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Dr. Eliyahu M. Goldratt – Distribution and Supply Chain – Pull System and Replenishment
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Learn the procedures and measurements to understand how the supply chain can drastically improve its performance…
File Size: 2.94 GB.
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Description
Dr. Eliyahu M. Goldratt – Distribution and Supply Chain – Pull System and Replenishment
Description
With the exception of companies whose stated business is retail, most companies tend to ignore distribution. This is a huge mistake. Since every company is a link in a supply chain, most already realize that as long as the end consumer has not bought, nobody has sold. The biggest clot in the supply chain – the majority of the inventories – are usually found in the distribution stage. If a company wants to prosper its managers must understand how to help the distribution link to drastically improve its performance.
Your organization will learn how to carry out practical changes and what are the points you should take into account to have a successful implementation.
Pull System – trigger supply based on actual consumption.
Replenishment – supply the minimum necessary amount to protect availability during the replenishment lead time.
Aggregation – placing inventory in the right place to significantly reduce the amount of inventory required to protect against consumption variability.
Includes a Q&A segment.
A knowledge sharing tool for group learning and buy-in to:
- Ensure the availability at point of sale, while significantly reducing inventory levels.
- Gain consensus from different stakeholders.
- Put SIMPLE & common sense procedures that your team can put into practice for IMMEDIATE results by changing from a push to a pull system.
- Understand the answers to the questions “what to change?” and “what to change to?” to significantly MAXIMIZE AVAILABILITY while MINIMIZING INVENTORY LEVELS.
- Use as a comprehensive and system-focused learning resource for organizational development, group training, curriculum or library.
- Learn the procedures and measurements to understand how the supply chain can drastically improve its performance and distribute to maximize availability.
Content
What is the problem?
◦ What is distribution? and who is impacted by Distribution?
◦ Step 1: Identify the system’s constraint
◦ Step 2: Decide how to exploit the system’s constraint – Have the right inventory at the right place at the right time
◦ Step 3: Subordinate everything else to the above decision
◦ The distribution cloud
◦ Examine the Assumptions
What is the solution?
◦ What to change to? Improve forecast, improvement replenishment time and improve reliability
◦ Is accuracy of the forecast the same for every stage of the distribution system?
◦ Replenishment time
◦ From “push” to “pull”
◦ GM Cadillac Real case
◦ Operational measurements of the Supply Chain – what is the purpose of measurements?
◦ Primary measurement: Throughput Dollar Day (TDD)
◦ Secondary measurement: Inventory Dollar Days (IDD)
◦ What is the impact?
◦ Measurements for the components of a supply chain: Throughout
◦ Supply chain composed of companies
◦ Internal Supply Chain
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