Kevin Dempsey Distributors Ltd. (KDD) is a market-leading distributor of Soft Furnishing Fabrics and Window Blinds to the Retail Home Furnishings market in Ireland and the UK.
KDD key brands are market leaders in their sectors and are designed and developed in-house and produced exclusively for us by leading manufacturers worldwide.
Kevin Dempsey Distributors Ltd was established in 1985 and are based in Dublin. As a holder of DELOITTE ‘Best Managed Company’ (2009 – 2016) Platinum standard, along with other business awards, KDD are highly regarded as a professionally managed its business with a strong strategic focus on development of our business and its people.
The Lean Plus Project has had a company-wide impact. The extensive value stream mapping touched on all areas of the company resulting in some minor and some major efficiencies in all areas. The value stream mapping identified reporting information requirements in many areas which has resulted in better and faster decision making. The interaction within the project has led to clearer communication and more productive relationships between the teams resulting in improved quality and process efficiencies. The emergence of a Lean champion has given us the confidence that these improvements will continue in to the future. With KDD now operating more effectively and efficiently than ever before the management have the confidence in the operational capabilities to grow the business through international expansion.
Lean Plus Objectives
- Create productivity metrics for production teams
- Reduce inventory by 5%
- Increase inventory integrity from 78% to 95+%
- Increase stock turns from 2 per annum
- Reduce yield loss from 20% to 10%
- Improve operating efficiency by 10%
- Reduce customer complaints by 10%
- Create continuous improvement culture
- Significant cultural shift because there was no structured lean management in place
- Limited resources available due to ongoing business function requirements
- Significant change required to adapt to new software package
- Implemented new production management system
- Introduced structured value stream maps and standard work documents
- Started regular team meetings
- Implemented key Lean tools at all levels
- Introduced quality standard and reporting structure
- A LEAN champion was appointed to drive future improvements
- A data governance policy was implemented to manage products and purchasing
- Improved right first time blind measure from 50% to 90%. This improved the number of blinds we had to remake from 12.7% (€12,645) to 4.7% (€4,680) a saving of €7,965 per month.
- We improved the production efficiency from 1.4 blinds per man hour to 1.8 blinds per man hour. This is a 29% productivity increase which would equal 2.5 production operatives. This equates to a monthly saving of €4,000 in labour cost for the given output.
- Recorded customer issues have risen because we identified a procedural issue where issues were not being recorded. This has resulted in multiple Kaizen events and improved quality as above. The sales growth has been partially attributed to this such improvement.
- Inventory reduced by 15% or €150,000 saving bank interest fees of €12,000 per annum.
- Reduced new employee training time from 3 months to 1 month.
- Improved morale through clear objectives and better communication.
- Empowered staff to make on going changes at all levels.
- The roll out of the new ‘direct order input’ online portal to key customers will reduce the customer service input requirement by 25%. This is a saving of one customer service person at a salary of €25,000. This person will now be re-deployed to support the expected growth.