Remove Inventory Remove Lean Remove Manufacturing Remove Procurement

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

Cerasis

From artificial intelligence to refocusing on procurement, the state of supply chain continued to explode throughout 2016, and you need to understand why. 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.

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

Cerasis

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. Inventory cost is defined as the cost of holding goods in stock. If you are looking for warehouse cost reductions, chances are you are stocking too much inventory. Understand Data Integrity to Reduce Inventory Costs. Lean is a new way of doing business.

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Common Sales and Operations Planning Myths Part 5 – Lean and On-Demand Manufacturing

Logility

Today we are going to look at lean manufacturing. Myth: “No Need for S&OP; We have Lean Manufacturing.” ” Some proponents of lean manufacturing believe that if you are running lean processes where you have eliminated waste, raw and work in process (WIP) inventory will be delivered and used just-in-time (JIT) to meet customer demand. Raw and WIP inventory takes time to procure, build and transport.

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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.

Procurement & Suppliers: Paying Attention to Terms & Conditions to Keep Supplier Relations Postitive

Cerasis

Editor's Note: Today's blog is by our great friend, Chuck Intrieri where he gives us a fantastic example of how Procurement and Suppliers can enhance Supplier Relations by navigating the "Battle of the Forms.". However, in many circumstances, the supplier will send an invoice that contains one set of terms, while the procurement professional will issue a purchase order which contains additional or different terms. Procurement

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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Lean Supply Chain Management

The Lean Supply Chain

Introduction Lean supply chain management is not exclusively for those companies who manufacture products, but by businesses who want to streamline their processes by eliminating waste and non-value added activities. Companies have a number of areas in their supply chain where waste can be identified as time, costs or inventory. Procurement. Businesses are looking to new technologies to assist them in improving procurement processes. Lean Manufacturing.

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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. Brent Taylor, who I met the week before at Procurement Leader’s, took me on a tour of the plant. 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.

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It’s Time to Revisit Vendor Managed Inventory

synchrono

A few decades ago, Vendor Managed Inventory (VMI) was a hot topic. Many manufacturers saw it as a way to reduce inventory levels and costs. If they could get their suppliers to maintain ownership of raw materials or subcontracted components until consumed, inventory levels would naturally drop—on paper anyway. For the supplier, VMI was a win, too, because it allowed them to lock in the manufacturer’s business. Demand-Driven Manufacturing Reduces the Risk of VMI.

Parts Are Not Parts

Supply Chain Shaman

A slight change within a function–in sourcing or manufacturing, or along the chain–can greatly impact the outcomes of cost, customer service, or working capital. Days of Inventory by Industry Across Years. When a manufacturing operation is small, MRP data is easily viewed.

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Supply Chain Optimization Software – A Comprehensive Guide for Manufacturers

ThroughPut

Supply chain optimization is a key component of the manufacturing supply chain process, helping companies control their input costs to be able to provide effective goods or services to their customers. Inventory control. Supplier inventory management. Inventory management.

5 Ways of Creating Resilient Supply Chains in Manufacturing

ThroughPut

They are more reliable, tune in well to volatilities and help build the necessary trust between the manufacturer and the final customer. A resilient supply chain has great visibility and the agility to shift sourcing, manufacturing and distribution activities around fairly rapidly. A recent study by Gartner suggests that only 21% of manufacturers believe that they have a highly resilient network. Most manufacturers have to pay for redundant stock, capacity, and workers.

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5 Ways of Creating Resilient Supply Chains in Manufacturing

ThroughPut

They are more reliable, tune in well to volatilities and help build the necessary trust between the manufacturer and the final customer. A resilient supply chain has great visibility and the agility to shift sourcing, manufacturing and distribution activities around fairly rapidly. A recent study by Gartner suggests that only 21% of manufacturers believe that they have a highly resilient network. Most manufacturers have to pay for redundant stock, capacity, and workers.

