Waste (Time, Effort, Materials, $$$)
Symptoms (What do you see…)
- FG inventory higher than customer demand.
- Low margins.
- High % of non value adding operations.
- Missed shipments.
Causes (What you’ve got…)
- Over production.
- Excessive waiting.
- Transport.
- Over processing.
- Inventory.
- Defects.
- Lack of systems or their proper usage.
- Lack of co-ordination and communication.
- Lack of continuous improvement program.
Solutions (What might work…)
- Implement and enforce system usage.
- Prepare a process flow analysis to identify weak points.
- Prepare a root cause analysis to eliminate bottlenecks.
- Implement lean/CPI.
More Inventory Topics
