Problem:
Client needs to increase its throughput, and reduce the failure rate. These issues are causing the client to be overstaffed and waste space. Current Failure Rate is 94%, reducing this will increase throughput at the same time.
Solution
- Streamline the Reman process to increase throughput by at least 20%
- Reduce unnecessary foot travel by 80%
- Better inventory part control
- Increase throughput capacity for future projects
- Regain floor space for future projects
- Reduce movement and non-value added tasks
- Free up FTEs from Cluster dept. for other tasks
Results
- Increased Reman throughput capacity by $720,000 per year
- Regained sq. footage valued at over $8,700 per year
- Freed up 5 FTEs, saving us over $229,000 per year in the Clusters dept.
- Decreased our first time failure rate from a dismal 95% to 6%
- Overall value of savings is over $893,000