities/sports especially
when they sweat a lot.
3. Wash with soap and a washcloth all over, including armpits, genitals, and
feet, during shower.
4. Wear clean underwear, socks, and clothes every day.
5. Wear loose fitting cotton clothing to impede perspiration.
6. Watch your diet. Eating foods with garlic, onions, or spices, is causing, or
at least contributing, to unpleasant body odor (BO).
As Schueller (n.d.) emphasized, “Body odor is primarily generated in the
area under the arms where there is a high concentration of sweat glands. While
sweat from these zones is initially odorless, it contains natural oils, called lipids,
which provide growth medium for bacteria living on the skin. These bacteria
interact with the lipids, converting them into compounds that have a characteristic
sweaty odor.”
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16. The Epitome of Antiperspirants
Fad for personal care necessities became a breakthrough realization since
beauty cosmetics has been introduced to the market. Most people believe that
every beauty product must contain active ingredients or hygienic agents. For
instance, an attractive-looking lady or a handsome guy should not only look
pleasing but must also smell good.
Beauty products have evolved throughout the ages. As stated by Schueller
(n.d.), products to control body odor and wetness have been used for centuries.
Before bathing became routinary, people used heavy colognes to mask body odor.
In the late nineteenth century, chemists developed products that were able
to prevent the formation of these odors. Early antiperspirants were like
paste/cream and were applied with the fingertips to the underarm area.
In 1888, the first such product to be trademarked in the United States was
Mum. It was a waxy cream that was difficult to apply and extremely messy. A few
years later, Everdry, the first antiperspirant to use aluminum chloride was
developed.
In the late 1950s, manufacturers began using aerosol technology to
dispense personal care products such as perfumes and shaving creams. In the
early 1960s, Gillette introduced Right Guard, the first aerosol antiperspirant.
Aerosols became a popular way to dispense antiperspirants because they allowed
the user to apply without having to touch the underarm area. By 1967, half of the
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17. antiperspirants sold in the United States were in aerosol form, and by the early
1970s, they accounted for 82% of all sales.
As further elaborated by Laden (1999), antiperspirants can be defined as:
“The aluminum salt‐based antiperspirant combats the flow of perspiration and the
breakdown of sweat (bacteria). The bactericide‐based (ethanol, triclosan, etc.)
deodorant combats offensive odors. Parabens are generally not present in
deodorants/antiperspirants, which may be explained by the fact that, as
bactericides, deodorants/antiperspirants are self‐preservative and therefore do not
need the addition of preservatives such as parabens.”
Nowadays, the production of antiperspirants/deodorants increases
enormously. Loads of products are distributed all over the world. Higher revenues
are generated regardless of growing expenses. The interest of public towards its
progress had built a robust organization and strategic management for a better
manufacturing business.
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18. Manufacturing Processes and Technology
The success of antiperspirants is quite diminutive. Operational and quality
problems arise due to studies made by private sectors and complaints deferred by
customers. Therefore, companies hire managers, engineers, analysts, inspectors,
and operators to provide a standard methodology and quality product.
Ensuring a strong manufacturing foundation should start from superior
quality resources, productive manpower, highly efficient machineries, flexible
computer systems and innovative team.
As discussed by an expert, the following raw materials and manufacturing
processes shall be employed, “Antiperspirants consist of the active drug
ingredients that control perspiration; gelling agents that form the stick matrix; and
other ingredients, such as fragrance or colorants that make the product
aesthetically pleasing…Manufacturing process includes batching, filling, finishing
operations, and quality control.” (Schueller, n.d.)
Innovation does not only apply to its operations but also to product’s
marketing and development. For instance, in keeping with Unilever’s (n.d.)
business principles, “The overall goal of developing the new range for women was
to redefine the experience of a deodorant aerosol and reinvent its performance, in
products that have a truly feminine identity. In addition, the new mix has had a
positive impact on Unilever’s manufacturing process where we now score better on
waste reduction and safety.”
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19. Antiperspirants vs. Deodorants
Antiperspirant? Deodorant? Is there a difference? Yes, there is. According
to St. Pierre (2012), “These two types work in vastly different ways and while the
results may look the same, it does not necessarily mean that your body is doing
the same thing when you are using one or the other.”
ANTIPERSPIRANT is a product specifically designed to stop the user from
sweating. This goes into the core of preventing body odor; sweating feeds the
bacteria in our skin which in turn produces body odor as it feasts on the
substances in one's sweat. To stop the body odor, antiperspirant products stop the
sweat altogether by blocking the sweat pores. It accomplishes this using a variety
of chemicals like aluminum. Most of the products on supermarket shelves today
are of the antiperspirant variety.
The term DEODORANT is a derivation of the root word “de-odor” which
implies the action of taking the odor away or preventing it altogether. The best
deodorant does not necessarily prevent the sweating process; rather, the
substances in the deodorant prevent the production of body odor by killing off
bacteria. A person using a deodorant will continue to sweat but not have the odor
that typically accompanies sweating.
Experts recommend getting a combination of antiperspirants and
deodorants with both effects finely balanced to achieve the desired effect.
Inhibiting sweat is good if done to a certain extent and not more; balancing that
with deodorant use helps keep body odor at bay. It is therefore important to choose
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20. the best antiperspirant and best deodorant in combination and not just one over
the other. (St. Pierre, 2012)
On the word of Holetzky (n.d.), consumer advocacy groups continue to
voice concerns over questions regarding common health and beauty products,
including deodorant and antiperspirant. Certain studies indicate potential health
risks associated with aluminum compounds found in many antiperspirants. Similar
studies find like risks with parabens found in some deodorants. Both have been
tenuously linked to serious illnesses, including breast cancer. Manufacturers and
various health agencies claim such studies are flawed, stating concerns are
unfounded. Despite assurances, many healthcare professionals recommend
deodorant over antiperspirant, believing that obstructing pores and preventing
perspiration may not be the healthiest choice. Consumers are left to make their
own judgements.
