From 17 Days to 4: Fixing an Overcomplicated Approval Process
How role clarity helped a ₹95 Cr auto-component manufacturer cut ECN cycle time by 76% and avoid two planned hires
1. OBJECTIVE
Reduce the time taken to process Engineering Change Notices (ECNs) and eliminate unnecessary approvals that were contributing to line stoppages and customer penalties.
The business believed its problem was a shortage of engineering capacity and had planned to hire 2 additional design engineers.
2. PROBLEM
A precision-machining Tier-2 auto-component manufacturer in Chakan, Pune, with:
- ₹ 95 Cr revenue
- Supplies to 2 OEMs and 4 Tier-1 customers
was taking 14–21 days to action customer ECNs.
The process involved:
- 8 signatures per ECN
- Only 3 signatures were genuinely required
- Quality, Design, Production, Tooling and Costing all believed they needed approval
- Line-stoppage penalties were being attributed to engineering capacity rather than process delays.
3. STRATEGY
Instead of adding headcount, the ECN workflow was mapped using Value Stream Mapping.
The analysis identified that only three functions actually needed decision authority:
- Engineering → Technical feasibility
- Costing → Commercial impact above ₹50,000
- Production → Capacity/slotting
The remaining stakeholders were moved to Informed, with Quality and Tooling retaining the ability to flag concerns within a defined 24-hour window.
4. SOLUTION
The RACI matrix was redesigned around decision ownership rather than departmental involvement.
The goal was simple: Fewer approvals. Clearer accountability. Faster decisions.
5. EXECUTION & RESULTS
After 120 days:
| Metric | Before | After | Improvement |
|---|---|---|---|
|
ECN cycle time |
17 days |
4 days |
76% reduction |
|
Signatures per ECN |
8 |
3 |
63% reduction |
|
Line-stoppage penalties/quarter |
₹ 14.2 L |
₹ 2.8 L |
80% reduction |
|
Additional engineers |
2 planned |
0 hired |
2 hires avoided |
THE BUSINESS IMPACT
What looked like a capacity problem was actually a process and accountability problem.
Before adding people, the business simplified the process.
The result: faster decisions, fewer penalties and two planned hires avoided.