Reduce Unique ICDs by Redesigning the Product or the Process
The objective of this activity is to reduce the number of ICDs by reducing the occurrence of an ICD in producing a unit of Output, or by reducing the number of separate ICDs used in the Output. A unique ICD is one of the key activities in the work center's contribution to the final product (O). It is separate and distinct from any other activity in the work center. For example, the fastening of a part onto a subassembly and a quality control check of the subassembly would be unique ICDs.
B. Redesign the process of producing the ICD or Output
Change the process used to produce the ICD or Output to eliminate activities.
4. Reduce movement of an Input (People, Purchases or Capital)
Reduce movement of both people and ICDs:
Complete multiple activities on same trip
No. | Industry SIC | Year | Notes |
1 | 5411 | 2005 | The British supermarket chain Tesco is finding immense success after applying Toyota Motor Corp.'s "lean consumption" model. After the product is manufactured, the final logistics step is for Tesco's delivery truck to take the dollies several times a day from the regional distribution center (RDC) on a milk run to a series of Tesco stores. At each store it collects the empty dollies and then visits several suppliers to return them. At each stop it also picks up full dollies and then returns to the Tesco RDC to restart the cycle. In practice, these methods substantially reduce the total miles driven along with freight costs, while also reducing total inventories in the system. |
2 | 4953 | 1996 | WMI is experimenting in company collection with a 1 pass system designed to pick up 2 garbage streams–either refuse & recyclables or refuse & yard trimmings. |
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