In case you just heard about kitting and you don’t know what is kitting, then you just need to keep n mind that it is the process of organizing and even assembling parts that are used in the manufacturing of a product. The goal is to ensure that they are delivered to the point of use saving time on the line.
One of the things that you need to know about what is kitting is that this type of work tends to be performed in a lower-cost warehouse by third-party logistics providers also known as 3PLs. They are the ones that manage suppliers’ materials, prepare them, and ensure they are delivered in time.
As it is easy to understand, one of the main advantages of optimizing kitting is that it makes assembly workers a lo more efficient.
When you are trying to discover what is kitting in manufacturing, then you can see it as a kind of intake process. After all, logistics kitting organizes and even assembles parts that are used in the manufacturing of a product so they can be delivered in time. And this is one of the reasons why it tends to be one of the best examples used to describe lean manufacturing in practice. After all, you would be eliminating wasted time in production.
As you probably already know, kitting starts when the production team defines the kit of combined parts. So, here are the main benefits of using a kitting warehouse:
When you use a kitting warehouse, then one of the main benefits is the space optimization. Since you will move component inventory, you will have more floor space dedicated exclusively to production.
This means that the space that you needed to have to store parts, packaging, and even trash will b removed from the equation. With this, you have more space to expand production.
There’s no question that pre-sorted kits save both time and labor since they need to ensure that all the necessary components are available at the point of use. Besides, you need to know that kits can also be created by work cell or routing.
When parts ate not kitted, assemblers would need to take the time to search inventory, pull parts, and log usage. However, when you are using a kitting warehouse, you know that since you will have a reduced inventory, you will be improving cash flow.
So, when you combine all this with managed inventory, the materials arrive in the plan and on the line when they are needed. You will also be able to have more control over your stocks to support the daily production and retain ownership of inventory until consumed.
Optimizing your workforce is always crucial. For most inventory-centric companies, the outbound side of the inventory is where most companies generate profit, yet the most labor-intensive.
The truth is that it is important to keep in mind that there are different sequences and techniques that can be applied to ensure that profitability isn’t consumed by poor planning.