Top Banner
Paper Trim Waste ! What is the cost of using incorrect measurements of paper widths?
25

Paper Width Measures.

Jun 02, 2015

Download

Technology

Margarita Mejia

Your most important asset: Don’t waste it!.
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Page 1: Paper Width Measures.

Paper Trim Waste !

What is the cost of using incorrect measurements of paper widths?

Page 2: Paper Width Measures.

Selecting the top consumed widths of the past month?

A consumption trend of the current month ?

Selecting the top items of the sales forecast?

At a rough guess ?

How does your company calculates the paper widths measures ?

Page 3: Paper Width Measures.

Lets figure out this scenario:

A corrugated plant will consume 6,425 tons for the next period*.

This consume will be distributed in 400 different items.

* The period could be: monthly, quartetly, etc.

Page 4: Paper Width Measures.

I T E M # 1

If you don’t know exactly how to calculate the accurate measures of paper widths to ensure the least amount of

paper waste, this is what may cost to your company:

Page 5: Paper Width Measures.

* $600 Dlls. per tonnage

Let’s figure out you have an item with

this measures

And you only have paper in these

measures.

The initial, free, extra cost of paper trim waste for

the first item is: 7.1 tons or $4,291* Dlls.

You customer needs 50 k units.

Page 6: Paper Width Measures.

I know what you are thinking: why don’t you mix orders to fill the space between the 80

and 97 widths ?

Because of the measures is difficult to combine orders above 71” and because of the length is difficult to find orders to fill such a big quantity,

among other requirements it’s necessary to meet.

Page 7: Paper Width Measures.

I T E M # 2

Page 8: Paper Width Measures.

The cost for the second item is: 2.8 ton or $1,732* Dlls.

* $600 Dlls. per tonnage

Oh, sorry, I’m forgetting to tell you about the Waste Factor and Trim Width. The totals Tons Trim Waste are calculated with 7% of production waste and 2.7 cm (1.06 in) of normal trim. This quantities may vary according the standards of

each company.

Page 9: Paper Width Measures.

I T E M # 3

Page 10: Paper Width Measures.

The cost for the third item is: .3 ton or $176* Dlls.

* $600 Dlls. per tonnage

In this kind of orders you can do what ever you want, ok?, of course you need to reduce costs anytime, but instead of spend time in the small orders, better

review the percentaje of waste of the large ones.

Page 11: Paper Width Measures.

I T E M 4 , 5 , 6 , … N

Remember, you should start with the items of greatest impact on cost or productivity.

And so on..

Page 12: Paper Width Measures.

Applying the rigth calculations, it’s possible to identify and select the optimal paper widths to buy paper for the next period.

These are not the Lotto numbers, ok ?, but have similar effects.

No other measures ensures the least amount of waste for those 400 items.Really !…. No other ones.

Page 13: Paper Width Measures.

I T E M # 1

Let’s calculate the same items with the optimal paper width measures.

Page 14: Paper Width Measures.

The cost for the first item is: .1 ton or $72* Dlls., when the paper widths are the ideal measures.

* $600 Dlls. per tonnage

Page 15: Paper Width Measures.

I T E M # 2

Page 16: Paper Width Measures.

The cost for the second item is: 2 ton or $1,217* Dlls.

* $600 Dlls. per tonnage

Page 17: Paper Width Measures.

I T E M # 3

Page 18: Paper Width Measures.

The cost for the third item is: .7 ton or $406* Dlls.

* $600 Dlls. per tonnage

Page 19: Paper Width Measures.

Let ’s compare the results.

Please, take a deep breath.

Page 20: Paper Width Measures.

This exercise shows the importance of analizing the top consumed items.

You may notice that the differences calculated in only 3 items are high-impact on

the cost and / or productivity.

Page 21: Paper Width Measures.

There are other additional costs generated in the 9.404 m2, such as glue, transportation, waste management, storage, salaries, etc.

This amount also affects the statistics of production, because it increases the square footage produced. Since the trim is absorbed by the ducts and then mixed with other waste, it is

difficult validation of results per run.

Page 22: Paper Width Measures.

There are additional costs of greater impact

that occurs when you run out of inventory

and it must be used the next one.

Similarly the costs associated

with paper surplus, which is difficult

to use for not having orders on

those measures.

Page 23: Paper Width Measures.

You have the advantage to choose the ideal paper

widths measures to ensure the lowest amount of paper

waste

Intelligent system

Human Expert

And please, let the system to find matching orders, only for those items with the lowest impact on cost / productivity, ok?`

So, since you are planning the

purchase of paper, you can reduce costs.

And you have pleeenty of time to

deal with unexpected issues.

Page 24: Paper Width Measures.

So, just answer these questions:

Do you know how to calculate the ideal size of each width ?

Are your paper widths aligned to the most consumed items ?

Is it stable the consumption per width ?

Do you need to change your widths ?

Page 25: Paper Width Measures.

* Paper Width: Mixing orders.

Other presentation about paper widths is available in the following link: