CGT is a manufacturer of vinyl for automotive and industrial applications, employing about 1,000, with annual sales of $330 million. They have recently grown through acquisition of the PVC business and facilities from General Polymers and Uniroyal Chemicals. SatiStar’s activities included re-engineering the overall Order Fulfillment process resulting in:

  • 14M$ inventory reduction (78% reduction)
  • As a result of re-designing and implementing the new Scheduling processes, the overall order fulfillment process cycle time was reduced from 43 days to 14 days (allowing for a further working capital reduction of roughly 20M$)
  • Identification and implementation of 93 opportunities for significant improvement in order fulfillment
  • Headcount reduction in manufacturing and support processes of roughly 5%
  • Overhauled the organizational chart and re-aligned the reporting relationships to the new business processes
  • Re-engineered the plant Maintenance processes in order to increase overall plant efficiency
  • Separated Maintenance into three sub-processes:
  1. Repair plant and equipment process
  2. Improve plant and equipment process
  3. Prevent breakdowns process
  • Identified significant reduction in Mean time to repair (MTTR) of roughly 35%
  • Identified significant increase in Mean time between failures (MTBF)
  • Assisted in creation of the corporate Total Quality Improvement plan

“This projected cycle time reduction of over 80% annual cost savings amounting to over 3% of sales, one-time savings of roughly $10 million, and working capital reduction of roughly $30 million really have us excited!” –Jim Chaplin, Chairman

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