The following disguised case histories of actual MAC Venture clients demonstrate the kind of results you can expect when you work with us.
Case History #1
$20M Machine, Tool & Molding Manufacturer
Before: Customer satisfaction and gross margins at this company had been falling for several quarters. The firm employed an antiquated ERP system delivering inaccurate data to senior management leading to poor utilization of facilities and equipment. The current system underreported the cost of quality and management was unable to take corrective action. Without basic business measurement indicators the firm suffered from low throughput, incorrect tooling and fluctuating inventory levels. Compounding the managerial issues faced by this company was an unclear management succession plan.
After: The MAC Venture Group identified the client’s current systems and operations were misaligned. To correct this problem MAC Venture updated the ERP system and implemented policies and procedures to provide management with timely and accurate data. Facilities were updated or redeveloped to increase utilization and efficiency. Quality control issues were addressed by developing and implementing key ISO elements. The firm is on track to save over $300,000 in cost of quality issues, customer rejects has been reduced by 70% and a formal inventory program has generated over $150,000 year-to-date. MVG further assisted the company with a management succession plan ensuring that the company will continue to grow under new leadership.
Our work resulted in a total turnaround of asset utilization, throughput velocity and the elimination of waste. As a result of our work the firm is positioned for profitable future growth.
Case History #2
Window Manufacturer
Before: Our client, a family owned windows manufacturer, had successfully grown under the family’s leadership but was suffering as a result of the firm failing to cultivate a new generation of top-quality management. Lacking key human capital, the firm failed to develop and implement procedural disciplines as well as a culture of responsibility and accountability. Although the firm had made a significant investment in an ERP system little return was realized as the system was underutilized and not properly linked with functional areas of the business. The combination of these factors led to excessive inventories, high levels of waste and poorly assigned assets. Additional symptoms of the problems faced by the firm included poor data accuracy, extended lead times, and on-time deliveries below 60%.
After: The MAC Venture consulting team, with the assistance and guidance of the owner, hired a successor in the capacity of COO to eventually lead the company when the owner retires. MVG worked with the newly hired COO to build out a core management team consisting of a VP of Operations and a Director of Material. Job descriptions and quantifiable measures were established for individual job assessment under the guidance of MVG.
Under the guidance of MVG consultants, the ERP system was cleaned up and new formal systems were implemented to maintain all demand requirements and replenishment planning. Additionally, the inventory facilities were relocated and reorganized and space requirements were minimized. Combined, these actions resulted in a more fluid workflow and increased customer delivery times to greater than 95% while lead times were reduced by 30%.
Furthermore, the client’s waste reduction savings amounted to more than $300,000 and sales within the first 12 months of implementing MVG’s plans, the client’s sales increased by over 20%.
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