Conaprole, the biggest dairy production company in Uruguay, produces more than 150 SKUs in their ice cream plant, using five production lines, and up to five different packaging configurations for each line.
The company plans ice cream production on a 12-month rolling basis as part of the Sales & Operations Planning process, and the demand plan varies a lot due to seasonality. The factory management needs to prepare the production lines for the peak season during the low season, taking into account product shelf life and the warehouse’s freezing cameras’ capacity and costs. The factory was often unable to meet the high season demand that generated stock-outs. In addition, management found it very difficult to reschedule quickly their detailed plans due to the challenges they faced including bottlenecks, production process constraints, and staff turnover.