production logistics material flow optimization
The logistics system at Ares OJSC is characterized, first of all, by the absence of a logistics department as such. The enterprise has the position of Deputy Managing Director for Purchasing and Logistics, subordinate to which are the following departments: Logistics Department (LMTS), External Purchasing Department (ECD), Transport Shop (TC) and Warehouse System. The Logistics Department, as well as the positions of logisticians, does not exist as a separate structural unit.
However, logistics chains and the logistics environment, of course, exist at Ares OJSC, and some logistics functions are performed by the above divisions.
Let's look at the work of each of them.
The Logistics Department (LMTS) is an independent structural division of Ares OJSC. OMTS is directly subordinate to the Deputy Managing Director of the Company for Purchasing and Logistics.
The main goals and objectives of this department:
The organizational structure of OMTS management is presented in Appendix 1.
Main functions of OMTS:
The Department for Procurement of Components and Tools (OZKiI) is an independent structural division of Ares OJSC. Reports to the Deputy Managing Director for Purchasing and Logistics. The structure of the department is presented in Appendix 2.
The external procurement department (OQD) is an independent structural unit and is directly subordinate to the Deputy Managing Director for Purchasing and Logistics. The organizational structure of UWC is presented in Appendix 3.
Main goals and objectives of the department:
The transport workshop (TC) is an independent structural unit. Main goals and objectives of the department:
The main functions of the transport department of Ares OJSC are as follows:
In the field of production and technical activities:
In the field of economy, planning, accounting and reporting:
In the field of selection, placement and use of personnel, labor organization and wages:
In the field of logistics:
Production and dispatch department (PDO). The main task The work of the department is to formulate a production plan.
To ensure a continuous production process, Ares OJSC has created an infrastructure, the working condition of which is maintained by the plant’s engineering and technical service.
Each department head is responsible for the operation of the buildings and structures in which his workshop (site) is located. The heads of the departments in which it is used are responsible for the operation of the equipment. Maintenance and repair of equipment is carried out by the energy repair shop at the request of other shops, as well as in accordance with the equipment repair plan.
For the delivery of raw materials and supplies, the shipment of products, the enterprise’s road transport is used and third party organizations. Products are also shipped by rail containers.
All transportation is carried out and planned by the transport section. The delivery of materials is carried out on the basis of requests from the logistics department, the shipment of products is carried out on the basis of requests from the sales department.
The amount of energy resources required to ensure production and operation of the enterprise, and optimization of their consumption is planned by the assistant technical director on energy saving and the department of material regulation. Based on the production plan, the need for all types of energy resources is calculated and contracts are concluded with suppliers.
To ensure the quality of products, improve the quality of staff work and their satisfaction with their work, managers structural divisions manage the production environment.
In accordance with the production plan, technical development plan at the enterprise, the chief economist develops a financial plan (annual and monthly), which is approved general director.
The General Director carries out management financial resources- their planning, ensuring availability and control of use. Based on the results of the month, quarter and year, an analysis of quality costs is carried out, analysis financial indicators, such as increased cash flow, increased benefits, reduction of unproductive expenses.
The procedure for managing material flows in the production of Ares OJSC has the following features.
The plan for the production of marketable products is formed for the year, evenly divided into quarters. The need for the production of titanium products is determined by the production dispatch department (PDD), economic planning department with the participation of the marketing and sales department based on the sales forecast and the need to load production capacity (enterprise personnel). Priority in decision-making during formation production program belongs to PDO. The formation of the production plan is completed in November/December of the previous period. The generated production plan is approved by the General Director and transferred to the logistics department to assess the annual need for materials and components.
Quarterly planning for the production of marketable products is carried out according to the scheme for forming an annual plan, taking into account the fact that the plan was fulfilled in the previous quarter. If the plan for the previous quarter is not met, the original quarterly plan is adjusted upward.
Detailed planning of the movement of parts, assembly units own production The sender/receiver breakdown is made by specialists based on the quarterly production plan. Detailed planning is done taking into account the balances and reserves in the main production workshops. To reconcile balances, the movement of parts and assemblies of own production is verified during the month and incorrect balances are corrected.
The need to implement dispatch functions arises due to the discrepancy between the planned and actual output of finished products. In this regard, adjustments to the quarterly plan and operational management of production during the next month are required. When the quarterly production plan changes, PDO automatically calculates deviations and makes adjustments to previously generated plans and manually develops production schedules for assembly and delivery of products on a monthly basis for each working day. The developed schedules are communicated to the workshops, and the PDO monitors their implementation. Every day, shop managers report by telephone on the implementation of production schedules.
Based on an analysis of existing problems, we can formulate the following general goals for improving the material flow management system in production:
Thus, it is clear that many logistics functions are implemented at Ares OJSC, but there is no single information space, a single center for the concentration of logistics chains. Therefore, one of the directions for improving the structure logistics system Ares OJSC is taking measures to implement a logistics department at the enterprise.
* This work is not a scientific work, is not a graduation qualifying work and is the result of processing, structuring and formatting the collected information, intended for use as a source of material for independent preparation of educational work.
Introduction
1. Definition of production logistics
2. The essence of materials management
3. “Push system” control
4. "Pull control system"
5. Logistics concepts for organizing production management
6. The effectiveness of applying the logistics approach to managing material flows in production
Conclusion
List of used literature
Introduction
In many enterprises, in conditions of fierce competition, companies strive to reduce their production costs. High-quality, complete and on-time production is truly the goal of production logistics. But how is this goal achieved? Standard methods are to shorten the production cycle and reduce production costs as much as possible. Perhaps this is the situation only in Russia, but this is where enterprise optimization is built in exactly this way.
In this regard, I would like to note that production logistics initially represents strict adherence to the business contract, as a result of which the possibility of high-quality, complete and timely production appears. Regular updating of equipment and advanced training of working personnel should also be attributed to modern strategy enterprise development. The concept of material flow is key in logistics. Material flows are formed as a result of transportation, warehousing and other material operations with raw materials, semi-finished products and finished products, from the primary source of raw materials to the final consumer.
Material flows can flow between different enterprises or within one enterprise. Before formulating the definition of material flow, let us examine a specific example of material flow flowing inside a warehouse of a trading wholesale warehouse.
Material flow refers to cargo, parts, inventory items, considered in the process of applying various logistics operations to them and assigned to a time interval.
Isolating all operations along the path of moving cargo, parts, inventory items through transport, production, and warehouse links allows you to see general process promoting a changing product to the end consumer; design this process taking into account market needs.
The dimension of the material flow is a fraction, the numerator of which indicates the unit of measurement of the cargo (pieces, tons, etc.), and the denominator indicates the unit of time (day, month, year, etc.). In our example, the dimension of the material flow is tons/year.
When carrying out some logistics operations, the material flow can be considered for a given point in time.
Then it turns into material reserve. For example, the operation of transporting cargo by rail. At the moment when the cargo is in transit, it is a material stock.
Material flows are defined as goods considered in the process of applying various logistics operations to them. The wide variety of cargo and logistics operations complicates the study and management of material flows. When solving a specific problem, it is necessary to clearly indicate which flows are being studied. When solving some problems, the object of study may be a load considered in the process of applying a large group of operations. For example, when designing a distribution network and determining the number and location of warehouses. When solving other problems - for example, when organizing an intra-warehouse logistics process, each operation is studied in detail.
Definition of production logistics
The relevance of considering production logistics as a separate functional subsystem is that in recent years there has been a tendency to reduce the scope of mass and large-scale production. The use of universal equipment and flexible, reconfigurable production systems is expanding. Manufacturers are receiving more and more orders for the production of small batches and even single items. At the same time, buyers are increasingly demanding to satisfy their needs in the shortest possible time (days, hours) with a high degree of guarantees. Another aspect of the relevance of production logistics is the organization of production within the framework of cooperation for the production of complex products.
Manufacturing is one of the main areas of logistics, occupying a central place in the company.
