Background
The customer is a leading global provider of renewable solutions within packaging, biomaterials, wooden construction and paper. The scope of this project focused on one sawmill location with approximately 100 employees.
The customer had previously identified clear improvement potential and implemented an internal Operational improvement (OI) model. While the model delivered some initial results, there was a growing need to validate the outcomes and move to the next level of OEE performance and sustainable change.
An external consultancy was engaged to evaluate the remaining potential. The assessment revealed a significant amount of unused potential, particularly related to OEE and usability. However, the findings were never implemented, as the sawmill soon entered a crisis period that resulted in leadership changes and layoffs.
Mantec was asked to reassess the situation and determine how the previously identified potential could be realised in practice. At this point, there was a critical need to increase sawmill output through improved OEE.
OEE (Overall Equipment Effectiveness) is a standard metric used in manufacturing to measure how fully and effectively production equipment is utilised. It combines three elements: availability (uptime), performance (speed) and quality (good output). Together, they show how much of the equipment’s theoretical capacity is actually turned into productive output and help identify hidden improvement potential.
Analysis
The collaboration began with a focused analysis aimed at identifying:
- How much operational potential existed
- What type of project would be required to realise it
The analysis phase lasted approximately three weeks and included:
- ~20 interviews across all organisational levels – from production personnel and team leaders to managers and directors
- Statistical OEE analysis, including utilisation, performance and variance
- Factory floor observations to follow the actual production process
Key findings
While the customer’s OI model had technically been implemented, it had not fully reached first-line supervisors, main operators or production personnel. This lack of understanding and ownership prevented lasting improvements.
Continuing with a top-down approach would have been problematic. Increasing pressure would not have delivered sustainable results or brought behavioural change. Instead, a bottom-up approach was required to engage personnel and build motivation around the OI model.
Additional observations included:
- Continuous improvement efforts were weak; time was spent “fighting fires” rather than preventing problems from arising
- High work morale and many strong improvement ideas among production personnel
- Performance data was available, but engagement and follow-up were lacking
- Low availability and a high number of interruptions per hour were negatively affecting OEE
Agreed development streams
Based on the analysis, four key development streams were agreed upon.
1. Goals roll-down
- Clear target setting and baseline definition (KPIs)
- Detailed identification of improvement potential
- Alignment and commitment across the organisation
- Operational goals broken down by area, process phase and key roles
2. OI tools development
- Systematic root cause analysis
- Definition of a “good working day” from the operator perspective
- Preventive maintenance analysis and action plans
- Maintenance KPIs
- Defined changeover processes with clear goals and metrics
3. Process days – process flow and SMED focus
- Workshops for production personnel
- Identification of low-hanging fruit and quick wins
- Sharing best practices across teams
- Increased motivation and utilisation of available personnel for continuous improvement
4. Management training and coaching
- Support for implementation and behaviour change
- Clarification of roles, responsibilities and expectations
- Building long-term sustainability of improvements
Implementation
The duration of the project was eight months. The implementation was carried out in a structured manner, combining hands-on workshops with daily management development and ongoing coaching.
1. Workshops
Employee and process flow workshops were conducted to:
- Build involvement and commitment to OI
- Identify quick improvements and development opportunities
- Create a shared understanding of processes and improvement potential
Results:
- 756 identified problems
- 723 improvement suggestions, each with assigned responsibilities
2. Daily management
Through coaching, participation in meetings and improved meeting structures:
- A culture of continuous improvement was established
- Employee engagement increased significantly
- Safety improved through active escalation and resolution of deviations
Although whiteboards existed prior to the project, their content was not connected to daily operations. By redefining metrics together with employees, the whiteboards became the core of daily operational management.
3. Management training and coaching
Supervisors, management and line operators received coaching on:
- Roles and responsibilities
- Cross-functional expectations and communication
- How to enable high performance across the team
- Personal development planning
This further strengthened capabilities, motivation and engagement.
4. Key metrics
The customer’s original OEE metrics were too high-level and failed to support daily operations. A logical error was also identified: goals were averaged across saw lines, disadvantaging slower products and masking real performance.
As part of the implementation:
- Saw line-specific SMART metrics were introduced
- New process quality metrics enabled continuous improvement
- Maintenance performance became transparent, allowing fact-based dialogue with a third-party maintenance provider
Results
- All production lines now operate with time-based plans and lead-time targets
- Systematic deviation and root cause management at supervisor and operating manager levels
- Improved safety management from escalation to solution, with clear feedback loops
- Clear escalation model for production issues and investment needs
- Streamlined meeting structures and agendas
- Whiteboards focused on essential, decision-relevant information
- “Good Working Day” thinking embedded in daily operations
Financial impact
The annual increase in saw line production, together with additional effects from downstream processes, resulted in a total annualised improvement of €1.75 million, attributable to this single site alone.
Interested in similar results?
If you want to strengthen your operational core, improve delivery performance, and build a scalable foundation for growth, Mantec can help.
Contact us for a free 45-minute consultation:
Denmark – Bent Hansen
bent.hansen@mantec.eu
+45 20 91 46 36
Finland – Eero Vuorensola
eero.vuorensola@mantec.eu
+358 40 54 45 200
Sweden – Göran Svensson
goran.r@mantec.eu
+46 70 631 86 18
Norway – Jan Erick Olsen
jeolsen@mantec.eu
+47 922 68682
Other countries – Kjetil Barfelt
kjetil.barfelt@mantec.eu
+47 913 13 131
