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Diageo

Company Facts

  • Location: in North America and across multiple countries
  • Industry: Manufacturing the world's leading premium drinks
  • Web site: www.diageo.com

"We've seen an increase of 25% in OEE in the past year using the Epicor Informance EMI product suite." 
Ewan Andrew, Senior Vice President of Manufacturing and Distilling Diageo North America

 

Diageo accelerates performance with a sip of mobile technology from Epicor 

A leading premium beverage business, Diageo's wine, spirits and beer products are sold in 180 markets around the world. Diageo's brands include: Smirnoff, Johnnie Walker, Guinness, Baileys, J&B, Captain Morgan, Jose Cuervo, Tanqueray, Crown Royal, Beaulieu Vineyard and Sterling Vineyards wines, and Bushmills Irish whiskey.

The Challenge

Diageo's continuous improvement initiative blends the best of TPM, Lean, Six Sigma and other improvement methodologies. Looking to enhance its manufacturing excellence culture, Diageo searched for a solution to capture and analyze real-time production metrics to drive manufacturing performance at Diageo's U.S. facilities.

The Solution

Epicor manufacturing intelligence software, Informance EMI, lets Diageo monitor its manufacturing performance in real-time, and focus continuous improvement efforts and resources on the most critical opportunities. By focusing operating strategies at the executive level, and converting them into execution tactics at the plant level, Diageo can find opportunities to quickly unlock hidden capacity, increase productivity without additional capital investment, and reduce inventory and labor costs.

Implementation

After a successful pilot in 2009, Diageo rolled out the Informance EMI suite across its North American facilities over the course of 2010. Now, every North American Diageo facility is actively using Informance EMI as part of the manufacturing excellence culture.

Diageo currently uses Informance EMI to monitor and measure its manufacturing performance. Armed with highly granular and rich performance metrics, Diageo then prioritizes operations performance to identify the best improvement opportunities. With the help of Epicor IMPACT productivity services, Diageo develops action plans based on factual data. This approach ensures that Diageo focuses on those improvements that deliver the greatest impact in consideration of investment and resources. Ultimately, this means real-time identification of issues, driving improved efficiencies and reduced cost across the enterprise.

Mobilizing Manufacturing Intelligence

In 2010, Diageo approached Epicor to develop a next-generation mobile manufacturing intelligence application to build on and extend performance gains. Diageo wanted managers and executives to have manufacturing performance insight at their fingertips, regardless of where they were in the world. The resulting easy-touse Informance EMI iPad application analyzes roughly 10,000 data points and presents this data to the user within seconds. The app delivers visibility at an unprecedented level: real-time operations metrics and insight for all Diageo facilities, and the ability to 'slice and dice' metrics by plant, production line, SKU, product family, or any other dimension.

More importantly, the highly interactive and easy-to-absorb visual nature of the app doesn't just crush adoption issues-it engages even C-level executives in a way that companies rarely experience.

"This is the future of how we're going to manage manufacturing performance here in North America," says Ewan Andrew, Senior Vice President of Manufacturing & Distilling at Diageo North America.

"This Informance EMI iPad App gives our entire management team an easy and mobile way to see exactly what's going on in our production facilities. We can be anywhere and see everything in real time, by machine, by line, by time and by day. It brings the entire supply chain to the shop floor."

"We're the first business division globally within Diageo, and possibly anywhere in the world, to have this capability. It's something that I see expanding over time."

Andrew adds that he encourages his plant managers to make the most of this exceptional tool. "We want to use this app within and across sites to allocate and prioritize resources, lead meeting discussions, and allow us to act very quickly to changing manufacturing conditions."

"This new mobile technology from Epicor, together with the entire manufacturing intelligence suite is a critical piece to achieving optimum performance at our sites and driving growth for Diageo in North America."

Results

Enterprise-wide visibility of production metrics has allowed Diageo to quickly and easily identify trends in its North American initiatives. With Epicor Informance EMI, managers and executives analyze performance metrics by plant, product and period to understand trends over time. More importantly, they can easily pinpoint specific strategies and tactics that have produced exceptional results in one or more plants.

"This new mobile technology from Epicor, together with the entire manufacturing intelligence suite is a critical piece to achieving optimum performance at our sites and driving growth for Diageo in North America."
Ewan Andrew, Senior Vice President of Manufacturing and Distilling

The value is then extended when plant managers quickly leverage the best practices of their counterparts in other areas. This approach eliminates any 'trial and error' period, when they can quickly adapt practices within their own facility.

From an enterprise standpoint, this same approach is used to quickly propagate strategies into plant-floor tactics. When executives view the enterprise roll up of waterfall losses, or profile product families to learn which plants run which products most efficiently, they quickly identify extra capacity in their network.

Using business analytics from the shop floor up to the top floor has been an evolutionary cultural change for Diageo. "We've seen an increase of twenty-five percent in OEE in the past year using the Epicor Informance EMI product suite," notes Andrew. "This improvement can be attributed to the operations management team and senior executives-all the way up to the C-suite-using the meaningful data now in their hands. This data gives them visual insight to tackle tough problems and propagate best practices."

Planning Ahead

With the firm integration of Epicor Informance EMI as a part of the corporate and operations culture, Diageo is already looking to the future. "Our operational performance gains inspire us to move our technology posture forward to where we want to be," says Andrew. "Our focus now is taking this application and really evolving with it to allow us to continue the build, sustain and multiply cycle into the future."

Conclusion

The real-time manufacturing insight that Diageo has acquired has enabled its team members-from line employees, through plant management, and all the way to corporate executives-to prioritize and take action according to the impact activities will have on manufacturing performance and overall business objectives. "It's not just about knowing what's going on," says Andrew.

"It's about our ability to plan and respond before problems arise, and to take our organization to the next level of performance."

About Epicor

Epicor Software Corporation is a global leader delivering business software solutions to the manufacturing, distribution, retail, and service industries. With more than 40 years of experience, Epicor has more than 20,000 customers in over 150 countries. Epicor solutions enable companies to drive increased efficiency and improve profitability. With a history of innovation, industry expertise, and passion for excellence, Epicor inspires customers to build lasting competitive advantage. Epicor provides the single point of accountability that local, regional, and global businesses demand. For more information, visit www.epicor.com.



Success Highlights:

Challenges

  • Exposing opportunities for manufacturing performance improvement
  • Focusing on the improvements and initiatives with the highest rate of return
  • Aligning plants and management to drive improvement through fact-based Root Cause Problem Solving
  • Making continuous improvement simple

Solution

  • Informance EMI, Epicor enterprise manufacturing intelligence suite, including mobile Informance Apple® iPad® application

Benefits

  • Real-time manufacturing business analytics across the entire NA supply organization  
  • Plant and product line metrics at a granular level that drive OEE and product quality improvements and waste reduction initiatives
  • 25% increase in OEE in the past year using Epicor Informance EMI product suite

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