Fiberglass & Insulated Booms Manufacturer Increases EBITDA, and Net Profits

CASE STUDY

About the opportunity

Waco Boom is the benchmark manufacturer and supplier of fiberglass booms for aerial devices. Waco Boom has a global reputation of providing dependability in fit, strength, and non-conductivity. This reputation is built on an extensive history and focus on producing superior booms to match the design and function of each insulated aerial unit.
The Challenge
The operational performance of the business had dipped significantly. Customer complaints were high and the business had several customers at the cusp of taking their business elsewhere. The owner realized they needed help and reached out to us. The first step we completed was a business diagnosis to have a deeper understanding of the challenges and to formulate a plan of attack. Here are some of the observations we uncovered:• On-time deliveries were averaging 39%

• Internal defects costs as a percent of sales averaged 10%
• Leaders functioned in a highly reactive manner
• There were no goals, metrics, nor documented procedures
• No product quality criteria to identify areas to improve
• Customer complaints were also showing an upward trend
• The business lacked a defined strategic plan with long- and short-term goals

Solution
We identified opportunities in the program and used a three-phase approach:

• Phase 1 – Operational Stability: We focused on eliminating inefficiencies in the operation to facilitate better product flow.
• Phase 2 – Leadership Development: We began providing middle managers and first-line supervision leadership and operations management training.
• Phase 3 – Strategy Deployment: In the last phase we focused on developing a 3–5-year plan for creating profitable growth for the business.

Results
We helped this client restore customer satisfaction and increase profitability by double digits. Some of the most notable operational results we helped create include:

• Improved on-time delivery by 58% by streamlining and improving product flow.
• Reduced customer complaints by 53% by driving root cause problem resolution.
• Reduced internal scrap by 69% by standardizing processes and reducing mistakes.

About Us
We help manufacturers achieve and sustain operational cost reductions of 20%+, improve on-time delivery to 99%+, and reduce defects to improve product quality to 99%+. These changes help our clients grow company profit margins by up to 25%. We have developed and used a proven approach to ensure manufacturers achieve and sustain significant performance improvement. Our consultants have over 15 years of experience working with manufacturers and developing their capabilities.

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