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TOC Reference Bank - Avery Dennison Corporation
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ORGANIZATIONAL INFORMATION  < back
Company Avery Dennison Corporation    
Location Pasadena - United States.
Company Contact   Karl Overall, Corp. Mfg. and Eng. and Ken Papp, Controller - Fasson Division
Source of Reference 

APICS Constraint Management Symposium, 1995

Sales $3,000,000,000
IMPLEMENTATION INFORMATION
Name Avery Dennison Corporation
Location Pasadena, CA United States
Industry Segment Office and Home Products
Revenue $3,000,000,000
Number of employees 15,400
Implementation Date 1993
Markets and Company Share Office supplies sold through major retail stores
Products Labels, labeling systems, pressure sensitive materials and Office products
WHAT WAS DONE?  
Software implemented None
RESULTS OF IMPLEMENTATION
IMPLEMENTATION RESULTS  
Revenue Increase Increased 10%
Inventory Decrease Reduced 50% to 75%
Net Profit Increased 30%
Return on Assets Increased 30%
On-time performance
Percent improvement 88%
Lead times
Percent improvement 50% to 90%
Market share Increased 17% to 25%
Brief summary In 12 to 18 months, every indicator was significantly higher. In one division (Fasson), Market Share up 25%; Sales up 23%; Customer Complaints down 47%; Customer Leadtime down 80%; Total Supply Leadtime down 90%; Fill Rate up 88%; New Products as % of Sales up 50%; Manufacturing Capacity up 50-300%; Inventory (days on hand) down 50-75%; Scrap reduced 32%; Osha recordables down 86% and millions in Capex deferred.