Lean and Seradex ERP Software - Frequently Asked Questions (FAQ)


Lean techniques are, in their most basic form, the systematic identification and elimination of waste (80%), and the implementation of the concepts of continuous flow and customer pull. The touted benefits of lean production systems are 50% lower production costs, 50% less personnel, 50% less time to field new products, higher quality, higher profitability, higher system flexibility, and more... However, by continually focusing on waste reduction, there are truly no end to the benefits that can be achieved.



Cellular Manufacturing

Cellular layouts organize production departments around a product or a narrow range of similar products. An ideal cell manufactures a range of highly similar products. The cell is self-contained with all necessary people, equipment and resources. The term group technology is sometimes used to distinguish cells that produce a group of similar items.

Seradex ERP Support for Cellular Manufacturing:

Item Master Quick Edit to standardize Item Numbers and descriptions. This will help identify duplicate items entered as separate item numbers

Group items by Category, Shape, Metallurgy, Weight, Size, Function, Tooling, Annual Usage and other user defined groups. Easily search on any group to rationalize, substitute and reduce parts. Search before adding new parts to reuse existing parts and tooling

Group Assemblies and Bills of Materials by Routing Similarity. Automatically generates a matrix of part numbers and machine numbers to locate natural groups

Based on forecast or historical data Automatically generate a matrix of movements between each set of work center pairs

Using the above information you can begin to cellularize the factory based on hard data.

Cycle Time

The normal time to complete an operation on a product. This in NOT the same as takt time (see below), which is the rate at which customers are demanding a product.


Seradex ERP Support for Cycle Time:

Seradex contains standard and actual cycle times for all products. Track improvement trends on cycle time reduction activities. Publish average cycle time data by month for all parts and for top selling 20% of products. Track total setup time by month and setup reduction trends.



5 Why's

A simple technique, used to reveal the 'root cause' (as opposed to symptoms) of a problem. The technique asks 'why' the symptom occurred, 'why' the situation which allowed the symptom exists, and so on, until the root cause is finally discovered. Eliminating the root cause prevents the symptom from occurring again.


Seradex ERP Support for 5 Why's:

The first step in root cause analysis is problem identification. Seradex has numerous systems that monitor potential problem areas:

Quality Control Module identifies all quality problems in real time

Scrap Tracker Software to document scrap and rework on the shop floor

Service Module allows Customers and Staff to document product or process problems


Once an issue is logged into the Service Module it is assigned a tracking number. The 5 Why's for the issue are analyzed and documented. The Mistake-Proofing and Poka Yoke methods are used to identify and document the issue. The issue is then closed.


Heijunka

A Japanese term for make flat and level. A heijunka calculation defines the model mix scheduled on a given line.


Seradex ERP Support for Heijunka:

The Production Scheduling Module offers full Heijunka capabilities to use demand leveling to break down the total volume of orders for a given planning period (months or weeks) into scheduling intervals (weekly, daily). A heijunka calculation then defines the model mix scheduled on a given line. Takt time is automatically tabulated.

Hosin Planning

Policy management or Strategy deployment. A method for establishing goals (and policy which supports and enhances those goals) and ensuring that these goals are the primary focus of the organization.


Seradex ERP Support for Hosin Planning:

Employee Task Manager is designed to assign and track prioritized goals for every employee in your manufacturing company including: Accounting, Customer Service, Marketing, Sales, Purchasing, Engineering, Research or Information Systems.

Just-in-Time (JIT)

A production scheduling concept that calls for any item needed at a production operation - whether raw material, finished item, or anything in between, to be produced and available precisely when needed, neither a moment earlier nor later.


Seradex ERP Support for JIT

JIT - Just in Time Support is offered with an array of tools including Electronic Kanban, Automated Supply Chain Management and Heijunka scheduling.

Kaizen

The philosophy of continual improvement, that every process can and should be continually evaluated and improved in terms of time required, resources used, resultant quality, and other aspects relevant to the process.


Seradex ERP Support for Kaizen

Seradex ERP tracks key metrics to determine the effect of your Kaizen activities. These metrics include Inventory Levels, Cost Reduction Trends, Setup Times, Defect Levels, Scrap Levels, Batch Sizes and Lead Times.

Employee Task Manager is a clearing house for all Kaizen activities. Activities can be approved, assigned, prioritized and managed and tracked.

Kanban

A card or sheet used to authorize production or movement of an item. The quantity authorized per individual kanban is minimal, ideally one. The number of circulating or available kanban for an item is determined by the demand rate for the item and the time required to produce or acquire more. Employees are encouraged to continually improve their processes and reduce the number of kanban required.


Seradex ERP Support for Kanban

Electronic Kanban provides extensive support for Kanban completely integrated into the Seradex ERP software.

Line Balancing

Equalizing cycle times [productive capacity, assuming 100% capacity utilization] for relatively small units of the manufacturing process, through proper assignment of workers and machines; ensures smooth production flow.


Seradex ERP Support for Line Balancing:

The Production Scheduling Module offers line balancing functionality as well as Heijunka capabilities to ensure effective balancing of production lines.

Mistake-Proofing

A manufacturing technique of providing a signal when an error is about to be introduced into the production process. Many times, this is in the form of a checklist.


Seradex ERP Support for Mistake-Proofing:

The Work Order Module prints quality checklists, drawings, photos and work instructions to ensure all employees have the latest information to produce defect free product at minimum cost.



