1. The Big Five MDP study focused on Managing Losses within Airchefs with the focus on Material Cost.  Through extensive research, benchmarking and interviews with various specialists within the Field of Airline Catering and Airline Operations, a number of GAPS were identified and possible solutions have been suggested to adequately address the GAPS.

Barriers or constraints have also been identified in terms of some of the solutions and feedback regarding the above will be appreciated.

Your responses to the Survey will remain anonymous and under no circumstances will your identity be revealed.

1. Inadequate control measures in place.

2. 1.1 Introduce internal controls (processes and procedures) to ensure policies and SOPs are followed;

3. 1.2. Consequence Management driven by policy and SOPs should the above Internal Controls not be followed;

4. 1.3. SOPs and Operational Policies must be documented and implemented as documented and implemented as documents.

5. 1.4. Introduce a structured (proper) team based performance system for non managerial staff

6. 1.5. Implementation of Job Grading of all positions within the Organization

7. Barriers.
a. Resistance from labour to adopt to change

8. b. Airchefs staff wants to have the same benefits as SAA staff

9. c. No trust between management and staff

10. 2. Absence of system integration between Amadeus, SAP and CM

11. 2.1. Proper training structures to be implemented

12. 2.2. Adequate training on all systems must be conducted.

13. 2.3. Assessment of SAP users to be conducted to ensure proficiency in the understanding and utilization of the system;

14. 2.4. On-the-Job training to be conducted to ensure that all Units are on par.

15. 2.5. Transfer of skills and knowledge must be documented.

16. 2.6. Proper data verification processes must be implemented.

17. Barriers
a. Fear of the unknown because of staff used to doing things the “old” way.

18. b. Staff doesn’t want to come out of their comfort zone

19. c. Incompatible systems between SAA and Airchefs SAP

20. d. People problem as they do not utilize the system as they should

21. 3. Communication breakdown between Stores and Production

22. 3.1. Introduce daily feedback sessions between Stores and Production to facilitate clear, up to date stock status (stock shortages or over ordering quantities)

23. 3.2. Introduce weekly meetings between Stores and Production.

24. 3.3. Introduce a share point system to be utilized for internal communications, notices, bulletins as well as training material

25. Barriers
a.Resistance to teamwork

26. b. The staff doesn’t want to come out of their silo comfort zone

27. 4. Under-utilization of SAPs full potential

28. 4.1. Proper SAP training structures must be developed and implemented.

29. 4.2. Adequate training on SAP must be conducted.

30. 4.3. On-the-Job training must be implemented to ensure consistent

31. 4.4. Invest in an advanced integrated system that is widely used by In-Flight Catering Companies, such as JD Oracle, Sabre or InFlight Manager.

32. Barriers
a. Staff not adhering to their standard operating procedures

33. b. Lack of enforcing standard operating rules by management

34. c. Lack of implementation and follow through

35. 5. Poor cost management and control processes

36. 5.1. Implement a central point from where all final figures are distributed to the relevant departments;

37. 5.2. Airchefs need to keep stock levels down to optimum stock production level;

38. 5.3. Strict adherence to the FIFO (first in first out) supply chain principle.

39. 5.4. Continuous application of a Just-In-Time Inventory Management system to effectively control stock.

40. 5.5. Production must forecast to the known daily demand or flight schedule in order to avoid over or under producing;

41. 5.6. Effective passenger figure forecasting through constant monitoring of both the reservations and check-in systems to ensure that passenger total changes are accommodated;

42. 5.7. Reduction in the volumes of in-process materials.

43. Barriers.
5. a. Slow adaptation of new methods

44. b. Staff is not adhering to their standard operating procedures

45. c. Lack of enforcing standard operating rules by management

46. d. Lack of implementation and follow through

47. e. Lack of responsibility from each person and the impact it has on everything else

48. f. Cost of sales based on stock take figures

49. g. Conversions are a problem

50. 6. Poor stock management

51. 6.1. Implementation of a lean, Just-in-Time stock management process in order to ensure optimum stock levels;

52. 6.2. Strict adherence to the FIFO (first in first out) supply chain principle.

53. 6.3. Continuous application of a Just-In-Time Inventory Management system to effectively control stock.

54. 6.4. Implementation of a bar-coding system in the Production Unit as is currently used by Gate Gourmet;

55. 6.5. Reduction in the volumes of in-process materials;

56. 6.6. Stock order levels must be managed in a lean order methodology in order to ensure that sufficient supplies are ordered just before required;

57. 6.7. Purchase goods in a fully prepared state from Suppliers;

58. 6.8. Implement a central point from where all final figures are distributed to the relevant departments

59. Barriers
a. Slow adaptation of new methods

60. b. Staff involved in fraudulent activities will be resistant to the new methods of stock rotations

61. c. Unscrupulous suppliers

62. d. Figures not received from a centralized point

63. e. Just-in-Time ordering is subject to suppliers delivery times and availability

64. 7.Deviation from Meal Specifications

65. 7.1. Train staff properly in the calculation of material requirements and quantities required per recipe;

66. 7.2. Maintain a detailed ingredients and quantities per menu library;

67. 7.3. Supply staff with the right utensils to adequately execute their daily duties.

68. Barriers
a. The staff doesn’t want to come out of their comfort zone

69. b. Resistance to change

70. 8. Inadequate stock forecasting methods

71. 8.1. Production must forecast to the known daily demand or flight schedule in order to avoid over or under producing;

72. 8.2. Effective passenger figure forecasting through constant monitoring of both the reservations and check-in systems to ensure that passenger total changes are accommodated;

73. 8.3. Proper training on the SAP MM module must be conducted as wastage is calculated within the SAP MM module

74. Barriers
a. Staff is not adhering to their standard operating procedures

75. b. Lack of enforcing standard operating rules by management.

76. c. Lack of implementation and follow through.

77. 9. Ineffective storage facility control processes

78. 9.1. Introduce proper control measures such as camera surveillance at the storage facility;

79. 9.2. Enforce adherence to stock processes among staff, at all times

80. Barriers.
a. Staff is not adhering to their standard operating procedures

81. 10. Just-in-Time Production Process not fully utilized

82. 10.1. Implement a consequence management approach driven by policy.

83. 10.2. Full implementation of the SAP system as this directly impacts the Just-in-Time Process;

84. 10.3. Proper staff training in the Just-in-Time methodology and application thereof.

85. 10.4. Staff doesn’t want to come out of their comfort zone

86. Barriers
a. Staff doesn’t want to come out of their comfort zone

87. b. Resistance to change.

88. 11. Suggestions