For any small to medium sized manufacturer the ability to effectively manage inventory can determine a company’s success or failure. Lean manufacturing principles identify inventory as one of the most critical “wastes” to be eliminated. If inventory is not constantly moving through the production process then it is “non-value add” and needs to be removed from the system. Excess inventory ties up working capital, takes up valuable storage space, may become outdated or obsolete and can become easily damaged.
Inventory level reduction procedures should always be regarded as a best practice and incorporated into the company culture. OptiProERP software has compiled a list of 6 ways to reduce inventory levels that any manufacturing enterprise, regardless of size, can use to optimize inventory performance. Read More
Quality management is embedded within core lean manufacturing principles, however improving quality assurance even further for small and large manufacturers alike, can be achieved by adopting Six Sigma techniques and strategies.
Lean manufacturing is a philosophy of continuous improvement (kaizen) with the goal of providing extraordinary value to the customer through a process of eliminating waste, (activities that do not add value), from every aspect of the operation. True lean manufacturing principles encourage every individual in the organization to continuously improve value generating activities and eliminate non-value generating activities. The principles are laser focused on increasing company efficiency. Read More
An ERP system is arguably the core infrastructure of any manufacturing operation. It connects every function within the organization providing all the required data to drive the business efficiently, productively and profitably. It can handle customer orders, customer relationship management, plan purchases, plan production, manage inventory, run accounting, manage HR functions and provide comprehensive reporting tools. Every operational activity can be monitored in real time.
If your current ERP system doesn’t do any of the above then it’s time for an upgrade. If your current ERP system does do all the above, but slowly, inefficiently and inaccurately, then it’s time for an upgrade. If you run a manufacturing business and don’t have an ERP system, it’s time to get one.
But finding the solution that meets your specific requirements can be challenging. To assist you in your search we have compiled 10 steps Read More
Your salespeople are doing a great job drumming up business. But you are having a problem keeping up with demand and you can’t figure out why. Production holdups are increasing, quality standards are dropping, delivery schedules are not being met and your customers are becoming increasingly unhappy.
Sound familiar? You’re not alone. These are common warning signs that your manufacturing business needs an ERP software system. Here are some more: Read More
When you start researching lean manufacturing for the first time you’ll be confronted with a myriad principles, concepts, processes and tools, each of which have to have their own acronyms of course.
Lean manufacturing best practices are not that complicated! They are based on 3 common sense principles:
- A laser focus on providing value to the customer
- Identifying and eliminating waste
- Establishing a process of continuous improvement
In order to become a successful lean manufacturer these principles need to be baked into the company culture. Critical to that success is empowering each member of the workforce from C suite on down to apply lean principles at any time anywhere in the organization. Read More
The short answer is a resounding yes! You can be a two-person job shop or a 5000 person aircraft manufacturer and lean manufacturing principles apply equally. Lean manufacturing is a philosophy of continuous improvement (kaizen) with the goal of providing extraordinary value to the customer through a process of eliminating waste, (activities that do not add value), from every aspect of the operation. True lean manufacturing principles empower every individual in the organization to continuously improve value generating activities and eliminate non-value generating activities. Read More
The primary goal of lean manufacturing is to eliminate waste, (anything that doesn’t add value from a customer perspective), and inventory falls within that scope. So essentially lean inventory management best practices are focused on reducing inventory levels to zero. A worthy goal indeed but impractical to say the least. Read More
Efficient inventory control is critical to the profitability of any manufacturing enterprise. However with so many inventory control methods available, it can be overwhelming to sift through them all to determine the best fit for your company. In general, manufacturers want to find a system that optimizes inventory levels, minimizes waste and consistently meets production line demands. Read More
The ways in which manufacturers extract and apply business intelligence (BI) are in transition. Depending on a variety of factors, manufacturers are relying on everything from manually produced spreadsheets to inflexible legacy ERP systems all the way to “smart manufacturing” approaches utilizing IoT and even IIoT.
While the overall trend is toward more integrated and flexible systems that can process voluminous amounts of data, yielding analytics and metrics for improved decision-making, a majority of manufacturers still have yet to commit to the newer, “smarter” technologies. Read More
A few months ago, we published a blog entitled “The Future of Manufacturing – Are You Prepared?” in which we stated that “… today’s manufacturing companies must reconfigure to emphasize agility, flexibility and ‘smartness’ in order to remain competitive in a rapidly evolving marketplace.”
Indeed, the rapid-fire emergence of “smart manufacturing” is quickly reshaping the landscape and will soon be “de rigueur” for companies committed to leveraging real-time business intelligence to reduce costs, improve efficiencies and speed up time to market, just to name a few objectives. Read More