Fast Results Using TOC for Demand-Driven Manufacturing – Part Two

Manufacturers use constraints management first to gain the most demand-driven change Last time, we talked about focusing on enterprise improvements rather than local efficiencies using constraints management (TOC). We discussed that continuous improvement tools such as TOC, Lean and Six Sigma work like “sandpaper” on an organization’s processes, smoothing various stages of their demand-driven journey. I likened TOC to the “coarse” grit of sandpaper—the one to use first to get

What Sandpaper Will You Use? – Part One

What to Use to Get the Most of Your Demand-Driven Changes Demand-driven manufacturing leaders are always refining their tools and tactics to ensure they’re spending their time wisely. This blog marks the first in a three-part series about using the tools of TOC, Six Sigma and Lean to help manufacturing leaders gain the most benefit from their demand-driven transformation. Three in One TOC, Lean, and Six-Sigma should all be part

Efficiency vs. Productivity: Metrics that Matter…Until They Don’t

Measure efficiency and productivity against your REAL goal I keep seeing the word efficiency in the manufacturing media.  For someone who is a Constraints Management person, this is the equivalent of saying “Ni” to the Knights Who Say Ni (Monty Python reference, okay?) or like scratching your fingernails across a blackboard.  It is one of those words that I think we should remove from the English language. When we look

How the Internet of Things Can Shorten Lead Times

A new study in Modern Materials Handling reports that 86% of industrial organizations are currently adopting IoT (Internet of Things) solutions, and 84% believe those solutions are very or extremely effective. Manufacturers lagged behind the industrial segment as a whole, with only 77% of manufacturers implementing IoT in their facilities. So, what is holding manufacturers back? Anecdotally, I can share that many of the manufacturers I talk to intend to

Time to Revisit Your Constraints

    We talk a lot about constraints management in our work with customers who are implementing Demand-Driven Manufacturing (DDM) in their facilities. That’s because constraints management is fundamental for synchronizing the pace of production and keeping the demand (orders) flowing throughout the shop floor. But, our focus is naturally on physical constraints, e.g., that piece of equipment or workstation that is preventing you from delivering on time or offering

FAQ: Can I Use Demand-Driven Manufacturing in a Make-to-Stock Environment?

Demand-Driven Manufacturing seems like it was made for Make/Assemble-to-Order and Engineer-to-Order environments. It’s true that Demand-Driven Manufacturing can be beneficial for manufacturers who already produce goods based on customer demand because it improves their responsiveness to customers and lowers lead and cycle times. Demand-Driven Manufacturing is a method of manufacturing where production is based on actual customer orders (demand) rather than a forecast. But what about Make-to-Stock environments? These manufacturers