Assignment
The assignment had two parts:
- Reduce backlog in repair.
- Set up a reuse center for ASML customers, including harvesting.
Due to the growing demand for product repairs, a backlog occurred. The capacity for repair and testing was not aligned. Also, the organization, administration, and system support for the repair process were not mature enough to deal with the growth in repairs.
Secondly, there was a need to establish a dedicated service center for reuse purposes. This need was based on both sustainable ambitions and customer demands.
Approach
The first step was to control the regular process and increase capacity to begin reducing the backlog. Control was achieved by introducing reliable information on stock, backlog, resources, etc. Secondly, we introduced a new planning approach based on a Master Production Schedule, focusing on the short term with essential items for our customers and planning batches to decrease turnaround time. Thirdly, we started sourcing more Repair Analysts to have additional resources available. We ensured that we minimized non-value-added work for the repair analysts. In the final phase, we introduced a U-shaped Cell production setup with dedicated test equipment for basic skill products to increase output and decrease throughput time.
For the setup of the new service center, we began laying the groundwork for the necessary processes and system support. Secondly, we initiated the business case to operationalize the ongoing project with ASML customers on harvesting and reuse. After a successful pilot phase, we began investing in a new location where all activities of the reuse center could be implemented.
Results
We were able to reduce the backlog by 25% in 6 months. We increased our Repair Analyst capacity by 20%. We were able to increase the number of reliable confirmations to ASML by 50%. But the biggest success was the control we gained over the process and the output by introducing the MPS and delivering the right products on time to our customers.
The service center was opened on 12-04-2024 by Martin van den Brink, CTO of ASML. Currently, the first batches of items to be harvested and reused are being acquired by the service center and will be incorporated into new products. All processes have been implemented, and plans for rapid expansion are in place.