Webinar Royal Danish Embassy

Using lean manufacturing tools to integrate productivity and health and safety improvements in RMG, thereby securing that the industry

stays competitive in a sustainable future

- more important than ever due to the COVID 19 crisis

WebinarRoyal Danish Embassy

Peter Hasle, ProfessorGlobal Sustainable Production

University of Southern Denmark&

Mohammad Sarwar Morshed, ProfessorIndustrial and Production Engineering

Ahsanullah University of Science and Technology

The garment industry– successful and challenged

with an uncertain future

Garment – present challenges

Peter Hasle

Present challengesDominated by low end marketLow productivityA tarnished reputationUnsafe and unhealthy working conditionsUnstable labour force with high turnoverNew demands from buyers

Adding the Covid 19 crisisOrders disappearOutbreak of contagionImplementation of Covid 19 preventive

measures

Trends among international buyers Smaller lots, shorter delivery time and

higher qualityExpectations of social and environmental

sustainabilityControl and partnerships

Covid 19 responsesIncreasing risk management (stronger risk

control)Shortening supply chains (moving closer to

key markets)

Lost opportunities – learning from a five year research project

Peter Hasle

Key result: All garment factories can increase productivity with 25% and considerable improvements of OHS

• In a few months and with almost no investment• Production price per piece will be considerably reduced and the factory stays competitive

But:Most factories fail implementation – even with external supportAnd if implemented – most factories cannot sustainWhy:An outdated dominant logic: We stay competitive due to low salariesTop managers uncommittedAd hoc thinking: We need to solve here and now problemsHigh labour turnover: both educated and experienced workers leave

Integration of occupational health and safety (OHS), productivity and quality

Peter Hasle

Low productivity, quality problems and OHS have often the same sourcesPoor housekeepingInappropriately designed workstationsInconveniant layoutsTime consuming and heavy internal materials handlingUnclear and unknown goals and targets (suboptimisation, realities hidden)Wrong incentives hampering cooperation (cover my ash-behaviour)Limited involvement of workersFatigued and unhealthy workersLow motivationLarge hidden cost in recruiting and training new staff and workers

Some factories have integrated productivity and OHS at a high level

Peter Hasle

How?

Peter Hasle

Advantages:Almost only organisational changesAlmost no investment in expensive equipment or facilitiesPhysical space requirements reducedA variety of tools fitting all elements of productionSimple practical and action orientedStrong possibilities to involved workers and improve OHS

Disadvantages:Require top management commitment on a continuous basis (spend attention and time)Initial external input requiredLimited possibilities to blame outsiders for problems

use lean

Using lean to integrate OHS and productivity

- results from garment in Bangladesh

Peter Hasle

Up to:• Value added time +100%• Efficiency +25%• Housekeeping +20%• Quality +25%

Reduction in acute muscular-skeletal pain with20%

OHSpractices

Operationalpractices

Well-being& safety

Productivity & quality

Integrated lean

implementation

Top managementcommitment

Hamja, Maalouf, & Hasle (2019). Assessing the effects of lean on occupational health and safety in the Ready-Made Garment industry. Work, 64, 385–395.

Key lean tools

Peter Hasle

Value stream mapping• Measure production flow for value added time (time & motion studies, bottleneck analysis, risks)

5S – Sort, Set in order, Shine, Standardise, Sustain• Unnecessary equipment removed, flow improved, work station design (ergonomics) optimised

Visual management• Tracks targets and performance, including OHS

Kaizen• Involve workers in suggesting and implementing improvements

Standard work• Standardise the most safe and productive work methods

Total quality management (TQM)• Root analysis and erradication of quality problems

SMED• Reduces change over time

Organisation of lean implementation integrated with OHS

Peter Hasle

Use a stepwise approach based on involvement of staff, supervisors and workers• The big turn around is never sustained

Make a steering group chaired by the top manager• Top manager needs to show visible (walk the talk) commitment – request progress reports at

management meetings, visit production floor, ask questions about progress and listen to concerns

Make working groups for implementation• Representatives of key staff, supervisors and workers

Introduce middle management coordination meetings (production, quality, planning, compliance)Make weekly lean board meeting with workers (10 minutes standing about targets and

suggestions)Train involved staff, supervisors and workers (perhaps with external assistance)

Covid 19 challenges – should we wait to start improvements?

Peter Hasle

No, even stronger need now: Necessary to implement extensive preventive measures to prevent outbreak in factories

• E.g. large slaughterhouse in both Denmark and Germany closed due to local outbreaksCovid 19 preventive measures expensive and reduce productivityUse lean tools to analyse production flow and layout to identify hot spots for transmission of virusIntegrate the preventive measures in the production process to secure compliance as well as

productivityUse weekly lean board meetings to inform about preventive measures and latest news about the

Covid 19 situation to secure compliance and avoid fear and uncertainty

• Questions?

During the presentation and Q&A session, write questions in chat or raise hand If technical problems, write in chat, mail to Julie Bundgaard: [email protected] or call/text: +45 6550 7212