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ENGINEERING

TECHNOLOGY

Our Client is an international leader in high performance digital imaging and semiconductors with approximately 1000 employees world-wide. The company’s core competencies are in specialized integrated circuitry, electronics technology, software, and highly engineered semiconductor wafer processing.

They are investing significant resources in R&D for their various innovative products which have tremendous growth potential in areas such as “uncooled infrared” technology (that opens up new applications for infrared technology in various sectors such as automotive and smartphones), as well as serving their traditional customers (such as industries that required “machine vision” to “see” objects on fast-moving production lines).


Objectives

  • Developing and implementing Management Operating Systems (MOS) based on project management requirements and specifications.
  • Increasing efficiency by 29% based on the allocated time per project.
  • Meeting pre-determined milestones on projects.
  • Converting a reactive culture to a proactive culture, resulting in addressing issues in Production through to resolution.
  • Developing accountability and discipline to ensure 100% compliance to project schedules.
  • Training and on-the-floor performance coaching of the Front-Line Managers.

Assessment Findings

  • Work Time

  • Non-effective Time

  • The engineers were not assigned tasks equivalent to their total weekly capacity.
  • Engineers were working on secondary tasks versus priority work.
  • Significant lots were “on-hold” in Production due to the ineffective preliminary work performed by the engineers.
  • Engineering department meetings lacked structure, action plans, and were not effectively managed to optimize the participants time in the meetings.
  • Front-Line Managers were not aware of the engineer’s activities on a daily basis.
  • There was insufficient and untimely updating of the hours worked on specific projects by the engineers.
  • Indirect hours were being used as a “bucket” to mask unproductive work activity hours that were non-value added in nature.
  • Front-Line Managers were not focused on the non-value added hours and performance variances in their respective areas.
  • Front-Line Managers were not using management tools to ensure proper crewing on projects or the establishment of project priorities.
  • Front-Line Managers generally let the levels of employee activities follow their course, leaving the engineers to essentially manage the process themselves.

PVA's Response

  • Developed and implemented timely follow-ups by the Front-Line Managers to assess the quantity and quality of the engineering work performed on all projects.
  • Ensured priority changes were being communicated with work activity time expectations.
  • Developed and implemented weekly reviews on all projects to allow the Front-Line Managers to re-set priorities for the following week, to identify and action variances to plan, and to re-allocate resources as required.
  • Ensured 100% compliance to the estimating and measurement of project milestone attainment.
  • Developed project schedules for all projects.
  • Reduced, managed, and controlled indirect hours as a percentage of direct hours.
  • Centralized an automated and easy access folder for all project schedules to facilitate their timely management.
  • Loaded the engineers with a full week’s worth of work.
  • Prioritized the engineers work activities according to the master project priority list.
  • Controlled and minimized production support activities thereby maximizing project work.
  • Structured meetings with formalized agendas, participants, action plans, and due dates.

The Results

Efficiency of Hours Charged to Projects

Engineering Savings

Improvement in Supervisory Activities

Engineering Supervisory Activities

PRE-PROJECT
4% 0% 72% 3% 21%
POST-PROJECT
38% 10% 34% 9% 9%
  • Active Supervision
  • Training
  • Administration
  • Manual Work
  • Available

Long Term Work Continuation

  • A project Coordinator was trained and certified during the PVA engagement.
  • A quarterly audit program of the new Management Operating System was developed for the Coordinator to conduct internal audits and present results to management.
  • PVA conducted audits over 18 months to ensure compliance to the continued utilization of the Management Operating Systems.
  • These Audits resulted in recommendations and action plans to further identify additional opportunities for improving operational effectiveness.

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$1.15
+ BILLION SAVED
4.2
AVERAGE ROI
28
YEARS
580
+ ENGAGEMENTS
220
+ CLIENTS