The goal of the Lean Manufacturing is to create a production that reduces waste to zero, with including high standards products, minimizing inventory.
The implementation of an ERP system is able to integrate the principles of Lean production with machine automation functionality and predictive analysis, allowing the planning of lean production cycles.
Here are 3 advantages of the installation of an ERP in a Lean Manufacturing System:
1. Inventory and Production Control
The ERP system is able to solve one of the great problems of manufacturing enterprises: to provide the necessary information about the stock, since it requires inventory to the supplier delivery time. Annual inventories „handmade“ are never precise and do not provide any information on when, where and how errors have occurred. Thanks to the ERP system can be quantified and shorten the production cycle, avoiding the catch of the machines and better manage the production shift. Configurator product, Microsoft Dynamics AX simplifies and streamlines the process of ordering, planning and producing customized products, helping to fulfill more orders and increase customer engagement.
Microsoft Dynamics AX manages the production in an environment driven by demand, allowing you to:
• real-time display advances
• view actual costs (WIP) in real time
• practicing control and action to avoid potential delays or cost overruns
• manage inventory based on demand and forecasting
• anticipate and reduce bottlenecks
• drag-and-drop to program and reprogram
2. Data Management
In a company that adopts Lean Thinking, the Management is very focused on the streamlined production planning. An ERP solution allows for a 360 degree overview of the entire production process by combining the data on:
• raw material
• machine status
• ATP Management
• WMS Management
• optimizing production flow and resources
Therefore, Microsoft Dynamics AX enables a deep knowledge in the entire production and supply chain. With visibility throughout the chain you can streamline business processes, optimize resources, minimize lead times, and identify accurate delivery dates.
An ERP solution such as Dynamics AX allows you to integrate all the data in one place and use them to quantify costs, revenue and spending forecasts for each strategic sector of the company. It is an integrated corporate management solution that also provides specific functionality that can support and help resources to increase productivity and be in line with the flow of production.
3. Equipment Management and Quality
In the production cycle of Lean Manufacturing, the focus is on the proper management and maintenance of machinery and equipment. The ERP solution is a support for planning the maintenance of the work cell and failures or possible problems related to the production cycle. The planning for the repair and maintenance gives time to the maintenance department to receive any spare parts and necessary materials, preventing waste of resources and disruption of the production cycle.
The quality control is another core business of Lean companies, made even more agile by managing the ERP solution that coordinates the production cycle, monitoring quality standards, and managing the archive of the models and possible product developments.
Increasingly, companies plan and operate lean for their production cycles and the Dynamics AX ERP solution allows to plan, track and perform refueling operations and optimizing production workflows within the processes thanks to the“ pull “ principle. Dynamics AX also supports cycles requiring the entry of products into production, following the issuance of orders; production, as well, is regulated by a specific customer request, reversing the logic of the traditional production process.
Contact us to learn more about Microsoft Dynamics AX specific for Lean Manufacturing capabilities.