Projects and Results

To meet customer and shareholder expectations, executives often search for “silver bullets” such as:

  • Leveraged Negotiation
  • Merger and Aquisition
  • Six Sigma and Lean
  • Supply Chain Mgmt
  • New Computer Software
  • Outsourcing Production

While these processes provide segmented improvements, they lack the comprehensive solution provided by ICR’s integrated process application.

Click the Links in this table to see ICR's Project Results in each of our 4 Core Products and Services:

Integrated Cost ReductionLean Supply ChainChina-Sourcing SolutionsConstruction Supply-Chain

ÂĄ100+ Billion Domestic White Goods Manufacturer in China

ICR developed and implemented an 18 month Strategic Roadmap for Outsourcing and cost reductions for this company who wanted to the "first-ever" major domestic Chinese manufacturing company to migrate to a service-oriented business model.

Click Here to View the Letter of Recommendation about ICR written by the VP/GM of Global Operations

China-Sourcing Solutions
China-Sourcing Solutions
China-Sourcing Solutions

Problem

Rising material and labor costs. Extremely competitive Chinese market. CEO had a forward thinking vision to achieve outsourcing success, but lacked the internal expertise to develop or implement the transformation strategy. No Outsourcing process, procedures or experience. No higher-level assembly supplier selection processes, nor baseline cost model.

Solution
ICR designed, developed and implemented a 3 phase solution.

Phase 1

  • Develop a detailed Strategic Action Plan
  • Complete a comprehensive Gap Assessment
  • Successfully complete a pilot project to prove the validity of ICR's process

Phase 2

  • Assess existing managment team skill sets and capabilities
  • Develop detailed plan to close the individual/team skill set gaps
  • Develop the detailed Improvement Plan for Key strategic suppliers

Phase 3

  • Integrate client and ICR into a single modularization management team
  • Complete full-scale implementation throughout target division
  • Implement throughout remaining client divisions

 

Results

ICR A team hit the ground running. Within 3 weeks a bidders conference had been completed, 5 supplier assessments completed, baseline costs set with cost model, and costs target met with a new supplier for a motor module supplier.

The success of the pilot project gave the client confidence to move forward with completing a Strategic Roadmap delivered only 12 weeks from project start. Completed deliverables included:
  • Baseline Cost Model Tool
  • Core Competency Evaluation Tool
  • Supplier Selection process
  • Employee Assessment Process
  • 3 Month to 12 Month Strategic Supply Chain Strategy
  • 18 Critical Process and Procedure documents

$7 Billion Hospital Construction Project

ICR provided Lean Supply Chain Methodologies to support the planned construction of 10,000 new hospital beds for the State of California.

Construction Supply-Chain
Construction Supply-Chain
Problem
Existing processes and procedures would have taken over 6 years to complete and over crowding and inadequate care was creating a crisis in the Hospital system.
Solution
ICR developed a detailed Strategic Supply Chain Plan and was part of an integral team tasked with developing a comprehensive set of procedures to implement a "Last Planner" methodology with modern techniques from Lean manufacturing and a web based ERP system to accomplish the following:
  • Standardize design and materials, to reduce project costs
  • Create detailed Bills of Materials during the design process which could be utilitized during the procurement and construction with minimal time and effort, to improve the build schedule
  • Kit and stage the materials in advance of construction, to minimize lost or damaged materials and reduce the project costs and schedule delays
  • Implement Bar code tracking for materials and assemblies to improve visibility and scheduling of construction sequencing
  • Provide materials project management on site by skilled professionals, freeing jobsite trade and craftsman to perform more quickly and efficiently
Results
ICR over an 8 month period successfully demonstrated, and trained construction project managers, using actual suppliers, sub-contractors and construction job-sites. The results were substantially lower cost estimates and the ICR Lean Supply enabling technologies and processes would allow over a 25% improvement from the original planned construction schedule.

 


2.2$Billion European Aerospace Equipment Company

Corporate-wide Integrated Cost Reduction training, implementation and cost project tracking program.

Integrated Cost Reduction
Integrated Cost Reduction
Problem
Supplier prices on existing products increased year-over-year and on new products failed to hit target costs.
Solution
Corporate-wide Integrated Cost Reduction training, implementation and cost project tracking program.
Results
Integrated Cost Reduction program rolled out to 22 plants in the US and the UK. Delivered $3.8M in ICR© savings in year 1. Other deliverables included in project were:

* All training for engineering and SCM
* Corporate-wide IT system and procedure development
* Goal alignment and governance templates


$5.5 Billion Industrial Products Company

Working for the COO and CPO, two ICR© executives developed a three-year Strategic Supply Chain management program and roadmap. ICR© developed a 4-day, 350 page training program and then conducted the training for all SCM-VPs and corporate commodity teams (>300 people in 7 countries).

