Is your production model looking downstream?

Aug. 1, 2016
A process-centered environment is simple in concept, but requires an incredible amount of discipline.  It's a drumbeat-like environment that is sustained by preparation, communication, checkpoints and strict quality controls.

As random as the collision repair business is, the truth is that production in most traditional shops is highly predictable. We assume that the tech will largely oversee the complete repair of the vehicle.  We know that quality and delivery fall largely in the hands of that tech.

We know that issues in the repair process will eventually crop up at some point (which will be discovered, addressed and corrected later through supplements), that there are fasteners and clips that we'll somehow have to locate later on, and, subsequently, that the initial estimate is just an “estimate” for the job and is never going to reflect the final bill or the true cost of repairs..

But what if there was a way that you could control the issues that traditionally bring the repair process to a grinding halt and eliminate those issues prior to the vehicle ever entering production? What if you had a total handle on each production function and could eliminate things like backlog in the paint prep area and waiting in reassembly?

Reactive vs. proactive production

Process-centered environments effectively achieve this through a method called "Pull Production." Pull Production utilizes a series of inventory buffers that limit the number of holes in each area of your production line, such as bays, work areas and the number of cars currently in the flow.

The key to pull production is simply being proactive and changing the timing of each activity. It involves regimented, front-end preparation in the assessment and repair planning stage that, if followed correctly, clearly defines what the vehicle requires in order to enter the workflow.

The result of this preparation is a highly defined “kit” that spells out all the details related to the repair plan, including required tooling, parts and equipment. It also includes the essential technical support required for certain steps along the way. The kit is the key step to being proactive, allowing the vehicles to flow through production without unnecessary waiting, rework and interruptions.

Proactivity creates predictable and dependable events in an otherwise very random work environment, which ensure that the vehicle moves through production in an unfettered, non-stop manner. When it's utilized on a broad scale, it can vastly improve output and quality consistency, and contribute mightily to on-time customer delivery.

The opposite of being proactive, of course, is being reactive, which is common in the traditional collision repair model. That process relies on a concept that is very back-end loaded and anticipates work stoppage at many points along the way, while relying on team members to deal with those issues as they occur. It forces shops to adopt a “put out fires” work mentality, which is counter-productive to what the shop is ultimately trying to accomplish. Simply put, if you pride yourself on being able to put out fires, then that means you expect fires downstream and your process will ultimately produce them.

The prep process

The vehicle preparation stage is the secret to pull production because it creates predictable and dependable events that facilitate a continuous flow production process downstream. This process commits any and all resources necessary upfront to investigate, disassemble, dissect and assess, notate and record information regarding parts and specialty materials, equipment and tooling, repair methodology, and refinish strategy, for the final repair plan.

If the investment is made to conduct this extensive "discovery" process upfront, then not only is downstream production predictable and the product is able to flow continuously, but the shop can calculate a complete and true cost of the repair much sooner in the process.

If the prep standards are met upfront, then the result is a complete repair kit that contains everything needed to put the vehicle into the production flow line and allows the team to work on that vehicle continuously until it's ready to be delivered back to the customer. (It should be noted that, using this process, the vehicle isn't assigned to an individual technician; it's assigned to the process.)

The production process

Properly prepare upstream and watch that vehicle flow effortlessly downstream is the crux of a process-centered collision repair environment. Now let's talk about how production can affect the flow of things.

If you really think about it, the production process is simply a series of tasks needed to move the vehicle through the repair sequence. Each step in that sequence needs to have a standard of what's expected in order to achieve 100 percent verified success at that particular task. Any time we knowingly allow a vehicle to proceed to the next step when it hasn't met the standard, we're at risk of putting a real strain on the workflow and we are, in essence, “pushing.”

You can often identify these trouble spots through visual signals around the shop. Vehicles in defined repair spaces along the production flow that are not able to advance to the next space signal a back-up or bottleneck somewhere in the process downstream. Empty spaces signal a need to pull from an upstream operation. Technicians wandering around the shop signify something is missing or a defect is in the “kit.”

To combat these events, process-centered shops conduct brief, regular team "huddles" throughout the shift to address issues and set the pace. Quality checkpoints and color-coded status boards are constantly monitored by the entire team to quickly respond to production stoppages. Control points verify that the task is complete and inspected prior to being delivered to the next step in the process downstream.

Ready inventory

The production process also relies heavily on "ready inventory" or inventory that already has its “kit” prepared for production and completion. In this process, the rate at which we produce those extensively prepared vehicle kits is a leading indicator of the capacity we will have to deliver.

It's like the bustling pits at a NASCAR race.  here's a lot going on in the pits during the race, but when the word comes down that the refueling tank (ready inventory) in the pit is approaching empty, the only thing that matters is that the tank gets filled before the next pit when the race car will be asking for more fuel (i.e., cars to produce).

That's the definition of “ready inventory.” If there is nothing ready coming from upstream, then the speed of the production line is virtually irrelevant because those holes will act like an empty refueling tank and only slow down or stop the operation.

Ready inventory also relies on data collection throughout the production process for feedback and to determine the defects within the process. For example, if the data shows that pinholes in the fill work are currently the most significant cause of delays and defects, then finding the root cause of the problem and correcting it will improve the process in a sustainable way. 

Is it skill, will, product or training that is causing these defects? Brainstorm as a team and put actions in place to eliminate the issue and move on to the next most significant defect.

The importance of workforce

Studies show that in a typical shop environment, a technician touches the vehicle less than 40 percent of their day. What are they doing with the other 60 percent? Are they discussing issues with management, looking for parts, determining incorrect parts, waiting for someone to address a problem, waiting for a supplement approval or inspection, trying to locate missing tools, or looking for fasteners? Any of these sound familiar?

Can we agree that, if everything needed to repair the vehicle is gathered in the preparation phase of the process, then most of these "non-touch" issues will disappear? If you want to improve your shop's operation, just increase the touch time! (Easier said than done.)

That involves changing the mindset of your workforce and creating teams as opposed to individual technicians.  Teams that embrace the concept of complementary skills, the importance of being proactive, and understand that the line needs to be in continuous flow, can effectively attain their true potential.

This requires team members who don't "own" any individual repair job, but work together — and in unison — to keep the process moving.

The point here is that your team members have to be versatile at every position on the shop floor and lend their expertise anywhere on the floor that demands it to achieve and maximize continuous flow. That requires lots of coordination with management, coaching, communication (verbal and non-verbal), training, a culture change and a general sense of how to respond to inventory.

By uniting your employees as a team to work towards one common goal, you can eliminate a high degree of waste, and your labor effectiveness goes way up.

A process-centered environment is simple in concept, but requires an incredible amount of discipline.  It's a drumbeat-like environment that is sustained by preparation, communication, checkpoints and strict quality controls. And it involves a well-trained team that shares the common belief that if one flawed product is pushed downstream, flow is jeopardized, the process starts to unravel and predictable and dependable events no longer occur.

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