Increasing manufacturing effectiveness and flexibility is a key component to improving market responsiveness and improving the company’s competitive advantage. It is important manufacturing processes are flexible and that manufacturing produces products that are demanded by the customer, whether these components have been forecast or not.
Manufacturing must be able to quickly manufacture different products at the same time and be able to change the product mix efficiently. Regular reviews of customer demand versus forecast demand and monitoring stock levels, will help control cost, ensuring manufacturing are building goods required to meet customer demand. It is important that production planning monitor changes in customer demand and that the production plan reflects market requirements.
In the current market place long production runs are not effective, as these limit; flexibility, reduce customer service, increase customer back log, increase stock holding and are a drain on the company’s cash flow.
It is important that production lines are optimally planned to ensure that flexibility does not drive unnecessary cost in to the business and reduce profitability. There is not one optimally flexible manufacturing plan but there can be many flexible alternative scenarios that will allow the business to efficiently meet the demands of the market. It is important that manufacturing management and planning management work closely together to ensure that production lines are effectively planned and resources are optimised.
Manufacturing management invoking the concept of lean manufacturing will challenge existing processes and eliminate non-value adding activities. Manufacturing management in pursuit of lean manufacturing will continue to challenge existing processes and will challenge employees to continue to reduce and eliminate non value adding activities. Employees should be encouraged and challenged to think of new ways to improve. Continuous improvement must become embedded into the company’s culture and part of normal business activities for the company to remain competitive. Employees must feel enabled and empowered to influence the timely delivery and quality of goods they produce.
Effective manufacturing management focuses on each step of the manufacturing process to determine whether or not it is something the customer is willing to pay for. Waste at all levels must be monitored, examined and eliminated where necessary. Effective and efficient manufacturing management will lead the; reduction of inventory, elimination of over production and over processing caused by poor manufacturing cell design, reduce process waiting time and unnecessary material movements. Eliminating non value adding activities within the manufacturing process will increase efficiency and ultimately increase profitability.
