Results
To date Chums has been able to reduce finished goods inventory by 109,000 units (44%) and WIP by 59,000 units (58%). They have opened up floor space that will eventually allow them to move more operations under the same roof. They have been able to create a visual pull system and reduce their inventory carrying costs without decreasing customer satisfaction or reducing service levels.
Testimonial
"I was somewhat familiar with Lean manufacturing concepts but not sure where to begin. The Lean 101 class and the Value Stream Mapping Workshop helped us get a clear picture of how to make it happen. With follow-on help from MEP, we have been able to implement several lean tools with success."
Testimonial Name: Mark Tilby
Testimonial Title: Vice President Production
Products
Manufacturer of the world's greatest eyewear retention device engineered for real life activities.
Opportunity
Chums has built a reputation of having a very high service level. To accomplish this they have carried large amounts of inventory so that orders could be filled and shipped within hours of when they were received. Their finished goods warehouse was always full of every style and color - ready to go!
Solution
Concerned about their high capital investment, Chums management began attending Lean manufacturing training courses taught by MEP. Following the training, Chums began to implement lean manufacturing principles with the help of MEP Utah's field engineers who used a hands-on approach by actually rolling up their sleeves and getting involved in the production process at Chums. Our field engineers assisted Chums by reducing their batch size and setting up visual controls that add simplified signals to the process. Chums began seeing a positive impact right away. They continued making improvements by putting the materials close to the workers and grouping the production process into cells that allowed more efficient employee motion. Almost a year later the company continues its high service level but with far less inventory and a much shorter lead-time.
Employees
85