Archive: Apr 2021

Does Product Kitting Reduce Dock-to-Stock Cycle Time?

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dock-to-stock efficiencyA shipment arrives at the warehouse dock and needs to be stocked. The processes used between dock and stock are important and can make a real difference in warehouse efficiency. The better a business can become at efficiency and accuracy, the more profitable and successful it will be product kitting, might be the answer you’re looking for. .

What is Dock-to-Stock?

One of the most essential metrics is the “Dock-to-Stock” measurement. It helps to streamline the receiving process to get all items where they need to be as quickly and efficiently as possible. This allows warehouse receiving to move incoming materials quickly for faster cycle times to complete a finished product.

There are many variables that can affect operations. One major issue is that businesses tend not to focus their time and efforts on streamlining their processes.

The Benefits of Kitting

  1. Streamline Distribution

Kitting allows for an easier distribution of products as the items have been kitted in advance.

  1. Faster Assembly

When kitting is done in bulk, it becomes more of a linear operation, allowing for more items to be kitted in a more efficient manner. Likewise, the employee will not have to search for inventory as the products will be combined under one SKU.

  1. Fewer Shipping Mistakes

Shipping items in a kit form reduces the chances of error with order fulfillment. Likewise, it allows for pre-printed shipping labels which eliminates time to weigh products and any potential waste.

  1. Better Packaging

Combining multiple products into one kit saves on shipping costs with more efficient and cost-effective packaging.

All of these benefits of kitting can be translated into cost savings and overall more efficient for the dock-to-stock cycle time. Kitting allows for a “grab and go” process that is much quicker than individually searching for parts.

Using pre-assembled kits allows for projects to be fulfilled. Combining products allows us to better organize inventory and optimize warehouse space. Kitting makes it simpler to locate what is needed for an order, boosting the efficiency and productivity of the processes. Kitting products allows for a much faster fulfillment process, which ultimately reduces shipping delays that could happen if the items were packaged individually. Time can be translated to money. It is important to get the greatest amount of products fulfilled for the least amount of time and money.

Peoria Production Shop uses lean kitting processes to ensure our customers are receiving the most value. Kitting helps to speed up fulfillment processes for lower costs and less time. Contact us to learn more about how we reduce our dock-to-stock cycle time.

 

 

 

 

Why Kitting Process Matters

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Although kitting processes differ from one another, the core value and benefits are the same for all companies. Kitting increases product value and encourages repeat business. Manufacturers control production efficiency, storage space, and inventory control.

General Kitting Process

At Peoria Production Shop, we use Value Stream Mapping (VSM) to reduce non-value added activities from kitting processes and bring the value-added processes into the forefront for more efficient production. This helps us to eliminate waste practices that will ultimately reduce costs.

  1. Receive an order for multiple products.
  2. Collect each individual item.
  3. Assemble the products before packaging.
  4. Combine multiple components into one single SKU.
  5. Package all items. The individual items are scanned and placed into one or as few shipping boxes as possible.
  6. Create a new SKU. The components are added to the inventory system under one SKU, scanned, and shipped.

Why Should You Partner with Peoria Production Shop for your Kitting and Packaging Services?

  1. Strict Quality Policy.  As an ISO 9001:2015 registered company, we practice strict quality policies throughout our entire plant in all processes.
  2. Modern Kitting Warehouse.  With our expansive 130,000 sq. foot facility, we have plenty of room to meet all current production requirements with room for future expansion needs. We provide safe and efficient handling of all incoming and outgoing customer products and materials with 17 shipping and receiving bays.  Our modern facility  is climate controlled for the stability and safety of your raw materials and finished products.
  3. Updated Kitting Software. Our enterprise resource planning (ERP) software keeps all components organized and accounted for with automated, real-time inventory management, lot code and location traceability.
  4. Focus on Lean Kitting Process. We utilize Value Stream Mapping (VSM) activities to eliminate bottlenecks and unnecessary downtime in our kitting process.
  5. Our goal is jobs, not profits. Our motivation is to be the premier employer of people with disabilities. With a goal of jobs rather than profits, we provide the unique ability to be responsive and competitive on various levels. Many companies discover that they can outsource their kitting and assembly services to Peoria Production Shop with less expense and improved quality control over what can be performed in-house. We know that we succeed only when you succeed.

