The current state is the as is, or present circumstances. When looking at the current state it is very important that the review is done not as it should be happening but as it is happening.
Cycle stock is the average amount of inventory a business needs to meet customer demand. The stock will generally deplete gradually as a business or organization receives orders from customers and replenish according to a cycle as suppliers provide the necessary orders.
Does your company make goods only after receiving an order? Do they make goods before and then stock them? These two questions can help clarify how your organization plans and schedules the production or execution of goods and services. There are many different methods that companies may use, some examples are: Make to stock, Make to order and Assemble to order. Whichever strategy a company selects will have a varying degree on the amount of inventory a company holds, how they will produce and how resources are spread through the organization. The biggest impact is the amount of inventory the company carries which as you may know already is cash availability.
The chase strategy is one method organizations use to maintain a level inventory while producing at varying rates in order to support demand. The chase strategy is sometimes referred to as demand matching because the strategy varies production to meet demand.
The main benefits associated with a chase strategy are:
When you go to a restaurant for food and place an order the staff will normally pull supplies from a "stable inventory" level and make the order, or in other words "chase the demand."
A countermeasure is a measure or action that is taken to counter or offset another one. In the context of Lean Six Sigma the countermeasure is an action that either a team or an individual takes to bring something back into conformance or compliance with the expected level of performance.
A lean six sigma champion is an individual with a firm understanding of the company's vision, mission and values. They help to deploy and support the success of an organizational strategy and projects associated with the strategy. Champions also assist in identifying resources, team leaders and in removing roadblocks. The champion is accountable for the results of projects and the recognition, definition and assignments which will help achieve a defined level of performance.
The ABC's of