Fully optimised sales and operations execution (S&OE) and stabilized production

In this successfully completed contract, the task was to conceptually restructure production planning for the client’s main production site. The improvement measures defined in the project for various production areas (e.g., colour pastes, small batches, 2-component production, manual filling, automatic systems) were then implemented step by step.

Restructuring began in the production areas, which already had experience with rolling weekly planning and were characterised by plan-driven scheduling. The focus of the implementation work here was on extending the period for drawing up a feasible detailed plan. Production gaps were deliberately incorporated into the weekly and daily schedules. Depending on requirements, special products can be manufactured during these gaps, e.g., products with small quantities, components that are difficult to plan, special colours or additional quantities for promotions and product changes and, of course, outstanding production orders.

As the project progressed, the significantly more complex filling areas for storage products and products with interchangeable tanks and the volume ranges of the automatic and semi-automatic systems were taken into account. This is where the greatest effect was achieved in the overall production system – but it was also associated with resistance to change.

The top priority for all production areas was that once production orders had been approved, the production plan for the following week should no longer be changed. The prerequisite was the establishment of uniform release times and horizons, as well as the measurement of process effectiveness using a production plan implementation rate (adherence). The aim was to achieve a consistently high implementation rate – depending on the production area.

Consideration of disruptive factors: technical malfunctions, staff shortages or unreliable suppliers (delays in the delivery of components that have already been promised) may necessitate rescheduling. In some cases, inventory discrepancies in empty containers (buckets, cans, lids) also trigger rescheduling. However, internal order processing and scheduling logic can also sometimes cause changes to plans. Notable here were ‘unchecked’ EDI orders from the DIY sector, products with consumption-controlled scheduling (falling below reorder points) and internal action requirement planning. In this regard, the ‘concept of production gaps’ proved to be extremely helpful!

The success of a feasible production plan with a low change rate depends on the interaction of different roles from several functional units, as well as on the willingness of all those involved and the organisation to embrace change.

Contact us for more information. We can help you achieve a higher level of process maturity and increased stability in production:

info@buchbach-consulting.com