CMD

Best Practices
October, 2016

Nidec Motor Corporation

 2010-2016 Complexity Growth

CMD I, CMD II, NLA, Rotors BU and Shaft BU

As of July 2016
FY 2010 FY 2015 % Growth
CHANNEL 10 13 30%

CUSTOMERS 111 533 380%

23 25 9%

Apr-Jul16 Active Models SKUs 4,363 6,359 46%

CMD +137 Variable Speed
VSPD +18 91 435 378%
CMD Apr-Jul
2161,616 MOTORS 4,533,734 5,738, 373 27%
Expected FY16
5650,000 NMQC
74K 923K 1,189%

Process - Head Count ORDERS/WEEK 358 500 40%

Stamping Shaft
Shells/Painting HEADCOUNT 1,809 2,118 17%
Die Cast

2
 Culture Evolution
Perf(x) Culture Evolution @ CMD
FY87 FY95 FY00 FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15

CMD CMD
Start Expans Perf (x) Culture Initiative and Continous Improvment
Up ion

eKb on Line via Oracle

1st Kb Activity Kb via Excel Formats eKb via Oracle
55 External Suppliers

RTY
Manual System - Database - Real Time

Lean
ePerformance & eProductivity
Enterprise

Lean Design Activity : SMED - One Piece Flow - Takt Time - Complexity Reduction - Bar Code

TPM Implementation

Energy Saving Program

Activity Since Yr 2000

Six Sigma Actually CMD has 5 Certifyed BB and 15 GB

1st Phase Started with Weekly Audits LOTO on

6S's+Safety 2dn Phase Moved to Self Audits Maintenance and Equipment
3rd Phase Included LOTO

ISO9001-2008 Version
ISO9001 Version 1994
Certified on 2010
Certified Since 1995 Surveillances 100% OK
CWQI
POKAYOKE
Mechanical, Electrical, Optical

Employee Communications - Awards & Recognitions

Involvement President's Operational Excelence Award - '96 & '03
COO Safety Award - '09

3
3Q6S a continuous improvement
model to produce business results

4
 3Q6S Organization Structure
3Q6S
Enrique Elizondo

Jose Ramirez
IT Programmer

Knowledge Mgmt Business Process 6's + Safety Quality Mgmt Lean Enterprise Employee Involvement
Eric de la Garza Tomas Garcia Blanca Jacobo Jesus Pequeo Juan Pablo Olivares Blanca Jacobo
BB BB GB BB GB GB

Berenice Gaytan Veronica Salazar Jaime Salazar Guadalupe Gzz Luis Guerrero Yadira Gomez
GB GB Supervisor GB GB GB

Roberto Gil David Hernandez Alfredo Sanchez Juan J. Castro Alvaro Gongora Alejandro Pozos
GB GB Suoervisor BB GB GB

Vistor Rivera Gutberto Rincon Jesus Villanueva Luis Zermeo

GB GB Supervisor GB

Ignacio Salazar Magdaleno Flores Ruben Gonzalez

BB GB GB

Martha Campa Arnoldo Sandate

GB GB

Claudio Salguero
GB

5
 What Has Done for Us?
Flexibility Focus Customer PPMs
27,500 600 1,800
27,000 1,660
27,000 500 1,600
26,600
1,400
26,500 400
26,150 1,200
26,000 25,720 300 1,000
767 779
25,400 800
25,500 200 586
600 543
25,000 100
400
24,500 0 200
FY'11 FY'12 FY'13 FY'14 FY'15
0
Orders Per Week Motors FY11 FY12 FY13 FY14 FY15

Productivity Response Time

59.8 62.5 59.9 60 FY'88
61 57.1 Build Sched.
FY'90
Master
51 FY'92
Feeder
FY'94
Set Sched.
41 FY'98
Daily Sched.
FY'99
31 C57 KB
FY'00
Lean Process
21 FY'05
KB Supplier
FY'14 High Volume Motors - 5 Days
11 FY'14
Medium Volume Motors - 10 Days MMM
FY'14
1 Low Vol. Motors - 15 Days
CONSOLIDATION
FY11 FY12 FY13 FY14 FY15 0 2 4 6 8 10 12 14

