Sun.Nov 12, 2017

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Are You Overproducing Improvements?

The Lean Thinker

Imagine a factory with a large monument machine. It takes several days to set up. When it does run, it runs very fast, much faster than you can actually use its output. Therefore, you take the excess output and store it to use later. Actually, you don’t know how many items you need to make, so you make as many as you can while the machine is available to you.

Factories 231
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Real-time benchmarking provides freight transparency in the procurement process

Transporeon

A global chemical company that ships a wide array of polymers, inorganic and organic chemical products from 43 factories worldwide was finding it difficult to obtain competitive ocean freight rates. With 55,000 TEUs annually spread out over 6,000 shipping lanes, the company's global reach was working against it, reducing its average TEUs per lane to 10 with only about 100 to 300 TEUs allocated to its highest-volume lanes.