Tier 1 Automotive Supplier
The Problem:
- Aging production machines.
- Major capital investments to maintain and upgrade.
- Diminishing skilled workforce.
The Solution:
- Herker proposes manufacturing outsource partnership.
- Herker’s Project Management/Engineers document all processes from the shop floor to gain all “tribal knowledge”.
- Herker establishes strategic buffer by scheduling time on existing equipment, and purchasing several new machines.
- Herker purchases 22 production machines from the customer.
- Relocate the machines and the labor from the customer to Herker’s shop floor.
- Herker QA PPAP’s all new equipment to ensure continuity in product quality.
The Results:
- Maintained supply chain continuity.
- Reduced cost of component for customer.
- Allowed our customer to focus capital and attention on their “core business”