Whether a person choose to use antiperspirant, deodorant, or combination,
it is important to know his needs. Preference must be based on medical condition
and lifestyle. In the end, what really matters is the convenience and comfort of the
user.
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21. Effects on Human Health
Studies on antiperspirant/deodorant side effects have been conducted and
analyzed by experts in the field of dermatology, cosmetology, and toxicology.
According to Darbre (2005), he postulates the involvement of aluminum, a
component in hygiene products and a metal salt known for its toxicity to cell DNA.
Aluminum is apparently capable of acting via an oestrogenic effect. Such
hypotheses may be interesting, but none of these studies provides scientific
evidence to verify them. Starting from unverified hypotheses and extrapolating
from these to obtain a final conclusion by qualifying one’s own observations is far
from a strict scientific procedure. And without scientific evidence, no conclusion
can be anything but wrong. With regards to the oestrogenic effect proposed by
him, this is weak for parabens and non‐existent in the case of aluminum salts. It is
important to remember that there are a number of sources of aluminum in our
environment (diet, etc.) other than deodorants/antiperspirants.
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22. The Diversity of a “Lifesaving” Invention
In our time, deodorants come with value-added features or extra-strength
formulas. These can be easily available in a convenience store or in a grocery.
The aesthetic design and variant of deodorants become a competitive trend
for personal care companies. For instance, one brand has a hundred different
variants used as import and export commodity. Thus, a firm must embrace
innovation and practice change as part of its communal drive towards
development.
Deodorant comes in different brands, variants, volume, and shape.
According to Paddock (2012), “The most common types of deodorant come in solid
stick, gel, roll-on, liquid, cream, powder, and spray formulas. Natural deodorant is
another option that may come in all those different styles or in a stone or mineral
form which is rubbed on the underarms.”
She (Paddock) further elaborates the variety of deodorants. Stick deodorant
is generally solid white or clear deodorant that is rubbed on the armpits. Powder
deodorant is sprinkled or patted on, and is often made of the same types of
ingredients as stick deodorant but without the silicone or fatty substances that bind
them together. Gel deodorant is applied in a similar way as the stick varieties but
comes in a thick gel that is pushed up through holes or slits in the cap. Cream
deodorant is usually applied with the fingertips. Roll-on deodorant has a ball on the
top of the bottle that rolls and applies the product to the skin in a thin layer. Types
of deodorant that are sprayed on generally come in aerosol cans.
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23. Deodorant, of any kind, as long as it is quality tested can make an
individual’s life worthy of the satisfaction he deserves.
Picking the Best Underarm Necessity for You
According to O’Rourke (2010), here are the tips to consider when choosing
a deodorant:
1. Stay away from Triclosan. Many deodorants use an added chemical
called “Triclosan” to kill odor-causing bacteria. The wide use of it may
also be promoting a drug resistance in the same bacteria. Drug resistant
bacteria reduce the effectiveness of antibiotics. Furthermore, it weakens
the immune system of humans to treat infections.
2. Avoid Aluminum. Aluminum compounds in deodorant are the culprits in
yellow armpit stains. Aluminum salts, such as aluminum chlorohydrate,
were some of the first antiperspirants developed to reduce perspiration.
Newer and more effective aluminum zirconium chlorohydrate-glycine
complexes have been developed and are used in several brands of solid
and gel antiperspirants. These ingredients have the added benefit of
having antimicrobial activity, which mean they also act as deodorants.
There is inconclusive evidence that aluminum-containing compounds
increase the risk of certain neurological diseases (e.g., Alzheimer’s
disease).
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24. 3. Stop using (Aerosol) Spray. If you are concerned about the environment
avoid aerosol antiperspirants. Some propellants used in this product can
be toxic. Others, such as tetrafluoroethane, are not toxic but are global
warming agents.
He (O’Rourke) also emphasizes that there are good alternatives which can
avoid the negative effects of those substances to humans and environment:
1. Deodorant crystals which are made from alum-based mineral salts.
2. An age-old alternative to Triclosan is “Tea Tree Oil” which is often listed
as TTO on the label.
3. Zinc ricinoleate reduces odors by binding to stinky chemicals, making
them imperceptible to most noses. If you use a zinc ricinoleate-based
deodorant, choose a fragrance-free formulation because it can interfere
with zinc ricinoleate’s odor fighting capacity.
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25. CHAPTER III
PRESENTATION OF GATHERED DATA
3.1 SUMMARY OF LOSS IN ROLL-ON DEODORANTS (All Variants)
Product Name/Variant Net. Vol. MSO Country Unit Price Output Loss (% )
AXE
AXE Anarchy 40 mL US 104.92 2.44
.
