Type of Business Manufacturer of construction and industrial equipment
Revenue: $900 million
The Challenge: The company had been struggling with a poor service order fill rate for some time. Customers frequently did not receive spare parts by the promised date.
The Goal: Increase service order fill rate from 77% to 95%. 95% of orders had to be complete and on time by the promise date.
The Process:
- Led a one-week Kaizen blitz effort, followed by one week of follow-up actions
- Worked with a cross-functional team of process experts
- Key findings
- Poor inventory control methods
- Needed to implement replenishment pull methodology to ensure proper amount of inventory
Results:
- Incrased service order fill rate from 77% to 95%
- No increase in inventory costs
Duration: Three weeks; one week of preparation, one week for event, and one week for follow-up actions
Consultant's Role:
- Planned and conducted Kaizen blitz effort
- Led effort to implement actions identified during the Kaizen event
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