Lean Supply Chain Management

Lean Supply Chain Management

Lean Supply Chain Management

Lean Supply Chain Management (LSCM) is an ongoing, continuous process improvement of corporate supply chain system. The supply chain system is a link network between suppliers, manufacturers and customers. These suppliers, manufacturers and corporate customers often interact in such a way that it is hard to tell where one company ends and the other one begins. Lean Supply Chain Management methodologies are deployed to ensure this system runs efficiently.

Supply Chain Management (SCM)

  • Supply Chain Management (SCM) is the management of the connection of suppliers, manufacturing and customer. It addresses the movement of all materials from raw, in-process, and final or end product from origin to consumption.

Lean Supply Chain Management (LSCM)

  • Lean Supply Chain Management (LSCM) is Supply Chain Management coupled with continuous and ongoing process improvement methodology to ensure supply chain management systems always runs at peak efficiency. LSCM touches all aspects of supply chain from procurement, manufacturing, warehousing and transportation.

Outsourcing & Procurement Strategies

  • LSCM procurement applications seek to consolidate various purchasing processes such as:
    • What are our core supply chain capabilities and which are not?
    •  Does our product design mandate different outsourcing approaches?
    •  Risk management

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    Manufacturing/Service

    • LSCM originated in the manufacturing industry, but is now used in multiple industries across multiple applications. Using LSCM, companies can continuously reduce waste on the manufacturing/service area while increasing operating performance and profits. Lean techniques are also deployed under the LSCM to reduce waste and increase customer satisfaction.

    Warehousing

    • The LSCM warehousing application is almost the first place to seek to reduce inventory overhead associated with the manufacturing process. To do it, companies apply Just-In-Time (JIT) manufacturing techniques where they use information networks to coordinate with suppliers and have inventory delivered to the factory floor "just in time" for processes as opposed to having inventory laying around eating up overhead.

    Transportation

    • LSCM transportation applications seek to streamline the shipping and distribution process. During an LSCM evaluation, companies often discovered that orders are shipped independently without combining multiple orders on the same shipment. As a consequence, companies are using a number of shippers unnecessarily when they could combine orders, use fewer shippers and reduce transportation and distribution costs.

    H4M lean associates have long practical experience on applying Lean Supply Chain Management in different industries. So, please give us a call of drop a few lines in we will get back to you with our best answer to your inquiry.