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Small Company Situation
OVERVIEW - A chemical equipment manufacturer produced one standard control panel. They experimented with out-sourcing its production to OEM Panels. The change has been very successful because of eliminated production delays and reduced cost. Let’s start with the facts.

PRODUCTION DATA - Minimum order is (1) unit. Standard delivery is (4-6) weeks with annual shipments between (15) and (20) units per year. They offer (1) standard equipment configuration.

ORIGINAL PROBLEM - The manufacturer was experiencing unit shipment delays caused by control panel production problems.

Small Company Problems
PRODUCTION – The manufacturer was optimistic about production and they built control panels as needed. Their production schedule didn’t include allowances for control panel production problems. As a result, any control panel problem delayed final production, testing and shipment.

ENGINEERING - There was limited engineering support for control panel production and no one actively directed control panel production or development.

Small Company Solutions
ENGINEERING REDESIGN - OEM Panels redesigned their standard control panel allowing them to provide a better product at a lower cost in less time.

Small Company Results
FIRST THINGS FIRST - The manufacturer originally wanted to eliminate shipment delays caused by control panel production problems. This was achieved.

 
 
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