Colourite Metal Treatments make energy savings
company news from London Manufacturing Advisory Service
12 May 2008
Dagenham based Colourite Metal Treatments received a costing system overhaul which has not only increased their turnover but has resulted in an energy saving of 12%.
The company employing seven specialises in an anodising and metal finishing and work with a wide variety of products, from automotive parts to sculpture to architectural pieces.
They needed advice on developing a new product costing system in order to accurately allocate variable and fixed costs to each job.
Says Mike Byrne MD of Colourite Metal Treatments, “We needed an accurate costing system in order to calculate which jobs were making us profit and which were losing us money. We called in the help of the London Manufacturing Advisory Service (MAS).”
Comments Nigel Rust, Manufacturing Specialist at London MAS, “I used the London MAS network to find and work with Frank Doyle from Soloman, a specialist in engineering costing processes. The changes in the costing system enabled the company to make pricing decisions and improve financial control resulting in an increase in profitability, turnover and value added.
“After putting into place a working costing system we performed a lean diagnostic and calculated that Colourite Metal Treatment’s biggest cost was energy. We performed introduced some lean techniques and reduced their scrap and defect rate by 50% reducing energy costs by 12%.”
MD of Colourite Metals Mike Byrne said, “This is the best programme we have ever been involved in, the results are amazing and we have seen rapid improvement in profit.”
Ends
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NOTE TO EDITORS:
London Manufacturing Advisory Service (LMAS)
London Manufacturing Advisory Service (LMAS) is supported in the capital by the London Development Agency. It provides straightforward advice and practical support to improve manufacturing competitiveness.
It is delivered by EEF South, the Regional Centre of Manufacturing Excellence and Pera, the innovation company. London MAS aims to help manufacturers operate more effectively, design better products, create high performing individuals, teams and organisations and help manufacturers better promote themselves to new and existing markets.
Manufacturers can reach London MAS Specialists by calling the Hotline on 0845 600 2212, by visiting www.mas-london.com or by emailing info@mas-london.co.uk
