A few years ago the public was all atwitter when it was announced that Hostess would be shutting down. This meant that the golden crème filled delights that are Twinkies would no longer be available.
The reasoning behind this shut down was a lack of profitability. This old company was operating on an antiquated system of production which was costing more than it made.
Leading up to this closing, it would take 14 plants and 9,000 employees in order to create 1 million Twinkies a day. This high overhead was costly and inefficient.
However, it simply took automation and innovation in order to turn this around after the initial shuttering of the company. This renovation of the antiquated business came at the hands of billionaire C. Dean Metropoulos and Apollo Global’s Andy Jhawar who set themselves up to gather a $2 billion gain.
In order to achieve this reversal, they turned to automation. Similar to home automation, automation in the Twinkies factory focuses on efficiency and saving money.
The $20 million investment in automation has increased efficiency immensely. Now in order to achieve that 1 million Twinkies a day, it takes only 1 plant that has 500 employees.
Automation has amazing effects in various sectors of our lives. From business to home management, automation is effective and decreases costs!