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TOC Reference Bank - Intel Corp.
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ORGANIZATIONAL INFORMATION  < back
Company Intel Corp.    
Location Chandler - United States.
Company Contact   Derek S. Watson;Phone: 503-264-8286
Comments The following case study describes the implementation of Drum-Buffer-Rope (DBR) in finished goods Distribution Centers (DC). The objective of the implementation was to reduce the cycle time from when an order is picked from a storage location until the order is ready to ship.
IMPLEMENTATION INFORMATION
Name Intel Corp.
Location AZ United States
Type of operation Distribution center
Systems in use Not selected m
WHAT WAS DONE?  
TOC Applications DBR, Grant Lindsay
Software implemented none
RESULTS OF IMPLEMENTATION
PROJECT PAYBACK  
Months to first visible results
few days
OTHER BENEFITS  
Lead times
Percent improvement reduced by 68%
Brief summary . Results were achieved in a few days and the process stabilized in weeks. The DBR implementation resulted in a mean cycle time reduction of 68% and a reduction to the standard deviation of 78%. The new method created a faster and more predictable DC operation. Work in process was reduced by approximately 65% causing increased inventory availability and the potential for future inventory reduction. Additionally, the work environment is now safer and less stressful. The implementation of DBR required no additional investment into the DC. The actions taken were all adjustments to policies, measures, and behaviors.