Leading Producer of Alcoholic Beverages Selects PRODAC’s MES (Manufacturing Execution System) to Improve Efficiency, Control Production, and Reduce Costs in African Plants
Overview
Headquartered in London, UK, Diageo is the world’s largest producer of alcoholic beverages. International brands include: Smirnoff (world’s largest selling vodka), Johnnie Walker (world’s largest selling whisky), Jose Cuervo (world’s largest selling tequila), Baileys (world’s largest selling liqueur), Captain Morgan, J&B, Tanqeray, and Guinness (world’s largest selling stout). Trading in ± 180 markets, Diageo employs over 20,000 people in offices in 80 countries, and has manufacturing facilities across the globe including the UK, Ireland, US, Canada, Spain, Italy, Latin America, Australia, India, the Caribbean, and Africa. Its primary listing is on the London Stock Exchange, and it is a constituent of the FTSE 100 Index. It has a secondary listing on the NYSE.
Challenge
The management of the two Diageo plants in Africa had an urgent need to access real-time production information and control their operations – in order to improve quality and efficiency and lower costs. They had a significant communications problem due to the management being in the UK and Ireland and the plants being in Africa and run by local staff. The management needed to know what was happening in the African plants without needing to physically check the lines on-site. In addition, the plants were growing rapidly and had more than doubled the number of lines in a short time – from 4 to 9, thereby increasing the need for an integrated, real-time view which would allow better control. To meet these needs, they required a turnkey project which would cover hardware, software, and communications.
Solution
As part of the RFI process, Diageo selected PRODAC as the recommended solution for its global operations. It was determined that PRODAC was the best option for delivering a comprehensive project which would cover all hardware, software and communications aspects for the two African plants. PRODAC’s two decades of experience in the beverage industry and its installations at major manufacturers – as well as the easy customization of its solutions – were also factors in the selection. At Diageo’s request, PRODAC supplied the interface to SAP R/3, and implemented its solution across both plants in new and established lines – except those lines which had been previously purchased by Diageo with PRODAC already included as an OEM product. PRODAC’s exceptionally flexible solution created a seamlessly integrated system which included all Diageo’s lines, covering a wide range of assorted equipment, and handling all aspects of production.
Benefits
PRODAC’s system provides Diageo’s upper management with a broad, integrated, real-time view of the company’s geographically distant African plants, and closes the previously problematic communication gap between UK management and local staff. Diageo’s management can now see real-time data and reports from their locations in the UK and Ireland, and can instantly contact their African plants regarding stoppages, check problem sources, evaluate, and obtain feedback. Decisions can be made, and all aspects of production can be managed remotely. The company now has a significantly higher level of efficiency and a dramatic improvement in ROI.
According to xxx, “With PRODAC’s end-to-end solution, we were able to dramatically increase efficiency and significantly raise ROI – through the integration of all aspects of our old and new production lines in our two African plants. We now have a real-time, accurate view of all plant operations, and can remotely manage and control quite effectively, without the need to be physically present on the shop floors. Communication with our local employees is now smooth and ongoing, allowing us to deal with any problems instantly and successfully.”