Vendor Development System
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KIRLOSKAR TOYODA TEXTILE MACHINERY PVT. LTD.Plot No. 10~13, Phase-II, Jigani Indl. Area, Anekal Taluk, Bangalore – 562 106
ISO 14001 Company
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Water flowFLOW OF WATER
(1)
Flow through Canal - normally smooth flow ,No turbulenceWhen gates are opened, possibility of overflow exists
(2)
Flow through river : never quite smmoth. Will encounter obstacles.Will change path.
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KTTM Company ProfileKTTM Company Profile
Mr. Laxman Rao Kirloskar Mr. Sakichi Toyoda“Human Intellect and Individual ability gives us our means to direct our talents towards production work”
“Open your mind and look at the
great world outside”
The Spirit of Entrepreneurship and Innovation of
two great visionaries of different era and countries
resulted in the formation of
KTTM
The first Company of TOYOTA Group in Bangalore
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Basic PolicyBasic Policy
“ “ Touch the Heart, People First ”Touch the Heart, People First ”
KTTM Company ProfileKTTM Company Profile
Operational PolicyOperational Policy
“ “ Speed up ! Speed up !
Change & Challenge !Change & Challenge !
Zero defect ! ”Zero defect ! ”
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KTTM Company ProfileKTTM Company Profile1. Establishment 19951. Establishment 1995 14th August 1995
2. 2. Starting Operation 1997 6th June 1997
3. 3. Share Capital Ratio Toyota Industries Corporation : 95.1%
Kirloskar Oil Engines : 3.8%
Kirloskar Brothers : 1.1%
4. 4. Range of Business Domestic sales of Ring Frame
Export of Ring Frame Parts
Painting Job Work
Auto Parts Manufacturing
Toyota Fork Lifts Sales and Service
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KTTM Company ProfileKTTM Company Profile5
.Location Jigani Industrial Area, Bangalore
district,
Karnataka State, India
6.
Land 132,054 m2
7.
Building 22,838 m2
8.
Numbers of Employees
(as of Dec 2005)
Consolidated Manpower --- 815Division Super
visoryOP WT Total
Non Supervisory
Textile 84 52 81 217
SPM 50 29 129 208
LPM 22 12 47 81
DC 18 13 41 72
Production support Transmission 10 10
Corporate 29 29
Fork Lift Servicing 2 3 5
Average Age 27 years, including 4 Japanese staff
Apart from the above 173 Apprentices (Govt.Trainees) are undergoing training in different areas.
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KTTM Company ProfileKTTM Company Profile
10.Turnover Growth & Plan
535 650987
1248 1375341
792
900900
0
500
1000
1500
2000
2500
'03-04 '04-05 '05-06 '06-07 '07-08
Textiles Transmission
In M
illi
on R
s
535
991
1779
2148 2275
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Plant Layout
Total Built Area– 22838m2
Additional 18Acres of Land on West side available for Expansion
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KTTM’S BUSINESS ACTIVITIES
RING SPINNING MACHINES &
COMPONENTS
CAPITAL GOODSTEXTILE MACHINERY
TRANSMISSION COMPONENTS FOR TOYOTA’S “IMV”
SURFACE TREATMENT FOR VOLVO, GE
AUTO PARTS
JOB WORK
FORK LIFT SERVICES
AFTER SALE SERVICE & GENUINE SPARE PARTS
FOR TOYOTA FORKLIFTS
NEW BUSINESS
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Development of SystemWith
Vendors
Case Study: Transmission Project
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TYPICAL MACHINED ALUMINUM DIE CAST PARTS
TYPICAL MACHINED CAST IRON PARTS
MACHINED FORGED STEEL & BAR PARTS
TOTAL OF 31 TYPE OF PARTS :161500 SETS / YEAR
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Internal Auto Parts Manufacturing Facility
SMALL PARTS
MACHINING
DIE CASTING
ALUMINUM CASTING
MACHINING
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Methodology of Vendor Development
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Grand Schedule for Auto Parts Project
Vendor Control
This is a Master Schedule which integratesCustomer Schedule--- n+2 monthsKTTM Schedule--- nth monthVendor Schedule--- n-2 monthThis ensures “ON TIME PROJECT EXECUTION”
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Support to the Vendors
We believe in “Mutually Beneficial Supplier Relationships”
We work with all our suppliers for
1. System Development2. Process Stabilization3. Problem Solving4. Reducing rejections
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Sumimetal Malaysia
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Audit Check Sheet
Quality
Production
Delivery
Pre Production
Maintenance
Systems
Self Assessm
ent
KT
TM
A’sm
ent
C’m
easure reply
Confirm
C’m
easureOverall Criteria for Selection162~180– Excellent & Accepted131~161—Accepted100~130—Conditional Accepted99 or less – Not Accepted(Combined score of all individual element)
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Quality
Production
Pre Production
Delivery
Maintenance
Guidelines for Self assessment and KTTM assessment for Vendor Selection
This is done on1~4 Scale forindividual elementsWhere 1~ Least4~Excellent
Check points
4 3 2 1
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Quality Development Plan
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Method
Man
Facility
Inspection Standard
Inspection Parameters
ReleaseConfirm Insp.
