The ©TREAT 1,2,3 methodology is a problem solving methodology used by Lean Strategies International LLC that when applied to processes (technical, methodological, philosophical) can effectively reveal root causes related to issues / problems or opportunities in the process and guide users towards solutions for a more stable, effective, efficient and value adding process. The methodology is universal at all scopes of an organization and can be used by any individual, team or organization. There are 5 major steps involved in the ©TREAT 1,2,3 problem solving process:
The icon shown above is used to visually display a truck shipment on a value stream map.
Total productive maintenance is a maintenance strategy which focuses on achieving improved performance, reduced breakdowns and better quality through the preventative maintenance and effort of employees. The strategy is based on 8 pillars:
Target costing is defined as "a disciplined process for determining and achieving a full-stream cost at which a proposed product with specified functionality, performance, and quality must be produced in order to generate the desired profitability at the product’s anticipated selling price over a specified period of time in the future." This definition encompasses the principal concepts: products should be based on an accurate assessment of the wants and needs of customers in different market segments, and cost targets should be what result after a sustainable profit margin is subtracted from what customers are willing to pay at the time of product introduction and afterwards.
The fundamental objective of target costing is to manage the business to be profitable in a highly competitive marketplace. In effect, target costing is a proactive cost planning, cost management, and cost reduction practice whereby costs are planned and managed out of a product and business early in the design and development cycle, rather than during the later stages of product development and production.
Reference : Wikipedia - Target Costing
Six sigma and many other forms of project management use "tollgates" to check the progress of projects in relation to their objectives. When an assigned individual approves that the team has successfully completed one stage of the project, the team then can "pass" on to the next stage of the project or initiative. If the team does not successfully complete a stage they can not "pass" on to the next phase.
In six sigma the DMAIC methodology is used. Team members may establish tollgates between the Define, Measure, Analyze, Improve and Control phases of the methodology. At each of these points the team must receive approval before moving on.
What benefits do you see in having and using tollgates within a project?
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Third party logistics employs a third party that provides delivery services for an organization. The third party should generally provide a heightened level of expertise pertaining to the supply chain.
The Traditional Yield is taken at the final step of a process to measure the effectiveness of the overall process. This type of measurement does not take into account scrap, rework or any other inefficiencies in a process it only looks at what goes in and what comes out.
The total cost of ownership is the sum of all the costs associated with every activity of the product or service. The benefit to using total cost of ownership is that it provides us with a deeper look and a better understanding by which we can base our decisions on. For a free make or buy comparison template click on the link below.
Takt time is a German phrase for the baton the conductor uses to set the tempo of an orchestra. In Lean and Six Sigma applications Takt time refers to the rate that products and/or services need to be completed in to keep up with customer demand.
How to Calculate:
Takt time is calculated by dividing the available time per day by the customer demand.
Calculate the takt time:
If the available time per day is 7.5 hours and the customer would like to receive 350 parts per day, what would the calculated takt time be?
The ABC's of