M111 - Introduction to M110
In this module, we will explore common misconceptions in manufacturing. Being 'efficient' in manufacturing is widely believed to make manufacturing plants more profitable. However, the practices commonly associated with being 'efficient' often have the opposite effect, inflating inventories and queues, increasing manufacturing lead times, worsening due date performance and reducing profitability.
In this module, you will learn exactly why this is the case.
What you should do
- Read the module learning objectives carefully.
- Complete the required units.
What you should know
At the end of this module you should understand the following:
- What the Efficiency Syndrome is.
- What EOQs and MOQs are.
- What the practice of saving set-ups is.
- How they inflate inventories and, therefore, manufacturing lead times.
- How long lead times damage financial performance.
- The numerous other negative effects of operating in a high inventory environment.