Flexible Packaging Co.
SITUATION
A flexible packaging converter engaged The Highland Group to assist in reducing annual operating expenses by at least 20%.
DRIVER GOAL
- Reduce fixed and variable operating expenses by at least 20%.
- Increase equipment utilization by at least 60%.
RESULT
- Reduced fixed and variable operating expenses by 25%.
- Increased equipment utilization by 68%.
Case Study
Reduce Operating Costs
Highland Approach
The Highland Group partnered with client personnel to identify and prioritize performance gaps and process waste and variation. A detailed opportunity map and implementation plan enabled the co-team to target and then systematically address improvements. Structured management systems worked to keep the entire organization linked to the overall strategy and focused on the immediate actions to achieve stated goals.
Actions Taken
- Designed and implemented a company-wide reorganization, including a new marketing function.
- Implemented process control and quality improvement tools to reduce process time and scrap.
- Improved overall equipment performance using 5S and quick changeover techniques.
- Designed and implemented a management reporting system (top to bottom) and conducted supervisory/managerial training workshops.
- Developed and implemented a product development life cycle and project management system.
- Developed and implemented a sales plan and management system and trained sales staff.
Implemented a company-wide individual performance management system and developed job descriptions and individual annual goals for all employees.
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