1) Hospital Dialysis Unit
2) High-Tech Manufacturing
3) Manufacturing Company
2) High-Tech Manufacturing
Presenting Problem
A high-tech manufacturing organization was increasingly hampered by an unresolved conflict between operation’s customizing coordinator and the sales group. Customized machines made up the majority of the organization’s sales yet the coordinators quotes and feasibility studies were backlogged three months, resulting in the loss of an estimated 25% of their sales.
As in many situations, the conflict was personalized, and both groups blamed individuals in other divisions. The vice president of sales announced at a national sales meeting that the coordinator was, “The single biggest barrier to sales in the organization.” After the coordinator heard the VP’s comments, he stopped working overtime and fell further behind. His attitude deteriorated and he became belligerent, isolated and cynical.
Fact Finding and Actions
Working to gain understanding of the true nature of the problem, TheraRising and the coordinator processed mapped (flow-charted) the steps he completed to produce quotes on customized machines. They identified multiple process problems and many sources of delay.
They invited the vice presidents of sales, operations, engineering and the director of soft ware to a meeting where the coordinator presented his process. For the first time the executives understood the barriers and complexity of the coordinator’s role and how each division was inadvertently contributing to the backlog.
During a lengthy meeting TheraRising, the coordinator and the executives created a streamlined process. After changes were implemented, the time it took to create price quotes and feasibility studies shrank from 6 months to five days and have remained in that time frame, or below, for the last two years.
Outcome
Orders lost to delays dropped to zero, resulting in millions of dollars in revenue from resulting sales.
Cost: $20,000 Savings, year one: $1,300,000
We can help your staff shift from personality-based problem solving to a
process-oriented approach, end the “circular-firing squad,” capture fantastic
savings and enhance morale and retention.
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