DuPont Sustainable Solutions Transforms Operations at Kumas by Capitalizing on Cost-Saving...

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ACHIEVING GROWTH THROUGH OPERATIONAL EFFICIENCIES DuPont Sustainable Solutions Through a targeted program to transform operations at Kümaş, DuPont Sustainable Solutions uncovered cost-saving opportunities worth $57 million. THE SITUATION In 2012, Yildiz Holding acquired Kümaş Manyezit Sanayi A.Ş—Turkey’s leading producer and supplier of refractory products for the steel, cement, glass, lime, and non-ferrous indtustries. About Kümaş: Turkey’s largest producer of DBM, fused magnesite, refractory bricks and mortars Holds the majority of national ore reserves Revenues of $132 million in 2012 1000+ employees and contractors THE CHALLENGE Day-to-day operations at Kümaş were dominated by a reactive “fire-fighting” THE ROADMAP FOR SUCCESS During the first six-months, DSS uncovered financial opportunities with a recurring value of $57 million. But capitalizing on them required changes at Kümaş. To shift employees’ attitudes toward safety, DuPont: THE RESULTS They implemented a continuous improvement culture: There was no framework in place to manage these issues. Kümaş chose DuPont Sustainable Solutions (DSS) to evaluate: Lack of experienced personnel and a low retention rate Absence of energy monitoring and predictive maintenance Internal supply issues Safety was not seen as a leadership responsibility Accidents and incidents threatened the company’s operations Plant utilization and performance was below the holding company’s expectations Copyright © 2016 DuPont. All rights reserved. The DuPont Oval Logo, DuPont™, The miracles of science™ and all products denoted with ® or ™ are trademarks or registered trademarks of E. I. du Pont de Nemours and Company or its affiliates. sustainablesolutions.dupont.com Energy efficiency Operations and quality Maintenance and reliability Safety Capital effectiveness Supply chain Held trainings in operational effectiveness best practices Introduced a Continuous Improvement project governance system Involved senior leaders in safety initiatives Clearly communicated and tracked KPIs Put in place predictive and preventive maintenance Led Value Accelerator workshops Defined and employed safety rules, standards and procedures Used data to analyze problems, root causes, and benefits Improved risk perception and safety skills Launched energy monitoring and management Initiated a new supply chain organization Safety has become a priority. Employees accept the fact that the potential for accidents decreases if the correct measures are taken. The old ‘fate-based’ approach no longer exists.Mustafa Çavaç, Manager of Continuous Improvement Projects and Quality Manager Until we visited DuPont plants in Belgium and the Netherlands, ‘Zero Work Accidents’ seemed an unachievable target... I can say that visit changed the way I look at my whole life. I saw with my own eyes that the DuPont methodologies are not just abstract theories, but can be achieved by determined work, that work accidents and other errors are not inherent to the nature of work, that they can be prevented.Mustafa Çavaç, Manager of Continuous Improvement Projects and Quality Manager Continuous improvement projects saved $1.5 million in first nine months of 2015 A further $6.5 million in continuous improvement savings identified 60% reduction in workplace safety accidents 50% cut in accident frequency rate Energy savings of $1.8 million in 2015 Conducted interviews and focus groups to understand the mindset driving behaviors Built a profile of the workforce’s critical values and attitudes to safety and operational excellence Held mirror workshops for senior management on the value of safety and emphasized their role Developed an organizational blueprint outlining Kümaş’ journey to address short-term, as well as complex, long-term business needs

Transcript of DuPont Sustainable Solutions Transforms Operations at Kumas by Capitalizing on Cost-Saving...

Holds the majority of

national ore reserves

ACHIEVING GROWTH THROUGH OPERATIONAL EFFICIENCIES DuPont Sustainable Solutions

Through a targeted program to transform operations at Kümaş, DuPont Sustainable Solutions uncovered cost-saving opportunities worth $57 million.

THE SITUATIONIn 2012, Yildiz Holding acquired Kümaş Manyezit Sanayi A.Ş—Turkey’s leading

producer and supplier of refractory products for the steel, cement, glass, lime, and

non-ferrous indtustries.

About Kümaş:

• Turkey’s largest producer of DBM, fused magnesite, refractory bricks and mortars

• Holds the majority of national ore reserves

• Revenues of $132 million in 2012

• 1000+ employees and contractors

THE CHALLENGEDay-to-day operations at Kümaş were

dominated by a reactive “fire-fighting”

THE ROADMAP FOR SUCCESSDuring the �rst six-months, DSS uncovered �nancial opportunities with a recurring value of $57 million. But capitalizing on them required changes at Kümaş.

To shift employees’ attitudes toward safety, DuPont:

THE RESULTS

They implemented a continuous improvement culture:

There was no framework in place to manage these issues.

Kümaş chose DuPont Sustainable Solutions (DSS) to evaluate:

• Lack of experienced personnel and a low retention rate

• Absence of energy monitoring and predictive maintenance

• Internal supply issues

• Safety was not seen as a leadership responsibility

• Accidents and incidents threatened the company’s operations

• Plant utilization and performance was below the holding company’s expectations

Copyright © 2016 DuPont. All rights reserved. The DuPont Oval Logo, DuPont™, The miracles of science™ and all products denoted with ® or ™ are trademarks or registered trademarks of E. I. du Pont de Nemours and Company or its a�liates.

sustainablesolutions.dupont.com

Energy efficiency Operations and quality

Maintenance and reliability

SafetyCapital effectiveness

Supply chain

Held trainings in operational effectiveness best practices

Introduced a Continuous

Improvement project governance

system

Involved senior leaders in safety

initiatives

Clearly communicated and tracked

KPIs

Put in place predictive and

preventive maintenance

Led Value Accelerator workshops

Defined and employed

safety rules, standards and

procedures

Used data to analyze problems, root causes, and

benefits

Improved risk perception and

safety skills

Launched energy

monitoring and management

Initiated a new supply chain organization

“ Safety has become a priority. Employees accept the fact that the potential for accidents decreases if the correct measures are taken. The old ‘fate-based’ approach no longer exists.”

Mustafa Çavaç, Manager of Continuous Improvement Projects and Quality Manager

“ Until we visited DuPont plants in Belgium and the Netherlands, ‘Zero Work Accidents’ seemed an unachievable target... I can say that visit changed the way I look at my whole life. I saw with my own eyes that the DuPont methodologies are not just abstract theories, but can be achieved by determined work, that work accidents and other errors are not inherent to the nature of work, that they can be prevented.”

Mustafa Çavaç, Manager of Continuous Improvement Projects and Quality Manager

Continuous improvement projects saved $1.5 million in first nine

months of 2015

A further $6.5 million

in continuous improvement savings

identified

60% reduction in workplace safety

accidents

50% cut in accident frequency rate

Energy savings of

$1.8 million in 2015

• Conducted interviews and focus groups to

understand the mindset driving behaviors

• Built a profile of the workforce’s critical

values and attitudes to safety and

operational excellence

• Held mirror workshops for senior

management on the value of safety and

emphasized their role

• Developed an organizational blueprint

outlining Kümaş’ journey to address

short-term, as well as complex, long-term

business needs