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Powertrain Automotive Customer

Since November 2019 AMBE has been working with a Powertrain Automotive Customer to develop and implement a plan to get them out of back log orders, add new procedures and eliminate premium freight created for addition of processes and activities due that they were in financial difficult situation since middle of 2019.

The Challenge

Root cause was the extra processes and activities for falling into a difficult financial situation for being cash in advance mode with all their supply chain.

To help our Customer to walk them thru a path that will direct them to reduce and/or eliminate:
I. Back log orders: 60,000 over all back log when project initiated.
II. Shortage of components: + 30 components shortages
III. Premium freight: 4 -5 charters per day plus 3- 4 expedited trucks with no use of regular customer JIT trucks
IV. Identify quality concerns: Priority to get parts leaving quality aside
V. Assure sustainability: Measure results with KPI’s

Ambe help to eliminate mentioned issues and meet customer expectations regarding flow of information, way and frequency of their needs and teams
to be involved, at the same time to find a strategic way to manage customer pressure to obtain desired results within short period of time

The Solution

Map and understand the manufacturer actual processes and extra systems created due their cash in advance situation and develop a plan that will
allow agile flow of information by identifying and assuring a way to follow and control following tasks

  • Analyze Preform process analysis. (Cash in advance System)
  • Understand Back log actual situation.
  • Assure Data and reports collect.
  • Steps for Demand Processing.
  • Creation of Production Plan.
  • Review Customer Plants coverage.
  • Implement Back log recovery plan.
  • Follow up Raw Material shortages.
  • Identify Deviation of regular processes.

The Result

Transportation

Before

4 -5 charters per day plus 3- 4 expedited trucks and not usr of regular customer milk runs

After

Gradually moved to only expedited trucks and after to only regular customer milk runs by lowering back log until eliminated
System & Training

Before

Not consistency and proper usage of preform (CIA) system due to complexity and lack of flow of information to customer.

After

Upgrade system and transferred to excel to focus on selected preforms and cross match with shortage of components report, adding status on daily customer reporting.
Back log and shortage of components

Before

60,000 over all back log when project initiated and + 30 components short.

After

0 back log and less than 5 shortages of components after 3 months by implementing recovery plan, daily monitor and follow up on shortage of components
Costs

Before

High Premium freight & costs

After

Use of only milk runs (not transportation costs involved)
With more than 100 team members in the US and response teams available globally, we are an award winning ISO 9001:2015, dual-certified W/MBE diverse supplier that brings expertise you can count on and outcomes you can measure.
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