AXE Apollo 40 mL US 104.92 1.31
AXE Phoenix 40 mL US/CAN 104.92 1.01
AXE Dark Temp 50 mL ASIA/EU PH 63.42 0.97
AXE Vice 50 mL ASIA PH/SG/TW 54.17 3.10
DOVE
DOVE Original 50 mL ASIA/AMET/ANZ PH/SG 126.79 1.32
DOVE Unscented 50 mL ASIA PH/SG/VT 50.33 4.99
DOVE GoFresh 50 mL ASIA MY/SG/VT 50.33 0.87
DOVE Green Tea & Cucumber 50 mL ASIA PH/VT 50.33 1.16
DOVE Pink 50 mL ASIA/EU MY/SG/VT 58.49 1.55
DOVE Pure 50 mL ASIA/EU MY/SG/VT 58.49 2.72
DOVE Clean Comfort 50 mL ANZ/EU/LATAM 153.08 4.07
DOVE Whitening 25 mL ASIA/AMET PH/VT 47.13 2.66
DOVE MEN Extra Fresh 50 mL AMET/LATAM PH/SG 153.08 7.21
REXONA
REXONA MEN Active 50 mL ASIA/ANZ PH/TW 47.00 0.25
REXONA MEN Adventure 50 mL ASIA PH 44.19 2.38
REXONA MEN Extreme 50 mL AMET/EU 98.42 3.07
REXONA MEN Ice Cool 50 mL ASIA PH/VT 44.19 4.15
REXONA MEN Ionic 50 mL AMET 98.42 10.32
REXONA MEN Lotus F1 Team 50 mL US/CAN 116.75 5.23
REXONA MEN Quantum 50 mL ASIA PH/HK/TH 44.19 2.31
REXONA MEN Sport Defence 50 mL AMET 98.42 13.20
REXONA MEN V8 50 mL ASIA PH/HK/VT 44.19 3.54
REXONA WMN Cotton 50 mL ASIA HK/TH/TW 44.19 1.07
REXONA WMN Confidence 50 mL ASIA PH/SG 44.19 2.43
REXONA WMN Free Spirit 50 mL ASIA MY 44.19 1.24
REXONA WMN Naturals 50 mL ASIA MY/SG 44.19 1.84
REXONA WMN Passion 50 mL ASIA PH/MY/SG/CB 44.19 1.76
REXONA WMN Powder Dry 50 mL ASIA MY/SG 44.19 2.75
REXONA WMN Sexy 50 mL ASIA/EU MY/SG 52.16 3.76
REXONA WMN Shower Clean 50 mL ASIA/AMET MY 44.19 5.00
REXONA WMN Whitening 50 mL ASIA PH/MY/SG 44.19 0.32
Table 1: PC-Deos Roll-on Deodorants Production – From July to December 2012
*Source: Ms. Rica Torres (Document Controller/Production Admin)
Table 1 shows the focus variant in the production of roll-on deodorants which is
Rexona Men Sport Defence 50mL. Data was gathered from July to December 2012.
(See Appendix A for Output Loss per Variant, page 99)
25 | P a g e
26. 3.2 PROFIT LOSS IN SIX (6) MONTHS
Planned Output Actual Output
MONTH Variance Productivity Loss Profit Loss
in Units Produced
July 38,936 32,858 6,078 15.61% Php 598,196.76
August 39,249 33,212 6,037 15.38% Php 594,161.54
September 39,114 33,697 5,417 13.85% Php 533,141.14
October 39,542 34,485 5,057 12.79% Php 497,709.94
November 39,600 35,073 4,527 11.43% Php 445,547.34
December 39,532 35,492 4,040 10.22% Php 397,616.80
TOTAL 235,973 204,817 31,156 --- Php 3,066,373.52
AVERAGE 39,329 34,136 5,193 13.20% Php 511,062.25
Table 2: PC-Deos Rexona Men Sport Defence RO – Planned Output vs. Actual Output Summary (6 months)
*Source: Ms. Rica Torres (Document Controller/Production Admin)
Computation:
Productivity Loss:
| |
| |
= 13.20%
26 | P a g e
27. Table 2 shows the relationship of planned and actual output in the
production of Rexona Men roll-on deodorants from July to December 2012.
Planned output was based on the monthly estimates of the product by the
customer. The company experienced an average productivity loss of 13.20% or
equivalent to 31,156 units in manufacturing Rexona Men Sport Defence RO
50mL semi-annually. (See below – Table 3)
Cost of Production
Dollars per unit (AUD) Peso per unit (PHP)
$2.27 Php 98.42
Table 3: PC-Deos Rexona Men Sport Defence RO – Cost of Production
*Source: Ms. Rica Torres (Document Controller/Production Admin)
Profit Loss in 6 months:
= (Target Output – Actual Output) * ($2.27 x Php 43.31226/$1)
= (235,973 – 204,817) * (Php 259.89)
= Php 3,066,373.52
Table 3 shows the costs incurred during the production of Sport Defence
roll-ons. The price of one (1) unit costs Php 98.42. It is estimated that the
company experienced loss in profit amounting to Php 3,066,373.52 from the
months of July to December 2012.
27 | P a g e
28. 3.3 PROCESS FLOW CHART
Start
Preparation of Raw Materials
Filling
Capping
Code Dating
Labelling
In-Process N
Inspection A
Y
Case Packing Rework
Post-packing Manual Post-packing
Final QA N
Inspection A
(Sampling)
Y
End
Figure 1: Rexona Men Sport Defence RO – Flow Chart 28 | P a g e
29. Figure 1 shows the standard processes involved in producing units of
Rexona Men Sport Defence 50mL roll-on deodorants. The course of every facet
of the product completes one cycle of manufacturing by the use of automation
and robotics. (See Chapter 1, Background of the Study)
Most operational problems occur before proceeding to mass production
(from the inventory of raw materials) in which bags of labels and violator stickers
are being delivered late by the supplier and during capping operation wherein the
machine cannot utilize its full capacity to produce the planned output due to
worn-out parts.
Other problems are brought by lack of preventive maintenance, such as
inaccurate visual detection of vision camera sensors, and human factors, for
instance, operators not following wok instruction in setting up machines. The
result corresponds to a low productivity and lost opportunities.
29 | P a g e
30. 3.4 FISHBONE ANALYSIS
MAN METHOD
Operators not Shortage of Raw
following Work Materials – Bottles,
Instruction Caps, and Labels
(12.28%) (33.15%)
13.20%
productivity loss
in manufacturing
Rexona Men
Sport Defence RO
50mL
Inaccurate Visual Worn-out Parts of
Detection of Vision Capping Machine
Camera Sensor (29.09%)
(25.48%)
Operations Planning
Human Factors
MACHINE
Preventive Maintenance
Figure 2: Causes of Productivity Loss
Figure 2 illustrates the percentage distribution of the elements of production, namely: machine
(54.57%), method (33.15%), and man (12.28%) to the overall loss of Rexona Men Sport Defence RO 50mL. It
shows the main causes of productivity loss.
