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Kaizen

Kai + zen
(Change for the better)

1 © 2009 RLM & Associates LLC


6
3/27/2018
Kaizen Defined
• Continuous, incremental improvement of an
activity to create more value with less waste.
A process of continually making incremental,
ongoing changes and not as a single, separate
event.

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Kaizen
• Small-scale improvements are easier and
faster.

• The risks are lower because they generally


have limited effect.

• The accumulated effect is often greater than


a single large improvement
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Change Management
• The Lean journey is paved by kaizen events
• Lean concepts are simple -- sustaining is hard
• Lean as a business strategy and supported by
top mgt.

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Kaizen Teams

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Kaizen Teams
• Daily work teams
– Multi-skilled, cross-trained team working in a cell
– TPM team (mgt, engr, maint., operators)
– Do not disband
• Kaizen team
– Multi-skilled, cross-trained and cross-functional
– Led by a facilitator
– Trained in problem solving, conflict resolution, etc

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Kaizen Events
(Creativity before capitol)

• Identify a problem
• Brainstorm with employees
• Make the improvement
• Monitor results
• Adjust as necessary
• Apply to like processes

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Pre-Event: Planning
Meeting Task Name Duration
1 Team Introductions 1 hr

2 Resource Planning 2 hrs

3 Preparation 1 hr
4 Kaizen event 5 days
5 Follow-up 4 hrs
6 Follow-up & closeout 4 hrs

Kaizen event
3/27/2018 completed
© 2009 RLM & Associates LLC 8
Pre-Event: People
• Project Leader
• Lean Champion
• Team Members

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Day 1
• Team Introductions
• Project Scope
• Overview with goals
• Team Charter
• Determine current state map
• Brainstorm ideas for future state map
• Set up plant walk-through

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Day 2
• Communicate, Communicate!
• Select Metrics
• Select method for improvement
• Build team consensus and select actual tasks
• Organize tasks
– A Tasks - the team can do without permission
– B Tasks - requiring help from maint., IT, accounting
– C Tasks - requiring management approval
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Effort and Impact Matrix

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Day 3
• Identify items or material you need
• Discuss possible obstacles to implementation
• Communicate with target area people
• Start implementation of ideas

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Day 4
• Continue with improvement implementation
• Work in teams of at least two
• Identify action items to address in order to
complete kaizen event effort

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Day 5
• Complete the Kaizen event
• Develop a 30-day action item follow-up list
• Document improvements
• Calculate savings

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Closeout and Presentation
• Create a short presentation to management
and people in the area.
• Everyone participate
• Have accounting present the cost savings

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Follow-up
• Ensure that all assigned tasks have been
completed (infrastructure)
• Help build the habits and discipline of lean
and reinforces the concepts.

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Project Closeout
• Captures the total qualitative, quantitative,
and financial improvements
• Collect lessons learned
• Update your VSM
• Have official celebration to reward and
recognize the team’s efforts

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Points to Consider for Implementing
JIT and Changing Layouts
1. Study the process thoroughly first
2. Don’t under estimate the cost of changes
3. Know your people capabilities because of additional duties
4. Training is Vital
5. Identify Goals and Objectives
6. Be creative
7. Don’t be afraid to make mistakes
8. Involve everyone concerned
9. Educate your people about the goals and objectives
10.Keep it as simple as possible
11.Stress flexibility of tools and equipment
12.Keep areas open, avoiding walls and barriers

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Kanban

Order to Produce

21 © 2009 RLM & Associates LLC 3/27/2018


Kanban
• Agenda
– Introduction
– Kanban video
– Benefits
– Push vs. Pull systems
– Kanban process
– Visual factory
– Tiny Tag factory activity

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Introduction to Kanban
• Kanban
– A signal to indicate when more parts are needed
– Card, empty bin, In-process Kanban on plant floor

• Kanban System - a pull system that uses color-


coded cards attached to parts or part
containers to regulate the upstream
production and delivery flow.

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Kanban Video

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Takt Time
Takt Time - customer demand rate. Takt time sets the
pace of production to match the rate of customer
demand. It is the drum or heartbeat of any lean
system.

The concept carries backward through a process


stream. Every step is synchronizes with the final
output.

Customer Retailer Manufacturer Suppliers


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Leveling Manpower

Leveling Manpower to Meet Demand


One worker can produce a part
every 8 minutes

Two workers can produce a part


every 4 minutes

Eight workers can produce a part


every one minute

Start and finish are close together

Multiple machines can be “watched”


by one operator

Some machines can be


This provides JUST
programmed (1,4,6) to have
the quantity needed
intelligence and stop when broken
JUST-IN-TIME
or stop after one Cycle (Jidoka)

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Takt Time Calculation
Calculated by taking the work time available and
dividing it by the number of units sold.
Net Operating Time 480 min.
Lunch/Breaks - 50 min.
Maintenance/Cleanup - 30 min.
Net time available 400 min.

