Throughput Accounting – what are the levels of production on a machine?

Interesting to look at real examples of speed of production.

This may be an example where we wouldn’t use Throughput Accounting as there is really only one product. However, we could , I suppose, switch between sizes of cans in a bottleneck scenario. Or between brands.

Look how fast the machines are!

Again, this factory is just down the road from me.

“Coca-Cola Enterprises is one of the company’s largest bottlers in Europe, and over the past five years they’ve invested £41million at their Sidcup site in south-east London. It’s their second biggest site in Great Britain, and the funds are going towards manufacturing upgrades and facility developments which will have multiple sustainability benefits.

One upgrade in particular includes pushing the button on a £16.6m high-speed canning line (pictured) for 150ml mini cans and 250ml slim line cans, which will:

• Increase line capacity from 57,600 cans per hour (cpc) to 110,000cph
• Reduce water usage by 20%
• Save 330 tonnes of CO2

The investment also means the installation of a £14.6m high tech, energy efficient canning line for 330ml cans, enabling them to operate at 2,000 cans per minute, and a £4.7m investment on the 500ml PET line, which includes pre-labelling for drinks like Coca-Cola, Fanta and Sprite.”

About Jonathan Rooks

Jonathan is an accountant who specialises in Mangement Accounting, the running of a business. He works with and entrepreneurs to help them increase income and reduce costs.
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