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Video Excerpts:
"We choose Infor Supply Chain Management because of prior
experience with other Infor tools and the successes those provided
us."
"42% reduction in lead time.. in just 10 months"
"We saw visible financial results in less than a month after
go-live."
"Infor solutions are very sophisticated tools and yet very
easy to use, very user friendly."
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Medtronic Sofamor Danek
Medtronic Sofamor Danek uses Infor Solutions to
Reduce Lead Times and Improve Customer Service
Medtronic Sofamor Danek develops, manufactures and distributes implants for the
surgical treatment of spinal problems, and the instruments needed to make these
products effective. Medtronic Sofamor Danek's products and services advance the
field of spinal and cranial surgery and meet the most intensive requirements of patient
care today.
The company’s main mission is to be the global leader in this marketplace, and the
primary company that spinal and cranial surgeons turn to for solutions to clinical and
practice challenges. Dedication to this mission has enabled it to focus the energies,
talents and resources on delivering state-of-the-art products and services to its
customers.
With offices located in Memphis, Tennessee; Warsaw, Indiana; Deggendorf, Germany;
and Paris, France, and more than 1,800 associates around the world, Medtronic
Sofamor Danek has the capabilities to meet the needs of spinal and cranial surgeons.
The Challenge
Management at Medtronic Sofamor Danek realized they were not making optimal use
of technology nor data to efficiently produce their products. At times they were
making products that were not needed, and other times they had orders for products
that had not been produced.
The company needed to transition from a forecast-driven push system to a daily-demand-
pull system to make sure the needed products were available at the right
time. The company also needed to significantly reduce manufacturing lead times to
improve customer service and cut costs.
"In our industry, product life cycles are short and gaining access to new product
information in a timely fashion is a constant battle," says Jay Feldman, director of
information systems. "We have experienced excellent growth over the years and with
this growth comes the need to quickly pull products and information through the
supply chain on demand."
The Solution
To reach the goal of becoming demand-driven and customer-centric, the company
implemented MAPICS (now Infor) supply chain solution in combination with a different inventory
and manufacturing philosophy. "The MAPICS (now Infor) solution helped us make sure we were
making the right product at the right time, in the right quantities. We can also quickly
shift to new priorities as our business needs change—which is just an added benefit for
us," says Feldman.
Medtronic Sofamor Danek is now able to determine where resources are under- or
over-utilized during the manufacturing cycle, which allows them to make adjustments
to improve their manufacturing processes.
With a new supply chain solution and new processes in place, the company then
turned to reducing manufacturing lead times and improving customer service. By
customizing the look, feel and function of the MAPICS (now Infor) solution, without changing the
application software, Medtronic Sofamor Danek can give customers what they need
to satisfy their business requirements with quality products delivered on time.
"At the manufacturing level, we are especially proud of our success in reducing our
lead times during periods of significant growth and the positive impact we have made
on customer service. Unlike other companies that often become slower as they
become larger, we have actually been able to become faster and more responsive
to our customers as we have grown," comments Greg Quinton, vice president and
general manager.
The company has seen results internally and received positive feedback. “We have
received feedback from our customers saying they have noticed more consistency
and predictability in our decisions and schedules. Even our employees have
commented on the fact that products are available when they need them and that
our ability to respond to change has definitely improved,” says David Novotny,
director of planning.
Real Results
Medtronic Sofamor Danek boasts a reduction in overtime by 44 percent, and lead
times for internally manufactured products are down 42 percent. They have also seen
improvements in inventory availability, which now averages between 97 and 98
percent.
The company has significantly improved quality and time management. “For the
direct labor force prior to MAPICS (now Infor) supply chain management, there were multiple
expedite lists and numerous people spent literally hours finding and expediting orders.
Today they simply turn to one single, accurate work list. That is a real time-saver,” says
Feldman.
“We implemented the MAPICS (now Infor) supply chain management solution in one-half of the
time planned and at one-half of the budgeted cost. We saw results from our
implementation very quickly and are continuing to refine our model to make further
improvements,” comments Novotny.
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At-a-glance
Company name:
Headquarters:
Products manufactured:
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Medtronic Sofamor Danek develops, manufactures and distributes implants for the surgical treatment of spinal problems, and the instruments needed to make these products effective.
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Related download:
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