Streamlining Operations and Enhancing Efficiency with Dan Seidel, COO, HelloFresh North America [Speaker Spotlight]

Dan Seidel is taking food manufacturing at HelloFresh to a new level through innovation, optimization, and efficiency. In this Speaker Spotlight, the COO at HelloFresh, North America previews his upcoming session at the American Food Manufacturing Summit, titled “Applying Lean Manufacturing Principles to Enhance Efficiency and Streamline Operations”. Following HelloFresh’s recent acquisition of Factor, take a look at how the organization is utilizing new processes to revolutionize production in the food industry.

What key takeaways do you want attendees to leave with from your session on applying Lean manufacturing principles at Factor? 

I hope that attendees understand that core lean manufacturing principles can be applied to food manufacturing as well. At Factor, there used to be a mentality that small batch, discrete processing was the only way to produce a high-quality product. Since starting our lean manufacturing journey, the food quality scores from our customers have increased. 

How is Factor utilizing Lean Six Sigma to transform production processes and enhance overall efficiency?

We’re still in the early stages of converting to a Lean Six Sigma methodology. With 25 years of experience as a master black belt in several large organizations, I’ve learned that you cannot use Six Sigma tools to refine process outcomes until your process is stable, repeatable, and replicable. Those attributes are ripe for lean manufacturing tools, so at Factor, we’re focused there. Our team will begin the refinement work utilizing Six Sigma next year.

Can you share some specific examples of how data-driven applications are used to optimize machine throughput on a daily basis?

We use OEE (Overall Equipment Effectiveness) hourly to ensure the team is following standard work processes. Not only does this give us granular visibility into equipment utilization, but allows us to identify the answers to questions like – Is the equipment running at the specified cycle time? And, are the operators loading the equipment to the standard work identified? This data then becomes our source of truth for problem-solving.

In what ways does Factor integrate Lean principles across different areas of its operations, from supply chain to production?

We have Value stream mapping, waste identification/elimination, 5's, "lean style WBR", and Gemba walks implemented in every facility. We’ve directed the full lean culture experience on our ready-to-eat meal brand, Factor. The team will roll the lean methodologies out to our meal kit businesses (such as HelloFresh and Green Chef) in 2025.

How do you ensure that Lean practices are consistently applied and adopted across multiple facilities in North America?

I hold weekly business reviews to quantify key metrics, A3 problem solving roadmap reviews to ensure teams are attacking the correct problems and removing any potential barriers, and value stream mapping reviews to address new capital asks for any ROI project.

What role do employee training and engagement play in the successful implementation of Lean principles at Factor?

Training leaders is critical. We need our line leaders to understand how to identify waste in the three flows and how to continuously improve their value streams. We have just begun this journey, but we have an established playbook that takes a “go and see” approach to training, and we have in-house support from our own Black Belts to ensure future success. 

We greatly value Dan Seidel’s insights and perspectives in this Speaker Spotlight, with regards to how Factor is implementing Lean principles, and how these practices have impacted their business operations. Make sure to catch his full keynote presentation at the upcoming American Food Manufacturing Summit, taking place November 4-5, 2024 at the Westin North Shore, Chicago, IL.