Business Improvement Process

The strategic “Key” initiatives are the “RODE” to achieving our Mission &

VisionRe-engineer our business processes

achieve “Operational Excellence”

Diversify our business portfolio

Enhance the Brand

On the “rode” to Operational Excellence we must “SEE Everything”

maximize Shareholder value

meet or exceed the Expectations of our customers

become the Employer of choice

Environmental stewardship & community partners

Pillars of Operational Excellence Perdue Business Improvement Process(PBIP)

Daily Process ControlBIP

Process Change Methodology

World Class Deboning

Maintenance Reliability

TrainingOperational Excellence IP

Shareholder value Hourly OrientationExpectation - customersEmployer of choice Salary Recruitment

Hourly Recruitment

Environmental StewardsGood Stewards

Community Partnership

Environmental/Community stewards

Business Improvement Process(BIP)

Visual Display Boards - department & facility

SOPs & checklists

Statistical Process ControlDaily ProcessControl Daily departmental huddles

Daily Supervisory meetingsBIP

Monthy deparmental meetings

Training

DMAIC - Problem Solving methodology

Process Change Lean improvement toolsMethodology

Visual Display Boards

Training

Purpose of BIP

1. To help the plant achieve its Key Initiatives & 3P goals2. To help the company achieve its Strategic Initiatives & 3-P

goals3. Help managers achieve their goals & accountabilities

– By engaging associates to monitor the 3-Ps on a timely basis & making adjustments as needed to meet daily goals & objectives

– By providing a tool set and engaging all associates to identify & resolve opportunities

– By providing a formal problem solving & change methodology to improve processes

– By developing a culture of “root cause analysis” & data-based decision making

BIP Vision

• Move from 50/50 Proactive vs. Reactive to 70/30 (long-term 90/10)

• Continue building a culture of Continuous Improvement– Data driven decision making– Root Cause analysis & preventative measures– Disciplined approach to problem-solving– Standardize “Better Practices”

• Have more FUN!

• Train associates• Visual Shop floor management (process monitors,

SPC, checklists, etc.) for 3-P’s• Daily associate huddles• Daily supervisory meeting• Monthly departmental meetings • Opportunity logs / quick fix action teams (may lead

to PBIP – Process Change Methodology team)• Weekly Management meeting agenda items• Recognition

Daily Process Control

Daily Process Control - Visual Display Board

Business Improvement ProcessPEOPLE PRODUCTS PROFITABILITY

Process Monitor / Op. Log

People metrics and further communication

Product metrics and further communication

Profitability metrics, further communication and Opportunity log

BIP - Daily Process Control12 weeks/department

1. Preliminary Assessment• Identify 3Ps (primary & binder)• Associate training

2. In-depth assessment (3Ps)• Develop & track metrics• Develop control mechanisms• Resource utilization & needs• Identify opportunities

3. Install Daily Process Control• Visual Display Boards• Daily Associate Huddles• Daily Supervisory meetings

4. Develop “playbook” for Daily Process Control5. Conduct audit process (local & regional)

• Targeted at “Key Initiatives” or high level change opportunities

• Identify & train cross-functional team• Utilize DMAIC approach for problem solving• Include necessary improvement tools (eg. Lean)• Encourages innovation & creative thinking• Recognize successes• May lead to BIP- Daily Process Control

Process Change Methodology

Process Change Methodology3 – 6 months / Initiative

1. Preliminary Assessment2. Identify & select change opportunities3. Identify & train change team(s)4. Develop improvement/change measures

of success5. Track through Management review

meetings 6. Develop Visual Display “Story book”

Management Resources

• 30 min communication - Associates • 1 hour training for each implementation department• Visual Display boards • Opportunities resolution - cost of improvements or

changes• Ongoing; daily huddles, daily supervisory meetings,

monthly dept. meetings, retraining (as needed), timely reports & metrics

• 2-day training for Process Change teams• Implementation of “process changes”