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Create a Responsive Supply Chain to Handle Peaks and Lulls!

Supply Chain Game Changer

As noted by Inbound Logistics , “Many manufacturers start assembling products, mapping out product specs to determine capacity needs, and working with their transportation and distribution partners on reliable and cost-effective logistics solutions up to six months in advance.”.

Marketing Supply Chain Solutions Post-COVID: Q&A with ToolsGroup CMO Caroline Proctor

ToolsGroup

Global supply chains are fundamentally rearranging and there’s a lot of reflection on how the urge to optimize efficiency (whether it was offshoring manufacturing to keep labor costs down, or making supply chains very lean to cut inventory costs) made supply chains more fragile.

Supply Chain Optimization Software – A Comprehensive Guide for Manufacturers

ThroughPut

Supply chain optimization is a key component of the manufacturing supply chain process, helping companies control their input costs to be able to provide effective goods or services to their customers. It also evaluates the various possibilities such as the best plants to manufacture the required product lines. It involves the application of processes and tools to ensure the optimal operation of a manufacturing and distribution supply chain. Inventory control.

A Don’t Touch Supply Chain Strategy Must Now Dominate The Future!

Supply Chain Game Changer

A “Don’t Touch” Strategy will Dramatically Lean out your Supply Chain! As we articulated in our article A Don’t Touch Strategy Will Dramatically Lean Out Your Supply Chain! In Manufacturing, Industry 4.0 Subscribe Here! Email Address.

Supply Chain as a Service (SCaaS)!

Supply Chain Game Changer

The 3 Pillars of Digital Procurement! I began my career working in a manufacturing plant within an international company that was completely vertically integrated. From component manufacturing through to subassembly manufacturing and end product assembly they did it all. Within 10 years the company experienced a number of site closures and declared that manufacturing was no longer a core competency. Subscribe Here! Email Address.

Demand-Driven Supply Chain Transformation

synchrono

By applying demand-driven methods and synchronizing processes, manufacturers are reaching new levels of communication, profitability, and customer responsiveness. Demand-Dr iven Manufacturing incorporates the best of Lean manufacturing, Theory of Constraints (TOC), and Lean Six Sigma principles. These manufacturers can instantly adapt to demand fluctuations, by sending real-time signals across their supplier network.

Do You Want Inventory Turnover Breakthrough? Define and Manage The Levers!

Supply Chain Game Changer

Check out World Class Inventory Turnover Breakthrough Elements! Taking a holistic approach in order to achieve Inventory Turnover Breakthrough results meant that I needed to consider the End To End Supply Chain. Thus we would be able to make a rapid dent in our Inventory levels.

The Agile Supply Chain! Why Agility is Trumping Lean!

Supply Chain Game Changer

Check out 10 Signs You Should Reboot Your Lean Program! Once, the lean supply chain was considered to be the most effective form of manufacturing and supply chain management. Unfortunately, many supply chain entities do not understand or fail to grasp the full scope and concept of agility and how and it functions in relation and contrast to a lean supply chain. Let’s take a look at how the agile supply chain is quickly replacing the lean supply chain.

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Why is Supply Chain Such a Great Career Path?

Supply Chain Game Changer

SCM encompasses the integrated planning and execution of processes required to optimize the flow of materials, information and financial capital in the areas that broadly include demand planning, sourcing, production, inventory management and storage, transportation — or logistics — and return for excess or defective products. These jobs could involve working in a Warehouse, Distribution Centre, Manufacturing operation, or in an Office environment, or all of the above.

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What is Inbound Logistics and How Can a 3PL Help?

Kanban Logistics

If you’re a manufacturer, you likely know the answer. See, there’s a big difference between handling inbound logistics yourself and outsourcing it to a trusted North Carolina third-party logistics (3PL) provider that knows the manufacturing industry. This includes the procurement and delivery of the parts used to build the finished product. Following are some of the key services that 3PLs can perform on your behalf so that you can focus on your core manufacturing operations.

