Fasteners supplier copes with Kanban and Linefeed
A
Challenge (Europe) product story
Edited by the Engineeringtalk editorial team
Nov 1, 2001
Challenge Industrial Fastenings is offering customers specialist logistics management to accommodate Kanban (bin feed systems to stores) and Linefeed (direct to lineside supply) systems
The growth of production management systems has led to specialist logistics management by fastenings supplier Challenge.
Most popular are Kanban (bin feed systems to stores) and Linefeed (direct to lineside supply) whereby automatic stock replenishment of fastener components and sub-assemblies is arranged under contract, to some degree replacing customer stores and purchasing functions - allowing production line leaders to call off supply.
This has proved possible because of the high quality level offered with Challenge components, an essential feature when delivery is made direct to the production line.
These stock management systems originated primarily with the automotive industry, but are becoming increasingly common, and popular throughout a range of industries including electronics, building products and construction.
The actual management of these systems will vary according to customer requirements, but generally speaking they allow reduced inventory, with back-up stock held by Challenge.
This guarantees that customers will always have stock available to them, while keeping their inventory costs to a minimum.
Kanban systems generally work on a 3-bin format - one in use, one in stock at customer site, the third bin at Challenge being delivered and invoiced at the point where the "in use" bin becomes empty.
There are also savings to the customer in respect of administration time in purchasing - often a single purchase order can be issued to cover 6 or 12 months use.
The system is administered by Challenge.
This can include site visits to check stock levels where appropriate.
It is self-managing from the customer's point of view, being triggered from the shop floor.
It also assists with conforming to new government regulations on the disposal of packaging, as the system utilises re-usable packaging, e.g Challenge transports goods in containers, which are tipped into bins at customer site and containers are recycled to Challenge for re-use.
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