Top 5 Project Topics :
Project History:
Selected Reference Projects:
| Project | Duration | Bottom Line Impact | |
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Streamline Supply Chain to 3 German OEM |
10 weeks |
20 - 25% |
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3PL/Ship to Line Project for US Tier 2 supplier |
12 weeks |
15 - 25% |
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Inventory reduction project for US Tier 1 supplier |
8 weeks |
15 - 20% |
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Application: Shop Floor Headcount Reduction
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Industry: |
Global Automotive Supplier |
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Company Size: |
5,000+ |
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Project Location: |
United States |
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Problem Statement: |
Despite several management changes and restructuring programs, our client had pressing profitability issues at their two US manufacturing sites. The distribution warehouses in both locations were identified as low-performing departments and had substantial financial drains with highly negative P&L impact. If a fast turnaround and significant headcount reduction could not be achieved within the next 6 months, the closure of one of the two plants would most likely be unavoidable. |
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Meeting: |
Definition of high level goals and prioritization of first steps |
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Deep Dive: |
Perform gaps and inefficiency analysis in main distribution warehouse to reveal process waste, ratio- and cost cutting potentials |
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Hypothesis: |
Fix broken processes and eliminate operational waste to reduce shop floor headcount by >25% |
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Project: |
1 consultant 12 weeks |
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Deliverables: |
Revamped shift model implemented Order picking process and material flows redesigned and optimized Shop floor headcount reduced by 34% (5 months after project start) |
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Bottom Line Impact: |
Shop floor headcount reduced by 34% Annual savings >$1.1 M |
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Waste Analysis
