Operational Excellence

Four Ways to Uncover Hidden Capacity

By David Pate

July 11, 2017

Food and beverage manufacturers can uncover hidden capacity through set-up reduction and reduce the need for capital equipment and inventory.

Senior operating executives looking to produce a wider variety and higher volume of products may think it’s time to expand the plant or invest in new equipment. But in many cases, they can improve their current output from their existing machinery. The methods described in this article look at how faster setup times and improved equipment performance can translate into increased capacity, more flexibility, reduced lead time and costs, and better quality and speed, reducing the need for capital equipment and inventory.

Food & beverage manufacturers can discover new ways to uncover hidden capacity and enhance flexibility through faster set-up times.

Where we’ve successfully implemented changes?

  • Capitalize on employee creativity
  • Enlist line operators and easy-to-use fixtures
  • Create production plans that minimize product waste
  • Test equipment prior to changeovers

You don’t have to accept average performance when it comes to equipment uptime. These examples demonstrate how manufacturers can manage current demands with existing capacity and respond to new market opportunities when they arise.

 

 

TBM Consulting Group

Frequently Asked Questions

What does “hidden capacity” mean in manufacturing operations?
Hidden capacity refers to unused or inaccessible production capability that already exists within current operations but is masked by inefficiencies. The article explains that issues such as long changeovers, unplanned downtime, excess work‑in‑process, and poor flow often consume capacity without being visible. By addressing these operational barriers, manufacturers can increase output without adding people, equipment, or floor space.
What are the most effective ways to uncover hidden capacity?
The article outlines four primary ways to uncover hidden capacity: reducing downtime, improving changeover performance, increasing throughput by improving flow, and eliminating waste that slows production. Each approach focuses on removing constraints that prevent equipment and people from operating at their true potential. Rather than relying on capital investment, these methods unlock capacity through disciplined execution and process improvement.
Why is uncovering hidden capacity preferable to adding new equipment?
Uncovering hidden capacity is preferable because it delivers faster results at significantly lower cost and risk. The article emphasizes that adding equipment often increases complexity and operating expense while leaving underlying problems unresolved. By improving how existing assets are managed and utilized, manufacturers can meet demand, improve service levels, and protect margins before committing to capital expansion.

Meet the Expert

David Pate

David Pate

Email David
Dave Pate is an experienced business leader with previous roles in plant management, planning and lean operations. He currently serves as Vice President, introducing new clients to TBM, cultivating long-term growth with current clients and on-boarding new clients.

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