You have been hired as a new procurement and supply manager

You have been hired as a new procurement and supply manager at a company that manufactures and assembles construction equipment. The management team is not satisfied with the cost to manufacture and assemble the construction equipment as well as the high number of defects at assembly. What are the important elements that must be considered in launching a \"continuous improvement\" project to reduce defects and minimize cost? What are the important elements of standardizing purchased materials that must be considered?

Solution

For continious improvement

Continuous improvement: a subset of continual improvement, with a more specific focus on linear, incremental improvement within an existing process. Some practitioners also associatecontinuous improvement more closely with techniques of statistical process control