Leveraging TOC principles with the help of Vector, Kirloskar Oil Engines Ltd. created a significant edge over competition, when they offered one week assured delivery to the customers! Mr. Sanjeev Nimkar (Vice President & Business Head) presents this case study at the 2015 TOCICO conference in Cape Town, South AfricaMore Case Studies
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With 3 times more output from the same capacity and reduced working capital requirement, we were able to improve our ROCE by three times.More Client Speak
Kirloskar Oil Engines Ltd. (KOEL)
Kirloskar Oil Engines Ltd. (KOEL) is a leading Diesel Engine and Generator Set (Gen-set) manufacturer in India. They design, manufacture and supply Diesel Engines, which is at the heart of Gen-sets. Though this industry is aware that customers need fast and reliable delivery, KOEL and its competition could only offer customers delivery lead times of over 4-6 weeks because of the complexities in their manufacturing and supply chain. But after moving away from forecast-based model to consumption-based operations, the company is now able to offer guaranteed deliveries in one week. The company’s working-capital-turns also improved phenomenally converting KOEL from a persistently cash-starved business to a healthy one.