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OT, then Plant Shutdowns = Waste

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Chrysler Extending Plant Closures Over Christmas in Bid to Shrink Inventory: Financial News – Yahoo! Finance

We read this morning in the WSJ about how Chrysler had the largest per-vehicle incentives ($4000) in the industry. It really seems like the inventory problem was terribly out of control, their overproduction, as I blogged about before. They were running OT (while inventory piled up), now they're doing extra shutdowns (as referenced in the article linked to above and here). That just adds cost, cost, and more cost. Such waste.

Here's another take from the Truth About Cars blog, getting more into the “sales bank” and other questionable practices.

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Mark Graban is an internationally-recognized consultant, author, and professional speaker who has worked in healthcare, manufacturing, and startups. He is author of the Shingo Award-winning books Lean Hospitals and Healthcare Kaizen, as well as The Executive Guide to Healthcare Kaizen. His most recent book is the anthology Practicing Lean that benefits the Louise H. Batz Patient Safety Foundation, where Mark is a board member. Mark is also a Senior Advisor to the technology company KaiNexus. He is currently writing his next book, tentatively titled Measures of Success.

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