Class A Lesson 12: Variability is the Enemy.

20 Lessons From Implementing Class A Manufacturing

Lesson 12: Variability is the Enemy.

Depending on the home organization of the person you’re talking with, the Enemy of your success will quickly be claimed as General Electric, FDA, the Dodd-Frank Act, Customs (of any country you want), the ACLU, EU Competition Commission or perhaps, dreadfully, some part of your own company.

Nothing could be farther from the truth.

While it may be true that some, or all, of the items listed above present themselves as barriers, they are not the Enemy. The Enemy, that thing that is the greatest threat to your success, is Variability.

Variability in all its forms (component variability, schedule variability, performance variability, customer service variability, strategy variability, budget variability, compliance variability,…) creates Uncertainty and Waste that threaten the profitability and even the existence of your company.

Facing variable quality, customers find alternate suppliers, expanding the supply base they must manage.

Facing variable supply, Sales over estimates demand, driving inventory and expiration-scrap higher.

Facing variable Demand, Manufacturing hires people to coordinate frequent schedule changes with Marketing.

Facing variability of inventory records, Planners set higher Safety Stocks.

All of these, and many more each of you can name, are Wastes that threaten your business. Discipline is a powerful antidote; more on that later.

For now just be clear and consistent on what the Enemy is, and set your expectations clearly that everyone in the company is expected to search it out and destroy it.