30 | P a g e
31. Fishbone Diagram Computations:
Percentage Contribution | |
METHOD: Shortage of Raw Materials (Bottles, Caps, and Labels)
Total Units Loss in Six Months = 31,156 units
Units Affected by Shortage of Raw Materials = 10,328 units
Percentage Contribution = 33.15%
MACHINE 1: Worn-out Parts of Capping Machine
Total Units Loss in Six Months = 31,156 units
Units Affected by Worn-out Parts = 9,063 units
Percentage Contribution = 29.09%
MACHINE 2: Inaccurate Visual Detection of Vision Camera Sensor
Total Units Loss in Six Months = 31,156 units
Units Affected by Inaccurate Visual Detection = 7,939 units
Percentage Contribution = 25.48%
MAN: Operators not following Work Instruction
Total Units Loss in Six Months = 31,156 units
Units Affected by Not Following Work Instruction = 3,826 units
Percentage Contribution = 12.28%
OBJECTIVE OF THE STUDY:
Minimization of Productivity Loss = Man + Machine 1 + Machine 2
= 33.15% + 29.09% + 25.48%
= 87.72%
31 | P a g e
32. SUMMARY OF CAUSES (RO Deodorants)
Category Causes Units Affected % Contribution % Loss Profit Loss
Shortage of Raw
METHOD Materials (Bottles, Caps, 10,328 33.15% 4.38% Php 1,016,502.82
& Labels)
Worn-out Parts of
9,063 29.09% 3.84% Php 892,008.06
Capping Machine
MACHINE
Inaccurate Visual
Detection of Vision 7,939 25.48% 3.36% Php 781,311.97
Camera Sensor
Operators not following
MAN 3,826 12.28% 1.62% Php 376,550.67
Work Instruction
TOTAL 31,156 100% 13.20% Php 3,066,373.52
Table 4: Contribution of Loss
Table 4 presents the summary of causes that contribute to the productivity loss in manufacturing Rexona
Men Sport Defence RO 50mL. The company experiences the highest machine problem whereas issues with
workers contribute the lowest percentage in the past six months.
32 | P a g e
33. 3.5 SHORTAGE OF RAW MATERIALS
Rexona Men Sport Defence 50mL
Roll-on (RO) Deodorant
Incident of
Raw Material Illustration Specifications
Shortage
Include the ff.:
July 11
Compounds, Gelling
Agents, Fragrance and
1. Active Ingredients ------- Colorants
Composition: Liquid
Color: White August 21
Application: Cosmetics
June 1
Surface: Smooth/Frost
Size: 1-inch diameter
Color: White
Tolerance: +-0.1mm August 17
2. Hollow Ball/Roll-on Weight: 5g
Capacity: 35.2mm
September 8
Application: Cosmetics,
Industrial, Medicine
November 12
33 | P a g e
34. July 4
Size: 50mL
Material: PE/PP
August 14
Height: 11cm
3. Bottle Base Diameter: 3.9cm
Weight: 18.9g September 3, 20
Color: Black
Application: Cosmetics October 15, 26
December 21
July 16
Material: PE/PP
Height: 5cm
Base Diameter: 3.9cm September 11
4. Cap Weight: 7g
Color: Black October 7, 26
Application: Cosmetics
December 3
Include the ff.: Product
Name, Logo, Variant, June 29
Tolerances, Additional
Features
5. Label Front
Color: Black, Blue, and
Gold August 9, 20, 31
34 | P a g e
35. Include the ff.:
Ingredients & October 18
Back/ Formulation, Product
Rear Code, Manufacturing
Location, Instruction on
How to Use, Company
Logo; November 27
Color: White
Includes the Instruction
August 22
on how to Use,
Custodial Mark of
6. Violator Sticker
Unilever
December 16
Color: White, Violet
Table 5: List of Raw Materials – Rexona Men Sport Defence 50mL
*Source: Ms. Rica Torres (Document Controller/Production Admin)
Summary of Occurrences Table 5 shows the important materials needed to produce units of roll-
(Accumulated) on deodorant. It is shown that BOTTLES, CAPS, and LABELS have the
Active Ingredients 2 highest occurrence of unavailability in their inventory. Consequently, mass
Ball (hollow) 4 production of roll-on deodorants has been delayed.
Bottle 7
Cap 5
Label & Violator Sticker 8
35 | P a g e
36. List of Suppliers
Raw Material (RM) Supplier/Provider Company Address
Unilever Philippines, Inc. – Personal 1351 United Nations Ave. Paco, Manila,
1. Active Ingredients
Care Division NCR – First District 1007
2. Hollow Ball
1038 Cristobal St. Paco, Manila, NCR –
3. Bottle/Container WEENER Plastop Asia Inc.
First District 1007
4. Cap
Golden Mile Business Park
#10 7th Street, Brgy. Maduya Carmona,
5. Label & Violator Sticker Centech Labels Philippines, Inc. Cavite 4166
573 Nueve De Febrero, Mandaluyong City,
Manila, NCR 1550
Table 6: Trusted RM Suppliers by PC-Deos Department
*Source: Ms. Rica Torres (Document Controller/Production Admin)
Table 6 indicates the list of raw material suppliers. They provide quantities of raw materials depending on the
planned order of the company. More often than not, there is a delay in dispatching of lots or bags of raw materials.
This delay occurs either due to supplier’s late delivery, planner’s negligence, or material purchase order software
errors.
