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Aerospace & Defense Manufacturing

A 3-Site Turnaround Worth $26.75M and a 423% Return

Three aerostructures sites were operating as three separate businesses — no shared schedule, no shared reporting, no shared way to see whether the plant was winning or losing on any given day.

Client: Aerospace & Defense Manufacturer · name withheld
$26.75M
Projected annualized benefit across 3 sites
423%
Return on investment
-70%
Meeting startup time reduction
-67.5%
Excess & obsolete inventory

Situation

  • Three sites ran disconnected operations with no shared scheduling framework, so problems at one site stayed invisible to the others.
  • Touch labor overtime was running at 30% of hours, with contract labor usage elevated at one site.
  • Meeting culture was unstructured — daily startup meetings routinely ran 23 minutes with no clear path to resolution.
  • A growing MRB tag backlog and excess/obsolete inventory were tying up working capital across sites.

Approach

  • Installed master schedule and demand planning processes simultaneously across all three sites.
  • Built a unified floor-management system, empowering supervisors to resolve issues in real time instead of escalating.
  • Stood up a dedicated War Room focused specifically on quality and schedule priorities at the highest-risk site.
  • Ran a phased MRB tag reduction program alongside a targeted excess-and-obsolete inventory initiative.
  • Standardized daily and weekly operating reports and retrained meeting effectiveness across every site.

Results

  • $26.75M in projected annualized benefit identified and quantified across all three sites — a 423% ROI.
  • Touch labor overtime cut from 30% to 17%, with an 8–12% target range in sight.
  • Contract labor usage reduced 75% at the highest-cost site.
  • $2M in overtime benefit on pace across all three sites combined.
  • MRB tag response time cut 53% in Phase I.
  • Excess and obsolete inventory reduced 67.5%, alongside a $5.2M reduction in pre-emptive inventory purchases.
  • Meeting startup time cut from 23 minutes to 7 minutes — a 70% reduction.

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