Challenge
The company’s initial SAP installation had numerous start-up problems and required several system enhancements. They had neglected to address the MRP material planning processes and systems. Not being able to manage their manufacturing processes (via automate & standardize) across multiple facilities that would adversely affect their production efficiencies and bottom line.
Synergetics performed a comprehensive review of all business processes, systems, and tools related to material planning which highlighted:
- Each plant used a slightly different, labor-intensive planning process, based on subjective impressions.
- Corporate processes prevented effective use of exceptions-based MRP planning.
Solution
The Synergetics team directed 13 cross-functional groups in developing new processes / tools for improved MRP utilization. They then trained additional teams to install those new processes in ten plants in the US and Mexico, in addition to those in corporate procurement organizations.
The new processes improved both the effectiveness and efficiency of planning and procurement operations, in both plant and corporate offices across the company.
As a result of this successful implementation, a lasting relationship developed which led to future engagements, with 12 projects to focus on efficiency and equipment reliability improvements to achieve further cost savings.