Transformation
Transformation
Transformation
Transformation
Supply Chain Transformation
Problem
After three years of low-coast global sourcing and reverser (eAuctions), the company-supplier relationships were fractured and the supply base did everything they could to raise prices, including regularly NOT shipping products.
Solution
Working for the COO and CPO, we developed a three-year Strategic Supply Chain management program and roadmap. ICR© developed a 4-day, 350 page training program and then conducted the training for all SCM-VPs and corporate commodity teams (>300 people in 7 countries).
Results
Almost a dozen corporate-wide commodity teams began supplier rationalization and transformation projects in the first 3 months.

$1.5 Billion High-Tech CapEx Company

Two ICR© Executives led the 3 year corporate-wide supply-chain ReEngineering and Outsourcing program.

Supply Chain Transformation Problem
Poor fixed asset utilization (PP&E), inventory turns and poor customer on-time delivery of multi-million dollar high-tech capital equipment.
Solution
Two ICR© Executives led the 3year corporate-wide supply-chain ReEngineering and Outsourcing program.
Results
Dramatic improvements in operational metrics:
  • Inventory Turns from 2.2 to 7.3
  • Gross Margin from 34% to 52%
  • Customer OTD from 50% to 95%+

$650 Million SemiConductor Equipment Company

ICR© worked with the VP’s of Engineering and Supply Chain to identify a pilot cost reduction project. The Engineering, SCM and Manufacturing teams were trained in the ICRProcess© in two days. Then the cross-functional team collaborated with the Outsource partner and 5 sub-tier suppliers during a second two day on-site engagement.

Integrated Cost Reduction
Integrated Cost Reduction
Problem
After two years of above peer-average cost reductions (12%) and outsourcing, this OEM’s Outsourced partner’s margins were too thin to deliver any further price reductions without margin compression.
Solution
ICR© worked with the VP’s of Engineering and Supply Chain to identfiy a pilot cost reduction project. The Engineering, SCM and Manufacturing teams were trained in the ICRProcess© in two days. Then the cross-functional team collaborated with the Outsource partner and 5 sub-tier suppliers during a second two day on-site engagement.
Results
The attached chart shows ICR© savings of an additional 9.5% by working collaboratively with Outsourced partner and 5 sub-tier suppliers. The company is now rolling out ICR© to entire supply base.

$2 Billion SemiConductor Equipment Company

ICR© was hired by the CPO and Group VP to improve the entire product line’s margins. ICR© was charged with developing a plan to achieve >15% cost reduction from the “in-production” model and >25% from the “in-development” unreleased product as well. ICR© developed an enterprise-wide cost reduction road-map and then led the initial supplier engagements.

Integrated Cost Reduction Problem
This high-tech company enjoyed some of the highest gross-margins of any company of its industry due to >75% market share on most of its products. An entire product line, was under competitive attack and had the worst margins in the company.
Solution
ICR© was hired by the CPO and Group VP to improve the entire product line’s margins. ICR© was charged with developing a plan to achieve >15% cost reduction from the “in-production” model and >25% from the “in-development” unreleased product as well. ICR© developed an enterprise-wide cost reduction road-map and then led the initial supplier engagements.
Results
In production product cost reduction of goods sold (COGS) was lowered by 17% and in development (“NPI”) product cost was lowered by 28%.

Silicon Valley Lean Construction-based Start-Up Company

ICR© program managed all 18 start-up team members using the “Virtual-Variable-Company” approach. ICR© negotiated favorable terms with established outsourcing partners and led the development of a hosted ERP solution without investments in servers and IT.


Problem
The former CEO of a $1Billion Silicon Valley construction company decided to launch a start-up based on the latest in digital construction technology. Like all start-ups, this CEO wanted to limit the investment and working capital required to launch. In addition, the CEO wanted to avoid relocation of key executive staff to conserve cash.
Solution
ICR© program managed all 18 start-up team members using the “Virtual-Variable-Company” approach. ICR© negotiated favorable terms with established outsourcing partners and led the development of a hosted ERP solution without investments in servers and IT.
Results
Start-up was launched from zero to full-operational readiness in under 10months and with 1/3 the typical working capital.