Global OEM – Material Availability

A global OEM operating in rail transport markets, active in the fields of passenger transportation, signalling, and locomotives.

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The Problem

  • The business engaged the 4C Group to support production ramp-up at one of their manufacturing site. The client’s requirements were driven by three main challenges:
    • Site had struggled repeatedly to ramp up production due to material availability issues.
    • Lack of confidence in material availability forecast for effective decision making.
    • The management team needed effective solutions to restore confidence and start the turnaround.
  • Production ramp-up was essential to satisfy customer demands.

The Solution

  • Combination of operating model changes and process excellence programme.
  • Established supplier delivery review cadence to identify and resolve any issues proactively.
  • Created a guiding hand ‘Redbook’ clarifying priority processes, KPIs and procedures for the operational execution team during the operating model transition.
  • Data analytics and Control tower governance for material availability issue capture escalation, resolution and reporting.
  • Material planning MRP parameters optimisation.
  • Continuous improvement and change management programme.

The Impact

  • Enabling increase in production by 50% over 6 months.
  • Inventory reduction >50%.
  • Successful Operating model transition and proving the concept for future projects.