Lean Thinking saves £4m Cap-ex
What was the Problem?
- The manufacturer was requiring a £4m redevelopment to substantially increase workshops at two large sites and to create more car parking to meet growing demand.
- There were major parking problems on site. The workshop was full and there was an unacceptable booking lead time
- Eliminate waste to improve existing ‘Express Service’ to enable all services (with some additional work) to be completed in 45 mins
- Market and encourage more customers to wait for 45 mins instead of leaving car all day
- Adapt existing buildings for Express Bays
- 5 bays at main site and 2 bays at second site
- 30% improvement in After-Sales revenue after 3 months
- ‘Right first time on time’ improved from 50% to over 90% in same period
- 180% productivity on service jobs
- 25% Fewer courtesy cars needed
- Customers strongly appreciated the convenience of real ‘while you wait 45 min appointment slots.
- While you wait services quickly grew to around 50% of all jobs which meant parking problems were eliminated.
£4,000,000 capital expenditure not needed.