Rolling Out Transformational Change
Changed the plant flow and material handling of the kernel processor roll assembly, which increased production capacity by 250%.
Kernel processor assembly increased production by 150% and reduced floor space by 45%.
On-time delivery increased from 46% to 99%
Decreased roll inventory by 50%, which resulted in a $1,000,000 savings
Implemented a morning market board process to escalate problem-solving and employee morale
“Our experience with South Dakota Manufacturing & Technology Solutions has been outstanding. They have provided us guidance in almost every aspect of our business from manufacturing and inventory control to strategic planning and project management. They have truly helped us become a better company so we can better serve our customers and continue to grow successfully and strategically long into the future.”
- Jason Schiebout, Vice President of Operations
The Scherer Corrugating and Machine was formed in 1994 in Tea, South Dakota when a local machine shop was looking to sell off a portion of their facility focused on reconditioning mill rolls. At the time, Bob Scherer had only a part-time employee and a vision. Flash forward 25 years and Scherer Inc. has become a leading manufacturer of after-market rolls and processors for international brands like John Deere. Since inception, Scherer has extended their product lines, undergone major building expansions, and surpassed 60 employees.
Growth does not come without challenges, and by increasing their product and service lines, Scherer recognized the need to increase their workflow productivity.
MTS assisted Scherer with value stream mapping their processes to identify their current state and future state. Value stream mapping allowed Scherer to see gaps in their processes and opportunities for improvement. After completing their value stream map, Scherer used Kanban methodology to visualize their workflow, identify bottlenecks, and improve their flow to increase throughput and reduce their cycle time. The gradual improvements paid off. Scherer altered their plant layout and the material handling of their kernel processor roll assembly and was able to increase production capacity by 250%. Scherer applied the same Lean principles to their kernel processor assembly and increased their production by 150% while reducing their floor space by a hefty 45%. The plant restructure saved Scherer valuable floor space and allowed them to hold off on building another facility. Another impressive Lean accomplishment Scherer had was developing standardized work procedures for key processes to help expedite training and cross-training employees. Along with saving production space, Scherer was also able to drastically increase their on-time delivery. MTS helped Scherer plan for the future by working alongside them to develop a strategic plan as well as a succession plan.
The future holds great things for companies that value innovation and continuous improvement like Scherer. We know Scherer will continue to grow with the tools and efficiencies MTS helped integrate into their facility.
- Changed the plant flow and material handling of the kernel processor roll assembly, which increased production capacity by 250%.
- Kernel processor assembly increased production by 150% and reduced floor space by 45%.
- On-time delivery increased from 46% to 99%
- Decreased roll inventory by 50%, which resulted in a $1,000,000 savings
- Implemented a morning market board process to escalate problem-solving and employee morale
If you are interested in how MTS can help you get started on your continuous improvement journey, please contact us today.