Effective materials management is driven by customer demand, either actual or anticipated. In this video, Steven explains a three-step procedure for demand-driven materials flow using both MRP and Lean approaches.
- Albert Einstein once said that,…"Everything should be made…"as simple as possible, but not simpler."…THat's an important distinction…because a system that is too simple can lead to errors.…When it comes to managing materials,…some people believe that a lean approach is just that.…Too simple to be effective,…but the key to successfully managing materials is flow…and the key to flow is having the right materials…in the right place at the right time.…
When I speak of materials, I mean the raw materials,…components, and sub-assemblies…that make up your final product.…The one yous ship to your customer.…Now most companies believe you can manage…the flow of materials in one of two ways.…First, you can use a structured, computer driven…material requirements planning system or MRP…to determine the flow of materials…based on anticipated demand,…your forecast of customer demand.…Or secondly, you can use a lean system…which manages material's flow based…on actual demand, real orders from your customers.…
Many people believe that this is an either or situation.…
Lean concepts have been successfully applied to every aspect of doing business. In this course, learn the principles of lean and how they are used in processes, production, and services. Instructor Steven Brown also explains how lean thinking impacts the organization, from the overall business culture to day-to-day work activities.
LinkedIn Learning (Lynda.com) is a PMI Registered Education Provider. This course qualifies for professional development units (PDUs). To view the activity and PDU details for this course, click here.
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- Cite the focus of a lean strategy.
- Explain what a “rule of complexity” is.
- Name the three key measures of inventory.
- List the 5S tools.
- Define a lean transportation system.
- Describe the characteristics of a lean purchasing organization.
- Identify the characteristics of a lean company.