CASE STUDY: Supplier Turnaround – Underperforming OEM supplier transformed with record results
An automotive supplier to an OEM was repeatedly failing to achieve On Time In Full (OTIF) deliveries.
This was causing disruption to the OEM’s build line as the necessary parts were not being delivered to the OEM’s site in time.
Furthermore, the supplier was also shipping poor quality parts to the OEM during new model introduction.
G&P held a project kick off meeting with the OEM and the supplier.
G&P agreed a series of delivery milestones with the OEM and the supplier as part of the kick off meeting.
The team from G&P undertook a ‘Go, Look and See’ exercise to understand shop floor conditions.
A clear focus was placed on achieving the initial delivery requirements.
G&P reviewed and developed a simplified version of the timing plan, while implementing a robust structure for shop floor teams to meet quality and delivery targets.
G&P ensured the OEM was fully informed of progress utilising daily conference calls.
After G&P had implemented the change, the plant achieved a maximum of 93 complete vehicle sets within a week, representing a new record achieved in the plant’s history.
Additionally, the quality of the parts significantly improved.
G&P continued to work with the supplier to help improve their quality management and delivery On Time In Full (OTIF) as per their contractual obligations with the OEM.
From the success of this project, further developments were discussed with plans to improve quality for the supplier on future product facelifts and launches without it being forced on them by the OEM.
Subsequent projects were undertaken for the supplier and G&P has built long lasting and trusting relationships, adding value and support with both the supplier and the OEM.