ABSTRACT

Carjo Manufacturing produces axle components for the automotive industry. The company’s main products include shafts, tubes, and gear housing assemblies. The company’s sales for 2006 were $18 million but dropped to $16 million in 2007 because of the market, and sales for 2008 are expected to be down again, slightly, from 2007. Therefore, in order to survive, Carjo must implement Lean to drive out wastes and improve its profi t margins.