Assignment by Bhavya Geethika Peddibhotla

Project Name : Reducing Beverage Loss on Line 2 Filler

Team # 8members

Project Charter/Scope
1. Project Scope
1.1 Project Objectives
This objective is also to reduce the variance in the material losses, by stabilizing
the process. Expected result is annual savings of $147,000.
Production Line 2 at XYZ manufacturing Bottling in Niles, IL has been facing
high material losses at the filler and Heuft filter system. These losses are also
reflected in the final daily yield. Further, this loss has a high variance due to
process instability.
1.2 Project Deliverables
Process Improvement project: The goal is to reduce material loss rate to an
avg. <0.2% compared with current avg. of 0.58%.
1.3 Project Requirements
Resource: Filler Operators, Production supervisor/managers, Operational
excellence managers, Maintenance team
Equipment: Filler machine, Reject system, empty bottles & Batched products,
Labels, Bottle caps.
1.4 Items Excluded : Losses at other parts of the production line
1.5 In-scope : The Heuft reject system, Filler System

2. Project Priorities
Time
Constrain
Enhance
Accept

8 weeks

Performance

Cost

<0.2% goal

20000$

From 07/14/2014 to 08/10/2014 the loss at the filler and Heuft system on
production line 2 was varying between 0.9% to 2.4% vs. expected <0.9%
resulting in $34,905 in monetary losses between 14th July and 10th August. A 12
month projection of this loss would amount to $168, 681.

Assignment by Bhavya Geethika Peddibhotla

Project Name : Reducing Beverage Loss on Line 2 Filler

Team # 8members

3. Project Constraints :
1) Inaccuracy of data due to change of shift of production workers.
2) No standardized approach to data collection.

4. Project Assumptions
1) All other parts of the production line are at optimal efficiency
2) Assumed that the data collected by operators is error free.
3) Process can be best improved only by the six sigma DMAIC approach.

5. Key stakeholders : Operators, Production manager, manufacturing

supervisors
6. Major Milestones