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.

5. Reduce errors in process

Improve the diagnosis of the situation: Use an expert to diagnose problem:
Product expert

No.	Industry SIC	Year	Notes
1	3711	2006	General Motors Corp. is hoping that its new state-of-the-art factories built in Lansing, Michigan are more efficient and better-suited to compete with Toyota Motor Corp. and other foreign companies. The Cadillac factory has been ranked the most productive luxury car plant in North America in 2003, 2004, and 2005. It has received the Gold Plant Award for 2004. The factory has the highest, initial quality for all assembly operations in North and South America, and ranked third overall in the world. production employees work in teams of four to six members on the assembly line, each cross-trained to do every job in the group. Each worker has the power to stop the assembly line if a problem arises. That gives UAW members a mix of responsibility and authority not present in most GM factories.
2	3724	1992	Allied-Signal formed "commodity teams," cross-functional squads of manufacturing engineers, designers, and purchasing and finance experts in various areas. Each team is responsible for picking the best suppliers in its specialty.
3	3751	1998	Graphite bikes had high prices, in part, because of carbon fiber's tendency to break apart, leaving manufacturers exposed to expensive liability suits. But computer design systems capable of predicting failures have resulted in more durable bikes.
4	6300	2004	Progressive rejects the idea that underlies the strategy of many financial service firms who have decided to become highly diversified one stop shops for financial products. Instead the company has chosen to focus just on auto insurance, and to be very clear about its goals in this industry.
5	6300	2005	As carriers become more specialized, no other carrier can compete with them because they have all the data on likely losses and other competitors are hesitant to under-price them because of the threat of significant losses.
6	8062	2007	Hospitals are seeking out managers with factory experience to improve quality and efficiency. They are borrowing from Toyota, which pioneered "lean tactics," to reduce patient waiting time and prepare operating rooms. When enlisted by hospitals, factory managers noticed that nurses had to walk long-distances to carry out routine tasks. Doctors were assigned to handle incoming ER patients as they were able to quickly identify the needs of patients. A good factory rarely has errors in production, complications and medical errors are much more common in hospitals, even good ones.
7	8742	2007	Accenture operates out of low-cost Bangalore to improve the way their clients run clinical trials. The team developed databases and algorithms for storing and analyzing clinical data. They distribute electronic forms to physicians who conduct trials. The company uses in-house physicians to review the data and spot errors. This process once took six months and it now only takes six weeks. Analysts say that each day saved is worth $1 million to a drug company.

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