Management of material and information flows on the way from a warehouse of material resources to a warehouse of finished products is called production logistics.
The goal of production logistics is to accurately synchronize the production process and logistics operations in interconnected departments.
The tasks of production logistics reflect the organization of management of material and information flows not just within the logistics system, but within the framework of the production process.
Organizationally, the part of the logistics system, which includes the management of production flow processes, forms a production logistics subsystem, which is an integrated set of elements in the overall structure of the current logistics system.
Production logistics subsystems generate material flows and set the rhythm of the work of other subsystems. They identify the potential for logistics systems to adapt to environmental changes. In addition, production logistics subsystems determine the ability of adjacent subsystems to self-adjust in accordance with current target settings. The flexibility of production logistics subsystems is ensured by the flexibility of production and the professionalism of service personnel. The functioning of the logistics subsystems of the main production must ensure the possibility of constant coordination and mutual adjustment of production programs, plans and interactions of all units of the logistics system.
The special status of the production process in relation to other types of production and economic activities determines the specifics of production logistics as the only area in which material flow is expressed in three material forms. At the stage of entering the subsystem - in the form of raw materials, materials, components, at the stage of exiting the production logistics subsystem into the distribution logistics subsystem - in the form of finished products. And during the production process itself - in the form of semi-finished products.
In some cases, the change in forms of material flow occurs in two or three production operations in a short period of time.
The essence of materials management
Material flow management in the production process is called material flow logistics and is carried out in ways based on two fundamentally different approaches. The first approach is called the “push (pull) system”, and the second - “pull (pull) system”.
To carry out multi-process production, a backlog of products is necessary in case of delays in product delivery between sites and workshops. In this case, the reserve is understood as a stock of semi-finished products, parts or assembly units, ensuring the uninterrupted operation of all production departments of the enterprise. Based on their purpose, reserves are divided into technological, working capital, transport and insurance.
Technological backlog is parts and assembly units that are directly in processing or under control. Its value is determined by the number of workplaces and the number of control batches of parts and assembly units processed by them.
The working stock is a stock of parts and assembly units created at workplaces to organize continuous work.
The transport backlog is a set of parts and assembly units that are currently in the process of moving from one workplace to another or from one production workshop (site) to another.
An insurance reserve is created in production logistics when equipment fails or when a defect is discovered in production, as well as in other similar cases.
To carry out the management process, various production schedules are drawn up for all stages of the production process - both for the manufacture of units, assemblies and components, and for the assembly line. In this case, the so-called “push-out” system is used, the essence of which is as follows.
Material resources arriving at workplaces or a production site are not ordered by these entities from the previous technological link. The material flow is pushed out to each subsequent recipient strictly according to the order (command) coming from the control center of local (workshop, site) or general (enterprise) production.
As parts are ready, they move from the previous stage of the production process to the next. However, in this case, it is difficult to quickly adapt in the event of failures in some technological processes or when demand changes. In addition, when using this control system over the course of a month, it is necessary to repeatedly change production schedules for all technological stages simultaneously, which is often very difficult.
The most well-known tested logistics models of systems of this type are MRP-I, MRP-II, etc.
Push control systems
"Push" materials management systems are characteristic of traditional methods of organizing production. The first developments of logistics systems adapting traditional and modern approaches appeared in the 60s. They made it possible not only to coordinate, but also to quickly adjust plans, programs and algorithms of action for all structural divisions of the enterprise: supply, production, sales, taking into account the dynamics of external and internal influences in real time.
The logistics organization of production and economic activities with the help of these systems has become possible thanks to the massive distribution of computer technology and modern information technologies. Despite the fact that push systems are able to control the functioning of production and economic mechanisms of varying degrees of complexity, combining all their elements into a single whole, at the same time they have limited capabilities. The characteristics of the material flow transferred from link to link are optimal to the extent that the control center is able to take it into account, evaluate and correct it. The main disadvantage of this system is the high cost of software, information and logistics support.
In addition, with such a system, the enterprise must have inventories at all stages of production to prevent disruptions and adapt to changes in demand. That's why this system involves the creation of internal static flows between various technological stages, which often leads to the freezing of material resources, the installation of excess equipment and the attraction of additional workers.
“Push” (push) systems have found application not only in the sphere of production (in production logistics), but also in the sphere of circulation, both at the stage of procurement and sale of finished products.
In the logistics process, a push system is an inventory management system throughout the supply chain, in which the decision to replenish stocks in the warehouse system at all levels is made centrally.
When selling finished products, the push system manifests itself as a sales strategy aimed at the formation of inventory in wholesale and retail trade enterprises ahead of demand in relation to demand. In addition to organizational and management functions, modern versions of push logistics systems make it possible to successfully solve various forecasting problems. For these and other purposes, operations research methods, including simulation, are widely used.
Most production management systems today belong to the push type, and the larger such a system, the more characteristic the following becomes for it.
1. If there are sudden changes in demand or delays in the manufacturing process, it is almost impossible to reschedule production for each stage. The consequence of this is excess inventory or even overstocking.
2. It is very difficult for management personnel to understand in detail all situations related to production standards and inventory parameters. Consequently, the production plan must provide for the creation of excess safety stocks.
3. Any operational, urgent changes in the size of batches of manufactured products, as well as the duration of production and logistics operations, cause great complications, since it is very difficult to calculate optimal production plans in detail.
Pull system
The "pull" system was conceived as a means of solving such problems. This can be achieved if conditions are created for simple and reliable supply of products exactly on time, corresponding to the need for their arrival at the next site. Pull (pull) systems reflect approaches to organizing production in which parts and semi-finished products are moved from the previous technological operation to the next one as needed.
In this case, there is no strict schedule, since only on the assembly line the number of necessary units and components required for the manufacture of one product, as well as the time for their production, becomes known exactly. It is from this line that containers are sent to previous sections for parts of the required nomenclature. The parts taken from the previous section are produced again and their quantity is replenished. And so on along the entire line. Each section “pulls” the necessary parts or materials from the previous one. Thus, there is no need to draw up production schedules simultaneously for all technological stages within a month. Only on the assembly line are changes to the work schedule made.
During the operation of this system, the control center does not interfere with the transfer of material flow through the existing supply chain. He does not set current production targets for the relevant units. The production program of each previous technological link is set by the parameters of the order coming from the subsequent link. The main function of the control center is to assign tasks to the final link of the production technological chain. The main goals of the "pull" system:
Preventing the spread of increasing fluctuations in demand or production volume from the subsequent process to the previous one;
Minimizing fluctuations in inventory parameters between technological operations;
Maximum simplification of inventory management in the production process by decentralizing it, increasing the level of operational shop management, i.e., providing shop foremen or foremen with the authority to quickly manage production and inventories.
The advantage of “pull” (pull) systems is that they do not require total computerization of production. At the same time, they require high discipline and compliance with all delivery parameters, as well as increased responsibility of personnel at all levels, especially performers. This is explained by the fact that centralized regulation of production logistics processes limited.
“Pull” (pull) logistics systems include the well-known KANBAN and ORT systems. The ORT system, developed by Israeli and American specialists, belongs to the class of micrologistics systems that integrate supply and production processes. The main operating principle of this system is to identify so-called “bottlenecks” in the production process.
Critical reserves of material resources, work in progress, finished products, technological processes, production capacities, etc. can be considered critical. The efficiency of the use of critical resources mainly determines the efficiency of the logistics system as a whole, and the remaining (non-critical) resources have virtually no effect on the functioning of the system. significant influence. Many experts in the field of logistics consider ORT to be a computerized version of KANBAN, with the only difference being that the ORT system prevents the emergence of bottlenecks in the supply-production logistics network, and the KANBAN system can effectively eliminate bottlenecks that have already arisen.
The main principles of the “pull” system:
1. Maintaining stable reserves at each stage of production, regardless of influencing factors.
2. Promotion of an order from the next section to the previous one using the material resources spent in the production process to complete the next task.