 

Peoria Production Shop uses lean manufacturing, a proven philosophy focused on eliminating any operations, equipment, or resources that are not adding value to our client’s supply chain. PPS offers consistent, accurate, and quality results for your kitting needs. Visit our website to learn more about our kitting process.

 

 

 

Supply Chain Optimization: Kitting Solutions

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Companies are always looking for competitive ways to meet and exceed client’s needs. Kitting, packaging, labeling, palletizing, reworking, and managing inventory are all ways that companies enhance supply chain optimization.

Adding value to services helps companies to set themselves apart from the competition. They are ready for the supply process, ensuring continuous improvement and inventory management for an efficient process.

Kitting As Supply Chain Optimization

Product life cycles are becoming increasingly shorter. This causes the demand for parts, replacements, and new parts to go up. Manufacturers and clients need more products and more space to house those products.

Fortunately, kitting is a solution to this problem. Kitting is an ideal process when it comes to packaging items with identical or similar products. Kitting is a service that combines single products into one component. Multiple SKUs are consolidated into one single SKU which ultimately reduces costs and improves efficiency. As an example, small electronics part kitting is a very efficient way for manufacturers to improve productivity. Their employees aren’t going to several bins to get the needed parts for assembly.

How Does Kitting Help?

At Peoria Production Shop, we use kitting to optimize time, order, and processes. Our employees do not have to search for pieces, rather the pieces are already accounted for. Likewise, our automated inventory system tracks the products as a single unit. This allows us to have a cleaner and more efficient operation.

Kitting speeds up the production time and lowers the overall cost of assembly. Employees save time for picking and packaging orders. Optimizing our time and money allows us to customize a great number of kits specific to customer requirements. This translates into a positive and efficient experience for both us and our customers.

When customers hire the services of 3PL companies like Peoria Production Shop, they gain a series of benefits:

  • Reduced Costs
  • Full Material Traceability
  • Productivity Management and Constant Improvement
  • Value Stream Mapping (VSM)
  • On-time delivery
  • Eliminate bottlenecks

 

Peoria Production Shop guarantees accuracy in our kitting and other value-added services with our knowledge, experience and technology.  Kitting helps to reduce overall costs, eliminate waste and improve productivity.  Contact us to learn how we can to optimize your supply chain.

 

 

What Is Kitting?

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The Definition of Kitting

The kitting process takes multiple products with various SKUs and combines them into a single package, creating a new SKU for that completed kit before shipping.

The Kitting Procedure

The Kitting process is completed in a few steps.

  1. Receive an order for multiple products. If a customer orders multiple components, they can be combined into one single package which ultimately saves on shipping costs.
  2. Collect each individual item in the order. To combine the products into one SKU, the items need to be gathered and assembled before packaging.
  3. Package all items. The individual items are scanned and placed into one or as few shipping boxes as possible, per customer specifications.
  4. Create a new SKU and ship. The components are added to the inventory system under one SKU, scanned, and shipped.

The Key Benefits to Kitting

Outsourcing your kitting processes to Peoria Production Shop brings many benefits to manufacturers and OEMs, such as:

  1. Reduce Warehouse Requirements – Moving component inventory off site frees up space to allow manufacturers to devote more floor space to production.
  2. Improve Productivity and Reduce Labor Costs – Kitting saves time and labor for manufacturers. Putting multiple components together in kits is time consuming and takes away from productivity.
  3. Reduce Inventory, Reduce Costs. Kitting services ensure the products are accounted for and ready to ship for daily production needs, ultimately eliminating the need for in-house inventory of multiple smaller components.

Peoria Production Shop has been providing contract kitting and assembly services to various companies of all sizes for over 80 years. We work with a wide range of industries including Fortune 100 manufacturers, subscription service companies, and food and beverage companies.

Our Enterprise Resource Planning (ERP) system with automated inventory control ensures all products are accounted for as they are transferred from units to kits.  Our experienced staff provide high-quality assembly and kitting services with meticulous attention to detail. At Peoria Production Shop, we carefully package products to ensure no items are damaged in transit. Our goal is to package kits with as many items as possible to ensure our customers get the most return on their investment. In terms of kitting, packaging is very important to highlight brand identity. We have the ability to customize any project based on your product kitting requirements.

Peoria Production Shop has been providing kitting solutions to companies of all sizes for 80 years. Our state-of-the-art facility and highly trained individuals are able to fulfill customer’s kitting needs. Contact us to see how we can improve your supply chain with contract kitting services.