Using ERP in a Lean Manufacturing environment Andy Barnes Operations Manager Snell & Wilcox Ltd.
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Transcript of Using ERP in a Lean Manufacturing environment Andy Barnes Operations Manager Snell & Wilcox Ltd.
![Page 1: Using ERP in a Lean Manufacturing environment Andy Barnes Operations Manager Snell & Wilcox Ltd.](https://reader035.fdocuments.us/reader035/viewer/2022062409/5697bfe11a28abf838cb3cb8/html5/thumbnails/1.jpg)
Using ERP in aLean Manufacturing environment
Andy Barnes
Operations Manager
Snell & Wilcox Ltd
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Outline Agenda
• About S&W
• Supply Process Improvement
• MFG Pro in a Lean Environment
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About Snell & Wilcox
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History• 1973: founded by Roderick Snell and Joe Wilcox
– To focus on the preservation and improvement of the television image
• 1988: Joe Wilcox retires, 24 employees
• 1993: Introduction of Alchemist with ‘Ph.C’
• 1994: Acquired CEL Ltd
• 1996: MPEG (Moving Picture Experts Group) activities began
• 1999: MXF (Material Exchange Format) work starts
• 2001: Acquired Post Impressions and PSP
• 2005: Turnover ~£36m, 350 employees worldwide
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Products- IQ Modular
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Products- Switchers
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Award winning record
• Four technical Emmys- Phase correlation motion compensation (Ph.C) - the
key to superior standards conversion
- Prefix MPEG pre-processing - saves storage and transmission costs
- DEFT 3:2 cadence detection and repair - improves Hollywood workflow efficiency
- HD up and down conversion - for flexibility in production and broadcast
• Many other awards:- Eight Queens Awards
- First to win two IABM Peter Wayne Technology and
Innovation Awards
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Customers including...
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Locations
Southleigh Park
HQ, R&D, ManufacturingSouthleigh Park, Havant
R&D, ManufacturingSaffron Walden
R&DNewbury, Liss, Montreal
Sales and ServiceUK, France, Germany, Russia,USA, Hong Kong, China, Japan, India, Lebanon
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Supply Process Improvement
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Historical Process
• Forecast driven batch build process (push)• Long lead times ~4-6wks• Poor levels of customer service - OTD
~55%• High levels of inventory - stock turns
~4/annum• Quality issues highlighted late in build
process - Rework
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Objective
Improve historical levels of on time
delivery, lead time and quality to world
class levels:S&W Target
On time 55% >98%
Response 4-6 wks <5 days
Quality ??? ppm
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Time for Change- Spring 2004
• Established a full time multi-functional team
• Capability through intensive training
• External support - Cranfield Consultants
• Pilot project using simple product family - Kudos+
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TheSevenWastes
Energy Untapped human resources By-products Inappropriate IT support
OtherCommonWastes
Types of Waste
Motion Transportation Waiting time Overproduction Inventory Processing time Defects
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Value Stream Mapping- 1U Gateway Card
Monthly
W eekly
Solder Paste
C/T - 30C/O -FTT - 100%U/T - 100%OPS - 1
SurfaceMount
C/T - 183C/O -FTT -U/T -OPS - 3
Flow Solder
C/T - 330C/O - 0FTT -U/T -OPS - 1
Roving Probe
C/T - 60C/O -FTT -U/T -OPS - 1
Hand Build
C/T - 1447C/O -FTT -U/T -OPS -
Program m ingDownload
C/T - 1200C/O - 396FTT - 89%U/T -OPS - 1
Prim ary Test
C/T - 540C/O -FTT -U/T -OPS - 1
Mech Assy
C/T - 3120C/O -FTT -U/T -OPS - 3
SecondaryTest
C/T - 4620C/O -FTT -U/T -OPS - 1
24 HourSoak
C/T - 86400C/O -FTT -U/T - 100%OPS - 1
Conform anceTest
C/T - 4500C/O -FTT -U/T -OPS - 1
Packing &Shipping
C/T - 300C/O -FTT -U/T -OPS -
63
CUSTOMER
Sales O ffice
Packaging
Shipping
SOP & PLANNING
DAILYMRP
30 Day Forecast
Daily Orders
SUPPLIERS
Monthly Orders
W eekly Orders
Receiving
Distribution
17.530 183 330 60
10.81447
4.11200
3.8900 3120
6.39300 86400 5400 300
39 15 14
10
13
Test
S hopF loor
ocessTimesPr
dtomerdemanbasedoncusLeadTime(
102730 S econds28.53 H ours
(E xclud ing 24h Soak 4 .5 H ours)
42.5 D ays o f S tock = 2.8% VA(is 1020 H ours)
TA KT T im e=72U nits/20
=3.6U nits P er D ay1 E V E R Y 2 H ours
B ased on 36.25/5 N E Thours
VALUE STREAM MAP FOR THE GATEW AYCARD USED IN KUDOS+ PRODUCTS
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Batches
Space Transport / handling problems (damage)
Time to make batch - some of which aren’t needed
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The Problem with Batches
SMTRobotasFlow Solder
ElectricalAssembly
Mechanical Assembly
TestSoak
