Lean Process improves service department profitability.
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Press Release Summary:
When St. Louis distributor Cee Kay Supply went through the Lean 5S process, a management strategy designed to increase efficiencies, it led to major changes throughout the company. One area that saw increased productivity was the company’s service department. Stephen Gianino, Cee Kay Supply’s director of operations, shares how the company improved its service department in article titled "Making Your Service Department Profitable," which appears in Welding and Gases Today.
Original Press Release:
Lean Process Improves Service Department Profitability
St. Louis distributor Cee Kay Supply shares tips for improving efficiency.
Dewitt, NY – When St. Louis distributor Cee Kay Supply went through the Lean 5S process, a management strategy designed to increase efficiencies, it led to major changes throughout the company. One area that saw increased productivity was the company’s service department. Stephen Gianino, Cee Kay Supply’s director of operations, shares how the company improved its service department in “Making Your Service Department Profitable.” His article appears in Welding Gases Today, the leading magazine for the gases and welding equipment industry.
“For a long time in our industry, it was thought that the service department was ‘special,’” says Gianino. “In other words, it was a necessary part of the distributorship, and if it made money, great; if not, oh well. We all know that those days are over, and a service department, if run like the rest of the business—with goals, objectives and accountability—can make a profit.”
One thing that’s changed in Cee Kay’s service department is the mindset that the company has to stock every single part for every single welding machine. As Gianino points out, many vendors now ship parts next day or second day air. To make things more efficient, Cee Kay’s service technicians triage machines when they first come in. If parts are needed, an order is made, and they are here when the technician is ready to work on the machine.
From its Lean 5S efforts, Cee Kay Supply made many changes to its service department, including how parts are ordered, how machines are staggered, getting machines tagged properly and the steps taken to move the repaired machines. “Many of the changes were little things that at first glance didn’t seem like that big of a deal,” says Gianino, “but they are a big deal. Breaking down each activity of the service department into 5S allowed us to really focus on efficiencies.”
To learn more about how Cee Kay Supply improved the profitability of its service and repair department, read “Making Your Service Department Profitable” (http://www.weldingandgasestoday.org/index.php/2012/08/making-your-service-department-profitable/) at Welding & Gases Today Online. For more information, contact Carole Jesiolowski, senior editor at Welding & Gases Today at carole@weldingandgasestoday.org or 315-445-2347.
About GAWDA
Founded in 1945, the Gases and Welding Distributors Association (GAWDA) is the premier source for manufacturing knowledge, education and networking. Through its member journals (www.weldingandgasestoday.org), e-magazines, newsletters and industry wiki (www.gawdawiki.org), GAWDA connects suppliers of gases and manufacturers of related equipment as well as manufacturers of welding equipment and distribution leaders, for the purpose of safely delivering optimal solutions to the users of those products. GAWDA publications are the industry’s voice for all matters related to the latest technology and the most up-to-date processes spanning welding equipment and products and services related to industrial, medical, specialty and cryogenic gases. A 501(c)3 organization, GAWDA members are located throughout North America.
