Six Ways To Eliminate Loss From Your Supply Chain

Logistics and Supply Chain Management

The elimination of loss is a huge part of whether or not a factory or manufacturing process is doing well or doing poorly. Not paying any attention to just how you reduce loss is a quick step to make your business unprofitable. But how do you control loss? The Lean system separates it into seven categories.  Transport. Inventory. Motion. Waiting. Overproduction. Over processing. Then finally, defects. Using these categories, business experts have been able to isolate a collection of tips that can help you spot loss easier than ever.

Expertise

One of the causes of loss is the fact that you have to wait for a process whenever its operator is unavailable. This is a potential roadblock to any business, but there is a way around it. Cross training is a great way to make sure that none of your human resources are too irreplaceable.

Transportation

Are you running your own transportation? In that case, you need to make sure that they’re doing their job in an efficient manner and not costing you money. Aspects like traffic or roadworks can take this out of your control. However, in general, closer monitoring can help identify transportation problems. Time attendance tracking software is a great thing to outfit your transportation services with. With it, you know exactly how much time is lost in each trip.

Inventory

Having too much or too little inventory can each bring their own problems. With too little, you might be entirely unable to make certain products until you source more. If you have too much, then you’re inefficiently using space. This can lead to you not having enough space for inventory you have immediate need for. Then it comes full circle to not being able to make certain products. Using software to track your inventory can help you know when you’re in danger of either outcome.

Defects

Perhaps the most major source of loss in a factory is defects caused with products, requiring fixes or reproduction. Defects are often human error, but they can also be due to the choice of machine. Make sure you’re using the most suitable equipment for delicate process like Cablevey Conveyors. This can result in a lot less defects.

5S

Sort. Straighten. Shine. Standardise. Sustain. These are the English translations of the 5S system developed as part of Lean Manufacturing. These are practices you should fully make part of your business. It’s the art of making your factory floor as efficient as ever. Keeping only the most relevant equipment in your vital space and making sure it’s always performing up to standard.

Scrap

One of the dangers following defect products is the production of scrap and rework. Even though you put work into reducing defects, they are unavoidable as a whole. Use documentation to find instances of scrapping to better avoid it in future. Clearly communicating changes through the supply line makes sure you don’t lose any further supply to scrap. Always keep reviewing your system when a case of scrapping occurs.

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