Maximizing Equipment Life Leads to Major Savings
Challenge
An automotive manufacturer was spending over $100,000 annually on paint guns used in production, having accepted this high cost as a normal operating expense.
Solution
The MPS site manager noticed an unusually high usage rate for the paint guns compared to past experiences. After investigating with the supplier, it was discovered that many guns were being discarded prematurely, with usable life remaining. To address this, they implemented an exchange program where supervisors could inspect the guns before issuing replacements, allowing for repairs or extended use when possible.
Results
By focusing on maximizing the lifespan of the paint guns, usage dropped dramatically from 132 to 55 units per year, resulting in a cost avoidance of $60,553. A simple inquiry led to a significant savings and improved efficiency for the customer.
Key Takeaways
Reduced Paint Gun Costs: Implementing an inspection and exchange program reduced paint gun usage from 132 to 55 units annually, avoiding $60,553 in costs and significantly lowering operating expenses.
Improved Resource Efficiency: By maximizing the lifespan of paint guns and reducing unnecessary replacements, the program enhanced resource utilization and operational efficiency.
Impact of Proactive Management: A simple inquiry into usage patterns led to substantial savings, demonstrating the value of regular process assessments in uncovering cost-saving opportunities.