Description of Issue: Automotive OEM customer was using water-based drawing compounds in their stamping operations. These materials were being purchased in a ready-to-use capacity, at a concentration of 6-parts water to 1-part concentrate in 275-gallon IBC containers. The operations required the use of 24,566 gallons per year. This involved multiple monthly shipments and consumed considerable floor space. Transportation, storage, and labor costs associated with the use of the RTU product were very high.
Projected Solution:Â Since the product is water-based, Chemico suggested bringing in concentrated product and diluting line side, thereby reducing storage, transportation, and handling.
Considerations




Case studies
Project Results:

Shipments were reduced from 85 totes to 12 in the first year.

The cost of material to support operations was reduced by $24,566.

On-site material storage was reduced from 8 to totes to 2.

The number of material deliveries was reduced from 14 down to 3 per year with a freight savings of over $5,000
