TAT as well, because of no pollution penalty cost in TAT – For Sheehan plant, only maintain assembly and technically intensive process . Reason: more technical equipped and experienced labor there -local service engineer is available from all office around the world. The service Eng. Often call unnecessary parts for act to upgrade / for maintenance – suggest to outsource this serve profit.
Improvement on internal logistics Management Current flow: designer release memo to instruct material planner for ordering the parts after know customers’ need. Designer plug in the parts number to the system one by one, even for the standard configuration. After instruction from designer, material planning will need to release order on SAP for activating the fabrication process manually. Suggest to automate the process: the required parts number erectly generated from the system and transfer to SAP system after customers fill in the Designer information form.
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Time can be saved for waiting designer ‘s instruction. Human error can be eliminated with automation performed. Currently flow: material planner review the released POP to vendor regularly. Rescheduling pop delivery date is always needed because of the changes of demand. Planner update the revised target delivery date on SAP system, purchasing dept than proceed the request to vendor and reply the result to planner through the SAP system afterward. Suggested plan: the rescheduling request directly send to vendor ND replies from vendor can be directly shown on SAP system.
Eliminate purchasing depot’s role of being middleman Electronically module / cabling / PC assembly can be outsourced Reason : Lower cost / Common design/ no copyright problem All optic / motor/ motion manufacturing should be maintain in own company beg of confidential design. – Share information with vendor -Vendor managed inventory( VT) is suggested – consignment store should be established – reason : lower the storage cost, equipped condition for SIT , improve the stock turnover rate, lower the dead stock. Suggested improvement on internal logistics Management