Chief Operating Officer
A company in the FMCG business asks QMT to provide an interim manager as Chief Operating Officer.
The company is immersed in a restructuring plan. Results from R&D, HR and Finance are being achieved according to expectations, but this is not the case in operations. Production organization is bad, which means that there are times that the machines stand idle and in other moments, overtime has to be made. Additionally, the sourcing and the procurement departments are not efficient. Although there is a clear strategic plan on the measures to be taken, it is not successful. For this reason, the company decides to hire an interim manager.
A new operations plan is made by the interim manager and the measures are implemented over a year and a half. The plan includes:
- Analyze the profitability of the products and the production line.
- Review and change all processes.
As a result, a new way of organizing the area of operations is established following a LEAN methodology, in which all its departments are involved. In addition, a great effort is devoted to the training of staff.
Results after 18 months
The Chief Operating Officer achieves widespread improvements in all target areas, the most prominent being:
- A fully integrated area of operations is achieved, from demand planning to customer delivery.
- Significant cost reductions are achieved, improving the results.
- Overstocking, lack of stock, and supply problems are reduced.
- Overtime is eliminated, and the workforce is reduced by 11%.