Lean Thinking. Diederik Naessens Director Technology

Size: px
Start display at page:

Download "Lean Thinking. Diederik Naessens Director Technology"

Transcription

1 Lean Thinking Diederik Naessens Director Technology

2 Afkantpersen

3 Ponsmachines

4 Lasersnijmachines

5 Flexible Manufacturing Systems

6 DISCRETE MANUFACTURING discrete Short lead-times Hybrid typology (ATO - MTO - ETO..) Modularity in products Options with constraints Unstable demand Unpredictable productmix Constraint planning MRP / MPS / SIC...component Important procurement Long lead time for components Subcontracting (parts and operations) After sales service Multi-site / multi-company activity Complex logistics

7 A RESONATING SYSTEM Variability Orders Assemblyplanning Manufacturing Assembly Resonating output Feedback

8 UNPREDICTABLE OUTCOME The variability having its origin in coincidences is reflected in the unpredictability of part availability Synchronization?? Delivery accuracy??

9

10 Complexity / Uncertainty COMPLEXITY High Low DURABLE CONSUMER PRODUCTS HIGH -VOLUME PRODUCTS CONSUMER PRODUCTS CAPITAL GOODS FASHION ARTICLES SPARE PARTS Low High UNCERTAINTY Source : De Vlerick School voor Management

11 Two important transformations High-end ERP implementation (INFOR ERP LN ) (ERP : Entreprise Resource Planning) Lean Transformation

12 What is Lean Thinking? Lean Thinking is a methodology to : - specify value - arrange value generating actions in the best sequence - perform these actions without interruption as soon as someone asks for - perform these actions in an always more efficient way. Lean Thinking gives immediate feedback in order to covert waste in value.

13

14 Lean Thinking Principles Jim Womack & Dan Jones

15 The customer stands central Value is only determined by the customer and is always related to a specific

16 The 5 principles of Lean Thinking 1. Specify value per specific product 2. Identify the value stream for each product 3. Let the value flow without interruptions in a continuous way. 4. Let the customer pull the value 5. Persu perfection

17 Specifying value Lean Thinking starts with an attempt to precisely define the value of a specific product with well defined functionalities at a fixed price in a dialog with the customer. The existing production resources and technologies are at that moment of secondary importance. The company has to be re-engineered in view of production lines with dedicated resources.

18 Specifying value In a Lean Thinking exercise, you must try to take the place of: - the design on its way from concept to launching - the order on its way of the information path from demand up to delivery. - the physical product during its transformation from base material up to finished product. and describe what is happening to you at each step of the value stream.

19 Let the customer pull We design, schedule, manufacture what and when according to the customer needs Sales forecasts are not necessary.

20 Lean Thinking Lean Thinking stands for radical improvement (kaikaku) in contrast with continuous incremental improvement (kaizen).

21 In practice now...

22 Lean Thinking Value must been seen through the eyes of the customer. The great virtue of Lean Thinking is not directly to provide state-of-the art solutions for a complex problem, but to change the logic of working so that the problems more or less disappear. Lean Manufacturing eliminates and/or visualizes waste

23 Is there a better way?? The Lean Thinking gives a clear answer: In order to efficiently control the throughput, delivery times, WIP and inventory in a complex environment, it is essential that manufacturing and assembly are performed at a pre-defined pace or takt and that the operations are carried out in a continuous flow. This is the push characteristic of Lean Thinking. This takt is determined by the business plan, and the resources of the bottle-neck activity -whatever they are- must be able to follow this takt.

24 Continuous flow instead of batch-and-queue In the continuous-flow layout, the production steps are arranged in sequence, usually within a cell, and the product moves from one step to the next with no buffer of work-in-process in between. ( Kanban )

25 Continuous flow instead of batch-and-queue

26

27

28 LEAN CELL FOR HYDRAULIC CYLINDERS AND CONTROL SYSTEMS Lead time reduction from 4 months to 3 weeks Zero inventory

29

30 Continuous flow As soon as continuous flow is implemented, a drastic reduction is noticed in: throughput time inventory

31 Why???

32 Variability. If the utilization rate of a production unit becomes close to the limits of capacity, the average cycle times will increase in a highly non-linear fashion. If variability reduction is feasible and affordable, it offers the best of all results. It should be the first thing to start with in order to optimize a production system. Lean Thinking is a technique that by nature reduces the controllable variability. On the random variability, the Lean Thinking has no grip.

33 Lean Thinking is counterintuitive Keeping every employee busy and every machine fully utilized to justify capital investment are not the highest priority anymore. Continuous-flow layout replaces batch-and-queue production methods

34 Push and pull.. A push system schedules the release of work based on demand A pull system authorizes the release of work, based on the status of the production environment. We let the customer pull..but a well defined takt is essential!!

35 Lean transformations where waste is eliminated mostly imply other process technologies and new product concepts that can be kept surprisingly simple.

36 Is there something wrong with MRP? certainly not! Also in a Lean transformed environment, PRP (Project Requirements Planning) and MRPII (Manufacturing Resource Planning) are needed as robust control systems and should be treated with due respect.

37 Application of the Finite Capacity Schedulers within the Lean Environment Control of the manufacturing at the highest level with monitoring of takt and offsets and triggering of events. Support of the cell logic Optimization of the assembly activity in the most detailed way. Planning of the job shop activity of the internal supplier.

38 LEAN CELL FOR HYDRAULIC CYLINDERS AND CONTROL SYSTEMS Lead time reduction from 4 months to 3 weeks Zero inventory

39 Visibility

40 Looking for perfection By letting the value flow faster and faster, new causes of waste come to surface. The more we pull harder, the more points for improvement become visible.

