Mechanical Engineering

  • Customer:Confidential
  • Category:Mechanical Engineeering
  • Date:2016-2017
  • Status:Completed
  • Sales:397 Mio. EUR in 2017
  • Tags:global footprint, performance improvement program

Project Description

A privately-owned business with about 2,000 employees is one of the world’s leading companies in his specific industry sector. After inorganic international growth, we have been asked to support the Post-Merger-Integration. Management decided to align different business units as they no longer felt prepared for the future. Based on the new strategy we had to analyze how to reduce the increasing complexity along the order fulfilment process to reduce the through put time as well as reorganize the different production sites to realize a new production footprint concept based on Operational Excellence and Lean Management principles.

What we did

Based on the new strategy we analyzed the entire workflows across 7 production sites across Europe and defined together with the management the best possible structure to manage future challenges and gain competitive advantage. As a result, out of the combined footprint and value stream analysis, we could identify an enormous improvement potential which led to local initiatives. These local initiatives were implemented independently within different sites, led by local management. Management and department heads were trained and qualified to understand advantages of the new concept and to manage transformation processes. In addition, the whole program has been managed on corporate level. Focus of the integration program has been integrated in R&D-processes and the entire order-fulfilment process to realize the designated improvement potential.

Final results

Most of the potential identified could be realized in the first 12 months of the program. Subsequently the company realized recommended redesigns of their product portfolio and technical changes were useful and beneficial to reduce complexity and stay competitive.
  • Implementation of corporate wide operational metrics
  • Shopfloor Management
  • Productivity improvement
  • Inventory reduction on corporate level
  • Reduction of lead time by 50%