Improvement on FIFO

7/31/2019 Improvement on FIFO

1/17

IMPROVEMENT ON FIFO

PROCESS


2/17

Current FIFO process is un control due to we dont have the identification of

earlier production output that can be controlled in the system and in theactual process-( Batch No is not defined and Delivery Note is not stated

what is the earlier out put that have to be delivered first)

IF Batch No is stated in the Delivery Note, Warehouse will have difficulty to

locate the stock with the mentioned batch No

BREAKING

FIFO RULE

DEAD STOCK

CUSTOMER COMPLAINT

HIGH INVENTORY LEVEL


3/17

FLOW OF DELIVERY FIFO PROCESS MAP

CUSTOMER CSR PRODUCTION LOGISTIC

NO

YES

Purchase

Order

Sales

Order

Production

Process

stock

ready?

Finish

Good c/w

batch

number

Start

Delivery Plan based

on PO details

Delivery Note

creation with batch

No

Delivery to customerEnd

pick pack load follow the

batch no in the Delivery

Note


4/17

CTQ:CONTROLABLE FIFO PROCESSGOALS SCOPE

DELIVERY NOTE WITH

BATCH NO. FOLLOW

FIFO

LAMIPAK SDA

TEAM MEMBER

Project Leader : YUNI

Member : IT TEAM

LOGISTIC TEAM

PPIC TEAM

MANUFACTURING TEAM

QC/QA TEAM


5/17

SIPOC PROCESS MAP

DELIVERYPLAN

PICK PACK LOADING AT

SUPPLIER INPUT PROCESS

DELIVERYNOTE FIRST

IN FIRST OUT

CSR

CUSTOMERSWAREHOUSE

WAREHOUSE

CUSTOMER OUTPUT


6/17

First In First Out

Identify the earlier production output Locating the earlier production output


7/17

Identify the earlier production out put

Set up the batch number

- by shift

- Identification need : date/machine no/shift no

- Create the secondary batch no if rework is needed, asrework is part of our production process, but this batch Nowill be able to be traced in the system

Implementation batch No- System will produce Batch No automatically when

production issued POV on the pass on/hold/reject and alsowhen POVR is issued

- Warehouse will posting the FG with batch No.- Identification on the box by stated in the Label

- If rework is needed, than the previous label is replaced bythe new one after rework is done


8/17

XX X XX XXX X X 09A01AMS11

This Date is Production Schedule Date

YEAR : 09

MONTH : A

A Jan

B Feb

C Mar

D Apr

E May

F June

Batch Numbering Sequence Without Rework

G July

H August

J Sept

K Oct

L Nov

M Dec

DATE : 01

MACHINE CODE : AMS

MACHINE NO. 1

SHIFT : 1


9/17

XX X XX XXX X X X 09A15AMS11A

This Date is Rework Date

YEAR : 09

MONTH : A

A Jan

B Feb

C Mar

D Apr

E May

F June

Batch Numbering Sequence With Rework

G July

H August

J Sept

K Oct

L Nov

M Dec

DATE : 01 -30

MACHINE CODE : AMS

MACHINE NO. 1

SHIFT : 1 Identified Rework process : A, B,C etc


10/17

Identify the Storage Location and BIN in the warehouse

- Warehouse optimization lay out , number of SLOC andBIN

- Re-arrange W/H : identify dead stock,slow moving andfast moving product

- New W/H for dead stock and slow moving

Locating the Earlier production output

- Identify each product in each SLOC/BIN ?- Numbering the racking by SLOC and BIN

Manage warehouse management in the system

- Adding SLOC and BIN once W/H do posting F/G

- Blocking the each SLOC and BIN capacity in the system


11/17

Control FIFO Process

1. Delivery Note only can be printed after stock is ready in

the warehouse

2. Eliminating DN1, agreed by all function, Urgency of the

Delivery is controlled by having a better OrderManagement,Inventory Report and PPC Control on the

Production output

3. Batch No must be stated in the Delivery Note4. No option for batch No selection


12/17

Support need

Speed up the process on the pick pack load ,

- Forklift - maintenance

- Hand pallet availability- W/H capacity is only enough for the Fast Moving Product

Rework Process

- Due to second label have to be done after Rework, so QCshould have the Box Label stock

- Rework process will be reviewed on the separate project


13/17


14/17

INVENTORY STATUS

PLANT :RM/FG/GIT :

PRODUCT CODE

Product Name

date details Unrestricted restricted Total

Stock 23-Jun 5000forecast order

Safety Stock

Process order 1-Jul 5000

lannin order 1-Au 20000

Sales Order 1-Jul SO No. -10000STP0 -20000

Delivery

QC

and each will be link to each batch No

New Inventory Report will update how many we have in the production Line, or how many demand we have from

customer, better planning process


15/17

PPIC PRODUCTION QC LOGISTIC

PASS ON

Production

Process

Finish

Good c/w

batch

number

planning process

schedule

produksi

reject

machine

QC Inspection

processPOV

labelling

batch no auto

generated from

system QC

result

REJECT

Qty sched

prod will

be reduce

auto once

FG is

posting in

W/H

Improvement on Controlling the Production Schedule Result to Eliminate the DN 1

process

rework process

POVR

labelling

process

batch no auto

generated from

system


16/17

PROJECT MILESTONE

PIC 6/22 6/29 7/6 7/13 7/20 7/27 8/3 8/10 8/17 8/24 8/31 9/7 9/14 9/21 9/28

Define the problem statement and CTQ Nenden

Define the batch numbering order ALL

New Process flow of DN creation Nenden

New Process flow of DN creation Nenden

Identify batch No in the Box Label ALL

Process batch No in the system

Beny/Gunawa

n

Process New Delivery Note Creation in

the system

Beny/Gunawa

n

Identify SLOC and BIN based on W/H

layout Yuni/Udin

Identify SLOC and BIN based on W/H

layout in the System

Beny/Gunawa

n

Transfer of Dead stock and Slow Moving

to new place Include define new W/Hplace Yuni/Udin

Re-arrange W/H with identify Dead

stock,Slow Moving, fast Moving Yuni/Udin

Racking numbering with SLOC and BIN Yuni/Udin

Blocking SLOC /BIN Capacity

Beny/Gunawa

n

Eliminating DN1 process All

Warehouse Total Cost (New W/H,

Rearrange, Hand pallets etc to improve

process pick pack load Yuni/Udin

IT Total Cost ( Infrastructure or others?)

eny unawa

n

Training and socialitation of FIFO

Process

Yuni/

Gunawan


17/17

Outstanding item

Costing IT

IT Time line to support this new process, Batch no and DN creation

and SLOC/BIN

Costing warehouse

Warehouse Lay out and optimization capacity

W/H details on Dead Stock,SMI, and Fast Moving product

c e u e o rearrangemen

Socialitation and training of this new project

Improvement on FIFO

Documents