Material Flow Optimization in Manufacturing – Leading Industry Automatization Manufacturer

Task The challenge was to realize a productivity increase of more than 40 percent. To achieve this, in the future same product segments should be produced at various locations. The different product types should be combined in one single production concept.

Approach By analyzing the supply chain, we identified the structural weaknesses of the process as well as the mismatch between production technology and production concept. By using the Kanban methodology and other solutions, we integrated a clear structure of information and material flows. The resulting E2E transparency along the supply chain, enabled a direct allocation of costs and cycle times for the individual process and production steps. By introducing flow principles, the identification of technologically similar products as well as by implementing the Kanban concept, we achieved a reduction of cycle times by more than 30 percent and a reduction in inventory levels by more than 40 percent.

The decisive success factors in this project were:

• the methods used: Kanban, 3-D simulation with “Witness”, value stream analysis
• our extensive experience and expertise in the field of material flow optimization