Client Results

Case Study - Paragon Plastics, Inc.


"Within weeks, ASG's solutions improved our manufacturing operations. We decreased scrap and bad pieces while increasing our output." - Randy Kelley, 
President, 
Paragon Plastics Corp.

The Company

Paragon Plastics provides injected and extruded products to a wide range of customers around the world. Paragon prides itself on innovative solutions which impact customer profitability, reduce downtime and inventory carrying costs. Paragon's manufacturing facility, located in Union, SC, is staffed with the best people and latest machinery. The facility received ISO 9002 certification in 1996 and all production processes are monitored in real time to ensure quality.

The Challenge

Paragon’s business was growing in all markets. As a result management recognized the need to improve the technical, analyticaland leadership skill base to meet the increasing demand for their products. One critical need area was the workforce’s ability to quickly diagnosis machine, process and customer quality problems and implement corrective action.

The Solution

Paragon investigated several root cause analysis programs and chose ASG’s Systematic Trouble Shooting process because of its applicability to all types of problems – quality, machine or process related; the common approach which can be used at all levels in the organization; its compatibility with their ISO certification; and because of the immediate return on training investment possible through the job application portion of the training

All salaried management, operations and maintenance employees, along with senior hourly operators, were trained in one week in an innovative approach of two sessions per day to meet production schedule demands. ASG also developed customized trouble shooting data collection processes and procedures to create problem and machine history databases for ongoing reference.

Results

During the classroom training cross-functional problem solving teams of management, supervision, maintenance and hourly employees worked on several key problems. One critical quality problem on a high value on consumer products application yielded dramatic results. During the four months before the application of the ASG Root Cause Analysis process this product experienced an average monthly scrap rate of 2%, equal to an annualized cost of $14,000 per year. The root cause of the defect was found and a simple, in-house, inexpensive fix installed. In the following four months the average monthly scrap rate fell to .01% with a savings of over $13,000 to the plant. Customer returns fell dramatically while customer satisfaction levels soared.

Another product team addressed a multi-dimensional, extremely complex quality problem and through the application of Root Cause Analysis was able to reduce variability by 67% and reduce customer returns from 12.5% per month to less than 4%. The Root Cause Analysis continues on this complex problem to eliminate it completely.