Facility Relocation La Negra, Chile
A congested legacy facility, an increase in sales projections, and a change in local regulations necessitated a large equipment remanufacturer to relocate. The rebuild facility was originally located in Antofagasta, Chile and needed to move elsewhere in the region to better service their mining customers. Facility relocation project management is not a simple task, save for lean manufacturing experts with over 30 years of professional experience in saving clients money on multi-million dollar projects.
Lean Manufacturing Consultants
The lean manufacturing consultants at Campbell Corporation were brought in to assist the client in a variety of services, beginning with financial justification and the entire planning process. This was achieved by evaluating installed base and sales forecasts of equipment, life cycle of the equipment components, revenue and costs of remanufacture, building process concept design and budgeting, scheduling, and identification of risks.
Campbell Corp’s facility relocation project managers identified a site in La Negra, Chile, just outside of Antofagasta, which would be ideal for the client. The site was expansive in size and located closer to the client’s customer base than Antofagasta.
Our lean manufacturing engineering firm refined and expanded on the facility concept designs generated in the financial justification process and assisted the client in the qualification and retainment of an experienced local design architect. Campbell Corporation worked with the project architect to ensure the client’s process and process equipment requirements included material handling, floor loading, mechanical, MEP, and layout. The entirety of process implications to the facility were incorporated in the architectural and structural approval.
The client also utilized our services in the selection and retainment of a qualified contractor to construct the facility once the design was complete. Campbell Corporation oversaw the construction and draw process, identifying construction discrepancies and deficiencies as they occurred.
Simultaneous to design, Campbell Corporation worked with the client to prepare a startup plan for the new facility. After incorporating the relocation plan, which would relocate the majority of the clients’ existing equipment in Antofagasta, we coordinated the delivery and installation of the new process equipment purchased.
Successful projects are our only projects. Client services in La Negra for this particular lean project management success included:
• Negotiating $700K in government incentives for facility construction.
• Identifying, qualifying, and negotiating additional financial incentives to offset the cost of new equipment acquisition.
• Expanding the facility during construction due to the client’s sales aggressively increasing.
• Working with the consulting architect to mitigate the impacts to the facility in the occurrence of an earthquake less than a magnitude 9.
• Identifying exchange rate risk and recommending mitigation remedies prior to unfavorable change.
• Completing the project on budget.