Process Reliability
TermiKnowledge - Supply Chain, Procurement and Inventory Terminologies
Process reliability is simply a measurement of how reliably the actual output of an operational process deviates from any specified or estimated values. Usually you are aiming for very high reliability, particularly in cases where the quality of your output is crucial for some other process right now. It is very important to be able to deliver a product that is 99% or better, which makes it extremely difficult to maintain high levels of reliability. One way you can maintain higher levels of process reliability is through a focus on good warehouse and supply chain management.
Supply chain and warehouse systems engineering (SC&E) focuses on producing a very robust product without failing at all. In order for a company to achieve this level of success, they have to have accurate, efficient, consistent processes and systems in place. This requires a lot of specialized and complex engineering. However, it is not something that can be achieved by just upgrading your current systems, without a proper strategic plan in place. Companies that have failed to take advantage of the benefits offered by effective SC&E cannot expect to see long-term profits and survive in a competitive market.
Poor process operation results in wasted resources and a loss in efficiency. It is also bad for the overall productivity level of a production organization. The entire production process from beginning to end has to be efficient and successful in order to produce high quality products. Processes must be followed strictly and everything must be set up according to standard specifications. If this is not done, it is almost impossible for a production company to maintain a high level of standardization, reliability, and consistency, especially over time.
CIOP Webinar Series
Learn the Global Best Practices in Supply Chain Management, Procurement, and Inventory Management.
60 Minutes of Learning + PDU Letter
