Requirements Planning System For Replenishment Planning

The timing of capacity changes also needs to be taken into consideration to achieve maximum efficenty given that demands of their products varies with seasonal changes. The ability to react to market demand changes quickly will determine manufacturers flexibility in keeping up with these demands. Manufacturers needs facilities to produce, whether warehouses to store its raw materials or finished goods, or manufacturing plants to produce their products. Services facilities are needed by certain manufacturing industries such as consumer electronics to cater for returns. Distribution centres also determine the efficenty of production distribution and un-nesessary inventory holding will result in higher holding cost. Such facilities require large investments and are integral of the manufacturer’s supply chain strategy and thus proper planning is needed when making these decisions regardong the size, location which affect the overall operations. How manufacturers run their productions also determine how successful will they be in terms of productivity and quality levels. Different types of equipment and processes also affect the cost and output of the manufacturing plant. Information systems that flow both upstream and downstream affects the forecasting, planning, inventory and production levels, they must be robust to ensure the manufacturing firm is able to react accordingly to changing demands and variations. In addition to their internal environment,

steel toe work boots leads to an analysis of its current process. The assembly schedule

Effective supply chain management can provide an important competitive advantage for a business marketer, resulting in improved communication and involvement among members of the chain, increased motivation, and decreased costs. Tracking the movement of and demand for components used to manufacture a product across a variety of potential and actual suppliers, provides insight and the ability to respond instantly to shortages, surpluses, and changes in market conditions. It seeks to optimize production, decrease manufacturing time, minimize inventory, streamline order fulfillment, and reduce cost.

Continuous improvement, often known as Kaizen, is essentially a small step improvement strategy. It is based on a belief that continual improvement can be brought about by a continuing series of small changes. Even if there is a culture of big innovative changes it is argued that these will still

The globalization of organizations and more competitive forces have compelled more manufacturing businesses to improve an efficient supply chain planning for reducing the cost of supply chain. Planning of supply chain is being the critical component of business’ management. Supply chains have conventionally been split, being unsuccessful to assimilate the business utilities in the chain of logistics process. Such difficulties, as extended order lead times, high inventory costs, and struggle in answering proactive to real time variations, having lower profits and weak client goodwill that can be determined by putting together supply chain management schemes for transportation and warehousing. Supply chain can be explained as a combined practice where actually numerous different organizations individuals such as manufactures, retailers, distributors, and suppliers perform together in order to obtain raw materials, transform these raw materials into wanted ultimate products and supply these ultimate products to the vendors. The key methods in this combined procedure are the distribution, logistics, production planning and control. The production and planning steps are two of the most crucial parts to obtain worldwide optimization in supply chain management. And, this should be explained inside the integrated planning infrastructure. Interactive parts of supply chain included key parts such as purchase, production, logistics planning, sale, production and manufacturing

Barilla SpA, a large vertical integrated corporation that makes pasta and bread products is experiencing rising costs due to extreme variability in demand from its distributors. In order to improve company’s sale margins, Giorgio Magialli, the Director of Logistics at Barilla suggests to implement a Just-In-Time Distribution (JITD) system. The JITD system is a continuous replenishment distribution strategy, which the responsibility for determining inventory quantities shifts

Recently I have participated in the continuous improvement project at my work to improve productivity and to recreate a process. The name of the project was Kaizen 2016. The Japanese term KAI and ZEN literally mean “to change” and “for the better” and it has come to symbolize continuous improvement.

A first of important group of reverse supply chains can be found in systems of directly reusable items such as reusable packages such as bottles, crates pallets and containers (see Chapter 1). Reusable items requiring only minor reprocessing steps such as cleaning and inspection can be expected to lead to a rather flat supply chain network structure comprising a small number of levels (i.e. depots). Moreover, a closed-loop supply chain structure seems natural in this context since there is no distinction between ‘original’ and ‘reuse’. Determining the number of items required to run the systems and prevention of loss are important issues in this closed-loop situation (Goh and Varaprasad, 1986).

Companies that operate high-volume, fast moving and complex warehouses are always looking for ways to streamline the processes of their warehouses through the use of technology (Murray). The picking and packing processes in a warehouse are the most time consuming and costliest processes in a warehouse in terms of labor, accounting for about 50% of the total labor costs (How). Those two activities, because of their heavy labor costs, are prime areas for a company to improve efficiencies and reduce costs as much as possible. One way

In this report will be analysed the current production line of a manufacturing company that produces three different products. Because the system is consuming too much resources and it’s not very efficiently, ways to improve all this factors is needed. By identifying the bottleneck an alternative solution can be proposed for this problem.

So the elimination of waste is the basic principle of lean manufacturing. Waste sources are all related to each other and getting rid of one source of waste can lead to either elimination of, or reduction in others. The most important source of waste is inventory. Work in process and finished parts inventory do not add value to a product and they should be eliminated or reduced. When inventory is reduced, hidden problems can appear and action can be taken immediately. There are many ways to reduce the amount of inventory, one of which is reducing lot sizes. Reducing lot sizes however, should follow by a setup time reduction so as to make the cost per unit constant as economic order quantity states.

Everyone has different roles within the organization from the top management, middle management and the supervisor along with the ground workers, they all focus on different aspects of the business as needed but the Kaizen philosophy has created a level in the hierarchy that all the employees from different departments and levels perform a similar task of implementing a continuous improvement culture within the organization operation

We analyzed a Toshiba assembly line plan for a new subnotebook computer.  The engineering section manager, Toshihiro Nakamura, wants to make changes to the line process as designed by the engineers.  The basic assembly line equipment and space already exist within the Toshiba plant, so the subnotebook assembly process must conform to those preexisting constraints.  Specifically, the assembly line is a straight 14.4-meter conveyor system that can accommodate 8 to 12 workers plus one supporter to aid in the assembly process.  The employees work at assembling for 7.5 hours a day.  The computers are assembled from

MRP was developed in the 1970’s as an inventory management system. The principle relied on conducting detailed planning to ensure that parts and materials ware obtained in time to meet the manufacturing process. It was a major step forward at the time as it capitalized on the use of the computer to generate the supply orders. (rf) The use of computers allowed operations managers to track supplies orders, obtain secondary materials and enabled precise stock levels to be measured easily. Now almost all MRP systems use computes. This led to companies creating production schedules that focused on obtaining resources to match the output level of production. (rf) Using MRP managers can determine what materials are required in what quantity and by what deadline. This is known as a push system of inventory control and involves forecasting inventory needs to meet

Although the firm has been working on maximum efficiency, Tom Mathis has come up with a better solution to solve the problem. He plans to cut costs by purchasing supplies from overseas sellers. Mr. Mathis knew that this strategy would have increased the cost and time of delivery. The factory buyers should also take the time to investigate any potential new vendors. So he is using information technology to implement the program and to improve the process of inventory restocking. (Larenernest, 2010)