Necessary requirements for implementing a “pull” system:
Establishing a standard moment for order renewal and standard size batches of ordered products;
Tracking inventory parameters and supply volumes for current orders;
Constant monitoring of the parameters of dynamic flows during the execution of the next task.
In the handling industry, both push and pull systems are widely used.
At the purchasing stage, they form materials management systems with a decentralized decision-making process for replenishment of stocks.
When selling finished products, the “pull” (pull) system is a sales strategy aimed at stimulating demand for products at the wholesale and retail levels ahead of the formation of inventory.
Logistics concept for organizing production management
For a long time, traditional production and marketing activities were based on the fact that fluctuations in demand for the products of a particular production were regulated by the stocks of these products. Production worked at its own rhythm, and stocks of finished products were created, essentially, “just in case.” The disadvantages of such an organization of production were obvious. In addition to the waste of significant funds in the form of the creation of stocks that are not yet in demand, costs arise for their storage and, consequently, the cost of production increases. In addition, such inventory limits the company's ability to satisfy requests for a new product range or changes in product quality requirements. The company becomes conservative, its opportunities to expand its clientele and conquer new markets are limited. Ultimately, this makes it difficult (if not completely impossible) to implement effective and profitable pricing and technical policies.
Organization and management of production in accordance with the traditional concept strives to maintain a high degree of equipment utilization and reduce production costs. The relevant indicators are monitored throughout the entire production cycle. Based on the results of monitoring these indicators, certain management activities are carried out.
The traditional concept of production management is based on the fact that the product being manufactured is based on an analysis of market conditions already carried out by the top management of the company. Therefore, it is assumed that products of this range and in this volume will be sold sooner or later. With this approach, the goals of production management are local and specific: maximum equipment utilization and avoidance of downtime, the desire to produce the smallest number of batches of the largest volume of products, to constantly increase productivity, including by allowing a certain percentage of defects and narrow specialization of production personnel .
The implementation of such properties of flexibility, which modern production should have, is achieved through logistics management.
Logistics principles of production management require that indicators be correlated with the efficiency obtained from product sales. In other words, the assortment, volumes and timing of sales and achievable prices are taken into account. The possibility of adequately increasing production volumes, i.e. quantitative flexibility, is ensured by creating internal reserves of labor and production capacity, including equipment reserves.
In conditions of satisfying and creating market needs in the presence of competition, the receipt of orders from consumers is unpredictable and can change, that is, increase or decrease and acquire new qualities. The top management of the company will not be able to satisfy such fluctuations in consumer demand only through the availability of inventory. Moreover, these reserves deprive him of initiative and make him conservative.
The logistics concept of production organization includes the following basic provisions:
Refusal of excess stocks;
Refusal of excessive time for performing basic transport and warehouse operations;
Refusal to manufacture products for which there is no customer order;
Elimination of downtime of main equipment;
Mandatory elimination of defects;
Elimination of irrational intra-factory transportation;
Transforming suppliers from adversarial parties into benevolent partners.
SystemMRP
The MRP I system was developed in the USA in the mid-1950s, but became widespread in both the USA and Europe only in the 1970s. According to the definition of the American specialist J. Orlisky, one of the main developers of the MRP system, the “materials requirements planning (MRP system) system in the narrow sense consists of a number of logically related procedures, decisive rules and requirements that translate the production schedule into a chain of requirements”, synchronized over time, and the planned “coverages” of these requirements for each unit of inventory of components required to meet the schedule... The MRP system reschedules the sequence of requirements and coverages as a result of changes in either the production schedule, inventory structure, or product attributes.”
MRP systems deal with materials, components, semi-finished products and their parts, the demand for which depends on the demand for specific finished products.
The main goals of MRP systems are:
1) meeting the need for materials, components and products for planning production and delivery to consumers;
2) maintaining low inventory levels;
3) planning production operations, delivery schedules, purchasing operations.
In the process of achieving these goals, the MRP system ensures the flow of planned quantities of resources and product inventories during the time used for planning. The MRP system begins its work by determining how much and in what time frame it is necessary to produce final products. The system then determines the timing and quantities of material resources needed to meet the production schedule needs.
The input of the MRP system is consumer orders, supported by forecasts of demand for the company's finished products, which are included in the production schedule. Thus, in MRP the key factor is customer demand.
The database of material resources contains all the required information about the nomenclature and basic parameters (attributes) of raw materials, materials, components, semi-finished products, etc., necessary for the production (assembly) of products or their parts. In addition, it contains standards for resource consumption per unit of output.
The inventory database informs the system and management personnel about the availability and size of production, insurance and other required inventories of material resources in the company's warehouse, as well as their proximity to critical levels in terms of the need for their replenishment.
Problems arising during the implementation of the MRP system relate to the development of information, software and mathematical support for calculations and the selection of a set of computer and office equipment.
Systems based on the MRP approach have a number of disadvantages and limitations, the main of which include:
The use of MRP systems requires a significant amount of calculations, preparation and pre-processing of a large amount of initial information, which increases the leading time of production and logistics cycles;
An increase in logistics costs for processing orders and transportation as the company strives to reduce inventory levels or switch to producing products in small volumes with high frequency;
Insensitivity to short-term changes in demand, since they are based on the control and replenishment of inventory levels at fixed order points;
A large number of failures in the system due to its too complex nature and large dimension.
SystemDRP
From an operational point of view, the RP logistics concept can also be used in distribution systems, which was the basis for the synthesis of external DRP (Distribution requirements planning) systems. DRP systems are the extension of the logic of building MRP into the distribution channels of finished products. However, these systems, although they have a common logistics concept “RP”, are at the same time significantly different.
The fundamental tool of logistics management in DRP systems is a schedule (schedule), which coordinates the entire process of supply and replenishment of finished products in the distribution network (channel). This schedule is generated for each allocated storage unit and each link of the logistics system associated with the formation of inventories in the distribution channel. Inventory replenishment and consumption schedules are integrated into general requirement to replenish stocks of finished products in the warehouses of the company or wholesale intermediaries.
At the same time, there are certain limitations and disadvantages in the use of DRP systems. First, the DRP system requires an accurate, coordinated dispatch and replenishment forecast for each finished product distribution center and channel in the distribution network. Ideally, the system should not maintain excess inventory in logistics distribution channels, but this is determined only by the accuracy of the forecast. To avoid possible mistakes, it is necessary to have certain safety stocks in distribution centers. Secondly, inventory planning in DRP systems requires high reliability of logistics cycles between distribution centers and other links in the system. Uncertainty in any cycle (order, transportation, production) immediately affects the effectiveness of decisions made in the DRP system. Thirdly, integrated distribution planning causes frequent changes in the production schedule, which disrupts the company's production divisions, leads to fluctuations in the use of production capacity, uncertainty in production costs, and disruptions in the delivery of products to consumers.
Logistics concept "just- in- time»
The most widespread concept in the world is the concept of “just-in-time” - J I T (“just in time”). The emergence of this concept dates back to the late 1950s, when the Japanese company Toyota Motors, and then other Japanese automakers, began to actively implement the KANBAN system. The name “just-in-time” was given to the concept somewhat later by the Americans, who also tried to use this approach in the automotive industry. The original slogan of the J I T concept was the potential elimination of inventories of materials, components and semi-finished products in the production process of assembling cars and their main components. The initial statement was that if the production schedule is given (abstracting from demand or orders for now), then the movement of material flows can be organized in such a way that all materials, components and semi-finished products will arrive in the right quantity, to the right place (on the assembly line - conveyor ) and exactly on time for the production or assembly of finished products.
J I T is a modern concept for building logistics systems in production (operational management), supply and distribution based on the synchronization of the processes of delivery of material resources and finished products in the required quantities by the time a link in the logistics system needs them, in order to minimize the costs associated with supplies.
The J I T concept is closely related to the logistics cycle and its components. Many modern logistics systems based on the J I T approach are focused on short components of logistics cycles, which requires a quick response of the logistics system units to changes in demand and, accordingly, the production program.
