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Distribution Site Improvement(KAIZEN)

Guide Book〈Revised Edition〉

To those who will use the “Distribution Site Improvement (KAIZEN) Guide Book”

This guide book has been created to provide an impetus to the activities for improving distribution sites. With the desire for broad utilization by the persons in charge of distribution sites, we would like to have this distributed also to distribution centers of your own company and your business partners.

ContactJapan Institute of Logistics Systemse-mail:[email protected]:http://logistics.or.jp/

Support for Distribution Site Improvement(KAIZEN) Activities by JILS

Human Resource DevelopmentHuman Resource Development●Certified Logistics Kaizen Master Course●Seminars●Internal education and Consulting

Awards System / ConventionAwards System / Convention●Logistics Rationalization Award●All-Japan Convention for Logistics 　Improvement（KAIZEN）●Logistics Improvement Case Studies Presentation

Support ToolSupport Tool●Distribution Site Improvement(KAIZEN) Guide Book●Collection of Awarded Cases

Purpose of this guide book

　Under the circumstances that the environment for corporate management such as economical globalization and the product life cycle becoming shorter is drastically changing, the industrial society is promoting establishment of supply chain management and higher efficiency of logistics. In order to make supply chain management and logistics function effectively in the current situation when high speed and higher efficiency is strongly sought, it is absolutely necessary to strengthen the “Distribution Workplace Skills” enabling distribution sites to gain force for coping with the environmental changes in the business management etc. flexibly and giving consideration on their own initiative to make improvements. 　Having such understanding, the Japan Institute of Logistics Systems established the Distribution Site Improvement and Revitalization Committee in March 2006 and since then has been continuing activities, and as an outcome thereof, created the “Logistics Improvement Guide Book” in April 2007 to provide an impetus to the activities for improving distribution sites.　In this guide book, the implementation process of activities for distribution site improvement is divided into four stages of “Site Revitalization Cycle” and activities to be developed in line with this cycle are recommended, and thereby importance of distribution site improvement is being disseminated broadly in the industrial society. 　As a follow-up work in this stream, the Distribution Site Improvement and Revitalization Committee has proceeded with activities further and created now the “Logistics Improvement Guide Book (Revised Edition)”. 　With recommendation of improvement activities in line with the “Site Revitalization Cycle” as its axis, the checklist to evaluate workplaces and the examples of improvement activities have been added hereto. This book is full of hints to strengthen the “Distribution Workplace Skills”: For example, insertion of checklists of “Site Revitalization Cycle Checklist” and “Problem Detection Checklist” with a view to self-diagnosing the level of distribution site of each company and workplace, grasping strengths and weaknesses and thus leading to distribution site improvement activities. Please utilize the guide book for awareness of activities for distribution site improvement, problem solution and execution of improvement activities and further advancement in distribution site improvement activities as well as for self-development.

INDEX ─ Use of this Guide Book ─

Introduction

▲

P1　Distribution site improvement in this guide book is defined, and the effect and the influence of distribution site improvement on reinforcement of the corporate competitive power and enhancement of the corporate value are described.

Area Division

▲

P2　With the division to three areas of “Logistics” , “Physical Distribution” and “Distribution Works” , one operation to constitute “Logistics” is defined as “Physical Distribution” , and the works in a distribution center and its auxiliary works out of “Physical Distribution” are defined as “Distribution Works” . In this guide book, improvement of “Distribution Works” is positioned as “Distribution site improvement” .

Site Revitalization Cycle

▲

P4　The effort to perform distribution site improvement activities of a company is divided into four processes of “Awareness and problem grasping (Mind)” , “Improvement activity (Improve)” , “Information sharing and horizontal deployment (See) and “Evaluation and rewarding (Award)” , and is defined as the Site Revitalization Cycle.

Site Revitalization Cycle Checklist▲

P6　This check list has been created with the organizations of small groups etc. performing distribution site improvement as a target, in order that they may confirm what process of activities, out of the site revitalization cycle described in the guide book for promoting distribution site improvement, has strengths or weaknesses as compared with the data collected by the office.

Frequently Occurring Problems on Distribution Site and Examples of Practical Measures of Improvement Activities

▲

P8　Concerning the problems to be improved on distribution sites, examples of practical measures for performing improvement activities are illustrated for each “Target Work” and “Main Cause of Problem” , in line with 4 processes of the site revitalization cycle, i.e. “Awareness and problem grasping (Mind)” , “Improvement activity (Improve)” , “Information sharing and horizontal deployment (See) and “Evaluation and rewarding (Award)” . Improvement details in “Target Work” are described in horizontal row for each work, and improvement details in “Main Cause of Problem” may be seen in the horizontal row for the target work where the individual item in “Viewpoint of Awareness and Problem Grasping” is indicated in the color corresponding to each of the cause. “Examples of practical measures of distribution site improvement activities” as described in this guide book are the representatives, not covering all improvements. Utilize this book as a material for awareness of activities for distribution site improvement.

Problem Detection Checklist

▲

P12　This check list has been created with the organizations of small groups etc. performing distribution site improvement as a target, in order that they may grasp the problem in their own distribution site improvement and at the same time confirm their own strengths and weaknesses as compared with the data collected by the office.

Competence Required as a Leader for Distribution Site Improvement (Ability Requirement): Improvement Planning and Driving Force

▲

P14　With individuals performing distribution site improvement as a target, the competence required as a leader for distribution side improvement and its contents are described.

Frequently Occurring Problems on Distribution Site and Examples of Practical Measures of Improvement Activities: Visual Samples

▲

P15　It is a collection of samples where frequently occurring problems on distribution sites and the contents of improvement measures as described in examples of practical measures of improvement activities are partly visualized. Utilize them as materials for awareness of improvement activities.

• 1 •

Distribution Site Improvement

　Distribution site improvement indicates the activities to contribute to enhancement of Customer Satisfaction and Employee Satisfaction by all workers participating in continuously improving the work method and contents as well as the work process for a series of works in a distribution center and auxiliary works such as transportation, receipt of goods, inspection, sorting, storage, picking, packing, cargo handling, loading, shipment and distribution.

Effects of Distribution Site Improvement

【Enhancement of CS and ES】◦Enhancement of work productivity　 ◦Reduction of operation cost　◦Improvement of distribution quality　◦Enhancement of article management accuracy◦Safety improvement　　　　 ◦ Reduction of environmental burden

Impact of Distribution Site Improvement

　Higher logistics efficiency is attained as a result of various distribution problems solved with the achievement of distribution site improvement, and reinforcement of the corporate competitive power and enhancement of the corporate value are realized.

Introduction

Effects of distribution site improvement

Solution of distribution problems

Efficiency improvement in logistics

●Service level　●Station plan●Revenue management　●Supply plan●Inventory plan

●Cost reduction　●Accuracy enhancement●Reduction of distribution lead time●Environmental response

Reinforcement of corporate competitive power

Enhancement of corporate value

Reinforcement of corporate competitive power

Enhancement of corporate value

• 2 •

サプライヤ

Ｓｕｐｐｌｉｅｒ

Ｃｕｓｔｏｍｅｒ

ManagementManagement

Operation and management of works in a distribution center and auxiliary works

Service level Station plan Revenue management Supply plan Inventory planning

Enhancement of CS and ES

Enhancement of work productivity Reduction of operation cost Improvement of distribution quality Enhancement of article management accuracy Safety improvement Reduction of environmental burden

Distribution works

Packing management

Distribution operation and managemen

Cost reduction Accuracy enhancement Reduction of distribution lead time Environmental response

TransportationTransportation Cargo receiptCargo receipt Incoming inspectionIncoming inspection StorageStorage SortingSorting PickingPicking PackingPacking Cargo handlingCargo handling LoadingLoading Outgoing inspectionOutgoing inspection ShipmentShipment DistributionDistribution

●Production lead time ●Production lot ●Stock volume of materials

●Replenishing lead time ●Stock volume of materials 　and parts

●Shape ●Volume ●Weight ●Quality retention 　period

●Delivery date ●Proper order receiving lot ●Inventory query

Reinforcement of corporate competitive power and enhancement of corporate value

Order receiving and ordering management Transportation and distribution management Inventory management Work management

ProductionProduction

Procurement and Purchase


Planning and DevelopmentPlanning and Development

Marketing and Sales

Marketing and Sales

Physical DistributionPhysical

Distribution

LogisticsLogistics

DistributionCenter

DistributionCenter

Area Division　With the division to three areas of “Logistics”, “Physical Distribution” and “Distribution Works”, one operation to constitute “Logistics” is defined as “Physical Distribution”, and the works in a distribution center and its auxiliary works out of “Physical Distribution” are defined as “Distribution Works”. 　In this guide book, improvement of “Distribution Works” (the blue section in the figure below) is positioned as “Distribution site improvement”.

