Themethodology is a complex integrated logical and rational order of the business performance that reduces complication and disruption. It represents only the details necessary it should be included. The methodology issuccessfully widely used to represent supply chains in order to enhance the Supply Chain Preparedness. People have developed a project management using different tools to understand, analyze and improve supply chains. Various approaches to the methodology supply chains have inherent strengths and weaknesses as extensively discussed in the literature. A comparison of methodologies in the literature might be directed to: Lean thinking, Six Sigma, Business process management, Kaizen. Case Study Methodology aimed at achieving operational efficiency. The paperis to assess the role of the particular methods for driving operations improvement.
Key word: Lean thinking, SIX SIGMA, Business process management (BPM), Kaizen, DMAIC
1. Introduction.
Breaking logistic chain in industrial markets is influenced by the catalysts from information communication technologies and delays frequently. The overall object of the paper submitted effective methodology in response to the requirements of modern logistics. The methodology is used to indicate the way function will assume the position of activities in the future. Methods of Methodology reduce the impacts of the variability of routing activities and protect against failures in the processes. Increased attention is directed to the study of system management controller. This decision is based on the combined and compromised analytical device between the planned activities and their expected outcomes in the delivery process.
Order-to-Delivery — a process is to promote cooperative ways using development tool. Distribution is an important activity including movement and handling of goods from production place or warehouses suppliers to final points of sale. Mode-appropriate features will provide the most cost-efficient way to distribute resources for increasing customer needs on the strategic, tactical, operational management level [1–4]. The issue studies in the following aspects: how can management control be coordinated, how it will understand the customer perceptions and learn how to set up delivery direction service to reach cost-cutting.
Effective control system under a highly standardized structure makes the business process easier. It gives the correct strategy to the process that can more flexibly react to change. It means that initial vital strategy can be added. Operational strategy includes short-range objectives of overall business plan under unexpected circumstances as event management.
New expanded technological opportunities and changing of existing outlets develop the new information environment. It provides reduction of complexity on every stage of organization. Successful technological and strategic solutions provide to minimize event risk through improved new business paradigm. Enterprises have focused on the favorable position with changing the traditional approaches to decision-making on the multi-faceted approaches in the arsenal of decision-making processes.
This work considers the problem of design and optimization of logistic operation and is to prevent a loss of competitive advantage and to add operational effectiveness. Competitive advantage is as a competitive suggestion in the business process. The goal of Operational Effectiveness as a logical and rational approach is to perform internal business activities better than competitors. Operational value makes the company easier and more pleasurable. It improves the characteristics of the company and it takes to get the products on the market with a great start and favorable delivering finished point.
2. Trends in the markets
The understanding of current situation in the business environment is important. The marketing decision depends on the continually evolving process. Many reasons are to unbalance in the future of supply chain, but the most important ones are following [5–8]:
- Increasing complexity. Logistics complexity is in the form of complex interaction among stakeholders and other element of the arrangement. Complex system is characterized by non- repetitive and unpredictable.
- Dynamic market. Era of turbulence proves a potent way to build flexible options into the cycle view of supply chain processes.
- Changes in management paradigm. Virtual management, advanced business opportunities increased complexity and cost of global logistics.
- Consumer behavior. Understanding factors that play a role in shaping consumer behavior indicate an answer to the questions: how organizational facing and particular mechanisms are used for customer perceptions.
Crucial development focuses on the significant challenges that increase competition in the field of supply chain. The importance of this area is the direct interconnection between the quality of the providing process and the quality of the using methods. There are many factors that influence performance. These of them should be monitored. For instance:
- Business to IT — alignment. Business organization in unstable state is able to apply information technology (IT) effectively to focus on fulfilling goals [9]. Technological trends include: Computer Aided Design, Computer Aided quality, Competitive Intelligence.
- Building contracts and relationship. It means significant business impact on the digital networks and Business Corporation (international multidimensional team work).
- Lean thinking. A lean method provides company value through the key to value creation in supply chain management that has required minimal waste [10].
3. Methodology
Logistic chain improvement is very important in improving the overall performance of the total logistic chain. To improve platform of the total logistic chain is needed, including a set of methods and having the capability to easily and quickly build delivery process. Implementation plan defines the benefits in the following aspects:
- Technological aspect: Intelligent agents are objective oriented, autonomous, adaptive and smart cooperation. It gives decision support for strategic information.
- Economical aspect: is coordinating work of economic scenarios. The focus is to provide operation cause to reach low-cost.
- Social aspect: A work scenario that includes all the activities depends on the productive total flow for customer value.
The main task of operational work is to ensure all processes in the organization, which coordinate work of all departments of the enterprise (association) and adopt that correct direction of thinking is that all delivery problems will be solved.
In fact, we’ve found that the primary business processes that we work with are on the voice of the customer. Feedback– when centrally summarized, submitted and analyzed–can provides detail insights about customer’s needs. Moreover, it can help what’s has favorable effect and what’s not working in their organization so that they can continue to do more of what’s working and what probably caused.
Fig.1. Feedback loop (Source [11–12])
4.1 Description Methodology for logistic solution
4.1.1. Lean
Lean Logistics is a set of activities that will accomplish specific organizational objectives applying the tools and principals of lean to material supply processes. Planning and optimizing implement from inbound transportation, though warehousing to finished goods and to inventory management systems. The aim is to create lean logistic systems and to define the measurements for the change of processes [10].
4.1.2. Business process management (BPM)
Business process management (BPM) is the discipline of managing processes as the means for improving operational agility. BPM solution incorporates the core processes and supports them to enable workflows and improve organization performance. [13–14]. The fundament of the business process management (BPM) is a programming model for specific application purposes. BPM is result of dramatic improvements. Some of the companies developed business process and databases using data and voice communication system. Processes span organizational structures, linking together people, information flows, systems and other assets from modern approaches of intelligence. Computer technology is mainly designed for creating intelligent systems. Through business intelligence can predict customer expectations developed choice of subcontracted operations and parts, process building architecture, current material handling scheduling policies, monitoring and software business partner.
