Case Study: Automotive Manufacturer Saves $10 Million by Improving Visibility and Efficiency
Global Automotive Manufacturer Drives Visibility and Efficiency to Save $10 Million
A worldwide leader in automotive manufacturing with over $40 billion in annual revenue faced major challenges in improving efficiency across their inventory and project management systems.
Low- and mid-level employees were mired in disparate labor-intensive spreadsheet and macro processes, providing executives with more than 50 reports. Cross-site visibility was limited to a six week delay, creating operational obstacles and costing the company millions in lost efficiency.
The company was utilizing multiple ERP systems and needed a solution capable of providing critical reporting across all sites and platforms. Executives desired standardized work and cross-site visibility, while employees across the business sought to eliminate arduous processes and streamline the reporting process.
Within a matter of days, LeanDNA’s decision support system was providing valuable insights, which led to over millions saved in the first year alone. Efficiency was increased by consolidating disparate reporting, increasing data visibility, and standardizing project work across seven multinational manufacturing sites.
- Lack of visibility across multiple sites caused executives to waste time searching for data that was often outdated and led to even more time wasted “fighting fires”
- Managers were mired in inefficient processes collecting dozens of disparate reports from buyers and planners
- Buyers and planners lost hours on labor-intensive reporting procedures, compiling data from over 50 platforms and systems
- Reporting processes lacked standardization and accountability
- Project management processes were manual and lacked consistency and accountability for assigned tasks
“Before LeanDNA, someone built a Sharepoint site for the company. But it was cumbersome, and updates required filling out lengthy forms. LeanDNA makes all this way easier than in the past.”
—Operations Excellence Manager, Global Automotive Manufacturer
Previous Efforts to Improve Inventory Management
Before partnering with LeanDNA, the automotive and trucking manufacturer ran data analysis and continuous improvement through a file-sharing platform. Spreadsheets were the main sources of data, and had to be updated manually to track progress. Files were often unmanageably large and required complex macros and sorting to analyze or update.
In addition, files were stored in a system and had to be “checked out” by stakeholders in order to be updated. The cumbersome process resulted in weeks-long decision making delays. Checking out a file required lengthy form fills, sacrificing time and efficiency. Additional time was lost because only one person could modify a document at a time. Real-time collaboration was completely unavailable.
The LeanDNA Difference
- Implementation was seamless, occurring within a matter of days
- Reporting was consolidated into a single dashboard, providing real-time visibility across seven sites and dozens of platforms
- Email alerts to stakeholders eliminated the need to “chase down” information across various platforms
- Reporting work processes were automated and standardized across all seven sites and dozens of platforms
- Project management processes were consolidated into a single solution, providing standardized workflow as well as task assignment and accountability
Results with LeanDNA
Through its partnership with LeanDNA, this automotive and trucking manufacturer saved more than $10 million in the first 15 months by eliminating arduous manual processes, standardizing work, and providing task accountability for projects and reporting.
LeanDNA provided a framework for continuous improvement. Tasks were standardized, providing more streamlined processes, and the single dashboard provided visibility and accountability for assigned project work. Stakeholders at all levels were equipped to communicate using the same data and task visibility, creating more fluid communication and workflow.
As a result of these improved processes, executives and managers have been freed up to improve efficiency in other areas that were previously neglected because of the need to fight fires in a reactive way. The first $10 million saved is just the start. The company continues to see widespread use of the LeanDNA solution and increased efficiency.
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