The logistics concept of J I T is characterized by the following main features:
Minimum (zero) reserves of material resources, finished products;
Short production (logistics) cycles;
Small volumes of production of finished products and replenishment of stocks (supplies);
Relationships for the procurement of material resources with a small number of reliable suppliers and carriers;
Effective information support;
high quality of finished products and logistics services.
The introduction of the J I T. concept, as a rule, improves the quality of finished products and services, minimizes excess inventories and can, in principle, change corporate identity management through the integration of complex logistics activities.
Logistics systems that use the J I T ideology are pull systems in which orders for replenishing inventories of material resources or finished products are placed only when their quantity in certain areas reaches a critical level. In this case, stocks are “pulled” through physical distribution channels from suppliers or logistics intermediaries in the distribution system.
Quality plays a key role in the practical implementation of the J I T concept. Japanese automobile manufacturers, initially introducing the J I T concept and the KANBAN system into production, fundamentally changed the approach to quality control and management at all stages of the production process and subsequent service.
Modern J I T technologies and logistics systems have become more integrated and are combined from various variants of logistics production concepts and distribution systems, such as systems that minimize inventories in logistics channels, logistics systems for quick switching, equalization of inventory levels, group technologies, preventive flexible production, modern total systems statistical control and management of product quality cycles, etc.
SystemKANBAN
The KANBAN system was developed by Toyota Motors Corporation (which means “map” in Japanese). The KANBAN system represents the first implementation of “pull” logistics systems in production, the implementation of which took Toyota about 10 years from the start of development.
The key factors for the implementation of this system were:
Rational organization and balance of production;
Total quality control at all stages of the production process and the quality of raw materials from suppliers;
Partnership only with reliable suppliers and carriers;
Increased professional responsibility and high work morale of all personnel.
Initial attempts by US and European competitors to automatically transfer the KANBAN design to production without taking into account these and other logistics environmental factors failed.
The KANBAN system, first used by Toyota Motors Corporation in 1972 at the Takahama plant (Nagoya, Japan), is a system for organizing a continuous production flow that can be quickly adjusted and requires virtually no safety stocks. The essence of the KANBAN system is this. that all production divisions of the plant, including final assembly lines, are supplied with material resources only in the quantity and on time that are necessary to fulfill the order specified by the consumer division. Thus, in contrast to the traditional approach to production, the manufacturing structural unit does not have a general rigid production schedule, but optimizes its work within the order, according to the production and technological cycle of the company's unit.
The means of transmitting information in the system is a special “kanban” card in a plastic envelope. Two types of cards are common; selection and production order. The selection card indicates the number of parts (components, semi-finished products) that must be taken at the previous processing (assembly) site, while the production order card indicates the number of parts that must be manufactured (assembled) at the previous production site. These cards circulate both within Toyota enterprises, and between the corporation and companies cooperating with it, as well as at affiliated enterprises. Thus, kanban cards carry information about the quantities consumed and produced.
There is no on-site storage in the system, as only containers are used, moved from one processing center to another using technological transport.
The information on the cards attached to the containers relates to a specific container and records its volume and the corresponding details listed above. In the process of managing each operation using KANBAN logistics technology, only free cards separated from the container are involved.
KANBAN is a typical “pull” production system design, where containers of parts (constituting production inventory) are moved only based on consumption in downstream areas.
The practical use of the KANBAN system, and then its modified versions, can significantly improve the quality of products: shorten the logistics cycle, thereby significantly increasing turnover working capital firms: reduce production costs: practically eliminate safety stocks. An analysis of the world experience in using the KANBAN system by many well-known engineering companies shows that it makes it possible to reduce production inventories by 50%. commodity products - by 8% with a significant acceleration in turnover working capital and improving quality.
SystemORT
ORT belongs to the class of “pull” micrologistics systems that integrate supply and production processes. The main operating principle of this system is to identify so-called “bottlenecks” or critical resources in the production process. Essentially, ORT is a computerized version of KANBAN, with the difference that the ORT system prevents the emergence of bottlenecks in the supply-production logistics network, and the KANBAN system allows you to effectively eliminate bottlenecks that have already arisen. Critical resources that influence the efficiency of the logistics system can be stocks of raw materials and supplies, the size of work in progress, manufacturing technology, personnel, etc. Enterprises using the ORT system do not strive to maximize the workload of personnel performing non-critical operations, as this causes undesirable growth of work in progress inventories. The effectiveness of the ORT system from a logistics perspective lies in increasing product output, reducing production and transportation costs, and reducing work-in-progress inventories.
The effectiveness of applying a logistics approach to managing material flows in production
It is known that 95 - 98% of the time during which the material is at a production enterprise is spent on loading and unloading, transport and storage operations. This determines their significant share in the cost of manufactured products.
A logistics approach to managing material flows at an enterprise allows for maximum optimization of the implementation of a complex of logistics operations. According to data from Bosch-Siemens, Mitsubishi, and General Motors, a one percent reduction in costs for logistics functions had the same effect as a 10% increase in sales volume.
Let us list the components of the cumulative effect of applying a logistics approach to managing material flow at an enterprise.
1. Production is market oriented. An effective transition to small-scale and individual production becomes possible.
2. Partnerships with suppliers are being established.
3. Equipment downtime is reduced. This is ensured by the fact that the necessary materials for work are always available at the workplace.
4. Inventory optimization is one of the central problems of logistics. Maintaining reserves requires the diversion of financial resources, the use of a significant part of the material and technical base, labor resources. An analysis of the experience of a number of Western European companies using modern logistics methods for organizing production (Kanban system) shows that the use of logistics makes it possible to reduce production inventory by 50%.
5. The number of support workers is being reduced. The lower the level of systematicity, the more uncertain the work process and the higher the need for support staff to perform peak volumes of work.
6. The quality of products is improved.
7. Material losses are reduced. Any logistics operation is a potential loss. Optimizing logistics operations means reducing losses.
8. The use of production and warehouse space is improved. The uncertainty of flow processes forces the reservation of large additional areas. In particular, when designing trade wholesale bases, the uncertainty of flow processes forces us to increase the area of warehouse premises by 30%.
9. Injuries are reduced. The logistics approach organically integrates the labor safety system.
Conclusion
Logistics in Russia as a science began to develop relatively recently (about 2 years ago), but now we can talk about its importance in the enterprise. In modern market conditions, when the market is customer-oriented, it becomes irrational to use traditional concept production, and more and more enterprises are leaning towards the logistics concept.
Logistics deals with the management of material and information flows. The use of material flow management systems in business practice is explained by the need to reduce the time intervals between the acquisition of raw materials and the delivery of goods to the final consumer. Logistics makes it possible to minimize inventories, and in some cases refuse to use them altogether, significantly reduces the delivery time of goods, speeds up the process of obtaining information, and increases the level of service. In this course work The most common materials management systems were reviewed. Which of these systems to choose and use for effective operation depends on each specific enterprise, its external and internal conditions.
XYZ analysis and other forecasting methods help logistics estimate the consumption of materials and use them rationally, without spending extra money on unclaimed inventory.
There is already a demand for specialists of this profile in the labor market. Perhaps in the near future the logistics profession will be one of the ten most prestigious and in-demand specialties.
In the handling industry, both push and pull systems are widely used. At the procurement stage, they create material flow management systems with a decentralized decision-making process when replenishing stocks. When selling finished products, the “pull” (pull) system acts as a sales strategy aimed at stimulating demand for products in wholesale and retail trade ahead of inventory formation.
CONTENTS
1. Materials management systems…………………………4
1.1. Push material management system……..7
1.2. Pull material management system………...9
1.3. Logistics concept RP……………………………………10
1.4. Logistics concept “just-in-time”………………………..16
1.5 KANBAN system…………………………………………………...18
1.6 ORT system……………………………………………………….21
2. Inventory management in an enterprise using XYZ analysis………22
2.1. Differentiation of a company's inventory into groups X, Y, Z...23
Conclusion………………………………………………………………………………27
References………………………………………………………...27
In recent years, significant changes have taken place in the sphere of commodity circulation in a number of countries. In conditions when the growth of production volumes and the expansion of intranational and micro-economic relations led to an increase in the costs of distribution, the attention of entrepreneurs focused on finding new forms of optimizing market activity and reducing costs in this area. New methods and technologies for delivering goods began to be used in economic practice. They are based on the concept logistics .
