Success story: Improving production and factory stock

Sector:

Service: ,

The company

Multinational company for telecommunications, transport, lighting, medicine and energy.

The challenge

  • It was necessary to reduce production time and excessive WIP levels in one of the most important plants in a Division, caused by deficiencies in the material flow, the existence of double planning in workshop production and the poor reliability of supplier deliveries.
  • Another important aim was to improve the service level and the overall assessment of the Cornellà plant in the audit that the company conducts annually in all the factories of the group.

The solution

  • We sized the maximum levels of stock between sections and within the section to prevent the generation of WIP, and put display panels in operation showing excess stock.
  • We reduced inventory levels by 26% and increased the service level from 70% to 81%, increasing the reliability of delivery between sections from 31% to 65% and the weekly reliability of suppliers from 62% to 85%.