A leading dessert manufacturer serving private consumers and commercial customers in North America.
The organization, which another dessert maker had recently acquired, connected with USC Consulting Group intent on increasing revenue by improving productivity, increasing throughput and reducing overhead expenses. USCCG consultants conducted a three-week feasibility study to determine the project scope. This initial research revealed issues distributed across the maintenance, operations, and quality assurance functions. The USCCG team followed up with additional due diligence work and nailed down some of the most prominent problems plaguing these areas of the business, which included:
Solution No. 1: Production line metric adherence
To address Apple depositor and oven starving, and the general production lethargy these issues caused, the USCCG team emphasized adherence to existing shop floor performance metrics and developed new processes to empower staff to meet these targets. USCCG consultants helped fill equipment knowledge gaps — particularly those related to the spinners — and made employees aware of production objectives, thus allowing them to become fully engaged on the shop floor and work to their potential. The upstream crumbing and pan preparation processes improved as a result, and made it possible for the dessert company to produce 2000 crumbed and filled pans per hour, drastically reducing the likelihood of Apple depositor and oven starving. The USCCG team also addressed the baking workflow and introduced SKU-based standards to ensure that every unit was allowed to cook for the proper time period. And in addition to implementing these specific fixes, USCCG consultants worked with employees at all levels, from executives to staff manning production lines, to encourage constant reflection and improvement.
Solution No. 2: Maintenance reformation
Reforming the maintenance department took considerable work, starting with the implementation of an aggressive, seven-strike-based attendance policy that incentivized technicians to approach their schedules with more thought. This change allowed the company to restart weekend preventive maintenance work and focus on optimizing its equipment rather than warding off momentary mechanical disasters. The USCCG team also worked with the maintenance supervisor to create a formalized scheduling and work order system, and put together an exhaustive critical equipment list. Finally, they convinced the organization to triple its replacement part inventory, bringing the value of the backup component cache to $180,000 — an appropriate level for a company of its size.
Solution No. 3: Ingredient usage standardization
USCCG consultants managed to fully mitigate the product wastage and quality issues through one simple solution: the distribution of standardized crumb cups and leveling tools. With these assets in hand, employees overseeing the crumbing process were able to turn out consistent crust densities, which in turn drastically reduced waste and quality issues.
20%
Increase in Throughput
25%
Productivity Improvement
$2 million
Annualized Savings in Labor Expenses
Reduced Waste and Quality Issues
The operational improvements that materialized as a consequence of the project were significant. Annualized plant throughput rose from around $49 million to $58 million — an increase of 20%. Overall productivity saw a similar boost, growing an estimated 25%. The organization also experienced significant savings, as annualized labor expenses fell by more than $2 million over the lifespan of the engagement.
“It is extremely comforting to know there are companies like USC that genuinely do the right thing and create positive results both financially and academically. There was nothing but admiration, respect and appreciation from all of the Management Team about the USC approach, tactics, professionalism, patience and ability to work with our group. Management spoke highly of USC’s patience, diligence and ability to educate, teach, train and implement with pace a number of Systems, Tools and Techniques that were lacking and requiring immediate attention. USC has left a tremendous amount of hope and promise for our company.” –Managing Director for Holdings Group of the Dessert Maker
Businesses within the food and beverage space can achieve similar results by working with our seasoned consulting team. Connect with us today to learn more about our work and how we can position you for success.
