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Cost leadership without capital investment

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Automotive – Engine Block Manufacturing

At one of the world’s top automakers, the idea of breakthrough manufacturing process improvement without capital just doesn't make sense. The company had just completed a major cycle time reduction exercise, and was sure there were no more quick wins. Then they implemented True Opportunity software and the Hagen Improvement Process. The automaker achieved a 33 percent increase in output in under 3 months, plus halved scrap and rework levels.  By the end of the project, the business saved over $2 million a year without a capital expenditure.

According to the engineering manager, the Hagen solution has changed their view about how to run a modern manufacturing plant. "Without it, you're flying blind. Even if you're certain there's nothing to be had - as I was - this new type of methodology will find big dollars for you,” he said.

 

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