Operational excellence in wiring systems production

The growing demand for reliable, high-performance connectivity solutions has driven transformation across multiple industries, especially in the automotive sector. In this context, one of Europe’s leading wiring system manufacturers has positioned itself as a benchmark in applying continuous improvement methodologies to raise quality and efficiency standards. This case study focuses on implementing a structured program based on the PDCA (Plan-Do-Check-Act) cycle and the PSS (Problem Solving System), which fostered a more agile operational culture geared toward systematic problem-solving. The approach significantly improved performance indicators, process reliability, and customer value creation.

Figure 1 – Lean tools diagram

The company’s position in the fiber optic cable and wiring systems sector

The company featured in this case study is a recognized leader in developing and manufacturing wiring systems and fiber optic cables, operating in highly demanding sectors such as automotive, process industry, energy, and infrastructure. With over a century of accumulated experience, it combines technical expertise, innovation, and a continuous commitment to quality, positioning itself as a strategic partner in delivering intelligent energy and data transmission solutions.

The organization develops solutions tailored to the evolving demands of electric mobility, connected vehicles, and industrial digitalization in the automotive sector, delivering components and systems that meet the highest performance and reliability standards. Its operations also extend to large-scale international projects, where it is recognized for its technical customization capabilities, compliance with international standards, and ability to deliver long-term value throughout the product lifecycle.

The company’s investment in fiber optic cables and hybrid solutions, combined with the integration of engineering services, quality control, and compound development, positions it as a market differentiator. Today, it is widely acknowledged for its contribution to operational excellence across the industries in which it operates.

Challenges faced on the continuous improvement journey

Implementing a continuous improvement program in an organization with high technical complexity and a diverse product portfolio brought several structural and cultural challenges. Transforming how problems were identified, analyzed, and resolved required a significant shift in behaviors, processes, and internal dynamics. Below are the main obstacles encountered during this transition toward a more mature model of operational excellence.

Resistance to change and lack of shop floor autonomy

One of the first barriers identified was the difficulty in fostering active employee engagement in improvement initiatives. Although some isolated Lean practices, such as 5S and TPM (Total Productive Maintenance), were already in place, they were not fully embedded in the daily routines of operational teams. Decision-making and identifying improvement opportunities were overly centralized at the middle management level, which limited operators’ autonomy to act proactively. This lack of ownership on the shop floor hindered the development of a sustainable, continuous improvement culture across the organization.

High defect rates and impact on final quality

Process variability led to elevated defect levels, particularly on critical extrusion and twisting lines. These issues resulted in rework costs and material waste and directly impacted customer delivery reliability. Internal analysis revealed that many deviations stemmed from recurring causes not properly addressed—an outcome of the lack of a structured problem-solving approach. The absence of up-to-date standards further hindered consistency across shifts and teams, worsening process instability.

Lack of structure in problem-solving processes

The problem management approach in place was mostly reactive and lacked systematization. Critical situations were often addressed with quick fixes, without thorough root cause analysis or effective preventive measures. This mindset compromised the sustainability of improvements and hindered organizational learning. The company recognized the need to adopt consistent methodologies, such as the PDCA cycle, to ensure problems were addressed rigorously, from identification to implementing and validating corrective actions.

Limited visibility of indicators on the Gemba

Other major challenges concerned the visual management of processes and access to information on the shop floor. Performance indicators were not monitored in a standardized or sufficiently transparent manner. The lack of up-to-date visual charts made it difficult to detect deviations early on and made it hard for teams to respond quickly and in a coordinated manner. This visibility gap undermined the effectiveness of daily meetings and limited the teams’ ability to track the progress of improvement actions and the impact of implemented measures.

Actions implemented based on Lean manufacturing principles

With a clear vision for sustainable transformation, the organization structured a set of initiatives to directly address the challenges identified during the diagnostic phase. Grounded in Lean Manufacturing principles, the actions implemented focused on resolving the observed issues and establishing practices and behaviors that would promote continuous improvement across all levels of the organization. Below are the key actions taken, each directly linked to the corresponding challenges.

