ROYAL 4’S WISE AUTOMOTIVE SEQUENCING

In this environment, the supplier receives into WISE sequencing the requirements and builds the parts in that order to match the sequence order as communicated by the manufacturer in one of the above listed Receipt of Sequencing Requirements. There are different variations of building in sequence. Attributes to consider include the nature of the product and how the product is packed at the end of the line as well as how the shipping racks are loaded on the truck. Some suppliers have a need to reverse the build sequence of a certain number of parts in order to accommodate packing requirements. This may be necessary in order to ensure FIFO principles, despite the design of a shipping rack, which may only allow for the last part placed in it to be pulled first by the manufacturer. Reversing the build sequence can help ensure the use of FIFO. Still others need to reverse build entire trucks due to lack of floor space for storage.
One of the major benefits for a supplier to build in WISE sequence is to maximize the utilization of the supplier’s floor space, because there is no need to store more than a minimal amount of finished goods.

One of the possible drawbacks to building in sequence is the business issue associated with falling behind in production requirements in the event of a major disruption on the supplier’s assembly line, such as a machine breakdown. If enough time is not allotted into the buffer time and a failure occurs or the supplier is unable to address the issue within a specific timeframe, the timely delivery of parts to the manufacturer may be compromised. It is critical, on the part of the supplier, to plan for adequate contingencies, in such instances. Another consideration on the part of the supplier is to ensure the integrity of the build process, and that the finished good is built using the correct substrate, if applicable. Even though such faulty production may likely be caught at the time of the verification of the proper part being built from the proper substrate and placed in the proper slot in the rack, the supplier may have added value to the wrong part that now may be in need of rework or even scrap.

This method is often adopted by suppliers due to its simplicity to implement. Conceptually, the process mirrors what they are doing already, with the exception of the change in the way the products are placed in the rack and shipped. A drawback to this method is that it generally requires more floor space to be set aside for warehousing of finished goods. In most cases, the floor space is the biggest concern for this method. As with any process, this method can be automated in ways like; pick to light assistance, conveyor lines driven by requirements, Radio Frequency (WISE-RF) directed picking as some examples. Another drawback to this method is that the supplier must keep close track of the inventory levels, especially when engineering changes occur.