36 | P a g e
37. Release Schedule of Raw Materials
Inventory Traceability Checklist
Product Line: Rexona Men Department: Warehouse, Deos City
Variant: Sport Defence Processed/Validated by: Mr. Basil Rosacay
Weight: 50mL Position: Admin Staff
Dispatched Lots
No. Release Period Remarks Findings
Bottles Caps Labels
1 June 29 42 bags 36 bags 7 bags Lots have been forwarded to Production Dept.
46 bags Low superiority bags of caps SHORTAGE
2 11 59 bags 11 bags
July Sample lots have been forwarded to QA Dept. (caps)
3 27 57 bags 49 bags 10 bags Lots have been forwarded to Production Dept.
4 9 57 bags 51 bags 9 bags Lots have been forwarded to Production Dept.
August Deficiencies in capacity of violator sticker/label bags SHORTAGE
5 22 51 bags 39 bags 5 bags
Some lots have been forwarded to Production Dept. (labels)
6 6 50 bags 37 bags 8 bags Lots have been forwarded to Production Dept.
September Bags of bottles and caps are not enough for the next
SHORTAGE
7 21 38 bags 36 bags 6 bags two-week operation
(bottles and caps)
Lots have been forwarded to Production Dept.
Deficiencies in capacity of raw materials
8 4 37 bags 34 bags 4 bags SHORTAGE
October Lots have been forwarded to Production Dept.
9 18 42 bags 34 bags 6 bags Lots have been forwarded to Production Dept.
10 31 50 bags 35 bags 7 bags Lots have been forwarded to Production Dept.
11 9 49 bags 46 bags 7 bags Lots have been forwarded to Production Dept.
November
12 23 55 bags 51 bags 8 bags Lots have been forwarded to Production Dept.
13 7 56 bags 50 bags 7 bags Lots have been forwarded to Production Dept.
December Missing bags of caps SHORTAGE
14 15 41 bags 40 bags 5 bags
30 bags have been forwarded to Production Dept. (caps)
Table 7: Inventory Traceability of Rexona Men Sport Defence RO 50mL
37 | P a g e
38. Table 7 shows the traceability sheet of raw materials coming from the
Warehouse Department. Bags of raw materials (i.e. bottle, ball, cap, label/violator
sticker) have been forwarded to the Production Department almost every two (2)
weeks after its release date from the supplier. These raw materials are
sometimes delayed because of inadequacy and quality issues.
Basically, these orders of raw materials are based on customer demand.
Production planners will only check the inventory and orders more or less every
two weeks. Some (lots) are not enough in number or deficient in capacity. As a
result, these cannot support the production need.
Summary of Incoming Raw Materials (Warehouse)
Bottle Container:
Month Raw Material Expected (kg) Actual (kg)
July 160 146
August 160 144
September 160 147
Bottle
October 160 139
November 160 151
December 160 157
Total 960 884
Difference (SHORTAGE) 76 kg
Table 8.1: Part of the Summary of Incoming Raw Materials – Bottle Container
Units Affected:
Required Amount of Bottle = 0.0189 kg or 18.9 g per unit
76 kg / 0.0189 kg per unit = 4,021 units
38 | P a g e
39. SHORTAGE ON BOTTLE CONTAINERS
165
160
155
150
145
Actual (kg)
140
Expected (kg)
135
130
125
Figure 3: Expected vs. Actual RM – Bottle Containers
Cap:
Month Raw Material Expected (kg) Actual (kg)
July 110 108
August 110 106
September 110 109
October
Cap
110 105
November 110 108
December 110 103
Total 660 639
Difference (SHORTAGE) 21 kg
Table 8.2: Part of the Summary of Incoming Raw Materials – Cap
Units Affected:
Required Amount of Cap = 0.007kg per unit
21 kg / 0.007 kg per unit = 3,000 units
39 | P a g e
40. SHORTAGE ON CAPS
112
110
108
106
104 Actual (kg)
102 Expected (kg)
100
98
Figure 4: Expected vs. Actual RM – Caps
Label/Violator Sticker:
Month Raw Material Expected (kg) Actual (kg)
July 70 68.81
August 70 67.64
September 70 68.30
Labels
October 70 67.97
November 70 68.99
December 70 67.87
Total 420 409.58
Difference (SHORTAGE) 10.42 kg
Table 8.3: Part of the Summary of Incoming Raw Materials – Label/Violator Sticker
Units Affected:
Required Amount of Label and Violator Sticker = 0.0945 kg / 30 units or
0.00315 kg per unit
10.42 kg / 0.00315 kg per unit = 3,307 units
40 | P a g e
41. SHORTAGE ON LABELS AND VIOLATOR STICKERS
70.5
70
69.5
69
68.5
68 Actual (kg)
67.5 Expected (kg)
67
66.5
66
Figure 5: Expected vs. Actual RM – Labels and Violator Stickers
Units Affected (Shortage of Raw Materials) =
Units Affected (Bottles + Caps + Labels)
Units Affected (Shortage of Raw Materials) 4,021 + 3,000 + 3,307
Units Affected (Shortage of Raw Materials) 10,328 UNITS
Profit Loss in Six (6) Months Php 1,016,481.76
Table 8.4: Summary of Units Affected due to Shortage of Raw Materials
Tables 8.1-8.4 show the units not produced due to shortage of raw
materials. In a span of six months, there are 10,328 units (from combined volume
of bottles, caps, and labels) which are not manufactured. There is a total loss in
profit of Php 1,016,481.76.
Figure 3-5 shows the graphical illustration of unavailable stocks of roll-on
deodorant raw materials. The actual resources did not meet the expected plan.
41 | P a g e
42. 3.6 WORN-OUT PARTS OF CAPPING MACHINE
Figure 6: Actual Picture of Capping Machine
Figure 6 illustrates the actual image of capping machine used in Line 2 of
production. It is operated almost 24 hours depending on the planned volume.
Some parts of the capping machine deliver failures/errors such as vibrating
tension spring and semi-automatic feeder malfunction as a result of machine
breakdown and stoppages.
