Elec2017 3.1 p. zubin - a lean success story in an international, non-manufacturing environme

1

Continuous Improvement at BUNGE

Services

2

Introduction

Leading global agribusiness and food company

Multinational company, present on all continents

Headquarters: White Plains, New York

Founded as a trading company in 1818, Amsterdam.

Number of employees: approx. 32,000

Net sales, 2016: $ 42,679 M

Gross Profit, 2016: $ 2,410 M

Net income, 2016: $ 745 M

Major competitors:

• Archer-Daniels-Midland (ADM)

• Cargill

• Louis Dreyfus

3

Excelerate Project

Standardization

Global Process Organization

Idea of Continuous Improvement

2015

CI Origin

CI

CONTINUOUS

IMPROVEMENT

2011

2012

2013

2014

4

• Continuous

Improvement (CI)

strategy definition

• Organizational proposal

• Team expansion

• External materials usage

• Management

engagement

CI development stepsD

eve

lop

me

nt

ste

ps

Create Run Refine Expand

Ch

all

en

ges

• Silo thinking

• Organizational structure

• Too high level materials

H2, 2015

5

Management engagement

Top Management involvement

Global Executives

SSC Leads

Global Process Owners

Mid- Management involvement

Awareness training

Regular status updates

Project certification

6

• No project requirements

• Participants nominated

• Language issues

• Continuous

Improvement (CI)

strategy definition


• Team expansion


• Management

engagement

• Develop Lean Sigma

Yellow Belt program

• Launch communication

& collaboration tool

• Start courses/trainings

• Silo thinking




eve

lop

me

nt

ste

ps

H2, 2015

Ch

all

en

ges

Create Run

H1, 2016

7

Theory

Theory-Simulation-Project Model

Simulation

Test

Project Certification

Project

closure

8



• Language issues

• Continuous

Improvement (CI)

strategy definition


• Team expansion


• Management

engagement


Yellow Belt program




• Silo thinking




eve

lop

me

nt

ste

ps

H2, 2015

Ch

all

en

ges

Create Run

H1, 2016

9

CI Community

10

• Root Cause Analysis

trainings

• Video campaign

• Local coordination

• Continuous

Improvement (CI)

strategy definition


• Team expansion


• Management

engagement


Yellow Belt program




• Team expansion

• Successful project

closures

• Tailormade courses

based on requests

• Raise awareness



• Language issues

• Silo thinking




eve

lop

me

nt

ste

ps

H2, 2015 H1, 2016

Ch

all

en

ges

Create Run Refine

H2, 2016

11

Examples

Continuous Improvement Yellow Belt projects

Short projects concentrating on:

Finance, PTP, TAX, OTC,

RTR, Master Data,

Procurement, IT, HR…

Process control, communication,

accuracy, process efficiency, defect rate,

reconciliations, lead time, processing

time, non-standard processes

Areas

Main issues

Solutions

New control activities, efficient reconciliations,

enhanced communication, systems upgrade,

automations, manual inputs reduction

• Increase

efficiency

• Bottom up solutions

• Control & compliance

• Improve engagement

12

• Continuous

Improvement (CI)

strategy definition


• Team expansion


• Management

engagement


Yellow Belt program




• Team expansion

• Successful project

closures

• Tailormade courses

based on requests

• Raise awareness

• Growing training

demand

• Project requirements

• Evidence of mindset

change

• # project

• Training plan

• Green Belt program



• Language issues

• Silo thinking




eve

lop

me

nt

ste

ps

H2, 2015 H1, 2016

Ch

all

en

ges • Root Cause Analysis

trainings

• Video campaign

• Local coordination

H2, 2016 H1, 2017

Create Run Refine Expand

13

Continuous Improvement

Accomplishments

PROJECTS

80

Number of projects

vs

24%

50%

26%

Benefits by categories

Cost avoidance

Financial savings

Process performance

Return on

investment

BenefitsCI Presence

Members

100 200 300 400

Community

Members

100 200 300 400

Community

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Summary

Develop training materials

Create a Strategy

(Framework, Education, Culture)

Hold courses, train people

Diversify and simplify the offer

Coach people, report progress and

ensure project completion

15

Improvement

1818 2015

BUNGE is dedicated to improving the agribusiness and food production chain

since 1818.

Global Continuous Improvement Team is supporting this initiative by improving

Bunge’s business processes

APPENDIX

17

Examples



• Increase

efficiency

• Bottom up solutions

• Control & compliance

• Improve engagement

PURCHASE-TO-PAY

Inefficient monitoring process of

corporate cards expenses of the

employees during their notice period

Area

Main issue

Implemented solution

Implement control activity and link HR processes to

avoid potential costs

1

18

Examples



HUMAN RESOURCES

Large number of reopened issue tickets

in HR Services Center

Area

Main issue


Identifying and eliminating the misunderstandings in

upstream process causing the majority of re-open

tickets

2

19

Examples



TAX

Losing the advantage of participating in

local and state tenders due to delays in

submitting tax documentation

Area

Main issue


Created a focal point and centralized the process

into one location, standardized the procedures

3

20

Examples



PURCHASE-TO-PAY

Inactive employees names are not

removed from approval matrix, which

potentially can be a cause of fraudulent

activity

Area

Main issue


Implemented control activities to ensure compliance,

automated the approval matrix cross check to

decrease process lead time

4

21

Examples



MASTER DATA

Lead time related to Master Data

changes is very long. The process is

inefficient and non-standardized.

Area

Main issue


Implemented a new master data change request

process containing mistake-proof check sheet.

5

Business

Elec2017 3.1 p. zubin - a lean success story in an international, non-manufacturing environme