Logistics(from the Greek word “logistike”, which means the art of calculating, reasoning) is the science of planning, organizing, managing, controlling and regulating the movement of material and information flows in space and time from their primary source to the final consumer.
Logistics covers the entire scope and spectrum of the enterprise’s activities and, at all stages of production development, strives to reduce costs and produce products of a given quantity and quality, on time and in a prescribed place.
Due to rapid changes in market conditions, enterprises focused on logistics organizations have an advantage in adapting the system to environmental conditions.
In modern conditions, there are several types of logistics: production, purchasing, distribution, information, transport, service logistics, etc.
One of the central links of the logistics system can be called production logistics, since thanks to production, the purchase of raw materials and materials is carried out, and subsequently the distribution of finished products.
The logistics concept of organizing production includes the following basic provisions:
· rejection of excess stocks;
· refusal of excessive time for performing basic and transport and warehouse operations;
· refusal to manufacture series of parts for which there is no customer order;
· elimination of equipment downtime;
· mandatory elimination of defects;
· elimination of irrational intra-factory transportation;
· transforming suppliers from opposing sides into benevolent partners.
In contrast to the logistics, the traditional concept of organizing production involves:
· never stop the main equipment and maintain a high utilization rate at all costs;
· produce products in as large batches as possible;
· have the largest possible supply of material resources “just in case.”
The purpose of this work is :
Study of material flow management systems in an enterprise.
Main tasks :
1. Application of progressive methods for optimizing production processes based on a logistics approach.
2. Enterprise inventory management using XYZ analysis.
1. MATERIAL FLOW MANAGEMENT SYSTEMS
A materials flow management system is understood as an organizational mechanism for the formation of planning and regulation of material flows within the framework of an intra-production logistics system.
A flow is a collection of objects, perceived as a single whole, existing as a process over a certain time interval and measured in absolute units over a certain period. Flow parameters are parameters that characterize the ongoing process. The main parameters characterizing the flow are: its initial and final points, the trajectory of movement, the length of the path (a measure of the trajectory), the speed and time of movement, intermediate points, and intensity.
Based on the nature of the constituent objects, the following types of flows are distinguished: material, transport, energy, cash, information, human, military, etc., but for logistics, of the above, material, information and financial are of interest.
The concept of material flow is key in logistics. Material flows are formed as a result of transportation, warehousing and other material operations with raw materials, semi-finished products and finished products - from the primary source of raw materials to the final consumer. Material flows can flow between different enterprises or within one enterprise.
Material flow is a product (in the form of cargo, parts, inventory items), considered in the process of applying various logistics (transportation, warehousing, etc.) and (or) technological (machining, assembly, etc.) operations to it and attributed to a certain time interval. The material flow does not pass over a time interval, but at a given moment in time, into a material stock.
The material flow is characterized by a certain set of parameters:
·nomenclature, assortment and quantity of products;
Dimensional characteristics (volume, area, linear dimensions);
· weight characteristics (total weight, gross weight, net weight);
· physical and chemical characteristics of the cargo;
· characteristics of the container (packaging);
· conditions of purchase and sale agreements (transfer of ownership, delivery);
· conditions of transportation and insurance;
·financial (cost) characteristics;
· conditions for performing other physical distribution operations related to the movement of products, etc.
The material flow on its way from the primary source of raw materials to the final consumer passes through a number of production links. Material flow management at this stage has its own specifics and is called production logistics.
The tasks of production logistics concern the management of material flows within enterprises that create material goods or provide material services such as storage, packaging, hanging, stacking, etc.
Logistics systems considered by production logistics are called intra-production logistics systems. These include: industrial enterprise; a wholesale enterprise with warehouse facilities; cargo hub; nodal seaport etc. Intra-production logistics systems can be considered at the macro and micro levels.
At the macro level, intra-production logistics systems act as elements of macro-logistics systems. They set the rhythm of operation of these systems and are sources of material flows. The ability to adapt macrologistics systems to environmental changes is largely determined by the ability of their intra-production logistics systems to quickly change the qualitative and quantitative composition of the output material flow, i.e., the range and quantity of products produced. High-quality flexibility of intra-production logistics systems can be achieved through the availability of universal service personnel and flexible production. Quantitative flexibility is also provided in various ways. For example, in some Japanese enterprises, the core staff makes up no more than 20% of the maximum number of employees. The remaining 80% are temporary workers. Moreover, up to 50% of the number of temporary workers are women and pensioners. Thus, with a staff of 200 people, the company can assign up to 1,000 people to fulfill an order at any time. The labor reserve is complemented by an adequate reserve of equipment.
At the micro level, intra-production logistics systems represent a number of subsystems that are in relationships and connections with each other, forming a certain integrity and unity. These subsystems: purchasing, warehouses, inventories, production services, transport, information, sales and personnel, ensure the entry of material flow into the system, passage within it and exit from the system. In accordance with the concept of logistics, the construction of intra-production logistics systems should ensure the possibility of constant coordination and mutual adjustment of plans and actions of supply, production and sales links within the enterprise.
When demand exceeds supply, we can confidently assume that a batch of products manufactured taking into account market conditions will be sold. Therefore, the goal of maximum equipment utilization takes priority. Moreover, the larger the batch produced, the lower the unit cost of the product will be. The task of implementation is not in the foreground.
The situation changes with the arrival of buyer “dictation” on the market. The task of selling the manufactured product in a competitive environment comes first. The volatility and unpredictability of market demand makes it impractical to create and maintain large inventories. At the same time, the manufacturer no longer has the right to miss a single order. Hence the need for flexible production facilities that can quickly respond with production to emerging demand.
Reducing costs in a competitive environment is achieved not by increasing the size of produced batches and other extensive measures, but by the logistics organization of both individual production and the entire commodity distribution system as a whole.
There are several materials management systems:
·MRP – materials requirements planning;
·DRP – resource allocation planning;
·JIT – management of material and information flows based on the “just in time” principle;
·KANBAN – information support for operational management of material flows on the “just in time” principle;
·OPT – optimized production technology.
1.1. Push system
Push system is a production organization system in which objects of labor arriving at a production site are not ordered directly by this site from the previous technological link. The material flow is “pushed” to the recipient according to a command received by the transmitting link from the central production management system (Fig. 1).
Legend:
Rice. 1. Schematic diagram of a pushing material flow management system within the framework of an intra-production logistics system
Push models of management and flows are characteristic of traditional methods of organizing production. The possibility of their use for the logistics organization of production has appeared in connection with the massive spread of computer technology. These systems, the first developments of which date back to the 60s, made it possible to coordinate and quickly adjust the plans and actions of all divisions of the enterprise - supply, production and sales, taking into account constant changes in real time.
Push systems capable of linking a complex production mechanism into a single whole using microelectronics and maximizing the use of workers and equipment in production. However, in the event of a sharp change in demand, the use of a “push” system leads to the creation of excess inventory and “overstocking” due to the lack of the ability to “reschedule” production for each stage. The parameters of the material flow “pushed” to the site are optimal to the extent that the control system is able to take into account and evaluate all the factors influencing the production situation at this site. However, the more factors for each of the numerous sections of the enterprise the control system must take into account, the more advanced and expensive its software, information and technical support should be.
1.2. Pulling system material flow management.
Another option is based on a fundamentally different way of managing material flow. It's called "pulling system" and is a production organization system in which parts and semi-finished products are supplied to the subsequent technological operation from the previous one as needed.
