Strategic Workforce Capacity Planning to Improve Production Efficiency

Strategic Workforce Capacity Planning to Improve Production Efficiency

Problem:

Cargill struggled with equipment failures and inconsistent staffing, which often disrupted their daily production targets.

Solution:

The company used the Day of Operation tool with AnyLogic to enhance workforce capacity planning and adjust labor allocation in real time.

Results:

  • 1.56% improvements in production efficiency across facilities.
  • Shift transitions became smoother with shorter ramp-up times.
  • Managers could adjust staffing in real time to match production needs.
  • Eliminated slowdowns after overtime and improved decision-making.

Introduction: about Cargill

Cargill is a longstanding leader in global markets, with over 160,000 employees across 70 countries. The company operates in a variety of sectors, including food production, agriculture, financial services, and industrial goods.

Known for brands like Nature Fresh, Purina, and Truvia, Cargill's core mission is to nourish the world safely and sustainably. At the heart of their business is a commitment to innovation and responsible practices, which play a crucial role in everything from daily operations to global strategies.

Cargill overview and global presence, showing a Cargill industrial facility with data indicating over 160,000 employees in 70 countries, presence in 125 markets, and 159 years in operation.

Cargill overview and global presence

Problem: unpredictable production due to weak workforce capacity planning

Cargill's manufacturing facilities were struggling with unpredictability. Equipment failures and inconsistent workforce availability often disrupted daily operations. The production rates varied too much throughout the day, especially during shift changes and when overtime workers clocked out. This inconsistency made it difficult to meet daily production goals.

Additionally, the targets were set uniformly across different product lines without considering specific requirements, further complicating the production process.

Faced with these challenges, Cargill needed a straightforward, efficient way to align workforce skills with production demands in real time to improve production efficiency and decision-making.

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Solution: use of simulation to improve production efficiency

Cargill implemented a Day of Operation tool using AnyLogic simulation software to address their operational challenges. The company specifically developed this tool for complex environments like those at Cargill, where each facility can have over 15 departments and more than 40 operators. The tool helped to prioritize essential tasks and adjust workforce capacity planning on the fly by integrating real-time data on operator availability and job criticality.

The solution used AnyLogic’s digital twin technology to simulate daily operations, applying mathematical optimization to align workforce deployment with production needs.

Discover how businesses use digital twins and simulation to tackle real-world challenges across industries. Learn from case studies about enhancing efficiency in manufacturing, supply chains, and more.


The Day of Operation tool operated in two main ways:

Diagram of Method 1: Data flow from databases and spreadsheets through JSON to an external optimizer in Gurobi, integrated with AnyLogic discrete-event simulation via Pypeline.

Method 1 – AnyLogic discrete-event simulation + external optimizer via Pypeline (click to enlarge)

Flowchart illustrating Method 2: Data flow from databases and spreadsheets to a labor optimization model using Gurobi, integrated with AnyLogic discrete-event simulation through a Java API.

Method 2 – AnyLogic discrete-event simulation + external optimizer via Java API (click to enlarge)

This approach allowed facility managers to enter operational details such as the date, shift specifics, and overtime requirements. The tool then pulled the latest data, calculated the optimal workforce capacity planning arrangement almost instantaneously, and delivered a workforce plan that managers could implement right away.

Results: 1.56% increase in production and smoother operations

Cargill introduced the Day of Operation tool to their workflow and quickly noticed a 1.56% increase in production across their facilities.

This boost was largely due to shorter ramp-up times at the beginning of shifts. While it was impossible to completely eliminate these ramp-up periods—since workers still needed to clock in—the tool made them much smoother.

Comparison bar charts showing daily production rate fluctuations at different times of the day, with 'Before' chart displaying variable rates and 'After' chart showing more consistent high rates.

Daily production rate fluctuations before and after optimization

Another significant improvement in production efficiency was the elimination of the usual slowdowns after overtime. By allowing managers to continually adjust workforce capacity planning, production levels remained stable throughout the day, regardless of shift changes.

The tool also made it feasible to prioritize higher-value products. By aligning labor costs with increased profit margins, Cargill maximized returns on labor investment.

From a management perspective, the tool, operating using AnyLogic simulation software, enhanced decision-making by enabling real-time adjustments. This not only increased productivity but also improved safety and reduced worker strain. This was particularly important in minimizing bottlenecks and ensuring that workers were not overloaded or underutilized.

The case study was presented by Amanda Murphy and Prashant Tiwari from Cargill at the AnyLogic Conference 2024.

The slides are available as a PDF.


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