What Is Supply Chain ERP?

IQMS

A Supply Chain ERP system orchestrates and optimizes forecasting, pricing, procurement, sourcing, and inbound product quality levels across the many supplier relationships manufacturers have, providing real-time accounting and financial reporting of each transaction. Manufacturers are improving delivery performance, reducing purchasing and materials costs, and minimizing supplier risks by adopting integrated supply chain ERP systems. appeared first on IQMS Manufacturing Blog.

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Supply Chain KPIs You’ll Want Every Morning

Logility

in inventory write-down and 20% drop in stock value. Management must be cognizant of issues of procurement, manufacturing, inventory, and distribution that impact satisfaction and loyalty. Lean organizations focus on eliminating waste in their supply chain at every stage.

Is Your Supply Chain A Cost Centre or a Value Creator?

Supply Chain Game Changer

From planning to negotiating to buying, from moving goods to processing goods, and from managing data to managing inventory. Lean for instance is equally applicable in Supply Chain as it is in Manufacturing or anywhere else. Subscribe Here! Email Address.

10 Vital Supply Chain Lessons from the Coronavirus Pandemic!

Supply Chain Game Changer

China was locking down hundreds of millions of people and closing manufacturing facilities. As China is the largest manufacturing country in the world the economic repercussions were really starting to be felt. And with less manufacturing output there were fewer container ships leaving Asia full of goods meaning activity in ports in North America and Europe would slow down rather quickly. Automotive manufacturers are looking to manufacture ventilators.

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The Humble Label in Supply Chain – Too many of them are in use!

Supply Chain Game Changer

I retired from a multi-national supply chain management company to become a co-owner of a label manufacturing company, which was a real culture change for me. In the past discussions were held with a Director or Vice President of Supply Chain or Procurement or even the Chief Operations Officer about the design or re-design of the Supply Chain. In my new position, I get to meet the buyers or an executive in charge or procuring labels. Subscribe Here! Email Address.

Optimise Inventory Control with an Effective Bill of Materials

Unleashed

In manufacturing, the BoM will help drive the procurement and logistics for product creation. It tells you everything that is required to build each component of a finished product and provides a valuable tool to help improve inventory control. A detailed BoM helps the manufacturing team understand design assembly, processes and procedures. There is also a risk that some manufacturing and assembly costs aren’t correctly apportioned to the product.

The Supply Chain Detective™! In Search of Broken Supply Chain Clues!

Supply Chain Game Changer

Most companies have a Procurement function, Distribution, Logistics, Planning, Inventory Management, Product Data Management, and Operations. In the area of Inventory Management they also did a lot of benchmarking and highlighted deficiencies in our processes. Lean, Agility).

7 Supply Chain Challenges That Exist Today

4WL Consulting

#1 Globalization of Manufacturing Operations With increasing globalization, manufacturing operations usually take place beyond borders. This heightens the need for having a global procurement network which can support and respond to a company’s supply chain needs in a timely manner. However, many chief procurement officers claim that it is becoming more and more difficult to select a strategic supplier who offers consistent global quality and local service. #2

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Surviving Disruptions – an opportunity for supply chains to thrive with people and technology – LogiSYM July 2020

The Logistics & Supply Chain Management Society

Supply chain trends and practices today, are mainly driven by cost optimisation and lean strategy. As an offspring of globalisation, supply chains are focused on optimisation – cost reduction, just-in-time deliveries and tight inventory-to-sales ratios. A pandemic-induced blow finally laid bare the vulnerabilities of the supply chain industry largely premised on lean production principles.

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Capitalising on Supply Chain Digitisation with Robotic Process Automation – 10 Areas of Opportunities – LogiSYM August 2020

The Logistics & Supply Chain Management Society

Procurement. Procurement can also have RPA do dynamic searches of websites to source or conduct market research for future buys and tenders. Inventory Management. Regardless of how efficient and effective, all supply chains carry inventory.