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The Company
Rusco Window Company Inc. of Salem, VA, has been in business since
1947. The company employs around 60 people with 45 working in the
production area. Rusco sells custom window units to the home remodeling
industry. These units are sold through building supply houses, remodeling
contractors, and directly to individual homeowners. The product
line consists of three different families of windows.
The Situation
Having to compete with larger national window manufacturers, Rusco
was faced with the critical need to be a low cost producer in today's
competitive marketplace. Rusco then realized it did not have the
expertise on staff to solve its problems with the introduction of
a new line of windows, which caused a decline in sales volumes.
These factors led the Rusco management team to seek assistance from
GENEDGE ALLIANCE to help improve their operations.
The Response
GENEDGE ALLIANCE was asked to provide an independent assessment
of the manufacturing operations with recommendations for increasing
profitability. A detailed report of the current manufacturing operations
was written. This report described the present operations sequence,
the material flow, and the labor effort. A list of recommendations,
based on Lean Manufacturing concepts, was attached to the report.
Suggestions for improved performance included: eliminating specific
non-value added activities; reducing batch sizes; modifying the
production scheduling techniques; modifying machinery to improve
productivity; and developing cross-training programs for workers.
The Results
Rusco's average efficiency rating for the first nine months of 2000
was 32% better than the total average for 1999. The average rating
for June through September of 2000 was 46% higher than the 1999
rating. Manufacturing cost decreased 11% in the first month of implementation,
and productivity improved by 46% with no increase in capital equipment
and no increase in manpower.
Management's Comment
"GENEDGE ALLIANCE brought to us a level of expertise and knowledge
that we did not have internally. More importantly, they addressed
the problems and communicated the solutions in a direct, easy to
understand language, and they provided resources that are ordinarily
not available to smaller companies at an affordable cost," said
James Brock, President. "Seeing the new standards accomplished with
their (GENEDGE ALLIANCE) systems energized our people to want to
continue raising the bar to higher goals. The results are proof
enough of the success of the project. We were so pleased with our
initial experience that we are already exploring other projects
with GENEDGE ALLIANCE for the future."
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