Operational Excellence A Concise Guide to Basic Concepts and Their A
As industrial companies are placing a higher focus on operations, this book comes at the right time with a compilation of basic concepts of Operational Excellence and their application. Operational excellence allows companies to recover from reductions in
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Gilad Issar Liat Ramati Navon
Operational Excellence A Concise Guide to Basic Concepts and Their Application
Management for Professionals
More information about this series at http://www.springer.com/series/10101
Gilad Issar • Liat Ramati Navon
Operational Excellence A Concise Guide to Basic Concepts and Their Application
Gilad Issar Gedera Israel
Liat Ramati Navon Ness Ziona Israel
ISSN 2192-8096 ISSN 2192-810X (electronic) Management for Professionals ISBN 978-3-319-20698-1 ISBN 978-3-319-20699-8 (eBook) DOI 10.1007/978-3-319-20699-8 Library of Congress Control Number: 2015957952 Springer Cham Heidelberg New York Dordrecht London # Springer International Publishing Switzerland 2016 This work is subject to copyright. All rights are reserved by the Publisher, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. The publisher, the authors and the editors are safe to assume that the advice and information in this book are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give a warranty, express or implied, with respect to the material contained herein or for any errors or omissions that may have been made. Printed on acid-free paper Springer International Publishing AG Switzerland is part of Springer Science+Business Media (www.springer.com)
To my dear wife Tamar Gilad
ThiS is a FM Blank Page
Contents
1
Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1
2
Assurance of Supply (AOS) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.1 Assurance of Supply Systems and Processes . . . . . . . . . . . . . . 2.2 Capacity and Inventory Planning for Meeting AOS . . . . . . . . . Reference . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7 7 8 9
3
Cost of Goods (COGs) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.1 Bill of Material (BOM) Cost Reduction . . . . . . . . . . . . . . . . 3.2 Labor Cost Reduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.3 Supply Chain and Logistics Cost Reduction . . . . . . . . . . . . . 3.4 Cost Reduction of Production Overhead . . . . . . . . . . . . . . . . 3.4.1 Start: Stop–Continue . . . . . . . . . . . . . . . . . . . . . . .
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11 11 13 14 14 15
4
Decision Support Systems (DSS) . . . . . . . . . . . . . . . . . . . . . . . . . 4.1 Importance . .
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