Implementation of Metal Casting Best Practices - EERE - U.S. ...

their plant where it fits rather than where it belongs in the overall workflow. Steel Foundry-2 was
no exception to this industrial practice, and it began to work with The Iowa State University
(ISU) to rectify inefficiencies, develop an improved plant layout, and reduce materials handling.
With support of the Metal Casting R&D portfolio and the cost share of Steel Foundry-2, ISU
began to evaluate the foundry’s layout. The ISU objectives were to provide Steel Foundry-2 with
recommendations for re-engineering its layout and to identify ergonomic improvements. As a
result of ISU’s analysis and their suggested work in process material flow redesign, Steel
Foundry-2 was able to cut 53 miles of wasted travel a year from within the plant. The ISU
recommendations that the foundry implemented reduced the number of transfer stations from
nine to six and affected approximately 50% of the products it produces.
The incorporation of the work done by ISU into Steel Foundry-2 has made the casting process
more reliable for the foundry. This is because there is less handling of the products and
operations are conducted in a much more continuous manner. According to the foundry
management, this advantage assists them in meeting their delivery commitments efficiently.
2. Areas of Improvement
During the site visit, it was difficult to identify areas where Steel Foundry-2 could improve its
operations and reduce the energy use. The common areas for improvement identified in this
project at a number of plants were not applicable to this facility. There were no excessive air
leaks, the facility was willing to test and implement research results that improved its bottom line,
and the facility paid close attention to good housekeeping. However, there is one area in which
the assessment team felt the foundry could make some changes to improve its energy efficiency
and reduce costs.
Business Plan
Steel Foundry-2, like many other foundries, needs to devise a plan to overcome the dilemma
between engineering and the purchasing department. The purchasing department at Steel
Foundry-2 is mostly concerned with the cost of equipment, where as the engineering department
wants the most efficient equipment. For example, when a motor needs to be replaced, the
purchasing department will suggest replacing the broken motor with an older less efficient motor
that the plant has in storage or rewinding/repairing the failed motor. This option saves the
company money in the short term, yet will most likely result in higher electricity use at the plant.
On the other hand, the engineering department’s preferred decision is to purchase the most
efficient and powerful motor, but that will incur a higher initial cost and may provide more
horsepower than is needed.
It would benefit Steel Foundry-2 if it were to develop a long-term purchasing decision-making
plan based on an analysis of both short-term and long-term costs and benefits of various
purchasing options. Using the suite of BestPractices tools can further assist the staff at Steel
Foundry-2 in making sound purchasing decisions. These tools can enable the purchasing and
engineering departments to analyze the true costs of replacing a piece of equipment, such as a
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