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.
6. Reduce use of Purchases and Capital ICDs
Reduce Capital ICDs: Use People or components requiring less Capital:
Use capital with greater capacity
|1||4213||1998||Shortly after deregulation carriers started using "turnpike doubles", which were 65 foot twin trailers that reduced fuel consumption by up to 45%.|
|2||4213||1997||The company also plans to invest in long pickup and delivery trailers (40 to 48 feet long) to replace some of the 28-foot trailers. By better matching the length of the trailer, and therefore the cube space, to the freight density of the pickup and delivery, Yellow Corp. can save costs.|
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