Achieving efficiency in raw material inventory management! What are the benefits of utilizing a production management system?

大塚商会生産管理システム担当

Many manufacturing companies that handle raw materials, such as those in processing and blending industries, face challenges with inventory management. In fact, it is common to hear concerns such as "not being able to accurately grasp the inventory levels" and "delays in delivery due to shortages of raw materials," highlighting the need for more efficient inventory management. In the article we are introducing this time, we will discuss common challenges in raw material inventory management, the benefits of utilizing production management systems, and examples of improvements. If you are interested, please refer to the details in the "Related Links" section below.

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"Points for Successfully Implementing a Production Management System" - Document Available
Explaining the introduction process of a production management system divided into three phases: consideration, implementation, and operation.

【Our Production Management Package System】 ◎ Integrated Production Management System "Production Innovation Fu-jin" ◎ Hybrid Production Management System for Repeated and Individual Orders "Production Innovation Raijin" ◎ Production Management System for Repeated and Mass Production "Production Innovation Ryu-jin" ◎ Cloud-based Production and Sales Management System for Small Lot Production "Production Innovation Wun-jin" ◎ Formulation-based Production Management System "Production Innovation Blendjin" ◎ Bill of Materials Management System "Production Innovation Bom-jin"
Mass Production Processing Type Production Management System "Production Innovation Ryu-jin" (Dragon God)
Supporting inventory optimization and delivery compliance for manufacturing companies that mass-produce automotive and electrical components [No. 1 in adoption share for companies with annual sales under 10 billion yen*].

▼ It is possible to formulate an optimal production plan considering inventory and load by process. Based on forecast and internal notification information as well as confirmed order information, the necessary production quantities are calculated for each process, including outsourced inventory and semi-finished and finished product inventory, to create a production plan. Additionally, the load against the plan can be checked by process/machine, allowing for adjustments. ▼ Reduction of product, work-in-progress, and raw material inventory, and improvement of on-time delivery rates. By accurately capturing the inventory of raw materials, work-in-progress, and finished products, it is possible to maintain optimal inventory levels without unnecessary production instructions, thereby reducing excess inventory and preventing stockouts. Furthermore, by considering inventory between processes, it supports the improvement of on-time delivery rates with the shortest plans that efficiently capture the flow of goods. ▼ Quality improvement and increased reliability with customers through lot tracing. It is possible to accurately grasp when and where the raw materials used in the products were purchased or produced. * The leading share in implementation among products/services (for companies with annual sales of less than 10 billion yen <the most significant ones>) that have already implemented or are planning to implement production management. Source: "2024 Edition Report on the Actual Use and Evaluation of IT Applications in Medium and Small Enterprises" (Nokri Research)
Collaborative Production Management System "Production Innovation Blendjin"
Support for strengthening arrangements, manufacturing, inventory, and quality control in accordance with the coordination table (recipe) [No. 1 in market share for companies with annual sales under 10 billion yen*].

【Total business support from production planning to ordering, production, and sales】 From production planning, it is easy to issue ordering instructions for raw materials and production instructions based on the formulation tables and recipes for each product. Furthermore, it comes standard with comprehensive sales management functions, allowing for seamless management of production, shipping, and sales. 【Flexible production management that supports multi-stage formulation】 It enables "multi-stage formulation" through stepwise formulation of intermediate products and common materials, allowing for the planning and ordering of flexible production schedules that accommodate small-batch, diverse production. 【Strengthened quality control through lot traceability and expiration date settings】 The lot traceability function allows for bidirectional history verification from "product to raw material" and "raw material to product." Additionally, it enables expiration date management for each lot number of raw materials, semi-finished products, and ordered items. *Ranked first in market share for products/services already implemented or planned for implementation (for companies with annual sales under 10 billion yen <most significant ones>) Source: "2024 Edition Report on the Actual Use and Evaluation of IT Applications in Medium and Small Enterprises" (Noh Research)