Type of Business: Manufacturer of avionic electronics
Revenue: $700 million
The Challenge: Customers were threatening to go to the competition due to the high delinquencies. Management was unhappy with the poor performance level of the plant.
The Goal: Identify and implement solutions to reduce customer delinquencies by 50%, while also increasing labor productivity.
The Process:
- Designed and implemented production pull systems that reduced cycle time by increasing throughput and reducing WIP.
- Implemented setup reduction efforts in the Surface Mount Technology shop (bottleneck of the plant) that improved productivity while reducing batch sizes.
- Implemented other quality and productivity improvement solutions.
Results:
- 50% reduction in customer delinquencies; 50% reduction in production lead time; $5 million increase in labor productivity exceeding expectations.
Duration: Twelve months from beginning of the project to achievement of results.
Consultant's Role:
- Conducted assessments
- Developed and prioritized solution projects
- Implemented solutions and achieved results.
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