Transcript

Approaching Lean Manufacturing with Warehouse Execution Systems

Software, Hardware and Business Concepts

Presented by:Michael Armanious

Retrospective

• Has your company implemented lean technology based concepts?

• Are you getting all you expected from it?• Do you see other organizations achieving

greater productivity, profitability and market share from their strategies?

• Do you perceive room for improvement?

Real Time Process and Function

In order to achieve the proper strategy one must evaluate the entire enterprise to achieve

optimal execution.

Traditional Approaches

• Lack of management support• Poor metrics• Not enough training• Resistance to change• Ineffective communication• Not able to sustain initial efforts• No buy-in from supervision• No buy-in from workforce

Traditional Approaches

• Not involving stakeholders in the planning process (primary cause of resistance)

• Not considering the entire organization as a system

• Not understanding the real purposes for the initiative

Root Causes for Lean Gap

• Reactionary Decisions• Uncertain workforces looking for leadership• Shifting supply chains• No clear direction, fuzzy and changing targets

Reactionary Decisions

• The need to hit quarterly numbers• The need to appease shareholders’ current

expectations• The need to hit analyst targets• Focusing on short term goals

Reactionary Decisions

Manufacturers

Capital Equipment in-vestment

Information Technology

Process Improvement Initia-tives

Business as Usual

Uncertain Workforce

• Coaching and communication hit rock bottom with downsizing

• Relationships are severed between employee and management

• Employee becoming more anxious• Undefined or unclear roles for employees

Shifting Supply Chains

• Key vendor failure of critical raw materials or components

• Major customers cancel or slash orders• Cash flow management as only measurements• Main problem becomes a glut of inventory

No Clear Direction

• Reactionary, short term decisions that do not consider what might lie beyond the horizon

• Employees without guidance• Supply chain without collaboration• Main problem becomes a glut of

inventory

Regardless of current conditions, manufacturers need the ability to see,

react, and change instantly– while adhering to the goals and objectives

that guides them.

NO CLEAR DIRECTION

What needs to be done

GOALTime to set long term strategies

Managers and supervisors

must be leaders

Everyone sees, reacts, and

changes

Improvement into the supply

chain

Lean through Performance Management

Methods, systems and personnel that enable an organization to set goals and

the assess progress toward those goals on an individual, department, and

companywide basis.

Performance Management

Manufacturing Processes and ObjectivesEliminates chaos and takes the guesswork out of strategic planning, allowing a manufacturer to continually identify problems and uncover opportunities across the entire organization

Lean Checklist

• Strategic vision in place• Performance management readied• Process and functional targets monitored and

acted upon• Companywide goals and objectives monitored

and acted upon

Real Time Information Systems

• Operations management• Customer demand management• Supply chain management• Workforce management• Logistics management

Operations Management

How are operations performing, day-in, day-out, hour by hour?• Computer based customized dashboard tracking key

performance indicators (KPIs)– Historical KPI analysis– Links to reports– Day to day tasks– Standardized work instructions

• Pushing the right information in front of the right managers at the right moment

Operations Management

• Solve problems at an early stage• Reducing the need to escalate problems• Reducing missed production targets• Reducing missed delivery targets• Improving the quality of production• Reducing equipment failure• Increasing revenue

Customer Demand Management

Manufacturers need real-time customer information such as:• Accessing customer histories• Accessing customer buying patterns• Aligning sales efforts to current production

capabilities• Efficiently translate demand into level production

scheduleReal time information can only be accomplished by capturing the data as transactions occur

Supply Chain Management

Manufacturers monitor their supply base for productivity improvements and hidden costs:• Identifying supplier risks as early as possible• Deliverability of raw/component materials on time• Maintaining consistent raw/component quality• Assessing financial stability of suppliersEDI or an electronic integration with your suppliers would increase visibility for both the supplier and the manufacturer allowing for proactive responses

Workforce Management

Manufacturers recognize that they must develop people in order to develop better products and processes:• Provide necessary training for the technology and

software being implemented• Placement of the correct resource for the proper task• Strive for productivity improvement through incentives• Foster the right amount of pressure and urgencyWorkforce management can only be achieved with proper tracking software with flexible process mapping making the business and product flow second nature to the workforce.

Logistics Management

Manufacturers can damage customer satisfaction and profits if logistics performance is poorly managed• Efficient design of a warehouse and distribution network• Freeing up cash by better coordinating inventories from

suppliers through to customer• Accurately hitting lead times and avoiding late-delivery charges• Reducing transportation costs• Flawless compliance with customers, suppliers and regulating

agencies such as FDA, USDAMonitory of your logistics process requires the capture of real time data translated into useful information

Implementing Lean Manufacturing

Lean on the plant floor through flow manufacturing using technology:• Work moves through the plant in predetermined

quantities (lots or batches)– Arriving at the work area– Waiting for other work to complete– Moving on as a unit to the next work area

Work is scheduled through production lines that contain a variety of resources arranged efficiently and tracked using hardware and software technologies.

RFID Implementation

Wireless Mobile Computers

Data Rich Barcoding in Manufacturing

Dashboard Technology

Summary

• Focus on identifying your own goals—one that articulates the value your company provides to customers and its competitive advantages in today’s volatile markets

• Cascade those few, key objectives that support the goals throughout the organization, translating them into meaningful goals for every function, department, and employee.

• Monitor and manage performance vertically within processes and functions and horizontally across the organization.

• Do it all again, over and over, recalibrating the organization based on the latest planning, goal-setting, failures, and achievements

Contact us today

Demo

800.933.2839

marketing@datexcorp.com

Datex Corporation

Web Chat

@Datexcorp

top related