Bulletins and Certificates
Order Fulfillment and Accuracy Improvements
In last months technical bulletin we highlighted the new impregnation system and how the introduction of this system into our production flow has not only improved product quality but also product throughput. These types of incremental production improvements have happened on a regular basis within the organization thru Lean Kaizen events such as 5S, Cellular Manufacturing, Standardized Work, Kanban and Total Productive Maintenance. The results from these efforts are reflected in reduced lead times and in improved accuracy of orders shipped.
The chart below shows the improvements made in order fulfillment as a result of our Lean initiatives. It depicts the average on-time delivery (an order that ships on-time and complete) percentage by month.
When we started tracking On-Time Delivery in January 2006, we averaged 43% on-time. As the chart above reflects, today we are consistently near 100%. Our corporate target is shipping today’s orders tomorrow; we currently ship in 3.3 days on average. This is obviously a challenging target but incremental improvements in the way we do business has and will continue to inch our way closer to this goal. Additionally, we have maintained order accuracy near 99% to ensure the customers are getting what they requested. Order accuracy can be affected anywhere from the time the order was phone or faxed in until the order is loaded on the truck and pulls away from the factory.
Steady, level demand is important to consistently meet the customers’ request (orders on a regular frequency – weekly – are preferred). As the chart shows, in Sep/Oct we had an inflated demand because of the price list increase that was effective 10/1/07. This inflated demand caused the on-time delivery to dip as we scrambled to meet their needs.
As you can see the continuous improvements that have been implemented here at Husky are having a positive affect on not only our product quality but also our ability to provide our customers the products they want accurately and on time.
For further information or questions about information in this technical bulletin please contact Joe Laschke, Husky Technical Service Representative at firstname.lastname@example.org or our customer service department at 800-325-3558.