Review of planning and supply chain models and logic

Designing the model and new processes to guarantee an excellent service level

There are two dimensions to the production and supply chain logistics model:

Demand: Rules of engagement and process interfaces between different supply chain functions
Production: Activities and processes of the industrial and production area

By revisiting the production logistics model, it is possible to create diversified management models based on the type of product handled in order to significantly improve performance in terms of lead time and the quality of the information managed along the process.

To achieve this, it is necessary to review the production logistics model from two levels of vision/stream:

STRATEGIC STREAM

Aims at analysing the entire sourcing and production platform (make and buy) to assess risks/opportunities through

Supplier portfolio analysis
Product variety analysis
Critical Cluster analysis
Definition of opportunities

OPERATIONAL STREAM

Aims at analysing the organisation and processes to assess their level of maturity and possible improvements through

The mapping of logical and physical operations core processes (process charts, bottlenecks, cycle times and balancing, VA vs NVA...)
Measurement as is of key performance indicators (stock rotation, flow index, service level...)
Identification of strategic/tactical opportunities with related priorities and cost-benefit estimates

Results achievable by revising the production logistics model

The results that can be achieved through the analysis of the production logistics model and the implementation of improvement opportunities can be summarised as follows:

Reduced lead time for delivery of finished products
Increased reliability of delivery schedules
Robust and structured control of the production and supply chain
Ensuring short and stable response times to the market
Achieving a coherent supply chain organisation capable of supporting company development
Increased plant productivity
Greater synchronisation between departments and with suppliers in a pull logic
Increased ability to measure and control the progress of work in progress
Improving the support of information systems to business processes
Minimising non-value-added activities in offices and production areas
Product quality improvement in the overall process
Definition of standard processes that can be easily controlled and replicated
Increasing people's skills and involvement
Improving the quality of people's work
Increased ability to measure and control costs
Verification of innovative production solutions and factory layout design