Manufacturing strategies to counter production pressures (Strategy Focus)

Table of Contents

• DATAMONITOR VIEW
  • CATALYST
  • SUMMARY
  • METHODOLOGY
• ANALYSIS
  • Lean initatives help manufacturers trim waste from theirprocesses
    • Total productive maintenance aims to minimize productionline down time
    • Six Sigma focuses on production quality
    • Just in time manufacturing 'pulls' production processes
    • Kaizen (continuous improvement) ensures manufacturerscontinue to experience strategy driven benefits
    • 5S streamlines cleanup processes
    • Quick change over (SMED) ensures that reconfiguration ofproduction lines flows smoothly and quickly
    • Adoption of lean strategies will vary by region,industry and individual company
  • Demand driven manufacturing seeks to lower costs whileimproving customer satisfaction
    • Demand driven manufacturing removes the need fortraditional forecasting
    • Employing demand driven manufacturing reduces the costof holding inventory
    • Demand driven manufacturing can be challenging toimplement
      • Production must be flexible enough to deal with changingdemand cycles
      • Visibility into the supply chain is required for demanddriven manufacturing
      • Real time operation leads to the most significantbenefits from demand driven manufacturing
      • Managing information pertaining to demand drivenmanufacturing is critical
    • Demand driven manufacturing will grow in popularity, butmanufacturers will need help
  • Increasing supply chain visibility allows optimizationof core and peripheral processes
    • Production visibility allows manufacturers to hone theircore competency
      • Supplier interaction is an important element of amanufacturer's business
      • Customer interaction directly affects revenue, and costs
• APPENDIX
  • Definitions
  • Extended methodology
  • Further reading
  • Ask the analyst
• List of Figures
  • Figure 1: Which of the following strategies are youimplementing?
  • Figure 2: Are your manufacturing operations lean ortraditional? (1 = traditional, 4 = lean)