CAIJUN Management & Consulting
CAIJUN Management & Consulting
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1. Company 1 has long been dedicated to innovation, research and development, as well as production of high-end medical device solutions in the field of cerebrovascular intervention. It possesses a complete product pipeline and solutions covering hemorrhage, ischemia, and access categories.
2. At the end of 2022, in the face of the arrival of the national centralized procurement business opportunity, Ms. Wang Chen, the general manager of the company, felt a sense of crisis.
3. How to address this crisis and enable the company to rapidly achieve cost reduction and gain a competitive edge? As a result, the company launched a lean transformation initiative.
4. Through on-site research, the product cost losses of Company mainly occurred in three aspects:
1. Low production efficiency,
2. High rate of defective products
3. Low inventory turnover rate. Based on this understanding, we selected the company's spring coil products to establish a lean benchmark line. The aim was to achieve cost reduction by improving this product line, and through the project cultivate the improvement team of Jiaqi and develop the internal improvement capabilities.
 1.Through training in VSM analysis, production line planning and design, production line balancing, standard operations, 5S and visual improvement, synchronization operation improvement, and water spider logistics improvement, the lean improvement capabilities of the project team were enhanced, and the company's improvement benchmark was established.
2.The quantitative indicators are as follows: 1. The per capita efficiency has increased by 42.8%, 2. The internal defect rate has decreased by 83.1%, 3. The production cycle has been shortened by 22.3%.
3.Ultimately, the approved reduction rate of the individual product cost as verified by the financial accounting was 15.3% (approximately saving 1.5 million per year).
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