Saint Leo UniversitySCM 515Michael Kpa.docx
- 1. Saint Leo University SCM 515 Michael Kpayili Project Two March 22, 2020
- 2. Thinking about process improvement in my area of work, my project focus on the flow of information and material on how uniforms are supplied to the company, received, store, and distributed to customers. In this case, employees are customers in the project because they are the end-users of the product. The project will also focus on the current process and how the future process will look like after designing ways to add value and improve process. I will firmly admit that receiving, storing and distribution of uniforms at SecurAmerica has been excellent over the past years, but it appears a bit obsolete judging from a backlog of stock in the storeroom which is costing the company unnecessary expensive. With the application of LSS and the DMAIC process in the system, the future seems bright for the procedure. So, let get the ball rolling. The current state of the value stream 1. The company has for the past years engage in bulk purchase of uniform before the recruitment of security officer 2. Overstocking inventory for future use is becoming to be the wrong strategy 3. Less quality of uniform 4. Excessive money spent on transportation which would have been avoided 5. The extra cost associated with the return of the uniform 6. Improper mode of communication which was delaying order fulfillment 7. Guards waiting long hours for quality uniforms · Supplier- Gall Incorporated has been committed to serving security professionals since 1967 and has been proven to be responsive, although with an obsolete system. It is currently
- 3. supplying the Security firm with a very low quality of uniform, thereby compelling the company to always buy from them. · There are two sets of customers considering the flow of products. The company and security Guards who are the end- users of the product. Lack of process visibility is posing a serious issue · Transportation: long trucks are usually hired to transport the uniform at the destination, but emergency requires FedEx air transport mode which is very expensive · Information: Information sharing is believed to be excellent, but it appears that somebody is not reading his email on time, thereby creating long lead time, which could be avoided. Future States or strategy to employ LSS/DMAIC for process improvement 1. Do average estimate size of a security guard and use the vendor management Inventory 2. Encourage the system of Just in Time method 3. Invest in the quality of uniform to avoid it ragging early 4. Frequent transportation will be mitigated the company order as required 5. The availability of multiple communication channels would help speed lead time and order fulfillment · Supplier- The development of an effective link between supplier and company · Customers- create the understanding that customer is the end- user of the supply chain · Transportation: The introduction of JIT/VMI would help curtail the high transportation cost · Information: effective information sharing is essential. Taking advantage of multiple technologies.
- 4. Detail Action Plan 1. Design a DMAIC to identify defects in the process and correct it 2. Eradicate or minimize waste 3. Create added value 4. Design a cost-saving methodology Value Stream Team and Manager 1. Michael Kpayili-Manager 2. Bill Tuazama -Co-Chair 3. Sam Grimes -Secretary Process improvement in uniform distribution
- 5. Series 1 Just in Time MethodInformation sharing Vendor Management Inventory Category 4 Order fulfilment 0 0 3.5 0 Series 2 Just in Time MethodInformation sharing Vendor Management Inventory Category 4 Order fulfilment 2.4 4.4000000000000004 1.8 2.8 0 Series 3 Just in Time MethodInformation sharing Vendor Management Inventory Category 4 Order fulfilment 2 2 3 5 percentage Current state of the value stream/Supply of Uniform Supplier: Delay in delivery 30% Customer: company express distrust 40% Information: Untimely response 20% Identify defect/DMAIC
- 6. Create added value Cost saving methodology Waste elimination Buck purchase and overstocking Substandard uniform quality uneccesary spending on transportation excessive cost on uniform returns delay in receiving/delivery Eliminate transportation cost Multiple Communication Channels Just in time method