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SRAM Training with Power to Lead their competition with a Lean Implementation

Sunday, November 29, 2015
Client Profile: 
Quarq Technologies was founded in Spearfish SD in 2007 designing and building high precision power meters for competitive cyclists. In 2011 the company was purchased by SRAM, LLC - a global bicycle components manufacturer. A power meter is an electro mechanical sensor that measures power put into the bicycle by the rider advising them of their patterns while training. This allows the rider a competitive edge as they can control and understand their riding styles as they prepare for competition.  

SRAM Spearfish designs and builds power meters in Spearfish South Dakota USA. The company takes great pride in producing high quality cutting edge products. The Spearfish facility employs 32 people; including management, engineering, and operations

Situation:
Great Products in small companies often fail due to the limited resources and young process inside the operations. SRAM Division leader James Meyer saw this risk and hired a manufacturing expert to build the correct operation for this new product line. Chris Hamm utilized Manufacturing Technology Solutions (MTS) as the group to transform their organization to be able to scale with new product growth.

Solution:
MTS helped SRAM understand the foundational concepts of Lean manufacturing by presenting several Lean 101 overviews for company employees which included live simulation. With the assistance of MTS, SRAM Spearfish implemented several Lean tools as well as made several Shop floor arrangements to improve Operations:

Projects Included:
  • A VSM project resulting in new layout and inventory reduction project
  • Standard Work resulting in establishment of standard work (using Timer Pro video tool) for every operation.
  • TWI class for 12 employees resulting in the implementation of Job Instruction as a training tool.
  • Electro Static Discharge(ESD)  consulting project– resulting in reduced scrap and improved field durability. Big $ savings.
  • Lean 101 for 30 employees – the foundation of our lean training and culture transformation
  • Toyota Culture Workshop with Mike Hoseus – two managers attended and changed their view of leadership in a lean culture – outstanding class!
  • 4 employees attended Lean Study Missions hosted by MTS through Toyotas Kentucky Factory. Four people saw firsthand a world class facility and implementation of lean. 
  • CEO forum – the founder of Quarq attend and receives great leadership coaching and knowledge sharing with fellow CEO’s in the area. A great resource for Western SD where these opportunities to network are very limited.
As a result of MTS's assistance, the company increased overall production, lowered inventory costs, improved communication, and increased employee involvement. 

SRAMs Plant Manager Chris Hamm said, "The Lean Management System training MTS provided has helped improve Quality and Inventory levels. The original Lean 101 training has been a cornerstone of our employee involvement and continues to provide a daily approach to continuous Improvement. This improvement in operations has allowed us to double our output with the same staffing levels. The consultants from MTS are top shelf.  They have extensive knowledge of Manufacturing and are outstanding at teaching and communicating that knowledge to others. I welcome them into my factory any time – they are one group that actually helps me. These guys are like members of our staff ”.

Testimonial:
"MTS has been instrumental in helping develop core manufacturing approaches that have significantly impacted our ability to increase our overall production while lowering our costs. I appreciate the way the MTS instructors have been able to adapt their instruction to our work environment and industry. We are not only realizing the cost benefits but our culture is adapting and changing for the positive as we continue on our lean journey."

~Chris Hamm, Plant Manager

Results:
  • Total Impact of $12,339,400
  • Realized $10,928,000 in cost savings
  • Created 2 jobs
  • Retained 8 jobs


Categories: Success Stories