Situation
- The client manufactured a diverse portfolio of Make To Order (MTO) and ETO products serving the Oil & Gas industry
- After experiencing a number of costly escapes while simultaneously facing increasing costs in the quality function, the organization set out to conduct a review of the Quality organization
- SLKone was hired to perform the review and identified several key opportunities;
- Headcount was over twice the level reported
- Key gaps in quality reporting lines (Supplier to Control)
- Mis-aligned roles and responsibilities
Bespoke Solutions
- Key users of Quality resources were interviewed and surveyed as to current projects and uses
- Quality resources were identified, reviewed and classified, including outside of Quality based on the core competencies of personnel
- Reporting lines were re-aligned and processes and interactions documented to ensure connectivity, especially between Quality Control and Supplier Quality
- Additional pain points and opportunities were identified to better utilize Quality resources, including; co-located Non-Destructive Testing labs, digitization of quality documentation, utilization of common Quality Management System
Leading With Results
- 60% reduction in identified escapes; Escapes, that had largely been driven by supplier issues, quickly resolved through a combination of rejected orders and open communication internally and externally with vendors
- Over 50% reduction in Quality Compensation & Benefits spend; Addressed excessive management personnel and through a re-allocation of responsibilities and initial digitization efforts reduced the need for Quality resources