CLL Supply Chain & Lean Procurement Flashcards

What is the lean principle behind reducing supplier lead times in procurement?

Answer: To compress the supply chain and improve responsiveness to customer demand changes

Shorter supplier lead times reduce the forecast horizon needed, cut inventory requirements, and allow faster adaptation to demand signals.

Which lean improvement event is typically used to rapidly redesign a procurement or supply chain process with cross-functional teams?

Answer: Kaizen event (rapid improvement event)

A kaizen event brings together cross-functional participants for an intensive 3–5 day effort to identify waste and implement improvements quickly.

In lean supply chain management, what does 'first-in, first-out (FIFO)' lane control achieve?

Answer: Ensures oldest inventory is consumed first, preventing obsolescence and expiration

FIFO lanes enforce consumption sequence so materials do not age and expire, eliminating the waste of obsolete or degraded inventory.

How does collaborative forecasting with key suppliers reduce waste in the supply chain?

Answer: It aligns production plans between buyer and supplier, reducing overproduction and shortages

Shared forecasting aligns capacity and material plans across the supply chain, reducing the bullwhip effect and associated overproduction waste.

What lean metric expressed as 'inventory turns' indicates about supply chain health?

Answer: How quickly inventory is consumed and replenished; higher turns indicate less waste

High inventory turns mean less capital tied up in stock and shorter exposure to demand changes, reflecting a leaner, more responsive supply chain.

Which lean concept supports receiving deliveries directly to the point of use, bypassing central receiving and storage?

Answer: Direct-to-line delivery

Direct-to-line delivery eliminates internal transport and storage waste by routing inbound materials straight to the workstation where they are consumed.