Change of Manufacturing Footprint

 

One of the major challenges for a manufacturing company lies in figuring out the optimal footprint for production facilities and volumes—and then achieving it. This is never an easy exercise. Finding the right answer requires optimizing a wide range of factors, including labor, overhead, logistics, inventory, and infrastructure. Often, it requires understanding complicated cross-border and regulatory issues. Manufacturers constantly wrestle with the following difficult questions:

  • Where should we place capacity to capitalize on growing markets?
  • How can we consolidate our production network to increase margin and value?
  • How do we take advantage of lower-cost locations for production?
  • How do we transition from our current footprint to an optimal footprint—and quickly?

An unique combination of real experience of analytics help companies tackle the footprint challenge with deep expertise in all aspects of manufacturing-footprint design and execution of personal experience in production transfers with a proven process that deals comprehensively with footprint changes, including carefully managing transitions for customers and suppliers for following held projects :

  • Execution : Sending plant Zutphen, Netherlands. Adhesives Industrial WaterBased technology. Receiving plants Mezzago (Italy), Kleve (Germany), Norrkoping(Sweden). NSC – 2004.
  • Execution : Sending plant Warrington, UK. Adhesives Industrial Waterbased technology. Receiving plants Mezzago (Italy), Kleve (Germany), Norrkoping(Sweden). NSC – 2005/2006.
  • Execution : Sending plant Barcellona, Spain. Adhesives Industrial Waterbased technology. Receiving plant Mezzago(Italy). NSC – 2007.
  • Coordination : Sending plant Mezzago, Italy. Adhesives Industrial Waterbased technology. Receiving plant Zingonia(Italy). Henkel – 2010.
  • Coordination : Sending plant Mezzago, Italy. Adhesives Industrial Hot Melt technology. Receiving plants Villefrance (France), Norrkoping (Sweden), Heidenau (Germany), Zingonia (Italy), Gebze (Turkey), Duesseldorf (Germany). Henkel – 2012/2013.

Optimizing a company’s footprint improves operating flexibility and positions the organization for future growth. The optimization process balances a wide range of critical factors including improved operating requirements, increased cost efficiency and access to new markets. A narrow focus on only cost reduction does not allow a company to capture the broad range of value improvement opportunities.

Footprint optimization, whether completed on a manufacturing or global scale, is relevant throughout every industry and at any point during economic and business cycles. Organizations need to regularly optimize their footprint to ensure their long-term competitiveness.

Function KPI’s

  • Service Level per each customer segmentation, %
  • Inventory Level, tns : Sending plant, Receiving plant.
  • Production volumes, tns : Sending plant, Receiving plant.