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Lean Implementation

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Submitted By amarti12
Words 765
Pages 4
Ashley Martin
Case 13- Lean implementation and supply chain development at Oak Hills
10/03/13
1. What are the specific quality problems Oak Hills is facing, and how will they influence the company’s ability to convert to a lean system? * One major problem of Oak Hills processes is their internal customers and suppliers. BlackDome, an internal supplier of Oak Hills, was often late on deliveries but attributed this to rush orders placed by Oak Hills internal customer E&E. The internal processes between units are lacking effective communication between E&E and Oak Hills. E&E does not provide Oak Hills with information concerning their current or impending projects, so Oak Hills know little about what projects require the testing instruments that they supplied them. * Another problem was the fact that E&E customers were used to the luxury of placing rush orders. There for the plant had to maintain a high level of raw materials inventory on-site, costing them space and money. * Another problem is their use of the batch flow system. * They need to locate production and warehousing facilities closer to their customers. * Require suppliers to deliver smaller quantities, more frequently. In order for Oak Hills to implement a successful lean system there must be improved communication between its’ internal units. Oak Hills needs to require E&E unit to forecast their demand more accurately, so they can reduce the amount of expedited orders, and be better prepared for rush orders.

2. What changes in the manufacturing environment need to be undertaken in order to convert the current system to a lean system? Think about this from both a short-term and a long-term perspective. * Since a lean system is concerned with waste reduction throughout a firm and its supply chain, Oak Hills needs to minimize inventories on-site by requiring

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