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A Productoo Case StudyDigital Transformation at

Overview

Project challenges and outcome

Valeo, a global leader in the automotive industry, embarked on a transformative journey to enhance their manufacturing planning processes. Their goal? To standardize operations, eliminate inefficiencies, and ensure seamless 24/7 functionality across their plants.

Valeo plant in Rakovník CZ

Project Background

Challenge

Valeo’s reliance on SAP was causing frequent changes, inefficiencies, and paper-based processes, leading to delays and errors.

Objective

Implement a standardized, digital planning tool (Productoo suite) across dozens of factories within two years, starting with a pilot at the Rakovník plant in the Czech Republic.


The Pain Points

Before the Productoo system:

Planners spent several hours each week manually updating and distributing production schedules (on paper). This was not only time-consuming but also prone to errors, leading to delays and inefficiencies. Imagine the frustration of constantly having to chase down the latest schedule and the chaos when a change wasn’t communicated in time.

Each of Valeo’s plants had its own processes and systems, making it challenging to manage operations uniformly. This led to inconsistent product quality and customer dissatisfaction. For instance, a product manufactured in one plant might have slight variations compared to the same product made in another plant, leading to quality control issues and customer complaints.


Relying on paper for schedules and updates meant that any change required reprinting and redistributing documents, which was both costly and environmentally unfriendly. This also increased the risk of losing important information.


The Solution

Our Approach

We began with a pilot program at the Rakovník plant, followed by a phased rollout to other factories. This allowed us to test the system, gather feedback, and make necessary adjustments before a full-scale implementation.

Employed agile project management for flexibility and continuous improvement. Regular “sprint reviews” and “retrospectives” ensured that the project was on track and that any issues were promptly addressed.

Developed a universal digital operator screen and automated order processing to minimize human errors. By standardizing processes, we ensured consistency across all plants, and automation helped reduce the dependency on manual interventions.


Key Actions

Developed a universal digital operator screen.

Universal digital operator screen

Automated order processing to minimize human errors.

Automated order processing screen

Ensured consistent software versions across all plants.

Same software version in every plant


Implementation Timeline

Planning Phase

1 year of preparations, which included:

  • Conducting a thorough analysis of existing processes.
  • Identifying key pain points and areas for improvement.
  • Customizing the Productoo suite to meet Valeo’s specific needs.
  • Training key personnel on the new system.

Deployment Phase

1 year to roll out Productoo Suite to 50+ factories, with milestones including:

  • 2015 Q3-Q4: Successful pilot at the Rakovník plant.
  • 2016 Q1-Q4: Gradual rollout to other plants, starting with those facing the most significant challenges.
  • 2017: Full-scale implementation across all targeted factories.

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    Company Information
    Contact Details
    Operational Requirements
    Technical Specifications


    Measurable Results

    time savings icon

    Time Savings

    Operators saved 5-10 minutes per day per plant. This might seem small on an individual level, but across dozens of operators and plants, these savings quickly added up to thousands of hours annually, which could then be reinvested into more productive activities.

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    Efficiency

    Standardized, paperless planning process led to smoother operations and fewer errors. With all information being digital, updates were instantaneous and accessible to everyone, reducing miscommunication and enhancing coordination.

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    Speed

    Successfully deployed Productoo to 50 factories within one year. This rapid deployment was a significant achievement and demonstrated the robustness of the Productoo system and the efficiency of the implementation strategy.


    The Impact

    The transition to the Productoo system led to:

    • Time Savings: Operators saved 5-10 minutes per day per plant, translating into significant cost savings and productivity improvements. For example, eliminating paper processes alone saved thousands of dollars annually in paper and printing costs.
    • Efficiency Gains: The elimination of paper processes alone saved thousands of dollars annually in paper and printing costs.
    • Increased Production Efficiency: A 15% increase in overall production efficiency and a 10% reduction in production errors. These improvements were visually represented internally through bar charts and graphs, highlighting the before-and-after scenario.

    Qualitative Benefits

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    Customer Satisfaction

    Reliable delivery schedules improved customer satisfaction. Customers began to notice the consistency in delivery times, leading to increased trust and repeat business.

    Employee Morale icon

    Employee Morale

    Simplified tasks and fewer manual processes enhanced employee morale. Employees felt more valued and less stressed, leading to a more positive work environment and higher retention rates.


