Aegis Industrial Finishing - Business Consulting Project
|Project Client:||Aegis Industrial Finishing
|Project Description:||Production work order flow and capacity management
|Students:||Patricia O’Brien, Andrew Stasiewski, Dean Wilkes
|BCIT Program:||Business Operations Management
Aegis Industrial Finishing was utilizing the powder coating workstation an average of 5.95 hours a day. To realize increased monthly revenue, Aegis Industrial Finishing needs to increase the utilization of this workstation which will then increase the overall throughput and increase monthly revenues.
Through interviews, observations, Pareto analysis, activity sampling, and other analysis tools the students determined that the root cause of the problem is lack of manpower and long preparation and racking times. Racking and preparation is the most time consuming process creating a bottleneck in the process.
To improve the current system the students recommend that Aegis Industrial Finishing:
- Hire an additional employee with an emphasis on product racking and preparation
- Install a light outside the powder coating booth to visually prioritize work.
The benefits of the proposed solution include a 48% increase in powder coating hours, 28% increase to powder coating booth utilization and a 23% increase in labour productivity. The potential revenue increase is $31,400 per month for an annual benefit of $376,776.