The Sweet Smell of Success

Company Profile

Driven by passion, creative freedom, and an entrepreneurial spirit, Coty has built a unique portfolio of beauty brands that include some of the strongest consumer franchises in history. The company’s products span fragrances, color cosmetics, and skin and body care.

• Annual revenue over $8 billion
• Headquartered in New York City with offices in more than 35 countries 
• Employs 19,000 worldwide

Global Manufacturing Presence

• Research and Development Centers of Excellence
• 8 manufacturing facilities
• Locations in Europe, the United States, and China

Brand Portfolio Includes:

• Adidas
• Calvin Klein
• OPI
• philosophy
• Chloe
• RIMMEL
• Davidoff
• MARC JACOS
• Sally Hansen

Product Portfolio Distribution Channels

• Upscale department stores, specialty retailers, upscale perfumeries, and pharmacies
• Mass-market retailers, duty-free shops in airports and cities
• QVC and various e-commerce channels

Results

• Attained unprecedented database accuracy for quality professionals
• Through its SPC-driven Fill Height Project, eliminated overfill to save $270,000
• Realized more than $220,000 in ROI

Minimize Waste

Tighten Up Net Content & Reduce Lost Revenue

As part of continuous improvement efforts, Coty determined that its filling process was generating a higher level of waste than expected. This was due in part to some lines overfilling containers to ensure aesthetic fills were met, which led to higher expenses on supplies. Considering the price of some of the fill liquids, this realization provided a significant opportunity to reduce overfill and save money.

However, the company did not have enough historical data on the lines that were overfilling to understand the entire problem. This meant that process engineers and quality professionals did not have sufficient information to develop a viable solution. The manufacturing team at Coty’s Sanford, North Carolina, manufacturing facility turned to Statistical Process Control (SPC) analysis to better understand scrap at the point of manufacture on its filling lines. As part of its SPC Fill Height Project, Coty wanted to determine ways to reduce liquid scrap and better understand its process capability.

Coty’s Fill Height Project is a type of manufacturing process study, applied in a controlled manner to a specific process or line.

Improve Efficiency—Efficiently

Coty approached InfinityQS, the global authority on manufacturing quality management, about implementing its proven Quality Intelligence software—powered by a centralized SPC analysis engine—at its Sanford facility.

Coty used InfinityQS Professional Services to help ensure the most effective deployment of the solution. Leveraging the skills and experience of InfinityQS’ certified quality engineers, industrial statisticians, and Six Sigma Black Belts, Coty implemented its SPC Fill Height Project incrementally across 12 fragrance lines. The company set target amounts for every SKU (2,600 parts), control limits for each product and line combination (filling variation), and specification limits (min and max fill height levels).

The implementation process also included training for more than 100 users, from line operators and quality inspectors to managers and directors. This highly focused, customized training helps promote a positive adoption of the new solution by users, ensuring they enjoy the benefits of the new tools at their disposal. Training also helps ensure the company gets the greatest value from its software investment.

Quickly Spot & Fix Processing Problems

Coty found that it could now easily analyze all necessary Key Performance Indicators (KPIs) on control charts for easy interpretation and analysis. With the information it gathered, the company eliminated the need for: overproduction of liquid to compensate for overfilling; differentiated special-cause variation from natural variation with real-time information about the process; and eliminated time-consuming, after-the-fact quality checks that did not add value.

Takeaway: Real-time SPC software enables companies to shift from issue response to prevention.

Reduce Variation for Increased Savings & Improved Accuracy

In just two years, Coty saw significant financial and resource savings with the implementation of InfinityQS solutions. With an initial investment of $47,000, the carefully planned and executed SPC projects have reduced variation, increased accuracy of set points, validated process capability, and reduced overfilling.

The SPC Fill Height Project specifically saved Coty more than $270,000 by eliminating overfilling through more accurate control of fill heights. The project challenged the packaging design engineers to review bottle designs, enabling them to ensure ideal liquid fill amounts without compromising the overhead space.

Because InfinityQS solutions fuel continuous improvement, this project is just the beginning for Coty. The company plans to continue to use the system’s real-time capabilities to achieve Quality Intelligence for projects with similar bottle types and other product lines.

Are you looking for insights and opportunities for greater savings in your processes? Contact the experts at InfinityQS to discuss your operational goals.