Client Problem
A state-owned pharmaceutical manufacturer was struggling with high manufacturing costs, surplus inventory, and inefficient plant utilization. It was failing to meet the performance levels of its competitors and needed to stimulate sluggish sales growth.

Transforming the Operations
After an intensive one-month diagnostic study of the company’s operations, we developed a comprehensive plan to transform its production and distribution practices. We worked closely with the client in a redesign of its manufacturing systems to improve equipment efficiency and labor productivity. We helped senior management make better use of their equipment and plant capacity, thereby slashing manufacturing costs and boosting productivity. A new “pull” production system minimized the company’s finished goods inventory.

Improving Productivity
The company reduced product inventory by 40 percent and increased productivity by 15 percent in the pilot project. The client is now ready to roll-out the new system to its other product lines.