Problem
NACOM Corporation, a Tier 1 automotive parts supplier, made the decision to move their operation from the Griffin, Georgia facility to Mexico. During the period of time from the announcement through plant closure, it was critical to provide zero customer interruptions, maintain quality and keep on-time deliveries consistent. Reliability and uptime of the facility’s equipment was vital in accomplishing these goals and NACOM needed a provider whose core competency was just that. Having previously explored outsourcing maintenance, NACOM saw the potential ROI though lacked the courage to break the paradigm. With an operations management change the decision was reversed. Advanced Technology Services (ATS) was called in to perform services for NACOM over a two year period until they left the US.
Solution
Before starting the contract, ATS was faced with a unique challenge concerning the service model and this customer’s temporary needs. ATS was willing and able to be flexible with the contract as well as the implementation strategy related to NACOM’s circumstances. ATS provided NACOM with a knowledgeable team onsite and additional technicians on an as-needed-basis. This allowed NACOM to focus on what they do best while ATS performed uncompromised and focused maintenance delivering increased levels of asset performance.
Bottom Line
With ATS’ commitment to providing exceptional customer service and maintaining focus on increasing asset reliability, the results were successful.
Decreased downtime by 40%
- Reduced maintenance overtime costs by 40%
- Helped reduce external parts per million by 50% from 10PPM to 5PPM
- Provided NACOM with more time to focus on Lean practices
- Increased productivity by nearly 60%
- Providing support and training at the Mexico site
“I truly believe that the outsourcing of maintenance offers a true competitive advantage to most manufacturing organizations. The model by which ATS operated has provided my organization with quantifiable performance improvements, rapid cost reductions and promising ROI projections.”
W. Tom Clark
Director of Operations & Engineering
NACOM Corporation