Optimization and flexibility of the stock management process of a consumables warehouse : the case of Toyota Caetano Portugal

Abstract

The world is changing rapidly, and the supply chain has suffered a shock. The management of human talent has never had such an impact as it does today, and the survival of industries is now related to their competitiveness, which is influenced by their productivity level. This is maximized through investments in innovation related to both technology and the operational components, and by means of new working methods with the application of continuous improvement tools. The work described in this paper took place in this context and was carried out in the consumables warehouse of Toyota Caetano Portugal S.A. (Ovar plant), with the objective of developing a new management method. The project was developed in five stages: (1) analysis of the initial situation - AS IS, and design of -TO BE, using Toyota Production System (TPS) tools; (2) ABC analysis based on the last four years' consumption; (3) development and implementation of a new warehouse layout, with the respective identification of locations and product labelling; (4) insertion of data into the company’s enterprise resources planning (ERP) concerning locations and quantities in stock. These changes enabled a reduction of about 84% in the time spent by the operator in the retrieval of picking lists. In stage 5, a model for the management of consumable stocks was developed, based on the analysis of the last seven months’ consumption, daily average consumption and lead times, after defining the values of safety stocks and reorder points, to avoid failures and/or delays of material and consequent production stoppages and even the existence of obsolete stocks.