41 Visibility The stimulation for improvement is strenghtened by the transparency typical for Lean Thinking. In a lean system, to everyone (...workmen, suppliers, customers, distributers,...) everything is visible so that is becomes easier to detect points for improvement. Lean Thinking is not only an antidote against waste, it is also an antidote against stagnating.

42 Perfection is like Infinity

43 Lean Thinking and the organization Lean Thinking breaks the conviction that functions must be grouped in departments.

44 . F. Valcke DIVISION CNC- PRESS BRAKES & SHEARS Responsibility Center BU CNC press brakes BU Conv. Pr. Brakes & shears e Engineering (ST) Safety products Desktop Publishing Routings. Process development Project Planning Assembly planning Order processing Material Requirem. Planning. Capacity Requirem. Planning. Shopfloor planning Production release Purchasing (call off) Subcontracting (call off) Production Final assembly Final inspection After Sales support Installation Training Performance measurement Quality analysis Second hand. /retrofit Preventive maintenance AFK CON J Hemberg DIVISIONAL STRUCTURE DIVISION LASERMACHINES & PUNCH PRESSES Responsibility Center DIVISION CUSTOMER SERVICES F. De Bie Responsibility Center Finances BU Laser- Machines BU Turret Punch presses BU After Sales Engineering (ST) Safety products Desktop Publishing Routings. Process development Project Planning Assembly planning Planning After Sales resources Interventions and After Sales-admin. Statistical analysis Spare parts IT-support for After Sales G. Porte D. Naessens Logistics B. Florizone Order processing Material Requirem. Planning. Capacity Requirem. Planning. Shopfloor planning Production release Purchasing (call off) Subcontracting (call off) Development After Sales in subsidiaries Technical documentation Training (internal / external) Installation management Engineering / R& D Production Final assembly Final inspection After Sales support Installation Training Performance measurement Warranties Revisions Upgrading and retrofit Consultancy Quality Quality analysis Second hand. /retrofit Preventive maintenance Quality measurements Contract management W. Serruys Gert Thienpont Human Resources & Payroll LAS PON KLT Financial control & reporting Order processing Accounts payable Accounts receivable Accounting Budgets & budget control Liquidity & cash management Invoicing Cost accounting & project calculation Product shipping / Packaging Assurances Expense Center Procurement Subcontracting (negotiations) Global sourcing/subsidiaries Material receiving Expense Center Product design Software development Research & Development Expense Center Human resources management Payroll Training Safety / Environment Safety requir. products Logistic systems DNSN (extern. comm.) Inventory control / Inventory Material storage /Orderpicking Logistics subsidiaries Global capacity control FIN LOG ENG HRM Expense Center Information Systems D. Naessens D. Naessens Production support & mainten. Sales & Marketing P. Deferme Electronic Data Processing Datacollection Computer Aided Manufacturing Repro Expense C ICT Repair machines & production FCLS Systems Maintenance installations & DWFF infrastructure Tool management Operations on conv. machines OND Expense C Order servicing & Contracts Order processing Marketing & Publicity Price setting Project budgetting Democenter C. Expense C. VKP

45 The Lean Thinking alternative The Lean Thinking alternative redefines the functions, departments, roles and the whole organization in view of a positive contribution to the generation of value in such a way that it is in the interest of the employee that value flows.

46 Value stream The value stream must be looked at as a whole: in a departmental oriented organization, the different departments tend to only look after their own interests and do not care about the problems the other departments around them encounter.

47 Lean Thinking breaks with the conviction that employees deliver an excellent performance. Finally it is the customer who decides whether or not he buys the product at the set price.

48 The problem is mostly not the competence of the people who control the system according to a certain logic,. The problem is the logic itself..

49 Localization The product team (team leader, buyer, planner, production manager, ) must be placed as close as possible to the physical happening. Transparency and visual control are very important advantages of the Lean Thinking. In a classic batchand-queue environment, the employee only sees a small part of the task and there is no feedback.

50 Expectations Improvement and better control of throughput (synchronized manufacturing) More efficient and simpler organization Better control of the flow of financial resources Higher customer satisfaction Reduced inventory Higher delivery performance Lower quality cost

Hessel Visser NCOI Les 6 A P 373. Operations Management, 7E: Chapter 14 en15

Hessel Visser NCOI Les 6 A P 373. Operations Management, 7E: Chapter 14 en15 1 Lecture Planning and Control 14 Enterprise Resource Planning (ERP) 15 Lean synchronization 16 Project Management (zie andere sheets) 17 Quality Management (zie andere sheets) Hessel Visser NCOI Les 6

More information

Appendix Lean Glossary Page 1

Appendix Lean Glossary Page 1 Appendix Lean Glossary Page 1 Andon Board A visual control device in a work area giving the current status on performance to expectations and alerting team members to emerging issues. Batch-and- Queue

More information

Five Tips to Achieve a Lean Manufacturing Business

Five Tips to Achieve a Lean Manufacturing Business Five Tips to Achieve a Lean Manufacturing Business Executive Overview Introduction The more successful manufacturers today are those with the ability to meet customer delivery schedules while maintaining

More information

Getting Started with Lean Process Management

Getting Started with Lean Process Management Getting Started with Lean Process Management Hi-Tec Exchange Conference San Francisco July 25, 2011 Missions To team with Organizational Leaders, Managers, & Employees to focus on customers & improve competitiveness,

More information

Going Lean the ERP Way

Going Lean the ERP Way Going Lean the ERP Way Somnath Majumdar Abstract: Lean concepts and techniques are widely used all over the world today to eliminate waste in all processes. These are applicable for all organizations,

More information

APICS acknowledges the Basics of Supply Chain Management Committee for its contributions in the development of this resource.

