Consumable parts are a requirement in many manufacturing facilities. Often these items have a necessary and significant cost; most manufacturers don’t view consumables through the same lense as traditional inventory and frequently are written off or expensed. This does not mean that the stocking levels for these items cannot be optimized and carrying costs significantly reduced by leveraging Lean Flow Principles.
How to Implement Lean Flow
For Consumable Goods
FlowVision will help you implement a replenishment system which will significantly reduce consumables inventory while making sure that you avoid costly materials shortages. Our solution allows you to confidently optimize inventory at multiple locations without a forecast. Along with that, we are often able to create significant space savings due to the reduction in inventory.
Leveraging our ION solution gives supply chain teams the ability to see the whole picture across all of their facilities and make actionable, informed purchasing decisions. If production is ramping up or down, ION can quickly identify the change and enables planners to purchase more or less inventory so that the optimum amount is on hand while never negatively impacting production.
Understand the True Cost of Inventory
The true cost of inventory is so much more than just the cost of capital. Understand the right way to calculate your fully loaded cost of inventory.