Article:
View from the CEO – January 2007
Our customers—mostly manufacturers—will continue to be challenged in 2007 by the complexities of supply-chain management in global manufacturing. In a recent study of global manufacturing by Deloitte Research, more than one-third of North American manufacturers make their goods elsewhere. This is expected to rise to nearly one-half in the near future. Among these North American manufacturers, 59% obtain product or components from Chinese sources and 49% from Mexican sources. Chinese sourcing is expected to grow to 68% in the near term. This Deloitte study also notes that 4 of the top 12 supply-chain initiatives are quality programs such as Six Sigma, Total Quality Management, Continuous Improvement, SPC, Total Productive Maintenance, and Quality Certification.
Successfully managing these supply chain complexities means that timely information flow to decision makers is critical. At NWA, we have recognized that many of our decision maker users range from real-time plant floor operators to remote corporate managers in another country. Our products reflect that usage. In a few weeks, we will be announcing our full range of products translated to Chinese so that we can support our global customers as they source or produce in China.
Many of our customers are in the continuous, batch, or hybrid process industries. Process Improvement programs are one of the most important initiatives they have for 2007. We found the November 5, 2006 survey on “Batch Analysis Best Practices” by ARC Advisory Group (we are a member) to be revealing on the key issues our customers face. Next to process knowledge, statistical knowledge at 73% response rate is the second most important skill required for batch analysis.
© ARC Advisory Group
But the November 2006 ARC survey further points out that statistical knowledge is the biggest skills gap that these plants or companies have to deal with.
© ARC Advisory Group
At NWA, we have been trying to help our customers fill this skills gap with our software products, training and professional services. In fact, our Vision Statement reflects this insight:
NWA Vision Statement
Northwest Analytical’s vision is to bring best-of-class, easily-understood, innovative, statistics-based analytics to the manufacturing processes to add value to customers striving to reach further efficiency in operations. Northwest Analytical has created a Manufacturing Analytics domain to focus its solutions, products and services.
Another recent ARC survey to a broad spectrum of manufacturers with Production Management systems, “What does Visibility and Quality Mean?” provided the following five visual capabilities list to help improve quality:
- Alerts
- KPI Statistics
- Exception Reports
- Real-Time SPC
- Data Logging for off-line SPC.
© ARC Advisory Group
These five capabilities are features that are found in our product line today. You will be seeing more easy-to-understand, innovative, statistics-based analytics in our future version releases. We look forward to helping you, our customers, meet these process improvement challenges in 2007.
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