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Case study Company name: Bollhoff Otalu
Bollhoff Otalu manufactures a vast array of inventory, which makes production scheduling an extremely complicated task. The company turned to IBM Global Business Services to improve productivity by upgrading its supply chain processes, mainly in the demand, planning and just-in-time finishing areas. |
Business need Bollhoff Otalu manufactures a vast selection of inventory using some 120 machines to produce more than 1500 different regular stock items, plus some highly customized pieces specifically tailored to individual customer's needs. Managing production schedules is an extremely complicated task. The company wanted to improve productivity by upgrading its supply chain processes, mainly in the demand, planning and just-in-time finishing areas. Upgrading purchasing, production and tooling processes were also in target. The company turned to IBM Consulting Services to engineer the necessary process changes. |
Solution After extensive consultation with Bollhoff Otalu focus groups and the executive team, IBM Global Business Services developed a clear strategy and action plan, detailing the necessary changes, tracking the transformation, and providing regular updates to ensure the project stayed in line with business goals. The team mapped the existing processes, analyzed effectiveness, and implemented changes with IBM coaching of the six major players involved in the project. IBM Global Business Services provided the supply chain management, change management and project leadership expertise to develop an effective new strategy and implement the process changes. Deliverables included: • Structured flash reports of the three focus groups and Steering Committee input • New process and/or flow designs for each user document • A dashboard to control new process efficiency |
Results With the integration of these new supply chain processes, Bollhoff Otalu’s has been able to achieve some impressive results, including: • Operating efficiency improved to 90% • Increased productivity—representing a US$1.4 M cash win • Improved production planning—rush order transport cost savings of US$500,000 annually |
Customer testimonial "We learned to work more rigorously even under market stress and to see that it pays. IBM helped us to break out of our routine to bring this level of quality to everything we do."
Jean Michel Mary, CEO, Bollhoff Otalu |
Customer information | Bollhoff Otalu | | Bollhoff Otalu is a fourth generation family-run business that is the leading supplier of fastening and assembly systems, primarily for the automotive industry. The company has two main divisions with one manufacturing screws and the other producing manufactured fastening systems (MFS). While the parent company is German, the MFS division is centered on operations in France with additional facilities in Italy, Spain and China. Bollhoff Otalu sells some 600 millions pieces annually and develops up to 500 new items per year. |
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