On Time Deliveries
A significant number of companies have trouble meeting their deadlines. These companies always seem to be behind the eight ball and every month end is a scramble to get the last minute production inspected, packed and shipped. Every month the management vows to take appropriate action to end the turmoil but each new month is eactly the same as the month before: chaos.
Many management experts will advise a company that good planning will eliminate the problem, and to a degree they are right. Work should be spread evenly across all days of a month so that work at month end is no different than work at the beginning of the month.
Sometimes inconsistant demand is a problem with the production going low and high depending on the daily work orders. It's up to management to find ways to equalize demand so that the plant is functioning on a smooth, even keel. Some companies that are adverse to pre-producing finished goods are surprised to find out that they are wasting more production dollars than they are saving in inventory carrying costs. The management of every company should be aware that unutilized production capacity is lost forever. Carrying costs are lost too but they are usually small in comparison to wasted production costs.
One company, tracks their scheduled work against production capacity. When production exceeds capacity, a backlog must build up and the backlog must be cleared up at some point. This one particluar company works off its backlog every week by adding overtime when it occurs. In this way they avoid all but a small backlog in the critical few days before month end.
This company also plans to finish their month 3 days in advance of the actually deadline. Sometimes this plan leaves them with extra days but that is no problem because they simply start their next month early. Later, they may adjust their overtime plans to slow the production down but in reality that hardly ever a problem.
Timeliness is tied to productivity and all the methods for increasing productivity will also have a benefical effect on scheduling. This includes eliminating bottlenecks, improving worker motivation, maximizing resources, improving processes, increasing order, better process control and trial and error improvements.
Sometimes an outside advisor can spot some places where changes will improve timeliness and keep the plant running on time.
If you want an assessment and plan of improvement we will happily give you some time. Call us or fill out a request for quote
Rush orders can be a problem for companies that have customers prone to making delivery changes. These changes can cause delay and confusion if they come at the wrong time and are handled poorly. Management must plan how to slip a rush order into a production schedule so that the order does not destroy the normal production.
