Operations Management Essay: Operations Efficiency at Dynisco

This essay examines the operations management practices of Dynisco, a company engaged in plastic extrusion processing. The essay begins with an introduction to the Kanban system, Just-in-Time (JIT), and Total Quality Management (TQM) principles. It then delves into the application of the Kanban system within Dynisco, highlighting key elements such as the observation of operational standards and the identification of abnormalities. The essay explores how Dynisco utilizes the SyncKanban™ system to streamline vendor management and reduce inventory. Furthermore, it discusses the implementation of JIT to maintain optimal inventory levels and minimize costs, as well as the use of TQM to ensure product quality and customer satisfaction. The analysis concludes by emphasizing the importance of operations management for organizational efficiency, drawing parallels between Dynisco's practices and those of Toyota, and reinforcing the significance of Kanban, JIT, and TQM in achieving operational excellence. The essay is based on a provided case study of Dynisco and the systems they employ to improve productivity.

Operations
Management Essay

Table of Contents
INTRODUCTION...........................................................................................................................1
Kanban System.......................................................................................................................1
Just In Time............................................................................................................................1
Total Quality Management.....................................................................................................1
Topic covered.........................................................................................................................1
BODY..............................................................................................................................................1
Identify and discuss the key elements in the Kanban’s operation process.............................1
Evidence of application of Kanban system within Dynisco..................................................2
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Kanban System
This can be referred to as the process of rationalization of a product cycle by setting up of
supply and operational standards to achieve just in time production effectively (Fettermann and
et. al., 2018).
Just In Time
This is defined as operating the production cycle specifically for current demands and
necessities in a frequent time period.
Total Quality Management
This is deciphered as the constant participation of each and every organizational
representative in the production process to ensure the efficient quality of a product (Ivanov,
Tsipoulanidis and Schönberger, 2017).
Topic covered
The following essay is based on Dynisco and the manner in which the above described
systems are put to use within the manufacturing procedure of this organisation to achieve
operational efficiency.
BODY
Identify and discuss the key elements in the Kanban’s operation process.
The operational procedure of Kanban consists of 6 elements as per the case study. which
are listed below:-
 Production at every process is levelled with respect to volumes and specifications of
products
 Production line with shorter setup time
 Minimising/ eliminating the production of defectives
 Preventive maintenance
 Observation of operation standards
 Abnormalities can be easily identified
Out of these elements, 2 of the primary ones are described below as follows:-
Observation of operation standards:
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One of the key components of Kanban system as applied within the confines of Toyota is
gaining an insight into the operational standards as devised by the management of the
organisation. Operational standards are laid down so as to make sure that business practices are
performed as per the requirements of corporation (Thürer and et. al., 2019). This element
provides assistance in ensuring execution of performance as per the set standards.
Abnormalities can be easily identified:
Yet another crucial element pertaining to the Kanban system is quick determination of
abnormalities as existent within the confines of a company such as Toyota. This renders aid to
the organisation in taking corrective actions through which these can be dealt with, in an
effective and efficient manner.
Evidence of application of Kanban system within Dynisco
Overall production process
Dynisco is a well renowned and established firm engaged in execution of plastic
extrusion processing along with the production of a mercury free pressure sensor. The company
executes a number of stages with a view to carry out the process of plastic extrusion. The
procedure is explained as follows:-
 Raw plastic is put in to hopper together with additives as well as colours and all of them
flow through the extruder.
 The beads flow from hopper to feed throat down to the spinning crew inside a barrel.
 The beads then flow via barrel and get heated at a specific heat temperature. Till the
moment, it reaches the tip of screw, plastic gets properly mixed.
 The extruded form of plastic then moves from a screen along with breaker plate. This
