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How to Sustain a Lean Culture in Manufacturing & Supply Chain

Cerasis

Today I will discuss how a company can sustain a lean culture once they have implemented lean practices in order to achieve continuous improvement. Your company has started the lean journey, but how do you sustain it? Let's first talk about first setting the stage, then give you practical practices and tactics to achieve a sustainable lean culture, and then provide core key performance indicators (KPIs) to track your progress. Lean Culture by Creating "Standard Work".

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Lean Manufacturing

LeanCor

A Systems Approach to Inventory Management. Inventory Management. Lean principles focus on eliminating waste from business processes. Inventory is not isolated to raw materials and finished goods. Companies will carry inventory masquerading as service parts, repair items, administrative suppliers, automobile fleets, and a host of other types of assets that are managed by setting and maintaining certain levels. Inventory Management Processes.

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Lean Manufacturing: Is it Really Worth It? 16 Big Benefits Say, “Yes.”

Cerasis

Customer expectations of reliable quality and rapid delivery forces today’s manufacturers to either shorten cycle times or lose business. Lean systems have provided a formidable operating strategy for leaders determined to achieve and maintain optimal operational systems and customer satisfaction levels. There are multiple good models for lean manufacturing operations. Who Needs Lean Manufacturing? Holding areas are maintained for excess inventory.

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Understanding Lean and the 8 Wastes

The Logistics of Logistics

Understanding lean and the 8 wastes is important for all operations people including logistics and supply chain folks. The concept of lean (and the 8 wastes) originated in the manufacturing sector where it was first recognized that eliminating waste in the system led to much bigger profits. Henry Ford and his team at Ford Motor Company discovered lean along with the assembly line, even though they didn’t necessarily use the term lean.

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Lean Warehousing

LeanCor

Lean Warehousing – From Paradox to Operational Excellence. Before we start talking about Lean Warehousing, can you tell us a little bit about LeanCor Supply Chain Group? As a third-party logistics provider, LeanCor offers a unique combination of third-party logistics services, hands-on consulting, and training and education that helps organizations eliminate waste, drive down costs, and instill a problem-solving culture across their supply chains.

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Lean Transportation: Are you Using Lean Thinking for Transportation Management? If not, Why?

Cerasis

Lean is a new way of doing business. For shippers, culture and behavior have to change to apply Lean Transportation thinking. Lean thinking focuses on the elimination of all waste (where waste is defined as any non-value added process) and bringing value to the customer , beyond the customer’s expectations. The “Them (company leadership) versus Us (shop floor associates)” mentality also needs to change for Lean Transportation to " WE.

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9 Steps to Establish the Lean Supply Chain: A System of Interconnected & Interdependent Partners

Cerasis

Top management knows that lean can add value , but many still haven’t moved past the initial education stage into full-scale lean supply chain implementation. One reason may be that they haven’t made the paradigm shift as to how to implement lean. The Lean Supply Chain is a system of interconnected and interdependent partners that operate in unison to accomplish supply chain objectives. o Space—holding places for unnecessary inventory.

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Warehouse Cost Reductions: 3 Understandings Driven By Inventory Management & Lean Principles

Cerasis

This is the second part of my series on various ways to reduce overall costs as it relates to logistics and warehouse cost reductions. In the first part I put forth 6 areas of focus in order to reduce logistics costs. Today, I will now address how a focus on inventory will allow for warehouse cost reductions as well. A Focus on Inventory Control Begets Warehouse Cost Reductions. First, look at inventory as MONEY/CASH. Try using a Vendor Managed Inventory (VMI).

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Inventory Management in Manufacturing Environment

LeanCor

Firms today are beginning to understand more and more that high levels of inventory aren’t just detrimental to costs but also for hiding other potential issues. Inventory management starts with lean buying and planning tactics as well as streamlined inventory management standard processes for material handling and planning. The beginning stage of inventory management doesn’t begin at the dock door rather it begins with the supplier. By: David Sherman.

Applying Lean 6 Sigma Principles to the Supply Chain

Logility

Fifteen years ago, I worked for a company that embraced Lean 6 Sigma as a core operating fundamental. Just about every member of the management team was a Lean 6 Sigma Black Belt and many had attained a level of Master Black Belt. As Director of Logistics and Planning, part of my responsibilities were to manage our relationships with outsourced manufacturing partners including quality. To many supply chain professionals, minimizing waste equates to removing inventory.

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Introducing Lean In Retail … Start in the Backroom!

Supply Chain Game Changer

Check out 10 Signs You Should Reboot Your Lean Program! I decided that I would introduce Lean process improvement techniques to this company. I came from a Manufacturing, Operations and Supply Chain background so I spent a career surrounded by the application of Lean methodologies.

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Lean Supply Chain: The Culture That Must Be Fully Embraced

LeanCor

By: David Sherman – Lean Logistics Specialist. By maintaining lean practices and instilling lean cultures into their employees and work environment firms are able to realize this success. These lean practices and cultures lead to firms transforming their habits based on customer demand rather than by supplier constraints. What is the lean supply chain? How does the lean supply chain function? So, what stage of lean is your firm currently in?