    Lessons Learned

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    1. Standardization is Key

    Crucial for managing multiple plants effectively. Standard processes and tools mean that best practices can be shared and implemented across the organization, leading to consistent quality and performance.

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    2. Continuous Training

    Allowed for flexibility and adaptability. Ongoing training ensured that all employees were up-to-date with the latest tools and techniques, fostering a culture of continuous improvement.

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    3. Speed Matters

    Essential for maintaining expertise and smooth operations. Rapid deployment and quick problem-solving helped keep the momentum going and ensured that the benefits of the new system were realized as quickly as possible.


    Future Plans

    Next Steps

    Further enhance planning capabilities with an upgrade to Productoo 4 with the DDMRP module, which will add advanced demand-driven material requirements planning features.

    Ongoing upgrades and process expansions to maintain a competitive edge. This includes integrating new technologies and continuously improving the Productoo suite based on user feedback and industry trends.


    Conclusion

    The digital transformation at Valeo, guided by Productoo, not only met but exceeded the project’s objectives, setting a new standard for efficiency and reliability in manufacturing planning. This transformation has positioned Valeo to better meet the demands of the modern automotive market, ensuring they remain a leader in their field.

      Discover how Productoo can transform your operations

      Request a Personalized Demo

      Provide your business information and a few company details to begin.

      Company Information
      Contact Details
      Operational Requirements
      Technical Specifications

      Frequently asked questions

      Valeo initiated a project to digitize their manufacturing planning processes in their Rakovník plant as a pilot, transitioning from SAP to a new digital system, Productoo.

      The primary goals were to standardize manufacturing processes across all plants, eliminate paper-based processes, improve efficiency, and ensure 24/7 operational reliability without downtime.

      Deploying the new digital system, Productoo, across dozens of factories within two years, starting with a pilot in the Rakovník plant and expanding to more complex factories.

      Valeo faced challenges with frequent changes in production plans, a lack of standardized processes across plants, and a reliance on paper-based systems for conveying information to operators.

      These challenges led to inefficiencies, time-consuming tasks, and potential errors in production planning and execution. Additionally, the lack of standardization hindered the ability to manage multiple plants effectively.

      We utilized a phased implementation strategy, starting with a pilot program and followed by a rollout. This approach included leveraging agile project management methodologies to allow for flexibility and continuous improvement.

      We used our digital tool Productoo that consolidated multiple processes into one or two tasks, significantly reducing time and eliminating the need for paper. We also ensured all plants used the same version of software regardless of their production type.

      The project team included Valeo’s project architect and other high-level managers, as well as professional consultants from Productoo.

      The primary stakeholders included Valeo’s internal team members who were trained to use and further educate others on the Productoo system. Additionally, the management team at Valeo and the operators at various plants played crucial roles in the project’s success.

      The project involved approximately one year of planning and preparation, followed by a one-year deployment phase across all targeted plants.

      Key milestones included the successful pilot in the Rakovník plant, the subsequent rollout to 50 factories within one year, and the establishment of a standardized digital screen for operators across all plants.

      We implemented a universal digital operator screen, automated order processing to eliminate the human factor, and ensured all factories used the same software version for consistency.

      The project maintained a flexible approach through agile methodologies, allowing for adjustments and continuous improvements based on feedback and evolving needs.

      The project resulted in a time savings of 5-10 minutes per day per operator, reduced paper usage, and established a standardized, paperless planning process across all plants.

      The outcomes exceeded initial expectations, achieving faster implementation than anticipated and creating a uniform system that improved overall efficiency and reliability.

      The rollout of Productoo to 50 factories within one year demonstrated a significant increase in operational efficiency and cost savings through reduced time and resource consumption.

      The project improved customer satisfaction due to more reliable delivery schedules and enhanced employee morale by simplifying their tasks and reducing time-consuming manual processes.

      Key lessons included the importance of standardizing processes across all locations, the value of a phased implementation strategy, and the need for continuous training and support for internal teams.

      An unexpected success was the rapid implementation across 50 factories within one year, which is a significant achievement in the industry.

      Future projects include continuous upgrades to the digital system and expansion of standardized processes to additional plants.