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Getting lean: Experts share tips you can use

April 1, 2021
By Dan Lewark Jr. | Director of Lean Solutions, Nick Nowak | Lean Solutions Project Manager, Chris Tomlinson | Lean Solutions Manager
Two men in a warehouse
Experts share their tips on data and improvements
How can I use Lean at my facility?

Dan Lewark Jr. | Director of Lean Solutions
Lean should be present in all facilities to a certain degree. Your business’ complexity and nature will drive how robust of a Lean program you have. For example, a smaller job shop should have a baseline of Lean practices implemented. This will help aid the growth of operations.

​In contrast, a larger manufacturing facility should use Lean/Six Sigma as well as other measurable programs that will allow for the same outcome. One of the primary goals for all businesses is to provide the best quality products/service for the lowest cost. This promotes higher margins and increases the ability to free up capital and reinvest in your company.

To get started, focus on the elimination of waste within your supply chain. Target excess motion, extra processing, and obsolete inventory.


​
What data should a company collect?
Nick Nowak | Lean Solutions Project Manager
Lean methodologies are driven mainly by data. So, in every case, the more data, the better. However, some basic information a company should collect is:
  • SKU Description
  • SKU Part Number
  • SKU Usage
  • SKU Usage by Location
  • Current Inventory Levels
  • Overall Spend per SKU
These data sets are important because they allow you to be one step closer to understanding your supply chain and having the right solutions and suppliers in place to meet your needs.


How can I find opportunities for improvement?
Chris Tomlinson | Lean Solutions Manager
Trying to determine if you need to enlist help to improve? Take a common-sense look at your supply chain processes and ask yourself, “Is this the most efficient and effective way to perform this function?”


Check these areas to gauge if Lean processes could help you.

ACCOUNTS PAYABLE
  • How much time is associated with contacting someone within the organization to investigate an invoice issue?
  • Is time spent contacting a supplier to check on an invoice issue?
  • Do you have a process for handling freight that was not quoted or documented on a PO?

RECEIVING
  • How much time is spent looking for items that have already been received?
  • Is time lost dealing with paperwork discrepancies?
  • Are employees delivering items to another location?

TOOL CRIB
  • How much time is spent issuing low-value parts?
  • Do you cycle count low-value parts?
  • How much of your organization’s cash is tied up in low-value parts?

If time is spent on any of those, there’s room for improvement. If you have a business ownership mindset, this will be an eye-opening exercise due to the number of avoidable costs in your supply chain. This is just a small example of what is analyzed in the development of a world-class supply chain.

Ask yourself, “Are we really focusing on our core competency as a company?” If you are a
manufacturing company, are all your efforts and resources focused on becoming or remaining
the best at making your product?

Next steps
What you can do
Take time to collect your data. With these data points, you will have a good look at your current process. This exercise offers visibility for potential changes. Then you can decide whether you want to handle everything on your own or if you’d prefer to bring in a partner.

How Fastenal can help
We analyze the data points because data doesn’t lie. The data helps us determine purchasing habits. Even when purchased through a computer-based system, parts can have emotional purchasing decisions behind them. We analyze each line and look for deviations from the norm, trends, and adaptations to those trends. Then we help you build a supply chain program that can cut waste and build efficiencies.

What's available
Fastenal has a team of 210 Lean specialists, project managers, and Lean coordinators who act as consultant-based partners. Aligning with your long-term goals, we help design and establish Lean/Six Sigma programs. Then, together, we identify and reduce waste in your supply chain.
Vertical Divider
What You Can Do
Take time to collect your data. With these data points, you will have a good look at your current process. This exercise offers visibility for potential changes. Then you can decide whether you want to handle everything on your own or if you’d prefer to bring in a partner.

​
How Fastenal Can Help
We analyze the data points because data doesn’t lie. The data helps us determine purchasing habits. Even when purchased through a computer-based system, parts can have emotional purchasing decisions behind them. We analyze each line and look for deviations from the norm, trends, and adaptations to those trends. Then we help you build a supply chain program that can cut waste and build efficiencies.

​
What's Available
Fastenal has a team of 210 Lean specialists, project managers, and Lean coordinators who act as consultant-based partners. Aligning with your long-term goals, we help design and establish Lean/Six Sigma programs. Then, together, we identify and reduce waste in your supply chain.

​
Learn more by visiting here.
​

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