MMOG/LE Requirement 1.5.2

MMOG/LE Requirement 1.5.2 version 6.0 indicates there is a process in place to identify and analyze constraints that limit the organization’s ability to optimize throughput. Actions are taken to reduce, minimize, or eliminate constraints.

How Does AIM Help Automotive Suppliers Meet This Requirement?

With integrated inventory, part routing and scheduling modules automotive suppliers utilize AIM Vision ERP software through daily structured usage to remain competitive and reduce cost.

MMOG/LE Requirement 1.5.2.1 – Identify and Manage Constraining Processes

AIM Vision helps you identify and manage constraining processes throughout the supply chain (e.g. production capacity, material flow analysis, labor, supplier). Samples include:

• Establish run lot sizes, per item number, along with minimum run quantities that are used to calculate and plan production.
• Define setup hours, queue hours, and post queue hours per routing operation/step for use with capacity requirements planning.
• Establish standard and budgeted production rates per operation/step for use in calculating the Master Production Schedule.

MMOG/LE Requirements 1.5.2.2 – Evaluate and Adjust Production Batch / Lot Size and Throughput Times

Manufacturers can evaluate production batch / lot size and throughput times, and adjust run lot sizes, per item number, in support of lean objectives.

MMOG/LE Requirement 1.5.2.3 – Evaluate and Adjust Set-up/Change-over Time

Utilize workcenter, and Overall Equipment Effectiveness (OEE) reporting options in AIM Vision to evaluate set-up and change-over time, and when necessary adjust the Part Routing values. This helps support lean manufacturing objectives.

MMOG/LE Requirement 1.5.2.4 – Identify Root Cause of Inventory Variations

Employing AIM Vision bar code technologies throughout the material flow process helps ensure accurate material records are maintained and eliminates inventory errors. When inventory variations occur, you can utilize the inventory cycle count inventory process to perform spot check counts while working to identify root cause errors. You can identify, by item number, the cycle days, and run the Cycle Count Due Report to see which items are due for cycle counting. The Physical Inventory Variation Report will identify variations between the system inventory count and the cycle count. You can then implement corrective actions to prevent recurrence of the cause of variation.

Next Steps

Are you looking to manage constraining processes throughout the supply chain or need help with meeting continuous improvement metrics? Contact us to discuss your needs, or to schedule a demo of the AIM Vision software solution and see how we can help you meet the Global Materials Management Operations Guidelines / Logistical Evaluation (MMOG/LE) requirements.