Client Success Story
How Sealy Mattress Company of New Jersey Modernized Operations to Usher in a New Era of Growth and Productivity
Industry: Manufacturing
Solution: Dynamics 365 Finance & Supply Chain Management
Introduction
A fourth-generation, family-owned business, Sealy Mattress Company of New Jersey (Sealy NJ) manufactures Sealy and Stearns & Foster sleep products in Paterson, New Jersey. Sealy NJ is the only domestic licensee of Sealy and Stearns & Foster and works closely with its licensor, Tempur Sealy International (TSI), to service mattress retailers across its territory in the Northeast United States.
While Sealy NJ operates a productive manufacturing facility built on 99 years of mattress manufacturing acumen, the company faced a daunting challenge: modernizing outdated systems and processes that prevented it from reaching its full potential.
Challenge
Outdated, unsupported technology:
Sealy NJ relied on a 25-year-old green-screen ERP system that it shared with TSI. This system was cumbersome, difficult for Sealy NJ to customize, and added risk to the business because it was difficult and expensive to maintain.
Limited visibility:
Sealy NJ also needed more visibility to measure and improve production capacity and efficiency. Without quantifiable metrics or modern KPIs, Sealy NJ couldn’t effectively track product quality, material waste, worker downtime, labor hours per piece, or cost to poor quality. A lack of visibility is common in manufacturing. According to one report, 40% of manufacturers have no visibility into the real-time status of their company’s manufacturing process.
Manual, inefficient processes:
Sealy NJ operated how it had for decades, relying on paper-driven processes vulnerable to errors and manipulation. For example, the workers’ incentive earnings process involved scanning chit tickets, printing reports, and then manually entering data and calculating pay in Excel. Sealy NJ was not alone in this problem, as Forbes reported that 95% of manufacturers still use paper-based processes for some or most of their activities.
Project Goals
- update unsupported software
- increase visibility into real-time data
- replace manual paper-driven processes
of manufacturers have no visibility into the real-time status of their company’s manufacturing process.
of manufacturers still use paper-based processes for some or most of their activities.
“We were impressed with MCA Connect from the start. We felt like they really understood our business. Their manufacturing expertise was a key differentiator, and we were also impressed by their hands-on approach. The MCA Connect team came onsite to tour our facility and get a firsthand look at our challenges. It was quickly clear they were the right partner for us.”
– Sam Hertz, Chief Operating Officer, Sealy NJ
Solution
Sealy NJ’s ERP system challenges presented a risk to the business that ownership could no longer tolerate. Sealy NJ recognized the need to modernize its systems and processes and usher in a new era of operational excellence. They sought to achieve this with the support of a modern ERP solution and the improved functionality, efficiencies, and insights it could provide.
With support and guidance from TSI, Sealy NJ decided to implement Dynamics 365 Finance and Supply Chain Management.
Sealy NJ evaluated and considered several partners for this project. In the end, MCA Connect’s® deep manufacturing expertise set us apart. This expertise became evident when we toured Sealy NJ’s facility and asked insightful questions to understand their business, challenges, and goals. According to a report by Deloitte, manufacturing expertise is one of the most critical factors for successful digital transformation.
Results
By implementing Dynamics 365 with MCA Connect’s deep manufacturing expertise and strategic implementation methodology, Sealy NJ was able to:
Optimize operations and seamlessly share data:
Sealy NJ replaced its 25-year-old green-screen ERP system with a modern, cloud-based solution that offers more functionality and integration. As a result, Sealy NJ can share data with suppliers, customers, and TSI seamlessly and securely. Sealy NJ is already benefitting from production efficiency improvements made possible by the timely insights and analytics in Dynamics 365.
Increase visibility into production capacity and efficiency:
Dynamics 365 Finance and Supply Chain Management provides Sealy NJ with quantifiable metrics and modern KPIs to track product quality, employee productivity, raw material usage, and more. The availability of real-time data to employees throughout Sealy NJ’s business made an immediate positive impact and, in some instances, removed “blind spots” that had long obscured vital information.
Boost efficiency by eliminating manual processes:
To improve the inefficient and manual incentive earnings process, we built a Dynamics 365 customization that enables users to scan and record chits in real-time rather than tearing them off and scanning them later. This helped prevent users from manipulating the incentive system and empowered Sealy NJ’s supervisory staff and quality team to identify all operators responsible for a piece in real time – a critical improvement for their quality management system.
“We had a very collaborative relationship with the team at Sealy New Jersey. It was a partnership based on trust. We spent a lot of time on site with them, working as a team to solve problems and find the best solution for them long-term.”
– Gillis West, Engagement Manager, MCA Connect
What’s Next?
Over time, Sealy NJ aims to reduce costs, improve efficiency, and expand capacity by automating and streamlining production. Sealy NJ also seeks to improve the quality of its products by introducing additional quality control points (leveraging Dynamics 365’s Nonconformance feature that was customized as part of the project). They’ll then use the accumulated data to improve inspection sampling plans and other quality processes to better hold production operators accountable for their work.
About MCA Connect
Through passion and deep industry expertise, MCA Connect® helps manufacturers succeed by unlocking innovation with actionable business insights. Our strategic solution and industry intelligence help manufacturers gain visibility, improve profitability, and achieve a competitive edge. Contact us today to learn how we can help solve your biggest manufacturing challenges.