• 3 •

サプライヤ

Ｓｕｐｐｌｉｅｒ

Ｃｕｓｔｏｍｅｒ

ManagementManagement

Operation and management of works in a distribution center and auxiliary works

Service level Station plan Revenue management Supply plan Inventory planning


Enhancement of work productivity Reduction of operation cost Improvement of distribution quality Enhancement of article management accuracy Safety improvement Reduction of environmental burden

Distribution works

Packing management

Distribution operation and managemen

Cost reduction Accuracy enhancement Reduction of distribution lead time Environmental response

TransportationTransportation Cargo receiptCargo receipt Incoming inspectionIncoming inspection StorageStorage SortingSorting PickingPicking PackingPacking Cargo handlingCargo handling LoadingLoading Outgoing inspectionOutgoing inspection ShipmentShipment DistributionDistribution

●Production lead time ●Production lot ●Stock volume of materials

●Replenishing lead time ●Stock volume of materials 　and parts

●Shape ●Volume ●Weight ●Quality retention 　period

●Delivery date ●Proper order receiving lot ●Inventory query

Reinforcement of corporate competitive power and enhancement of corporate value

Order receiving and ordering management Transportation and distribution management Inventory management Work management

ProductionProduction



Planning and DevelopmentPlanning and Development

Marketing and Sales

Marketing and Sales

Physical DistributionPhysical

Distribution

LogisticsLogistics

DistributionCenter

DistributionCenter

LogisticsTarget scope

The target is the integrated scope of Planning and development, Production, Physical distribution, and Marketing and Sales.

Target works

Planning and development, Procurement and purchase, Production, Physical distribution, and Marketing and sales

Related departments

C r o s s - d e p a r t m e n t a l ( c o l l a b o r a t i o n w i t h subcontractors)

RolesService level, Station plan, Revenue management, Supply plan, Inventory planning, etc.

Physical DistributionTarget scope

The target is the integrated scope of plural distribution works and processes.

Target works

Order receiving and ordering management, Transportation and distribution management, Inventory management, Work management and Packing management

Related departments

Distribution department

RolesCost reduction, Accuracy enhancement, Reduction of distribution lead time, Environmental response, etc.

Distribution WorksTarget scope

The target is a small group that can complete the work in one workplace (site).

Target works

Transportation, Cargo receipt, Inspection, Storage, Sorting, Picking, Packing, Cargo handling, Loading, Shipment and Distribution

Related departments

Distribution center

RolesEnhancement of work productivity, Reduction of operation cost, Improvement of distribution quality, Enhancement of article management accuracy, Safety improvement, Reduction of environmental burden, etc.

【Area Division】

• 4 •

Firm establishment

Firm establishment

Target and quantitative performance indicator

Enhancement of quality, productivity and CS

Sharing of information on distribution site improvement activity (See)

Evaluation and rewarding(Award)

Bottom-up type

Top-down type

Fostering of problem awareness for tackling distribution site

improvement (Mind)

Problem grasping on distribution site

To clarify change points to be required for improvement and enhancement of the distribution site process.（Action）

To execute the plan for distribution site improvement and measure the performance.（Do）

To set a target for distribution site improvement and design the process.（Plan）


Plan

Check

Do

Action

Plan

To evaluate and analyze the measured result of distribution site improvement activities.（Check）

【Spiral type】After a certain result being obtained in the PDCA cycle, the PDCA cycle will be continued with a further target set under the same theme.

【Project type】After a certain result being obtained in the PDCA cycle, the PDCA cycle will be continued with a target set on a new theme.

To evaluate and analyze the measured result of distribution site improvement activities.（Check）　



Site Revitalization Cycle　The site revitalization cycle indicates the improvement activity appropriate to each process of activities for distribution site improvement divided into four processes. 　In this guide book, it is recommended to deploy the distribution site improvement activities along with the site revitalization cycle. As an impetus to site improvement, awareness and a problem is grasped, improvement activities are performed to solve the problem, and the result is shared as information and deployed horizontally. Further to be connected to the next improvement, it is important to associate the result with awareness and problem grasping, firmly establish the distribution site improvement activities and at the same time evaluate and reward the result both internally and externally

Awareness and problem grasping(Mind)

Improvement activity(Improve)

Information sharing and horizontal deployment(See)


• 5 •

Firm establishment

Firm establishment

Target and quantitative performance indicator

Enhancement of quality, productivity and CS

Sharing of information on distribution site improvement activity (See)


Bottom-up type

Top-down type

Fostering of problem awareness for tackling distribution site

improvement (Mind)

Problem grasping on distribution site





Plan

Check

Do

Action

Plan

To evaluate and analyze the measured result of distribution site improvement activities.（Check）

【Spiral type】After a certain result being obtained in the PDCA cycle, the PDCA cycle will be continued with a further target set under the same theme.

【Project type】After a certain result being obtained in the PDCA cycle, the PDCA cycle will be continued with a target set on a new theme.

To evaluate and analyze the measured result of distribution site improvement activities.（Check）　



［Evaluation and rewarding］Self- (internal) and mutual development: ◦Internal evaluation system　◦Information transmission to the outside◦Evaluation from the outside

［Information sharing and horizontal deployment］Information sharing： ◦Accumulation of improvement data base

◦Presentation internally and in the groupHorizontal deployment：◦Firm establishment Manualization

［Improvement activity］Support from organization： ◦ Intention of the ManagementEducation　　　： ◦Development of human resourcesWorkplace environment：◦ Mechanism for participation of

all employees ◦ Environment for continuation and

establishmentFirm establishment：◦Standardization

[Awareness and problem grasping]Human　　：◦Desire to tackle site improvementEnvironment：◦Easiness of tackling site improvement

Awareness and problem grasping（Mind）：　It indicates the stage to understand necessity of improvement and grasp where a problem lies under the situation that the distribution site improvement activity is not performed. It is required to provide an impetus to distribution site improvement activities.

Improvement activity（Improve）：　It indicates the stage to perform the distribution site improve activity in the PDCA cycle through accurate target setting and systematic approach under the situation that a problem is grasped and the distribution site improvement activity is performed. It is required to have a result of and firmly establish the distribution site improvement activities.

Information sharing and horizontal deployment（See）：　It indicates the stage to share information of and horizontally deploy the result under the situation that distribution site improvement activities are performed continuously. With this result as an impetus, it is required to bring about the ripple effect to other sites and thus lead to the new distribution site improvement activity.

Evaluation and rewarding（Award）：　It indicates the stage to evaluate and give a reward to the improvement result, for which information is shared, both internally and externally and thus enhance motivation to perform the distribution site improvement activity. It is required to honor the result not only internally but also broadly to the outside.

【Key points for firmly establishing the cycle】

• 6 •

Category Item Point Level1（１Point）

Level2　（２Point）　

Level3（３Point）

Level4（４Point）

Awareness and

Problem Grasping

１ Necessity recognition Necessity for improvement is not recognized. Necessity for improvement is recognized,

but nothing has been done. Necessity for improvement is recognized and worked on.

Necessity for improvement is recognized, and the environment that makes working easier is prepared.

２５　　　Ｓ No definition of 5S Being performed occasional ly as a campaign. Seiri, Seiton, Seisou, Seiketsu and Shitsuke are being displayed and its formation has been prepared. Setting criteria are being reviewed and updated.

３ Periodic cycle Being handled on an ad hoc basis. There is a system for raising a problem but

irregularly. Problems are detected regularly. A new theme is set according to annual policies.

４ Knowledge for observation There is no viewpoint to recognize waste. Education for waste elimination is being provided. The viewpoint for 7 wastes is understood. Wastes have been eliminated, thus leading to

productivity improvement (cost reduction).

