1 Optimization of Production Management and Material Flow – Trodat GmbH Client Trodat GmbH Task definition Optimization of production controlling and material flow Duration 07/2004 to 12/2004 Within the framework of a comprehensive realignment of production in Wels the production strategy improved fundamentally. Due to the high variety of products, the semi-finished products were produced directly in the store and assembled according to the order. The storage conditions were changed in such a way that the available storage places were no longer sufficient and the logistics of material flow in the production was difficult to deal with and to control. During the project the production controlling was transformed into market controlling, lot sizes were reduced, material flow was optimized so that without the extension of storage it became possible to reach growth in sales by 30% in further outcomes even with the existing structures. Task definition At the beginning of the project the following goals were defined by Trodat GmbH: Comprehensive analysis of logistics (structures, processes, controlling principles, flow of materials) Optimization of production controlling in particular the logistics of material flow (which material should be placed where and in which amount etc.) Designing a basic model for decision-making in order to broaden storage area Transforming pilot branches after the optimization of production controlling Roll-Out planning for a comprehensive change process www.integratedconsulting.at 2 Services of ICG Offering rapid diagnosis about the situation (strategy, structures, processes, corporate culture, leadership and communication, controlling principles, flow of materials) Designing simulation models in order to examine the possible effects of different controlling principles on the production (conditions of storage, set-up time, lot sizes etc.) As a simulation implementing a practical management game for the management team in order to raise their awareness about the effects of various controlling principles In-depth optimization and design of the production controlling together with the core management team Project management and controlling the entire project together with the management team By the real-time implementation of the new processes developed, the new principles and behavioral model could be continuously practiced. After less than a half-year period the major project goals have been demonstrably achieved and even exceeded. From the very beginning of the change processes ICG supported the project. In particular great emphasis was put on the involvement of the people concerned and the relevant knowhow – responsible for accepting results and securing change processes. Results Within a half-year period the following results were achieved: According to the pull-principle, implementing a demand-driven and self-directed production line Optimization of material flow from 64 meters to 22 meters of logistical way Massive reduction of lead-time (reduction > 50 %) Reducing supplies of semi-finished products by 65 % and raw materials by 50 % Reducing the value (in EUR) of the semi-finished products and the raw materials by 50 % Increasing productivity of personnel No further investments was necessary in the extension of the storage area after the implementation of change processes and with the new production model a further growth in sales from 30 % was possible in the following years www.integratedconsulting.at
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