New Ivory : An Effective System

Decent Essays
New Ivory is a private company which manufacture and produce packaged sauces. Based in the UK they work in a competitive market supplying 50% of products to supermarkets and 50% to other clients. New Ivory (NI) attempt to use lean principles in order to make their business more efficient. Using these principles helps them to deliver their products to clients within the given lead time of 14 days; currently they rely heavily on forecasting sales. It is not an effective system and there is potential to erase the waste they create, they still need to apply further lean principles to achieve this. Kaizen is important with all the flows and processes; it will however take time to implement. The theories need to be implemented carefully and within certain ideals to create continuous improvement.
Observations on current working practices
New ivory have a 14 day lead time. This is high, and ideally should to be reduced to 7 days. This is due to poor procedures on the manufacturing floor, such as time wasted waiting for products moving from the next station to another because there are too many shared resources. A potential solution for this is using the theory of ‘first in first out’ (FIFO) as explained by Bharath, R (and others, 2014) ‘a method for organizing the component buffer where the oldest entry or bottom of the stack is processed first which eliminates inventory which in turn reduces the lead time and Value Stream Mapping (VSM) to map the present and the future
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