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BUSINESS EQUIPMENT ASSEMBLY
AND DISTRIBUTION INDUSTRY:
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Process Modeling/Productivity, Order Processing, Layout and Product Flow Improvement |
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Client: |
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A
Fortune 500 company selling and leasing business equipment in an assemble-to-order
distribution environment. |
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Problem: |
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Need
to reduce cycle time to improve customer order responsiveness, increase
process efficiency and improve product flow within distribution channels.
Future implementation of ERP and supply chain software necessitated
alignment of processes, people and technology. |
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Approach: |
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Using
cycle time reduction techniques, business process modeling tools and
the supply chain operations reference (SCOR) model, teams captured
all relevant data to describe both current state and future state
business processes. After documenting the processes, the team focused
on the qualitative and quantitative analysis. Process inefficiencies,
non-value added steps and resource bottlenecks were identified. Performance
metrics were established, business processes were aligned to customer
requirements, and a simplified, error-proofed future state designed.
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Results: |
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The
alignment of the customer’s objectives, business processes and IT
systems to industry best practices led to:
• Improved customer satisfaction through 45% cycle time reduction
• Improved resource utilization by 25%
• Improved product flow and facility layout
• Corporate objectives aligned with SCOR metrics and new supply chain
system
• Standardized processes, job descriptions, organization and performance
metrics for entire division
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