TST : Think globaly
Problem
- Where: Buffalo New York (USA);
- What: Severe snowstorm;
- Occurence: average one time per year;
- Severity: Traffic delayed up to 24h;
- Impact: 80% of inbound flow, 100% of outbound flow (exclusively EXW).
Blue: Inbound flows
Red: Outbound flows
Solution
This event has been not taken in the TST because all outbound trucks were coming through Buffalo to pick-up material in Rochester New York and going back through the same city. During a snowstorm, Customers were not able to come to pick-up parts.
So the lack of RAW material impacted the plant (production line down) but not Customers. The theorical cost of this solution is the cost of production been down. But this event is rare and at the same time some operators are not able to come to work. So the real impact is minimum.
Learn more...
Please rank this page by clicking on the stars.