Benefits of On-Time Orders (OTTO)

The benefits of using OTTO software are:

  • Improved delivery performance
  • Improved manufacturing throughput & efficiency
  • More effective use of inventory
  • Improved productivity of planners, schedulers and buyers
  • Reduced expediting costs

- Would you like to know what actions to take NOW to ensure production schedules and customer order shipments due today, tomorrow, next week are met?

- Would you like to be more proactive in communicating with customers and vendors?

- Does your firm have no problem "making" the promise but difficulty "keeping" it?

- Would you like to ensure resources are being correctly deployed to meet immediate needs; current production schedules, short cycle orders, customer commitments?

We did a survey of our On-Time Orders (OTTO) customers in January of 1998 to determine the tangible benefits they'd realized from using it. The following are typical results. One company president responded: "If you like completing customer orders on-time, then you'll like OTTO."

PRODUCT PROBLEM RESULT
Abrasives Reduce delivery lead-time 50% of orders produced same day they're received
Punch presses Production disruptions because of shortages Within 6 mths, doubled throughput
Store fixtures Meeting delivery schedules to major customers, orders are received via EDI In 2nd month, set single month shipping record (268 trailers) without a backorder. Delivery performance +98% for 3 yrs
Welding equipment Reducing lead-time & meeting ship dates Within 6 mths, increased throughput by 26% & reduced lead-times by 2-4 wks
Upholstered furniture Coordinating multiple plants to meet truck schedule
Within 4 mths, eliminated manual check-off sheets & reduced WIP by 1/3. Produce daily schedules for automated cutters.
Pumps Production shortages leading to delivery problems During 1st year, eliminated 6 trailers that held partially-assembled units. Had record year. Fax daily output to JIT suppliers
Lawn sprinklers Identifying orders that could be shipped to major EDI customers One OTTO report eliminates 2 previous reports & 1 inquiry. Time spent working on shipments instead of gathering information.
Light poles Delivery problems & production disruptions due to shortages In 2nd month, produced & shipped everything scheduled, set single month shipping record.



Many software products such as enterprise-wide planning systems, supply chain management and modeling systems claim similar benefits. Unfortunately, many companies have made the investment but not received the benefits they anticipated. OTTO isn't an alternative to ERP or planning, it's a complementary product that's the key to getting the benefits promised by those systems. OTTO offers an extremely low risk with the potential for high payback in a short period of time.


 

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BPCS Application Consulting