Samson Manufacturing Corporation is a mid-sized manufacturing company currently based in Keene, New Hampshire whose clients include US and international gun manufacturers as well as government military contractors and purchasers. Samson Manufacturing Corporation was founded in 1994 and has been recognized for almost 20 years as a high-quality parts supplier to the US military and other private arms manufacturers. At the time of engagement, Samson Manufacturing Corporation had 39 employees and roughly $6.8M in gross annual revenues.
Prior to engaging Amelioration Incorporated, Samson Manufacturing Corporation had experienced dramatic growth. In fact, over the previous year the number of orders for the company’s products had nearly doubled. While many may deem this “a good problem to have”, the sudden growth in demand left Samson with several challenges:
- More than 6,000 orders in backlog, worth roughly $6.4M in additional revenue
- Roughly $200K/year in cancellations due to lengthy production and delivery timeframes
- A backlog amortization rate that would have taken more than 4 years to clear the current backlog and resulted in an estimated $410K in additional cancellation losses.
Samson Manufacturing Corporation employed Amelioration Incorporated to lead a three-phased engagement to evaluate the company’s operations and make recommendations for improvement:
- Value stream mapping identified Samson’s key high- level processes and enabled the identification of value- added and non-value-added activities
- Time studies identified the bottlenecks and constraints within Samson’s operations
- Throughput calculations determined the financial benefit Samson would receive by implementing each of the recommendations made by Amelioration Incorporated.
- Lean Manufacturing
- Value Stream Mapping
- Time Studies
- Theory of Constraints
- Throughput Calculations
Amelioration Incorporated’s recommendations identified how Samson could fill twice as many orders per year, double annual invoiced revenue, and fully reduce the current order backlog in less than a year.
Conservatively, Amelioration Incorporated’s recommendations were worth in excess of $316K in net revenue to Samson Manufacturing Corporation, representing a return on total fees and expenses paid in excess of 2,700%.
What They Had to Say
I would like to recommend Amelioration Incorporated for the business process improvement consulting, training, and business planning services they provide. We have used Amelioration Incorporated’s services on two separate occasions and were extremely pleased with the results each time.
Amelioration Incorporated did an excellent job training and leading our team to analyze our manufacturing operations, identify opportunities, and make specific recommendations for improvement that will be worth hundreds of thousands of dollars in additional net revenue to our company for years to come.
Amelioration Incorporated puts great care into making sure that the needs of their clients always come first. We will continue to use their services as needed and I highly recommend Amelioration Incorporated to any company that would like to increase profitability or start up a new venture.Scott Samson, President
Rich came to us at a very unique time in our company’s history. It was the middle of the “gun scare”. After several events in the United States had made American’s fearful that their firearms would be taken from them, they responded by initiating a wave of firearms purchase never before seen. This posed a complex problem for us. We needed to rapidly increase production, shorten lead times and reduce waste to a degree we had never achieved. Enter Rich St. Rose. Rich’s accomplished background and diverse skill set gave us the tools we needed to move towards a more efficient process. He assembled a team of our employees from all sectors of our production pipeline. From order entry to shipping we tracked and accounted for every minute we spent producing our products. He then helped us identify the areas where the greatest inefficiencies existed. With his help we were able to reduce cycle time and were far better equipped to meet the growing demand of our customer base.
His knowledge of LEAN manufacturing processes, Six Sigma concepts and overall process optimization are formidable. I enjoyed my time working with Rich and would encourage anyone in need of these services to consider his company.Tyler E. Boucher, Marketing Director