Fabricated Goods-121

The Situation:

Manufacturer of industrial air compressors and blowers experiencing increased manufacturing and inventory costs and problems meeting customer delivery dates.  Immediate results were needed with full implementation within six months.

The Driver Goal:

  • Increase throughput 20% by the end of the 3rd quarter
  • Decrease manufacturing costs 12% by the end of the 3rd quarter
  • Reduce inventory 20% in one plant by the end of the 3rd quarter
Actions Taken:
  • Developed and installed a Goal Roll Down and Translation process
  • Designed and implemented a System for Managing in the company’s headquarters and in two plants
  • Designed and implemented an Inventory Planning and Management System
  • Worked with all plant personnel to create a Barrier Identification and Resolution process in two plants
  • Implemented Lean Manufacturing concepts on the shop floor with focus, throughput, and equipment utilization
The Results:
  • Increased throughput 29% by the end of the 3rd quarter
  • Decreased manufacturing costs 17% by the end of the 3rd quarter
  • Reduced inventory levels in both plants by 20%