Case Study: Medical Device Outsource Manufacturer Improves Customer Satisfaction

Apr 15, 2023
INDUSTRY: Medical Device
SERVICES: Crisis Management. Logistics. Operations.

Situation.

The client’s facility was working 24/7, experiencing a tremendous backlog, delayed shipments for a key customer. The Seraph team was engaged to improve operational efficiency, recover from the backlog of delayed shipments, improve capacity and reduce overtime.

 

ACTIONS.

Leadership & Process
  • Restructured production organizational chart by introducing team leads and supervisors.
  • Led in-cell associate skill development programs.
  • Standardized shift handover procedures.
  • Conducted leadership coaching and established regular leadership routines.
  • Initiated a war room to foster a culture of timely, targeted actions.
Driving a Data-based Culture
  • Deployed ProductionNet, a cloud-based solution for tracking production line performance.
Equipment Enhancement

Designed, developed, deployed and validated both tooling and equipment to:

  • Decrease quality loss
  • Improve productivity and cycle times
  • Reduce equipment downtime
  • Relieve bottlenecks to increase capacity

 

Result.

  • Created value through quick reduction of scrap and labor costs, which increased capacity and revenue growth
  • Realized annual labor savings of $780,000 ($15k weekly) through:
    • Reducing workdays from 7 to 4, thereby cutting overtime and enhancing performance.
    • Standardizing shift handovers, saving 1-2 hours per shift.
  • Fostered a rapid-response culture and accountability through ProductionNet data and the War Room approach.
  • Achieved over $780,000 ($15k weekly) in annual scrap savings due to quality enhancements.
  • Identified and implemented a solution to a gap in oven capacity via capacity analysis, reducing cycle times and eliminating 80 minutes of non-value-added time per shift.
  • Increased production capacity enabling the manufacturing of an additional 200 parts per week, unlocking an additional $4,914,000 ($94,500 weekly) in annual revenue.
Project ROI is expected within 6 months.

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