Factory Building Symposium on Lean Production January 29, 2007 Austin, Texas

Empowering the Lean Team Cavalier Homes, Inc. Addison, AL Michael Wade, Director of Manufacturing Operations

Cavalier Plant 2 Started: 1993 Location: Addison, AL Home type(s): HUD Code Price point: Moderate Design: Minimal customization Production: 8 floors/day Market area: Southeast US

Gaining Support for Lean Inspire through example Build from small to large

Cavalier’s Strategy Form a lean team of volunteers Improvements: Combined electrical activities into one area Streamlined material flow Eliminated obsolete materials and equipment Relocated closer to the point of use Form a lean team of volunteers Select highly visible electrical department for first success Push to get it done: complete overhaul applying the “Five Ss” Anthony Dickerson, water tester, committee chair Jerry Andrews, assistant production manager Dave Berry, QC inspector Mike Cornelius, exteriors Barry Doss, assistant supervisor - floor department Greg Gilliland, supervisor, partitions and electrical departments (rotating member) Roger Naylor, purchasing agent Buck Vickery, maintenance Greg Wiggins, production manager Johnny Wooten, QC manager Lean Committee Corporate Liaison Michael Wade, director of manufacturing operations Timothy Donaldson, value engineer

Leveraging the Initial Success Celebrate success Next, a major improvement

Exteriors Department Poorly organized work area resulting in multiple inefficiencies

Exteriors Department Equipment and materials Conveyance Loading Storage Then Now Lack of storage system Designated storage locations and racks for all materials Excessive motion to supply materials into the area Arranged materials for ease of loading Material not close to point of use Disposed of obsolete materials and fixtures Brought materials closer to point of use Obsolete materials and seldom used equipment clogging area

Highlights Lean team mainly production employees Team took initiative Little upper management pushing “Me too” factor Workers own results Strategy to sustain changes Lean a framework for efficiency initiatives Freedom to express constructive opinions

Moving Forward Expand “Five S” activity Initiate more ambitious RPIs Celebrate success Form lean teams at all other facilities

Lean Symposium

Factory Building Symposium on Lean Production Manufactured Housing Research Alliance Jordan Dentz (212) 496-0900 x13 jdentz@research-alliance.org www.mhrahome.org