Figure 2 – Visual representation of the company’s production system

Team empowerment to overcome resistance to change

To address the lack of autonomy on the shop floor and the widespread resistance to change, the company launched an intensive training program in continuous improvement methodologies, supported by external experts. Two structured training sessions were held for approximately 30 employees, focusing on the PDCA cycle and the PSS (Problem Solving System). The goal was to equip participants—primarily team leaders and frontline supervisors—with the skills to lead improvement efforts directly on the shop floor. Beyond the technical content, the sessions also aimed to foster a new mindset centered on individual accountability and initiative within teams.

Figure 3 – SMED training sessions

Creation of visual boards and standardization to reduce process defects

The organization invested in implementing mobile visual boards near the main production lines to address high variability in production processes and recurring defects. These boards were designed to support the practical application of the PDCA method, enabling teams to visually track problems, discuss root causes, propose corrective actions, and monitor results. New operational standards were also introduced, reviewed, and updated based on the lessons learned from the problem-solving process. This initiative helped stabilize production, reduce deviations between shifts, and ensure greater consistency in task execution.

Figure 4 – Examples of areas of the organization targeted by 5S

Implementation of the PDCA cycle to structure problem solving

To move beyond a reactive approach to problem management, the PDCA cycle was implemented across the organization as the standard framework for solving production-related issues. Each improvement project followed a standardized guide, divided into clear phases: problem description, root cause analysis (using the Ishikawa diagram and the 5 Whys technique), action planning, solution implementation, and finally, effectiveness verification. This model was embedded into the visual boards and led by cross-functional teams headed by the respective process owners. Structuring the problem-solving process brought greater analytical rigor and ensured more sustainable improvements.

Figure 5 – Visual management board on the shop floor

Strengthening visual management to address limited indicator visibility

In order to overcome the low visibility identified at the Gemba level, the company decided to create a structured visual routine, with daily follow-up meetings next to the management boards. Each board included up-to-date production, quality, safety, and continuous improvement indicators, allowing the teams to quickly identify deviations and take coordinated action. Additionally, regular Gemba Walks were introduced, during which leadership visited operational areas to monitor indicator progress and reinforce a proactive problem-solving culture. This initiative enhanced process transparency and brought operational teams closer to the organization’s strategic objectives.

Figure 6 – Obeya Room

Results achieved through the implementation of operational excellence practices

Adopting the PDCA and PSS methodologies and a consistent approach grounded in Lean Manufacturing principles led to significant results across multiple operational areas. These improvements were evident in quantitative performance indicators and qualitative team culture and engagement enhancements. Below are the main results achieved:

Quantitative performance indicators:

• Significant reduction in failures on critical production lines:
  • Extruder 1: from 3 to 1,75 failures per week
  • Extruder 2: from 3 to 0.3 failures per week
  • Reinforcement line: from 5 failures per week to only 1 failure recorded in week 7 of the year
  • Twister: from 3.3 to 1.75 failures per week
• Cumulative savings of approximately €2.5 million since the start of the program
• Reduction in costs related to rework and material waste
• Increased delivery reliability, with sustained improvements in lead times and final product quality

Qualitative results and organizational impact:

• Active engagement of operational teams in continuous improvement processes
• Established culture focused on structured problem-solving
• Increased accountability among team leaders in driving improvement projects
• Enhanced visibility of operational indicators on the shop floor, enabling more informed decisions and quicker responses to deviations
• Integration of Lean practices into daily operations, strengthening organizational resilience and adaptability

The results achieved throughout this journey reflect a profound shift in how the organization thinks about and manages its processes. More than operational or economic gains, the true impact lies in consolidating a culture where improvement is no longer occasional but part of everyone’s daily routine.

The organization’s ability to respond swiftly to problems, engage teams in developing solutions, and ensure consistent results demonstrates its growing maturity and readiness for future challenges. By embracing a mindset of continuous evolution, the company has strengthened its competitiveness and created the foundation for sustaining that progress over time.

Today, continuous improvement is a central element of the organization’s strategy—not as a one-time initiative, but as a way of working, making decisions, and driving innovation. This journey proves that with commitment, discipline, and active team participation, it is possible to build more efficient operations, empower teams, and deliver solutions increasingly aligned with customer needs.

We are committed to respecting our clients’ confidentiality. While we have altered or omitted their names, the results are genuine.