Improving Supply Chain Synchronisation using Time Based Analysis.
In this post I want to describe how I have used time-based analysis to improve supply chain synchronisation. When a product or service is tracked through an organisation and the results are visually displayed on a time line, a common finding is a complex and out of control supply chain.
In most organisations there are a number of issues that combine to increase inventory, time consumed, costs, delays and complexity. Examples of these issues are – Complicated ERP/MRP systems, reliance upon forecasts and historical demand than cannot keep pace with changing conditions. A time lag between the point when supply chain items are known to be needed and actual orders are placed with internal or external suppliers. Manual inputting of order requirements. Not enough linkage between design depts and purchasing systems, not enough auto compilation of BOMs. Deliveries of materials into storage areas, numerous booking in and out points, not enough direct to point of use feeds. Early or late deliveries of materials and information are common.
The results of numerous applications of time-based analysis have left me astounded at the levels of waste that exist, and that are mainly being ignored by management.