Improvement of a plant layout to reduce lead time and costs – +45% productivity increase

Client: A High-tech Manufacturer

Location: China


Our customer is a very successful high-tech manufacturer, who has already implemented lean manufacturing, and it has already been recognized by the company. With the rapid growth of their global business and intensified competition from low-cost countries, the company found it necessary to increase the plant capacity and reduce costs, but without expanding the existing plant area.


TXM worked together with the production team to make a detailed assessment of the plant. We developed a Value Stream Map for the key production lines, compared the management with the best practice standards in the plant layout, and audited 5S to determine how to effectively use space.


Through improving the layout, redesigning workbench, using a standard work and widely implementing 5S, TXM improved the production efficiency of 45% and saved plant space of about 30% for the installation of new production lines.