meat display with hanging meat
steaks on butcher paper

Background

The client was experiencing operational capacity constraints and quality issues, and was looking to turn around their food production operations. The organization had grown tenfold in only 5 years due to a significant increase in sales. Production requirements were increasing due to the rising sales and initial assessments revealed that production facilities were operating at 20% over capacity. TPG was brought in to serve as an interim director of operations and conduct a comprehensive review on all areas of food production, including forecasting, purchasing, production, and packaging to identify additional capacity and cost savings in their operations.

Approach

  • Developed and completed a portfolio of Lean projects that increased capacity and balanced product lines
  • Performed a full standard work analysis on all production activities to create a standard level agreement for performance management
  • Created an automated KPI dashboard to allow for effective visual management
  • Developed an operational infrastructure that helped the operation facilities support an additional $12MM in production
  • Supported the Microsoft Dynamics GP ERP solution implementation and Ascentis HR ERP
  • Centralized all process documentation into an integrated document and process management system

Results

Initially, production was operating at $42M and 20% over capacity. After the turnaround project, TPG brought production to $55M in January 2015 with forecasts trending to $75M by the end of the year. Additionally, TPG identified and realized over $2M in cost reductions and created 23% additional capacity across all 3 facilities. Finally, TPG hired a full-time director of operations and transitioned all activities to the client, ensuring sustainable results.

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