The Bus Manufacturer
GOING LEAN TO ENTER NEW MARKETS
The Niche Market - From Challenge To Chance
The family owned Spanish bus manufacturer faced the challenge of serving the market niche of tailor made products. That meant producing small series as well as the investment of capital and human resources in innovation while meeting a fierce price competition against mass producers.
Taking A Look At How It's Done
We found that processes in production, purchase and back office had developed over years based on traditional materials and manufacturing technologies. However, new technologies, new materials and more flexibility in production could not be achieved with the traditional methods. The approach of the factory was production oriented rather than based on creating value for clients and avoiding waste of all types. Management systems in all areas were very weak
Implementing Lean Manufacturing Processes
Avance installed taskforces in production, warehousing, supply chain, purchasing, sales administration, marketing, and quality assurance. In all departments we installed an effective meeting culture changing behaviour to effective listening and managing with proactive planning. The teams identified lost time and interruptions of work; processes, work volumes and priorities were analysed and finally, the overall quality of the value stream optimized. The lean process was implemented in all areas and proactive planning in regular project-based team meetings allowed for flexible reactions to clients need. The supply chain was redesigned, new technologies for the development of the first hybrid urban bus with an electric/autogas engines led to partnership with new suppliers. Purchasing renegotiated the conditions with all suppliers. Workfloor and warehouse design were entirely reviewed in order to reduce transportation and waste of time. Performance indicators and management systems were installed so that immediate actions could be taken as soon as variations against the workplans arise.
The Results
- € 2.5 million in savings
- Reduction of the work in process
- Reduction of stocks by 40 %
- Reduction of processing lead time by 30 %
You need new ideas of how to revolutionize your manufacturing processes? Call us for a non-binding first consultation.
