Finnish furniture-maker cuts material losses

© JRJfin, #184271376, 2017, source: fotolia.com
Resources:
Energy Materials
Sector:
Timber and woodworking
Investment cost:
High cost
Cost savings:
Annual savings potential of € 270 000
Payback time:
A material audit costs between € 10 000 and € 30 000; typically recuperated in savings generated
Cost:
High cost
Size of company:
Large (more than 250)

Big picture reveals widespread savings options

  • Material losses due rapid production cycles and variety of products addressed
  • Materials audit identifes 50 areas for improvement
  • Whole production chain optimised for both materials and energy

Martela Group’s Kidex Oy specialises in the production of furniture components, such as closets, lockers, drawers and decks. The Kidex plant is situated in Kitee, eastern Finland.

Annually, the company produces around 200 000 table decks and over 2 000 000 closet components. Materials make up as much as 70 % of the production costs. The company carried out an audit to chart different ways to cut back on material losses which were mounting.

Chipboard and medium-density fibreboard are mainly used in the table tops and components. Pieces are made to order, which reduces storage time, but also means lead times are tight. This kind of on-demamd production, combined with a wide variety of designs, led to unnecessary material loss (27 % for tables, 18 % for closets). The audit revealed a number of smart production ideas and alternative uses for wood-based residues (chips, sawdust) in energy production, heating, etc.

Key benefits

  • Production residues and material losses charted
  • Material audit resulted in 50 suggestions for improvement
  • Alternative paths for production residues and by-products developed
  • Company’s quality level improved
  • Whole production chain optimised for both materials and energy
  • Energy saving ideas included using surplus heat and removing leaks in compressed air system
  • Transportation costs decreased