ENGINEERING INTEGRATION ALLOWS FIELD TO IMPLEMENT COST SAVINGS

BEING INTEGRATED ALLOWS FIELD TO NOT ONLY IDENTIFY COST SAVINGS OPPORTUNITIES, BUT ALSO PLAN AND IMPLEMENT THEM

Challenge

During a technical line review, a Field engineering team member noted a signal light being produced used a separate right and left side end cap. Both end caps physically fastened to either side of the signal light, but an extruded hole prevented this from being done.  Field reviewed the “where used” report on the customer’s computer system and found these extruded holes were part of a legacy option that was no longer offered to any of their customers.  Therefore the holes were no longer necessary to the design

Solution

  • The Field team worked with the customer’s engineers to determine the design intent of the extruded hole
  • After determining the holes were no longer needed, Field worked with the manufacturing supervisors to discuss set up frequency, tooling costs, and design chance implications
  • The Field team marked up all necessary drawings including the actual part drawing as well as the final assembly drawings
  • Field then initiated the ECR in the customer’s computer system. This involved detailing BOM changes on 51 different products and 18 different assembly drawings

Results

This SKU reduction project eliminated the need to physically monitor the inventory level, manufacture the parts, inspect the parts, maintain the drawings and ERP data, fill the bins in the assembly cell and pull parts from the assembly bins.

  • More recommendations became REAL savings
  • The customer’s engineers spent more time using their core competencies
  • Less proliferation of fastener SKU’s

This is just one of many examples that led to this customer receiving a PPV andVAVE cost savings because of Field Engineering Integration. From this engineering project and others, Field saved the customer throughout the year a total of $150,914 or 9.3% of spend