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Case Study:

Kraft Operational Improvements

Kraft Foods Logo

Industry

Manufacturing - Food and Beverage
Objectives:
  • Decrease production costs and increase overall profitability
  • Streamline production, reduce inventory, and increase labor utilization
Objectives:
  • Decrease production costs and increase overall profitability
  • Streamline production, reduce inventory, and increase labor utilization
The Solution:
  • Reduced downtime caused by cleanouts and production changeovers on the cook and fill lines for salad dressings.
  • Created a strategic model that correlated production amounts with finished goods inventory
  • Incorporated the data into the current scheduling system
  • Redesigned the external warehousing layouts to increase practical storage space
  • Conducted a workforce analysis which showed that each production area could maintain production levels with fewer, flexible crews, reducing the company’s dependence on temporary workers
  • Helped lay the groundwork for future improvements
The Solution:
  • Reduced downtime caused by cleanouts and production changeovers on the cook and fill lines for salad dressings.
  • Created a strategic model that correlated production amounts with finished goods inventory
  • Incorporated the data into the current scheduling system
  • Redesigned the external warehousing layouts to increase practical storage space
  • Conducted a workforce analysis which showed that each production area could maintain production levels with fewer, flexible crews, reducing the company’s dependence on temporary workers
  • Helped lay the groundwork for future improvements
Realized Benefits:
  • Reduced changeover downtime by 50%
  • Achieved over $2 million in annual cost savings
  • Increased finished goods storage space by 20% and improved inventory tracking system
  • Achieved 99% on-time shipping
  • Retained 806 employees
Realized Benefits:
  • Reduced changeover downtime by 50%
  • Achieved over $2 million in annual cost savings
  • Increased finished goods storage space by 20% and improved inventory tracking system
  • Achieved 99% on-time shipping
  • Retained 806 employees

“The team brought additional resources that are invaluable to us as we strive to compete with lower-cost plants. As a result, we have retained our facility’s 806 jobs.”

Plant Manager, Kraft Foods, Inc