6
CMD Core Software Applications
Application Area Owner Objective Comments
Oracle ERP Production L. Martinez Plant manufacturing operations management Used at NLA, Motores,
Control REY
Integrated Production Production G. Rosales Production operations management Used at CMD only
System
Scrap Management Production G. Rosales Scrap Control management Used at CMD only,
System Motores Finance to see
use at CMD
Shop Floor System Production G. Rosales Shop Floor Scheduling and Production Management Used at CMD only

ePerformance Production G. Rosales Monitoring plant Operations behaviour Used at CMD only

OEE Production C. Gonzalez Manage Overall Equipment Efficiency Used at NLA, CMD

Quality Integrated Quality J. Pequeo Manage and Control Quality processes Used at CMD only
System
Motor Test Board Quality J. Pequeo Control and Measurement of electrical and torque Used at CMD only
Management elements
Gage Track Quality J. Pequeo Gage Control and Management Used at CMD only

Data Collection Defects Quality J. Pequeo Rolled Throughput Yield Used at CMD only

Future SPC Quality J. Pequeo Statistical Process Control Management Used at CMD only

HR Management System HR M. Silva HR and Payroll Management Used at NLA, Motores

Training System HR M. Silva Manage and control training Used at CMD only

Time and Attendance HR M. Silva Manage and Control time and attendance Used at NLA, Motores
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CMD Core Software Applications

Application Area Owner Objective Comments

Corrective / Preventive Manufacturing M. Gonzalez Control of corrective and preventive maintenance Project for Motores to
System use this programs
eFactory Manufacturing M. Gonzalez MRO Purchase and Inventory Management (Tool-Crib) Used at CMD only

SisRe Manufacturing M. Gonzalez MRO Purchase and Inventory Management Used at CMD only

Fourth-Shift Finance F. Ayala Financial Management Used at CMD only

Trade Compliance Import-Export J. Barron Manage Pedimento and ICS per Annex 24 Used at NLA,
Vastera Motores, REY
Shop Floor System Scheduling P. Perez Shop Floor Scheduling and Production Management Used at CMD only

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Best Practices Plant Sequence
On Line
1

2
500 Pcs
PSSP
500 Pcs
PULL CONCEPT
Varnish Kanban Kanban Kanban Kanban
3
500 Pcs 500 Pcs 500 Pcs 500 Pcs 500 Pcs
Production Normal Kanban Normal Kanban Kanban Kanban
4 500 Pcs 500 Pcs 500 Pcs 500 Pcs
500 Pcs Production Production
Kanban Normal Normal Kanban Kanban
5 500 Pcs Production Production 500 Pcs 500 Pcs
Kanban Kanban Kanban
6 500 Pcs 500 Pcs 500 Pcs
Normal Normal Normal Kanban
7 Production Production Production 500 Pcs
Kanban
8 500 Pcs
Kanban
9 500 Pcs

Guidelines
Winding As Pace Maker To All Production Areas
Basic Rule:
All Feeder Departments Must Be At Kb Location When Winding Sequence Is Completed On The Lines.
23 Product Families Throughout The Plant
8 Hac
15 Gpm
100+ Orders Per Day Or 500+ Orders Per Week
Min Order Qty. Of 25 Motors
Max Order Qty. : Open
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 Sequence Completion
Sequence Completion
10/13/16 7:30 Goal = 95%
Total Motores X74, 99%
38,600 100% MISC, 92%
(SICMD) X73, 89%
X78's Disponibles 20,611 80%
X69, 68%
MOTORES CON
SECUENCIAS 11,827 57.4% 60%
COMPLETAS
40%

13-Oct Seq Comp Tgt 20%

X74 99% 95.0%
X69 68% 95.0% 0%
X73 89% 95.0% X74 X69 X73 MISC
MISC 92% 95.0%
B20 98% 95.0%

FALTANTES PARA X69's

FALTANTES X69's Goal = 0%
2nd Level Pareto

13-Oct Seq Comp Tgt 40%

X27 13% 0.0%
S25 CMD 15% 0.0%
S25 COMPRADAS 26% 0.0% 26%

20%
15%
13%

0%
X27 S25 CMD S25 COMPRADAS
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 Shaft Vision System
VICI Vision Shaft measurement

Set Up Verification: Yes

Review Set up: Every one or 2 hours
Cycle time on 91 point: 31 seg.
Location each point : Yes
Kind of Measurement:
Distance
Radios
Style
Roundness
TIR
Customer Certification : GAST 100% Program Quantity: 116
Customer: Goodman, Zamil Air, Port a cool, Different Diameter size: 3
25mm 75 programs
American, GSI, USEM, TPI, Triangle,
19mm 5 programs
Wholesale etc. 17mm 25 programs
GAST 11 programs