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Manufacturing ERP Plays a Key Role for Sustainability

QAD

While consumer products manufacturers previously led the way for sustainable manufacturing practices, a growing number of manufacturers in other sectors are treating sustainability as an important operational objective to increase global competitiveness. The Sustainability Movement in Business and Manufacturing. Many manufacturers now publish separate sustainability reports or incorporate the information in their annual report including Nexteer, Tesla, Ball Corp.,

Supply Chain Shifts From Lean Model

AB&R

With the supply chain’s lean model, many retailers were not able to respond to the sudden changes in demand. The study also predicts more demand as a result of shifting manufacturing locations to on-shore or near-shore. Costco’s recent acquisition of logistics company, Innovel, echoes these findings. The post Supply Chain Shifts From Lean Model appeared first on AB&R. The last few months have put the supply chain to the test.

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Just-in-time Manufacturing – A Manufacturer’s Guide to Effective Inventory Management

ThroughPut

What is Just-in-time Manufacturing? Just-in-time (JIT) manufacturing is described as a production model in which products and services are produced to meet specific demand and not necessarily created in surplus, in deficit, or in advance of actual need. The purpose of JIT manufacturing is to avoid the waste associated with overproduction, holding stocks and excess inventory, to help manufacturers control the process variability and help increase productivity while lowering costs.

Just-in-time Manufacturing ? A Manufacturer?s Guide to Effective Inventory Management

ThroughPut

What is Just-in-time Manufacturing? Just-in-time (JIT) manufacturing is described as a production model in which products and services are produced to meet specific demand and not necessarily created in surplus, in deficit, or in advance of actual need. The purpose of JIT manufacturing is to avoid the waste associated with overproduction, holding stocks and excess inventory, to help manufacturers control the process variability and help increase productivity while lowering costs.

Manufacturers Should Focus on This Most Critical Component for Manufacturing Operations Excellence

Cerasis

We conclude this two part series about manufacturing operations excellence by consultant Chuck Intrieri, by outlaying why manufacturers should focus on a critical component that will help sustain manufacturing operations excellence for years to come. What is Driving Sustainable Manufacturing Operations Excellence? What is the most important part of manufacturing? The most important resource in manufacturing is people.

Trends In Manufacturing: 5 Tangible Technologies are Shaping the Future of Manufacturing Now

Cerasis

Continuous improvement is part of the game in manufacturing. Among the new trends in manufacturing improving the industry, additive manufacturing and cloud-based systems will push manufacturing forward in 2017. In fact, rapid design and lightning-fast prototyping, reports Mark Dohnalek of Manufacturing Business Technology magazine , will allow manufacturers to design and produce products in a few days, if not hours. Manufacturing

How Lean Warehousing Can Ease Your Carrier Capacity Pain

LeanCor

Lean Warehousing: By: Clint McCrystal – Team Leader of Operations. Ask anyone in transportation management/logistics/supply chain and they will affirm this statement. One specific type of lean warehousing that one of our customers has available to them comes in the form of a cross-dock. This cross-dock allows our logistical engineering team to help their supply chain control flow, improve delivery timing, reduce transportation and increase stability.

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Lean Defined: What is Waste? (In Logistics)

LeanCor

Lean Defined: What is Waste? (In In Logistics). The first step in lean thinking is to understand what is value and what activities and resources are necessary to create that value (“value-add”). ” Lean practitioners use the Japanese term “ muda ” when referring to waste, although they have typically done so in a manufacturing context. This trade-off describes our challenge to manage total logistics cost. Image via Wikipedia.

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Reshoring Or Not, What is Manufacturing? 4 Questions to Ponder with Real American Manufacturers

Cerasis

Editor's Note: This is a two part series featuring Chuck Intrieri, who along with providing excellent insights over at his industry leading The Lean Supply Chain blog, is also a consultant who works with companies for Cost Reduction, Supply Chain Optimization, Logistics, Manufacturing, and 3PL Selection. We recommend you get in touch with him if you'd like an expert to guide you to the next level in your manufacturing business. . What is Manufacturing?

Inventory Optimization 101 – Smart & Effective Inventory Management

ThroughPut

What is Inventory Optimization? Inventory Optimization is defined as a method of balancing the manufacturers’ capital investment constraints and goals along with the defined service-level goals over a large assortment of stock-keeping units (SKUs) while considering all demand and supply volatility situations. It includes the practice of having the right levels of inventory to meet your target service levels while keeping a minimum amount of capital locked for inventory.

Inventory Optimization 101 – Smart & Effective Inventory Management

ThroughPut

What is Inventory Optimization? Inventory Optimization is defined as a method of balancing the manufacturers’ capital investment constraints and goals along with the defined service-level goals over a large assortment of stock-keeping units (SKUs) while considering all demand and supply volatility situations. It includes the practice of having the right levels of inventory to meet your target service levels while keeping a minimum amount of capital locked for inventory.

