Aligning Suppliers to Rapidly Increase Manufacturing Capacity

Challenge and background:

In 2015, Intel needed a new ability to build a manufacturing capacity rapidly in order to retake its position of leadership in the industry. The build involved the installation of 700 applications which cost between $25 – $100 million each. The overall cost of the project and the estimated timeframe were uncompetitive.

VISION’s promise:

• To work with the project client and teams to enable them to move from an existing distrustful claims-ridden behaviour to a shared risk-reward approach.
• To achieve a 30% reduction in construction cost.

What VISION did:

• VISION assisted with the implementation of the Rolling Planning System which reviewed work completed each week and forecasted and planned the future work task-by-task, highlighting potential risks along the way. Some of the activities included:
  • Development of the project governance structure, ongoing assurance check points
  • Facilitating forums for open conversations and idea sharing
  • Daily morning meetings with the Project Implementation Teams and direct Observation Exercises to identify quick wins
• VISION designed the Programme Structures including a PMO function and introduced new practices to track progress.
• VISION mobilised, coached, and prepared the teams for their weekly work planning meeting; in particular, VISION ensured the full participation from every trade operative, coaxing along the disbelievers and encouraging the enthusiastic.
• VISION assisted conversations between Intel, Trade Unions, and industry bodies to help manage the teams and their expectations smoothly through the change.

Outcomes and Benefits:

• Everyone including suppliers joined in the rolling planning process to coordinate making changes that prevented numerous wastes, especially waiting and misaligned skill sets.
• This change in planning drove the 30% reduction in the overall construction cost of the project.
• Moved teams to a culture of collaboration and ownership.