Aircraft Manufacturing:
A mid-west aircraft manufacturing company, with sales exceeding $3 billion
called for assistance to improve their current business system. They had
an immediate need to reduce their operating costs. A significant down
turn in sales of business jets and personal piston aircraft, added to
the need for swift action. A Metasystems’ Senior Business Analyst was
engaged to reduce inventory investment, eliminate material shortages,
and participate at the corporate level in developing a manufacturing strategy
to drastically reduce operating costs and manufacturing cycle time.
In only 4 months, our Consultant was able to reduce
their final assembly line shortages and their “make-to-stock” inventory
by $85 million. During this period he was assigned the added responsibility
of consolidating and managing their production and inventory management
functions, with the challenge of improving their SAP system data and physical
inventory accuracy.
Our Business Analyst, acting as the Manager of Production
and Inventory Management, was able to make significant improvements in
several problem areas:
• A Sales and Operations process was implemented
to provide the ||company with a stable and
accurate master schedule.
• An integrated planning process was put in place to address the
||quarterly and annual operating objectives
of the Finance, Sales, and ||Operations Departments.
• System data integrity was improved by restructuring the ||responsibilities
for data management to focused cross-functional ||teams
thereby significantly reducing update access by as much as ||500%.
• Inventory accuracy increased by 30% through implementing a ||company
wide improvement plan that addressed: stockroom security, ||consolidating
and reorganizing stockrooms, cycle counting processes, ||enhancement
of system features and intensifying training. As a ||member
of the company’s strategic management team, our Senior
Business Analyst worked with senior managers and
manufacturing consultants from around the corporation to develop a plan,
utilizing lean manufacturing principles, to reduce business process cycle
times by 50%, inventory investment by $200 million and overhead by one
third.
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