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Applying theory of constraint to create overall benefits for individual Distell wineries

Thesis (MBA (Business Management))--Stellenbosch University, 2008. / ENGLISH ABSTRACT: Distell Group limited is South Africa's leading producer and marketer of fine wines,
spirits and ready-to-drinks. The wine division has been confronted with limitations on
pressing capacity for a number of years. Sales of Distell wine brands are projected to
grow substantially, in particular in the premium and super premium categories.
Therefore a need for increase sUstainable supply of wine was created.
The objective of this study was to increase the throughput in Distell wineries
significantly, without or with minimal cash investment, by applying the principles of a
combined supply chain strategy. To achieve this, the study needed to allow for the
analysis of various scenarios, and indicate where the various constraints were within
the process.
Theory of constraint, which is a management philosophy aiming to continually
achieve more of the system's goal was applied to the Distell situation. The focus
points were to create value for the organisation, with collaboration between grape
farmers and the wineries.
It was necessary to follow a process of data capturing, and the data obtained from
the various sources in 2008 was combined into one database to develop a capacity
evaluation model.
There is no doubt that the Distell wineries as a group, improved their efficiency over
the last number of years, with effective management of the individual wineries. There
is however enough evidence to support the change to a combined supply chain
strategy, which could unlock more total benefits than the individual management. It is
clear from the findings in this study that not all the current available capacity is fully
utilised.
This study found that the white process in Distell was working at a higher than
required rate of the set capacity targets, and would need substantial capital
investment to increase throughput. The red process indicated opportunities for
increase throughput in the total system. It is possible to increase total throughput and
maintain quality for Distell wineries. / AFRIKAANSE OPSOMMING: Distell is een van Suid Afrika se grootste produseerders en bemarkers van hoe
gehalte wyn, spiritus produkte en alkoholiese drankies. Die wynkelder omgewing
ervaar al vir 'n geruime tyd kapasiteit tekorte. Die vraag na Distell wynhandelsmerke
verwag om 'n konstante groei te toon oor die volgende paar jare, veral op die
premium en super premium katogoriee. Oit veroorsaak 'n groeiende behoefte vir die
volhoubare voorsiening van wyn, binne die maatskapy.
Die doel van die studie was om produksie te verhoog binne die Distell kelders, met
min of geen kapitale beleging, deur 'n holistiese strategie te volg ten opsigte van die
bestuur van die waardeketting. Die studie het verskeie alternatiewe ondersoek met
die doe I om die beperkings in die proses te identifiseer en te ontleed.
Die bestuurs filosofie 'Theory of constraint' is toegepas, waar daar gestreef word om
meer te bereik, van die mikpunt wat ge5tel is vir 'n spesifieke proses. Die hoofdoel
van die maatskapy was om waarde te skep, deur samewerking tussen druiwe
produsente en die verskiliende Distell kelders.
Die nodige data vir die ontleding van die beskikbare kapasiteit is verkry gedurende
die 2008 seisoen. Die inligting is saamgevoeg in een data-stel, en 'n
kapasiteitsmodel is ontwikkel.
Daar is geen twyfel dat Disteli kelders as 'n groep hul doeltreffenheid verbeter het,
deur die individueele prosesse te bestuur. Die studie lewer egter genoeg bewyse dat
daar 'n groter potensieeHe voordeel is, indien die proses op 'n holistiese
waardekettingstrategie bestuur sal word. Die studie lewer bewyse dat die huidige
beskikbare kapasiteit nog nie optimaal benut word nie.
Die verwerking van druiwe in die witwyn proses vind plaas teen 'n hoer
kapasiteitsbenutting as wat waarvoor beplan was. Om enige verdere witdruiwe
volumes te hanteer, sal tot groot kapitale besteding lei. Die rooiwyn proses wys daar
is ruimte vir verbetering, sonder groot kapitale spandering. Die studie het gevind dat
die totale proses meer volumes rooidruiwe kan hanteer, en steeds voldoen aan die
nodige kwaliteit vereistes.

Identiferoai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:sun/oai:scholar.sun.ac.za:10019.1/6386
Date12 1900
CreatorsHeyns, Andries Dirk Michiel
ContributorsButler, Martin, Stellenbosch University. Faculty of Economic and Management Sciences. Graduate School of Business.
PublisherStellenbosch : Stellenbosch University
Source SetsSouth African National ETD Portal
Languageen_ZA
Detected LanguageUnknown
TypeThesis
RightsStellenbosch University

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