makes the plastic ready for die. The die makes the plastic flow smoothly from extruder to shape of profile.
How they use Kanban system to improve productivity of the production system
Dynisco streamlined administration of their wide vendor networking through execution
of SyncKanban™, a pull based stock refilling framework from Synchrono which led to decrease
in their active stock by approximately 40% within the organisational premises. In view of Lean
and Just-in-Time (JIT) standards, SyncKanban programming enables producers such as Dynisco
to react in a flash to alterations taking place in terms of demand at market while keeping up
negligible stock. The system is able to do so through adjustment of stock levels with utilization
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in real time, imparting demand signs to providers for replenishment of parts in accordance with
the requirement. Such signs are followed across the renewal cycle, facilitating visibility for
producer as well as its vendor (Ketokivi and McIntosh, 2017). While executing this, SyncKanban
enables the producers to fulfil extensive demands with the assistance of minimum inventory,
thereby disposing off the expenses of overproduction and waste while diminishing
administration overheads.
How they use Just In Time to improve productivity of the production system
Just In Time can be defined as an operations management technique that allows the
manager to reduce time taken in a production capacity that increases the efficiency and product
quality of company (Lee and Tang, 2018). It is a manufacturing process that holds adequate
level of inventory in order to eliminate the wastage and reduce inventory cost. The manager of
Dynisco applies this strategy to maintain enough inventory according to the demand in the
market to run the production operation smoothly. The main aim of this organisation is to increase
the inventory turnover and reduce the inventory cost (Gibson and Parkman, 2018). Further, the
respective retailer also emphasizes upon continuous improvement of merchandise which aids in
winning the customer loyalty. As the entity maintains the minimum inventory, it faces the
problem when there is huge order of stock as it leads to delay in delivery of finished goods.
Through this, Dynisco reduces the chance of spoilage and saves the warehouse cost.
How they used TQM to improve productivity of the production system
Total Quality Management can be referred to as an ongoing process of reducing the
errors to provide customers with satisfaction and also ensure that employees are trained. It is a
management approach which focuses upon continual improvement of the merchandise that
ultimately brings efficiency in business operation (Choi, Wallace and Wang, 2018). Dynisco is
one of leading organisations functioning within the confines of plastic extrusion sector. TQM
provides assistance to the corporation in decision making for timely accomplishment of
organizational goals and objectives. Within the periphery of Dynisco, employees work towards
the common goal of examining the quality of offerings and undertaking measures through which
enhancement of quality can take place. Thus, TQM inflates the production capacity of the
concerned company and enables it to render high quality offerings to customers to gain high
satisfaction from them.
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CONCLUSION
On the basis of above discussion, it can be said that operations management is a crucial
aspect for each and every corporation. In this regard, it is analysed that Toyota and Dynisco
apply the Kanban system in order to ensure that work takes place as per the requirements of the
company. Further, it has been determined that this system takes into account the approaches of
TQM and Just In Time to execute it effectively within an entity, thereby attaining operational
efficiency. Apart from this, it is recognised that there are certain elements of Kanban system
which should be properly followed so as to implement the system effectually.
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REFERENCES
Books and Journals
Gibson, P. and Parkman, R., 2018. Cruise operations management: hospitality perspectives.
Routledge.
Choi, T. M., Wallace, S. W. and Wang, Y., 2018. Big data analytics in operations
management. Production and Operations Management. 27(10). pp.1868-1883.
Lee, H. L. and Tang, C. S., 2018. Socially and environmentally responsible value chain
innovations: New operations management research opportunities. Management
Science. 64(3). pp.983-996.
Ketokivi, M. and McIntosh, C. N., 2017. Addressing the endogeneity dilemma in operations
management research: Theoretical, empirical, and pragmatic considerations. Journal of
Operations Management. 52. pp.1-14.
Fettermann, D. C. and et. al., 2018. How does Industry 4.0 contribute to operations
management?. Journal of Industrial and Production Engineering, 35(4), pp.255-268.
Ivanov, D., Tsipoulanidis, A. and Schönberger, J., 2017. Global supply chain and operations
management. A Decision-Oriented Introduction to the Creation of Value.
Thürer, M. and et. al., 2019. Internet of Things (IoT) driven kanban system for reverse logistics:
solid waste collection. Journal of Intelligent Manufacturing, 30(7), pp.2621-2630.
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