A corporate-wide assessment of capital assets uncovered a big problem: much more test equipment than anticipated in the company's engineering labs. A deeper dive brought the issue into sharper focus:
- 24 separate, localized spreadsheets used to track test equipment in 30+ labs.
- Nearly half the equipment was no longer supported by the OEM, putting a number of projects at risk.
- Test equipment was not standardized across the labs, further decreasing the likelihood of equipment sharing.
- There was no standard method for scheduling over 30 test labs.
- Equipment utilization was an unacceptable 9%.
Facing increasing demands for new solutions at lower costs, company leaders knew they needed to act immediately. Engineering productivity and capacity was on the line.
Scireo was quickly implemented to provide visibility and insights to effect rapid change.
Any changes would have to overcome engineers' fears that efforts to more effectively manage their equipment would leave them with less than they needed to do their jobs. That's why Scireo incorporates:
- Equipment management tools tailored to fit the needs of the engineering labs
- A broad, enterprise-wide test program management that encompasses people, processes and infrastructure
- Rigorous operational as well as financial metrics
While the customer's business was growing by 10% year over year, the solution delivered immediate and increasing results.
In the first year:
- Utilization nearly tripled, from 9% to 26%
- Total inventory was reduced by 35%
- Inventory of unsupported equipment dropped by 50%
- Calibration non-compliance reduced from 8% to 0.3%
- Engineering workforce increased by 10% to handle new projects—without needed new equipment or new workforce
Scireo continues to deliver great results, year after year:
- Overall utilization has hit 57%
- Inventory count is still down by 45%—even though business has more than doubled
- All laboratories now share standard processes and tools for scheduling capacity