Beyond the existing systems, processes, and cultural issues at the newly-acquired site, the changes from the acquisition itself, and our client’s intense growth compounded the capacity utilization challenges.
Recently, a disruptor and innovator in plant-based meat products for the retail and foodservice sectors partnered with POWERS to turn around flagging capacity utilization at a newly acquired site.
They aimed to transition the leadership team, labor force, systems, and processes to their own methods and drastically improve the site’s production, which stood at a lackluster 46% capacity utilization.
Our client’s acquisition of the “mom & pop shop” came with the entire labor and management workforce. Unfortunately, the existing leadership and workforce culture was out of step with new ownership and lagged significantly behind industry standards for operational excellence.
From a Culture Performance Management perspective, we found engagement on the shop floor to be minimal, expectations poorly communicated, inadequate training, and leadership struggling to come together as a team to solve issues. The site leadership struggled to develop a “one team” approach to problem-solving.
Operationally, the site suffered from:
- No MOS (Management Operating System)
- No formalized processes for production, maintenance, logistics, and commercialization.
- Lack of objective data fueling unproductive decision-making.
- High labor turnover
- Lack of leadership, operator, and mechanical skills training
- Massive product waste
- Poorly managed materials and ingredients for on-demand production
- An “emergency” maintenance culture through poor supervision, scheduling, and prioritizing
Beyond the existing systems, processes, and cultural issues, the changes from the acquisition itself and our client’s intense growth compounded the challenges.