Building a lean enterprise (page 3 of 3)

The easiest means to achieve the required infrastructure is to standardize on a single data model across the organization; thereby establishing a "single source of truth". In many ways, it is a perfect match-up.

By automating processes and using consistent data throughout the organization, a company can monitor and coordinate activities, enterprise-wide, in real-time - a critical capability in reducing cycles, optimizing resource and staff management, improving customer service levels and support.

Moreover, advanced analytics and business intelligence tools enable management to stay on top of pull-based demand.

Moreover, collaborative supply-chain planning and execution tools have matured to the point where manufacturers may extend the value proposition to help trading partners calibrate supply with actual demand.

This increases visibility up and down the chain boosting on-time delivery, eliminating processing waste and accelerating production.

For most mid-to-large companies, a great deal of the Lean enabling infrastructure is in place. Over the last decade, as companies implemented enterprise application solutions, they moved their organizations to a common Web platform and centralized data sources.

With visibility across the enterprise, they began to standardize and automate processes to enable work flows across departments and offices. To reap the benefits of integrated enterprise solutions - customer relationship management, inventory optimization and postponement, self services (i.e., iProcurement with pre-approved supplier lists) - companies had to extend knowledge-sharing capabilities and automation to their supplier network.

The role IT has played in transforming the manufacturing industry is evolving, morphing from the relatively straightforward automation of traditional operations into a critical role of helping change processes to make production better meet exact demand. Manufacturers have grown weary of operating within the parameters of conventional IT wisdom.

Among the select few are leading-edge companies that are reengineering how technology can be utilized to support business operations and exploit the ideas of Lean to their benefit.