400 min x 60 sec/min


1000 Units/Day

Takt Time = 24 Sec./Unit

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Pull versus Push Production Strategy

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Push System
Push System – Products are provided to the
consumer based on forecasts or schedules.

• Build product to forecast


• Create excess inventory
Extra Inventory costs
Extra floor space
Expired product
Damaged product

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Large Lot Size

Disadvantages of Large Lot Size


Inventory waste – large sums of money are
tied up in stored products

Quality loss – Good product becomes


defective as it sets in storage, from bumping,
scraping, water damage

Customer waiting – Customers must wait


until a long run is finished before getting
their portion of the run
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Push System

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Push System

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Pull System

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?

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handout

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How many pull signals
• What should be considered in establishing
maximum inventory levels?
– Long change over times
– Long lead times
– Machine downtime
– Schedule increases / decreases
– Large process or transfer or batch sizes
– Poor quality
– Long cycle times
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How will the pull system change your job?
• The pull system provides more time for
constructive activities that will make your job
and working conditions better tomorrow
because with pull you only run the parts that
are needed shut down time can be spent on:
– Preventive maintenance
– Quality improvements
– House keeping
– Team meetings
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• Implementation of a pull system is affected by
many factors:
– The process itself
– Cost and availability of transportation
– Relationship and logistics with supplier
– Level scheduling
– Containerization
– Supplier and customer floor space

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Benefits of a Pull System
• Increases employee involvement
• Allows decision making at appropriate levels
• Allows manufacture of only what is needed by
customer
• Improves communication with customer
through visual controls
• Provides a common system for moving
material through the plant
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Benefits continued
• Eliminates scheduling complexities
• Reduces lead time and WIP inventory
• Highlights quality issues quickly
• Organizes the workplace
• Leads to lower unit cost
• Supports continuous improvement

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Pull System
Eliminating waste of:
• Handling
• Storage
• Expediting
• Obsolescence
• Shelf life, expiration
• Facilities
• Excess inventory (work-in-process and finished).

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Pull System Conclusion
•Pull System is a flexible and simple method of
controlling/balancing the flow of resources.

– Produce exactly what the customer wants


– Minimum inventory
– Small lots
– Simplifies production scheduling and MRP
–Management by sight/signals
–The Pull takes place throughout the supply
chain, not just inside your production facility
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Pull at your company
• Identify the opportunity for Kanbans
– In your department

– With your suppliers

– With your customers

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Pull System Scheduling

Courtesy of Ingersoll-Rand Co., Southern Pines, NC


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Pull System Scheduling
• Workstation

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Kanban cards

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Kanban Cards
• Production Kanban – describes how many of
what item a particular operation needs to
produce.

• Withdrawal Kanban – is used to pull items


from a preceding operation or a supermarket.

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Supermarket System
• A stocking system in which materials are
stored by the operation that produces them
until they are retrieved by the operation that
needs them. When the store is full, production
stops

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Kanban Supermarkets

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Kanban Supermarkets
•Vendor maintained kanbans

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Kanban Limits
• Workstations

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FIFO

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Visual Factory

Visual Factory Management


Definition:

Innovative method of providing valuable


information to everyone!

Be colorful with
Employee involvement and signs, displays and
visuals
management support
is CRUCIAL!!!!

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Visual Management

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Visual Management

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Visual Controls

Benefits of Visual Controls

1. Cleaner and Safer


Workplace

2. Decreased Inventories

3. Less Wasted Time

4. Improved Morale

5. Improved Product Quality

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Product
Tiny Tag Co. Activity
Tiny Tags Procedures
1. Punch string attachment hole.
Equipment a. Pick up hole punch.
Hole punch. b. Pick up blank tag.
c. Position hole punch on one end of tag, 0.50” in from narrow edge,
Materials and centered left-to-right.
Pre-cut tag blanks. d. Punch hole.
Ringed Reinforcements, p.n. 05729 2. Apply Ringed Reinforcement.
Pre-tied strings a. Pick up tag with punched hole.
Dot sheets, ¾” diameter, p.n. 05466 b. Remove ringed reinforcement from package.
Bundle rings, nickel plated c. Place reinforcement ring over hole.
Plastic pack bags. 3. Apply enhancement dot.
a. Pick up tag assembly.
Operations b. Remove enhancement dot from sheet.
Punching. c. Place enhancement dot in the middle of the tag.
Reinforcement application 4. Add string.
Enhancement dot application. a. Pickup pre-tied string.
String installation. b. Pick up tag assembly.
Bundling. c. Thread string through hole.
Pack-out. d. Thread end through hole through end loop.
e. Pull snug.
5. Bundling operation.
a. Pick up five (5) completed tag assemblies.
b. Thread bundling ring through the string on the tags and snap closed.
6. Packaging operation.
a. Write product identification on plastic bag(s): “TT MK IV”
b. Pick up two (2) completed tag bundles.
c. Place two completed bundles into plastic bag.

