Inventory unnecessary

In addition, detailed analysis of the chemical and physical properties of different oils used in the plant can, in some cases, allow consolidation or reduction of the number and types of lubricates required to maintain plant equipment. Elimination of unnecessary duplication can reduce required inventory levels and therefore maintenance costs. 

In the short term, more advanced companies meet the overall supply chain demand while simultaneously minimizing the overall costs of inventory, production, and missed sales opportunities. Further, with frozen production periods they avoid unnecessary changeovers, smoothen the whole production, purchasing, and maintenance process, and achieve superior adherence-to-plan and productivity performance. Nevertheless, if required, they can react promptly to unforeseen changes thanks to reduced changeover times, flexible suppliers, and powerful IT tools that adjust the plans quickly. 

Finally, responsiveness and fast dynamics of transitions may be achieved by suppressing unnecessary storage tanks and by optimizing the inventories of units. 

Personnel problems training capability, disposition of unnecessary workers, job description changes, and union contracts or work practices Availability of needed equipment Tie-in scheduling, inventory control, and paperwork Effect of natural conditions land, weather, etc. 

Waste of over production Waste of waiting inventory Waste of unnecessary transportation Waste of waiting times Waste of unnecessary processing Waste of unnecessary motion Waste of defected products... 

Actual demand informadmi is available to all other functional areas (production, logistics, finance, procurement, etc.) through an IT tool and is used to make operational decisions that drives clear and proven bottom line results (reduction of inventory levels, unnecessary price reduction, reduction of product write off, etc.). 

Cooling of the reactor core when the plant is in the shutdown condition or following the occurrence of abnormal events is reliably assured by making use of the natural force of gravity. Provision of a large water inventory inside the reactor pressure vessel as well as of a large source of water inside the containment makes active, fast-response safety equipment, pumps and electric power unnecessary in the event of disturbances in the reactor coolant system. 

Central to this reconstruction strategy was improved operational planning to better aUgn production and inventory with sales and the eUmination of unnecessary costs from the company s operations and its matericd supply chain. 

Without upsetting the accountants we believe that no measurement is sacrosanct and each measurement should be challenged. A measurement that does not help to improve the system is an unnecessary cost. Figure 7.3 shows basic measurements needed in inventory management. 

Movement or transportation Unnecessary motion Non-essential process Inventory Defects... 

They tie-up vast amounts of inventory and are the cause of stockpiling because they destroy process synchronization and thus create unnecessary laydays (waiting, downtime). 

Who then is responsible for the unnecessary capital tie-up in inventory which is backed up because of the bottlenecks in production Consider that... 

After backlog, this is generally the second largest producer of unnecessary inventory. It is much more serious, however, because ... 

If we take a look at the unnecessary inventories, we see that the incorrect estimates from sales and the as a rule underestimated backlog are the main cause, in addition to the widespread safety mentality. We will not be able to handle this with intelligent materials planning. What we need is a harmonized enterprise. 

Yet we can attack all other unnecessary inventories with reliable analyses. In this way, we will find their sources and thereby rapidly reduce the resulting inventories. 

To find unnecessarily broad scopes and thereby the unnecessary inventory, we not only have to calculate the absolute scopes for every reference number, but in particular the unnecessary scopes ... 

Once you have identified the unnecessary scopes for each reference number, sort them in descending order, and talk to the responsible managing clerks about the greatest deviations - the value is more important than the scope. Search for the causes and eliminate them so that they can never turn up again. This is an activity that you can implement instantly. It produces lower inventory immediately. 

The greatest single cause of unnecessary inventory is the much criticized backlog. To constantly monitor backlog, we should use the simulation to inform the SCM... 

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