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Overcoming Inventory and Productivity Challenges: A Case Study on an Access Equipment Manufacturer’s Transformation with MSC Solutions

The customer, a leading manufacturer of access equipment, faced high inventory costs, low productivity, and inefficient procurement processes, which were significantly improved by implementing MSC’s solutions, leading to enhanced operational efficiency and profitability.

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Overview

This company is the world’s leading designer and manufacturer of access equipment. They deliver the powerful, versatile equipment customers need, along with unsurpassed training and service. Their diverse portfolio includes leading brands in mobile elevating work platforms, telehandlers and an array of complementary accessories that increase the versatility and efficiency of those products.

To learn more about MSC’s BNA, our unbiased process, and data assessment of your indirect supply chain, designed to identify customized solutions to empower performance, generate savings and maximize profit potential, call us at 800.645.7270.

Challenge

CHALLENGED WITH PRODUCTIVITY, SKILLS GAP & TOO MUCH INVENTORY

Conducted an extensive operational site assessment through MSC’s Business Needs Analysis (BNA) to identify opportunities to achieve this customer’s goals for productivity, skills gap, and inventory.

Goals included:

  • Improve productivity and/or efficiency

  • Improve throughput (reduce cycle times)

  • Address the Skills Gap

  • Inventory Reduction

Solution

MSC DELIVERED METALWORKING PROCESS IMPROVEMENTS & CUSTOMIZED INVENTORY SOLUTIONS

  • Conducted an application optimization (Ap Op™) to identify process improvement opportunities

  • Implemented vending and vendor managed inventory (VMI) solutions in 2 buildings

  • Provided a comprehensive reporting package and vending health scorecard

  • Ability to manage Resharps through vending

  • mscdirect.com for accountability and traceability of unplanned purchases

  • Industrial Safety Consultant assessments

Results

14.2 % OVERALL COST SAVINGS FOR LAST 18 MONTHS (% OF TOTAL SPEND)

  • In the 1st 10 months of 2022 alone, company realized a $70,749 in cost savings

  • Additional cost savings of $21,165 realized because of Ap Op™ process improvement recommendations

Continous Improvement

Established a cadence of Customer Improvement Reviews (CIR) at which MSC and the customer collectively review a “scorecard” to evaluate progress on identified goals and look for improvement opportunities. In addition, we continue to work with our metalworking specialist team and the customer to identify improvement initiatives to keep their team at their highest levels of productivity.

Customer
  • Manufacturer of Access Equipment