APICS acknowledges the Basics of Supply Chain Management Committee for its contributions in the development of this resource. APICS acknowledges the Basics of Supply Chain Management Committee for its contributions in the development of this resource. Jim Caruso, CPIM, CSCP (chair) Carol Bulfer, CPIM James F. Cox, Ph.D., CFPIM,

More information

SUPPLY CHAIN MODELING USING SIMULATION

SUPPLY CHAIN MODELING USING SIMULATION SUPPLY CHAIN MODELING USING SIMULATION 1 YOON CHANG AND 2 HARRIS MAKATSORIS 1 Institute for Manufacturing, University of Cambridge, Cambridge, CB2 1RX, UK 1 To whom correspondence should be addressed.

More information

Lean Principles by Jerry Kilpatrick

Lean Principles by Jerry Kilpatrick Lean Principles by Jerry Kilpatrick Introduction Lean operating principles began in manufacturing environments and are known by a variety of synonyms; Lean Manufacturing, Lean Production, Toyota Production

More information

TU-E2020 ADVANCED OPERATIONS MANAGEMENT. Demand management Sales & Operations Planning Master Production Scheduling

TU-E2020 ADVANCED OPERATIONS MANAGEMENT. Demand management Sales & Operations Planning Master Production Scheduling TU-E2020 ADVANCED OPERATIONS MANAGEMENT Demand management Sales & Operations Planning Master Production Scheduling 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999

More information

Lean Manufacturing and Six Sigma

Lean Manufacturing and Six Sigma Lean Manufacturing and Six Sigma Research Questions What have we done in the past? What must we do in the future? How do we know these are the correct actions? 1 Lean Definitions Key concepts of lean:

More information

Epicor Vantage GLOBAL ENTERPRISE RESOURCE PLANNING

Epicor Vantage GLOBAL ENTERPRISE RESOURCE PLANNING Epicor Vantage GLOBAL ENTERPRISE RESOURCE PLANNING EPICOR VANTAGE Next Generation Manufacturing Software Epicor Software Corporation understands that you, like manufacturers worldwide, must identify, consider

More information

Do more with less: The 5 strategies used by successful SMB manufacturers

Do more with less: The 5 strategies used by successful SMB manufacturers Infor ERP Do more with less: The 5 strategies used by successful SMB manufacturers Table of contents Executive summary... 3 Building a framework for growth... 5 Vision... 5 Process... 6 Metrics... 7 Automation...

More information

Manufacturing Flow Management

Manufacturing Flow Management Manufacturing Flow Management Distribution D Distribution Authorized to Department of Defense and U.S. DoD Contractors Only Aim High Fly - Fight - Win Supply Chain Management Processes Information Flow

More information

BSCM Sample TEST. CPIM(Certified In Production & Inventory Management) - 1 -

BSCM Sample TEST. CPIM(Certified In Production & Inventory Management) - 1 - BSCM Sample TEST. 1. Which of the following demand fulfillment approaches typically provides the longest delivery time? A) Engineer-to-order. B) Make-to-order. C) Assemble-to-order. D) Make-to-stock. 2.

More information

ERP(Enterprise Resource Planning) & MRP

ERP(Enterprise Resource Planning) & MRP ERP(Enterprise Resource Planning) & MRP Mr.Vijayakumar S 1 Session Objectives At the end of this session the delegate would have understood ERP ERP example SAP MRP and structure MRP1 & MRPII difference

More information

Lean manufacturing and ERP: How to leverage ERP to get lean

Lean manufacturing and ERP: How to leverage ERP to get lean E-Book Lean manufacturing and ERP: How to leverage ERP to get lean A manufacturing firm adopting the principles of lean manufacturing can effectively leverage the company s ERP system during its transition

More information

Original source of publication:

Original source of publication: Original source of publication: Adam Martin, Keckeis Johannes, Kostenzer Peter, Klepzig Heiner; Lean ERP - How ERP Systems and Lean Management fit together; in: Piazolo, Felderer; Innovation and Future

More information

MADE2MANAGE ENTERPRISE RESOURCE PLANNING. WE OWN THE SHOP FLOOR Plan, schedule, execute and track with an industrial strength feature set.

MADE2MANAGE ENTERPRISE RESOURCE PLANNING. WE OWN THE SHOP FLOOR Plan, schedule, execute and track with an industrial strength feature set. MADE2MANAGE ENTERPRISE RESOURCE PLANNING WE OWN THE SHOP FLOOR Plan, schedule, execute and track with an industrial strength feature set. YOUR SHOP FLOOR DOLLARS ARE ADDING UP The pressure for you to be

More information

Infor ERP SyteLine Enterprise Resource Planning for Manufacturers

Infor ERP SyteLine Enterprise Resource Planning for Manufacturers Infor ERP SyteLine Enterprise Resource Planning for Manufacturers Businesses today face far more competition and external influences than they did five to ten years ago. With pressure on resources and

More information

MSc in Lean Operations. Module Descriptions

MSc in Lean Operations. Module Descriptions MSc in Lean Operations Module Descriptions 2010 BSP320 Lean Thinking & Practice To establish the roots, underlying philosophy and development of the lean thinking approach. By the end of the module, the

More information

Basics of Supply Chain Management (BSCM) Curriculum

Basics of Supply Chain Management (BSCM) Curriculum Basics of Supply Chain Management (BSCM) Curriculum Version 4.0 Session 1 to Supply Chain Management to Manufacturing Role of Manufacturing Global Citizenship Manufacturing Business Model Business Environment

More information

Achieving Basic Stability By Art Smalley

Achieving Basic Stability By Art Smalley Achieving Basic Stability By Art Smalley Introduction Lean production has dramatically lifted the competitiveness of many manufacturing companies and the value they deliver to customers. What s more, encouraging

