A $70 million recreational industrial manufacturer was unable to manage manufacturing to satisfy customer demand. Due to the seasonal nature of the business, the company risked losing 40% of their annual revenue if they did not improve output.
Actions:
AlphaPoint professionals converged on the troubled facility and worked quickly with the management team to bring the situation under control
Established best practices for scheduling and helped implement quick change-over procedures
Immediately worked with vendors to stem the flow of excess raw materials
Results:
Output almost doubled within 30 days
Captured $28 million in seasonal sales and $7 million in operating profit, which were in jeopardy
Created $300,000 in cash through corresponding reduction in raw material inventory
Salvaged strained customer relationships and business
