Turning Customer Escalation into Sustainable Performance
A Tier-1 European automotive supplier faced a significant quality challenge after a high number of customer complaints, known as Quality Requests (QRs), triggered an OEM escalation. Repeated quality issues were negatively affecting customer satisfaction and delivery performance, placing the manufacturing site under increased scrutiny.
The initial Manufacturing Site Assessment (MSA) resulted in a Red rating with a score of 60%, clearly highlighting the need for a structured and comprehensive improvement program.
To address the situation, KCG was engaged to lead a focused transformation program designed not only to resolve existing quality problems, but also to establish a preventive mindset and strengthen the site’s long-term manufacturing capabilities.
The Objective: From Reactive Response to Preventive Quality
The project had four key objectives:
- Identify and eliminate failure modes occurring in production and in the field, improving product and process robustness.
- Reduce customer complaints through the implementation of a stronger preventive quality mindset.
- Improve the customer MSA score and demonstrate sustainable process performance.
- Achieve de-escalation from CSIP level back to preferred/approved supplier status.
The challenge was therefore not limited to solving individual quality incidents. The objective was to create a sustainable operating system in which problems were identified earlier, processes were better controlled, and shopfloor teams had the capabilities and discipline to prevent recurrence.
A Customized 360° Improvement Approach
KCG implemented a customized 360° analysis, combining process observation, data analysis, problem-solving, quality-system assessment and direct shopfloor engagement.
A detailed Value Stream Mapping (VSM) exercise was used to understand the flow of materials and information, identify process weaknesses and highlight opportunities for improvement across the value stream.
Based on the findings, KCG established dedicated work package teams, each with clearly defined activities, responsibilities and timelines. Improvements were prioritized according to their impact on customer quality, process robustness and operational performance.
The approach combined structured project management with intensive shopfloor execution.
Leading Change Directly on the Shopfloor
A key element of the program was KCG’s daily presence on the shopfloor.
Rather than relying exclusively on reports and periodic management reviews, the improvement team worked directly with operators, supervisors and process owners to:
- Coach teams in practical problem solving.
- Lead improvement activities at the point of occurrence.
- Verify the effectiveness of corrective and preventive actions.
- Reinforce process discipline.
- Monitor compliance with defined standards.
- Identify deviations before they became customer issues.
This hands-on approach helped translate improvement objectives into daily behaviors and ensured that corrective actions became embedded in the manufacturing process.
Strengthening Quality at the Source
One of the major focus areas was the improvement of the Customer Sort and Line (CSL) process, ensuring that quality issues were detected and contained effectively.
At the same time, KCG launched an Internal Scrap & Rework Reduction Program. The objective was to move beyond customer containment and address the root causes of internal losses.
Work instructions were reviewed and improved, with clearer boundaries, limits and visual samples introduced where needed. This provided operators with more precise criteria for identifying acceptable and non-conforming conditions.
The program also emphasized auto-control at the workstation, increasing operator ownership of quality and strengthening awareness that quality must be built into the process rather than inspected in at the end.
Practical Problem Solving and P-FMEA Development
A central pillar of the project was the development of practical problem-solving capabilities.
Teams were coached to move from reactive firefighting toward structured identification of root causes, effective corrective actions and verification of results.
P-FMEA development was also used to improve understanding of process risks and failure modes. Lessons learned from production and field issues were incorporated into the prevention system, creating a stronger connection between actual process performance and risk management.
This helped establish a more preventive mindset across the organization and reduced the likelihood of recurring quality issues.
Improving Process Parameters and Manufacturing Robustness
KCG also focused on the overall optimization of process parameters.
Critical parameters were reviewed to ensure that processes were operating within robust and clearly defined conditions. Where necessary, limits and controls were strengthened to reduce process variation and prevent the recurrence of known failure modes.
The combination of improved parameters, clearer work instructions, enhanced controls and stronger problem-solving practices increased overall process robustness.
From Quality Improvement to Operational Discipline
The transformation extended beyond production processes.
Warehouse organization and buffer areas were reviewed and reorganized, while the 5S methodology was reinforced to improve material identification, storage and workplace organization.
These actions contributed to better material flow, reduced the risk of handling and identification errors, and created a more controlled manufacturing environment.
At the same time, the program strengthened shopfloor discipline, ensuring that defined standards were consistently followed and deviations were addressed systematically.
Measuring Sustainable Results
The results demonstrated a significant improvement in both customer and internal performance.
Customer Quality Performance
Customer Quality Requests were reduced dramatically:
10 QRs per month → maximum 1 QR per month
Importantly, the improvement was not a short-term effect. A positive performance trend was achieved during the first three months, followed by an additional three months of maintained performance, demonstrating the sustainability of the implemented actions.
Internal Performance
Internal scrap was reduced by 60%, demonstrating that the project addressed not only customer-facing symptoms but also the underlying manufacturing losses.
The site’s Manufacturing Site Assessment performance improved from:
MSA Red – 60% → MSA Green – 100%
This represented a complete transformation of the site’s assessment status and confirmed the effectiveness of the improvement program.
Building Capability, Not Just Correcting Problems
Beyond the numerical results, the project delivered important organizational improvements.
Practical problem-solving competencies were strengthened, enabling teams to address quality issues with greater structure and effectiveness.
Shopfloor discipline improved, while operators became more actively involved in quality through the implementation of workstation auto-control.
Material storage and organization in warehouse and buffer areas were improved, contributing to a more stable and visual production environment.
A formal quality issue escalation procedure was also implemented, creating a clearer and faster response mechanism when deviations occur.
These changes helped shift the organization from a predominantly reactive approach toward a more preventive and structured quality culture.
From OEM Escalation to Supplier Confidence
The ultimate objective of the project was not simply to reduce the number of complaints or achieve a better audit score. It was to restore confidence in the supplier’s ability to consistently deliver the required level of quality and performance.
Through its structured 360° approach, intensive shopfloor engagement and focus on sustainable corrective and preventive actions, KCG helped the manufacturing site move from a critical Red MSA position toward Green performance.
The reduction of QRs from 10 per month to a maximum of 1 per month, combined with a 60% reduction in internal scrap and achievement of a 100% MSA score, provided clear evidence of the transformation.
Most importantly, the project established the foundations for sustained performance: stronger problem-solving capabilities, improved process controls, clearer standards, better shopfloor discipline, stronger material organization and a preventive quality mindset.
A Sustainable Transformation
The project demonstrates that successful quality improvement goes beyond solving individual customer complaints. Sustainable performance requires addressing the entire system—from process parameters and operator standards to problem-solving capabilities, material flow, escalation mechanisms and management discipline.
By combining structured analysis with daily execution at the shopfloor, KCG enabled the supplier to turn a critical customer escalation into an opportunity for operational transformation.
The journey from Red at 60% to Green at 100%, together with the sustained reduction in customer complaints, demonstrates the impact of a focused, hands-on and preventive improvement approach.