Case Study 12:
Automated Baler
Description of Operation
The facility manufactures paper packaging
products. The intervention was performed on a
waste paper baling operation.
Hazard Identification
The waste paper baling operation required
that three operators spend approximately 30 minutes at the end
of each shift (three shifts per day) loading paper scrap into
the existing manually-loaded scrap baler. The
operation was labor-intensive with operators grabbing armfuls of
shredded paper and cramming the scrap into the baler.
The operation required awkward lifting, twisting, and
postures. An ergonomics risk assessment determined
that, because of the various and continual ergonomic stresses
present, the operation posed a high risk of causing a serious
musculo-skeletal injury.
The facility had not experienced any
ergonomic injuries associated with the baling operation but from
past company experience the medical and disability costs
associated with lumbar injuries averaged from $7,500 to $50,000
per injury.
Hazard Intervention
The company decided to eliminate the hazard
by purchasing an automatic loading baler to fully replace the
manual handling associated with managing the shredded paper
scrap.
Impacts of the Intervention
The intervention completely eliminated the
risks associated with the manual handling during the waste
baling operation. The new baler takes waste
directly from the packaging production equipment and
automatically bales and stacks it. In addition to removing the
ergonomic risks, the intervention eliminated the need for three
operators to devote 30 minutes at the end of each of three daily
shifts to hand-load scrap onto the old baler. The
intervention also eliminated the need for operators to wear
PPE
for eye hazards and nuisance dust. From an
operator morale viewpoint the intervention eliminated an
unpopular task that was frequently rotated among the 47
production workers at the facility.
In addition to the direct labor saving
benefits, the automated baler also reduced the amount of paper
dust generated during the scrap handling operation.
This resulted in less paper dust being distributed
throughout the site, requiring less facility-wide cleaning while
saving labor time and also contributing to a cleaner process and
product.
The reduction in dust buildup was
considered by the property insurance provider to have lowered
the facility’s fire risk.
Financial Metrics
The 5-year net present value (NPV) of the
project was -$1,385 using a discount rate of 8% and an inflation
rate of 3%. The only costs included in the
analysis were the labor savings from eliminating the need to
manually load the baler and the capital cost of the baler
purchase and installation. The costs associated with injury
reduction, facility cleaning, and PPE
elimination were not included.
Lessons Learned
Although the project did not yield a
sizable financial return on investment, the intervention did
return the company’s cost of capital while reducing a
significant risk of injury due to manual handling. The
project also illustrated that improvement in health and safety
conditions often results in improved labor productivity. In this
case the positive benefits of the intervention were transferable
to other facilities within the company thus serving as a best
practice for the corporation.
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