Client HGH Granite
Location Dundas, Ontario
Background
HGH Granite is a family-owned and operated business, established in 1929 and based in Dundas, Ontario. The company specializes in supplying granite and custom stonework, with expertise in architectural granite, granite pavers, cemetery monuments, and civic art installations.
They have successfully completed high-profile projects across northeastern North America, including in cities like Toronto, New York City, Albany, Fredericton, and the Quantico Marine Base. HGH Granite combines traditional craftsmanship with modern technology to manufacture and repair granite works at their facility.
The Challenge
Despite their success, strong brand, and capable team, HGH Granite faced limitations in their operational structure, business processes, and management systems, which have hindered growth. To unlock further profitability, it was essential to undergo a lean transformation to improve operational performance.
The Solution
After an initial discovery phase, value stream mapping identified significant opportunities for improvement across the facility. The following steps were implemented:
- Facility Layout and Production Flowlines: A new facility layout was developed alongside the introduction of a cell in production. Every area in the new layout had a purpose and this included the integration of First-In-First-Out (FIFO) inventory points to control overproduction.
- Standard Work and Visual Control Systems: Effective visual management systems including Standard Work and Workplace Organizaton (5S) were introduced to optimize information flow throughout the facility, including production and the yard, enhancing communication and operational visibility.
- Inventory Planning and Accuracy: Improved inventory planning and prioritized cycle counting methods based on multifaceted inventory s were implemented without the need for new software systems, ensuring more efficient resource management.
The Results
With the guidance of TXM Senior Consultant Ashay Gude, HGH Granite significantly transformed its operations through the application of practical, lean solutions. The results included:
- Reduction in Internal Quality Defects: The implementation of standardized work procedures facilitated cross-training among employees, resulting in a greater than 20% reduction in internal quality defects and the associated rework hours.
- Improved Inventory Management: Visual management techniques in the yard enhanced inventory organization and efficiency.
- Reduced Back-Orders: Improved scheduling processes and better communication between the front office and shop floor led to a more than 50% reduction in back-orders.
- Enhanced Communication and Performance Visibility: Regular production meetings, including daily leadership meetings and monthly KPI reviews, improved communication and alignment, providing clear visibility into daily, weekly, and monthly operational performance.
- Optimized Facility Layout: Although still in progress, the new lean facility layout with cellular production design is expected to improve workflow and reduce work-in-process inventory once fully implemented.
HGH Granite’s transformation showcases the power of lean operational changes in driving efficiency, reducing costs, and supporting sustainable growth.
“Working with TXM Lean Solutions to implement their lean program at HGH Granite has been transformational. The program was well-structured, practical, and tailored to our business needs, making a significant impact on our efficiency and operations. A special thanks to Ashay Gude, whose expertise and hands-on approach were key to driving real change. Ashay engaged with our team, understood our challenges, and coached us through practical solutions that strengthened our workflow and team cohesion.” Neil Hardwick – General Manager – HGH Granite
Author: Timothy McLean
Timothy McLean is the Managing Director of TXM Lean Solutions and is an author of Lean books.
