A North American pharmaceutical company reduced defects, boosted productivity and cut machine downtime—all with targeted problem-solving training!
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A North American mid-sized pharmaceutical manufacturing company was facing operational challenges that affected its profitability and performance. The company reported a high defect rate of 3.5%, low employee productivity at 75%, and machine downtime of 12%. These issues led to annual financial losses of approximately $500,000, prompting the management to explore solutions to enhance operational excellence.
After a preliminary audit of the organization, we recommended that the company initiate an 8D problem-solving training program for its employees.
Based on training needs identified in the preliminary audit, a group comprising of 50 employees selected from cross-functional teams, including production, quality assurance, and maintenance was formed. A training calendar was drawn such that employee training doesn’t affect their official duty or personal time adversely.
The training spanned three months and focused on key areas such as 8D methodology, Root Cause Analysis, Kaizen Events, Total Productive Maintenance (TPM), and Statistical Process Control (SPC). The approach combined weekly onsite and virtual workshops, on-floor coaching sessions and real-time problem-solving projects to address pressing operational issues.
Six months after the training program, the results were remarkable. The defect rate dropped from 3.5% to 1.2%, thanks to the use of PDCA methodology to identify and eliminate process variations. Employee productivity increased to 90%, driven by Kaizen events that encouraged team collaboration and empowered employees to take ownership of improvements. The implementation of TPM led to a significant reduction in machine downtime, which fell from 12% to 5%.
These improvements translated into an annualized cost saving of $1.2 million. The success of the training program demonstrated how targeted skill-building initiatives could transform operational performance, enhance employee engagement, and drive financial benefits.
Moreover, training need not be elaborate. A short 3-month training can do wonders to enhance your bottom line.
But the catch is that training must be customized for your organization. And this is true for any company belonging to any industry vertical. I will emphasize that- Don’t settle for standard training packages or training events. To achieve 3x increased profitability, you need a short-time, power-packed training, focussed to eliminate the pain points faced by your organization.
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Keywords and Tags:
#OperationalExcellence #LeanManufacturing #PharmaSuccess #ContinuousImprovement #QualityManagement
Categories: Case Studies | Life Sciences | Operational Excellence
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