OBJECTiVES

Company X* is a high volume, low-cost SME, that to meet the needs of their customers in an increasingly competitive market, must improve their quality and delivery performance, whilst reducing cost. A six-week intensive project was identified to create a model work area that would demonstrate increased output of 50%, increased quality performance to 98% right first time, and reduces inventory by 60%. The project is to be delivered collaboratively with the team at Company X to ensure maximum transfer of knowledge and skills for future improvement projects.

WHAT WE DiD

Through six weeks of daily on-site coaching, we:

• Re-designed the work area
• Created product families for more effective planning
• Identified process constraints and implemented actions to remove
• Implemented Kanban material system for right-sized inventory, delivered line-side
• Implemented a visual management system and coached new working for team leaders
• Implemented TPM (total productive maintenance) on key equipment
• Moved from paper to electronic work instructions
• Implemented new controls and attitude to safe working

THE RESULTS

• Output increased by 100%
• 25% of the workforce in the area redeployed
• Quality increased to 95% right first time
• Inventory reduced by 75%
• Overall floor space reduced by 50%
• Other cost savings totally £22k

Using the above improvements to deliver additional sales meant an overall net benefit of the project of £2.5 million.

*Company name changed for confidentiality purposes