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Material Layout And Flow Redesign at Toledo Transmission

The Tauber Team created an efficient future-state material storage layout to make room in the Toledo facility for new products assembly.

The team aimed to minimize the total enterprise cost of the adjustment while maintaining key metrics for production risk and labor utilization and adhering to layout, storage, safety, and material flow constraints.

The main deliverables were to set optimal inventory levels, design a future-state plant layout, and create an optimal material flow strategy.

By converting to the new layout, the team projects a $315K yearly operating cost reduction. Coupled with an estimated opportunity cost for the newly freed floor space, the team estimates the value of this project to be $965K per year with a payback period on the cost of adjustment of under one year.

View team project summary

Student Team:

Anirudh Ramanathan – Master of Supply Chain Management

Michael Schorr – Master of Business Administration

 

Project Sponsors:

Steve Montague – Director, Global Supply Chain Planning and Global Assembly Warehousing

John Robertson – Shop Director - Supply Chain, Global Assembly Warehousing

Mary Zahabi – Global Supply Chain Manager, Toledo Transmission Operations

 

Faculty Advisors:

Wallace Hopp – Ross School of Business

Xiuli Chao – College of Engineering