Artone LLC

Facility Relocation Drives Business Growth

 

"The facility layout developed by Insyte Consulting has enabled us to accelerate our growth and access new markets while simultaneously receiving significant improvements in efficiency and cost reduction." - Mike Calmieri, President

> RESULTS

  • 15% first year revenue growth after relocation.
  • $600K equipment investment.
  • $150K annual cost savings.
  • New product line acquired.
  • Access to health care market.

> COMPANY

Artone LLC is a manufacturer of commercial furniture and displays for the hospitality, retail, health care and contract furniture markets. Customers include the Seneca Casinos, DSW Inc., Microtel, Kroger Supermarkets, Disney Animal Kingdom, and the Cabana Bay Beach Resort at Universal Studios.  

> SITUATION

After a severe business downturn in 2009, the company's sales rebounded strongly over the next several years. It quickly became apparent that the layout and physical limitations of the company's original 60,000 SF manufacturing site would not support their growth. An existing 250,000 SF single-level facility that better fit the company's long-term needs was found. Management also recognized that developing an effective layout was critical to ensure their continued growth and increased profitability.

> SOLUTION

Insyte Consulting was engaged to work with Artone's team to develop the optimal layout and workflow for the new facility. The first step was to analyze the product mix, both current and projected. Based on these anticipated volumes, several high-level, block layout diagrams were developed for consideration by the group. Once a consensus was reached, Insyte developed a detailed layout to provide the optimal workflow for both current needs and continued long-term growth. The additional space and growing revenues enabled Artone to invest in additional production equipment, allowing them to increase their product offerings. The CooltreeTM line for the health care market was introduced and a steel chair product line was acquired. Purchased with the steel chair line was their manufacturing process that gives the appearance of wood with the strength of steel. Artone also realized significant cost savings due to the elimination of off-site warehousing, as well as improved logistics and material handling. Finally the new facility enhanced Artone's image with prospective customers touring the site.

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