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 CMD Main Work Centers
4-Nov 11-Nov 18-Nov 25-Nov
Week2 Week3 Week4 Week5

Total Total Total Total Total Total Total Total

Capacity Capacity Capacity Capacity
Resource Resource Resource Resource Resource Resource Resource Resource
Resource Utilization Utilization Utilization Utilization
Requirement Availability Requirement Availability Requirement Availability Requirement Availability
(%) Week2 (%) Week3 (%) Week4 (%) Week5
Week2 Week2 Week3 Week3 Week4 Week4 Week5 Week5

BALROTOR 952 5780 16.47 1524 5780 26.37 797 5780 13.79 1683 5780 29.11
EMULADOR 2094 4865 43.04 3150 4865 64.75 500 4865 10.28 1100 4865 22.61
OVERSPRAY 1234 3400 36.29 1884 3400 55.41 2702 3400 79.47 947 3400 27.85
VERSAPACK 12315 42500 28.98 11104 42500 26.13 15176 42500 35.71 4651 42500 10.94
YASKAWA 1724 4250 40.56 2245 4250 52.82 2108 4250 49.6 816 4250 19.2

When capacity utilization exceeds 100%, the schedule needs to be reviewed and adjusted

Item Item Start Job Completion Job

Item Status Product Line Job Qty BALROTOR EMULADOR OVERSPRAY VERSAPACK YASKAWA
Description Type Date Date
T055CFR1288013H MOTOR Active FG N4855 2Sp Jet Pump 7656873-8 900 03-NOV-2016 07-NOV-2016 0 900 0 0 0
T055CBB1185013H MOTOR Active FG N4855 2Sp Jet Pump 7656878-2 96 09-NOV-2016 11-NOV-2016 0 96 0 0 0
T055CFJ1281013H MOTOR Active FG N4855 Jet Pump 7656878-3 180 08-NOV-2016 10-NOV-2016 0 180 0 0 0
T055CBB1185013H MOTOR Active FG N4855 2Sp Jet Pump 7656878-5 384 04-NOV-2016 08-NOV-2016 0 384 0 0 0
C055KBB4798013H MOTOR Active FG N4855 Jet Pump 7656912-1 180 08-NOV-2016 10-NOV-2016 0 180 0 0 0
C055KCP4841013H MOTOR Active FG N4855 2Sp Jet Pump 7656912-3 630 09-NOV-2016 11-NOV-2016 0 630 0 0 0
R055FBH0279013H MOTOR Active FG N4855 2Sp Jet Pump 7657014-3 600 09-NOV-2016 09-NOV-2016 0 600 0 0 0
T055CBB1185013H MOTOR Active FG N4855 2Sp Jet Pump 7659654-1 60 09-NOV-2016 11-NOV-2016 0 60 0 0 0
T055CFJ1281013H MOTOR Active FG N4855 Jet Pump 7661005-3 120 09-NOV-2016 11-NOV-2016 0 120 0 0 0

Total Hours Loaded 3150

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 Noise Tester Machine
More than 1600 Poka Yokes can be used during motor manufacture
.

Objective test for motor noise detection , eliminates operator

dependency
Space floor reduction , boot tester elimination .
Used on models assigned with noise level major or critical .
13
CMD Monitoring System

14
E Learning

15
Automatic Test for Die-Cast Rotors
Detect:
Broken Bars, Blowholes Or Porosity, Wrong Bar Screw Angle,
Aluminum Alloy Quality, Short-circuits Between Laminations And
Bars

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Detect Low/Loose Wire

Description: Poka Yoke that detect Low/Loose Wire.

Benefits: Reduction of PPM of Low/Loose Wire in the
Surge Operation, Winding Department.

