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Moving towards increased throughput, lower operating costs and reduced stock

Background

The main aim was to reduce cost and enhance customer service in the face of rising demand for cut flowers.

The issues concerned improving:

1. Customer service levels

• Hand dry and tie designs to match demand
• Better shelf replenishment management
• Link production to design
• Effective forecasting

2. Productivity

• Stock fridge to meet daily demands
• Stock from fridge rather than shelf
• Increase production output/hour
• Ensure quicker stock turnaround
• Ensure demand and stock position triggers purchase and production
• Ensure material is sold quickly to ensure freshness and efficient procurement

The Project

Using fishbone analysis the principle activities of the business were identified to develop a model that would reduce stock and operating cost as well as increase throughput.

Thus tasks (and policies) for stock preparation, replenishment, rotation, procurement, production, sales and customer service were instituted. In addition appropriate technology, organization and planning were also instituted.

This work then determined the roles and responsibilities required of people in the system.

Staff were involved in the formulation of key activities and the principle roles required to implement a slicker system. This was undertaken to continue the implementation of continuous improvement programme (kaizen) to foster higher levels of motivation within the team.

Measures to for productive processing time and throughput were devised to ensure critical improvements in flow and control of product through the system.

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Client Comment

“Thanks for all your careful research and development work during the year making a valuable contribution to our company’s development.”
John Adams, Chief Divisional Director, Fowler Welch, Portsmouth