Non-returnable bottle loss reduction on a packaging line at South African Breweries, Rosslyn

Abstract

The South African Breweries (SAB) is a leading local company that successfully competes on a global platform. To retain their positive position, SAB identifies and improves areas in which they are falling short of world-class manufacturing status. In order to benchmark their performance, metrics are established. An area that the Rosslyn Brewery identified as an opportunity for improvement is variable costs. A large contributor to variable costs is nonreturnable bottles (NRB), which is the main focus of this project. The purpose of the document is to outline the project aimed at improving the non-returnable bottle loss at the SAB, Rosslyn brewery, so that the performance metrics can be met in this regard. The project is structured according to the DMAIC problem solving approach. The document provides a thorough definition of the project; an overview of the relevant literature gives a context to the problem and describes applicable industrial engineering mechanisms used in solving the problem. Data is analysed to determine the magnitude of the problem and to decide which areas should be focussed on. Discussions on these focus areas reveal factors contributing to bottle loss in each focus area. Each problem is addressed and a variety of solutions are suggested. The suggested solutions are evaluated and a summary of the shortterm and long-term solutions as well as the financial benefit and validation of these solutions is given. Recommendations for the implementation, support and maintenance of the change involved in implementing the solutions is also provided within the document. The successful completion of the project according to this document will ultimately aid SAB to decrease their variable costs and become more profitable. In essence, it will help SAB align itself with the company s vision to strive for operational excellence though continuous improvement.