Drummond began our Lean Journey in 2010. After much research and planning we decided to make the significant investment of hiring a Lean Coach to work with us for a full year. This commitment provided group and personal training for every team member throughout the company. Some of the curriculum included Lean Basics, Lean Leadership and TPM training.
Results from a two-year benchmark study
As a result of this extensive training, Drummond has been transformed into one of the leanest manufacturing sites in the industry. In a two year benchmark study we achieved the following results:
- Reduced fixed overhead by 12-1/2%
- Reduced the number of “steps” that each job must follow from 66 to 32
- Reduced “hands on time” required for each job by 35%
- Eliminated 62-1/2% of “non-value added” steps
- 70% improvement from Converting Job to Schedule and Planning
- 50% improvement in order entry to plating
- Make readies are 25% faster due to TPM improvements
- 85% time savings in Shipping Department
- 87% improvement in invoicing through new processes
Specific improvements
Specific examples of improvements include:
- A “Spaghetti Chart” study led to a new office layout that notably improved communications
- Additional 9” added to stitcher trimmer platform allowing operator and helper to walk past each other more comfortably.
- Created new inventory reporting procedures that cut raw material inventory by 50%
- Invoicing procedures were revamped to bring greater focus on accuracy and the elimination of repetitive functions. Result was credits due to billing errors being almost entirely eliminated and Turn on AR dropping by 21 days.
What it changed
It is safe to say that Drummond’s Lean Journey has transformed our company. The most notable contribution has been a higher level of communication and collaboration than ever before. This foundation has allowed us to better develop our vision and develop tremendous buy-in. Lean Manufacturing is truly part of our daily culture at Drummond.