Business Process Improvement for Specialty Manufacturing Company
Centric created a comprehensive and actionable plan to address unique manufacturing challenges.
The Business Need
Centric’s client is a U.S.-based manufacturer of state-of-the-art semiconductor processing equipment serving global specialty markets including solid state lighting, wireless, MEMS, data storage, solar energy, nanotechnology, photomask and photonics.
The company experienced considerable challenges related to cost containment in the manufacturing process, which are complex and customized per customer order. Specifically, timely visibility into accurate costs associated with job orders during the manufacturing process needed improvement. The lack of timely and accurate cost information during the manufacturing cycle led to significant cost overruns on several large orders and made it difficult to streamline the overall manufacturing process to eliminate potential inefficiencies.
In addition, competitive pressures were driving aggressive order delivery dates that were extremely difficult to fulfill on time, within budget and with quality results.
Centric’s High Impact Approach
The company engaged Centric to conduct an independent assessment of the current manufacturing processes and identify a prioritized list of process improvement suggestions along with associated solutions. Centric worked very closely and effectively with the client management team and organized all recommendations into three high-level projects:
- Improve Order Fulfillment
- Improve Organizational Capability and Flexibility
- Establish Program Management Office (PMO)
Centric collaborated with the client management teams over a six-week period to identify and communicate the pain points and process inefficiencies to executive leadership. The result was a comprehensive, actionable work plan to address the challenges identified.
Centric’s solution will decrease labor hours and allow the manufacturing team to meet customer ship dates consistently with quality results. In addition, employee morale is expected to improve significantly as a result of the recommendations. The client is projected to achieve between $324,000 and $607,500 in annual savings at current order levels.