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Discipline Specs 07

Layout

Auditing picking cycles, forklift travel paths, and buffer inventory areas.

Layout, which will be a function of the building you work in, floor area, number of levels, position of manufacturing, support, docks relative to each other.

  • Lay out departments within the plant
  • Lay out equipment within departments.
  • Plan space for additions and deletions of area needed.
  • Plan and administer product moves.
ADVISORY APPLICATION

Planning physical floor placement minimizes forklift travel distances and product routing loops. Dock relationship audits streamline receiving, shipping, and in-process inventory buffering.

Discipline Specs 06

Capital

Auditing picking cycles, forklift travel paths, and buffer inventory areas.

Justify all capital expenditure. Receive, tag, inventory, and control all in-plant equipment.

  • Determine direct and indirect labor requirements based on standards and performance against standards.
  • Approve additions or deletions in direct or indirect labor.
  • Develop and administer manning charts for salaried groups.
ADVISORY APPLICATION

Evaluating robotic sorting and automatic packing additions ensures capital expenditures target true bottleneck constraints. Equipment tagging audits provide full control over machinery assets.

Discipline Specs 05

Cost Reduction

Auditing picking cycles, forklift travel paths, and buffer inventory areas.

A formal cost reduction program, with contribution by all. Promote the program, plan incentives, calculate savings, publish results.

  • Determine direct and indirect labor requirements based on standards and performance against standards.
  • Approve additions or deletions in direct or indirect labor.
  • Develop and administer manning charts for salaried groups.
ADVISORY APPLICATION

Cost reduction audits evaluate SKU profitability and material batch size trade-offs. Pruning low-volume lines reduces setup changes, freeing up valuable floor capacity. Jack also audits labor costs resulting from engineering specification changes.

Discipline Specs 04

Cost Standards

Auditing picking cycles, forklift travel paths, and buffer inventory areas.

Cost Standards, formal, administered and audited, for P&L and variance analysis.

  • Determine direct and indirect labor requirements based on standards and performance against standards.
  • Approve additions or deletions in direct or indirect labor.
  • Develop and administer manning charts for salaried groups.
ADVISORY APPLICATION

Establish cost standards to structure daily variance reporting. Standard data integrates directly with accounting P&L records, providing accurate financial control of labor metrics.

Discipline Specs 03

Manning

Auditing picking cycles, forklift travel paths, and buffer inventory areas.

Layout, which will be a function of the building you work in, floor area, number of levels, position of manufacturing, support, docks relative to each other.

  • Determine direct and indirect labor requirements based on standards and performance against standards.
  • Approve additions or deletions in direct or indirect labor.
  • Develop and administer manning charts for salaried groups.
ADVISORY APPLICATION

Manning analysis correlates crew size allocations to direct standard capacity requirements. Balancing direct operators with indirect material handlers avoids floor starvation and over-manning bottlenecks during product mix shifts.

Discipline Specs 02

Methods

Auditing picking cycles, forklift travel paths, and buffer inventory areas.

Layout, which will be a function of the building you work in, floor area, number of levels, position of manufacturing, support, docks relative to each other.

  • Set and control direct and indirect operator methods.
  • Publish each method set, as part of the spec.
ADVISORY APPLICATION

Work simplification studies target skilled labor waste. In many facilities, high-rate machinists spend a significant portion of their shift doing lower-skill work, such as searching for tools or moving pallets. Correct methods simplify workstations and maximize operator utilization.

Discipline Specs 01

Work Measurement

Auditing picking cycles, forklift travel paths, and buffer inventory areas.

Layout, which will be a function of the building you work in, floor area, number of levels, position of manufacturing, support, docks relative to each other.

  • Establish work standards wherever possible for direct and indirect labor.
  • Set up procedure for daily calculation of attainment to standards for each operator covered.
  • Plan space for additions and deletions of area needed.
  • Oversee a program of productivity improvement by operator to ensure that all operators are treated consistently when their performance is less than 100%.
ADVISORY APPLICATION

Jack uses unannounced floor observations and cycle audits to construct operator-level work standards. By measuring the variance of direct versus indirect hours, the operations team identifies true performance margins.