SCDigest Editorial Staff
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A Western company entering into a sourcing agreement with a Chinese supplier that does not understand these and other differences in cultural and business practices risks disappointment or outright failure.
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The Lean transformation of consumer goods manufacturers and distributor Rev-a-Shelf offers two interesting themes.
First, it superbly demonstrates the potential of Lean to dramatically impact operational performance and financial metrics.
Second, while most companies start their Lean journey by using the tools of Lean to reinvent processes and then build the technology enablement they need to support those processes, Rev-a-Shelf used an initiative to automate its data collection processes and improve information flow on the shop and distribution center floor as the foundation to then identify opportunities for Lean improvements.
“We wanted to make a fundamental change in the way we did business” said Mike Rogers, IT Manager for Rev-a-Shelf and one of the key team members behind the Lean transformation. You can hear the entire case study on SCDigest’s videocast on Driving Lean Supply Chains through Improved Information Flow and Visibility, featuring the Rev-a-Shelf case study, now available on-demand for immediate viewing (View Broadcast Here).
Headquartered in Louisville, KY, Rev-a-Shelf is a $70 million manufacturer and distributor of polymer, wire, wood, and stainless steel home organization and storage components. Its products often go inside household cabinetry.
The company’s initial pain point stemmed from manual, paper-based data collection processes, and a lack of shop and DC-floor support for actionable, real-time information. That led to a variety of operational issues, including carrying too much inventory, losing inventory, and challenges with customer service. The situation was exacerbated by a move a few years ago to global sourcing that added additional supply chain pressures.
Rev-a-shelf first deployed a solution from Epicor Software that automated shop floor data collection and provided real-time inventory management and other execution capabilities. The new system solved some immediate problems for Rev-a-Shelf, but also led the company to see how this improved information flow could further be leveraged – and the answer was Lean.
(Manufacturing Article - Continued Below) |