Takahashi's Scheduler Case Book: Chapter 7
The Case of the Auto Parts Factory
Production scheduling at an auto parts factory--preventing a company's collapse
One day I received a sudden visit from a newly appointed president of an auto parts company. This was an excellent company that had started up a production scheduler on its own. The new president was a section manager at the time the scheduler was installed, and now the young man had been elevated to the position of president. The first thing he said to me in giving his reason for the visit was surely an exaggeration that "the installation of that production scheduler has kept our company from going under. Truly, there are some things that only a new president would do.
I asked what the situation was. He told me that with the introduction of the production scheduler they had become more efficient, cutting inventory by 30 percent and lowering the break-even point by 35 percent--a very exhilarating experience for a manager. I told him, "That's terrific." He told me, "That's not all. After that the economic bubble in Southeast Asia broke and the auto industry was deal a heavy blow. We two had a very high level of export orders to Southeast Asia and those took a sharp drop. It's clear that if we had not installed a production scheduler, we would have been hit with a lot of red ink, but we weren't."
The excellent contributions of a production scheduler to corporate profits make the developer very happy indeed.
Case Closed. . .
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