Special Notes:
· Any product design changes must be approved, in advance, by the Tiny Tag
Company marketing department.
· All components must be produced in-house. No sub-contracting is allowed.

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Tiny Tag Co. results
Push System Pull System
Unit Cost Cum. Cost Count Total Count Total
Card $ 4.00 $ 4.00 9 $ 36.00 5 $ 20.00
Hole Punch $ 1.25 $ 5.25 5 $ 26.25 1 $ 1.25
Reinforce Hole $ 1.00 $ 6.25 2 $ 12.50 1 $ 1.00
Dot enhance $ 0.75 $ 7.00 6 $ 42.00 1 $ 0.75
Install string $ 0.50 $ 7.50 12 $ 90.00 1 $ 0.50
Batch $ 0.25 $ 7.75 1 $ 7.75 1 $ 0.25
Packet $ 0.25 $ 8.00 1 $ 8.00 1 $ 0.25
WIP Total $ 222.50 $ 24.00

Costs includes raw material, labor, and overhead

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Standard Work

77 © 2009 RLM & Associates LLC 3/27/2018


Standardized Work
thru
Standard Operating Procedures (SOPs)
Without standard work there is no continuous improvement!

Everyone must know:


Cycle Time – Takt time
Work Sequence
Work-in-Process quantities
Kanban procedures
Work instructions (SOPs)
Continuous improvement

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Work Instructions

Work Instructions and SOPs


Written by Engineers AND Workers

Reviewed by Management
Operating Instructions
Tested on the line BEFORE use
Operator 1
Operator 3
7
Operator 2
4 1
Approved by QA
8 5 2
9 6 3

Standard Cycle Time

Actual time required to produce one part

Helps determine process capability

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SOPs

220 Motor Line 2


Procedures
Operation 2
1. Get (2) black screws, one in each hand
2. Get motor on pallet/fixture from previous operation with right hand
3. Place RH (Right Hand) screw in Right Rear screw hold. Immediately get screw gun
4. Place LH (Left Hand) screw in gun bit and drive screw into Left Front hole
5. Run down Rear Right screw while getting (1) black screw with left hand
6. Removing guide pin, place screw in the gun bit and drive down screw in Left rear hole
7. Return guide pin to previous operation stage area while getting silver screw with left
hand
8. Get & orient ground lead (split facing up), place silver screw in eyelet & guide to right
Front hole
9. Get screw gun & run down while pressing ground strap wire tight against right side of
bracket. (#1)
10. Move motor on pallet/fixture to next operation. (Repeat entire cycle)

Visual Aide:
Position of screws: Stainless Steel screws on Left staging shelf/Black screws on Right

Install (3) screws and rundown,


placement of grounding strap and
rundown

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Yellow Belt Training Wrap-up
 Lean & Six Sigma
 Value Stream Mapping
 Mistake Proofing
 5S
 SMED
 TPM
 Kaizen
 Kanban

81 © 2009 RLM & Associates LLC 3/27/2018


RLM & Associates LLC
Your Lean Six Sigma & Project Management Trainers Takt Time

Takt Time Exercise


Availability
Four weeks/month
Five day work week
Two ten hour shifts

Lunch break 1 hour/shift


Two 15 min. breaks/shift
Turn over meeting 10 min./shift

Customer Demand
6 Month average = 20,000 units/month

Customer Demand = Takt Time =

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Total Productive
Maintenance
A maintenance philosophy designed to integrate
equipment maintenance into the manufacturing
process. The goal is to keep equipment producing only
good product, as fast as possible with no unplanned
downtime.

• Improve Productivity
• Reduce breakdown leading to Zero
breakdown concept
• Leads to multi-skilling of workers
• Better safety
• Improve quality of products

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Kaizen & Total
Productive Maintenance

Lean Tool Introduction Benefits

1. Increased Space utilization


2. Increased product quality
3. Better Use of capital
Kaizen Continuous Improvement
4. Communications
5. Production capacity
6. Employee retention

© 2009 RLM & Associates LLC 84


Andon–Signaling system to stop line

Lean Tool Introduction Benefits

1. Bring immediate attention to


problems as they occur in the
manufacturing process.
2. Provide a simple and consistent
mechanism for communicating
information on the plant floor.
A Japanese term refers to
the warning lights on an 3. Encourage immediate reaction
to quality, down time, and
Andon – assembly line that light up
safety problems.
Signaling when a defect occurs.
system to When the lights go on, the 4. Improve accountability of
stop line assembly line©is usually
2009 RLM & Associates LLC operators by increasing their
85
stopped until the problem responsibility for “good”
Jidoka
Andon

A visual management tool that highlights the status of operations in an area at a


single glance and that signals whenever an abnormality occurs.
An andon can indicate production status (for example, which machines are
operating), an abnormality (for example, machine downtime, a quality problem,
tooling faults, operator delays, and material shortages), and needed actions, such as
changeovers. An andon can also be used to display the status of production in
terms of the number of units planned versus actual output.

