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Manufacturing Journalist TR Cutler Talks Inventory Reduction from Electronic Kanban
Material Geek on February 02nd, 2010
02
Feb
TR Cutler, Inc. (www.trcutlerinc.com) was founded by Thomas R. Cutler a decade ago. Cutler maintains extraordinary relationships with clients, journalists, editors, trendsetters, and key business leaders worldwide and has become a key resource for those writing about the manufacturing sector. Cutler founded the Manufacturing Media Consortium™ in the 1999. This extraordinary group of more than 3500 journalists worldwide is writing about trends, data, case studies, profiles, and features in the manufacturing and industrial sector. Cutler has worked with thousands of media outlets to expand manufacturing media coverage. Cutler has authored more than 2,500 articles for a wide range of manufacturing periodicals, industrial publications, and business journals including most of the leading monthly trade publications. TR Cutler, Inc. recently launched a new professional coaching system for manufacturers worldwide named C.E.O.™ or Continuous Experiential Optimization.
Manufacturing Journalist, Thomas R. Cutler noted in a recent issue of Business Excellence Magazine, “By implementing electronic kanban software from Ultriva, A.O. Smith was able to make its plant-floor personnel and suppliers, effective agents in the replenishment cycle, squeezing out inefficiencies, errors, and costs. The company boosted its on-time customer delivery rate significantly, increased inventory turns by 100 percent, and substantially reduced inventory.”
With orders placed automatically and inventory tracked electronically, material planners have more time to think strategically about inventory usage, supplier performance, and problem avoidance. Material planners have easy access to inventory levels and can see potential problems and inventory reduction opportunities.
The company reduced inventory at the Ashland City facility by twenty percent annually. Since parts usage is tied electronically to replenishment, the company no longer has to stockpile parts to meet orders and with all the savings achieved, the return on the electronic kanban investment was just a few months. By reducing inventory, the company also freed up forty percent of its stock room; this provided extra space to use for other continuous process improvement projects.
TR Cutler, Inc.
www.trcutlerinc.com
Thomas Cutler
trcutler@trcutlerinc.com
888-902-0300
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