Columbia Helicopter

 
 
Background/Situation
Founded in 1957 and based in Aurora, Columbia Helicopters, Inc. (CHI) provides helicopter flight operations and high quality maintenance and repair services to a global marketplace. Its flight operations lie primarily in the areas of logging, petroleum exploration, construction, and fire‐fighting. Its maintenance and repair services are accessed by a host of clients including the military. Having expanded to a worldwide fleet of more than 22 heavy lift turbine powered helicopters and approximately 800 personnel, CHI currently employs 300 employees at its Aurora facility.
 
In 2007, CHI saw growth in its maintenance division and identified a near‐term opportunity to capture market share and increase revenues in its turbine engine maintenance operations. To prepare for this growth, CHI developed plans to remodel existing facilities to provide more room for maintenance functions. It also sought to implement Lean Manufacturing techniques to better manage production – the company had trouble meeting existing production schedules consistently. In 2008, CHI began working with the Oregon Manufacturing Extension Partnership (OMEP) to analyze engine repair and maintenance areas and to identify and implement potential improvements.
Action/Intervention

OMEP’s initial assessment determined the need to change CHI’s traditional shop floor layout to a more efficient cellular design and to implement process improvements in office/ administrative systems. These changes, however, would require substantial employee training. With OMEP’s assistance, CHI was able to access Employer Workforce Training Funds to provide training in various Lean topics including Principles of Lean Manufacturing, Value Stream Mapping, 5S/Visual Controls, and Cellular Manufacturing. OMEP’s training included hands‐on assistance with shop floor and systems improvements and mentoring for CHI’s internal Lean Champions who were to drive and sustain Lean efforts. Significant improvements were made.

 

Building on that initial success, OMEP further assisted CHI in applying Lean to its new business component – parts manufacturing. In 2009, CHI obtained the certification required to manufacture parts. Parts availability, essential to maintaining the operational availability of its helicopter fleet and providing timely maintenance services to its customers, provides CHI with a key competitive edge. By incorporating Lean into its business strategy, CHI has been able to sustain and grow its business and emerge out of a tough economy in a stronger business position within a very competitive operational environment.

Results
  • Reduced production lead times by 50%.
  • Increased sales by $555,000
  • Realized cost savings of $1,265,000
  • Invested $18,000 in plant equipment
  • Invested $190,000 in workforce practices & training
Testimonial

Working with OMEP on Lean implementation and sustainment has been very valuable to Columbia Helicopters. Through OMEP’s experience and their ability to help assess our unique environment with a targeted implementation plan, we have been able to apply Lean principles to key areas of our business with success. We are now working toward further implementation in other key areas based on the successes we have had and look forward to continuing support from OMEP.

— Chad Nicklaus, Director of Shop Operations