Distance travelled between remote “silos” = 470mEach ‘silo’ making batches independentlyDelays and difficult to align production to actual orders – customer lead time 4-6 weeks
Pushing Batches Through• Cycle time to make whole batch – not just what customer ordered• Waiting for other batches• “Pinching” from one batch to fulfil “more urgent” order• High inventory everywhere• Response time = time for complete batch to move through complete process, queuing behind other batches
Inventory
Customer Lead Time
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Pull / Flow
SMTRobotasFlow Solder
Cell: Elec/Mech/Test/Soak
Distance travelled between shared resources and cell = 70m (85% reduction)Customer lead time down to final process time <5 days (subject to volume)
Pull only what the customer orders• Cycle time to make quantity actually needed (x) • Flex capacity by moving operators / adding work-stations• No waiting for other batches• No “Pinching” to fulfil “more urgent” order• Only tactical inventory that is not committed to any specific order• Response time = time for each unit required to move through the final process only
Tactical Inventory – Part-built in kanbans &Uncommitted to orders
Customer Demand = x
Customer Lead Time
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Work Content
GatewayRear
InterconnectAssy
Mega CardAssy
Front PanelAssy
TestMechanical
AssyFinalTest
Customer
SurfaceM ount
SurfaceM ount
Robotas
3270 m ins
1419 m ins
2660 m ins4465 m ins
7600 m ins 6000 m ins
8700 = m ins ava ilab le pe rpe rson pe r m on th
KANBAN BINS
W ORK STATIONS
T im es show n a re in m inu tes and rep resen tcapac ity o f the w orks ta tion , based on pas tcus tom er dem and o f 80 un its pe r m on th
24hoursoak
Draft Capacity/W orkstation Layout
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Actual Cell layout
Gat
eway
LED
Ass
yIQ
Fro
nt P
ane
l
Rea
r P
anel
PS
U A
ssy
Fro
nt P
anel
A
Fro
nt P
anel
B
450
550
600
180
M echan ica l B ox B u ild
P rim ay/F ina l Test
C onform ance Test
P C B A ssy B ench A
P C B A ssy B ench B
5062 m ins
5379 m ins
9486 m ins
3708 m ins
5396 m ins
5674 m ins (w ithgateway & f/p )
24hr
P C B 's From S M T& R obotas
= K anban P art B ins
P ack & S hip
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Before After
ClutteredPoor LightingPoor VentilationSearch for tools & parts
OrganisedBrightCleanEverything to hand
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PCB Before
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PCB After
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Test Before
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Test After
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Kudos+ Workstation
Parts for the build
Build Instruction
Clean & clear place to build the product
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Build Instructions
MANUAL No DESCRIPTION 1U Rear Panel Interconnect PCB
ASSY No. SAAN RCIC1U2Z LOCATION ZCELLK A DATE 23/ 08/ 04
10 RMK7 P2RA39 RMK0 0731 RMK6 P1040 RMK0 19
31
40
39
10
STEP – 2Solder components to PCB in thefollowing order:-Item Cct Ref10 CN1039 CN931 CN840 CN7
Numbers in build instruction match those
on the part bins
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2 Bin Kanban System
Numbers in build instruction match those
on the part bins
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Signal to Build
Empty space is the signal to build
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Bin Replenishment
Refilled bins are placed here by stores
Empty bins are placed here for stores to collect
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ATE Test Jig
Product can be tested by the person who made it in the cell
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Benefits - Kudos+ KPI’s
KUDOS+ PRODUCT CELLWEEKLY KPI'S - OUTPUT
0
5
10
15
20
25
30
35
40
WEEK COMMENCING
LE
AD
TIM
E (
DA
YS
) /
NU
MB
ER
OF
O
RD
ER
S
0%
20%
40%
60%
80%
100%
120%
OT
D %
LEADTIME
NO. OFITEMS
ON TIMEDELIVERY
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Extra Benefits
• Improving the process has uncovered more ‘opportunities’ that were hidden
• Helped identify key training requirements within the cell
• Improved floor space utilisation• New Kanban philosophy• Transactions reduced• Continuous improvement ‘culture’ developing
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Benefits - Reduced WIP
132 Units
~£400 Each
£52,800
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Benefits - Space
274.125m2
20% Overall Reduction
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Lean Projects Roadmap
• Kudos+ cell - Completed July 04• IQ Modular - 80% complete
– Box build cell– PCB build & test cell– Box configuration & conformance test cell
• Kahuna cell - 90% complete• Other product cells - December 05• Surface Mount line - 2006
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MFG Pro in a Lean Environment
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History
• 1994: Introduced Release 7.1 on a UNIX operating system
• 1996: Upgraded to 7.4
• 2002: Upgraded to eb
• 2005: Still bloody character screens!
