In manufacturing, products go through various stages before they enter the market. When a product is not yet complete, it is called Work in Progress, and most companies deal with numerous WIPs at the same time. Unfortunately, some cut corners to speed up the production process, reduce time to market, and beat their competitors. Unfortunately, they will pay this production debt later once they launch the product. Your company must know how many products are yet to attain their completion. This is why managing WIP is vital. Here is a short overview of WIP and why its management is vital during production.
Defining Work in Progress
Work in Progress (WIP) is a term used to describe all items in the production stage that are not yet complete. It involves knowing the items in progress and the cost of completing their remaining stages in the process. It refers to labor, material costs, and other expenses related to production. You should ensure you have less Work in Progress in your company to increase productivity and give your team ample time to plan and ensure quality. Too much WIP compromises quality when your team struggles to meet deadlines to complete production.
Why Automate Work in Progress Management?
Automation of WIP requires you to leverage the data you collect to maximize workflow and reduce bottlenecks. You can implement Teamcenter software to collect data and adequately track your production. It eliminates errors, the main culprits of WIP. Automation tools also help handle most production parts, leaving little work for your team. Furthermore, these tools provide insights into improving manufacturing processes by dealing with weak areas. Integrating the software with your systems also helps identify the likelihood of issues, enabling your employees to intercede before piling up WIP.
The Benefits of Reducing WIP in Your Business
It is crucial to reduce WIP in your production processes to improve productivity. Some benefits you gain from this are:
Improved Warehouse Usage
Knowing how much you have left makes it easy to manage how you use your warehouse. It helps to know the amount of space available and if it will be enough to accommodate the WIP.
Improved Productivity and Efficiency
When you track your WIP and notice the amount of work to be done, it helps you know if your production process is efficient enough. If the WIP is high, you must look into various bottlenecks hindering you from being productive and leading to work piling up. It helps you adjust your operations to improve efficiency.
Improved Inventory Management
WIP can help you know how you are utilizing your resources. The information allows you to know when and how to order materials. This makes inventory management simple.
Improved Customer Satisfaction
Another great thing about managing your WIP is that it enables you to meet customer demands and promptly fulfill their orders. Completing orders and meeting demands improves customer satisfaction.
Read: The Benefits of Outsourcing for A Small Business
Conclusion
The software connects machines with your employees and system. It automates data collection throughout your product’s lifecycle. Therefore, using the software during production helps plan and manage WIP for optimal productivity. Therefore, incorporate software in your operations to reduce WI and inefficiencies that cripple your growth and competitiveness.