Here, the central control system does not interfere with the exchange of material flows between different parts of the enterprise and does not set current production tasks for them. The production program of an individual technological link is determined by the order size of the subsequent link. The central control system poses a task only to the final link of the production technological chain. The pulling system involves maintaining a minimum level of inventory at each stage of production and movement of the order from the next section to the previous one. The subsequent section orders material in accordance with the rate and time of consumption of its products. The work schedule is established only for the consumer site (shop). The manufacturing site does not have a specific schedule or plan and works in accordance with the received order. In this way, only those parts that are actually needed are manufactured and only when the need arises.
In order to understand the mechanism of operation of the traction system, let's consider an example (Fig. 2).
Legend:
Material flow, Information flow
Rice. 2 Pull material flow management system within an intra-production logistics system
Let's say a company receives an order to produce 10 units of products. The control system transmits this order to the assembly shop. The assembly shop, to fulfill the order, requests 10 parts from workshop No. 1. Having transferred 10 parts from its stock, workshop No. 1, in order to replenish the stock, orders ten blanks from workshop No. 2. In turn, workshop No. 2, having transferred 10 blanks, orders materials from the raw materials warehouse for the manufacture of the transferred quantity, also with the aim of restoring the stock. Thus, the material note is “stretched out” by each subsequent link. Moreover, the personnel of a separate workshop are able to take into account many more specific factors that determine the size of the optimal order than a central control system could do.
1.3. Logistics concept R.P.
One of the most popular logistics concepts in the world, on the basis of which a large number of logistics systems have been developed and operate, is the concept of “Requirements/resource planning” - RP (“requirements/resource planning”).
Basic systems based on the RP concept in production and supply are the MRPI / MRPII - “Materials/manufacturingrequirements/resourceplanning” systems and in distribution (distribution) - DRPI / DRPII - “Distributionrequirements/ resourceplanning" (Product/resource distribution planning systems). MRP and DRP are push control systems. Although the RP logistics concept itself was formulated quite a long time ago (since the mid-1950s), it was only with the advent of high-speed computers that it was put into practice, and the revolution in microprocessor and information technology has stimulated the rapid growth of various RP system applications in business.
System MRP
The MRPI system was developed in the USA in the mid-1950s, but became widespread in both the USA and Europe only in the 1970s. According to the definition of the American specialist J. Orlisky, one of the main developers of the MRP system, the “materials requirements planning (MRP system) system in the narrow sense consists of a number of logically related procedures, decisive rules and requirements that translate the production schedule into a chain of requirements”, synchronized over time, and planned "coverages" of these requirements for each unit of inventory of components required to meet the schedule... The MRP system reschedules the sequence of requirements and coverages as a result of changes in either the production schedule, inventory structure, or product attributes."
MRP systems deal with materials, components, semi-finished products and their parts, the demand for which depends on the demand for specific finished products.
The main goals of MRP systems are:
1) meeting the need for materials, components and products for planning production and delivery to consumers;
2) maintaining low inventory levels;
3) planning production operations, delivery schedules, purchasing operations.
Rice. 3. MRP System Block Diagram
The input of the MRP system is consumer orders, supported by forecasts of demand for the company's finished products, which are included in the production schedule. Thus, in MRP the key factor is customer demand.
The database of material resources contains all the required information about the nomenclature and basic parameters (attributes) of raw materials, materials, components, semi-finished products, etc., necessary for the production (assembly) of products or their parts. In addition, it contains standards for resource consumption per unit of output.
The inventory database informs the system and management personnel about the availability and size of production, insurance and other required inventories of material resources in the company's warehouse, as well as their proximity to critical levels in terms of the need for their replenishment.
Problems arising during the implementation of the MRP system relate to the development of information, software and mathematical support for calculations and the selection of a set of computer and office equipment.
Systems based on the MRP approach have a number of disadvantages and limitations, the main of which include:
The use of MRP systems requires a significant amount of calculations, preparation and pre-processing of a large amount of initial information, which increases the leading time of production and logistics cycles;
An increase in logistics costs for processing orders and transportation as the company strives to reduce inventory levels or switch to producing products in small volumes with high frequency;
Insensitivity to short-term changes in demand, since they are based on the control and replenishment of inventory levels at fixed order points;
A large number of failures in the system due to its too complex nature and large dimension.
System DRP
From an operational point of view, the RP logistics concept can also be used in distribution systems, which was the basis for the synthesis of external DRP (Distribution requirements planning) systems. DRP systems are the extension of the logic of building MRP into the distribution channels of finished products. However, these systems, although they have a common logistics concept “RP”, are at the same time significantly different.
The functioning of DRP systems is based on consumer demand, which is not controlled by the company. DRP systems operate under conditions of demand uncertainty. This uncertain external environment imposes additional requirements and restrictions on the inventory management policy of finished products in distribution networks. DRP systems plan and regulate inventory levels at the company’s bases and warehouses in its own distribution network or at wholesale resellers.
The fundamental tool of logistics management in DRP systems is a schedule (schedule), which coordinates the entire process of supply and replenishment of finished products in the distribution network (channel). This schedule is generated for each allocated storage unit and each link of the logistics system associated with the formation of inventories in the distribution channel. Inventory replenishment and consumption schedules are integrated into the general requirement for replenishment of finished goods in the warehouses of the company or wholesale intermediaries.
Sales management systems based on the DRP scheme allow companies to achieve certain advantages in marketing and logistics. Marketing organizational benefits include:
Improving the level of service by reducing delivery time of finished products and meeting consumer expectations;
Improving the promotion of new products to the market;
Ability to anticipate and anticipate marketing decisions to promote finished products with low inventory levels;
Improved coordination of finished goods inventory management with other firm functions;
Exceptional ability to meet customer demands through services related to the coordination of finished product inventory management.
Among the logistics advantages of DRP systems are:
Reducing logistics costs associated with storing and managing inventories of finished products by coordinating deliveries;
Reduce inventory levels through accurate determination
quantities and places of supplies;
reducing the need for warehouse space by reducing inventories;
Reducing the transport component of logistics costs through effective feedback on orders;
Improved coordination between logistics activities in distribution and production.
At the same time, there are certain limitations and disadvantages in the use of DRP systems. First, the DRP system requires an accurate, coordinated dispatch and replenishment forecast for each finished product distribution center and channel in the distribution network. Ideally, the system should not maintain excess inventory in logistics distribution channels, but this is determined only by the accuracy of the forecast. To avoid possible mistakes, it is necessary to have certain safety stocks in distribution centers. Secondly, inventory planning in DRP systems requires high reliability of logistics cycles between distribution centers and other links in the system. Uncertainty in any cycle (order, transportation, production) immediately affects the effectiveness of decisions made in the DRP system. Thirdly, integrated distribution planning causes frequent changes in the production schedule, which disrupts the company's production divisions, leads to fluctuations in the use of production capacity, uncertainty in production costs, and disruptions in the delivery of products to consumers.
1.4. Logistics concept " just- in- time"
The most widespread concept in the world is the concept of “just-in-time” - JIT (“just in time”). The emergence of this concept dates back to the late 1950s, when the Japanese company Toyota Motors, and then other Japanese automakers, began to actively implement the KANBAN system. The name “just-in-time” was given to the concept somewhat later by the Americans, who also tried to use this approach in the automotive industry. The original slogan of the JIT concept was the potential elimination of inventories of materials, components and semi-finished products in the production process of assembling cars and their main components. The initial statement was that if the production schedule is given (abstracting from demand or orders for now), then the movement of material flows can be organized in such a way that all materials, components and semi-finished products will arrive in the right quantity, to the right place (on the assembly line - conveyor ) and exactly on time for the production or assembly of finished products.
From a logistics perspective, JIT is a fairly simple binary inventory management logic without any restriction on the minimum inventory requirement, in which the flow of material resources is carefully synchronized with the need for them, specified by the production schedule for the release of finished products. Subsequently, the JIT ideology was successfully promoted into distribution and finished product sales systems. Taking into account the wide expansion of the JIT approach in various areas of modern business, we can give the following definition:
JIT is a modern concept for building logistics systems in production (operational management), supply and distribution based on the synchronization of the processes of delivery of material resources and finished products in the required quantities by the time a link in the logistics system needs them, in order to minimize the costs associated with supplies.
