Research and Advisory: Turn Around Of A Loss Making Company Into A Profit Center

Some years ago, an auto glass manufacturing company approached Ahmad, now our team leads for energy conservation, to help the business reduce losses and increase competitiveness.

The business was struggling to keep afloat, due to high electricity outages i.e. 2 hours of load shedding every 4 hours. In addition, there was a loss in production by another 1.5 hours, as the furnace took time to reach adequate temperate levels to recommence production. Times were tough as the company was in production for 2.5 hours every 6 hours. Ahmad investigated the problem and through the deployment of innovative solutions, helped the company increase efficiency and reduce production time.

As a result, the company reduced its per unit production time from 8.5 minutes to 4.3 minutes. Hence, the company doubled its production and substantially gained from economies of scale.

The success resulted in significant efficiency gains for the businesses, turning around a loss-making company into not only a profit center but today that company is a diversified entity with multiple production lines.