Leading Manufacturer of Heat Sealed Packaging Equipment
Company located in Cleveland, Ohio requested help developing a new layout and operating guidelines based on Lean Principles for their new manufacturing and headquarters facility. They also requested help planning and executing the move from their existing facility into the new.
CHALLENGE
Plan and execute the relocation of all production, warehousing and headquarters operations in less than 7 months with no negative impact to customers. The company was occupying an old facility which did not fit their business or allow for creation of efficient material flow through the building. There was a need to improve productivity and reduce lead time for order execution. In addition, the company needed the new facility to become an impressive venue for entertaining customers and provide growth capacity for additional production from future acquired companies. Furthermore, it was critical that the move be executed in very rapid manner with a hard stop, must meet exit date from the existing facility.
SOLUTION
A new layout was developed based on Lean Principles to minimize inventory and minimize material and personnel travel paths. Workshops were held with line workers and management personnel to collaboratively develop and refine the new layouts. A 500 line PERT project plan was developed to manage move planning and move execution. Weekly project management meetings were rigorously held to ensure plan execution and resolve issues on a timely basis. The move was executed on time and on budget and the projected operating goals were achieved and exceeded. The ~$500K move cost and the planned payback time of 4 months were accomplished.
AutoCAD Layout—New Assembly Operations
BENEFIT
One year after the move the 15% + labor cost savings had been achieved and 15% top line sales growth had been produced as well. The facility has become a showplace for customer visits and has improved employee morale due to the improved working conditions.
