Lean Transformation in an Electric Switchboard Manufacturer
[custom_headline type=”left” level=”h2″ looks_like=”h4″ accent=”true”]Company[/custom_headline]
Our Client is a manufacturing company with a turnover of about 30 million Euro. The company is operating in the sector of electric switchboards both standard and custom made.
[custom_headline type=”left” level=”h2″ looks_like=”h4″ accent=”true”]The Challenge[/custom_headline]
Along the years the company has created a heavy organizational structure. The production process was not differentiated for standard and custom made products and the company employed a wide number of subcontractors, some of them insufficiently trained and consequently not reliable.
[custom_headline type=”left” level=”h2″ looks_like=”h4″ accent=”true”]The Action[/custom_headline]
Our project has had the following objectives: – Create different flows for standard and custom made products – Turn a number of indirect personnel into direct labour – Make an accurate selection of subcontractors reducing their number and establishing a partnership relation with the few selected ones – Create a box score of performance indicators in order to keep production process under control. – Create a value stream management accounting system.
[custom_headline type=”left” level=”h2″ looks_like=”h4″ accent=”true”]The Results[/custom_headline]
Our work has caused the closing of a production site (with a significant cost reduction), a significant increase in efficiency and a dramatic reduction of indirect labour and subcontractors’ costs.