Two years before the engagement, a turbulent period of retirements and attrition pulled decades of tribal knowledge out of one major facility in a matter of months. The institutional memory walked out the door faster than it could be captured, and core processes, including equipment startup and shutdown, were never documented. New supervisors stepped into leadership roles without training or structured routines, and a new plant manager was still learning to lead the organization. The plant was running on improvisation.
Underneath the people problem sat a structural one. Overall Equipment Effectiveness averaged just 71% over the previous twelve months, and operators did not even know the daily production target they were working toward. Maintenance was overwhelmingly reactive: only 557 preventive-maintenance tasks existed for 2,314 assets, the break-in rate ran at 70%, and contractors filled the gaps with no accountability. Fewer than half of work orders came back from technicians, and only 20% of those carried usable detail, so the plant could not even see its own failure patterns. In one process, 67% of the Management Operating System elements went entirely unused.
Leadership capacity was just as thin. Over 90% of supervisors demonstrated marginal or unsatisfactory leadership practices, and supervisors spent only 6% of their time actively supervising employees while more than 30% were classified as merely available. Goals and strategies were misaligned from the top down, with just 19% of managers fully aligned with top leadership priorities. The cost of all this surfaced in quality: product quality claims averaged $232,000 per month over the prior year, and customer complaints exceeded 90 annually. POWERS identified more than $5 million in annualized improvement potential, but capturing it would take more than a fix to any single problem. It needed a system that rebuilt visibility, routine, and accountability at once.