Facility Expansion Drives New Business Growth
Bob Schultz, Vice President Operations
Insyte Consulting’s engineering expertise and project management support helped secure new business from P&G. Their exposure to other area companies supported the success and impact of this project.
TRS Packaging (a business unit of TMP Technologies) is a contract manufacturer of fabricated foam products for consumer markets. It produces millions of Magic Erasers annually for Proctor & Gamble (P&G), its primary customer. The Magic Eraser is a consumer product used for household cleaning chores. There are about 50 different styles and configurations sold nationally and internationally in many types of retail stores.
P&G regularly introduces new Magic Eraser products manufactured at TRS Packaging. TRS realized it needed to expand its facility and increase capacity to keep pace with P&G orders. TRS hoped this expansion would also provide the opportunity to eliminate costly offsite warehousing.
Insyte Consulting worked with TRS Packaging to determine the most efficient use of the 20,000 ft2 facility expansion. Key objectives were to eliminate off-site storage, improve workflow within the facility, and prepare for the transfer of purchased components from P&G to TRS. An Insyte-TRS cross-functional team analyzed historical demand, forecasted demand, material flow and inventory to develop alternative layouts to improve the effectiveness of the expanded plant. The alternate layouts allowed TRS to view their current operations differently and forced a discussion of improving the current way of storing, moving, and identifying raw material components and finished goods. A detailed layout of the chosen expansion alternative was produced that included 5S workplace organization, visual controls to locate material for each production line, and the ability to incorporate a replenishment program for major components and increase inventory turns.
Facility successfully expanded by 20,000 feet within the required time frame.
Annual sales increased by more than 20% .
Seven new products added.
Overall cost reduction solidified business with P&G.
Reduced offsite storage cost by more than $160,000 annually.