INDUSTRY: AUTOMOTIVE
SERVICES: Logistics; project management;
Situation.
An Automotive Just in Sequence plant was struggling with capacity constraints and quality issues producing seats as the OEM launched two new programs causing the production model to change from a two-shift to a three-shift model. Material was not arriving to the plant or line as required, assembly operations were not able to keep up with customer demand and quality was at an unacceptable level. The plant and processes had not been designed to support a multiple seat platform three-shift operation, but the sales team accepted the added business during a downturn.
The operations team was not able to adjust or implement robust processes and procedures before the third shift started.
Approach.
Seraph was engaged by the OEM, and retained by the Tier 1 Supplier to identify supply constraints, break bottle necks and implement simple processes and procedures to eliminate the customer production line downtime. Our initial assessment was limited to the supply chain and flow of material to the line, which is where the supplier and OEM believed the problem existed. Seraph analyzed the constraints and helped all see that once the initial material bottlenecks were removed and material supply to the plant was stabilized, the assembly lines themselves were not capable of running at the required production rate.
Seraph identified production constraints and developed an improvement plan which allowed the team to move forward in a coordinated manner to achieve the targets.
Following the Seraph plan and implementing sound logistics and manufacturing processes and procedures, training people and providing clear leadership a rapid turn around was executed.
Result.
Seraph led the stabilization of the client’s operations and enabled them to move from producing 450 seats/day to over 750 seats/day in less than three months. Triage actions stopped seats from shutting down the OEM lines and bought the team time to stabilize the operation. The operation set production records and achieved a three-week period where there was zero impact to the OEM, which set the benchmark for the plant to surpass in the next year.
