Discover how a liquid-packaging company overcame production trouble through our Cost-Per-Unit solution. When their main spout-assembling machine broke down, Acción Performance maintained production avoiding unwanted costs and delays.
CPU + Outsourcing Solutions
Challenge
A liquid-packaging company hit a roadblock when one of their main spout-assembling machines went down at their Indianapolis facility. This machine provided ease of production by assembling 20,000 spouts daily for liquid dispensing. Without this machine, production had to be completed by hand, taking up a large amount of warehouse space. Unwanted bottlenecks formed quickly, and the limited space began creating additional issues for other projects. To eliminate space constraints and overtime, their leadership team leaned on Acción Performance to outsource their project for completion using our Cost Per Unit Solution.
Solution
Acción Performance met with their team to learn their processes + create a strategy to address their issues and find success. Once we assessed their project needs + goals, we tailored a Cost-Per-Unit solution that would reduce costs while streamlining production. With limited space available at their facility, we relocated the project to our 80,000 square foot warehouse in Indianapolis for completion. Moving the project allowed us to utilize our skilled team to efficiently hand assemble 20,000 units daily. We assigned a dedicated Project Manager who oversaw all production, assisted when needed, and provided updates directly to their leadership team throughout the process.
Results
By outsourcing their project to our warehouse facility + implementing our Cost-Per-Unit (CPU) solution yielded a winning outcome for our partner.
- Avoided costly relocation to Mexico facility
- Maintained daily production of 20,000 units hand assembled
- Assigned dedicated Project Managers to oversee production and report to Leadership
- By utilizing our fixed CPU solution, we provided a predictable budget to help with forecasting demand.
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