The State of Supply Chain Trends Part II: AI, Procurement, & the New Lean

Cerasis

Consequently, all processes, including inventory management, logistics, data analytics and ongoing performance management, as reiterated by the staff of Supply Chain 24/7, improvement, can be optimized, creating a more efficient, direct and intelligent supply chain network. Agile = The New Lean. Another key player in the 2016 state of supply chain report was the move away from rigid, lean processes to agile methodologies.

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4 Key Trends to Watch in Smart Manufacturing and Supply Chain

Cerasis

The advancements in 3D printing and 'Additive Manufacturing,' coupled with supply chain efficiencies, could make distributed manufacturing a reality, ushering in the era of smart manufacturing. The Continual Coverage and Now Reality of Smart Manufacturing with 3D Printing. I remember reading an MIT paper on manufacturing technology trends a couple of years ago. It had a fascinating mention of " Additive Manufacturing " (AM) and how it could be a game changer.

6 Manufacturing Trends to Watch Out for in 2016

Cerasis

As we close the year of 2015, we want to take a look at some manufacturing trends for 2016. We look at 6 core areas that manufacturing companies will take a long look at as they gear up for a successful 2016. E-Commerce for Manufacturing. The Internet’s large-scale global penetration has spawned an increasingly large number of technology and web-savvy consumers, creating a huge opportunity for both industrial manufacturers and their end customers.

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The Current State of E-Commerce Logistics

Cerasis

As recently as 2016, the state of e-commerce logistics triggered a rush to expand warehousing. Challenges in Today’s State of E-Commerce Logistics The challenges of today’s e-commerce strategies were formed when supply chain leaders believed the only solution to e-commerce was expansion.

The Benefits of Evolved Vendor Managed Inventory Model Led by Web-Based VMI

Cerasis

So why do we feature content related to Vendor Managed Inventory? In a VMI model, part of the equation is the inbound & outbound flow of the inventory. Inventory is then put on pallets and shipped as freight. Distributors will inbound to a manufacturer the inventory needed and transportation management, especially inbound freight management, efficiency is paramount to an effective vendor managed inventory model.

Why Lean Fails in Manufacturing, Distribution or Service Industries

The Lean Supply Chain

I interviewed Chuck Intrieri who discussed Why Lean Fails in Manufacturing, Distribution or Service Industries. Lean is not a project. Lean is not a set of tools. Lean is a philosophy. Lean is the elimination of all waste and bringing value to the customer. Lean is a paradigm shift. Training is continuous as the Lean implementation continues. Lean will fail if top management does not get behind it. They should be part of Lean teams.

The Top 5 Manufacturing Blogs of 2016 …So Far

Cerasis

We continue our series on the top 5 blogs in our 4 main categories ( Freight , Manufacturing , Logistics , and Supply Chain ). Our last post covered the Top 5 Logistics blogs of 2016. Today's post will cover the top 5 manufacturing blogs from 2016 so far. Top Manufacturing Blogs from the First Half of 2016 So Far. The manufacturing blogs category most top viewed blog posts from the first half of 2016 included several elements of manufacturing.

Sales, Inventory & Operations Planning – What It Is and How to Operate

USC Consulting Group

Sales, Inventory & Operations Planning (SIOP) is a dynamic process in which the company’s operating plan is updated on a regular monthly or more frequent basis. The plans take into account projections made by the sales and marketing departments, the resources available from manufacturing, engineering, purchasing, and finance, and are directed toward hitting the company’s objectives. Objectives of Sales, Inventory & Operations Planning.

Analytics in Distribution and Manufacturing Taking Center Stage

Cerasis

Part of this drive toward more interest in analytics in distribution and manufacturing comes from the ability of analytics to reduce inefficiencies dramatically and increase productivity in both physical and virtual sales environments. Furthermore, analytics are becoming more widely available through the cloud, and manufacturers and distributors of any size can reap significant benefits from implementing analytics in their operation, explains Eric Smith of Modern Distribution Management.

EMC runs a lean operation: Playing hockey with doughnut holes

Supply Chain View from the Field

I had the opportunity to visit EMC’s manufacturing facility in Apex, NC this afternoon. One of the first interesting things about EMC is that like many other manufacturers in the industry, EMC’s demand is highly cyclical, and has a “hockey stick” effect at the end of the quarter. ” To cope with this hockey stock effect, EMC has a highly lean and flexible manufacturing facility.

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Third Party Logistics

LeanCor

What Makes a Provider Truly Lean? Many organizations have utilized lean to improve manufacturing processes, and have now realized it’s time to extend these programs and start connecting lean principles to partners within the supply chain. The impact of lean on the supply chain is significant, as the goal of lean is to eliminate waste (overproduction and inventory), which will decrease work in process inventories.

Vendor Managed Inventory Model for Supply Chain Cost Reductions

Cerasis

Below I will outline how a vendor managed inventory model, in conjunction with reverse marketing, value analysis, and collaboration will achieve supply chain cost reductions. Vendor Managed Inventory Model for Supply Chain Cost Reductions. A means of optimizing Supply Chain performance in which the manufacturer is responsible for maintaining the distributor’s inventory levels. The distributor maintains the inventory plan.