When we think about production, we often imagine that to achieve efficiency in processes, we need significant investments in machinery and technology. While this may make sense depending on the industry and factory size, the capacity of manufacturing is not always constrained by a lack of technology.
Of course, we understand that in the Industry 4.0 age investments in technology are increasingly essential and can lead to significant competitive advantages. However, it’s also crucial to recognize that something, even with all the tech, may be interrupting production processes.
Often overlooked but extremely essential is the analysis of the real versus potential capacity of processes. This is done by identifying and managing production bottlenecks. We explain more about this in this article. Good reading!
Understanding Production Bottlenecks
Before discussing production bottlenecks specifically, let’s imagine a bottle filled with small stones. When we turn the bottle upside down, we notice that the stones start to accumulate in the bottleneck of the bottle. When this happens, only a few stones can escape, while the rest remain stuck to the point that no more can come out.
This idea applies precisely to production bottlenecks. They occur when one production station produces more than the subsequent station can handle, causing a slowdown in the production line.
To better understand this, let’s take an example of a factory that produces jam packaging. The machine can produce a thousand packages per hour. Once the packages are produced, they go to the labeling department. However, the labeling machine can only apply 800 labels per hour. This creates a production bottleneck.
In such a case, either the packaging production must be reduced to match the labeling machine’s capacity, not utilizing its full capacity, or the production should continue at the same pace, and the unlabeled packages should be stored, increasing costs.
The bad news about bottlenecks is that due to a lack of process control, they are often recognized only after causing a blockage in the workflow. The good news is that there are ways to fix the situation. Below are some steps to follow:
1. Identify the problem:
To correct production bottlenecks, it is necessary to understand where it starts (input). Bottlenecks can result from a cumulative effect or be caused by a particular workstation. In the case of cumulative bottlenecks, it means that several stations are producing more than the subsequent station can handle. As a result, each station becomes slightly overloaded until one becomes completely overwhelmed.
In the example of the packaging factory, the production bottleneck is not cumulative, as only one station produces more than the next. In situations like this, it is easier to solve the problem, and it will not be necessary to renew the entire production.
2. Use the 5 Whys technique:
This is a more in-depth problem-solving tool. To use it, you start with the problem you need to solve and work backward, continuously questioning why the problem is occurring. The technique is called “5 Whys,” but you should keep asking questions until you reach the root cause.
For example:
Problem: Production slowdown.
- Why is production slowing down?
Because the operators are not working efficiently.
- Why are they not operating efficiently?
Because the machines experience frequent interruptions.
- Why are there interruptions?
Because they require frequent maintenance.
- Why do they require frequent maintenance?
Because they cannot handle the incoming raw material capacity.
- Why can’t they handle it?
Because they are receiving too much raw material from the previous station.
In this simple scenario, if we assumed that the problem was due to lack of productivity, the company might think that hiring more employees would solve it. However, identifying the bottleneck helps focus on the actual issue.
3. Process Mapping:
The 5 Whys technique is useful when production bottlenecks are more visible. However, it is essential to consider the entire process and its flow. This means identifying all steps, involved parties, objectives, decisions, and flows of an existing process. This is known as Process Mapping.
To identify production bottlenecks, it is crucial to understand the entire flow of activities, especially when cumulative bottlenecks occur. Process mapping is excellent for gathering all information about inefficiencies and production bottlenecks, enabling them to be eliminated or reduced. In such cases, the use of BPMS software (Business Process Management) is recommended, a tool that not only helps model processes more efficiently but also facilitates process mapping and bottleneck identification.
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4. Develop an action plan (PDCA cycle):
Once you have identified the production bottlenecks, it’s time to take action. Here, you can adopt the PDCA approach: Plan, Do, Check, Act. Besides being an excellent problem-solving tool, the PDCA cycle aims at the continuous improvement of processes. We explained how the PDCA cycle works in this article if you need more information. By adopting it, you create an action plan where everyone involved knows what needs to be done, what is being done, as well as the deadlines and costs.
5. Monitor results:
As we always emphasize in our blog when dealing with processes, continuous improvement should be sought. Therefore, never forget that production processes should always be measured. The tip is to use key performance indicators (KPIs). Whenever bottlenecks are identified, take prompt action to improve the process (which is why process mapping is so important).
In conclusion
Bottlenecks slow down the production line, causing losses. There is no factory that does not face this problem, which is why processes must always be monitored.
In this article, we presented some steps you can take to identify and resolve production bottlenecks. It is ideal to have tools that can optimize our activities; thus, we recommend the use of BPMS software. BPMS solutions aim to make business processes and entire workflows more efficient and adaptable to constant organizational changes.
To be sure of the return on investment in this tool, download our ROI calculator. And if you want to better understand business processes and what a BPM solution can do to eliminate bottlenecks and make your company even more productive, contact us!