More information

IMPACT OF PROCESS VARIABILITY ON LEAN MANUFACTURING SYSTEMS

IMPACT OF PROCESS VARIABILITY ON LEAN MANUFACTURING SYSTEMS IMPACT OF PROCESS VARIABILITY ON LEAN MANUFACTURING SYSTEMS Mel Adams and Bernard J. Schroer Center for Automation & Robotics University of Alabama in Huntsville Huntsville, AL 35899 adamsm@email.uah.edu

More information

www.stephenbarkar.se Lean vs. Agile similarities and differences 2014-08-29 Created by Stephen Barkar - www.stephenbarkar.se

www.stephenbarkar.se Lean vs. Agile similarities and differences 2014-08-29 Created by Stephen Barkar - www.stephenbarkar.se 1 www.stephenbarkar.se Lean vs. Agile similarities and differences 2014-08-29 Purpose with the material 2 This material describes the basics of Agile and Lean and the similarities and differences between

More information

OPTIMIZING PRODUCTION

OPTIMIZING PRODUCTION REAL WORLD SCENARIOS Volume 2 Cases 7-12 OPTIMIZING PRODUCTION SQUEEZE MORE OUT OF PRODUCTION OPTIMIZING SCHEDULING PRODUCTION FLOW IMPROVEMENTS INTEGRATED MAINTENANCE PLANNING INTEGRATED PROJECT MANAGEMENT

More information

26/10/2015. Enterprise Information Systems. Learning Objectives. System Category Enterprise Systems. ACS-1803 Introduction to Information Systems

26/10/2015. Enterprise Information Systems. Learning Objectives. System Category Enterprise Systems. ACS-1803 Introduction to Information Systems ACS-1803 Introduction to Information Systems Instructor: Kerry Augustine Enterprise Information Systems Lecture Outline 6 ACS-1803 Introduction to Information Systems Learning Objectives 1. Explain how

More information

Lean Procurement: The Future of Supply Chain Management in a Demand-Driven World

Lean Procurement: The Future of Supply Chain Management in a Demand-Driven World Lean Procurement: The Future of Supply Chain Management in a Demand-Driven World An Oracle White Paper Written in Collaboration with CSS International, Inc. June 2006 Lean Procurement: The Future of Supply

More information

The Tools of Lean - Value Stream Mapping

The Tools of Lean - Value Stream Mapping ASQ Section 1302 Summer 2004 Series Mahoney State Park The Tools of Lean - Value Stream Mapping Stan Gidley Managing Director Institute of Business Excellence July 15, 2004 Outline Two Stories 1 English,

More information

Different than traditional ERP?

Different than traditional ERP? WHITE PAPER ERP FOR THE PROJECT DRIVEN INDUSTRY Different than traditional ERP? ERP FOR THE PROJECT DRIVEN INDUSTRY The goal of this White Paper is to introduce the reader to the Trimergo vision for automation

More information

is an affordable, modern software solution specifically for your type of business.

is an affordable, modern software solution specifically for your type of business. Delivering Business Solutions t: +44 (0) 844 8000 803 e: enquiries@inixion.com The Finance Solution Finance Accounting Ledgers With competition and economic climate pressures ever increasing, the requirements

More information

Automated Scheduling Methods. Advanced Planning and Scheduling Techniques

Automated Scheduling Methods. Advanced Planning and Scheduling Techniques Advanced Planning and Scheduling Techniques Table of Contents Introduction 3 The Basic Theories 3 Constrained and Unconstrained Planning 4 Forward, Backward, and other methods 5 Rules for Sequencing Tasks

More information

LOGISTICS & SUPPLY CHAIN MANAGEMENT

LOGISTICS & SUPPLY CHAIN MANAGEMENT LOGISTICS & SUPPLY CHAIN MANAGEMENT 1. Concepts of Logistics management The role of Logistics information systems and technology Logistics relevance to an organization and the economy Channels of distribution

More information

Manufacturing. Manufacturing challenges of today and how. Navision Axapta solves them- In the current explosive economy, many

Manufacturing. Manufacturing challenges of today and how. Navision Axapta solves them- In the current explosive economy, many Manufacturing challenges of today and how Navision Axapta solves them- the solution for change; controlled by you. Manufacturing In the current explosive economy, many manufacturers are struggling to keep

More information

EVERYTHING YOU NEED TO KNOW ABOUT INVENTORY

EVERYTHING YOU NEED TO KNOW ABOUT INVENTORY EVERYTHING YOU NEED TO KNOW ABOUT INVENTORY Introduction Inventory is considered the necessary evil of the supply chain. In fact, there has been a whole movement; lean manufacturing that has tried to reduce

More information

QUEST The Systems Integration, Process Flow Design and Visualization Solution

QUEST The Systems Integration, Process Flow Design and Visualization Solution Resource Modeling & Simulation DELMIA QUEST The Systems Integration, Process Flow Design and Visualization Solution DELMIA QUEST The Systems Integration, Process Flow Design and Visualization Solution

More information

REDUCTION OF WORK IN PROCESS INVENTORY AND PRODUCTION LEAD TIME IN A BEARING INDUSTRY USING VALUE STREAM MAPPING TOOL

REDUCTION OF WORK IN PROCESS INVENTORY AND PRODUCTION LEAD TIME IN A BEARING INDUSTRY USING VALUE STREAM MAPPING TOOL REDUCTION OF WORK IN PROCESS INVENTORY AND PRODUCTION LEAD TIME IN A BEARING INDUSTRY USING VALUE STREAM MAPPING TOOL Praveen Saraswat 1, Deepak Kumar 2 and Manoj Kumar Sain 3 1 Senior Lecturer, 2,3 Associate

