Snapple 2010 Annual Report Download - page 13

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RAPID CONTINUOUS IMPROVEMENT
AN ENABLER OF GROWTH
PEOPLE
TIME
MONEY
SAFETY
QUALITY
DELIVERY
PRODUCTIVITY
GROWTH
Freeing up ...
... to grow
the business
LEAN
SIX SIGMA
CUSTOMER
FOCUS
DPS EXPECTS TO ACHIEVE
$
150 MILLION
IN PRODUCTIVITY SAVINGS
OVER THE NEXT THREE YEARS
RAPID CONTINUOUS
IMPROVEMENT
RCI Reveals Opportunity at Every Level
Recognizing that there is always an opportunity
to improve, we are focusing our RCI efforts on
safety, quality, delivery, productivity and growth.
All of our business activities align to these five
key areas, and improvements within them will
create value not just for ourselves, but for our
customers and other stakeholders.
We have seen very promising results in the
early stages of our RCI rollout. In September
2010, for example, a cross-functional team
visited our St. Louis manufacturing facility to
put our RCI principles to the test. The team
spent four days at the plant evaluating
inventory and delivery practices that were
already benchmarking very well against
industry norms.
Even in this well-run facility, the team was able
to drastically reduce warehousing, inventory and
transportation costs. By matching production to
demand rather than forecasts and implementing
a number of process improvements, the St. Louis
facility reduced inventory associated with fountain
syrup production by nearly two thirds. The plant
is now able to ship its top SKUs directly to
customers, which not only lowers costs but also
improves delivery times.
These wins are adding up, and each new project
has a ripple effect as employees across the
company see the results and apply RCI practices
in their own areas. With the engagement of all of
our employees, we are challenging ourselves to
think differently and look at every aspect of our
business to find opportunities.
As DPS reaps the rewards of reduced waste and
improved efficiency, and our customers begin
to see the benefits, our potential to grow will
continue to increase, enhancing our shareholder
value proposition.
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