4.1.3. SIX SIGMA
Six Sigma quality process is acceptable platform of review improvement quality. Gain control of transforming process is improvement of specified flow of process in particular units. This approach works by finding and removing the difficulties of errors and variations. That describes concepts and effect to determine staffing need for best practice [15]. The term Six Sigma refers to structural diagram and logics conspectus and visibility.
4.1.4. Kaizen
Kaizen is rapid research process is that considered to be the building application of analytical and science techniques. Kaizen focuses on enduring improvement in targeted a significant component of the value delivery process. Team work principals are used to assist challenges currently facing supply chain performance [16–17].
According to the improvement theory the key advantage for development management process should be able to reach the harmonized combination. It the important that the current process is investigated using the montage primary program of each methodology. Learning implementation of company policy lean Six Sigma is a proven functional mechanism that multiplies optional value and gives additional opportunities into tangible results: extremely corporate team, slightly more details of installation process, Improvement performance metrics and analyses.
The purpose of management development is to create correct methodology that enhances supply chain effectiveness and gives priorities: accuracy of the forecasting process, the most cost-effective way, customer value maximization, transparence option and competence of corporate work.
4.2. Comparison Methodology for logistic solution
This section reviews prior principal and combines specific knowledge in describing methodologies. Each method in the methodology has its strengths and weaknesses. It is important to understand these strengths and weaknesses and to understand these applications in specific conditions. Methodology has very effective staff to increase supply chain event.
Tablе 1
Comparison methodology for business solution [10–20; 28–30]
Methodology |
Main purpose |
Context |
Methods |
Strengths |
Operational value |
Lean thinking |
Create flow by eliminating waste |
Value stream mapping |
Process Design map, Quality Assurance, |
Less variation, Less inventory. |
Value-additional process |
SIX SIGMA |
Eliminated causes of defects |
Statistical modelling, systematic arrangement of important parts |
Benchmarking,5S, process diagram, DMAIC |
Less waste, fast throughput |
Operational Excellence |
Business process management (BPM) |
Improved processes |
Architectural evolution of object oriented software systems |
Reengineering, operational intelligence |
Is to align internal business option to customer needs |
CASE (Computer –aided software engineering) |
Kaizen |
Implement changes |
Event is Team Oriented |
PDCA, scientific method |
Making small improvements on continuous basis. |
Operational improvements stick |
Concerning the performance of managing improving capability is to ensure resource optimization which synchronizes a series of analyses of organization lines. To improve the management system is defined a suite of possible effects and the most consequential causes. The objective of methodology is to analyze these defects.
4.3 Integration DMAIC
The first platform in problem-solving is to designate precisely the problem that we want to solve. Delivery mode is responsible process means operations within the supply chain are correct. Main task is to determine what causes and what changes in the delivery mode can reduce the efficiency.
DMAIC (an abbreviation for Define, Measure, Analyze, Improve and Control) represents improvement cycle used for improving, optimizing and studying current situation. The DMAIC improvement used to investigate measurement that focusing on daily operation. The DMAIC improvement guide used to investigate Six Sigma projects. However, DMAIC is a typically flexible tool and not intended to produce in general. We have chosen tools in this paper related to the techniques of the method DMAIC.
According to the SIX SIGMA method, a process can be considered through graphic diagrams for more transparency. For every steps of processing were proposed diagram and approach are suitable for analyzing customer delivery. The way in which managerial activities are performed determines effects of process, factors and personal organization. The view of method of DMAIC emphasized the different access to delivery assurance (Tabl3).
Table 2
Method DMAIC for correct delivery [15; 18; 22–27, 31–33]
Definitional |
Tool |
Result |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
D |
Define: 1. Creating process mapping for customer value |
SIPOC diagrams (Suppliers-Inputs-Process-Outputs-Customers) |
List process steps.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
M |
Measure: 1. Data collection planning |
The Cause & Effect (CE) diagram |
Discovering all the possible defects |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
A |
Analyze: 1. Definition of capability analysis |
Capability analysis (Gap analysis) |
Indicating how well a process is able to perform its specified purpose.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
I |
Improvement 1. Identification all impact on the problem |
Factors experiment |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
C |
Control 1. Verifying whether the benefits reached the customer |
Failure Mode Effects Analysis (FMEA) |
Order-to-Delivery:
The evaluation of error detection
Source [31] Range priority risk
Source [31] Range priority number — is a result of the occasion and event: RPN = Severity x Probability x Detection Determine recommended action to turn failures that have a high RPN |
Conclusion:
This article helps us understand specific ways of adaptation to requirements for approval of business. A great deal of attention was given to the instructional management for decision-making process. It provides the background study and analysis to the review the fundamental characteristics of research methodology. A different set of skill of methodology is as basis for displaying the key information in operating environment. Additional operational value is achieved via combination of improved approach. Instance: Lean Six Sigma, Learn Kaizen, Kaizen & Six Sigma and implications impact business intellenge.
DMAIC is agile and mercurial approach of SIX SIGMA with improvement variance of decision-making and it can be assigned for each stages of enhancement. This way considers the identification, analysis and improvement of connection elements. Improving program is better to maintain a strong position and can be applied to simplify, standardize and optimize activities in the event management. Using schematic form for operational value it sustains delivery schedule adherence and implements precise of control. It can be used to help company find the best way to identify the sources of value or diseases of the company. In order to understand and apply the complex interaction of metrologies that lead to deeper knowledge in the development of current trends in the industries markets.
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