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.
6. Reduce use of Purchases and Capital ICDs
Reduce Purchased ICDs: Use People or components requiring less Purchases:
Less raw materials
No. | Industry SIC | Year | Notes |
1 | 7372 | 2004 | Sony also broke with tradition by using CDs rather than cartridges to distribute their games. Since Sony did not know how large the market was they decided to manage the risk of an unknown level of demand by maximizing variety. The use of CDs allowed them to do this and gave them a big advantage in responding to the game market. The CDs were much cheaper than cartridges which sold for $35 in 1996 and had larger data capacity at 650 MB versus 16 MB for the cartridges. This allowed more graphics, animation and levels of difficulty. |
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