Client: Medical Device Manufacturer
Problem:
A medical device manufacturer wanted to quantify the impact that non-value added activities had on its SKU costs. The company had with two manufacturing sites and was exploring the idea of reconfiguring their facilities to reduce production costs.
Scope of Work:
Identify primary process activities at each station, identify value-added and nonvalue-added activities, determine costs of all activities, and assign costs to the individual SKU's.
What Quantalyst Did:
- Identified and costed activities for all processes.
- Defined value added and non-value added activities.
- Quantified complexity profiles of each SKU.
- Assigned costs to the SKU's.
Results:
- Determined potential savings for pending lean initiatives.
- Justified savings for new support equipment technology investment.
- Supported and accelerated lean operations implementation.