５ Education No education is being provided. Education is being provided but irregularly. An education curriculum and its text have been created and education is provided.

An education curriculum and its text have been created, education is provided, and its contents are reviewed as required.

Category Total

Improvement Activity

6 Activity in small groups No activity is performed in small groups. It is impossible to hold opportunities for activity regularly. Small groups are registered and in activities

regularly.The leader of members has been re-elected and becomes active.

7 PDCA cycle The word PDCA is known. The contents of PDCA are understood but

not being turned. The contents of the PDCA cycle are understood and activities are performed in accordance with the cycle. The PDCA cycle is being turned always.

8 Reporting, informing and consulting Being answered when asked. There is a format but not bein g continued. “Reporting, informing and consulting” is

prepared regularly. There is a mechanism for feeding back by superiors.

9 Conference body There is no conference body on improvement. Being held irregularly. Meetings are periodically held under the theme

of improvement. Information is shared on the minutes.

10 Organization and personnel affairs

There is no organization and person in charge of improvement.

An organization and a person in charge of improvement have been established/assigned, but no suffi cient result is seen.

An organization and a person in charge of improvement have been established/assigned, and the sufficient result is seen. The result is reviewed periodically.

Category Total

Information Sharing and Horizontal

Deployment

11 Personnel change There is no personnel change. There is no periodic personn el change. Personnel changes are performed periodically. Personnel changes are performed that can be understood as development

of human resources based on “the right man in the right place”.

12 Information collection

There is no environment enabling information collection.

As there is no place where improv ement information is reported, it takes much time to coll ect information.

There is a place where improvement information is reported (collected). Information is systematized.

13 Introduction of improvement cases There is no introduction of improvement cases. Introduction is made only in a sim ple and fixed format. There is an opportunity of improvement cases

being introduced regularly.Improvement cases are being horizontally deployed internally in a positive manner.

14 Posting on in-house intranet There is no intranet. There is the intranet but no info rmation appears. Improvement information is posted and renewed

regularly. The effect of posted information is validated.

15Transmission of

improvement information to the outside

Information is not transmitted. There is an opportunity of improveme nt information being transmitted to the outside, but its res ponse is not collected.

There is an opportunity of improvement information being transmitted toward the outside, and its response is being collected.

It is possible to determine the level of a company as compared with other companies.

Category Total

Evaluation and

Rewarding

16 Corporate policy

There is no periodic announcement of the policy.

The policy is periodically an nounced, but the contents cannot be underst ood.

The policy is periodically announced, but it does not lead to a sense of achievement.

Responsibility of a person is reviewed in values, which is connected to the target of the next year.

17 Improvement proposal system There is no improvement proposal system. There is an improvement pro posal system but

not utilized.There is an improvement proposal system and proposals are submitted, but it does not lead to an improvement result.

The improvement proposal system has been firmly established in the workplace and improvement proposals are made willingly, which leads to an improvement result.

18 Internal qualification There is no qualification system. An internal qualification sys tem is available

partly. A qualification system has been prepared internally. Promotion and qualification responsibility are linked with each other.

19 Personnel evaluation and promotion Evaluation is not fed back. Evaluation is fed back, enabli ng recognition of

employee's own weakness. Improvement activities are evaluated. There is a company climate where appreciated individuals and teams advance further.

20 Improvement case presentation A presentation is not held. A presentation is held, but its necessity is not

recognized. Corporate-wide periodic conferences for presentation are held. The presentation is used for PR toward the outside.

Category Total

Total points and activity stages Pre-activity stage (20 to 29 points) Initial stage (30 to 49 points) Implementation stage (50 to 69 points) Revitalized stage (70 to 80 points)

Site Revitalization Cycle Checklist（Target: Organizational units of small groups etc.）The Japan Institute of Logistics Systems recommends the distribution site improvement activity in line with the site revitalization cycle. This check list is to have a different point from the industry’s average confirmed as to what process of activities out of the site revitalization cycle has strengths or weaknesses.

　　　　　　　　　　　　　　　　↓Please self-analyze the present level of your company and fill in the response sheet with values.

• 7 •





Awareness and

Problem Grasping

１ Necessity recognition Necessity for improvement is not recognized. Necessity for improvement is recognized,

but nothing has been done. Necessity for improvement is recognized and worked on.

Necessity for improvement is recognized, and the environment that makes working easier is prepared.

２５　　　Ｓ No definition of 5S Being performed occasional ly as a campaign. Seiri, Seiton, Seisou, Seiketsu and Shitsuke are being displayed and its formation has been prepared. Setting criteria are being reviewed and updated.

３ Periodic cycle Being handled on an ad hoc basis. There is a system for raising a problem but

irregularly. Problems are detected regularly. A new theme is set according to annual policies.

４ Knowledge for observation There is no viewpoint to recognize waste. Education for waste elimination is being provided. The viewpoint for 7 wastes is understood. Wastes have been eliminated, thus leading to

productivity improvement (cost reduction).

５ Education No education is being provided. Education is being provided but irregularly. An education curriculum and its text have been created and education is provided.

An education curriculum and its text have been created, education is provided, and its contents are reviewed as required.

Category Total

Improvement Activity

6 Activity in small groups No activity is performed in small groups. It is impossible to hold opportunities for activity regularly. Small groups are registered and in activities

regularly.The leader of members has been re-elected and becomes active.

7 PDCA cycle The word PDCA is known. The contents of PDCA are understood but

not being turned. The contents of the PDCA cycle are understood and activities are performed in accordance with the cycle. The PDCA cycle is being turned always.

8 Reporting, informing and consulting Being answered when asked. There is a format but not bein g continued. “Reporting, informing and consulting” is

prepared regularly. There is a mechanism for feeding back by superiors.

9 Conference body There is no conference body on improvement. Being held irregularly. Meetings are periodically held under the theme

of improvement. Information is shared on the minutes.

10 Organization and personnel affairs

There is no organization and person in charge of improvement.

An organization and a person in charge of improvement have been established/assigned, but no suffi cient result is seen.

An organization and a person in charge of improvement have been established/assigned, and the sufficient result is seen. The result is reviewed periodically.

Category Total

Information Sharing and Horizontal

Deployment

11 Personnel change There is no personnel change. There is no periodic personn el change. Personnel changes are performed periodically. Personnel changes are performed that can be understood as development

of human resources based on “the right man in the right place”.

12 Information collection

There is no environment enabling information collection.

As there is no place where improv ement information is reported, it takes much time to coll ect information.

There is a place where improvement information is reported (collected). Information is systematized.

13 Introduction of improvement cases There is no introduction of improvement cases. Introduction is made only in a sim ple and fixed format. There is an opportunity of improvement cases

being introduced regularly.Improvement cases are being horizontally deployed internally in a positive manner.

14 Posting on in-house intranet There is no intranet. There is the intranet but no info rmation appears. Improvement information is posted and renewed

regularly. The effect of posted information is validated.

15Transmission of

improvement information to the outside

Information is not transmitted. There is an opportunity of improveme nt information being transmitted to the outside, but its res ponse is not collected.

There is an opportunity of improvement information being transmitted toward the outside, and its response is being collected.

It is possible to determine the level of a company as compared with other companies.

Category Total

Evaluation and

Rewarding

16 Corporate policy

There is no periodic announcement of the policy.

The policy is periodically an nounced, but the contents cannot be underst ood.

The policy is periodically announced, but it does not lead to a sense of achievement.

Responsibility of a person is reviewed in values, which is connected to the target of the next year.

17 Improvement proposal system There is no improvement proposal system. There is an improvement pro posal system but

not utilized.There is an improvement proposal system and proposals are submitted, but it does not lead to an improvement result.

The improvement proposal system has been firmly established in the workplace and improvement proposals are made willingly, which leads to an improvement result.

18 Internal qualification There is no qualification system. An internal qualification sys tem is available

partly. A qualification system has been prepared internally. Promotion and qualification responsibility are linked with each other.

19 Personnel evaluation and promotion Evaluation is not fed back. Evaluation is fed back, enabli ng recognition of

employee's own weakness. Improvement activities are evaluated. There is a company climate where appreciated individuals and teams advance further.

