Work-in-Process, also known as Work in Progress (WIP), is a term which describes materials that have entered the production process and are at different stages of completion in a production or supply chain environment. When these components are assembled into individual products, such as in discrete manufacturing, the main goal of every manager is to track, measure, and optimize the process. By streamlining WIP, your production plant reduces the need for storage space, frees up capital for investment, and eliminates the worry of early shelf life expiration of the products.
The problem of locating work orders is not new in manufacturing and there are many existing approaches to solving it. One approach relies purely on manual input from your employees – having them fill in a form with information about a Work Order each time it arrives at a work center for processing. As any system relying on manual input, this system is prone to human error, which can cause your company’s percent of on-time delivery to drop and increase labour costs, as employees go about looking for work orders that are not where they are supposed to be.