More information

Guide for Software Selection

Guide for Software Selection Guide for Software Selection Have you found yourself considering the following? Does your current software meet your business needs or are you just getting by? Does manufacturing and purchasing IMMEDIATELY

More information

CHAPTER 6 AGGREGATE PLANNING AND INVENTORY MANAGEMENT 명지대학교 산업시스템공학부

CHAPTER 6 AGGREGATE PLANNING AND INVENTORY MANAGEMENT 명지대학교 산업시스템공학부 CHAPTER 6 AGGREGATE PLANNING AND INVENTORY MANAGEMENT 명지대학교 산업시스템공학부 Learning Objectives You should be able to: Describe the hierarchical operations planning process in terms of materials planning & capacity

More information

More. Better. Faster. THE QAD 2009.1 ADVANTAGE

More. Better. Faster. THE QAD 2009.1 ADVANTAGE More. Better. Faster. THE QAD 2009.1 ADVANTAGE QAD Enterprise Applications 2009.1 QAD Enterprise Applications, The Big Picture Enterprise Financials Financial Analytics Consolidations General Ledger Fixed

More information

times, lower costs, improved quality, and increased customer satisfaction. ABSTRACT

times, lower costs, improved quality, and increased customer satisfaction. ABSTRACT Simulation of Lean Assembly Line for High Volume Manufacturing Hank Czarnecki and Nicholas Loyd Center for Automation and Robotics University of Alabama in Huntsville Huntsville, Alabama 35899 (256) 520-5326;

More information

THE BEGINNER S GUIDE TO LEAN

THE BEGINNER S GUIDE TO LEAN THE BEGINNER S GUIDE TO LEAN Professor Daniel T Jones Lean Enterprise Academy Who am I? Writer Machine and Lean Thinking books Researcher on how to do lean everywhere! Founder of the non-profit Lean Enterprise

More information

ERP Support for Pull Production

ERP Support for Pull Production Trends in Production Control ERP Support for Pull Production Daryl Powell, Researcher & PhD Candidate Department of Production and Quality Engineering, Norwegian University of Science and Technology SINTEF

More information

ACS-1803 Introduction to Information Systems. Enterprise Information Systems. Lecture Outline 6

ACS-1803 Introduction to Information Systems. Enterprise Information Systems. Lecture Outline 6 ACS-1803 Introduction to Information Systems Instructor: David Tenjo Enterprise Information Systems Lecture Outline 6 1 Learning Objectives 1. Explain how organizations support business activities by using

More information

Glossary of Inventory Management Terms

Glossary of Inventory Management Terms Glossary of Inventory Management Terms ABC analysis also called Pareto analysis or the rule of 80/20, is a way of categorizing inventory items into different types depending on value and use Aggregate

More information

Business Challenges. Customer retention and new customer acquisition (customer relationship management)

Business Challenges. Customer retention and new customer acquisition (customer relationship management) Align and Optimize Workflows with Lean Dan Marino Marino Associates, LLC Strategic and tactical planning Information systems integration Customer retention and new customer acquisition (customer relationship

More information

JD EDWARDS ENTERPRISEONE PROCUREMENT MANAGEMENT

JD EDWARDS ENTERPRISEONE PROCUREMENT MANAGEMENT JD EDWARDS ENTERPRISEONE PROCUREMENT MANAGEMENT Integrate and streamline all procurement processes. Simplify supplier analysis and bidding. Eliminate unnecessary transactions. The Issue: Strategic Procurement

More information

INTRODUCTION. What is Enterprise Resource Planning?

INTRODUCTION. What is Enterprise Resource Planning? 1 INTRODUCTION MGT2405, University of Toronto, Denny Hong-Mo Yeh What is Enterprise Resource Planning? According to the definition given in the APICS Dictionary (American Production and Inventory Control

More information

APICS Certified in Production and Inventory Management [CPIM] Exam Content Manual. Preview

APICS Certified in Production and Inventory Management [CPIM] Exam Content Manual. Preview APICS Certified in Production and Inventory Management [CPIM] Exam Content Manual Preview 2013 APICS CPIM Overview of Exam Content Manual Basics of Supply Chain Management January 1, 2013 through December

More information

C LOUD E RP: HELPING MANUFACTURERS KEEP UP WITH THE TIMES

C LOUD E RP: HELPING MANUFACTURERS KEEP UP WITH THE TIMES June 2013 C LOUD E RP: HELPING MANUFACTURERS KEEP UP WITH THE TIMES MORE I NNOVATION, L ESS C OST W ITH S AAS E RP Data Source In late 2012 and early 2013 Mint Jutras collected more than 475 qualified

More information

1-Is a Materials Requirement Planning (MRP) System the best approach for your company?

1-Is a Materials Requirement Planning (MRP) System the best approach for your company? The Lean Approach to Materials Planning and Procurement 1-Is a Materials Requirement Planning (MRP) System the best approach for your company? Of course an MRP system has to be an ideal system for your

More information

Business Process Sample as used by existing Create!form customers

Business Process Sample as used by existing Create!form customers Process Pick Slip, Pack Slip, Labels Customer: US Based distribution company Pick slips are generated through their ERP system. These are done either on demand or via a scheduled job that runs every 10

More information

Small Lot Production. Chapter 5

Small Lot Production. Chapter 5 Small Lot Production Chapter 5 1 Lot Size Basics Intuition leads many to believe we should manufacture products in large lots. - Save on setup time - Save on production costs Costs associated with Lots

More information

VALUE STREAM MAPPING FOR SOFTWARE DEVELOPMENT PROCESS. Ganesh S Thummala. A Research Paper. Submitted in Partial Fulfillment of the

