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MANAGEostorganiza,onsexpendalot

,meandresources

nstantlyre-priori,zingorkflowinordertomeet

stomercommitments.Re-

iori,zingworkinonearea

=enhasacascadingeffect

quiringworkinotherareasto

re-priori,zed.Addi,onally

eneedtorepriori,zeworkis

uallynotrecognizedun,lereisliDleorno,me

maininginwhichtomakethe

quiredcoursecorrec,ons.

eresultsarealargerongoing

penditureofresources(i.e.

er,mepremiumfreight

ossshipmentsoutsidebuys

oreinventoryetc.)andstomercommitmentsthat

llaren'tsa,sfied.The

ANAGECapabilityinthe

ovidesaneasytounderstand

ioritysystemforallin-process

orkwhichsignificantly

provesexecu,onanagement.Problemareas

eiden,fiedandpriori,es

justedwhilethereiss,ll,me

dosowithouttheneedfor

di,onalresources.

eresults:beDeron-,me

liveryperformancewith

ortermorereliablelead,mesaloweroverallcost.

arnmoreabouthowMANAGEimprovesyourbo8om-line

SummaryTheleveragesyourinvestmentinERPand

MRPsolu,onsbyturningexis,ngdataintoeasilyandac,onable

informa,ontoprovidegreatercontroloveropera,onalprocesses

(e.g.produc,onrepairlogis,csvendormanagementetc.).The

results:beDeron,medeliveryshortermorereliablelead,mes

lowercosts(e.g.over,mepremiumfreightcrossshipmentsoutside

buysetc.).MANAGEu,lizesapatentedprocessthatmonitorsactual

toplannedmaterialmovementinrela,onto,mebufferswithaONE

numberprioritysystemwherethelowestvaluealwaysindicates

highestpriority.TheboDomline:

YOURDELIVERYCAPABILITYIMPROVES

WHILEYOURCOSTOFDELIVERYDECREASES.

BusinessIssues Variabilityincustomerdemandandresourceavailabilitymakesit

difficulttoknowwhenorwheredevasta,ngstock-outswilloccur.

Bufferingvariabilitywithphysicalbuffersaloneincreasesinventoryandreducesworkingcapital.

Priori,za,onwithoutvisibilityintotheeffectsofshi=ingwork-prioritycausesacascadingsetofissueswithotherjobsand

processesando=enleadstoexcessiveexpedi,ngandincrease

costs.

Costsareincreasingfromexpedi,ngover,mepremiumfreightcrossshipmentsoutsidebuysetc.

Workloadandpriori,esareconstantlyshi=ing. Inventoryturnsaretoolow. Toomuchinventoryofsomeitemsandnotenoughofothers.

KeyFunconalityofMANAGE ONEnumberprioritysystem:BRP(BufferRecoverPercent)that

providesfocusedpriori,za,onandenablesproac,vemanagemen

IntegratedDocumentPlanningthataccountsforprocessandresourcevariabilitywhenestablishingtheplanstartandfinishdatofeachcontroldocument(e.g.purchaseorderworkorderetc.)

arealis,cviableplan.

BusinessBenefits Improveddeliveryperformance. Reduceddeliverycosts. Improvedcustomervendorrela,onships. Increasedresourceeffec,venessfewerandmorefocusedshi=s

priori,es.

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WHYMANAGEWORKS

MANAGE PhysicalInventoryBuffers Bufferingvariabilitywithphysicalbuffersaloneincreasesinventoryanreducesworkingcapital.Ifthe,me

toreliablyreplenishourinventory

buffersisnotproperlyalignedwith

customerdemandthenoutofstoc

and/orover-stockedcondi,onsare

likelytooccur.Formoreinforma,o

onestablishingcustomerdemand

paDernsbasedonthisalignment

processseetheANALYZECapability

The.

