Cornerstone

Category: Aerospace & Defence

  • Cost saving plan saves millions

    An aviation services and ‘green’ aircraft business came to CornerStone to reduce its costs and cycle times and improve customer service after its processes and systems became overloaded following rapid growth.

    CornerStone Approach

    CornerStone analysed the business to determine the key drivers of costs and lengthy cycle times and developed an action plan to address issues. A focus team managed overall productivity improvement activities.

    Actions Taken

    • Implemented a system for engineering management to ensure the correct drawings were released on schedule, allowing operations to complete its work with minimal delay.
    • Developed a new planning process, allowing for alignment with baseline engineering planning and removing the need for ad hoc on the floor production planning for each individual aircraft.
    • Redesigned the kitting of materials process, eliminating non-valued direct labour activities by providing materials to the aircraft production team in required amounts and on time; also eliminated lost and damaged materials.
    • Implemented a new production control process that aligns activities across production shops, insuring the right things are built when required.
    • Designed and implemented an integrated master schedule that tied all work together, including planning, kitting and production. Implemented systems for workshop management and to support the integrated master schedule at executive level.

    Driver Goals

    • Increase production of ‘green’ aircraft by 25%.
    • Reduce custom cockpit and cabin installation hours by 20%.
    • Attain a 97% customer reliability schedule.

    Results

    • US$12 million (£7.97 million) in cost savings from reduced hours spent on each aircraft.
    • Additional annual margins of US$3.5 million per aircraft.

  • Aerospace company delivers seven times more aircraft

    A start-up aerospace company focused on the design and manufacture of high performance and speciality purpose aircraft sought to improve on time delivery.

    CornerStone Approach

    CornerStone’s analytical professionals mapped the client’s entire workflow and manufacturing processes to identify key issues affecting its ability to complete and deliver aircraft on time. Issues addressed included: an inexperienced workforce; broken supply chain; and lack of business and shop floor processes. The team designed and implemented a plan to capture prioritised improvements as well as a structured management system to track and maintain performance.

    Actions Taken

    • Re-engineered the shop floor process and workflow to include work cells and kitting areas.
    • Developed and implemented a system for managing production.
    • Re-engineered the supply chain with the ability to identify and track long lead-team items.
    • Designed and implemented a shop floor performance reporting system with the ability to track individual performances and to identify and resolve barriers.
    • Developed and implemented a front-to-back Master Production Schedule.
    • Developed production standards and dynamic productivity takt (the average time taken to move onto production of the next unit) reporting time.

    Driver Goals

    • Increase monthly aircraft deliveries to two within nine months and three within 12 months.
    • Accelerate revenue streams through final delivery and progress payments.

    Results

    • Decreased engineering NMRs by 45%.
    • Reduced wing takt time by 30 days.
    • Produced a single Master Production Schedule.
    • Increased aircraft deliveries to seven from just one in the previous year.
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