StdRecord
Work Sequence Sheet
Skill Level
Manpower
Necessary facility
InspectionArea
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Confirmation of Logistics
Method
Man
Facility
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Traceability
Production records
Logisticsrecords
Click for Example
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Manual TransmissionExported to 8 countries161500 units/annum
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Audit System
Vendor Audits
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Audit Report
VENDOR AUDIT REPORT
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Vendors Performance Monitoring Quality Mallya
0.006
0.650.59
0 0 0 0 0
0.10.04
0.1
0.0
0.2
0.4
0.6
0.8
1.0
1.2
Rej
ecti
on
%
Rejection
TargetEmbars
0.0
0.2
0.4
0.6
0.8
1.0
1.2
Rej
ecti
on
%
Rejection
Target
Dimo
2.03
0.82
1.94
2.52.51
1.32
2.231.8
2.2
1.72
0.0
0.5
1.0
1.5
2.0
2.5
3.0
Rej
ecti
on
%
RejectionTarget
Hightemp
2.80
2.31
3.323.00
2.08
3.053.30 3.10
2.40
0.360.27
0.00.5
1.01.5
2.02.5
3.03.5
Rej
ecti
on
%
Rejection
Target
Machine components
0.0
0.2
0.4
0.6
0.8
1.0
1.2
Rej
ecti
on
%
Rejection
Target
Megamiles
0.0
0.2
0.4
0.6
0.8
1.0
1.2
Rej
ecti
on
%
Rejection
Target
Drawing,Cutting
AluminumDie Casting
Machining
Plating
Heat Treatment
Machining
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Vendors Performance Monitoring
Delivery
Since we work on KANBAN ,Delivery failures are NEGLIGIBLE
99.9 99.0 99.9 99.4 99.2100100100100
0
20
40
60
80
100
120
Au
g'0
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Jan
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Risk Management1. KTTM will manage its supply chain to ensure supply to customer without failure at all time.2. Develop alternate backup plan.3. Test and keep the backup option ready in case of emergency.
Forecast incidence
Estimated risk
Transport
Counter measure
Truck strike 1. Pickup information in advance & deliver
2. Pickup through alternate mode.
Inter state strike 1. Ships to be diverted to nearest state
2. Transport through undisturbed state.
Port strike 1. Ships to be diverted to other port
Ship strike 1. Alternate shipping liner
Cyclone 1. Ships to be diverted to other ports.
Production
Dispatch
Machine failure 1. Keep Maximum 5 days stock to manage machine breakdown up to 5 days
Quality problem 1. Frequent Quality audits on quality system, and implementation of countermeasure
Once/yr<1wk
Once/3yr>1wk
Once/10yr
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Risk Management
Raw material supplier
Shipping linerChennai port &
transport
KTTMRaw material
stock FG stock
Castings-China
Forgings-Japan
53
38
868
15 days stock 15 days stock 30 days stock 8 days stock
Problem location
Stock (days) Backup plan Judgment
Casting68 Backup by Japanese supplier
Forgings
Ship 53 Alternate shipping liner
Chennai port 15 Alternate port
Transport 30 Alternate route / transport
KTTM 8 Backup by Japanese supplier
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1095
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26 30 12 5 0 10 10 0 5 17 0 4
3067507055
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2030100
0
200
400
600
800
1000
1200
04-Jul
Aug Sep Oct Nov Dec 05-Jan
Feb Mar Apr May June Jul Aug Sep Oct Nov Dec Jan
0
50000
100000
150000
200000
250000PPM
Parts Supplied
CustomerTargetInternal Target
Performance Measurement at Customer
Thanks to Our Partners
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AWARDS AND ACHIEVEMENTS
Q
C
D
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ZERO PPMZERO PPM
BEST FOUNDRYBEST FOUNDRY
TKML
ALUCAST
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