Tier 1 Auto supplier manufacturing radiators for passenger cars and commercial vehicles Most auto parts Tier 1 suppliers struggle to meet the daily requirements of the OEMs. This is not helped by the fact that the daily requirements by OEMs of a part fluctuate widely. Hence, Tier 1 companies are in the constant state of firefighting and chaos to provide the service, leading to loss of capacity, high rejections, high inventory and exhausted managers. Tata Toyo Radiator Limited (TTR), through the deployment of TOC - solutions and thinking with Vector Consulting Group, has been able reverse this scenario. Its service level to OEMs has improved significantly on daily basis. There is now a optimal FG stock for each of its OEMs. TTR has increased its output by over 30% from existing infrastructure. The implementation of the TOC flow Management solution in NPD has doubled the output rate of new products.
The following are the results experienced so far –