VALUE STREAM MAPPING FOR SOFTWARE DEVELOPMENT PROCESS. Ganesh S Thummala. A Research Paper. Submitted in Partial Fulfillment of the VALUE STREAM MAPPING FOR SOFTWARE DEVELOPMENT PROCESS by Ganesh S Thummala A Research Paper Submitted in Partial Fulfillment of the Requirements for the Master of Science Degree In Management Technology

More information

ERP Meets Lean Management

ERP Meets Lean Management Meets Lean Management James M. Noblitt, CPIM, CIRM Sr. Management Consultant High-Tech meets No-Tech! Digital Lean Visual Work Orders Push Data Entry Reports Security/Access Data Accuracy Complicated Spread

More information

Go Beyond Simple Productivity improvement with Optimized Production Scheduling

Go Beyond Simple Productivity improvement with Optimized Production Scheduling Go Beyond Simple Productivity improvement with Optimized Production Scheduling Michael Evans Marketing Manager The Preactor Group Denis Ouellet Director West Monroe Partners Chriss Poliquin Senior Architect

More information

MANUFACTURING EXECUTION SYSTEMS VS. ERP/MRP

MANUFACTURING EXECUTION SYSTEMS VS. ERP/MRP www.globalsmt.net %*(*5 "- &% *5*0/ The Global Assembly Journal for SMT and Advanced Packaging Professionals Volume 11 Number 9 September 2011 ISSN 1474-0893 MANUFACTURING EXECUTION SYSTEMS VS. ERP/MRP

More information

Just-In-Time Manufacturing Management System. Get all your manufacturing operations managed more effectively

Just-In-Time Manufacturing Management System. Get all your manufacturing operations managed more effectively Just-In-Time Manufacturing Management System Get all your manufacturing operations managed more effectively Just-In-Time Manufacturing Management System The Just-In-Time Manufacturing Management System

More information

Supply Chain Management Build Connections

Supply Chain Management Build Connections Build Connections Enabling a business in manufacturing Building High-Value Connections with Partners and Suppliers Build Connections Is your supply chain responsive, adaptive, agile, and efficient? How

More information

PARADIGMS THAT DRIVE COSTS IN MANUFACTURING. The whole purpose of a business enterprise is pretty simple to make a profit by selling

PARADIGMS THAT DRIVE COSTS IN MANUFACTURING. The whole purpose of a business enterprise is pretty simple to make a profit by selling PARADIGMS THAT DRIVE COSTS IN MANUFACTURING The whole purpose of a business enterprise is pretty simple to make a profit by selling products or services to persons who desire those particular goods or

More information

Does enterprise resource planning software support lean? ERP goes 44 TARGET AME.ORG/TARGET

Does enterprise resource planning software support lean? ERP goes 44 TARGET AME.ORG/TARGET Does enterprise resource planning software support lean? ERP goes 44 TARGET AME.ORG/TARGET BY HARRY F. LANDSBURG AND SHELDON NEEDLE lean WINTER 2014 TARGET 45 Many articles have been written about how

More information

TU-E2020. Capacity Planning and Management, and Production Activity Control

TU-E2020. Capacity Planning and Management, and Production Activity Control TU-E2020 Capacity Planning and Management, and Production Activity Control Copyright Jari Laine 11/23/2015 Copyright Jari Laine 11/23/2015 Different capacity planning options 1 4 7 10 13 16 19 22 25 28

More information

Chapter 11. MRP and JIT

Chapter 11. MRP and JIT Chapter 11 MRP and JIT (Material Resources Planning and Just In Time) 11.1. MRP Even if MRP can be applied among several production environments, it has been chosen here as a preferential tool for the

More information

Logistics Management SC Performance, SC Drivers and Metrics. Özgür Kabak, Ph.D.

Logistics Management SC Performance, SC Drivers and Metrics. Özgür Kabak, Ph.D. Logistics Management SC Performance, SC Drivers and Metrics Özgür Kabak, Ph.D. Outline Supply Chain Performance: Achieving Strategic Fit and Scope Competitive and supply chain strategies Achieving strategic

More information

Strategic Framework to Analyze Supply Chains

Strategic Framework to Analyze Supply Chains Strategic Framework to Analyze Supply Chains 1 Andy Guo A Strategic Framework for Supply Chain Design, Planning, and Operation Part I: Understand the supply chain Part II: Supply chain performance Part

More information

Lean Silver Certification Blueprint

Lean Silver Certification Blueprint The Lean Certification Blueprint provides additional useful information beyond the Body of Knowledge. The Body of Knowledge specifies the competencies, topics, and subtopics required by different types

More information

Job Manager for Metal Fabrication

Job Manager for Metal Fabrication Job Manager for Metal Fabrication What makes Metal Fabrication unique? First, most metal shops are building to unique specifications. The Jobs are service type jobs, not production type jobs. Mass Production

More information

Operational Business Intelligence in Manufacturing

Operational Business Intelligence in Manufacturing Operational Business Intelligence in Manufacturing Copyright 2007 KeyTone Technologies Inc. Page 1 SmartWIP - Intelligent Manufacturing with RFID Manufacturers are under competitive pressure to fulfill

More information

Do You Need ERP? The Magnum Group Technical Publications Division

Do You Need ERP? The Magnum Group Technical Publications Division Do You Need ERP? A Cost-Benefit Analysis of ERP with Respect to Small and Medium Business Enterprises Compiled by the Database Services Division of The Magnum Group What is ERP? Today s business scenario

More information

MIE Solutions UK Ltd www.mie-solutions.co.uk

MIE Solutions UK Ltd www.mie-solutions.co.uk MIE Solutions UK Ltd www.mie-solutions.co.uk MIE Trak PRO ERP Software Overview Sections Modules (included) Functions and Reports Quoting RFQ Logs and manages RFQs Creates Quote Letter Email to customer

More information

Certified in Production and Inventory Management (CPIM)

