Monthly Archives: March 2014

How to Build a Reliable Delivery Process

Despite the advances in information technology and systems, most plants manage the process of prioritizing and managing the production of customer orders as if it were an art, approaching the task as a craftsman would, rather than treating order fulfillment systemically, using a robust process to manage and control production.

Rarely is the order fulfillment process treated as a process unto itself, with sequential steps and appropriate controls. Instead, order fulfillment is treated as an independent group of production steps, delegated to the resource owners (the plant) who do the work. Typically, they have little incentive to deliver on time, but rather, their incentive is to be “efficient”. As a result, the important task of improving on time delivery is an afterthought in process improvement efforts. In the end, orders are thrown over the “wall” from sales function to the production function, like hand grenades that might explode into a product that satisfies the customer. The result is chaotic efforts, late deliveries and unhappy customers.

The Maximum Flow System

The next few blog posts introduce the Maximum Flow System, which results in every order delivered on time, in less time, with minimal management intervention.

The Maximum Flow System is a set of tools and processes to schedule and manage your order fulfillment efforts that involve planning, management, and ongoing improvement. It results in:

• 20% increase in throughput  
• 25% shorter lead times  
• 15% more sales 
• 20% more cash flow every month 
• Improved labor productivity of 15% or more 

The Maximum Flow System causes people to synchronize their day to day efforts towards the delivery requirements of the customer, which results in on time deliver of the customer’s order, with less effort and management intervention.

The system has six parts: 
• Planning  
• Synchronized Execution  
• Teamwork 
• Order Promising 
• Buffer Diagnostics 
• Sales & Operations Planning  

Read a testimony below from Bob who used the system to transform his process.

“The beauty of the changes we have made has been that it was accomplished with a low tech common sense approach that yielded nearly immediate results of a magnitude I would not have thought possible. Two year increases in billings of 28% and 40%, with increases in our bottom line of five fold, and three fold. In short, the process has totally changed the look and feel of our business, and made it a better place to work.”
Bob Page, President, Graphics Systems

My next blog posts will focus on each of the 6 parts of the system. Do you want to read ahead? Check out the full white paper titled “How to Build a Reliable Delivery Process” here.

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Pinnacle Strategies Logo
Is multitasking a good thing? Most think that multitasking is a good skill to have; chewing gum and walking, reading and breathing, texting and driving (but you don’t do that, do you?).

Even though we think multitasking is good, research shows just the opposite. Research shows that dividing attention across multiple activities is taxing on the brain and often comes at the expense of real productivity. As much as a 40% loss. And it can also increase stress for the people multitasking, making your employees frustrated and stressed while at work. To do tasks that are complicated, you are either going to have to slow down or you are going to start making mistakes, causing each task to take longer.

Watch the video below to learn more about the dangers of multitasking and what you can do to stop your resources (and you!) from multitasking.

Multitasking is Evil from Pinnacle Strategies on Vimeo.

Learn more about how to increase project velocity and improve resource productivity by reading some of our ebooks or watching more of our videos. In particular, look at our Blindsided! Five Invisible Project Threats Successful Managers Must See ebook, that includes very practical information you can use today that will improve your projects.

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