Simply be better

...through highly efficient value chains
Value Chains
...the complexity of which results from a multitude of diverse interactions

 

„Successful companies focus on the production process, since profit isn’t generated through accounting! Only optimally fine-tuned manufacturing sets the standard for quality, costs and product availability – and by this also represents the precondition for successful positioning of a company in globalized competition!


Companies focused on continuous development of their market share, as well as the expansion of their target market, would do well to disregard discussions regarding hidden defects in their products. The product quality is determined exclusively by manufacturing, not by inspection. Products that are flawless with regard to the specification can only be produced in consistently validated processes.

 

Further, high-performance processes only result in a consistent production flow in reliable and well-tuned production facilities in which ongoing client demand can be met without significant warehousing of products by employing exemplary labour, equipment and resource efficiency.

 

Appropriate business processes ensure as well operating cost management in company administration. This includes management systems for quality assurance, work safety and environmental protection. Only in the product, that is in the process of formation, do the capabilities of human, machine, tool, process and material flow come together to demonstrate the suitability of the solution chosen. The fulcrum and linchpin for sustainable success of a production concept lies particularly in the robustness of the chosen production process.

 

Accordingly, a strong sense of reality is important for the whole system during the validation phase of the later production process and set-up.  Mistakes in this step of any program usually can be compensated only by dealing with symptoms, since the time and financial means for correcting the root causes are often lacking in later phases of a project.


Consequently, the Project Management Systems in leading companies assume the defensive function for ensuring the prevention of economic effects resulting from unexpected launching issues. The same applies to the reliability of the hardware used. While purchase decisions regarding private acquisitions are increasingly based on the many available performance comparisons, the selection of production facilities and resources is less frequently based on such a fundamental analysis.

 

In this connection, quality defects and hardware malfunctions as well as their interactions are clearly the main reasons for the instability of a generally unsatisfactory and cost-intensive production concept. If the production chain is not reliably coordinated, then energy efficient process layouts become a mere farce and production itself becomes a game of chance.

 

In the end, the people involved hold everything together. As such, the entire production process in all its complexity must be manageable and comprehensible, formulated to be taught and learned. The consensus between management and employees should serve to support the necessary curiosity. Because only by constructively managing mistakes are we able to discover new and better ways of doing things."

 

SMETAN engineering & consulting GmbH

 

 

A pure hypothetical example…

Diagram which demonstrates the cost advantage

“Let us start a virtual plant tour of your company and follow the material flow of one of your major products. In doing so we incorporate every single production step into a chart, which shows costs above added value.

 

The “red lines” herein form those costs, which do not lead to any added value at all. At first you may think that this does not exist in your company, and we maintain that your inventory is saddled with such costs and that your fork-lift trucks waste time shifting things around unnecessarily. Reflect for a while and consider for a moment that the right hand chart could be that of one of your competitors.”

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