Inventory is one of the seven types of waste. There is usually quite a significant cost associated with having inventory, usually much more than what traditional bookkeeping accounts for. Between 30% and 65% of the value of your inventory is spent every year as inventory-related costs! This post looks into more detail at the cost of this inventory.
Due to popular demand related to my two posts on “Make Your Plant Tour a Success!” and “How to Misguide Your Visitor – or What Not to Pay Attention to During a Plant Visit!,” I have created a checklist for a lean visit to a manufacturing shop floor for you to download. Take this checklist with easy-to-use metrics during your shop floor visit to make yourself independent of potentially misleading data given to you by the shop floor staff. Metrics include worker utilization, machine utilization, inventory reach and turnaround, and order & cleanliness.
In the previous post I talked about how to have a successful plant tour and how to get the most information out of the visit. Today’s post shares the tricks of the trade on what things the plant does NOT want you to know about.See through the ruse during a plant tour and discover how good the plant really is.
Measuring the Overall Equipment Effectiveness (OEE) is one thing, but before you measure the OEE you should know when and where you actually need the OEE to improve your industry. This post describes what the OEE is good for and what it’s not.
The Overall Equipment Effectiveness (OEE) is by far and wide the most lied-about and fudged measurement on the shop floor, both intentionally or by accident. This post tells you the top three different ways how an OEE is fudged, so you know which OEE to trust and which one not.
There is quite a difference between knowing in theory how to measure an Overall Equipment Effectiveness (OEE), and actually measuring it in practice. This post will give crucial tips and points on how to measure the OEE on a real shop floor.
OEE, the abbreviation for Overall Equipment Effectiveness (or sometimes Overall Equipment Efficiency), is a measure of the utilization of a machine. It is frequently used on the shop floor, often determines part of the performance-based compensation of the managers, and is by far and wide the most lied-about and fudged measurement on the shop floor.