Problem:
The projected weekly customer demand for finished goods was 25% greater than the plant's current 24-7 capacity. The client had three months to create the extra capacity for the upcoming peak period.
Mission:
Identify and quickly correct bottleneck processes so that the plant can meet/exceed customer demand.
Increase total plant capacity by 50% without adding any brick and mortar or additional staffing.
Reduce overtime and related expenses by eliminating the need to run the plant on Sundays.
Approach:
Charter and Train a Lean Steering Team.
Map and Measure the Value Stream.
Create Customer Focused KPIs.
Identify the bottleneck processes. - The mixing processes were supplying product faster than the packaging and shipping departments could process them.
Redesign the bottleneck departments. - Charter and train two Lean Transformation Teams:
Packaging Process Improvement Team
Shipping Finishing Process Improvement Team
Lean Techniques Taught and Utilized:
Value Stream Mapping
5-S Workplace Organization
Quick Changeover
Lean Office
Root Cause Analysis and Corrective Action Plan
Total Productive Maintenance
Results Realized:
Increased Capacity > 50%. (From 107,000 Daily Rate to 166,000 Daily Rate).
Eliminated Sunday overtime and related costs.
Reduced product costs
Increased Sales potential > 20%
Improved employee morale