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The Challenge

Case Study: Saltine Cracker Waste Reduction By Bill Soller, Master Black Belt/Principal- Supplier Six Sigma, LLC January, 2012. The Challenge

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The Challenge

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  1. Case Study: Saltine Cracker Waste Reduction By Bill Soller, Master Black Belt/Principal- Supplier Six Sigma, LLC January, 2012 The Challenge A major grocery retailer was experiencing excessive waste in their complex saltine production line. This line shipped over 100,000 lbs of saltines a day and was experiencing over 26% waste. This waste equated to millions of dollars in material, labor and lost sales in addition to unsatisfied customers who were not receiving product. The waste needed to be reduced by a minimum of 30% in 4 months. Saltine Cracker Waste Challenge: Reduce the saline line waste. Outcome: The measurement system and equipment were the most significant factors. Recommendation: Perform additional maintenance on critical equipment and improve the mixing metering systems. • The Outcome • The waste was reduced by 61%, the productivity improved by 27% and the bottom line improved by over $3 Million. The amount of waste stabilized to approximately 10%. • Recommendation • Re-calibrate the mixing area ingredient delivery systems, reduce the mix time on the dough, reduce the variation of the dough temperature, machining areas and the oven. • The Process • The Define, Measure, Analyze, Improve and Control (DMAIC) project model was followed. First, a project charter with mission, business case and timelines was created. Top management approved the charter and a team was formed. • Define Phase: The existing conditions were analyzed, documented and understood. A baseline run chart of the waste, moisture, temperature, PH, cracker height and laytime was constructed over a 3 moth period. • Measure Phase: Data was collected on all the inputs for the mixing room, the machining area, oven and packaging. Process maps were created to understand the process and all of their inputs and outputs. • Analyze Phase:The team conducted several experiments and determined that some of their measurement systems were inaccurate. Pilots were also conducted to test and confirm several hypothesis. Control charts, histograms and pareto’s were all used to analyze the data and determine the true root cause of the waste. • Improve Phase: Maintenance and adjustments were performed on the critical equipment and recipes were changed to match the new input requirements. • Control Phase: Controls were instituted on the critical parameters and equipment to ensure that they are stable and set correctly. Additional preventive maintenance was scheduled for equipment subject to varying over time. New standard operating procedures were also implemented. The ResultsThe project determined the significant factors and causes of the waste. The percent of waste was stabilized at a new level which resulted in significant cost savings and reduced employee stress levels. “Rapid performance improvement and immediate cost savings” www.SupplierSixSigma.com

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