To pilot the implementation of SME Assist Model. Through this engagement process, the value, role, mindset and characteristics of the retirees and MNC experts are being analysed to formulate as part of SME Assist model.  The MNC retirees have contributed significantly to the value creation and low cost support for the pharmaceutical industry that was engaged by SME Assist. The three MNC experts played a significant role to bridge the university with their MNC and their MNC’s contract manufacturers.  They have also contributed significantly in transferring practical knowledge to the students and the contract manufacturers.

To pilot the implementation of SME Assist Model. Through this engagement process, the evolvement of a Centre of Excellence (COE) of LEAN Transformation methodology/technology and deployment process is anticipated that is relevant to the industries and sustainable by knowledge management coupled with innovation and the pool of students and academic staff. Through this engagement process, we also aimed to provide OJT (on the job training) for the students. This will enhance the competency and employability of the students upon graduation.

A total of eight projects were identified. Three projects were completed and the rest are in various stages of progress.  Below is a brief update of the status of the 8 projects:

1.

More than 25 students working with Motorola Penang engineers completed two projects on LEAN Transformation in the area of developing LEAN training video and a material distribution system in the cell line.

2.

SME Assist engaged to transform a pharmaceutical industry from February to July 2010.  Three third year students working with four retired MNC experts completed 10 weeks of internship in a pharmaceutical industry in Perak.  Knowledge of USM academic staff and retired experts are transferred to the students and the employees through intensive OJT (on the job training).  Significant value created for the company with 88.4% output improvement based on Oct 2009 to June 2010 performance.  All backlogs were cleared within nine weeks from the support of the students.  Wastage for ultrasonic welding process reduced from 26% to 2.3% based on sample data taken from March 2010 to June 2010.  Percentage of resin wastage reduced from 30.8% to 21.4% based on data taken from April 2010 to June 2010. OT reduced from 982 hours in January to 223 hours in June (77% reduction). Cost avoidance of RM50,000 through restoration and modification of the old problematic machine.

3.

4.

The academics had identified two students to support another two identified LEAN transformation projects.  One is a plastic and assembly contract manufacturer of Motorola Penang. Another is the semiconductor contract manufacturer of Avago Technologies (Malaysia) Sdn. Bhd. One project arrangement finalised and another project arrangement is in progress.

Five projects for LEAN Transformation in Motorola Penang. Through this engagement, we had the opportunity to experience integrated research approach to a solution. It also provides opportunity to integrate the strength of both parties through the two-way learning and mindset change for the USM academic staff and Motorolans. 

Five projects were identified and the academic involved had provided excellent leadership to assemble the team together. She had skilfully influenced the mindset change of the researchers to scale down the cost of the projects through smart collaboration. This engagement aims to provide 2-way learning and more mindset changes for both parties. 

One LEAN Transformation project (Poka Yoke of part error) was identified by the Motorola engineers to collaborate with the School of Electrical and Electronic. A final year student was assigned to undertake this research.

One LEAN Transformation project (Automation of Optimisation of Material Usage) was identified to support a randomly selected SME.  The team is finalising the arrangement for a student’s final year project.

Literature reviewed of national and international level SME related issues was completed before the formulation of the AMS Assist model. A joint research paper between an academic and a retired MNC expert was submitted, which is related to the conceptualization, testing and implementation of SME Assist Model for an international workshop in Denmark, 30th September to 1st October 2010. The paper is presently under revision for publication.

A LEAN Transformation was identified on simulation of product flow for a Distribution Center. One USM’s student was selected to undertake this project as his/her final year project.