Besides the apparent reason that SMED reduces changeover time, which makes a production process as efficient as possible, another reason for the usage of this method is the reliability of the delivery time as the production can be started a lot quicker than before, which in return also reduces stock. Makes sense, when you have a machine that takes a lot of time and effort to reprogram you tend to produce more and save it in stock so you do not have to reprogram the machinery that often. Products in stock take up space which in turn means costs for the warehouse. But, with production machines switching within minutes, you can produce the products on demand. Also, think about the competitive market nowadays, technology is moving fast, and you have to be on top of it with your production. You might want to optimize your product, and with SMED this can be implemented in the production process within minutes.
So, by implementing the SMED method it saves you money, and it is efficient. These are obvious reasons to implement the process. But how is this method cost saving and efficient? Read below the benefits when the SMED process is implemented correctly and how it can be cost saving:
- Reliability of delivery time
- Reduction of stock and less warehouse space needed
- Easy optimization of a product
- Flexibility in planning which in return enables the manufacturer to be more responsive to their clients
- Machines increase in work rate
- Safety increases as proper guidelines are set up during the switch