Saturday, August 30, 2008

Datacraft Solutions’ Van Nostrand Offers Kanban Advice

Datacraft Solutions’ Van Nostrand Offers Kanban Advice

Ron Van Nostrand, CPIM, MBA, is the Services Project

Manager for Datacraft Solutions. According to Van

Nostrand there are some simple pieces of advice that

assist companies in moving forward in digital kanban.

The maxims of kanban and pull systems are:

1) never ship bad product to your customer;

2) ship the exact quantity ordered;

3) deliver on-time (not early, not late).



It has been said “Uncertainty is the Mother of All

Inventory” (a quote from Martin Christopher).

According to Van Nostrand, “Using consumption based

replenishment will help your organization lower on-hand

inventory levels. As you reduce inventory levels, your

exposure to the risk of running out of key items

increases and that could stop your production line.

Worse, a stock-out can prevent you from shipping on-time

to your customers and you could possibly shut down their

production lines. It takes time, creative thinking,

persistence and negotiating skill to eliminate

variability in your supply chain. You seldom have

leverage to change the unpredictable demand patterns of

your customers, but if you are determined, you can work

with your suppliers to change the paradigms of key

relationships. If you don’t have a formal Supplier

Development Program, start one now. Look for every

opportunity to reduce and eliminate variability in your

supply chain partners, upstream to suppliers, within

your four walls and downstream with your customers. In

today’s intensely competitive global marketplace, the

most efficient and cost effective supply chain wins.

It’s no longer my company versus your company

competition. It’s my supply chain against your supply

chain. Remember, inventory is expensive and carrying

costs run between 20% - 35%. The cost of inventory in

your supply chain will always have to be paid by the end

customer, so it can be a huge competitive edge when

inventory is minimized across the supply chain.”



Datacraft Solutions

(http://www.datacraftsolutions.com/\">www.datacraftsolut

ions.com) delivers a revolutionary digital kanban

process of automation solutions to lean manufacturers

through a secure Internet gateway, eliminating the need

to install and maintain a complex IT infrastructure. The

company has experienced significant growth in the past

two years by eliminating complicated, expensive,

time-intensive software implementations as well as

extensive training regimens and the need for internal

support. Datacraft Solutions’ replenishment supply chain

digital kanban system allows customers to access and

utilize powerful lean benefits immediately for a low,

predictable monthly fee. Services are scalable so

manufacturers can design an appropriate digital kanban

solution.





Datacraft Solutions

www.datacraftsolutions.com

Sonja Foust

sfoust@datacraftsolutions.net

800-819-5326


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