TOC Case Study: Bal Seal Engineering Company
Before
- Inventory and work-in-process everywhere
Lead times were seven weeks
Production crew working 55 to 58 hours per week
On-time delivery 80-85 percent
Maximum Output 65,000 parts per week
After
- Almost immediately, work-in-process began to dry up and Inventory reduced by 50 percent
Total output 100,000 parts per week – increase of 54%
Lead time was reduced to eight days – reduction of 84%
On-time delivery improved to 97 percent
Net Profit doubled
Operating expenses reduced