20 Improvement case presentation A presentation is not held. A presentation is held, but its necessity is not

recognized. Corporate-wide periodic conferences for presentation are held. The presentation is used for PR toward the outside.

Category Total


Site Revitalization Cycle Checklist（Target: Organizational units of small groups etc.）

• 8 •


Cost Work AccuracyDistribution Quality Environmental ResponseWorking Time

Main Cause of Problem: The item for which distribution site improvement is required (The color for each main cause corresponds to the color in the Viewpoint of Awareness and Problem Grasping in the table below.)

Target Work

Transportation and Delivery

Receipt/shipment/

inspection/loading of

goods

Storage

Mind

Viewpoint for Awareness and Problem Grasping

Improve

Improvement Improvement Measures Improvement Effect KPI Candidate AchievementIssue to be solved

A big gap in theloading efficiency betweenvarious transportation/delivery routes

Too many vehicles

Too much delay in delivery

Damage to the goods

High environmental burden

It takes time to to receive goodsand to process shipment

It takes long hours to inspect cargos delivered

Inventory variance occurs

Insufficient storage spaces

Storage places not easy to identify

Too much space for storage

Detent

─Standardization and firm establishm

ent of effects

　Creation of m

anual

　Installation of display object or signboard

　　

Sharing of achievement and horizontal deploym

ent

Announcem

ent of appreciation and awarding both internally and externally

AwardSee

No stock when the order is placed

Load time reduction

Decrease loading time by ○ min. / car (○ｔ)

○ min. reduction of the driving time

Decrease the number of trucks by ○

○％ reduction in damage to the goods while in transit

Decrease fuel consumption by ○％

○ min. reduction of working time

Processing time to be reduced by ○ min.

Inspection accuracy to improve by ○％

Accuracy in stock control to improve by ○％

Operation rate of storage space to improve by ○％

○％ increase in the amount of stocks

○％ increase in the amount of storage space

Reduction of the driving time

Reduction in the number of trucks

Less damage to the goodsin transit

Less fuel consumptionCO2 emission reduction

Reduction of working time

Reduction of the time to receive goods and to process shipment

Improvement in the accuracy ofinspection of goods received and goods for shipment

Stock control

Improvement in storage efficiency

Reduction in the amount of storage space

Consider measures to reduce the loading/unloading time

Set the most appropriate routesto standardize the loading efficiency and the delivery time （⇒①）

Review the mixed-loading with goods from nearby centers and other companies and the delivery method of such mixed-consignment （⇒②）

Reduce the waiting time, instruct the driving method with less fuel consumption, reduce the idling time

Reduce the manual cargo handling by using fork lifts, conveyers, sorters, etc.

Setting up work spaces and provisional storage spaces to meet the order and/or delivery of goods

Complete control of the stock in hand through a review of the location display（⇒③）

Designate the location of the storage spaces in consideration of the frequency of shipment, Explicitness, etc.（⇒④）

Put the storage spaces to effective use and control the stock, by using the automated warehouses

Adjust the space between, and the height of, shelves, in reference to the line of goods （⇒⑤、⇒⑥、⇒⑦）

Use cushioning materials to fill the gap

Promote the modal shift

Use bar-codes, IC tags, etc.

Ensure that workers understand the issues which are “necessary”

Make effective use of cargo handling facilities and equipment, such as racks

Set the standard for the stock control and the disposal ofleft-over goods

Reduce waitingtime

Review the routes

Identify appropriate types of vehicles (e.g. use of bigger/smaller vehicles)

Improve the quality of transport by producing a manual for proper driving procedures

Reduce the amount of fuel

Establish a system to monitor the amount of goods being delivered

Introduce the automaticrecognition technology

Introduce the unit loading system

Change the layout

Review the list of items for inspection

Complete control ofthe stock in hand

Change the layout

Complete control of the location

Change the size of storage

Delivery routes may not be appropriate

Too long idling time (waiting time) for a vehicle

Unable to confirm the amount of the cargos in advance

Rough driving

Consumption of too much fuel

Consumption of too much fuel in total

Most cargo handling being done manually and it takes long to make final confirmation

The layout is not in line with the work flow

Storage is not in one place

Numerous inspections being done more than necessary


The appropriate storage size for the line of goods has not been identified

Spaces are not put to effective use

No stock of “required goods”. Left-over goods being neglected

　Practical measures of improvement activities are described from the viewpoints of “Target Work” and “Main Cause of Problem” concerning the problems mentioned on distribution sites such as “The cost is high.”, “There are many complaints.”, “Work efficiency is low.”, “Distribution is inefficient.”, “There are many errors.”, “Safety level is low.” and “Environmental burden is big.”


Enhancement of work productivity

Reduction of operation cost

Improvement of distribution quality

Enhancement of article management accuracy

Safety improvement

Reduction of environmental burden

• 9 •

※“Each sample number (in a circle)” in red described in the column of Improvement Measures corresponds to the visual sample on Page 15 or afterwards.




Target Work

Transportation and Delivery

Receipt/shipment/

inspection/loading of

goods

Storage

Mind

Viewpoint for Awareness and Problem Grasping

Improve

Improvement Improvement Measures Improvement Effect KPI Candidate AchievementIssue to be solved

A big gap in theloading efficiency betweenvarious transportation/delivery routes

Too many vehicles

Too much delay in delivery

Damage to the goods

High environmental burden

It takes time to to receive goodsand to process shipment

It takes long hours to inspect cargos delivered

Inventory variance occurs

Insufficient storage spaces

Storage places not easy to identify

Too much space for storage

Detent


ent of effects

　Creation of m

anual


　　


ent

Announcem


AwardSee

No stock when the order is placed

Load time reduction

Decrease loading time by ○ min. / car (○ｔ)

○ min. reduction of the driving time

Decrease the number of trucks by ○

○％ reduction in damage to the goods while in transit

Decrease fuel consumption by ○％

○ min. reduction of working time

Processing time to be reduced by ○ min.

Inspection accuracy to improve by ○％

Accuracy in stock control to improve by ○％

Operation rate of storage space to improve by ○％

○％ increase in the amount of stocks

○％ increase in the amount of storage space

Reduction of the driving time

Reduction in the number of trucks

Less damage to the goodsin transit

Less fuel consumptionCO2 emission reduction


Reduction of the time to receive goods and to process shipment

Improvement in the accuracy ofinspection of goods received and goods for shipment

Stock control

Improvement in storage efficiency

Reduction in the amount of storage space

Consider measures to reduce the loading/unloading time

Set the most appropriate routesto standardize the loading efficiency and the delivery time （⇒①）

Review the mixed-loading with goods from nearby centers and other companies and the delivery method of such mixed-consignment （⇒②）

Reduce the waiting time, instruct the driving method with less fuel consumption, reduce the idling time

Reduce the manual cargo handling by using fork lifts, conveyers, sorters, etc.

Setting up work spaces and provisional storage spaces to meet the order and/or delivery of goods

Complete control of the stock in hand through a review of the location display（⇒③）

Designate the location of the storage spaces in consideration of the frequency of shipment, Explicitness, etc.（⇒④）

Put the storage spaces to effective use and control the stock, by using the automated warehouses

Adjust the space between, and the height of, shelves, in reference to the line of goods （⇒⑤、⇒⑥、⇒⑦）

Use cushioning materials to fill the gap

Promote the modal shift

Use bar-codes, IC tags, etc.

