Common problems in the manufacturing supply chain

11

Click here to load reader

description

Common problems experienced in the Manufacturing Supply Chain and how working with LLA can alleviate these.

Transcript of Common problems in the manufacturing supply chain

Page 1: Common problems in the manufacturing supply chain

COMMON PROBLEMS IN

THE MANUFACTURING

SUPPLY CHAIN

Page 2: Common problems in the manufacturing supply chain

OVERVIEW

The supply chain is essential to every part of any manufacturing

business. In order to manage the supply chain in an efficient manner, we

need to ensure that we are not making fundamental mistakes that can

lead to:

Disorganisation and inefficiency

Long Lead Times and poor stock control

An inability to stick to schedules and frequently missing deadlines

Poorly organised and unmotivated staff

Here are some examples….

Page 3: Common problems in the manufacturing supply chain

WAREHOUSING

Inventory accuracy – Often not knowing

what we have in stock.

Warehouse layout and space utilization

– Not making best use of the layout, or

using a warehouse that is too small.

Organising the warehouse – poor put-

away procedures causing the warehouse

to become disorganised and Inefficient.

Slow picking processes and stock

discrepancies – If pickers are taking

longer to find items in a disorganised

warehouse, this may cause delays in the

shipping process and lead to a back-up in

labour.

Page 4: Common problems in the manufacturing supply chain

PRODUCTION PLANNING

Plant capacity – Production falls behind

due to lack of labour or equipment, which

can cause delays in meeting schedules.

Scheduling – Poor scheduling caused by a

lack of clear order priorities or inefficient

scheduling procedures.

Long lead times – can cause the shop to

become overloaded and create excessively

long lead times.

Product quality – Encountering quality

defects in manufactured components and

assembled products

Page 5: Common problems in the manufacturing supply chain

DEMAND MANAGEMENT

Poor demand information – Inability of

the organisation to access and analyse

accurate demand information can cause

significant problems to occur

Fragmentation of Spend – Buying

equivalent products in small quantities

means each separate transaction is of

limited value

Forecasting – The data required for

forecasting may have features that make

forecasting difficult, such as intermittent

demand or short product cycles. Poor

forecasting is the mother of excessive

stock holding.

Page 6: Common problems in the manufacturing supply chain

PEOPLE MANAGEMENT

Staff turnover – Companies with a

number of employees leaving frequently

may cause the business to become

unstable and leave existing staff

overworked.

Monitoring progress – Not checking to

see if employees are struggling with

aspects of their work can lead to mistakes

being made.

Company aims - Failing to provide

direction on what their employees should

be doing, and when.

Poor feedback – Failing to provide

adequate feedback and training

opportunities to employees.

Page 7: Common problems in the manufacturing supply chain

OUR COURSES

.. Are designed to help eradicate the common issues that managers

and staff face within their supply chain, helping to create ones that are

leaner, more efficient and flexible.

Courses can be stand-alone or form part of Certificates and Diplomas

accredited and regulated by the Chartered Institute of Logistics and

Transport or Institute of Supply Chain Management.

LLA courses feature all aspects of the supply chain, from Supply

Chain Management to People and Performance Management. We

provide courses for those new to Logistics all the way to senior

management.

Courses can be studied through fully supported distance learning,

face-to-face in an organisation or by combining the two.

Page 8: Common problems in the manufacturing supply chain

WHAT IS MY RETURN ON

THE INVESTMENT…

Examples would include:

Improved inventory accuracy and throughput of your

warehouse stock

Improving the layout and organisation of your warehouse

Improved shipping and loading times

Understanding how to handle people and equipment better

Improved scheduling and lead times

Improved handling of quality defects

Improved cash utilisation, through shortened cash-to-cash

Cycle times

Staff who know that you value them

Page 9: Common problems in the manufacturing supply chain

And Because Of This,

You Will Be Able To: Cut costs

Improve demand information and be able to

access and analyse data

Improve Fragmentation of Spend to ensure

maximum transaction value

Improve the way forecasting is made

Keep staff turnover numbers down

Monitor staff performance and ensure staff

members understand the aims of the

organisations

Provide suitable feedback that will improve staff

productivity and job satisfaction

Page 10: Common problems in the manufacturing supply chain

DEVELOPMENT NEEDS

ANALYSIS

o If you are experiencing common problems in your supply

chain but aren’t sure which courses would benefit you, we

can carry out a Development Needs Analysis (Our DNA

Check).

o A DNA Check will be conducted by one of our specialist

coaches, who will work with you to agree the areas in need

of improvement.

o Once completed, we will advise which courses are best for

you and your staff, or work with you to establish a

development programme designed around your needs.

Page 11: Common problems in the manufacturing supply chain

CONTACT US

For more information on Development Needs Analysis, or to

request our Training and Development Guide, contact Haydn

Sandvig today;

Telephone: 01530 276590 or 0800 158 8231

Website chat: www.logisticslearningalliance.com

Email: [email protected]

Skype: admin_lla

Social Media: Search for Logistics Learning Alliance

Ltd