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Supply Process- Pre Lean
SOP
MPS
MRP
WORK
ORDERS
PURCHASE
ORDERS
MRP Planned Orders
determine what we
ACTUALLY
Purchase (PO’s)
and
Manufacture (WO’s)
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Supply Process- Post Lean
SOP
MPS
MRP
CRP
VENDOR
SCHEDULES
MRP Planned Ordersdetermine what weMIGHTPurchase (VS)andManufacture (CRP)
Demand Pull (SO,Kanban, Faxban)determines what weACTUALLY Purchase& Manufacture
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Supply Process- Vendor Schedules
Delivery Schedule
TOBY ELECTRONICS LTD
Deliver To:
TOBY ELECTRONICS LTD Snell & Wilcox Ltd
BEAUMONT ROAD IND EST Southleigh Park House
BANBURY Eastleigh Road
OXON Havant
OX16 1TU PO9 2PE
GREAT BRITAIN GREAT BRITAIN
Purchase Order:VS00005
Week Commencing...
ItemFab Auth
Raw Auth
RMG9 ELM5/04 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMG9 ELM5/10 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 10WMTSW105 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 10WMTSW110 0 0 0 F 0 F 22 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 20017AR-16G2 0 0 0 F 0 F 500 F 1000 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 24WBOXED 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 399R/A 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 BBS10 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 HW0511GS 0 0 0 F 0 F 450 F 0 P 900 P 1584 P 744 P 0 P 0 P 336 P 336 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 QTE02003 0 0 0 F 0 F 278 F 0 P 0 P 0 P 144 P 72 P 0 P 0 P 180 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 QTE02005 0 0 0 F 0 F 100 F 96 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 198 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 TSW1914TD 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 17 0 0 0 F 0 F 0 F 0 P 77 P 28 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 1712001SD 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 1712002SDLC 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 36 P 0 P 0 P 70 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 1713001SD 0 0 0 F 0 F 13 F 0 P 0 P 8 P 0 P 6 P 0 P 0 P 12 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 1713002SDLC 0 0 0 F 0 F 0 F 0 P 0 P 17 P 0 P 0 P 0 P 0 P 24 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 19 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 20 0 0 0 F 0 F 4 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 BSW-10204-G-S 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 M22-6120822 0 0 0 F 0 F 16 F 0 P 0 P 0 P 1 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 QSE02001 0 0 0 F 0 F 0 F 35 P 0 P 240 P 0 P 240 P 0 P 240 P 176 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 SFML130T2S 0 0 0 F 0 F 39 F 0 P 0 P 0 P 48 P 0 P 16 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 SQT11203FD 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 SSQ12001 0 0 0 F 0 F 0 F 0 P 0 P 4 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 SSQ13201 0 0 0 F 0 F 0 F 0 P 0 P 1 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK1 TFML13002 0 0 0 F 0 F 206 F 0 P 68 P 124 P 0 P 68 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK6 SFM105-01 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK8 14 0 0 0 F 0 F 29 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK8 16 0 0 0 F 0 F 50 F 0 P 0 P 0 P 25 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK8 20 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK8 24/.3 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK8 