Mixed-Model Production

Capability to produce a variety of models, that in fact differ in labor and material content, on the same production line; allows for efficient utilization of resources while providing rapid response to marketplace demands.


Seradex ERP Support for Mixed-Model Production:

The Production Scheduling Module offers support for mixed model, line balancing and Heijunka scheduling.


Muda (Waste)

Activities and results to be eliminated. There are 7 categories of waste:

Excess production and early production
Delays
Movement and transport
Poor process design
Inventory
Inefficient performance of a process
Making defective items


Seradex ERP Support for Reduction of Muda / Waste:

Excess production and early production is eliminated by using the Production Scheduling Module
All Delays are recorded with reasons using the Data Collection module. Kaizen methods can be then applied to eliminate future delays
Movement and transport can be reduced through cellularization and group technology capabilities in Seradex ERP
Process design can be improved through cellularization and Kaizen activities
Inventory can b e reduced through the use of Electronic Kanban and the Production Scheduling modules
Defects are tracked through the Quality Control module and Kaizen and Mistake proofing efforts managed with the Service Module

Nagara

Smooth production flow, ideally one piece at a time, characterized by synchronization [balancing] of production processes and maximum utilization of available time, including overlapping of operations where practical.


Seradex ERP Support for Nagara:

One piece flow and overlapping operations are supported by the Bill of Material and Production Scheduling modules

One-Piece Flow

The concept of reducing production batch/lot sizes to minimal size, preferable to a single unit. This can have dramatic affects on raw material, WIP, and finished goods inventories, as well as on production lead times, quality, and costs.


Seradex ERP Support for One-Piece Flow:

The Bill of Material module records standard batch sizes. As Kaizen activities reduce setup times and cellularize production the batch sizes can be reduced. The trends of batch size reductions can be measured and reported on.

Pareto Chart

A tool (histogram or vertical bar chart) used for analyzing the relative occurrence of defects.


Seradex ERP Support for Pareto Chart:

Seradex offers complete integration to Microsoft Excel and Crystal Reports. Users can quickly develop Pareto Chart reports based on extensive data that exits within Seradex ERP software.

This includes defects by product, defect reason codes, scrap, set up time, credit note reasons, sales and purchases.

Poka-Yoke

Means 'mistake-proofing', a means of providing a visual or other signal to indicate a characteristic state. Often referred to as 'error-proofing', poke-yoke is actually the first step in truly error-proofing a system. Error-proofing is a manufacturing technique of preventing errors by designing the manufacturing process, equipment, and tools so that an operation literally cannot be performed incorrectly.


Seradex ERP Support for Poka-Yoke:

The Work Order Module prints quality checklists, drawings, photos and work instructions to ensure all employees have the latest information to produce defect free product at minimum cost.

Employee Task Manager is a clearing house for all Kaizen and Poka Yoke activities. Activities can be approved, assigned, prioritized and managed and tracked.



Pull System

A manufacturing planning system based on communication of actual real-time needs from downstream operations (ultimately final assembly or the equivalent). Contrast with PUSH systems, which schedule operations according to theoretical downstream result, based on a 'best-guess' planning, MRP, or equivalent.

Seradex ERP Support for Pull Systems:


SeradexMake to Order Software was developed from the ground up to operate on a Pull Philosophy. When a customer order is entered production resources, material and your entire supply chain is updated in real time. All activities required to complete the order in the minimum time are "Pulled" together with Seiban methods.

Seiban

Seiban is the name of a Japanese management practice taken from the Japanese words "sei", which means manufacturing, and "ban", which means number. A Seiban number is assigned to all parts, materials, and purchase orders associated with a particular customer job, or with a project, or anything else. This enables a manufacturer to track everything related with a particular product, project, or customer. It also facilitates setting aside inventory for specific projects or priorities. That makes it great for project and build-to-order manufacturing.


Seradex ERP Support for Seiban:

Seradex ERP includes complete electronic Seiban. Any resource or activity required for the customer order includes tracing information to indicate the demand source. In addition, for any customer order, the status of all resources and activities required can be quickly viewed in real time online.

SMED

Abbreviation for Single Minute Exchange of Die; literally, changing a die on a forming or stamping machine in a minute or less; broadly, the ability to perform any setup activity in a minute or less of machine or process downtime; the key to doing this is frequently the capability to convert internal setup time to external setup time; variations on SMED include:


Seradex ERP Support for SMED:


Standards for all setup times are recorded in the Seradex system. Actual setup times are collected through data collection. Employee Task Manager is a clearing house for all Setup reduction activities. Setup reduction activities can be approved, assigned, prioritized and managed and tracked.

Soikufu

Creative thinking or inventive ideas. As part of a comprehensive teian system, allowing and encouraging soikufu ensures personal participation and contribution in the continuous improvement process.


Seradex ERP Support for Soikufu:

Employee Task Manager is a clearing house for all continuous improvement activities. Continuous improvement activities can be approved, assigned, prioritized and managed and tracked.

Takt Time

Takt, is a German term for rhythm. The customers buying rate establishes Takt Time. It's the rate at which the customer buys your product.


Seradex ERP Support for Takt Time:

The Production Scheduling Module updates Takt Time in real time for every customer order entered or changed

Teian

A proposal, proposition, or suggestion. A teian system is a system which encourages and allows workers to actively propose and implement no-cost and low-cost process improvements.


Seradex ERP Support for Takt Teian:

Employee Task Manager is a clearing house for all Teian and continuous improvement activities. Continuous improvement activities can be approved, assigned, prioritized and managed and tracked.




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