Ensure that workers understand the issues which are “necessary”

Make effective use of cargo handling facilities and equipment, such as racks

Set the standard for the stock control and the disposal ofleft-over goods

Reduce waitingtime

Review the routes

Identify appropriate types of vehicles (e.g. use of bigger/smaller vehicles)

Improve the quality of transport by producing a manual for proper driving procedures

Reduce the amount of fuel

Establish a system to monitor the amount of goods being delivered

Introduce the automaticrecognition technology

Introduce the unit loading system

Change the layout

Review the list of items for inspection

Complete control ofthe stock in hand

Change the layout

Complete control of the location

Change the size of storage

Delivery routes may not be appropriate

Too long idling time (waiting time) for a vehicle

Unable to confirm the amount of the cargos in advance

Rough driving

Consumption of too much fuel

Consumption of too much fuel in total

Most cargo handling being done manually and it takes long to make final confirmation

The layout is not in line with the work flow


Numerous inspections being done more than necessary


The appropriate storage size for the line of goods has not been identified

Spaces are not put to effective use

No stock of “required goods”. Left-over goods being neglected







Safety improvement


• 10 •

そ　の　他

Assortment and picking

Packaging

５　Ｓ

Safety

Education

Ensure workers put on work uniform / protective clothing

（ ⇒ ⑩、⑪）

Increase awareness of cargo handling and working procedures, which correspond to the feature of the goods

Limit the entrance to the machinery space （⇒⑪）

Improve knowledge on how to operate machinery and equipment （⇒⑫）

Provide education on safe driving

Improve work safety

Review cargo handling procedures

Take measures for preventing breakdown of, and accidents with, machinery and equipment

Take measures for preventing traffic accidents

Improvement in work accuracy

The number of claims to decrease by ○％

Reduce mistakes in picking by ○％

Walk count to decrease by ○％

○％ increase in the number of picking per hour


Work quality improvement

Use bar-codes, IC tags, etc

Adopt a “no-thinking” picking system, by making use of digitalpicking and picking carts

Place the stock and walkways by taking account of walking distance, transfer time and human interaction （⇒⑧）

Design the location in reference to the frequency of shipment

Review the display of the picking lists in order to shorten pickingLines to a minimum （⇒⑨）

Establish the picking system which corresponds to the line of goods

Introduce the automatic recognition technology

Change the location

Improve the display of the picking lists

Review the picking lines

Revise the picking procedures

Much of pickingbeing done manually

No control over the location setting

Picking lists not explicit enough

Shelf label for the storage not explicit enough

No measures in place to prevent damage on goods

Space efficiency to improve by ○％

Working hours to be reduced by ○ min.

Scrappage rate to decrease by ○％

Improvement in space efficiency


Waste reduction

Need to accommodate the feature of the goods, keep packing to an absolute minimum

Opt for and develop reusablepackaging materials

Set the most appropriate mode of packing throughout the whole logistical process

Investigate most appropriate mode of packing

Simplify packaging

Reuse and recycle packaging materials

At the time of packing, logistical requirements are not taken into account

Excessive packaging

No standardization on packaging

Man-caused disasters

Damage to, and contamination of, goods

Damage to the facilities and equipment used

Traffic accidents

Workplace being disorganized

Concept of the “5S” to be disseminated by the use of a check sheet etc.

Organization of the workplace

Increase awareness of 5S (Seiri (Shifting) Seiton (Sorting) Seisou (Cleaning/Polishing/Tidying) Seiketsu (Standardizing/Maintaining) Shitsuke (Discipline/Sustaining))（⇒⑬）

No accidentsFewer accidents

Damage / pollution to decrease by ○％

Fewer claims for damage to, orpollution of, goods

No educational program for workers

Provide education to workers onthe logistical services and the work procedures

Produce a manual for logistical operating procedures

Provide education on the logistical quality

Workers have no appreciation about quality required for the logistics

Attendance for educational seminars by workers to increase by ○％

Work quality improvement and fewer claims

Mode of packing with no consideration for logistical requirements

It takes much time to package

Too much waste of packaging materials

Many mistakes in picking (wrong goods, wrong quantity)

Long picking times

Pick lines are complex and the walking time is long.

Goods are damaged during the picking process

Accidents





Mind ImproveAwardSee

Target Work Viewpoint for Awareness and Problem Grasping Improvement Improvement Measures Improvement Effect KPI Candidate AchievementIssue to be solved

Detent


ent of effects

　Creation of m

anual


　　


ent

Announcem







Safety improvement


• 11 •

※“Each sample number (in a circle)” in red described in the column of Improvement Measures corresponds to the visual sample on or afterwards.

そ　の　他

Assortment and picking

Packaging

５　Ｓ

Safety

Education

Ensure workers put on work uniform / protective clothing

（ ⇒ ⑩、⑪）

Increase awareness of cargo handling and working procedures, which correspond to the feature of the goods

Limit the entrance to the machinery space （⇒⑪）

Improve knowledge on how to operate machinery and equipment （⇒⑫）

Provide education on safe driving

Improve work safety

Review cargo handling procedures

Take measures for preventing breakdown of, and accidents with, machinery and equipment

Take measures for preventing traffic accidents

Improvement in work accuracy

The number of claims to decrease by ○％

Reduce mistakes in picking by ○％

Walk count to decrease by ○％

○％ increase in the number of picking per hour


Work quality improvement

Use bar-codes, IC tags, etc

Adopt a “no-thinking” picking system, by making use of digitalpicking and picking carts

Place the stock and walkways by taking account of walking distance, transfer time and human interaction （⇒⑧）

Design the location in reference to the frequency of shipment

Review the display of the picking lists in order to shorten pickingLines to a minimum （⇒⑨）

Establish the picking system which corresponds to the line of goods

Introduce the automatic recognition technology

Change the location

Improve the display of the picking lists

Review the picking lines

Revise the picking procedures

Much of pickingbeing done manually

No control over the location setting

Picking lists not explicit enough

Shelf label for the storage not explicit enough

No measures in place to prevent damage on goods

Space efficiency to improve by ○％

Working hours to be reduced by ○ min.

Scrappage rate to decrease by ○％

Improvement in space efficiency


Waste reduction

Need to accommodate the feature of the goods, keep packing to an absolute minimum

Opt for and develop reusablepackaging materials

Set the most appropriate mode of packing throughout the whole logistical process

Investigate most appropriate mode of packing

Simplify packaging

Reuse and recycle packaging materials

At the time of packing, logistical requirements are not taken into account

Excessive packaging

No standardization on packaging

Man-caused disasters

Damage to, and contamination of, goods

Damage to the facilities and equipment used

Traffic accidents

Workplace being disorganized

Concept of the “5S” to be disseminated by the use of a check sheet etc.

Organization of the workplace

Increase awareness of 5S (Seiri (Shifting) Seiton (Sorting) Seisou (Cleaning/Polishing/Tidying) Seiketsu (Standardizing/Maintaining) Shitsuke (Discipline/Sustaining))（⇒⑬）

No accidentsFewer accidents

Damage / pollution to decrease by ○％

Fewer claims for damage to, orpollution of, goods

No educational program for workers

Provide education to workers onthe logistical services and the work procedures

Produce a manual for logistical operating procedures

Provide education on the logistical quality

Workers have no appreciation about quality required for the logistics

Attendance for educational seminars by workers to increase by ○％

Work quality improvement and fewer claims

Mode of packing with no consideration for logistical requirements

It takes much time to package

Too much waste of packaging materials

Many mistakes in picking (wrong goods, wrong quantity)

Long picking times

Pick lines are complex and the walking time is long.

Goods are damaged during the picking process

Accidents





Mind ImproveAwardSee

Target Work Viewpoint for Awareness and Problem Grasping Improvement Improvement Measures Improvement Effect KPI Candidate AchievementIssue to be solved

Detent


ent of effects

　Creation of m

anual


　　


ent

Announcem







Safety improvement


• 12 •





Cost

１ On-site works

The on-site flow is not analyzed. How to analyze the on-site flow is not known.　

The on-site flow has been once analyzed, but no particular measure s are taken.

The on-site flow is analyzed and the measures are taken for reducing the number of on-site handling times.

The on-site flow is analyzed periodically and the measures are always taken for reducing the number of on-site handling times.

２ Packing The packing space rate (Floor area ratio) is not grasped.

The packing space rate(Fl oor area ratio) is grasped, but no measures are taken.

The packing space rate (Floor area ratio) is grasped and the measures are taken for improving the rate.

KPI for the packing space rate (Floor area ratio) is set, and the measures are always taken for improving the rate.

３ Space The storage size is not kept in mind. Waste of the storage spac e is grasped, but no measures are taken.

The width and the height of shelves are reviewed, as required, according to the product handled.

The width and the height of shelves are reviewed periodically according to the product handled.

４ Loading efficiency The loading efficiency is not kept in mind. The loading efficiency is g rasped, but no

measures are taken.The loading efficiency is grasped, and the measures are taken for enhancing the efficiency

KPI for the loading efficiency is set, and the measures are always taken for enhancing the efficiency.

