Auto Parts Shipping Speed

Abolished compensatory use of costly expedited shipping

Situation:
An automotive metal parts manufacturer was wasting time and money on expedited shipping to meet customer delivery expectations.

Actions:

  • Enhanced parts shipping process by linking to production scheduling data instead of inaccurate inventory data
  • Improved shop floor communication and behaviors to identify potential delays before process deterioration
  • Installed continuous improvement processes
  • Modified forecasting tools to increase forward projection capability
  • Increased available production time through formal cadence of weekly production scheduling processes and focused meetings for identifying reserved and confirmed production, shipping, maintenance, and engineering requirements

Results: Achieved 95% reduction in expedited shipping costs.