A successful manufacturing company within the food industry enlisted our help to implement improved financial tracking and process control to deliver a £1 million bottom line benefit.
In common with many companies facing increasing complexity and tighter margins, and all the ‘easy wins’ long since taken, it was time to tackle the real issues: micro-management, inaccurate standards, poor process control discipline, misleading performance reporting, personnel changes and skills deficits, and a lack of real understanding of what to do next.
Through introducing a revised labour schedule, restructuring the day, and introducing operational reports providing useful and timely KPI’s, the company now has factual information and real statistics to act upon for the first time. Staff coached by our on site team felt empowered and found that they now had the time to make improvements which included:
- A reduction in direct labour costs by 5 pence per kilo, equating to £9,000 savings per week
- Incorporating an Applied Acumen labour planning module provided savings of £66k in just one area alone
- Process control enhancements generating annualised improvement in meat yield by over £229k
- Customer complaints down by 8%
£1.4m of measured, bottom line savings delivered and sustained, with a more focussed, driven and enthusiastic workforce.