５ Grasping of cost

Calculation of the amount of opportunity loss is not kept in mind.

The amount of opportunity loss has not been calculated.

There is a calculation rule for the amount of opportunity loss.

There is a calculation rule for the amount of opportunity loss, and the amount is grasped regularly.

Category Total

Quality

6 Distribution quality The number of complaints is not grasped. The number of complaints i s defined

internally and grasped.The number of complaints is defined internally and grasped, and the measures for reducing complaints are taken.

The number of complaints is defined internally, its KPI is set, and the measures for achieving the targets are taken.

7 Potential quality level

The voice of users on distribution quality is not kept in mind.

There is only a sense of impe nding crisis for the voice of users on dist ribution quality.

There is a system for investigating and grasping the voice of users on distribution quality.

There is a system for investigating and grasping the voice of users on distribution quality and an idea of measures.

8 Delivery response 1

The response lead time for stock inquiry is the period up to the following day.

The response lead time for stock inquiry is 10 minutes or shorter.

It is possible to respond to stock inquiry without hanging up the phone.

It is possible to view the response to stock inquiry on the user’s terminal and give a response immediately.


It is not possible to provide a reply on the delivery of a stockout item.

The response will be provi ded at a later date on the delivery of a s tockout item.

The target delivery is responded by guesswork on the delivery of a stockout item.

Construction of the infrastructure for providing a response on the delivery of a stockout item has been completed.

10 Dirt and damage The condition of dirt and damage is not grasped. Dirt and damage is defined internally and

the number of cases is gra sped.Dirt and damage is defined internally, its number is grasped, and the measures are taken for reducing dirt and damage.

Dirt and damage is defined internally, its KPI is set, and the measures are taken for achieving the target.

Category Total

Accuracy

11 Stockout situation The stockout ratio is not kept in mind. The stockout ratio is defin ed internally

and grasped.The stockout ratio is defined internally and grasped, and the necessary measures are taken.

The stockout ratio is defined internally, its KPI is set, and the measures are taken for achieving the target.

12 Inventory accuracy Inventory difference is not grasped. Inventory difference is gr asped, but its

accuracy is low.Inventory difference is grasped and its accuracy is high, but it takes time.

Inventory difference is grasped, its accuracy is high, and it takes a short time only.

13 Delivery system The designated-date delivery rate is not grasped. The designated-date delivery r ate is grasped, but the

measures for shortening the le ad time are not taken.The designated-date delivery rate is grasped and the measures are taken for reducing the lead time.

The designated-date delivery rate is grasped and the measures are taken for reducing the lead time to be optimum for each customer.

14 Shipping error rate The shipping error rate is not grasped. The shipping error rate is defined

internally and its number i s grasped.The shipping error rate is defined internally, its number is grasped, and the measures are taken for reducing the rate.

The shipping error rate is defined internally, its KPI is set, and the measures are taken for achieving the target.

15 Lead time The current situation is satisfactory. There is problem awarene ss for lead time but it is not managed.

The lead time for ordering, cargo receipt, shipment and arrival at customers is managed.

The measures are taken for reducing the lead time.

Category Total

Others

16 Accident The number of annual accidents resulting in property damage, vehicle accidents, accidents resulting in injury or death, etc. is grasped.

The number of annual accidents resulting in propert y damage, vehicle accidents, accidents resulting in injury or death, etc. is grasped, and thos e are handled as follow-up measures.

The number of annual accidents resulting in property damage, vehicle accidents, accidents resulting in injury or death, etc. is grasped, and the necessary measures are taken.

Activities are performed with the concrete measures for reducing to zero the number of annual accidents resulting in property damage, vehicle accidents, accidents resulting in injury or death, etc.

17 Clothes and appearance There is no inspection rule. There is a workplace stan dard. There is a workplace standard, and inspection

is made periodically.Clothes and appearance are linked with work efficiency and safety, which is understood by employees.

18 Morale No education is provided to temporary employees dispatched from a temporary-employment agency or part-time workers.

Education is provided but irregularly to tem porary employees dispatched from a temporary-employment agency or pa rt-time workers.

An education curriculum and its text have been created for temporary employees dispatched from a temporary-employment agency or part-time workers, and education is provided.

Through education provided to temporary employees dispatched from a temporary-employment agency or part-time workers, job satisfaction, motivation and a sense of achievement are fostered.

19 Workplace environment on work safety There is no work safety standard. There is a work safety sta ndard. There is a work safety standard, and guidance

is given regularly.Regular guidance is given based on the work safety standard, and at the same time, the workplace is reviewed appropriately.

20 Device and equipment

There are no maintenance standard for devices and tools used.

There is a maintenance st andard for devices and tools used.

Based on the maintenance standards for devices and tools used, maintenance is performed as required.

Based on the maintenance standards for devices and tools used, maintenance is performed periodically.

Category Total


Problem Detection Checklist（Target: Organiz ational units of small groups etc.）This check list is to grasp a problem in a company’s own distribution site improvement and confirm a different point from the industry’s average.

　　　　　　　　　　　　　　　　↓Please self-analyze the present level of your company and fill in the response sheet with values.

• 13 •





Cost

１ On-site works

The on-site flow is not analyzed. How to analyze the on-site flow is not known.　

The on-site flow has been once analyzed, but no particular measure s are taken.

The on-site flow is analyzed and the measures are taken for reducing the number of on-site handling times.

The on-site flow is analyzed periodically and the measures are always taken for reducing the number of on-site handling times.

２ Packing The packing space rate (Floor area ratio) is not grasped.

The packing space rate(Fl oor area ratio) is grasped, but no measures are taken.

The packing space rate (Floor area ratio) is grasped and the measures are taken for improving the rate.

KPI for the packing space rate (Floor area ratio) is set, and the measures are always taken for improving the rate.

３ Space The storage size is not kept in mind. Waste of the storage spac e is grasped, but no measures are taken.

The width and the height of shelves are reviewed, as required, according to the product handled.

The width and the height of shelves are reviewed periodically according to the product handled.

４ Loading efficiency The loading efficiency is not kept in mind. The loading efficiency is g rasped, but no

measures are taken.The loading efficiency is grasped, and the measures are taken for enhancing the efficiency

KPI for the loading efficiency is set, and the measures are always taken for enhancing the efficiency.

５ Grasping of cost

Calculation of the amount of opportunity loss is not kept in mind.

The amount of opportunity loss has not been calculated.

There is a calculation rule for the amount of opportunity loss.

There is a calculation rule for the amount of opportunity loss, and the amount is grasped regularly.

Category Total

Quality

6 Distribution quality The number of complaints is not grasped. The number of complaints i s defined

internally and grasped.The number of complaints is defined internally and grasped, and the measures for reducing complaints are taken.

The number of complaints is defined internally, its KPI is set, and the measures for achieving the targets are taken.

7 Potential quality level

The voice of users on distribution quality is not kept in mind.

There is only a sense of impe nding crisis for the voice of users on dist ribution quality.

There is a system for investigating and grasping the voice of users on distribution quality.

There is a system for investigating and grasping the voice of users on distribution quality and an idea of measures.


The response lead time for stock inquiry is the period up to the following day.

The response lead time for stock inquiry is 10 minutes or shorter.

It is possible to respond to stock inquiry without hanging up the phone.

It is possible to view the response to stock inquiry on the user’s terminal and give a response immediately.


It is not possible to provide a reply on the delivery of a stockout item.

The response will be provi ded at a later date on the delivery of a s tockout item.

The target delivery is responded by guesswork on the delivery of a stockout item.

Construction of the infrastructure for providing a response on the delivery of a stockout item has been completed.

10 Dirt and damage The condition of dirt and damage is not grasped. Dirt and damage is defined internally and

the number of cases is gra sped.Dirt and damage is defined internally, its number is grasped, and the measures are taken for reducing dirt and damage.

Dirt and damage is defined internally, its KPI is set, and the measures are taken for achieving the target.

Category Total

Accuracy

11 Stockout situation The stockout ratio is not kept in mind. The stockout ratio is defin ed internally

and grasped.The stockout ratio is defined internally and grasped, and the necessary measures are taken.

The stockout ratio is defined internally, its KPI is set, and the measures are taken for achieving the target.

