Certified Minority Business Enterprise (MBE) — Chicago MSDC (NMSDC Regional Affiliate) 2019

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Building a Lean Machine: Supply Chain Management at its Best

Running a profitable company requires two things:

  1. Sales
  2. Profitability

Although the sales team may chant that “sales cures all” the operational management understands the importance of ensuring that every aspect under the sales line on your profit and loss statement is also running effectively.

Running a profitable company requires a tight handle on the manufacturing process and lean is best.

Natwest’s Mark Eastwood, who is head of manufacturing for business and commercial banking, said:

“Lean manufacturing is about identifying and rectifying inefficiencies to reduce waste and streamline the manufacturing process.

In the article, How to Lean Your Supply Chain, the author re-examines the seven areas of waste identified by Toyota in the 70s that led to their lean supply chain:

  1. Overproduction: Are you producing more than consumers demand?
  2. Waiting: How much lag time is there between production steps?
  3. Inventory (work in progress): Are your supply levels and work in progress inventories too high?
  4. Transportation: Do you move materials efficiently?
  5. Over-processing: Do you work on the product too many times, or otherwise work inefficiently?
  6. Motion: Do people and equipment move between tasks efficiently?
  7. Defects: How much time do you spend finding and fixing production mistakes?

Toyota 7 areas of waste

Just do an Internet search and you will find many more studies, white papers and articles written about the top ways to effectively have a lean supply chain, however, one of the biggest components to that success is the team itself. As the top recruiting firm in Chicago, our professionals understand how critical it is to have the right people in the right positions.

When we examine the 7 areas of waste, each one has a person or team of people responsible for ensuring the company has a limited amount of waste in materials, effort and time.

So how do you build an effective lean supply chain management team?

We take great pride in our recruiter’s ability to find the right candidate to meet those specific Supply Chain hiring needs of our client companies. Our high rate of success begins with the fact that we work closely with each company to understand their specific needs.

As you review the potential areas of waste within your supply chain, should you decide to look for a new candidate to take your business to the next level, you will want to partner with a recruiting firm that understands the skills necessary to address potential areas of risk.

Having the proper team in place to address specific areas of waste rather than sit back on the ‘that’s the way we have always done it before’ band wagon, is of critical importance for your company to effectively run a lean machine.

Along with measuring the areas of waste, we recommend assessing the personnel currently in place; their strengths and weaknesses. An impartial review of existing team members allows you to see areas where improvement can be made and more dollars can flow to the bottom line.

You may have recognized where the waste is occurring, but if you don’t have the right leadership addressing the issue, the waste will continue. Consider talking with one of our professionals to learn more about the value of personnel assessment and recruiting for specific skill sets in supply chain management.

Call us, we can help. [773] 296-0167.

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