Getting things done fast is a must in the world of manufacturing. However, it’s not just about how many products are produced in a single day but also the amount of work being put in to create each product. This is why you often hear of the term “lead time” in most manufacturing companies. I personally label lead time and activity as calendar time and clock time respectively.
Calendar time is the amount of time spent on job order up to its completion while clock time is the amount of work to get things done. For example, if a project is required to be done in a week then your calendar time will not be affected as long as you finish the project in a week but you can improve on your clock time if you do the work faster.
The goal of lead time analysis is to deliver as fast as you can and make sure the gap between the request of order and delivery is the shortest time possible. Just to remind ourselves, studies have proven that the first product sample or proposal is most likely chosen 85% of the time. Sometimes it’s not about being top quality or having a reasonable price, it was simply being the first out there. Also, check out this manufacturing news on lead time and efficiency.
Key Strategies for Effective Lead Time Management System
1. Multi-task – We usually work in parallel instead of a series in order to multi-task. As long as I don’t have my hands full on a task, then I make sure to do something else at the same time.
2. Avoid handoffs – Keep in mind that each handoff requires the work to stop before it resumes again. The gaps in between can cause a delay and sometimes an inevitable error could disrupt the entire process. Avoid handoffs as much as possible and this can be done by giving employees the right tools that they need.
3. Shorten steps/processes – This strategic lead time management can also be attributed to avoiding handoffs as cutting steps or shortening processes does that and eventually reduces lead time. Simply assess all the processes involved in work being done within your company then eliminate or if possible, create shortcuts but just make sure the objectives are still met.
4. Take advantage of technology – Just as much as you love shopping, consider shopping for technology and tools a hobby as well to help boost your company’s productivity and efficiency.
5. Maximize capacity – You do not have to do this by hiring more employees but simply by compressing work being done by each employee. Maximize their capabilities and make sure you are able to squeeze the most out of them in a single shift.
Impact of Lead Time Assessment to Your Company
Lead time management has a great impact towards any company particularly the ones in the manufacturing or retail industry. One should acknowledge that delivering fast is a clear advantage over the competition. Having no time to waste means giving value to every second the clock is ticking with the work in progress.
Our lead time assessment provides you with an estimated manufacturing schedule. It tells you when your item will be delivered and covers the time from sampling to final delivery. Many factors influence the lead time. Clients and suppliers have their own schedules. Raw materials need procurement time and human error may cause delay.
The goal of lead time analysis is to deliver as fast as you can and make sure the gap between the request of order and delivery is the shortest time possible. Just to remind ourselves, studies have proven that the first product sample or proposal is most likely chosen 85% of the time. Sometimes it’s not about being top quality or having a reasonable price, it was simply being the first out there.
Intrepid Sourcing and Services‘ lead time analysis provides realistic manufacturing lead times. We will verify the accuracy of the estimates if you already have a supplier. Our lead time assessment reviews ways to reduce the overall lead time and will always use your project specific details. As a result, our strategic lead time management manufacturing service lets us create a system synchronizing your and the supplier’s schedules and needs.
- Time Management: Our strategic lead time management will fit your schedule to deal with tight deadlines. We use strategic lead time analysis to make sure your schedule is followed. In short, our estimations will help you better plan your lead time.
- Production Schedules: Our lead time analysis will give you an accurate schedule. In short, we make sure your product will arrive when it is supposed to. Our lead time assessment reviews the factory schedule and compares it to our own plans.
- Long-Term Purchase Plans: We analyze the provided lead times to be realistic and enforceable. We secure your strategic lead time management system so that you always have the stock needed. As a result, our lead time assessment will minimize your inventory costs.
Strategic Lead Time Management
Why it Matters
Lead time assessment is the time from the beginning of the outsourcing process to its conclusion. In short, it’s the amount of time you need to get your product. However, a lead time assessment is tricky because of the different factors you should consider during your lead time analysis: manufacturers palliate the production schedule, shipping delays may occur and your inventory levels may be inadequate.
We believe all lead time assessments should check three main aspects: reviewing the production line, verifying the factory lead time, and analyzing the logistics estimates. Firstly, closely scrutinizing bottlenecks can give you a clear understanding of the lead time potential. Secondly, checking production process information against what the factory estimates gives an accurate understanding. Thirdly, getting the product from the factory to your warehouse requires knowledge about logistics and customs processes.
Lead time management has a great impact towards any company particularly the ones in the custom manufacturing or retail industry. One should acknowledge that delivering fast is a clear advantage over the competition. Having no time to waste means giving value to every second the clock is ticking with the work in progress.
You may also check out this article on the impact of reducing lead time in the e-commerce businesses.
Want to Combine Services?
Optimizing your strategic lead time management is a smart business decision, but only when your lead time analysis is done properly. We help across every aspect of the product outsourcing process, ensuring that you have access to the best lead time estimation. Each project requires customized attention. You can choose standard packages or go for a personal-driven solution. Make the best combination for your success and we will deliver it to you with great care!
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