Bottlenecks and Toc
By: bengodman • April 19, 2016 • Essay • 432 Words (2 Pages) • 1,365 Views
A bottleneck in manufacturing is a point in the production process that has the capacity restricted, reducing it below the demand requiring its manufacturing. As operations become larger, smaller problems also begin to grow. An example of a bottle neck would be an organization that is set up to produce, store and deliver a set amount of goods, but then the demand increases. Without increasing the delivery management infrastructure, this particular organization could find that as it increases production to meet demand, they are unable to deliver the newly manufactured items any faster than before, resulting in the same output of goods to customers, but an increasing amount of inventory and lack of space to hold those goods.
The key for an organization is too identify the bottleneck by using the capacity analysis process. Using forecasted product demand, and estimated manufacturing time, an organization can determine the amount of time to manufacture goods and can utilize its abilities more effectively. Next, an organization should determine the best means possible to working with the bottleneck by recognizing the resources it has to reduce the effects of those bottlenecks on the entire manufacturing process. Addressing bottleneck issues needs to be done effectively by the management team. They have to identify the issue, decide on how to best use the bottleneck to its advantage, align the entire process so that it minimizes the effects of the bottleneck issues, evaluate the constraints that are on the system and decide if the manufacturing process can be effective and efficient with those particular bottleneck constraints.
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