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Medical Device Sector

Company: Contech Medical International Ltd

Service: Business Development and Operations Improvement

Sector: Medical Device; 80 employees

Contech Graphcontech

Contech Medical undertook an Operations Improvement programme with Team BDS to support a Business Development Programme. This Operations Improvement Initiative has led to significant improvements in productivity, management practice and profitability.

The project focus was on:

  • Business Analysis and Strategic Direction
  • Organisation effectiveness and accountability
  • Implementation of KPI’s
  • Production planning and scheduling
  • Shop floor Lean implementation
  • Inventory management and reduction

Team BDS initially worked closely with company management to develop a robust business model and, subsequently, to fundamentally change how production is planned and managed. From this, daily and weekly materials planning was performed, along with machine set-up and maintenance planning. The sub-contract market is highly competitive and, within this market, Contech have been able to deliver price reductions to key customers and win new business.

An extensive Lean programme was undertaken to plan the shop floor to facilitate customer demand and manage production effectiveness on an hourly basis. Lean principles were used to introduce “Pull” inventory control which has reduced WIP inventory by 60%.

Meeting effectiveness has been improved (with meetings typically taking 70% less time), and key decision making is more timely and based on KPI’s.

A Sales and Marketing plan and Sales Pipeline management process were also part of the overall programme.

Contech Medical has improved gross and net margins and has achieved cost reductions to become competitive in winning new business. Production efficiency has increased and inventory levels have reduced. Contech staff and management have been equipped with new skills to grow sales, increase productivity, reduce cost and minimise inventory:

 


Key Measurements

Results

Sales (per employee)
+33%
WIP Inventory -60%
Productivity +40%

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