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Don’t improvise. Do not change the installed capacity.

Don’t improvise. Do not change the installed capacity.

2016-04_PBC Group_sem improvisos
Avoid the temptation to make changes that affect the installed capacity of your industrial plant.

When analyzing a company, factory or production line, the first items to be examined are those that are defined as installed capacity.

It is a concept adopted in order to measure the potential or the maximum volume of a production line or an industrial installation – reflects the total possible production volume, based on resources available, including equipment, manpower, knowledge, stock, and other factors.

Today, due to the economic crisis in Brazil, it is essential not to interfere with installed capacity (change flows, processing steps, etc.) intended to fit the moment in the consumer market.

This interference inevitably will contribute to the increase in the final cost of the product, and worst to the shrink of the installed capacity that is so difficult to recover when consumer market starts to grow.

It is preferable, within the production process, work full time in the production schedule, i.e. in the month, instead of alternating or interrupted daily production, promote productions reduced in number of days, but continuous. In other words, if the current demand only supports 20 days of production, operate full lines capacity during 20 days and stop the factory for the remained 10 days. This will not interfere with installed capacity, or change the final product cost.

In the redefined period of scheduled production stop, perform maintenance, vacation, trainings, development of new products, more profitable and suitable for the market moment.

Summarizing, a lot of rationality and common sense. Avoid improvisations and radical changes in production lines are the best solutions to cross this difficult time in the market.

Article author: Henrique Ansaldi

Industrial Chemist with specialization in Processes Management and Food Technology, with extensive experience in the supply chain, technology, product development, manufacturing operations, distribution and logistics. Director of the Direção Technical Consultancy and partner of PBC-Food & Beverages Consultants.