Reduce Unique ICDs by Redesigning the Product or the Process

The objective of this activity is to reduce the number of ICDs by reducing the occurrence of an ICD in producing a unit of Output, or by reducing the number of separate ICDs used in the Output. A unique ICD is one of the key activities in the work center's contribution to the final product (O). It is separate and distinct from any other activity in the work center. For example, the fastening of a part onto a subassembly and a quality control check of the subassembly would be unique ICDs.

B. Redesign the process of producing the ICD or Output

Change the process used to produce the ICD or Output to eliminate activities.

4. Reduce movement of an Input (People, Purchases or Capital)

Warnings and advice

No.	Industry SIC	Year	Notes
1	2300	2004	Luen Thai Holdings Ltd. is building a supply-chain city, which is being developed as a one-stop base of operations for clothing makers and customers such as Liz Claiborne Inc. that now work in far-flung offices and factories around the globe. The real gains would come by reorganizing their entire production process so as to be able to cut down on turnaround times for new clothes and coordinate logistics.
2	2421	2006	The Federal Way company, which owns Weyerhaeuser Co., became so large that customers began grumbling about too much bureaucracy. To appease them, the Federal Way ordered up the new forecasting approach that began late last year. For the new system to work, Federal Way had to restructure the disparate parts of the company to work more closely together. In January, it merged all five product divisions in the company's $9 billion-a-year building business into one division called iLevel. The key to making the new system work is to get different parts of the company talking to each other more.
3	2800	1993	Dow decentralized too much, letting its managers operate too independently from the rest of the corp. Now more centralized again. Also, now, if Dow can't use an invention, it licenses the technology to outsiders for a fee instead of sitting on it.
4	3600	2004	Raytheon increased its missile production by revamping its whole manufacturing system. It targeted non-value added activity like parts flow and transportation. Missile pieces were traveling 2.6 miles from the time they arrived on the delivery dock, went through the assembly process, and then were sent back out to the shipping dock as a completed product. Today, they move 700 yards. One employee said he only walks one mile a day at work instead of 30 miles.
5	4513	1997	Emery is focusing on quick turn around; it continues to redesign its containers for ease of handling at loading/unloading facilities.
6	5411	2005	The British supermarket chain Tesco is finding immense success after applying Toyota Motor Corp.'s "lean consumption" model. The consequence, in terms of performance, is remarkable. Wasted movements on each product have been reduced from 150 to 50. The total throughput time, from the filling line at the supplier to the customer leaving the store with the cola, has declined from 20 days to 5 days. The number of inventory stocking points has been reduced from five to two, and the supplier's distribution center for the items has disappeared.

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