12 Inventory accuracy Inventory difference is not grasped. Inventory difference is gr asped, but its

accuracy is low.Inventory difference is grasped and its accuracy is high, but it takes time.

Inventory difference is grasped, its accuracy is high, and it takes a short time only.

13 Delivery system The designated-date delivery rate is not grasped. The designated-date delivery r ate is grasped, but the

measures for shortening the le ad time are not taken.The designated-date delivery rate is grasped and the measures are taken for reducing the lead time.

The designated-date delivery rate is grasped and the measures are taken for reducing the lead time to be optimum for each customer.

14 Shipping error rate The shipping error rate is not grasped. The shipping error rate is defined

internally and its number i s grasped.The shipping error rate is defined internally, its number is grasped, and the measures are taken for reducing the rate.

The shipping error rate is defined internally, its KPI is set, and the measures are taken for achieving the target.

15 Lead time The current situation is satisfactory. There is problem awarene ss for lead time but it is not managed.

The lead time for ordering, cargo receipt, shipment and arrival at customers is managed.

The measures are taken for reducing the lead time.

Category Total

Others

16 Accident The number of annual accidents resulting in property damage, vehicle accidents, accidents resulting in injury or death, etc. is grasped.

The number of annual accidents resulting in propert y damage, vehicle accidents, accidents resulting in injury or death, etc. is grasped, and thos e are handled as follow-up measures.

The number of annual accidents resulting in property damage, vehicle accidents, accidents resulting in injury or death, etc. is grasped, and the necessary measures are taken.

Activities are performed with the concrete measures for reducing to zero the number of annual accidents resulting in property damage, vehicle accidents, accidents resulting in injury or death, etc.

17 Clothes and appearance There is no inspection rule. There is a workplace stan dard. There is a workplace standard, and inspection

is made periodically.Clothes and appearance are linked with work efficiency and safety, which is understood by employees.

18 Morale No education is provided to temporary employees dispatched from a temporary-employment agency or part-time workers.

Education is provided but irregularly to tem porary employees dispatched from a temporary-employment agency or pa rt-time workers.

An education curriculum and its text have been created for temporary employees dispatched from a temporary-employment agency or part-time workers, and education is provided.

Through education provided to temporary employees dispatched from a temporary-employment agency or part-time workers, job satisfaction, motivation and a sense of achievement are fostered.

19 Workplace environment on work safety There is no work safety standard. There is a work safety sta ndard. There is a work safety standard, and guidance

is given regularly.Regular guidance is given based on the work safety standard, and at the same time, the workplace is reviewed appropriately.

20 Device and equipment

There are no maintenance standard for devices and tools used.

There is a maintenance st andard for devices and tools used.

Based on the maintenance standards for devices and tools used, maintenance is performed as required.

Based on the maintenance standards for devices and tools used, maintenance is performed periodically.

Category Total


Problem Detection Checklist（Target: Organiz ational units of small groups etc.）

• 14 •

Competence Required as a Leader

for ImprovementContents of Ability Definition of Ability Contents

Current Situation Grasping

Ability

Basic recognition on the company

The business situations of the company are understood such as the corporate target, the departmental targets and roles of departments as well as the sales proceeds and profit.

Basic recognition on physical distribution

It is correctly understood how the article and information of the product handled by the company are flowing in a series of processes from procurement to sales.

Method and technology for recognizing the actual site condition

It is possible to correctly recognize the actual conditions on quality, cost and productivity of the workplace by daily reports etc. and perform the analysis method as required.

Ability to extract a problem or an issue

It is possible to correctly extract the problem to be solved on site based on the recognition of the actual condition.

Improvement Planning Ability

Ability to establish an improvement plan

It is possible to frame and establish an improvement plan for a prob-lem extracted.

Ability to utilize a meth-od and technology

It is possible to utilize the idea generation support system required for creating an improvement plan (the KJ method, brainstorming, etc.).

Ability to establish an action plan

It is possible to concretely create an executable plan (plan, details of activity, persons in charge, neces-sary investment, driving system, difficulty, schedule, etc.) by deciding priorities of improvement ideas.

Ability to set a target

It is possible to set an easy-to-grasp target that may be understood by all persons in charge in a workplace.

Improvement Implementation

Ability

Performance driving force

It is possible to explain an improvement action plan and a target in an easy-to-under-stand manner and make them well known to the members in charge in a workplace.

Education and leading ability

It is possible to properly provide education and guidance required for workplace improvement by evaluating the performance of workplace members in charge and utilizing manuals etc.

Ability to cope with a trouble

It is possible to take an action to solve a trouble promptly and properly if an unexpected trouble or failure oc-curs at the stage of performing improvement and an incident causing disturbance to improvement takes place.

Communication skill

It is possible to listen to contents for consultation and reporting, understand them correctly and ex-change communication. Further, it is possible to perform reporting to the superior and/or have dis-cussions with related departments at the right time, thus proceeding with improvement smoothly.

Evaluation and

Establishment Ability

Ability to set an evaluation indicator

It is possible to evaluate an action status and the level of target achievement and also set an operable indicator.

Progress manage-ment skill

It is possible to correctly evaluate the current progress situation based on the setting evaluation indicator.

Ability to achieve a target

As a result of evaluation, it is possible to perform acceleration of improvement activities, e.g. enhancement of workplace motiva-tion and reinforcement of the support system, as required and/or review of the plan, thus leading to achievement of the target.

Ability to attain an established state

It is possible to follow up the workplace and attain an established state by standardization etc., i.e. review of manuals and provision of continued education so that the improved contents may not be regressed.

Competence Required as a Leader for Distribution Site Improvement (Ability Requirement): Improvement Planning and Driving Force

＊ KJ Method: This is a method devised for summarizing data by Mr. Jiro Kawakida, Professor Emeritus at Tokyo Institute of Technology and Cultural Anthropologist, with which generation of a hint or inspiration useful for solving a theme is to be sought in the works of writing data on cards, putting those cards together for each group and illustrating them.

　The competence and its details required as a leader for distribution site improvement is described. A Career Development Diagnosis is performed so that the strengths and weaknesses on this ability requirement may be objectively recognized by the self-diagnosis and utilized for self-development and a training plan in future. The questionnaire and the answer sheet may be down-loaded in the follow ing URL.

• 15 •

Frequently Occurring Problems on Distribution Site and Examples of Practical Measures of Improvement Activities: Visual Samples　It is a collection of samples where the contents of improvement measures as described in “Frequently Occurring Problems on Distribution Site and Examples of Practical Measures of Improvement Activities” (P6 to P9) are partly visualized. Utilize them as materials for awareness of improvement activities. “Sample No.” is indicated at the end of each description in the column of Improvement Measures, which corresponds to each Visual Sample Number.

10

20

20

20

20

2020

30

30

4040

50

20

30

30

40

3040

200

190 120

10

20

20

20

20

2020

30

30

4040

50

20

30

30

40

3040

260

250

Sample① The best distribution route for standard loading efficiency and distribution timePicking up of 4t by 2 trucks = The number of trucks reduced Improvement idea

　　Load size:10kg /unit *based on weight

Picking up of 2t by 3 trucks Current status

Sample② Considering review of consolidation with the cargo of neighboring centers or othercompanies and the distribution method

① Each supplier delivering parts separately Current status

② Change to the Milk Run method:Reducing the number of trucks Improvement idea

Sample③ Improving fuel cost by changing the oil replenishing method①Full-tank refueling Current status

F

Ekm

ℓ

Refueling

F

Ekm

ℓ

Refueling

Weight for fuelportion reduced

② Refueling as if a half is the full tank Improvement idea

F

Ekm

ℓ

Refueling

F

Ekm

ℓ

Refueling

Weight for fuelportion reduced

• 16 •

Sample④ Promoting modal shift

Tokyo

Fukuoka

Sample⑤ Use of barcode and IC tag

Visual inspection. To make sure, checking many times, spending muchtime Current status

Systematizing inspectionwork by introducing terminals, thus reducingworking time Improvement idea

Sample⑥ Unit control according to location display review

※Layout from the top of the shelf

①Current location display: Location displayed by number Current status

② Location display that has been improved: Improvement idea Zone, column and row category= A zone 2nd row 2nd column: a-2-2

