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Strategic IntegrationBusiness Case
Cultural Evaluation Project Plan
Policy Deployment MatrixResults
Growth Plan
Strategic Integration Project
Business Problems
Poor Delivery and Customer ServiceCost Competiveness Scrap at 5% of sales
Plant losing significant cash and income
.
Company Culture Evaluation
Operations No lean work
Labor underutilized Bottleneck not managed High energy cost electricity
used for wash water $1,100,000 energy bill
No significant safety process
Bonding Weekly customer rejects On time delivery is dismal Strained personal
relationships, customer can go elsewhere for parts.
Product Offering New product introduced with significant quality problems.
Quality $1,000,000 in scrap No process controls
Human Resources No training of senior or middle
managers. Direct labor are basically
considered machine loaders
Technology Sister plant making similar
product are automated to reduce labor cost.
Projects to move from A to BOperations
Plant layout improvement to improve bottleneck
Standard work project to improve labor utilization.
Standard work project to improve labor utilization in assembly/honing etc.
Do significant cap ex energy project to convert electric heat to gas heat. Bonding
Create written corrective actions for all customer rejects to demonstrate we have controls on the problems.
Make presentation on bottleneck improvements and lean improvements.
.
Product Offering Suggest design changes in new product.
Quality Perform Black Belt level
project and 4 Green Belt projects. Create controls in plating and
machining.
Human Resources Eliminate some managers. Training for managers, ISO,
Greenbelt, Lean, Safety, Train direct labor in SPC,
Process control, and lean implementation
Technology Create robust processes
ready for automation.
Strategic Integration Project
Long term plan: Solve all of the problems and leverage the knowledge to automate the plant.
Project PerformanceAll projects at edwardhalljones.com
Lean Process DesignScorecard A3: 2 stroke machining
Plant layout Project
Resilient Quality Systems Design Case Study: Improve Process Control, Implement SPC, Resilient Corrective
Actions----- summary of actual work performed
Six Sigma Projects Broken Fins, Perpendicularity of bore, Compression Volume
Energy SystemsCase Study: Reduce Process Energy
Use Minitab to track cost improvement
Note reduction in cost variation as lean is implemented
Determine the supply curveDemonstrates the effectiveness of continuous improvement and the effects
of volume on price.
Growth Plan Sales 65% lawn and garden 35% Powersports ( motorcycle, ATV)
Lawn and garden 100% manufactured in plant with reasonable margins. Very high US market share. Powersports mostly pistons purchased off shore with low margins. Very high US market share.
Used the Delta Model Process to segment the Powersports customers value added requirements.
Found significant opportunities to provide Powersports engine components ( cylinders, heads, etc) using existing technology and
engineering capability.
Created unique value propositions for each customer matching customer value added needed with our unique capabilities.
Developed opportunities equal to 70% of the existing sales in the plant.