Process Improvement In Cannabis
Our Client contacted us to deliver Lean Six Sigma Green Belt and Yellow Belt training in order to target variable processes, increase efficiency, accountability and productivity.
Established in 2014 our Client is a major player in the Canadian Cannabis Sector with more than 400 employees spread over two locations in the Greater Toronto Area and over 500,000 sq. ft. in green house production space; they produce high quality medical Cannabis in both oil and dry form for patients in Canada, Europe and Australia. Our Client has an annual revenue of $7.0 million and has been constantly beating expectations since it was publicly listed in the TSX in August 2017.
Decrease in batch release time from 2 days to 30 min, allowing the Client to be ready for future expansion.
Elimination of leaky oil bottles through Root Cause analysis, which helped eliminate their highest customer complaint, saving them over $100,000 per year.
Reduction in Grade B and C cannabis waste, saving $500,000 per year.
Generated an ROI of 10:1
Improved deviation reporting and cross-functional accountability for deviation, allowing them to maintain their Health Canada License.
Improved customer retention by 10% through better tracking of “expired” and “soon to expire” prescriptions.
Due to the rapid growth of the Canadian Cannabis industry, it is imperative that current processes are not only standardized but also able to be scaled up quickly. Our Client contacted us to deliver Lean Six Sigma Green Belt and Yellow Belt training in order to target variable processes, increase efficiency, accountability and productivity. To create the internal capability, our team coached and trained internal resources.
Ten staff members ranging from VPs to area leads were trained in Lean Six Sigma Green Belt and 35 Yellow Belts were trained in smaller area improvements. Each one of the Lean Six Sigma Green Belt participants had an improvement project in their area as part of the certification requirement and throughout each project, a consultant coached each participant in order to imbed an improvement mindset.
A PMO was set up to manage the improvement projects visually, track improvements and ROI. Our team also set up a governance structure and steering committee to support the Client in creating a structure that supports a Continuous Improvement culture. Some of the projects included:
- Reduction in batch release time
- Reduction in deviation reporting process time
- Reduction in Grade B and C waste
- Increased ‘Pick-Pack-Ship’ output
- Customer retention increase