Case Study 3-09772
Consolidation isn’t all or nothing.
IET worked with the production and engineering team to deliver a manufacturing and warehousing plan to consolidate two production facilities and ensure the ability to meet future market share growth potential.
A world supplier of plastic, brass, and copper plumbing components with production operations located in the southern United States.
"The IET team has worked well throughout our organization and has been a valuable and committed team member."
The consolidation of the two facilities into one was due to production volume reductions in the new housing markets. This meant that the consolidated facility would produce, supply and service the same wide range of end items, just at lower than average annual production levels. The resulting transformation in the production process included shorter-runs, new inventory strategies, flexible production employee assignments, and an overall simplification to the production flow. In addition, it was anticipated that with successful cost improvements, opportunities to capture more market share would be possible in the near future. Consolidated production operations must allow for the growth of these opportunities.
IET developed a production plan and philosophy to meet the cost improvement requirements and growth opportunities. This included a consolidated facility layout, production plans for flow and storage, effective and necessary warehousing, direct and indirect manning plans, and a flexible production strategy that could be adjusted to weekly demand fluctuations. The consolidation was completed within a four month timeframe and has established the organization as a leading long-term competitor in their market.
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