AAU Student Projects - visit Aalborg University's student projects portal
A master's thesis from Aalborg University
Book cover


Reducing Inventory - Maintaining Flexibility

Author

Term

10. term

Publication year

2009

Pages

91

Abstract

This thesis examines how GMH2, a plant within Grundfos Manufacturing Hungary, can free shop floor space by reducing inventory while maintaining flexibility and delivery performance. Using a case study design, it maps the production system, market expectations, and material flows; conducts area utilization, descriptive, and cause analyses; and draws on literature and empirical observations to assess practicable interventions. The analysis identifies eight root causes of excessive inventory—product mix variety, a 12-hour delivery strategy, an assemble-to-order (ATO) principle, long machining changeovers, unreliable processes, complex material flows, an undefined internal warehouse role, and inadequate BOMs—and consolidates them into two underlying issues: inventory serves as a flexibility buffer against both market-driven and self-inflicted variety, and complexity reinforces itself. The thesis proposes a redesign grounded in simplicity and discipline: differentiate delivery strategies and manufacturing principles for make-to-stock (MTS) and make-to-order (MTO) products, introduce kitting in the internal warehouse and two clear material flows, reduce machining changeover times (e.g., flexible jaws on Integrex and Multiplex), and implement capacity planning. While success depends on cultural anchoring and managerial follow-through, the changes are expected to free around 2000 m² (out of about 2250 m², ~19% of the shop floor currently occupied by inventory) and support long-term growth by lowering complexity.

Denne afhandling undersøger, hvordan GMH2, en fabrik i Grundfos Manufacturing Hungary, kan frigøre produktionsareal ved at reducere lagerbeholdninger og samtidig bevare fleksibilitet og leveringsperformance. Med et casestudie som ramme kortlægges produktionssystemet, markedsforventninger og materialeflow; der gennemføres arealudnyttelses-, beskrivende- og årsagsanalyser; og litteratur samt empiriske observationer anvendes til at vurdere praktiske tiltag. Analysen identificerer otte rodårsager til de høje lagerniveauer—produktmixvariation, en 12-timers leveringsstrategi, et ATO-princip, lange omstillingstider i bearbejdning, upålidelige processer, komplekse materialeflows, et udefineret internt lager og utilstrækkelige styklister—og samler dem i to grundlæggende problemfelter: lager fungerer som fleksibilitetsbuffer mod både markedsdrevet og selvpåført variation, og kompleksitet skaber mere kompleksitet. Afhandlingen foreslår en enkelheds- og disciplinbaseret redesign: differentier leveringsstrategier og produktionsprincipper for MTS- og MTO-produkter, indfør kitting i det interne lager og to klare materialeflows, reducer omstillingstider i bearbejdning (fx fleksible bakker på Integrex og Multiplex) og indfør kapacitetsplanlægning. Implementeringen kræver kulturel forankring og ledelsesmæssig opfølgning, men forventes at kunne frigøre omkring 2000 m² (ud af ca. 2250 m², ~19 % af fabriksgulvet aktuelt optaget af lager) og understøtte langsigtet vækst gennem lavere kompleksitet.

[This apstract has been generated with the help of AI directly from the project full text]