Certified in Production and Inventory Management (CPIM) Certified in Production and Inventory Management (CPIM) 2 Visie Partners This brochure provides information about the Certified in Production and Inventory Management (CPIM) course. This is one of the

More information

Preactor Planning and Scheduling Software for Enterprise Application

Preactor Planning and Scheduling Software for Enterprise Application Preactor Planning and Scheduling Software for Enterprise Application Gregory Quinn President, Quinn & Associates Inc Vice President North America, Preactor International Ltd. Introduction The scope of

More information

An Epicor White Paper. Improve Scheduling, Production, and Quality Using Cloud ERP

An Epicor White Paper. Improve Scheduling, Production, and Quality Using Cloud ERP An Epicor White Paper Improve Scheduling, Production, and Quality Using Cloud ERP Best Practices for Discrete Manufacturers Improve Scheduling Production and Quality Using Cloud ERP These days, ERP systems

More information

MRP, ERP och JIT. Styrningsnivåer. Johann Packendorff. The development of ERP. Increasing impact on the whole supply

MRP, ERP och JIT. Styrningsnivåer. Johann Packendorff. The development of ERP. Increasing impact on the whole supply MRP, ERP och JIT Johann Packendorff Styrningsnivåer The development of ERP Increasing impact on the whole supply network Manufacturing Resource Planning (MRPII) Material Requirements Planning (MRP) Web-integrated

More information

Value Stream Mapping

Value Stream Mapping Value Stream Mapping 1 Value Stream Mapping Definition Value Stream Mapping (VSM): Special type of flow chart that uses symbols known as "the language of Lean" to depict and improve the flow of inventory

More information

Brochure. SAP Business One for Manufacturing. Software for Manufacturing Organisations

Brochure. SAP Business One for Manufacturing. Software for Manufacturing Organisations Brochure SAP Business One for Manufacturing Software for Manufacturing Organisations SAP Business One for Manufacturing SAP Business One for Manufacturing offers an unparalleled combination of functionality

More information

Top reasons why ekanban should be a key element of your lean manufacturing plan

Top reasons why ekanban should be a key element of your lean manufacturing plan Infor ERP Top reasons why ekanban should be a key element of your lean manufacturing plan Table of contents Executive summary... 3 Reactive manufacturing model... 4 Move over manual Kanban... 6 Electronic

More information

Supply Chain Leaders Understanding and Improving Supply Chain Performance Where It Counts

Supply Chain Leaders Understanding and Improving Supply Chain Performance Where It Counts Leaders Understanding and Improving Performance Where It Counts What is the Leaders Programme? Leaders is an action-oriented, practical programme which identifies the most vital supply chain improvements

More information

Supply chain management with Microsoft Dynamics GP. Microsoft Dynamics GP: The proven solution for efficiency and insight across your business.

Supply chain management with Microsoft Dynamics GP. Microsoft Dynamics GP: The proven solution for efficiency and insight across your business. Supply chain management with Microsoft Dynamics GP Microsoft Dynamics GP: The proven solution for efficiency and insight across your business. More than 40,000 customers use Microsoft Dynamics GP. And

More information

ERP emphasizes organization, discipline, and control.

ERP emphasizes organization, discipline, and control. Page 1 The objective of this white paper is to provide a basic road map for companies wishing to merge MRP and Lean Manufacturing methods. Illustration 1 ERP Planning and Control Dan Reed Planning Demand

More information

SUPPLY CHAIN (SC) DRIVERS AND OBSTACLES

SUPPLY CHAIN (SC) DRIVERS AND OBSTACLES SUPPLY CHAIN (SC) DRIVERS AND OBSTACLES Drivers of SC performance Facilities Inventory Transportation Information Sourcing Pricing The discussion here is mainly concerned with how these drivers are used

More information

ELA Standards of Competence on the Supervisory/Operational Management Level

ELA Standards of Competence on the Supervisory/Operational Management Level ELA Standards of Competence on the Supervisory/Operational Management Level 2.0 Basic Supply Chain Concepts 2.0.01 Explain the scope and role of component activities within the supply chain 2.0.02 Map

More information

AN ALTERNATIVE MODEL OF ERP MAINTENANCE STRATEGY

AN ALTERNATIVE MODEL OF ERP MAINTENANCE STRATEGY AN ALTERNATIVE MODEL OF ERP MAINTENANCE STRATEGY Muhammad Rofi IMTIHAN 1, Mohd. Salihin NGADIMAN, Habibollah HARON Department of Modelling and Industrial Computing Faculty of Computer Science and Information

More information

Rules to Consider. All work shall be highly specified as to content, timing, sequence, and outcome.

Rules to Consider. All work shall be highly specified as to content, timing, sequence, and outcome. Lean Manufacturing An operational system that maximizes Value Added, reduces Essential Support and eliminates Waste in all processes throughout the Value Stream. What is Value-added? What is Essential

More information

Appendix O MANUFACTURING YOUTH APPRENTICESHIP PRODUCTION OPERATIONS MANAGEMENT PATHWAY PRODUCTION OPERATIONS MANAGEMENT (UNIT 8)

Appendix O MANUFACTURING YOUTH APPRENTICESHIP PRODUCTION OPERATIONS MANAGEMENT PATHWAY PRODUCTION OPERATIONS MANAGEMENT (UNIT 8) Appendix O MANUFACTURING YOUTH APPRENTICESHIP PRODUCTION OPERATIONS MANAGEMENT PATHWAY PRODUCTION OPERATIONS MANAGEMENT (UNIT 8) Pathway: (Unit 8) PAGE 1 OF 17 Unit 8: Pathway 1. Assist to purchase materials

More information

"Kanban Do It Now but Do It Right" Workshop Illustrates the Importance of Kanban as a Tool in Lean Production