ocumentPlanning(e.g.workorderrepairorderpurchaseorderetc

ofthere-supplyprocesstakesintoaccountthevariabilityassociated

withresourcesnotalwaysbeingimmediatelyavailabletobeginworkin

onajobassoonasitarrivesintheirqueue.Resourcesnotbeing

immediatelyavailabletoworkonajobcouldbetheresultofother

plannedac,vi,es(e.g.vaca,onpreven,vemaintenanceetc.)oroth

unplannedac,vi,es(e.g.currentlyworkingonanotherjobajobis

takinglongerthanplannedoutsickmachinebrokenetc.).Theseadd

tothe,merequiredtoreliablycompleteallstepsinthere-supply

process.Tocompensatetheinclusionofproperlyposi,onedandsize

TimeBuffersintotheocumentPlanningprocessprovidesthemean

bywhichweaccountforthesesourcesofvariabilityinre-supply.Usin

properlysizedandposi,onedTimeBuffersinconjunc,onwiththe,m

requiredtoperformtheactualworkandthedesireddeliverydate

providesthebasisfordefiningtheplannedmovement;whichisuseda

thebaselineformonitoringactualmovement.Actualmovementis

derivedfromexis,ngtransac,oninforma,on.WithTimeBuffers

defineditisnowpossibletomonitortheiractualconsump,onof,me

comparedtotheirplannedconsump,on.Theresultiswecandeterminewhereandwhenoverconsump,onislikelytojeopardize

mee,ngtheplanneddeliverydate.

Itistherela,onshipbetweenactualandplannedTimeBufferRemainin

thatpowersthe"ONEnumberprioritysystemyoucanrelyon.

today'sworldagreatdealofDen,onisgiventosizingand

ca,ngphysicalinventory

uffers.Inventorybuffersserve

wopurposes.Firstthey

bsorbthevariabilityin

ustomerdemand.Second

heyaccountforthevariability

the,methatittakestoeplenishthoseinventory

uffers.Whenallissaidand

onerelyingonphysical

uffersalonedoesnotprovide

hevisibilityneededtosee

henvariabilityincustomer

emandand/or,meto

eplenishwillresultinout-of-ockcondi,ons.While

nowingthestatusofshelf

ockmayindicateapoten,al

roblem;effec,veproac,ve

c,onrequiresknowingwhere

urre-supplyofinventoryisin

ela,ontowhereitissupposed

obeandwhereandwhenorrec,veac,onisneeded.

hesolu,onistoMANAGEthe

owofmaterialin,meto

nsurethereliabilityofthere-

upplyprocess.

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BUFFER RECOVERYPERCENT (BRP)a new powerful operational measure

that enables proactive managementANAGE

eBufferRecoveryPercent(BRP)isthe

ymeasureusedtoestablishpriories.

elowestBRPindicatestheprocesshichhasconsumedthemost

uffer,andasaresultneedsthe

ostimmediatea8enon.

Trackingtheconsump,onofbuffersisthe

keybecauseitallowsmanagerstorespond

beforeproblemscauserealdamage.

TheBRPreliesoncomparingactualmaterial-flowmovementtoplan.Actualmovementsarebasedon

transac,onaldatatakenfromanexis,ngERPsystem.Plannedmovementsareestablishedby

calcula,ngthedocumentplantakingintoaccountthevariabilityassociatedwithprocessingand

resourceavailability.UsingapatentedprocessMANAGEisabletonormalizethesevaluesforaONE-

numberprioritywhichconsidersthevaria,oncausedbyresourceunavailabilitysupplychannel

disrup,ondemandvaria,onandworkcentersthatoperateondifferentschedulesand,mezones.

efinedworkcentersandprocesssteps

Iden,fiedrepor,ngpointswheretransac,ondataare

capturedwithinprocessflows

Regulartransac,ondataupdates

EstablishedWorkayCalendarsforeachWorkCenter/

Repor,ngPoint

RequiredWorkContent(RWC)

WhatitTakestoRunMANAGE

WhatYouAlreadyHaveinPlace WhatYouwillNeedtoo

q EstablishReliable(NOTAverage)LeadTimesforreplenishmentandmadetoordercommitments;i.e.a

plannedperiodof,mebetweentheplacementand

receiptofanorderthatiso=engreaterthanandseldom

lessthantheactual,merequiredforeachorderplaced

becompleted

q ViewLeadTimeintermsofcomponentsthatdirectlyrelatetomanagingtheeffectsofsupplychainvariability

primarily:q RequiredWorkContent(RWC)andAllocated

TimeBuffer(ATB)ateachRepor,ngPoint

q SafetyTimeBuffer(STB)betweenthelastRepor,ngPointandtheplannedfinishdateof

theocument

q efineAllocatedTimeBuffers(ATB)andtheSafetyTimBuffers(STB)

q ReviewandadjustscheduledstartandfinishdatesinaccordancewiththeMANAGEestablishedplannedstart

andfinish,mestoavoidstar,ngtooearlyorhavinga

plannedfinishdatea=erthescheduledfinishdate

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FINDOUTMORETolearnmoreabout

the

capabili,esof:

ANALYZE

MANAGE

IMPROVE

PLAN

SCHEULE

andhowMANAGEcanpu

youincontrolofimprovinyourdeliveryperformanc

andreducingyourcostso

delivery;contactyourAG

representa,vetodayorvis

www.goldraD.com.

