Reminders

Value Stream Mapping the Order Process at Paul Boers

By Laura Gibson – March 27, 2012
OfflineLaura Gibson

For our March SIG we discussed the challenge of improving Paul Boer’s Sales/Order process.

web-value-stream-map.jpgPaul Boers has been making greenhouses in the Niagara area for over 50 years.  Their challenge is they have a large customer base and make greenhouses that vary in price from a few thousand dollars up to a few million dollars. They had created a great spaghetti diagram to illustrate the current process and have started to put steps in place to improve the process.  Wernher, General Manager at Paul Boers, walked us through their current process and some of the changes he had made.  As he walked us through the process, the group noticed several bottle necks and inefficiencies. 

The benefit to being so open about this challenge during the SIG was that Paul Boers received direct feedback on their current process and some great suggestions came out of it. One of the challenges at Paul Boers is that a quote could take anywhere from 10 minutes to 2 weeks to complete and the flow of quotes is not a steady process but tends to be higher during the early part of the year and quieter during the summer months.

Some questions we discussed included:

  • What have you implemented to improving your sales process?
  • How should they reorganize the sales/ order process to eliminate bottlenecks? Do you use a time line/software or other tools to manage your sales process?
  • How could you reduce inputs and outputs by function?
  • How do you manage customer expectations on options?
  • What other challenges do you have regarding your Sales process?

 Some of the comments/feedback included:

  • Colour coding people and material differently on the spaghetti diagram
  • Put the time spent in each area on the spaghetti diagram
  • How do you manage fluctuating sales/quote levels?
  • What can you do ahead of time to make this easier?
  • What is the key to getting the sale?
  • Where are the lead time issues?
  • Good read - Sales Process Engineering by Justin Roff Marsh
  • What is the goal of improving the order process?  To improve revenue per employee
  • Can quotes/technical listings work together?
  • What support to customers can you charge for?

An interesting part of the discussion focused on the concept of who the ideal customer is (not just at Paul Boers, but at any company).  The comment was made that just because someone wants to buy something from you doesn't mean you'll make it.  It is important to filter opportunities and decide where your key competencies are.  It is ok to turn down a $10 part order if the time is better spent working on a large custom order.  It is also important to set some metrics for your organization and to share these with your employees so that they can work towards improving with you. 

Value Stream mapping (or creating a spaghetti diagram) is a great start to figure out the bottlenecks, inefficiencies and improvement opportunities in any value chain within your operation.  It was fantastic that Paul Boers opened their doors to the group from EMC to show us their challenges and help us work through them.  Thanks again to the team at Paul Boers for hosting this great event! For more information on the Hamilton/Niagara consortium and related happenings please contact Laura Gibson at lgibson@emccanada.org or 226-388-3894.

 

About the author

Laura Gibson

Field Service Advisor - Brantford region/KW-Cambridge region/Hamilton/NiagaraExcellence in Manufacturing Consortium (EMC)

What can I tell you about me? Well for starters I'm the mom of 2 great boys - ages 8 and 11. (EKK ..not sure where the years have gone - they were 5 and 8 when I started with EMC). They take up…

2 Comments

OfflineSid Fernandes Sid Fernandes said 13 months ago

Thanks for sharing this Laura. Did Paul Boers do any product grouping studies prior to this value stream mapping exercise? Was this mapping study focussed on the sales/order process of a key or major product group?


OfflineKevin Lenko Kevin Lenko said 13 months ago

Hello Sid, The value stream mapping exercise focused on all of Paul Boers custom engineered green house products, and not one individual product group. It was an incredibly succesful SIG event and the Paul Boers team received many suggestions to consider for improvement.   The SIG event proved to be an excellent example of value stream mapping enabling participants "to see" opportunities!


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March 27, 2012
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Laura Gibson

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