Kanban Do It Now but Do It Right Workshop Illustrates the Importance of Kanban as a Tool in Lean Production "Kanban Do It Now but Do It Right" Workshop Illustrates the Importance of Kanban as a Tool in Lean Production Helping to empower and motivate employees. Jeff Schaller, Ph.D. Just-In-Time (JIT) production

More information

Automating Quote to Cash How ERP Helps Discrete Manufacturers Improve Responsiveness. An Epicor White Paper

Automating Quote to Cash How ERP Helps Discrete Manufacturers Improve Responsiveness. An Epicor White Paper Automating Quote to Cash How ERP Helps Discrete Manufacturers Improve Responsiveness An Epicor White Paper Executive Summary Discrete manufacturers face continual changes in customer demand, raw material

More information

A Review of Assembly Line Changes for Lean Manufacturing

A Review of Assembly Line Changes for Lean Manufacturing IOSR Journal of Mechanical and Civil Engineering (IOSR-JMCE) ISSN: 2278-1684, PP: 01-05 www.iosrjournals.org A Review of Assembly Line Changes for Lean Manufacturing Awasare Anant Dattatray 1, M.V.Kavade

More information

Operations Management Part 12 Purchasing and supplier management PROF. NAKO STEFANOV, DR. HABIL.

Operations Management Part 12 Purchasing and supplier management PROF. NAKO STEFANOV, DR. HABIL. Operations Management Part 12 Purchasing and supplier management PROF. NAKO STEFANOV, DR. HABIL. Introduction basic terms Supply management describes the methods and processes of modern corporate or institutional

More information

HISTORY AND INTRODUCTION

HISTORY AND INTRODUCTION HISTORY AND INTRODUCTION I 1 Introduction The APICS dictionary defines the term supply chain as either the processes from the initial raw materials to the ultimate consumption of the finished product linking

More information

Supply Chain. cinagement. IStlGS USO OS.S. Fourth Edition. Donald J. Bowersox David J. Closs M. Bixby Cooper John C. Bowersox.

Supply Chain. cinagement. IStlGS USO OS.S. Fourth Edition. Donald J. Bowersox David J. Closs M. Bixby Cooper John C. Bowersox. USO OS.S Supply Chain IStlGS cinagement Fourth Edition Donald J. Bowersox David J. Closs M. Bixby Cooper John C. Bowersox Michigan State University Me Graw Hill About the Authors iv Preface v PART ONE

More information

Supply Chain Management

Supply Chain Management Supply Chain Management Contents A. Definition and Terminologies B. Evolution of SCM C. Supply Chain Management D. Integrated Logistics E. Fulfillment Process F. Specialized Supply Chains G. Supply Chain

More information

Work Cells and Cellular Manufacturing

Work Cells and Cellular Manufacturing Work Cells and Cellular Manufacturing Improving the fitness of the factory 1 Cellular Manufacturing Concept of performing all of the necessary operations to make a component, subassembly, or finished product

More information

An Epicor White Paper. Improve Scheduling, Production, and Quality Using Cloud ERP

An Epicor White Paper. Improve Scheduling, Production, and Quality Using Cloud ERP An Epicor White Paper Improve Scheduling, Production, and Quality Using Cloud ERP Table of Contents Introduction...1 Best Practices for Discrete Manufacturingrs...2 Inventory-based manufacturing...2 Discrete

More information

How To Improve Your Business

How To Improve Your Business ACHIEVING OPERATIONAL EXCELLENCE AND CUSTOMER INTIMACY: ENTERPRISE APPLICATIONS Content How do enterprise systems help businesses achieve operational excellence? How do supply chain management systems

More information

OR topics in MRP-II. Mads Jepsens. OR topics in MRP-II p.1/25

OR topics in MRP-II. Mads Jepsens. OR topics in MRP-II p.1/25 OR topics in MRP-II Mads Jepsens OR topics in MRP-II p.1/25 Overview Why bother? OR topics in MRP-II p.2/25 Why bother? Push and Pull systems Overview OR topics in MRP-II p.2/25 Overview Why bother? Push

More information

Implementing Automation after Making Lean Improvements

Implementing Automation after Making Lean Improvements Implementing Automation after Making Lean Improvements Frank C. Garcia, P.E., Director Business Solutions & Engineering Services Tom Lawton, President Advent Design Corporation Bristol, PA, USA December

More information

Lean Kitting: A Case Study

Lean Kitting: A Case Study Lean Kitting: A Case Study Ranko Vujosevic, Ph.D. Optimal Electronics Corporation Jose A. Ramirez, Larry Hausman-Cohen, and Srinivasan Venkataraman The University of Texas at Austin Department of Mechanical

More information

MASTER PRODUCTION SCHEDULE

MASTER PRODUCTION SCHEDULE 6 MASTER PRODUCTION SCHEDULE MGT2405, University of Toronto, Denny Hong-Mo Yeh So far, in discussing material requirement planning (MRP), we have assumed that master production schedule (MPS) is ready

More information

Alessandro Anzalone, Ph.D. Hillsborough Community College, Brandon Campus

Alessandro Anzalone, Ph.D. Hillsborough Community College, Brandon Campus Alessandro Anzalone, Ph.D. Hillsborough Community College, Brandon Campus 1. Introduction 2. Basic Concepts of Inventory 3. Categories of Inventory 4. The Basic Inventory Lot Sizing Model Economic Order

More information

How To Run A Lean Manufacturing Plant

How To Run A Lean Manufacturing Plant TechTarget Enterprise Applications Media E-Book Lean manufacturing and ERP: How to leverage ERP to get lean A manufacturing firm adopting the principles of lean manufacturing can effectively leverage the

More information