42 | P a g e
44. List of Capping Machine Parts
Parts and Assemblies Illustration Specifications
Torque range from 5 to 30
inch pounds
Designed to fit & replace
most popular brands
1. Bottle Capping Headsets Independently adjustable top
loading spring
18mm (max) hole through
the middle for air or push rod
assembly
Cap sizes: max diameter 38
mm max length 65mm 55mm
with pre-sleeking
2. Electric Motor Motor rotation speed. 1400 or
2800 r.p.m.
Electrical requirements: 220V
-380 V - 50 Hz. (different
ones on request)
44 | P a g e
45. One operator can feed two or
more seamers
Available for all types of can
ends and sizes (202 diameter
to 603 diameter)
3. Semi-Automatic Feeder
Quick installation and easy
adjustment
Powered curves allow for
adaptation to any layout
Low noise level operation
Stainless steel material
Double-line, flat-topped
carbon steel roller chains
4. Roller Chain
Polymer wear-resistant
plastic filler strip
Adjustable plastic guardrail
supports
Comfort grip adjusting rings
Has ROPP (Roll On Pilfer
5. Screw Capping Heads Proof) system
Available in a variety of
stainless steels
45 | P a g e
46. Round-shaped wire, ranging
from .5 mm to 4 mm diameter
6. Tension Spring Used in industrial production,
medical instruments and
electronic components to
absorb & store energy by
generating a pressure to a
pulling force
Ladder-style capping elevator
Includes the capping hopper,
7. Inline Capping Elevator elevator and capping-out
device
Used to supply automatic
systems with parts needed
Table 9: Part Specifications of Capping Machine
*Source: Mr. Philip Nadela (Maintenance Engineer)
Table 9 illustrates the parts that have incidents of wear-and-tear, malfunction, or clogging. These type of
errors resulted to delays and production stoppages.
46 | P a g e
47. Date of Malfunction Report Specific Error Actions Taken
- Worn-out bottle capping headset Report to
6 - Malfunction roller chain Operator/
July 16 - Error in electric motor Technician
Repair – Check
20 - - Bent tension spring
parts if OK
23 - Error in screw capping heads
- Error in inline capping elevator Report to
14 Operator/
- Vibrating tension spring
August Technician
- Worn-out bottle capping Repair – Check
25 headsets parts if OK
- Malfunction of roller chain Report to
9 Operator/
- Error in electric motor
Technician
September
- Error in screw capping heads Repair – Check
22 - Worn-out bottle capping headset parts if OK
4 - Worn-out electric motor Report to
- Error in tension spring Operator/
October 13 - Clogging in semi-automatic Technician
feeder Repair – Check
17 - Error in bottle capping headsets parts if OK
26 - Error in screw capping heads
- Malfunction in inline capping Report to
15 Operator/
elevator
November Technician
Repair – Check
25 - Error in roller chain parts if OK
- Error in bottle capping headsets Report to
12 - Malfunction in semi-automatic Operator/
December feeder Technician
Repair – Check
- Clogging in semi-automatic
23 parts if OK
feeder
- Error in electric motor
Table 10: Specific Errors Encountered – Machine Malfunction Report
*Source: Mr. Philip Nadela (Maintenance Engineer)
47 | P a g e
48. Table 10 shows the detailed malfunction report of the Capping machine
that comprised the date and specific reasons the machine has broken
down/malfunction.
Error on Specific Parts
6
5
4
3
2
1
Frequency
0
Figure 8: Particular Errors of Capping Machine Parts
Figure 8 illustrates the malfunction of several parts that have brought
downtime to the production. It is seen errors in bottle capping headsets and
electric motor has the biggest contributors to machine breakdown. Essentially,
these parts need immediate replacement/repair because it may lead to
production stoppage.
48 | P a g e
49. Frequency of Downtime (hrs.) Quantity
Month
Malfunction/Stoppage Specific DT Total DT Affected
3.13
2.52
July 5 2.42 10.35 2,305
1.39
0.89
2.56
August 3 0.48 5.35 1,214
2.31
2.34
1.55
4 5.14 1,162
September 0.93
0.32
2.08
0.87
October 5 1.71 8.47 2,044
3.32
0.49
2.87
November 2 6.09 1,512
3.22
0.75
1.41
December 4 7.56 826
1.53
3.87
Total 23 42.96 hrs. 9,063 UNITS
Profit Loss in Six (6) Months Php 891,980.46
Table 11: Machine Breakdown Report
Table 11 shows the monthly machine malfunction report during the
months of July to December 2012. As stated, the total frequency of malfunction
was 23 times. Furthermore, it presents the time consumed when the machine
experiences downtime as well as its corresponding units affected. It was
concluded that the machine was down for about 42.96 hours and 9,063 units of
Rexona Men Sport Defence roll-on deodorants were not produced because of
frequent breakdown of the Capping machine. There was a total loss in profit of
about Php 891,980.46.
49 | P a g e
50. 3.7 INACCURATE VISUAL DETECTION OF VISION CAMERA SENSOR
Figure 9: Industrial Vision Camera Sensor
Figure 9 illustrates the actual picture of vision cameras used in the code
dating and labelling processes. Vision camera detects the following:
code date on roll-on caps
alignment of front and back labels on the bottle
configuration of violator stickers on caps
presence of labels
constricted insertion of cap
missing assembly part
50 | P a g e
51. Code Dating and Labelling Visual Recognition (as of Dec 2012)
Date & Time of Observation Performed By
1 Dec-04 Tuesday 1:05-1:17 PM Engr. Philip Nadela
2 Dec-06 Thursday 1:20-1:43 PM Engr. Philip Nadela
3 Dec-11 Tuesday 1:16-1:44 PM Engr. Philip Nadela
4 Dec-13 Thursday 1:50-2:08 PM Engr. Philip Nadela
5 Dec-18 Tuesday 1:10-1:27 PM Engr. Philip Nadela
Table 12: Vision Camera Performance Observation
Table 12 shows the time and date of observing the production capability
of vision camera installed in the code dating and labelling machines. Engr.
