Benchmarks & Client Cases
in Food & Beverage Industry
• Poor quality suppliers: low service level, low OTIF and high defect rates
• Frequent stockout of critical raw materials, affecting production
• "Supplier dictates the rules" - limited leverage for negotiation
• Uncontrolled stock of raw materials and subsidiaries
• Different contract conditions for each supplier
• Strategic suppliers not identified
• Purchase of commodities not standardised
• No repercussions for suppliers who fail with service level agreements
• Definition of strategic partnership model approach
• Contract renegotiation based on standard contract model designed for each supplier category
• Definition of alternative suppliers for critical materials
• VAVE Projects: Value Analysis Value Engineering in order to identify opportunities to reduce complexity and/or quantity of materials
• Process Design to reduce the Lead Time of the material approval process
The project had a payback period of 6 months with annual savings in excess of 1.6 million €.
Are you interested in Kaizen Institute's consulting services?
We assist client teams in achieving great results by putting breakthrough paradigms into action.
Are you interested in Kaizen Institute's training courses?
Kaizen Institute's distinctive training programme includes learning the theory and practice and gemba visits.