Optimize Production Material Replenishment with DSI® Kanban for Oracle SCM Cloud

Cloud Inventory®
3 min readMar 16, 2021

Accurate and efficient material replenishment is an essential component of high-performance manufacturing and assembly line operations. To lower costs and reduce waste, manufacturers need an item replenishment process that ensures work centers always have the correct inventory in just the right place and at just the right time. Recognizing this need, DSI® developed Kanban for Oracle SCM Cloud, a mobile replenishment application which allows manufacturing and assembly operations using Oracle SCM Cloud to automate just-in-time material delivery to a manufacturing work center.

Kanban is a self-regulating pull system that enables shorter lead times and reduced inventory levels from end-to-end. The inventory is pulled and delivered in a just-in-time manner based on needs as signaled by the work center. Manufacturers utilizing a Kanban process achieve cost reductions both by avoiding spending on unneeded new inventory and by reducing the cost of storing and maintaining existing inventory. The principle behind a Kanban system is that actual material usage drives inventory replenishment decisions in a lean production philosophy.

Our Kanban applications deliver on this principle, enabling manufacturers running on Oracle SCM Cloud to utilize an efficient, cloud-based Kanban process. The Kanban application provides a real-time view of inventory movement from pick to delivery and users setup electronic Kanban cards that indicate what is being replenished. These cards are delivered to work centers as needed. The picking, delivery and replenishment requests are all an automated and a paperless process.

The applications feature a fully configurable Kanban card template that enables users to select the production items, quantity, and cards needed for a given work center. This process leverages Oracle SCM Cloud subinventories and locators so that production usage is displayed in real-time for Oracle SCM Cloud users, and the template uses Oracle SCM Cloud’s warehouse replenishment rules to manage back stock. Additionally, if a card item is provided directly by a supplier, then DSI’s Kanban will perform an item requisition, following the purchasing rules in Oracle SCM Cloud.

Built to be flexible and reconfigured to meet a manufacturing operation’s specific inventory needs, the DSI Kanban for Oracle SCM Cloud supports FEFO and fixed picking options and can be configured to operate using virtual cards and totes or using barcoded cards and physical bins. In addition, it enables users to establish picking priority based on organization or subinventory, and the application can suggest multiple subinventories and prioritize picking accordingly.

DSI’s Kanban works with Oracle SCM Cloud to optimize both the speed and visibility of material replenishment. The Kanban picking application provides automated movement requests and automatically establishes a picking record displayed in Oracle SCM Cloud, with each transaction fully reported for accurate tracking and accountability.

DSI’s Kanban for Oracle SCM Cloud empowers manufacturers, providing increased productivity, inventory optimization, compliance, and revenue generation. It provides the combination of automation and configurability that is an ideal fit for manufacturers seeking to eliminate inefficiencies, cut costs, and quickly respond to customer demand with a lean manufacturing approach.

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Cloud Inventory®

Cloud Inventory® is a cloud-based tool built to help companies digitize supply chains and optimize their inventories.