Six Sigma DMAIC project reduces inventory levels and holding time at EMC Corp.
EMC Corp. provides products, services and solutions for information management and storage.
Damaged inventory, both incoming and outgoing, goes through a process where it is tracked, analyzed, evaluated and ultimately disposed of.
A noticeable buildup of damaged inventory led EMC to focus an improvement project on reducing the overall associated inventory levels and holding time.
A cross-functional team, led by a Six Sigma Green Belt, successfully applied Lean Six Sigma principles and DMAIC to the problem:
- Damaged inventory holdings were reduced by almost 55 percent.
- The holding time to process damaged inventory had a shift in the process mean from 330 days to 56 days, and the range was similarly reduced.