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~~ .. ~ ~ ~ <br />.Precision machining :company <br />Orluc~c-lndustfies Inc. <br />leans up to maximize process <br />efficiency as the bless <br />transforrx~s from'prototyping <br />to longer run production. <br />,; <br />~~ ~ ~~ ' <br />In Elk River, Orhick Industries Inc. has long <br />provided prototypes and one-of-a-kind products to its <br />customers. But a 2007 ISO and AS9100 certification- <br />the quality management standard for the aerospace <br />industry-has moved the operation into longer run <br />production, as more aerospace customers have placed <br />long-term contracts. In Tanuary, Orluck Industries <br />also received asix-year contract to make product for <br />aerospace giant Boeing. <br />Peter Orluck, president of Orluck Industries, says <br />the longer runs and new contract inspired the com- <br />pany to take a close look at its processes. "V~jhen we <br />started bringing inmulti-year contracts, lean became <br />more valuable for us," Orluck says. `Beorgat>izing <br />our company around value streams as well as taking <br />the opportunity to streamline a project at the start, as <br />opposed to small improvements each time the product <br />was ordered, has paid dividends." <br />To capitalize on efficiency throughout its production <br />process, Orluck Industries has worked with Enterprise <br />Mimlesota to conduct value stream mapping and Kai- <br />zen events. One Kaizen event focused specifically on <br />the pace of machine throughput, while another honed <br />in on standardization of work and effective communi- <br />cation among employees. <br />The company's lean initiatives have helped to <br />improve traceability and lessen errors by reducing the <br />number of times product is handled and counted. Pro- <br />cess improvements have also quickened production, <br />helping the company to achieve a 25 percent increase <br />in profits on long-term projects. <br />Orhick says he has also witnessed a mental shift <br />among employees, from segmented steps to a stream- <br />lined process. Though he can't put a number on it, <br />Orhick believes the more team-oriented attitude of his <br />work force has benefited his company's profit margins. <br />"The No. 1 intangible benefit is that when employees <br />see a new project, they think about it from start to <br />finish, instead of just their little piece of it," he says. <br />"That thinking really helps move projects through <br />more efficiently and effectively." ~ <br />To learn more about Orluck Industries Inc., <br />visit www.orluckindustries.com. <br />ENTERPRISE MINNESOTA NOV/DEC 2009 7 <br />