Philip Nadela was tasked to observe the sensor’s visual performance and
record the data within three (3) minutes.
Visual Detection Network System Results
Basis of Failure: Total Error Probability, PError for q ≥ 0.1
Passed Data: q < 0.1
Image Sequence
Day
Sequence 1 Sequence 2 Sequence 3
1 0.1515 0.0573 0.03
2 0.1238 0.1531 0.11
3 0.11 0.09 0.17
4 0.12 0.20 0.20
5 0.05 0.23 0.90
Table 13: Vision Camera Performance Results
Table 13 indicates the measure to determine if the data has a passing or
failing rate. Most data recorded a failing mark which means that the vision
camera experiences several errors within the designated sequence time
(exactly three minutes).
51 | P a g e
52. Visual Detection Error
1
0.9
0.8
0.7
Control Limit
Axis Title
0.6
0.5
0.4
0.3
0.2
0.1
0
1 2 3 4 5
Sequence 1 0.1515 0.1238 0.11 0.12 0.05
Sequence 2 0.0573 0.1531 0.09 0.2 0.23
Sequence 3 0.03 0.11 0.17 0.2 0.9
Figure 10: Visual Detection Results
Figure 10 shows the dispersion of data in every sequence. Most
observations have a higher inaccuracy rate due to higher values above the
control limit.
Procedure in Vision Camera Sensor Maintenance
Sensor Frequency
Design Constructed beneath the code dating and
labelling machine
Usage Everyday – 24 Hours
Replacement Schedule Every 2 months; Depends on the condition
Every month; When there is an emergency
Repair and Maintenance
and/or production stoppage occurs
Table 14: Maintenance Schedule of Vision Camera Sensor
Table 14 shows the mandatory time in replacing the sensors from the
code dater. It is specified on the procedure that sensors should be changed
every 2 months or whenever it is not in good condition.
52 | P a g e
53. Occurrence Repair/ Interruption or Quantity
Month
of Error Maintenance Idle Time Affected
July 87 15 7.66 1,904
August 96 9 8.01 2,106
September 85 8 6.92 1,225
October 115 18 2.38 663
November 79 7 4.43 845
December 68 12 6.87 1,196
Total 530 69 36.27 hrs. 7,939 UNITS
Profit Loss in Six (6) Months Php 781,356.38
Table 15: Summary of Units Affected due to Inaccurate Visual Detection of Vision Camera Sensor
Table 15 shows the units lost due to vision camera errors. These errors
resulted to delay, interruption, and production stoppage. It states that 36.27
hours are gone in six months because of poor maintenance schedule and lack
of machine check. Therefore, there is idle time because of inaccuracies.
53 | P a g e
54. 3.8 OPERATORS NOT FOLLOWING WORK INSTRUCTION
Operating Hours: 6AM – 6PM Shift: 1st
Department: Production
Name List of Machines Mean Number of Set-
that needs Set-up up Times per Day
1. Rosales, Larry D. Unscrambler 4
2. Cantila, Archie Joshua S. Capping 6
3. Reyes, Ronnie B. MCP/Case Erector 9
4. Manicani, Edison M. Labelling Machine 6
Table 16: Workers Machine Assignment
Table 16 shows the designated equipment wherein a worker should set-
up the machine everyday day. Listed above is the average number of times
when they must change the setting of the machine due to production
changeover.
General Guidelines in Setting up a Machine:
Para sa lahat ng operators,
Paalala: Matatagpuan sa production/operations manual ang mga alintuntunin sa loob ng
planta. Ito ay matatagpuan sa loob ng Production Office.
Bago at pagkatapos gamitin ang isang makina, sundin ng mabuti ang sumusunod:
1. Gamitin ang angkop na PPE’s upang maiwasan ang anumang aksidente.
2. Laging sundin ang visual control na nakapaskil sa bulletin boards.
3. Laging siguruhin na ang lahat ng equipment at mga electrical wiring ay naka-“lock-
out.‟
4. Iwasang kalimutan ang mga teknikalidad ng makina bago ito i-set up.
5. I-shut down ng maayos ang bawat parte o assembly ng makina.
6. Kung may mga abnormalities o mali sa operasyon ng makina, ipagbigay alam agad sa
maintenance personnel o supervisor.
BY: PRODUCTION DEPT.
ORDER NUMBER: 07160
54 | P a g e
55. Causes of Human Errors
Incorrect Input of Numerical Values in a Particular Equipment
Wrong Identification of Data/Information
Misunderstanding the Manual/Visual Control
Operator tend to Rush in Setting up the Machine
Confused Worker
Forgetfulness
Table 17: List of Human-Related Errors
Table 17 shows the causes of not following work instruction. Operator
might mistakenly type certain data onto the machine; he/she might be rushing
to input values and as a result errors were experienced; and he/she may be
confused with the visuals in front of the equipment or preoccupied.
List of Workers:
1. Rosales, Larry
UNSCRAMBLER MACHINE
Month Frequency of Incorrect Set up Units Affected
July 5 192
August 3 101
September 5 198
October 5 167
November 4 152
December 1 61
Total 23 871 units
Table 18.1: Human Error in Unscrambler Machine
55 | P a g e
56. 2. Cantila, Archie
CAPPING MACHINE
Month Frequency of Incorrect Set up Units Affected
July 3 77
August 6 195
September 4 173
October 4 154
November 3 108
December 7 225
Total 27 932 units
Table 18.2: Human Error in Capping Machine
3. Reyes, Ronnie
MCP/CASE ERECTOR
Month Frequency of Incorrect Set-up Units Affected
July 6 214
August 2 96
September 7 325
October 6 170
November 4 128
December 4 124
Total 29 1,057 units
Table 18.3: Human Error in MCP/Case Erector
4. Manicani, Edison
LABELLING MACHINE
Month Frequency of Incorrect Set-up Units Affected
July 3 138
August 6 183
September 4 162
October 4 166
November 5 218
December 2 99
Total 24 966 units
Table 18.4: Human Error in Labelling Machine
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57. Summary of Wrong Set up of Machine:
December
November
October Manicani
Reyes
September Cantila
Rosales
August
July
0 1 2 3 4 5 6 7 8
Figure 11: Frequency of Setting up the Equipment
Figure 11 shows the frequency of mistakes and errors committed by
workers by setting up the machine. Mr. Ronnie Reyes and Mr. Archie Cantila
incurred the highest incident during the months of September and December.
