Business Case
New competitive technology products eroding margins
High costs and long lead-times resulting in market share losses

Actions
Flexible Lean manufacturing system design and implementation
Lean JIT logistics network design & implementation

Results

Before 25 days $80 M 83% 1.0 (Index)

Metric Replenishment lead-time Inventory On-time delivery Demand fluctuation

After 7 days (-72%) $40 M (-50%) 94% 0.6 (-40%)

Summary
$100 million cash freed up in two years
Used to acquire one of their largest competitors
Won global parent company competition for best business unit world-wide