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Improving Quality, Efficiency
& Profitability

Spring 2007              Manufacturing ETC Home pageContact Us LinkContact Us LinkContact Us Link

“Efficiency is doing better what is already being done.
Peter F. Drucker

MasoumWelcome to the spring edition of our quarterly newsletter. Spring? As I write this, it’s snowing outside. I’d hoped and planned that it would be warmer this Easter weekend. I’ll have to make some adjustments, I suppose.

What things have impacted your operation that caused you to make some adjustments? We shared some initial information about System Dynamics in the last edition, so this quarter we’re expanding on the topic. As a matter of fact, we’ll be having a seminar on the topic in May – keep your eyes on your mailbox (conventional and electronic) for information about it.

“The best laid plans of mice and men.” We all have them, and we all know that as soon as we get thoroughly committed to them we’ll have to change them. If you are operating in a lean and efficient method, making those adjustments is more easily accomplished. Spring is a time of new birth, or fresh starts. Are you ready for a new, fresh start in your operation? Let me know if you need a hand.

Here’s to a wonderful spring for us all!
Sal Ganino
Manufacturing ETC

The State of Manufacturing

Business in Review March 2007

Revenue reports from the First District – Boston suggest some softening since January with most retailers saying that revenues were down from a year ago. The Second District – New York reports that the expansion of economic activity has been essentially well-maintained; however there were scattered signs of deceleration since the last report. Consumer prices remained relatively stable, and input price pressure appeared to be unchanged. There was however some indication that wages were accelerating.

Manufacturer reports are generally mixed with New York Manufacturers indicating that activity has rebounded in recent weeks and are expressing optimism about the near-term outlook. One surplus and salvage store reported that sales had “not been good at all” with January being one of the worst months in the last five years. Fuel prices and the weather were cited as possible contributing factors. An auto-dealership association said that sales continued to be “absolutely awful” and many dealers were just “trying to hold on,” Click here to read the complete article.

Lean Manufacturing

Your Hidden Factory;
Finding that much needed hidden capacity

A NASCAR pit crew can change all four tires, fill the gas tank, and adjust the air foil in less than ten seconds, so why does it take you hours to changeover your production lines and equipment? In auto racing, a few seconds means the difference between winning the race and not even coming into the money.

Today, manufacturing is no different. If we can’t meet customer requirements, then our competition will. You either win or you lose--there is no in between. We, as customers, don’t wait the way we did in the 1950’s. When the television set dies, we want to replace it right now. We go to our favorite store first, but if they don’t have what we want or can’t have it delivered to our home within the next 30 minutes, we go next door to the competition. Click here to read the complete article.

MRP/ERP

Answers to Minimizing the Impact of System Dynamics
by Sal Ganino

In our previous issue, we talked about the Impact of System Dynamics on our industrial operations. Today, I would like to discuss with you the Principles of Lean Enterprise and how they can be employed to counteract some of the negative Impact of System Dynamics.

It would truly have helped had you first participated in our “Understanding the Impact of System Dynamics” simulation. This simulation quickly demonstrates how the dynamics of any system, in our case a very simple distribution system, can adversely impact a previously stable system. Click here to read the complete article.



For more information or to schedule training
call (518) 377-6107