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Conbraco Industries, Inc.
Designed and Implemented a pull manufacturing process that streamlined inventory,
reduced lead times, improved on-time delivery performance, and reduced cost. It enabled
the company to focus on making what the customer wanted and reduced the likely hood
of making the wrong decisions based on the standard cost system.
Primary Objectives:
- Reduce Inventory to increase cash flow
- Redesign Conbraco’s Planning and Scheduling process to reduce inventory and improve customer service deliveries. OperationsRx Lean Planning & Scheduling Methodology
- Design and implement cellular manufacturing to improve productivity and reduce cost
- Design and implement a comprehensive set-up reduction initiative to streamline flow, increase resource utilization, and increase capacity on constrained resources
- Implement strategic sourcing methodologies to reduce material cost and reduce raw material inventories
- Implement Quality improvement initiatives to reduce scrap and rework
Initiatives Used During the Engagement:
- Designed and implemented pull process within JDE One World
- Strategic Sourcing
- Cellular Manufacturing
- Quality Improvement
- Set-Up Reduction
- Visual Factory
- Metrics
- Etc.
Results
- Lead Time Reductions 50%
- Inventory Reduction $30M
- Cost Reduction of 15% (direct and indirect)
- Scrap and Rework Reductions 40%
- Increased Utilization 25% - 30%
- Manufacturing expense reductions 20%
Bottom Line
Directly responsible for $25M in direct debt reduction. That is a 25 times
payback over a three year period.
Key Initiatives
LP&S, Lean, Consolidation, Strategic Sourcing, Supply Chain
Optimization, JD Edwards One World Implementation
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