/
A global producer of both liquid and solid fresh produce and home to some of the UK’s A global producer of both liquid and solid fresh produce and home to some of the UK’s

A global producer of both liquid and solid fresh produce and home to some of the UK’s - PowerPoint Presentation

phoebe-click
phoebe-click . @phoebe-click
Follow
354 views
Uploaded On 2018-11-01

A global producer of both liquid and solid fresh produce and home to some of the UK’s - PPT Presentation

There was a noticeable bottleneck in the logistics operation at peak return time every day that resulted in long queues of trailers in the yard The challenge was to eliminate this particular problem to improve ID: 708504

issues operation foodstuff logistics operation issues logistics foodstuff time yard driving waiting working intervention fix effective carried problem performance

Share:

Link:

Embed:

Download Presentation from below link

Download Presentation The PPT/PDF document "A global producer of both liquid and sol..." is the property of its rightful owner. Permission is granted to download and print the materials on this web site for personal, non-commercial use only, and to display it on your personal computer provided you do not modify the materials and that you retain all copyright notices contained in the materials. By downloading content from our website, you accept the terms of this agreement.


Presentation Transcript

Slide1

A global producer of both liquid and solid fresh produce and home to some of the UK’s leading brands, Foodstuff Inc. are a multi billion euro turnover company with over 4000 employees and 25% of the foodstuff market share. They make 4000 deliveries made to retailer regional distribution centres (RDCs) and stores each year.There was a noticeable bottleneck in the logistics operation at peak return time every day that resulted in long queues of trailers in the yard. The challenge was to eliminate this particular problem to improve efficiency and effectiveness of the logistics operation and to reduce their variable operating costs.

We carried out detailed diagnostics to understand the issues We carried out thorough “go – look – understand” investigations of the operation

Reduction in overtime costs of £75k4% increase in delivery capacity per shiftElimination of 2 trailers resulting in annual savings of £54k

Tighter control of existing working proceduresImproved measurement system to drive effective performance

Cross Functional working between operations and logisticsReal time problem solving

‘Our teams are working together far better than they were before. It’s made a huge difference.’Supervisor, Foodstuff Inc.

Creating Flow in the yard for Foodstuff Inc. Logistics Operation

We resolved bottleneck issues at root cause

We aligned activity between operations and logistics to create capacityWe challenged and created a case for changing the KPIs and measurements of the operation

Fig.1 Numbers and time taken for trailers waiting before and after interventionSlide2

We started by checking the current measures being used to monitor and drive performance. We found the way in which some measures were calculated hid a multitude of issues and inappropriate measures were being used at different levels of the organisation We focused on availability as our driving measure to ensure the entire network is flowing effectively to maximise the use of the trailer and driver.

We collated a simple daily diary of key data points from a sample of drivers; focusing on times spent driving vs. activities when not driving. It showed that on average only 60% of their time was spent driving or on statutory breaks. 25% was waiting at customer sites and the remaining 15% was spent waiting in the company yard for a number of reasons.

We found after carrying out a “go – look – understand” exercise, much of the yard waiting was on return to site to refuel and drop off tetras. We found only 2 out of the 4 petrol pumps were working and two of the tetra off-load bays were always blocked with a fork-lift and a waste bin, left there when the operator went on his lunch break!We carried out the following pieces of work to resolve the issues;

1) Process improvement work in the tetra unloading bay to ensure that trailer turnaround was fully efficient and effective, and fully resourced at the right times of day

and fix of the petrol pump issue2) The introduction of more effective debriefing whereby the driver had an opportunity to feedback where issues were occurring on his route that stopped him adhering to his schedule

3) Visual management at the key drop points on site that alerted drivers to call a number when certain conditions had been met (ie queues too long) in order that a task team could identify the issues the moment they occurred and fix them

Problems that had been building up and worsening over several months were found to be rooted in a causes that were easy and inexpensive to fix. This discovery led to an appreciation of the power of a 'go, look, understand' approach for both drivers and

planners. The measurement system was reviewed and changed as a result of the challenges we provided. This allowed teams to have much better understanding and control of performance enhancements.

The implementation of a Telematix system followed the project to measure elements of the process critical to improvement that could not be done with current systemsWithin a month of activity we had cured the incoming logistics operation of their bottlenecks and got the operations to a point of stability understood by allDetailing the intervention at Foodstuff. IncThe intervention focused on the Tools and Techniques section of the Lean Business Model, using problem solving and simple visual management tools to make improvements

Mar 2009

April 2009