Benchmarks & Client Cases

New Plant Design

The Challenge

new-plant-design-project-management

Problem


• Large investment in a New Plant (9M$ Capex)

• Very long Payback period (7 years)

• Investment on-hold



Root Causes


• Costly new plant design

• Traditional supply chain design principles

• Excess waste in design

The Solution

 new-plant-design-layout

• Value Stream Design: Develop the entire value chain, aligned with the vision of the plant and Lean Principles

• Plant Layout Design: Reduction of waste in logistics, processes and communication circuit

• 8 layouts developed and evaluated against previously identified Muda

• Direct Link between process and packaging

The Results

The optimal layout resulted in a reduction of project CAPEX of 12% ($7.9 million) and a payback period of 3,5 years.



lead-time-reduction

Lead Time from purchase order to customer delivery

Delivery Lead Time decreased by 10% corresponding to less 2 days 

capacity increase

Plant Capacity

Plant capacity increased by 25%  

distance-travelled-benefits

Total distance travelled

Total distance travelled decrease by 20%



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