Cost Deployment Pillar

Cost Deployment stratification

The first pillar of the World Class Manufacturing methodology to enable must be the Cost Deployment because that’s what makes a guide for the reduction and elimination of losses of a business.

In addition, the Cost Deployment is a WCM pillar which initially requires the participation of all major corporate resources (production, maintenance, logistics and quality), so it can be used to involve the different actors in the program and bring to the attention of the potential benefits that this methodology can bring.

In CD are defined the various losses and the macro-category they belong. For example, the loss of Non Value Added Activities, Balancing, lack of training are linked to Man macro-category, while failures and Minor-Stoppage, Set-up belong to Machine macro-category. The losses for nonsupply lines, or defective raw materials belong to Materials macro-category. The loss of non-standard definition belong to Method macro-category.

Identified losses, it starts the step of costing, and the allocation of the macro-category loss that has priorities. This priority is identified based on the amount of the loss of the main plant. For example, if the loss is the highest downtime, or the set-up, the macrocategory that has priority is Machine.

Based on this prioritization, and this link between macro-category and loss, it is therefore necessary to initiate activities of Workplace Organization for NVAA loss, or Autonomous and Professional Maintenance activities to reduce losses due to failures, Minor Stoppage or Set-up. For reducing Material losses is necessary to open Logistics & Customer Services pillar, and finally for losses related to the Method is necessary to open Focused Improvement pillar. In particular, the WO pillar attacks NVAA losses going to create standards, such as order and cleanliness, going to study Value Added for each location and going to shoot it down with appropriate countermeasures.