The JIT concept is closely related to the logistics cycle and its components. Many modern logistics systems based on the JIT approach are focused on short components of logistics cycles, which requires a quick response of parts of the logistics system to changes in demand and, accordingly, the production program.
The JIT logistics concept is characterized by the following main features:
Minimum (zero) reserves of material resources, finished products;
Short production (logistics) cycles;
Small volumes of production of finished products and replenishment of stocks (supplies);
Relationships for the procurement of material resources with a small number of reliable suppliers and carriers;
Effective information support;
high quality of finished products and logistics services.
Implementation of the JIT concept. as a rule, it improves the quality of finished products and services, minimizes excess inventories and can, in principle, change the corporate style of management through the integration of complex logistics activities.
Logistics systems that use the JIT ideology are pull systems in which orders for replenishing inventories of material resources or finished products are placed only when their quantity reaches a critical level. In this case, stocks are “pulled” through physical distribution channels from suppliers or logistics intermediaries in the distribution system.
Quality plays a key role in the practical implementation of the JIT concept. Japanese automobile manufacturers, initially introducing the JIT concept and the KANBAN system into production, fundamentally changed the approach to quality control and management at all stages of the production process and subsequent service.
Modern JIT technologies and logistics systems have become more integrated and are combined from various variants of logistics production concepts and distribution systems, such as systems that minimize inventories in logistics channels, logistics systems for rapid switching, equalization of inventory levels, group technologies, preventive flexible production, modern total systems statistical control and management of product quality cycles, etc.
1.5 System KANBAN
The KANBAN system was developed by Toyota Motors Corporation (which means “map” in Japanese). The KANBAN system represents the first implementation of “pull” logistics systems in production, the implementation of which took Toyota about 10 years from the start of development.
The key factors for the implementation of this system were:
Rational organization and balance of production;
Total quality control at all stages of the production process and the quality of raw materials from suppliers;
Partnership only with reliable suppliers and carriers;
Increased professional responsibility and high work morale of all personnel.
Initial attempts by US and European competitors to automatically transfer the KANBAN design to production without taking into account these and other logistics environmental factors failed.
The KANBAN system, first used by Toyota Motors Corporation in 1972 at the Takahama plant (Nagoya, Japan), is a system for organizing a continuous production flow that can be quickly adjusted and requires virtually no safety stocks. The essence of the KANBAN system is this. that all production divisions of the plant, including final assembly lines, are supplied with material resources only in the quantity and on time that are necessary to fulfill the order specified by the consumer division. Thus, in contrast to the traditional approach to production, the manufacturing structural unit does not have a general rigid production schedule, but optimizes its work within the order, according to the production and technological cycle of the company's unit.
The means of transmitting information in the system is a special “kanban” card in a plastic envelope. Two types of cards are common; selection and production order. The selection card indicates the number of parts (components, semi-finished products) that must be taken at the previous processing (assembly) site, while the production order card indicates the number of parts that must be manufactured (assembled) at the previous production site. These cards circulate both within Toyota enterprises, and between the corporation and companies cooperating with it, as well as at affiliated enterprises. Thus, kanban cards carry information about the quantities consumed and produced.
There is no on-site storage in the system, as only containers are used, moved from one processing center to another using technological transport.
Each fully filled container has a kanban card attached to it with the following information:
o component (semi-finished product) code;
o description;
o products (final, intermediate), where these components are used;
o number (worker code) where the component is produced;
o number of the processing center (worker code) that uses this component;
o the number of components for a given container;
o the number of containers (kanban cards) near the processing center.
Kanban cards come in two colors: white and black. White cards are on the containers at the entrances. Black "kanban" cards are on the containers at the exit position and indicate permission to process.
The information on the cards attached to the containers relates to a specific container and records its volume and the corresponding details listed above. In the process of managing each operation using KANBAN logistics technology, only free cards separated from the container are involved.
KANBAN is a typical “pull” production system design, where containers of parts (constituting production inventory) are moved only depending on consumption in subsequent areas.
Important elements of KANBAN are an information system that includes not only cards, but production, transport and supply schedules, technological maps, information light boards, etc.; system for regulating the need and professional rotation of personnel: a system of total (TQM) and selective (“Jidoka”) product quality control; production leveling system and a number of others.
The practical use of the KANBAN system, and then its modified versions, can significantly improve the quality of products: shorten the logistics cycle, thereby significantly increasing the turnover of working capital of companies: reduce production costs: practically eliminate safety stocks. An analysis of the world experience in using the KANBAN system by many well-known engineering companies shows that it makes it possible to reduce production inventories by 50%. commodity - by 8% with a significant acceleration of turnover of working capital and improved quality.
1.6 System ORT
ORT belongs to the class of “pull” micrologistics systems that integrate supply and production processes. The main operating principle of this system is to identify so-called “bottlenecks” or critical resources in the production process. Essentially, ORT is a computerized version of KANBAN, with the difference that the ORT system prevents the emergence of bottlenecks in the supply-production logistics network, and the KANBAN system allows you to effectively eliminate bottlenecks that have already arisen. Critical resources that influence the efficiency of the logistics system can be stocks of raw materials and supplies, the size of work in progress, manufacturing technology, personnel, etc. Enterprises using the ORT system do not strive to maximize the workload of personnel performing non-critical operations, as this causes undesirable growth of work in progress inventories. The effectiveness of the ORT system from a logistics perspective lies in increasing product output, reducing production and transportation costs, and reducing work-in-progress inventories.
2. ENTERPRISE INVENTORY MANAGEMENT USING XYZ ANALYSIS
XYZ analysis of materials involves assessing their significance depending on the frequency of consumption. If we consider consumption individual species materials over a long period of time, it can be established that among them there are materials that have constant and stable demand; materials whose consumption is subject to certain, for example, seasonal fluctuations, and, finally, materials whose consumption is completely irregular, i.e., is random. Therefore, within each of classes A, B and C, materials can also be distributed according to the degree of predictability of their consumption. For this classification, the symbols X, Y, Z are used.
TO category X These include materials for which the demand is constant or subject to random minor fluctuations, and therefore can be predicted with high accuracy. The share of such materials in the general nomenclature, as a rule, does not exceed 50-55%.
TO Category Y These include materials whose consumption occurs periodically or has a declining or ascending trend. Their prediction is possible with an average degree of accuracy. Their share in the total nomenclature is about 30%.
The coefficient of variation can be used as an indicator characterizing possible fluctuations in material consumption
ν 
,
where is the standard deviation, determines the degree of actual material consumption during the analyzed period relative to the average value; - average amount of material consumption.
where is the actual consumption of material in the nth period; n is the number of observed periods.
