The manufacturing units of the CPG industry face innumerable challenges including variation in raw material quality, shifting customer preferences, increasing competition, fluctuating commodity prices, extensive regulatory standards, and shorter product lifecycle. Organizations, therefore, require greater operational visibility (with value stream mapping, for instance) and more effective internal and external collaboration (via Lean management systems), to achieve improved decision-making and organizational responsiveness. In order to stay ahead of the curve, CPG manufacturers are constantly striving to fine-tune their production processes with strategies such as Lean manufacturing or Lean production. Updating the traditional manufacturing execution process with Lean production systems and enhancing cross-organization visibility with value stream mapping has become imperative due to expanded product portfolios and growing product complexity.
At HCL, we believe that manufacturers can optimize time in the planning process and earn more by pushing out high-quality products in a short time, by deploying cutting edge technology and modern practices such as Lean manufacturing, value stream mapping and Lean 5s. Flexible packaging machines equipped with barcode scanners, sensors and wireless communication have also evolved to incorporate automation into Lean production systems. From our experience in Lean consulting, we recommend adopting practices that drive competitive advantage, like Lean manufacturing and value stream mapping. CPG firms that embrace Lean manufacturing and other streamlining strategies such as 5s in Lean, and execute them effectively can gain a substantial edge over competitors and will be able to produce new customer value while protecting margins.
HCL’s Lean consulting services include developing tools and frameworks in LEAN which are required to analyze and enhance a company’s throughput and quality while reducing waste and increasing safety, via the implementation of a Lean production system. Lean 5s – Sort, Set in Order, Shine, Standardize, and Sustain – is a major component of our Lean consulting services. Our team of dedicated Lean consultants has helped CPG companies increase profits through waste reduction via Lean production by implementing 5S in Lean, value stream mapping, and other ideas that form the backbone of LEAN. Our work with clients includes imparting a better understanding of LEAN manufacturing principles such as Lean 5s. Our Lean consulting experts also guide them through the Lean production roadmap and integration of 5s for LEAN principles into their manufacturing operations. Further, we identify improvement techniques for the client’s Lean production strategy, such as Lean 5s, to discover how their current business practices can better serve the needs of their customers with a Lean management system.
As a result of 5s, LEAN strategies and Lean management systems have helped CPG companies improve on-time deliveries by 20-25%, inventory turn performance by 30-35%, and productivity by 15-20%. With 5s in Lean they can also reduce scrap by 22-25% and increase space by 30-33%.