--- The Lean Lexicon

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Jidoka
Andon
A visual management tool that highlights the status of operations in an area at a
single glance and that signals whenever an abnormality occurs.
An andon can indicate production status (for example, which machines are
operating), an abnormality (for example, machine downtime, a quality problem,
tooling faults, operator delays, and material shortages), and needed actions, such as
changeovers. An andon can also be used to display the status of production in
terms of the number of units planned versus actual output.

--- The Lean Lexicon

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RLM & Associates LLC
Your Lean Six Sigma & Project Management Trainers

Lean Six Sigma DMAIC Workshop


Yellow Belt Part 4

3/27/2018 © 2009 RLM & Associates LLC 88


RLM & Associates LLC
Your Lean Six Sigma & Project Management Trainers Takt Time

Takt Time Exercise


Availability
Four weeks/month
Five day work week
Two ten hour shifts

Lunch break 1 hour/shift


Two 15 min. breaks/shift
Turn over meeting 10 min./shift

Customer Demand
6 Month average = 20,000 units/month

Customer Demand = Takt Time =

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RLM & Associates LLC
Your Lean Six Sigma & Project Management Trainers Leveling Manpower

Leveling Manpower to Meet Demand


One worker can produce a part
every 8 minutes

Two workers can produce a part


every 4 minutes

Eight workers can produce a part


every one minute

Start and finish are close together

Multiple machines can be “watched”


by one operator

Some machines can be


This provides JUST
programmed (1,4,6) to have
the quantity needed
intelligence and stop when broken
JUST-IN-TIME
or stop after one Cycle (Jidoka)

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RLM & Associates LLC
Your Lean Six Sigma & Project Management Trainers Line Balancing

Line Balancing Exercise


Improvement Team
Reduced cycle Time
68 By 44 sec. or approx 18%
60 sec. Takt Time
60

48
Use Takt
40
Time/Cycle
32 Time Bar Chart
How
many
0 seconds

Total Cycle time =


-44 sec. How many people
New Cycle time =

Are they working 100% of the time now? If not what portion of the time are they working?
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RLM & Associates LLC
Your Lean Six Sigma & Project Management Trainers Improve Leveling

Improve Leveling with Small and Mobile Machines

Small machines are


Easier to set up
Easier to move around
Require less space
Require less walking by operators
Produce closer to SPF
Usually are less expensive

Small machines can


Be easily use to re-arrange a layout
Be used to add 1 or remove 1 for
special needs
Aid in leveling workloads

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RLM & Associates LLC
Your Lean Six Sigma & Project Management Trainers Cross Training

Improve Leveling with Cross Training


Paint booth Dryer Bender

John Individuals and


teams can be
blended to meet
changing demands
Mary
Identifies who is
certified to fulfill
which positions
Harry

Works with Independent Does Changeovers


Trainee assistance worker and Trains

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RLM & Associates LLC
Your Lean Six Sigma & Project Management Trainers Level Production

Level Production
Level production allows organizations to build to the varying demands
of the customer while holding minimum inventories and causing
minimum delays

Start with the final mixed requirements to schedule the raw materials
needed Just-in-time

Combine build for stock orders with customer orders to level workload

Can be used to even out peaks and valleys in production of various


types of products

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RLM & Associates LLC
Your Lean Six Sigma & Project Management Trainers Level Production

Example of Level Production


XYZ Units w/TUV Packaging

Operation Time Number of Operators

# Description (seconds) 1 2 3 4 5 6
1 Bottom sheet
19 19
2 hoist 19 31
3 Box 12 38 12
19
4 Rubber Guards 7 59
18
5 Escutcheon Guard 4 28
6 Literature 7 120 31
41
7 Top Sheet 10
20
8 1st Strapper 10
32
9 2nd Strapper 10 22 22

10 Unload & Palletize 29 61 29 29 29


41
(added to (added to (added to
11 Print & Add labels 12 8 & 9) 9) 9)
Total Labor 120

Ideal Cycle Time (seconds) 120 60 40 30 24 20


Actual Cycle Time (seconds) 120 61 41 32 31 29
Performance Rate 100% 98% 98% 94% 77% 69%
Units/Hr 30 59 88 113 116 124

8.0 4.1 2.7 2.1 2.1 1.9


Time available to move and shrink wrap 2 pallets
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