Case Study - Luxury Goods Manufacturer Rightsizes Operations
Client
Mid-sized, global manufacturer and distributor of luxury home products.
Challenge
A facility consolidation between two plants, each with completely different operating approaches, created severe capacity constraints, service and productivity issues. The company experienced unacceptable yields and downtime. The newly consolidated facility was struggling to meet customer demand, quality was suffering and scrap and rework were at unacceptable levels. There was no standard work in place, and the facility was losing money every week.
Solution
A 120-day project focusing on driving rapid improvements in service and quality levels, and immediately getting the facility back to profitability.
Results
In just 120 days, the client generated $5.6 million in annualized savings, resulting in a 15x ROI.
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