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Sun Auto Parts

Team 4
              GOKILA S - 37014
                PRAVEEN L - 37037
                RAAGAVI R T -  37038
                SIVAKUMAR P -  37047
                THARAKESWARI T -  37053
                VINOTH KANNA P -  37057
                
Sun Auto Parts, a US based Manufacturing company
distributing auto parts directly to the OEM’s and the
wholesale retail chains.

SAP managed to retain its ROCE as 9% but slipped two


places from Rank 2 to Rank 4 in two years.

Case Overview Limited Investments in technology upgrades and


production facility in manufacturing plants resulted in
increased unscheduled downtime.

New CEO(Ellen Bright) gets hired and task provided as


whether to turn around the company or to close the
business in 2 years.
Problem Definition

Revenue decline for the past two years due to the limited
investments in technology and using outdated equipment's. 

It leads to the increase in unscheduled downtime, higher


inventory costs and often maintenance issues.
Stakeholders

MANAGEMENT DISTRIBUTO WHOLESAL OEM  END


RS  ERS CUSTOMER 
Objective

The main objective is to


Need to Grow, Need for
increase the ROCE from 9% to
Customer Intimacy and
12% and to regain the lost
Operational Excellency.
position from the competitors.
To produce high quality innovative
products.

Implementing new technologies to


automate the manufacturing processes.
Growth

Reskilling and training for employers

Transparency among the departments


 Proper ERP System

Accurate Demand forecasting


Customer
Intimacy
Efficient supply chain strategy

Marketing for better Positioning


Just in time production to avoid
inventory costs.

Preventive maintenance to reduce


unscheduled downtime
Operational
Excellence
Increase asset utilization to 90%

Investments in process improvements


and new and upgraded equipment
Conclusion

Improved product line Upgraded production Effective and harmonious


process utilization of human
resource

Helps the organization business focused than functionality focused


thus, driving towards the goal of 12% ROCE

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