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AlliedSignal Aerospace Repair & Overhaul (Singapore) (A)

Case Study
This series of three cases describes the transformation of AlliedSignal’s Aerospace Repair & Overhaul (R&O) shop in Singapore*, AlliedSignal Singapore Pte Ltd between 1996 and 2000. Using a six-sigma methodology, Jacques Esculier, the Managing Director, and his change team systematically reviewed all operational and administrative processes, and came up with a set of changes to adapt Toyota lean manufacturing principles to the R&O environment. Changes were implemented based on a Hoshin Kanri goal deployment management system and they focused on achieving breakthroughs in cycle time, supported by a team of Green Belts and Black Belts. After four years of relentless implementation, Jacques and his team brought the shop’s turnaround time down from 75 days to a mere 14.5 days. It achieved the fastest turnaround time in the world. The improvement initiatives also brought along spillovers, enabling the shop to achieve quantum improvements in all other metrics related to cost, quality and working capital.