VerMod Homes Integrates Structure and Standard Work into Their Operation for Increased Profitability

VerMod Homes, located in Wilder, Vermont, designs and builds affordable zero energy modular homes which meet the highest standards of durability, energy efficiency, comfort and indoor air quality.  They have set over 75 zero-energy modular homes around the state  of Vermont and employ 20 Upper Valley residents. Partnering with Efficiency Vermont’s Zero Energy Modular (ZEM) Program, VerMod's mission is to provide affordable housing for all Vermonters with a special focus on replacing mobile/manufactured homes with ZEM.

The VerMod team recognized the need for a new system to produce more than the 37-40 boxes a year they had been building, setting a goal of 52 annually. There was waste in their systems, but they didn't know how to “see” it. VerMod recognized, however, that better systems would allow their small operation to gain many more efficiencies.

Entering into a Lean Product Suite project with all deliverables from VMEC staff, VerMod and VMEC staff focused on using the Value Stream Mapping methods to identify the business's current state, develop a future state and work on the critical path to achieve that future state. As part of their training, the entire VerMod team participated in the one-day Lean 101 for alignment course and received an introduction to the foundation of “Lean Thinking." Concentration areas ranged from customer inquiry to order entry to shipping to site install of final product, as well as training on documentation of standard work and project management.