USA:(203)624-9026

MANAGETheONEnumberprioritysystemthatworksforyou

THEBIGSUPPLYPROBLEMS

DELIVERY& COSTOFDELIVERY

Missingdeliverycommitmentstointernalcustomersexternalcustomersorpartnersdevastatesanorganiza,onsreputa,on.Butallorganiza,onswhether

vendormanufacturerwholesalerorretailerarechallengedwithnotonly

accuratelyforecas,nginthesalescyclebutinlivinguptopromiseddeliverydates.

Physicalinventorybuffersonlygosofarincushioningtheeffectsofunpredicted

supplychainproblemsorresourceavailabilityissues;thisiswhyrepriori,za,onof

workflowtendstoconsumemoremanagement-,methanitshould.Butthe

problemwithsimplyrepriori,zingisthatwhilewell-inten,oneditresultsin

sacrificingdeliverydatesforonecustomer(ormore)inordertosa,sfyanother.In

otherwords,thenega3vecascadingeffectofworkflowrepriori3za3oncomesabout

becauseoflackofvisibilityintowhatoughttomakeupapriority,andanabilityto

seepriori3esinrela3ontootherpriori3es.Whatisneededisacoherentobjec,ve

easytounderstandprioritysystemforaligningallpriori,esbasedondemand

resourceavailabilityandsupplychainperformancewhichaccountsforthevaria,on

thatimpactsallthreeoftheseelements.MANAGEprovidesjustsuchameasure.

Risingcostsoccurwhenwelackinsightandaclearmethodtounderstandhow

priori,esofworkinterplaywithoneanother.Resourcesbecomestuckinaconstantmodeofexpedi,ngandmanagersareunabletoaccuratelypredictoutcomes.Both

ssuesarecostly.Theeffectsofoverexpedi,ngarewellknownandaddtoopera,ng

costsbecauseof:(a)over-,me(b)inefficientalloca,onofresourceswherepeople

areforcedtoworkonthewrongthingatthewrong,me(c)increasedrelianceon

costlyphysicalinventorybuffers(d)theeffectsofpira,nginventoriesdesignatedfor

otherprocessesorcustomersand(e)costsassociatedwithacquiringaddi,onal

resourcesatshortno,ce.Alloftheseadduptounnecessaryaddi,onalopera,ng

costsandlowerboDom-lineprofitability.

Thefastestwaytoimproveexecuonmanagementistomproveresourceeffec,venesswhileimprovingoveralldeliveryperformance.

MANAGEspatentedmaterialmanagementprocessmonitorsactualtoplanned

materialflowandprovidestheneededvisibilityintothestatusofmaterialflowin

,meandinrela,onshiptodeliveryperformance.

Copyright2007-2013AvrahamY.GoldraDIns,tuteLPAllRightsReserved.

and

areservicemarksortrademarksoftheAvrahY.GoldraDIns,tuteLPintheUnitedStatesa

othercountries.

U.S.PatentNo.8433592andJapanesePate

No.5039025forANALYZE.

U.S.PatentNo.8401905andForeignPatent

PendingforMANAGEandIMPROVE.

U.S.andForeignPatentsPendingforPLANan

SCHEULEmodules.

atacontainedinthisdocumentservesinforma,onalpurposesonly.Na,onalproduc

specifica,onsmayvary.

Thesematerialsaresubjecttochangewithouno,ce.ThesematerialsareprovidedbyThe

AvrahamY.GoldraDIns,tuteLPanditsaffili

companiesforinforma,onalpurposesonly

withoutrepresenta,onofwarrantyofanyki

andTheAvrahamY.GoldraDIns,tuteLPsha

notbeliableforerrorsoromissionswithresp

tothematerials.Theonlywarran,esforthe

AvrahamY.GoldraDIns,tuteLPgroupofproductsandservicesarethosethataresetf

intheexpresswarrantystatementsaccompanyingsuchproductsandservicesif

Nothinghereinshouldbeconstruedascons,tu,nganaddi,onalwarranty.