Lead Time Frequency of Incorrect
Name of Worker Units Affected
(hrs.) Set up (6 Months)
Rosales, Larry 14.28 23 871
Cantila, Archie 10.03 27 932
Reyes, Ronnie 13.77 29 1,057
Manicani, Edison 6.75 24 966
Total 44.83 hrs. 103 3,826 UNITS
Profit Loss in Six (6) Months Php 376,554.92
Table 18.5: Summary of Units Affected due to Not Following Work Instruction
Tables 18.1-18.5 present the affected deodorants whenever machines
encounter delay due to human-related error. The production might stop or delay
due to incorrect set up resulting to no production and profit loss.
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58. CHAPTER IV
ANALYSIS OF GATHERED DATA
4.1 PROBLEM TREE
CAUSES
Shortage of Worn-out Parts Inaccurate Operators not
Raw Materials of Capping Visual Detection Following Work
(Bottles, Caps, Machine of Vision Camera
Instruction
and Labels) Sensor
Unilever Philippines, Inc. is experiencing 13.20% productivity loss in
manufacturing Rexona Men Sport Defence RO 50mL amounting to Php
3,066,373.52 from the months of July to December 2012
Opportunity Customer
Profit Loss
Loss Dissatisfaction
EFFECTS
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59. CORE PROBLEM
Unilever Philippines, Inc. is experiencing 13.20% productivity loss in
manufacturing Rexona Men Sport Defence RO 50mL amounting to Php
3,066,373.52 from the months of July to December 2012
CAUSES
1. Shortage of Raw Materials (Bottles, Caps, and Labels)
Two weeks schedule of ordering raw materials delays the production line
of Rexona Men Sport Defence. Raw materials such as bottles, caps, and labels
have the highest incidences of unavailability due to supplier’s fault and poor
planning. As a result, roll-on deodorants were not manufactured on time. (As
seen in Tables 5-8 and Figures 3-5)
2. Worn-out Parts of Capping Machine
The specific parts of the capping machine often encounter error or
malfunction because of wear and tear condition. Its efficiency declines as the
demand of the product increases. Likewise, the design capacity of the machine
is not utilized since parts need to undergo repair and maintenance. (As seen in
Tables 9-11 and Figures 6-8)
3. Inaccurate Visual Detection of Vision Camera Sensor
Errors are experienced by the vision camera because sensors are poorly
maintained resulting to low quality sensors. Another problem with vision camera
sensors is that they are overly used 24/7. Consequently, sensors do not deliver
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60. a decent result due to those mentioned reasons. (As seen in Tables 12-15 and
Figures 9-10)
4. Operators not Following Work Instruction
Workers incorrectly fix the setting of several machines in Line 2. Wrong
specifications are being employed to the production as a result of stoppage of
the operations. (As seen in Tables 16-18 and Figure 11)
EFFECTS
1. Profit Loss
Return on investments will be less evident if the company continue to
experience productivity loss. Therefore, it may result to forfeiture of business in
the future.
2. Opportunity Loss
If the company will not meet target orders, potential customers will be
lessen. Recent customers will be uninterested to order again.
3. Customer Dissatisfaction
Clients will be disappointed because of incomplete output being
delivered to them. It will reflect a bad reputation for the company.
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61. 4.2 OBJECTIVE TREE
MEANS
Reschedule Replacement Weekly
Material Application of
of New Preventive Operators’
Purchase Capping Maintenance of
Order (MPO) Visual Control
Machine Parts Vision Camera
Every Week
To minimize productivity loss by 87.72% in manufacturing
Rexona Men Sport Defence RO 50mL
Opportunity Customer
Profit Gain
Gain Satisfaction
ENDS
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62. CORE OBJECTIVE
To minimize productivity loss by 87.72% in manufacturing Rexona Men
Sport Defence RO 50mL
MEANS
1. Reschedule Material Purchase Order (MPO) to Supplier Every Week
Delivery dates, dispatching of raw materials to the production, and
inventory stocks monitoring should be rescheduled every one week by the
production planner to ensure immediate changes. It will help them improve their
scheduling processes and enhance business competitiveness.
2. Replacement of New Capping Machine Parts
Parts will be replaced with new ones to provide long term preservation of
machine components. It will decrease the probability of the machine
malfunctioning/breaking down in the future.
3. Weekly Preventive Maintenance of Vision Camera
Sensors must be maintained, cleaned, and reassess every week to
ensure good condition of machine. It will prevent further operational losses in
the production of roll-on deodorants.
4. Application of Operators’ Visual Control
Visual control will be posted onto the machines. It will be strictly
regulated within the production area. It will eliminate errors by operators who
frequently commit mistakes. Thus, lead time and stoppage will be avoided.
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63. ENDS
1. Profit Gain
Upon minimizing productivity loss, the company will achieve profit. This
will result in a positive outcome for the company.
2. Opportunity Gain
If the company will meet target orders at the right time with the right
quality, potential customers will increase. More opportunities for efficient
production can be achieved by the company.
3. Customer Satisfaction
When the company delivered the required quantity on time, customers
will be more trustworthy towards the company. In return, it will gain a reputable
image.
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