Business Basics
Home Page

Who is Bill Gaw?
And why should we
listen to him?


lean manufacturing principles and techniques training

A training program that gains employee understanding and commitment
Lean Manufacturing Training Program

If you want to get to the top of the latter, forward this Web page to your CEO/HR
Mfg. Mgmt. Development Program

Master Schedule Tool - Part 3 of 3

Part 1  Part 2   Part 3

Get Bill Gaw's Lean Manufacturing Book
$15.00 Click Here

 Book: "Back to Basics"


privacy policy



Other Training Options:

Lean Sigma Assessment

Lean Six Sigma Implementation

Lean Six Sigma, Certification Program

Lean Six Sigma Forum

Lean Manufacturing Basics

Lean Manufacturing Assessment

Lean Manufacturing Transformation Training

Shop Floor Control

Lean Manufacturing Principles and Techniques

Lean Manufacturing Simulation Game

Lean Manufacturing Certification Program

Lean Manufacturing

Kaizen Management Training

Lean Manufacturing Problems and Solutions

Lean Manufacturing Seminar-in-a-Box

Supply Chain Management Training Program

Strategic Planning Training Program

Thinking-Outside-the- Box Workshop

Lean Management PowerPoint Training Modules

Lean Manufacturing

Lean Manufacturing



   In our need to become increasingly competitive, we have come to recognize that planning for the future is a non-precise science. The only thing about the future that is certain is that the future will never be what we think it will be. Being competitive in the 21st century means not only having high quality (conformance) and low cost, but also having quick response and flexibility. No longer can we compete by focusing on only one or two of these we must have all three—quality, cost, and response.

In other words, remaining competitive means mut­ing the traditional tradeoffs between cost, quality (con­formance) and response (flexibility). We must achieve excellence in all three—without tradeoff. This can be seen in Figure 3.

In our quest to become more effective in this pursuit, Deming and others taught us through Total Quality Man­agement (TQM) that cost and quality are not opposing. Rather, the identification and elimination of the cause of variability (non-conformance) is to experience a double-edged competitive advantage—lower cost and higher con­formance (quality). You can't get one without the other.

Similarly with inventory and customer service, we have learned (through MRP, MRP II, JIT, ERP, Agility) that producing more inventory (what the customers don't want) does not necessarily bring about an increase in ser­vice. It's only when we develop the ability to produce what the customers want that service improves. When you do this, not only does service improve, but inventory is re­duced as well. Again, a double-edged sword.

As the ever-increasing demands of the marketplace have become more and more difficult to achieve, we've had to get simpler and simpler in order to remain com­petitive. We've gotten rid of large amounts of non-value-adding activity, eliminating cost and shortening cycle time. This got us more responsive, making it possible to pursue the following ideal:

     Today's point of demand becomes

     Tonight's production and

     Tomorrow's shipments.


   While we can never fully achieve this model, we must be ever mindful of the direction it provides. Relative toproper management of the MPS, what it has done is to substantively reduce the length of the Critical Time Fence (CTF) for many products. This means that the horizon of the MPS can often be significantly reduced, enabling it possible to change, simplify, and improve the way in which we manage the MPS.

   As the CTF shortens, we'd be well served to do all of our forecasting and planning in quadrant II and IV. We are beginning to see major strides in this direction: Through rough-cut planning, driven by S&OP, all capacity and material resources can often be properly planned to allow short-term response to cus­tomers' needs. We then, through collaborative planning and forecast review (CPFR), blur the boundaries with our customers, getting information about their specific scheduled and anticipated needs.


All of this is changing the way in which the master sched­uler does his/her job. It, at very least, diminishes the amount of non-value-adding detail that needs to be managed by the MPS process. Additionally, the role of the master scheduler is becoming more significant in its contribution to the interface between S&OP and the MPS practices. As we become more and more respon­sive with resources, this practice will continue to evolve.

Part 1  Part 2   Part 3

Bill Gaw's Lean Manufacturing & Six Sigma Bulletin (LMSSB)

To stay current on Lean Manufacturing and Six Sigma knowledge and implementation know-how, subscribe to Bill Gaw's Lean Manufacturing Six Sigma Bulletin and you'll receive his weekly solutions to the reasons why 80% of lean initiatives fail to meet expectations. And as a bonus we'll send you a download copy of our eBook, "Thinking-Outside-the-Box.". (All at no cost of course.).

 Simply fill in your first name and email address and click on the bar below:

        Your personal information will never be disclosed to any third party.

First Name:
Your E-Mail:

Here's what one of our 15,000 plus subscribers wrote about the LMSS Bulletin:

"Great manufacturing articles. Thanks for the insights. I often share portions of your articles with my staff and they too enjoy them and fine aspects where they can integrate points into their individual areas of responsibilities. Thanks again."

               Kerry B. Stephenson. President. KALCO Lighting, LLC

Knowledge and implementation know-how you'll not find in the
books at neither in the APICS Package 
nor the Harvard Business School Press.  

Business Basics, LLC
6003 Dassia Way, Oceanside, CA 92056
West Coast: 760-945-5596 

© 2000-2013 Business Basics, LLC