Benchmarking — comparing your performance metrics to industry standards or best practices — is a powerful tool for identifying areas of improvement and driving operational excellence.
Key Performance Indicators (KPIs)
1. Fill Accuracy
Measure accuracy by comparing actual fill weight to target weight. Depending on product cost, give-away is the number one cost driver. Both the filling technology used and maintenance practices determine this KPI.
2. Throughput
One benchmark: tonnage packaged per square foot of packaging area per shift. Automation levels can be gradually increased to raise this number.
3. Labour Used
Tonnage packed per person per shift is a metric that needs to be tracked. In today's world, jobs that are monotonous and repetitive will have to go — especially as India aspires to be the factory to the world.
4. Overall Equipment Effectiveness (OEE)
OEE considers availability, performance, and quality. Apply the theory of constraints to identify the equipment with the lowest OEE and drill down to the root cause.
5. Downtime
MTBF (Mean Time Between Failures) is the metric to develop and track. Higher MTBF means higher line efficiency and delivery dependability.
6. Cost per Unit
Analyse the cost associated with filling each unit of powder, including power, labour, materials, and equipment maintenance. Develop a total cost of ownership format and review it frequently.
7. Wastages
Wastages — packaging material, product, and time — need to be measured, reported, and root causes addressed.
Strategies for Continuous Improvement
- Real-Time Data — Automated data acquisition and real-time dashboards are essential. RAAS IntelliSolutions is working in this space, backed by deep VFFS domain experience.
- Regular Performance Reviews — Conduct regular reviews of KPIs to identify trends and areas for improvement.
- Employee Training — Awareness based on data generated helps people understand what affects efficiency and engage them in improving it.
- Preventive Maintenance — Implement a preventive maintenance programme. Predictive maintenance can be deployed using data analytics.
- Supplier Partnerships — Collaborate with suppliers to identify opportunities. Be open to new vendors offering innovation.
Real-World Examples
A FMCG company was giving away 15 grams in every kg of product. By deploying a different filling system, give-away was reduced to 9 grams — a saving of ₹10 million per annum per machine. Eventually, all filling systems were replaced across sites.
A FMCG corporation shared that they performed two roll changes per shift, resulting in 45 minutes of lost time daily. We designed a system for roll changeover without machine stoppage. This illustrates the power of data collection, continuous improvement culture, and vendor collaboration.
RAAS IntelliSolutions