TOM INGRAM AND ASSOCIATES, INC.

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Summary of Big, Long Term Gains from 90 Day Projects*

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(79)*   $2 Million+ Savings in 60 Days on Product Damage in Shipping

Secured Regular Orders from Major Customers, Resulting in Regular Manufacturing Schedule In Just a Few Months

Big Improvement in Delivery Times and Collections in Just a Few Months

Major Reduction in Product Damage During Shipping

20% Reduction in Cost of Order Processing in Just a Few Months

Expanded program with similar results to dozens of additional customers and additional divisions

Results: 

  • Regular orders from major customers, regular manufacturing schedule and relatively few exceptions

  • Dramatically reduced delivery times

  • Significantly sped up collections in just a few months

  • In one year process for improved ordering, delivery and collections expanded to dozens of customers with similar results

  • 20% reduction in cost of order entry and 20% improvement in accuracy / speed of order entry within six months

  • Dramatically reduced product damage during shipping

  • Reduced packaging cost at same time as reduced damage during shipping

  • Expanded to improvement sin Business Processes, Customers and Supplier

Manufacturer:  GE Lighting / Consumer

Category:  Near-HBC, Lighting  (RHSA)

Details: http://www.tomingraminc.com/HBCMfrsIncreaseSalesReduceCosts.htm#(79)

 

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(74)*   $50 Million Sales Gain in Year One, $50 Million More in Year Two Proves Markets Not Saturated, Higher Margins Possible

Sales Gains Extended to Europe, Latin America, Asia, Australia, India and South Africa

All Accomplished with Series of 100 Day Projects

Results: 

  • $50 million in incremental annual sales in year one

  • On track additional $50 million of incremental annual sales in year two

  • Proved that primary markets were not saturated.  Found ways to grow revenue even in mature markets

  • Specialty tape division secured a commitment for a $2 million sale

  • Secured letters of intent for two other large customers within 100 days

  • No significant cost for consultants or capital expenditure

  • Closed a sale in 50 days that was originally scheduled to take 12 to 15 months to close

  • Proved it was possible to close sales at substantially higher profit margin, challenged assumption that only commodity margins were possible

  • Doubled sales from key customer by integrating multiple suppliers

  • Doubled the yield of a mothballed machine by making a slight modification to the product produced

  • Sales increased in Europe, Latin America, Asia, Australia, India and South Africa through same 100 day process

  • Changed culture from "sales as only contact with customer" to broad contact with customer from all parts of the company

  • Improved relationship between sales force and rest of the company. The sales team developed a deeper appreciation of what it takes to get the job done for the customer across the entire company

Manufacturer:  Avery Dennison

Category:  HBC, Specialty Paper Products  (RHSA)

Details:  http://www.tomingraminc.com/HBCMfrsIncreaseSalesReduceCosts.htm#(74)

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(76)*   $400 Million Profit Improvement Through Series of 100 Day Projects

Effective Merger Under Difficult Circumstances

10% Sales Gain With Top 30 Customers in a Few Months

Results: 

  • $400 million in incremental profits (On track to actually achieve as of this writing)

  • Reduced machine downtime for maintenance from two weeks to one week

  • $285,000 in annual savings within 100 days through consolidated purchasing and contract renegotiation

  • 10% sales growth in top 30 customers within just a few months

  • Consolidated two data centers into one within four months.

  • Closed $4 million incremental sale supplying packaging products to Unilever over 18 months

  • Completed full merger integration planning within 12 weeks. Enabling implementation to start immediately after close of the merger

Manufacturer:  Mead, MeadWestvaco

Category:  HBC, Specialty Paper  (RHSA)

Details:  http://www.tomingraminc.com/HBCMfrsIncreaseSalesReduceCosts.htm#(76)

 

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(73)*   IT Business Projects Now Pay For Themselves In One Year

FDA Submission Time Reduced by 6 Months+

Submission Backlog Reduced from 80,000 Pages to 10,000 Pages and Sustained, Despite Doubling of Work Load

All Accomplished in a Few Months in U.S.

Results duplicated in U.K.

Results: 

  • IT Business Projects Now Produce 2x Previous ROI

  • Reduced clinical submission data collected by 30%, substantial reduction in analysis time

  • Improved quality of data submissions and reduced time needed to scrub and recheck data

  • Removed six months from the overall clinical submission cycle

  • Submission forms backlog reduced from 80,000 pages to 10,000 pages in three months

  • Submission form backlog maintained at 10,000 pages despite doubling of work load

  • Questions about clinical trial data and process reduced by 50% and cycle time reduced by 75% in three months in US

  • Results duplicated in United Kingdom

Manufacturer:  GlaxoSmithKline 

Category:  HBC  (RHSA)

Details:  http://www.tomingraminc.com/HBCMfrsIncreaseSalesReduceCosts.htm#(73)

 

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(75)*   $300 Million Cost Savings Year 1, Another $300 Million Savings in Year 2 Lead to 10 Years of Effective Acquisitions and Improved Profits

Dramatic Improvements in Union Plants

$100 Million+ Sustainable Sales Gains

Proved that Commodity Cycle Could Be Broken

Dramatic Reduction In Capital Spending

Results: 

  • $300 million in sustainable cost reductions in 2002

  • Additional $300 million of improvement in 2003

  • 67% output increase from a non-competitive plant in 2003.  On target for additional 60 percent improvement in 2004. 

  • Union grievances stopped at troubled plant. (Previously there were a dozen+ outstanding grievances)

  • Consolidated independently run plants to a common operating process, while allowing for local autonomy.  Introduced a common approach to bringing acquisitions into the company for the first time

  • Overcame silo thinking:  E.g. purchasing helped the plant to define true cost and yield on primary raw materials

  • Overcame silo thinking:  E.g. consolidated the purchase of new plant equipment across multiple departments, resulting in a cost-justified project that neither department would've been able to afford on their own.

  • Shut down the operation of an entire production line and four machines. (This had been recommended for 15 years, but had never been acted on before)

  • 20% production improvement in certain plants instead of 2 to 4% improvements, which were best ever achieved previously

  • Workers kept production up for seven months after a key executive quit.  (Due to interference in his "turf")

  • Cost of these improvements was almost $0

  • 40% Sustained Improvement In 10+ Plants:  In ten years preceding the effort, most of company's plants improved profits an average of 2.5% per year.  (Excluding improvements from capital expenditures.)  The plants that went through the improvement process generally improved 5.5% the first year and sustained 3.5% annual improvements thereafter - a 40% sustained improvement in 10+ plants

  • 25% improvement in production line up-time in just a few weeks.  Uptime of expensive production lines improved from 49% to 62%.

  • Significant progress on overall goal to turn a commodity business into a profitable business. 

  • $100 million in sustainable sales increases and cost reductions through 10 week projects (retail tissues and Dixie cups)

  • Attitude on capital spending has changed. When improvement is needed,instead of thinking about new capital investment, company gets better results from the  existing investment through 100 day improvement projects

  • Sustained improvement from 55% plant utilization to 70%. Lower results no longer tolerated

Manufacturer:  Georgia-Pacific Consumer Products

Category:  HBC, Specialty Paper  (RHSA)

Details:  http://www.tomingraminc.com/HBCMfrsIncreaseSalesReduceCosts.htm#(75)

*  Success stories and client quotes are provided as general illustrations of past performance, and are not intended to convey exact financial information, circumstances or dialog.  No representation is made that a particular prospective client will achieve a particular result.  Details on the specifics of each success story are available upon request.