The Material Flow Challenge
The Aerospace and Defense (A&D) industry trend towards increased visibility and emphasis on reducing program costs and schedule overruns are driving companies to significantly improve their manufacturing operations. Inefficiencies that were hidden by cost-plus pricing now have a direct impact on the bottom line, especially as programs move from low-volume development to rate production.
Also, with the ongoing financial crisis, it is now imperative for A&D companies to demonstrate to their shareholders and government customers the ability to reduce cost, “build in” quality, increase throughput and have adaptive flexible processes in place to meet changes in customer demand.
While factory material flow (FMF) has traditionally remained confined within the four walls of the company, there is considerable room for improvement. A&D companies can achieve even greater benefits by expanding the scope of material flow to include the company’s extended supply chain.
This point of view (POV) by Deloitte Consulting LLP focuses on effective material replenishment methods that can help slash costs and cycle times while boosting quality and responsiveness.
It also explains the framework for improving factory material flow and offers some success lessons learned by helping A&D companies and other manufacturers in their efforts to address their material flow challenge.
To learn more how an effective factory material flow can assist A&D companies improve their bottom-line performance and competitiveness, download the attachment below.