Manufacturing is on a downward trend after eight months of PMI (purchasing manager's index) below 50. It dropped to 46 in June. China's manufacturing also shrank for a third month in a row to a PMI of 49. Yet manufacturers backlogs remain relatively robust in many industries, leading executives perplexed on what to do about capacity shortfalls.
The best companies focus on production scheduling. Even though Production Schedulers aren't typically highly paid positions, the function will make or break your ability to serve customers, improve operational performance and accelerate cash flow. Thus, it should be a key priority if you want to achieve profitable growth.
Balancing customer orders, inventory, and profitability is one of the biggest challenges manufacturers face. Learn how SIOP helps align sales, operations, and finance to improve customer service, optimize inventory, accelerate cash flow, and support profitable growth.
At its simplest, labor scheduling is determining which people (and which skills) you should have at which sites at which work centers at what time (shift) to ensure the right products can be delivered to the right customer at the right time.
Lisa Anderson's press release about the reshaping of supply chains was picked up by CSCMP. Rightsizing and balancing inventories is becoming essential to success especially with increasing interest rates.
Logistics costs have been staggering. According to the 33rd Annual State of Logistics report produced by the Council of Supply Chain Management Professionals by the global consulting firm Kearney and presented by Penske Logistics, U.S. business logistics costs rose by 22.4% last year.
Manufacturing has struggled to produce what customers want on-time without spending a fortune and tying up excess cash unnecessarily in the wrong, "just-in-case" inventory. It is a tough environment spiraling out of control with supply chain chaos.
Since the pandemic, it has been a constant battle to ensure material availability, let alone to proactively manage cost and service. Even the most proactive and successful clients have experienced brief shortages of key materials and extended lead-times. The rest have been plagued with these issues.
Clients and colleagues are seeing record increases in sales revenues and pricing. There are several operational and supply chain priorities required to be ready to absorb additional sales. A critical priority includes SIOP (Sales Inventory Operations Planning).
Capacity planning is the structured process of determining whether your organization has the resources required to meet your demand plan and support your revenue growth goals. Capacity plans analyze machinery and equipment, labor and skills, facilities and space, and suppliers and supply chain partner capabilities to ensure you can [...]
