Friday, November 4, 2011

PICH Michael
AlliedSignal Aerospace Services – Singapore: A Clear Case for Change
© 2011 INSEAD Case Study

Jacques Esculier arrives in Singapore to assume the position of Vice-President of Repair & Overhaul (R&O) for AlliedSignal Aerospace’s Asia Pacific operations. On discovering that the Managing Director of the facility in Singapore responsible for the repair and overhaul of auxiliary power units has resigned, he assumes the MD role as well. Once he has a good grasp of the key issues that the shop is facing. Jacques knows that changes must be implemented to reduce deficiencies in cycle time and quality level, as well as to solve problems of supply and inventory. As a corporate fast-tracker with an MBA he relishes the challenge.

Pedagogical Objectives: Six-Sigma is still one of the most popular business improvement practices in the world, yet most implementations still fail to achieve sustainable improvements. Most organizations adopt Six-Sigma to manage indicators instead of using it to learn how best to create value in their organizations. The AlliedSignal Aerospace Services case is a perfect example of this. It explores the specifics of Six-Sigma and lean thinking, and demonstrates the importance of the manager-as-leader in ensuring the success of such initiatives.