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Enterprise Minnesota Magazine - December 2011
HELPING MANUFACTURERS GROW PROFITABLY
A Zippier Zinpro
More engaged employees, more efficient operations, fewer customer complaints—all thanks to a focus on continuous improvement.
With the economy in the doldrums in 2008, the leadership at Zinpro Corporation decided that the time was right to get lean and identify some process improvements to operate more efficiently. An Eden Prairie– based manufacturer that specializes in nutritional products for animals, Zinpro partnered with Enterprise Minnesota on its Challenge to Excellence initiative. The company aimed to position itself for success during the downturn and into the future.
Through a variety of lean projects, Zinpro experienced more than a 10 percent reduction in the cost of goods from 2008 to today. “The initiative helped us decrease raw material, labor, and overhead costs,” says Bill Scrimgeour, president and COO of Zinpro, which manufactures trace organic minerals for use in animal diets.
The company has discovered that in addition to cost savings, there are numerous intangible rewards to lean endeavors. “One reward is the installation of the idea of continuous improvement—getting people aware and realizing that they themselves can make great contributions,” says Scrimgeour. “That’s all part of the lean journey, involving and empowering people.”
When employees feel empowered to make suggestions and believe that their company will listen, they are more inclined to share their on-the-job insight and knowledge. Through this knowledge the whole company benefits, and that was definitely the case at Zinpro, Scrimgeour says.
People were initially positive about the Challenge to Excellence and lean initiatives, and the response has continued to improve over time, notes Scrimgeour. “I know there is more cohesiveness of people taking on responsibility and working together,” he says. “Our team says, ‘Hey, I have a say,’ ‘We can make things better,’ and ‘My idea is important.’ ”
Zinpro typically tackles project-based initiatives with the help of Enterprise Minnesota. One notable project involved designing a rail car unloading system to eliminate the inefficiencies of unloading raw materials by truck, explains Ron Kylochko, plant manager of the company’s North Branch manufacturing facility. That meant that employees didn’t have to walk up to the front office five to seven times a day to obtain documents for each truckload. The company also saved money by being able to buy raw materials in greater volumes. Overall, Zinpro saves $500,000 to $750,000 a year thanks to the new system, he says.
The company has undertaken about 30 different lean projects at its North Branch plant alone, some big and some “Just Do It” style quick-hit projects. “We’ve looked at a lot of things where we can cut out repetitiveness or change our processing to reduce downtime,” says Kylochko. Zinpro’s Garner, Iowa, plant has accomplished a large number of lean projects as well.
Zinpro also engaged in Enterprise Minnesota’s Training Within Industry series by focusing on employee relations projects to improve teamwork. Additionally, Zinpro employees toured another manufacturing company, Central Container in Brooklyn Park. The company, which makes packaging supplies and solutions, is a lean veteran that happily shares its experiences with other businesses.
Though Zinpro is early in its journey to lean, the continuous improvement projects have made a big impact, especially in its relationships with customers. “This benefits our customers because you have the first-line people caring more about what they do. They have more chances to say how we can make things better,” Kylochko says. “Since we implemented the Challenge to Excellence program, customer complaints have been reduced by 100 percent—and that’s the biggest metric there is.”
©2011, Enterprise Minnesota. All rights reserved.Reproduction encouraged after obtaining permission from EnterpriseMinnesota. Additional Magazines and reprints available for purchase.
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