THIS PAPER DESCRIBES HOW AN AIRCRAFT REPAIR FACILITY IS BEING CONVERTED FROM A VERY LARGE JOB SHOP CONFIGURATION TO A FOCUSED FACTORY CONFIGURATION OF FLEXIBLE MANUFACTURING CELLS. THIS WAS ACHIEVED THROUGH THE APPLICATION OF SEVERAL DESIGN FOR EXCELLENCE TOOLS AND CONCEPTS WHICH INCLUDE PROCESS CHARACTERIZATION, GROUP TECHNOLOGY PRINCIPLES, JUST-IN-TIME (JIT) TECHNIQUES, AND COMPUTER SIMULATION. THE BENEFITS ACCRUING FROM THIS CONVERSION INCLUDE THE REDUCTION OF TOTAL CYCLE TIME BY 75%, REDUCTION IN THE COST OF QUALITY BY 60%, AND A REDUCTION IN THE MANHOURS REQUIRED TO PERFORM A REPAIR BY 50%.