Before HEI earned the Supplier Excellence Award from Ethicon Inc. for its work as a manufacturer and supplier, it targeted five areas for improvements: Quality, Regulatory, Service & Operations, Cost Leadership, and Partnerships. The Victoria, Minn.-based company (heii.com) began implementing changes to its manufacturing processes through lean manufacturing in 2003. It also developed a training program, Customer Demand Based Manufacturing, to focus employees attention on supplier excellence. Within six-months of implementing such changes, HEI's response to customers jumped 57%, productivity improved 23%, inventory management figures grew 58%, and floor-space usage improved 58%. The company won the award for the Gynecare Thermachoice Uterine Balloon.