１２３４５６

７８９ 10 11 12

13 14 15 16 17 18

19 20 21 22 23 24

25 26 27 28 29 30

31 32 33 34 35 36

b-1-3 b-1-2 b-1-1 a-1-1 a-1-2 a-1-3

b-2-3 b-2-2 b-2-1 a-2-1 a-2-2 a-2-3

b-3-3 b-3-2 b-3-1 a-3-1 a-3-2 a-3-3

b-4-3 b-4-2 b-4-1 a-4-1 a-4-2 a-4-3

b-5-3 b-5-2 b-5-1 a-5-1 a-5-2 a-5-3

b-6-3 b-6-2 b-6-1 a-6-1 a-6-2 a-6-3

b zone a zone column

row

Terminal

Terminal

Changing long-distance transportation from truck to rail/vessel, resulting in reduction of CO2 emission

• 17 •

Sample⑦ Storage location according to delivery frequency and comprehensibility①Current position: Without considering

delivery frequency Current status

② Layout that has been improved: Locating the high frequency products along the entrance exit aisle Improvement idea

entrance

exit

entrance

exit

High frequency products

Sample⑧ Setting location according to shipment frequencyLocation without considering theshipment frequencyCurrent status

②

Reducing the wastefulflow lines and working time Improvement idea

Low frequency of shipments

③

① High frequency of shipments ②

① ③

Entrance Entrance

※View from the top of the shelf

Sample⑨ Review of Storage Layout

• 18 •

Sample⑩ Review of Storage Layout

Due to bidirectional passage, overtaking is not possible.

Current Status

U-Shape Walking

By layout change to Z-shape walking, overtaking becomes possible, thus

productivity being enhanced.

Improvement Idea

Z-Shape Walking

B74〜

B80〔

Food〕B

74〜B

80〔Food〕

B74〜

B80〔

Food〕B

81〜B

87〔Food〕

B81〜

B87〔

Food〕B

88〜B

94〔Food〕

C80〜

C98〔

Food〕

C01〜

C26〔

Food〕C

28〜C

50〔Food〕

C29〜

C51〔

Food〕C

52〜C

79〔Food〕

C53〜

C78〔

Food〕

C81〜

C99〔

Food〕

C81〜

C99〔

Food〕

D03〜

D14〔

Liquors〕D01〜

D12〔

Liquors〕

E01〜E09〔

Liquors〕

E10〜E20〔

Liquors〕E21〜

F31〔Liquors〕

E32〜E39〔

Liquors〕

F43〜F53〔

Liquors〕F22〜

F42〔Liquors〕

F21〜F41〔

Liquors〕F10〜

F20〔Liquors〕

F01〜F09〔

Liquors〕

Start●

②

③

④⑤

⑥

⑦

⑧

⑨

⑪⑫

⑩

⑬

⑭

⑮End

Wasteful moving lines are eliminated by arranging the storage layout to put the products of the same type together, and thus enhancement of efficiency may be expected.

B74〜

B80〔

Food〕D

03〜D

14〔Liquors〕

B74〜

B80〔

Food〕D

01〜D

12〔Liquors〕

B81〜

B87〔

Food〕D

15〜D

20〔Liquors〕

B81〜

B87〔

Food〕B

88〜B

94〔Food〕

C80〜

C98〔

Food〕

C01〜

C26〔

Food〕C

28〜C

50〔Food〕

C29〜

C51〔

Food〕C

52〜C

79〔Food〕

C53〜

C78〔

Food〕

C81〜

C99〔

Food〕

C81〜

C99〔

Food〕

E01〜E09〔

Liquors〕

E10〜E20〔

Liquors〕E21〜

F31〔Liquors〕

E32〜E39〔

Liquors〕

F43〜F53〔

Liquors〕F22〜

F42〔Liquors〕

F21〜F41〔

Liquors〕F10〜

F20〔Liquors〕

F01〜F09〔

Liquors〕

●Start

①②

③

④⑤

⑥

⑦

⑧

⑨

⑪⑫

⑩

⑬

⑭

⑮End

①

Current status

Improvement idea

• 19 •

Sample⑪ Space between the goods① Current shelf: Much space left due to placement without considering the size of the goods Current status

② After improvement: The space is narrow and controlled efficiently now. Improvement idea

Empty space

Sample⑫ Height of the shelf suitable for the goods① Current shelf: Much space left due to placement without considering the size of the goods Current status

② After improvement: The space is low and controlled efficiently now. Improvement idea

Empty space

• 20 •

① Layout for current picking: Narrow space due to the dead-end aisle makes the picking job difficult. Current status

②Shelf layout for picking after improvement: Space at the end of the aisle enables picking job to be carried out freely and smoothly Improvement idea

entrance

exit

※Layout from the top of the shelf

Sample⑭ Aisle and storage layout after walking distance and pick-up time are consideredentrance

exit

Sample⑬ Space between wagons according to the load(2 goods per wagon)① Current wagon: 1 wagon for one kind of

goods Current status② After improvement: 2 goods per wagon. The number of wagons has been reduced by half. Improvement idea

Put a partition to make it a double decker.

• 21 •

Sample⑯ 5S (Seiri / Seiton / Seisou / Seiketsu / Shitsuke)

(Shifting)

Damage

Sample⑮ The shortest picking distance according to the picking list review① Current picking display: Display in ascending order Current status

② After reviewing the picking: Picking list of B shelf is printed in descending order by a computer program to allow the shortest picking flow Improvement idea

location Number

A-02 １

A-04 ３

A-07 ２

B-01 ３

B-05 １

B-08 ２

location Number

A-02 １

A-04 ３

A-07 ２

B-08 ２

B-05 １

B-01 ３

Picking list

Picking list

Actual location

Actual location display remains the same

A-01 A-02 A-03 A-04 A-05 A-06 A-07 A-08

B-01 B-02 B-03 B-04 B-05 B-06 B-07 B-08

A-01 A-02 A-03 A-04 A-05 A-06 A-07 A-08

B-01 B-02 B-03 B-04 B-05 B-06 B-07 B-08

DamageScrap the damaged one

(Sorting) Seiri Seiton

Seisou (Cleaning/Polishing/Tidying)

Seiketsu (Standardizing/Maintaining)

Shitsuke (Discipline/Sustaining)

• 22 •

Sample⑰ Wearing a working uniform /protective clothing

Groominga work uniform.Always checkthe cuff and collar

Groomingcasual wearmight cause an accident

Not wearing a helmet Wearing a helmet

Sample⑲ Knowledge to handle machines/equipment In addition: Enhancing the operation safety

Unstable equipment

Without using a safety belt and protector

Continuously picking from high to low (or low to high) position will burden your waist

Fastening a safety beltor protector whenever working in a high place

Fix the vehicle for high-lifting work to prevent it from tipping over

Place the high frequency load in the middle of the shelf. During the operation, always keep the burden to your waist reduced

Sample⑲ Being thorough with wearing a working uniform /protective clothing Keeping off the machine operation area

Unstablehigh stack

Wearing a helmet

Load arrangement Keeping off the machine working area

Checking safety of thesurrounding area

• 23 •

Sample⑳ Education

A newly employedworker

？？？

責任者作業担当者

No idea who to ask Current status

Make clear the workplace manager with an armband Improvement idea

WorkerManager

Sample� Creating manual for the logistics operation procedure

Work Manual Created March 11, 2008 Revised June 8, 2008 Supervisor Creator

Work Name Tanaka Yamada

NO Work Procedure Key Point Supplement

① Count the number of Perform counting while checking

of products on the cart. the sticker with a marker.

(To prevent double counting)

(Refer to Fig. 1.)

Divide the sticker by drawing a diagonal line,

count the number of cartons and enter

the total on the packing number table.

(Refer to Fig. 2.)

20 36

Number of cartons on one cart

Shop A

56cases

（Fig.1）

（Fig.2）

Enter the total number.

Many wasteful movements without a uniform working method current status

Establishing standardized operations by creating an operation manual and guidance improvement idea





？？？

責任者作業担当者

November, 2009 〈revised edition〉

Japan Institute of Logistics Systemse-mail: [email protected]

URL: http://logistics.or.jp/

〈Reproduction or reprinting without permission is prohibited.〉

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