Being LEAN has made our company
profitable. We went from the red to the black, our through-put
has doubled and our inventory was reduced by 86%. Our inventory
turns went from 3 to 20, all of which is still improving (read
about our success story) but a new system constraint has
immerged, our company’s administrative staff is now burdened
with 6 times more work!
What happened was a logical result of
successfully reducing inventory levels and increasing inventory
turns. In order to maintain our Kanban controlled inventory, we
generated 6 times more transactions and paper work for the
Purchasing, Receiving and Accounting professionals. Since we
are ordering Kanban replenishment material everyday, our
Purchasing staff is creating up to 150 Purchase Order line items
daily. When those line items are delivered, our Receiving
Professionals are buried with a backlog of goods to receive, and
placing them in their perspective Point-Of-Use locations.
Shortly thereafter, the Accounting Department was buried with
vendor invoices for the received material.
could have increased our staff to relieve this new system
constraint, but we decided instead to take the LEAN concept to
the next level. So we designed software to support our LEAN
effort, and to relieve the additional workload that was placed
on our administration through automation.
Thanks to the Partnership with Weber Systems, Inc., Orca Technical Leans Systems
developed a paperless Bar Code enabled procurement and receiving system for
Kanban controlled inventory. In
addition we developed Lean Purchasing to convert and automate a visual Kanban
reorder signal into Purchase Orders; which are electronically transmitted to the
Vendor. Lean Invoicing was developed
to quickly reconcile invoices to receivables and post to Accounts Payable.
Access Your Biz Lean Option: Kanban (Bar Coded) Inventory
Lean Purchasing - Paperless procurement of Kanban controlled inventory
Lean Receiving - Bar Coded process to receive KanBan
Lean Invoicing - A fast and efficient method to manage vendor
BOM Control - To control product configuration/build and
Job Order Purchasing - To procure Customer Specific (non-Kanban
controlled material) to a Job Order
Maximizes Point of Use Practice
Dynamic 2 Bin Kanban Quantity Control
What is Lean Manufacturing? -A
Definition of LEAN Manufacturing.
A LEAN Company – An established LEAN Company needed a
The LEAN approach – An article to support your LEAN
movement over MRP/ERP systems.
– A Case Study of a LEAN company and their Return On
About Robert Krause
Enterprise System (LES) Software
Why Do You Need LES?
– Rationale and a supporting article to use LEAN Manufacturing