28 0 0 0 F 0 F 280 F 168 P 168 P 238 P 154 P 168 P 196 P 0 P 210 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK8 32.6 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK8 6PDIL 0 0 0 F 0 F 0 F 345 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK8 8PDIL 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMKA 24/.3SMT 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMKA FTSH10501 0 0 0 F 0 F 500 F 250 P 375 P 0 P 250 P 250 P 0 P 250 P 375 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMKA TFM10522S 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMKA TFM12022S 0 0 0 F 443 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMKA SFM12002S 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMW4 7642430A 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK3 RCAJACK 0 0 0 F 0 F 0 F 0 P 0 P 0 P 21 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK0 34 0 0 0 F 0 F 0 F 0 P 0 P 12 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
RMK5 16 0 0 0 F 0 F 0 F 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0 P 0
01/05/06 05/06/06 03/07/0602/01/06 06/02/06 06/03/06 03/04/0605/12/05 12/12/05 19/12/05 26/12/0507/11/05 14/11/05 21/11/05 28/11/05Prior 17/10/05 24/10/05 31/10/05
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Supply Process- CRP
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Supply Process- Sales Order Processing
PRE LEAN
MPS ATP
POST LEAN
Finite Capacity SchedulingFGAN IQH1S-RC-BMOD-1U FRAME+BLANK F/P +SO41539 - Line 2FGADG 3768050AARC20:20S ASPECT RATIOSO41345 - Line 1FGAN IQHSBOXRCAPBMOD-1U REMOTE SHOEBOXSO41274 - Line 11
FGAN IQHSBOXRCAPBMOD-1U REMOTE SHOEBOXSO41274 - Line 11
FGAN IQH1S-RC-BMOD-1U FRAME+BLANK F/P +SO41284 - Line 1
FGAN IQH1S-RC-BMOD-1U FRAME+BLANK F/P +SO41243 - Line 3
FGACZ 3598000BMACH:1 PHASE4 Msc MOTIONSO41270 - Line 1
FGAN IQH1S-RC-BMOD-1U FRAME+BLANK F/P +SO41403 - Line 2
FGAN IQH1S-RC-BMOD-1U FRAME+BLANK F/P +SO41284 - Line 1
FGACU 3548310BTBS180AV ADVANC TIMEBASESO41202 - Line 8
FGACZ 3598000BMACH:1 PHASE4 Msc MOTIONSO41270 - Line 1
FGAN IQH1S-RC-BMOD-1U FRAME+BLANK F/P +SO41402 - Line 2
FGAN IQH1S-RC-BMOD-1U FRAME+BLANK F/P +SO41229 - Line 2
FGACU 3548310BTBS180AV ADVANC TIMEBASESO41202 - Line 8
FGACZ 3598000BMACH:1 PHASE4 Msc MOTIONSO41270 - Line 1
FGAN IQH1S-RC-AP-BMOD-1U FRAME+ACTIVE F/P+SO41326 - Line 1
FGAN IQHSBOXRCAPBMOD-1U REMOTE SHOEBOXSO41158 - Line 2
FGACU 3548300BTBS180 ADVANCED TIMEBASESO41162 - Line 7
FGACZ 3598000BMACH:1 PHASE4 Msc MOTIONSO41270 - Line 1
FGAN IQHSBOXRCAPBMOD-1U REMOTE SHOEBOXSO41321 - Line 13
FGACZ 3598300BCVR250 ACTIVE F/P 10-BITSO41273 - Line 1
FGAN IQHSBOXRCAPBMOD-1U REMOTE SHOEBOXSO41158 - Line 2
FGACU 3548500BNRS70 ACTIVE F/P 1RUSO41162 - Line 6
FGACU 3548410BTBS185AV ADVANC TBC WITHSO41545 - Line 1
FGACZ 3598000BMACH:1 PHASE4 Msc MOTIONSO41270 - Line 1
FGAN IQHSBOXRCAPBMOD-1U REMOTE SHOEBOXSO41321 - Line 13
24/10/05 25/10/05 26/10/05 27/10/05 28/10/05 31/10/05 01/11/05 02/11/05 03/11/05M T W T F M T W T
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Supply Process- Material Transactions
PRE LEAN• MRP Planned Orders Report (23.12)
• Check for shortages (13.8.18)
• Firm Plan Work Order (16.1)
• Release Work Order (16.6)
• Kit Work Order (16.10)
• Make Product / Assembly
• Receipt Work Order into stock (16.11)
POST LEAN• Make Product / Assembly
• Advanced Repetitive Backflush Product / Assembly (18.22.13):
– Cumulative Work Order– Consume materials– Consume labour @ standard– Receipt into stock
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ANY QUESTIONS?
Thank you