Challenge
The company is a manufacturer of columns and outdoor building products, and has been active in the industry with more than 100 years of history.
The company struggled with a $7.5million backlog past due at year end. The executive team enlisted in the help of temporary staffing agencies to reach desired service levels.
Due to the lack of management tools, the company overran production outputs with exorbitant overtime abuse creating unnecessary stocking volumes in their warehouse. This coupled with a 25% reduction in demand was the catalyst for partnering with Synergetics.
Solution
Focus of the engagement was to install structure and discipline specific to operations. Objectives to achieve cost reductions and improved efficiencies using LEAN / Six Sigma methodology included:
- Sales & Operations Planning Process
- Labor Productivity Improvement
- Shop Floor Management Roles and Responsibilities
- Process/Material Flows
- Continuous Improvement Program