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Gemba Board

18
EKanban

19
 EKanban
ACKNOWLEDGE SIGNAL
Supplier reviews the board and
acknowledges demand by
moving the Kanban to Demand
Accepted status and begins
producing parts

SEND SIGNAL
The Kanban is scanned by the SHIPPING
11 5
6 1
material handler as each As the product is shipped, the
container is consumed. This supplier moves cards to
moves the Kanban from On- Shipped status
Hand to Consumed

RECEIVING
As material is received into
Oracle, the system
automatically moves the
corresponding cards from
Shipped to On-Hand

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Production Ishikawa Capture

21
Production Ishikawa Diagram

22
Lean Enterprise Tool System

Total Productive
Maintenance
23
OEE

24
Information Center for Each Station VSPD
For Variable Speed, there is Touch
Screen on each station

Operation Instruction

Drawings

25
Information Center for Each Station VSPD

Bill Of Material

First Piece Inspection

RTY

26
Electronic Check List (Variable Speed)
-Electronic data file to specify the models of different families
- Reduces the use of paper

27
 Serial Number at each Motor
Model tracking method that allows CMD get the motor information
Assembly Line
Operator number
Production date and hour
Consecutive Day of Year
Year
Consecutive Tracking number
Electrical Results from MTB

It will print only if the

motor is approved by
the MTB

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Predictive Maintenance Thermographs

Recommendation Severity
29
 LOTO (Lock Out Tag Out)
-Se imparte a todo personal de mtto
mediante el e-learning
-Adaptado a CMD
-Recordatorios Anuales
-Nuevo Ingreso
-Aplica tambin para personal operativo-
Incluye video de como realizarlo

30 30
LOTO (Lock Out Tag Out)

Equipment
Locked

Delimited Area

Extra Locking Devices

31
 Double Stack into the trailers
2
We use the second floor, 3
add 1 additional skid with minor weight
and use the next fixture to assure the
stability.
1
1- We add one cargo strap, These will
positively lock into the slots for added
security
2- We add one Diamond Corr Void Fill,
this reduce the lateral movement.

With this method we maximize the

capacity of each trailer.

32
RTY System

33
RTY System

STATIONS MONITORING
CENTER

(REAL TIME
ANALYSIS)

34
Missing / Wrong Labels on motor
Label Scanning System :
RHEEM , TRANE & LENNOX

3- Scan Data 2- Scan Motor

Matrix label Nameplate

1 Scan Motor
Test Board ID Tag

Correct Wrong
Label Scanning all the nameplates ofLabel
Description: the motor.
Benefits: Assure the existence and the correct match between all the
labels. 35
Label Scanning System
2- Scan Motor
Nameplate

1 Scan Motor Test

Board ID Tag
3- Scan Data
Matrix label

Correct Wrong
36
Finger Print Quick Access Data
CMD implemented a Software for quick access on
gage inventory using operator finger print :

1. The operator put the finger on the optical reading device

2. The system get the information related to the operator
3. Scan the gage required by the operator .
4. Update the gage inventory and gage status.

The system reduced up to 70 % on gage time delivery and

eliminates paper usage ($).

Before After

37
Label Scanning Software Customer
Watsco
CMD implemented a Software for Scanning labels on
WATSCO models ; the process is as follows :

1. Scan the approved tag bar code to assure motor part number
2. Scan the nameplate bar code to match NIDEC part number
with customer part number.
3. Scan booklet bar code to assure kit installation.
4. Scan all L20 labels on the box , following the sequence
required by the drawing .
5. Get a data matrix label as evidence
for approved process .

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Poka Yoke, Connector Lead Assembly
Machine
Connector block
Light system
Is clamped
Will not open if Green, Yellow & Red
It is assy. wrong

Camera

Needs Key
To Open if it
Assembled Wrong

Part can not taken out of machine if it is assembled wrong

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Optical First Piece Inspection

If the software not detect any variation

pass the test- OK

If the software detect variation

Not pass the test- NG

40
Maintenance Software

Main Screen that using to open the List of all Maintenance Orders
Maintenance order Assigned, Pending and Finished

Description: Electronic System of Maintenance Orders (Paper Less)

Benefits: Better control of maintenance orders, reduce down time.

41
SPC Final Tester (VSP)

- Monitoring test end, both Stators and Motors

- Sample limits of testers as Surge, Resist, MA y BEMF

42
 e-Performance Tools
e-PERFORMANCE Plant Lay Out Out Put by Deparment or P. Line Out Put per Hour by Deparmet

Efficiency by Depart. or P. Line Failures Top Ten (Pareto) Second Level Pareto

43
 e-Performance Tools
Performance by Shift Resume Production Line Status Failures Loading Screen

Failures Detailed Report Finder of Equipment Equipment Location by P. Line

44
Automatic Illumination System

Hours and
days that
Working the
line

Description: Illumination system control (On / Off) according to needs

Benefits: Energy savings.

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