2.1. Differentiation of a company's inventory into groups X, Y, Z.
Wholesale company "N" is expanding its product range. In order to reduce the amount of cash dead in inventories, it is necessary to strengthen assortment control using XYZ analysis. For this purpose it is necessary:
1. Differentiate inventory using the XYZ method using the following table:
2. Construct the XYZ curve.
3. Develop requirements for organizing and managing inventory for each group of goods.
| Item no. | Sales for the quarter, million rubles. | |||
| 1st quarter | 2nd quarter | 3rd quarter | 4th quarter | |
| 1 | 600 | 620 | 700 | 680 |
| 2 | 240 | 180 | 220 | 160 |
| 3 | 500 | 1400 | 400 | 700 |
| 4 | 140 | 150 | 170 | 140 |
| 5 | 10 | 0 | 60 | 50 |
| 6 | 520 | 530 | 400 | 430 |
| 7 | 40 | 40 | 50 | 70 |
| 8 | 4500 | 4600 | 4400 | 4300 |
| 9 | 40 | 60 | 100 | 40 |
| 10 | 1010 | 1030 | 1050 | 950 |
Auxiliary table for calculating the coefficient of variation of demand and dividing goods into groups X, Y, Z
| Item no. | 1 sq. | 2 sq. | 3Q. | 4 sq. | Total sales for the quarter | Average sales per quarter | Coefficient of variation | Group |
| 1 | 600 | 620 | 700 | 680 | 2600 | 650 | 6,34 | x |
| 2 | 240 | 180 | 220 | 160 | 800 | 200 | 15,81 | y |
| 3 | 500 | 1400 | 400 | 700 | 3000 | 750 | 52,07 | z |
| 4 | 140 | 150 | 170 | 140 | 600 | 150 | 8,16 | x |
| 5 | 10 | 0 | 50 | 60 | 120 | 30 | 84,98 | z |
| 6 | 520 | 530 | 400 | 430 | 1880 | 470 | 11,94 | y |
| 7 | 40 | 40 | 50 | 70 | 200 | 50 | 24,49 | y |
| 8 | 4500 | 4600 | 4400 | 4300 | 17800 | 4450 | 2,51 | x |
| 9 | 40 | 60 | 100 | 40 | 240 | 60 | 40,82 | z |
| 10 | 1010 | 1030 | 1050 | 950 | 4040 | 1010 | 3,7 | x |
| Sum | 7600 | 8610 | 7540 | 7530 | - | - | - | - |
X curve YZ
demand variation coefficient, %
The results of the XYZ analysis showed that it is possible to clearly identify the absolute and relative importance of goods and product groups for the enterprise’s production program in the future. The XYZ method allows you to build assortment positions depending on the amount of demand for the product, and determine which products are the most profitable and which are undesirable in the assortment. From this point of view, for materials of class X it is possible to recommend purchases in accordance with the planned need for their synchronous consumption in production, for class Y - the creation of inventories, and for class Z - purchases as the need arises.
CONCLUSION.
Logistics in Russia as a science began to develop relatively recently (about 2 years ago), but now we can talk about its importance in the enterprise. In modern market conditions, when the market is customer-oriented, it becomes irrational to use the traditional production concept, and more and more enterprises are leaning towards the logistics concept.
Logistics deals with the management of material and information flows. The use of material flow management systems in business practice is explained by the need to reduce the time intervals between the acquisition of raw materials and the delivery of goods to the final consumer. Logistics makes it possible to minimize inventories, and in some cases refuse to use them altogether, significantly reduces the delivery time of goods, speeds up the process of obtaining information, and increases the level of service. This course work examined the most common materials management systems. Which of these systems to choose and use for effective operation depends on each specific enterprise, its external and internal conditions.
XYZ analysis and other forecasting methods help logistics estimate the consumption of materials and use them rationally, without spending extra money on unclaimed inventory.
There is already a demand for specialists of this profile in the labor market. Perhaps in the near future the logistics profession will be one of the ten most prestigious and in-demand specialties.
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The logistics system at JSC VSMPO-AVISMA Corporation is characterized, first of all, by the absence of a logistics department as such.
To ensure a continuous production process, JSC VSMPO-AVISMA Corporation has created an infrastructure, the working condition of which is maintained by the plant’s engineering and technical service.
Each department head is responsible for the operation of the buildings and structures in which his workshop (site) is located.
For the delivery of raw materials and supplies, and the shipment of products, road transport of the enterprise and third-party organizations is used. Products are also shipped by rail containers.
All transportation is carried out and planned by the transport section. Materials are imported based on requests from the logistics department, and products are shipped based on requests from the sales department.
The amount of energy resources required to ensure the production and operation of the enterprise, and the optimization of their consumption, is planned by the assistant technical director for energy saving and the material regulation department. Based on the production plan, the need for all types of energy resources is calculated and contracts are concluded with suppliers.
In accordance with the production plan and technical development plan at the enterprise, the chief economist develops a financial plan (annual and monthly), which is approved by the general director.
The General Director manages financial resources - their planning, ensuring availability and monitoring their use. Based on the results of the month, quarter and year, an analysis of quality costs, an analysis of financial indicators, such as an increase in cash flow, increased benefits, and a reduction in unproductive expenses are carried out.
The plan for the production of marketable products is formed for the year, evenly divided into quarters. The need for the production of titanium products is determined by the production dispatch department (PDD), economic planning department with the participation of the marketing and sales department based on the sales forecast and the need to load production capacity (enterprise personnel). Priority in decision-making when forming a production program belongs to PDO. The formation of the production plan is completed in November/December of the previous period. The generated production plan is approved by the General Director and transferred to the logistics department to assess the annual need for materials and components.
Quarterly planning for the production of marketable products is carried out according to the scheme for forming an annual plan, taking into account the fact that the plan was fulfilled in the previous quarter. If the plan for the previous quarter is not met, the original quarterly plan is adjusted upward.
Detailed planning of the movement of parts and assembly units of our own production in the context of sender/recipient is carried out by specialists based on the quarterly production plan. Detailed planning is done taking into account the balances and reserves in the main production workshops. To reconcile balances, the movement of parts and assemblies of own production is verified during the month and incorrect balances are corrected.
The need to implement dispatch functions arises due to the discrepancy between the planned and actual output of finished products. In this regard, adjustments to the quarterly plan and operational management of production during the next month are required. When the quarterly production plan changes, PDO automatically calculates deviations and makes adjustments to previously generated plans and manually develops production schedules for assembly and delivery of products on a monthly basis for each working day. The developed schedules are communicated to the workshops, and the PDO monitors their implementation. Every day, shop managers report by telephone on the implementation of production schedules.
Based on an analysis of existing problems, we can formulate the following general goals for improving the material flow management system in production:
Organize rhythmic, coordinated production and supply in conditions of multi-product, dynamically changing products with frequently changing plans for the release of finished products;
Reduce production costs by reducing the volume of work in progress, reducing inventories of materials, inventories of finished products, and also create a mechanism for operational control of costs;
Increase the turnover of funds and responsibility to the consumer by shortening the product manufacturing cycle and reducing the number of cases of missed product delivery deadlines;
Reduce losses from theft by improving the organization of storage of products in production and traceability of material liability at all stages of the material flow;
Create a competitive production management system taking into account progressive world practices and in accordance with international standards and methodologies.
Thus, it is clear that many logistics functions are implemented at JSC VSMPO-AVISMA Corporation, but there is no single information space, a single center for the concentration of logistics chains. Therefore, one of the directions for improving the structure of the logistics system of VSMPO-AVISMA Corporation OJSC is measures to introduce a logistics department at the enterprise.
Students, graduate students, young scientists who use the knowledge base in their studies and work will be very grateful to you.
Disclosure of the essence of logistics as a process through its functions and tasks. Improving the management of material, information and financial flows from the primary source of raw materials to the final consumer. Development of new technologies in logistics.
test, added 12/12/2009
Essence, tasks and functions of distribution logistics. Planning the product sales process. Organization of delivery and transportation control. Subordination of the process of managing material and information flows to the goals and objectives of marketing.
test, added 02/27/2016
History of the emergence and development of practical logistics. Terminological dictionary of logistics. Point of view of representatives of the St. Petersburg School of Logistics. The concept of logistics in the USA and France. Material flow management in the supply process.
presentation, added 11/24/2013
Concept and main tasks of distribution logistics. Subordination of the process of managing material and information flows to the goals and objectives of marketing. Systematic relationship between the distribution process and production and purchasing processes at the enterprise.
presentation, added 03/28/2012
Organization and structure of logistics at the enterprise. Materials management activities in production and its relationship with financial management. Development of an integrated approach in industrial logistics, review of logistics systems.
course work, added 01/25/2014
Systematization of methodological principles of logistics management of enterprise activities. Material flow management in the process of providing the company with material resources. Description of transport, marketing and warehouse logistics.
course work, added 09/16/2017
The concept of production logistics. The structure of the production process, the principles of its organization. Types of movement of material resources. Fundamentals of operational planning and material flow management. Volume-calendar planning method.
