| | reply was an excited, "What a perfect topic for me!!! My company, Intelligent Instrumentation Inc. manufactures industrial bar code terminals that track the movement of assets (inventory and, labor) around the plant floor. So in a bit of a twist on the theme 'we count every move'."
Auman explains why they need to count every move: Progressive manufacturing companies are investing billions in large ERP (enterprise resource planning) software like SAP, JD Edwards, Oracle, etc. to give them visibility on all aspects of the manufacturing process. These software systems are starved for data and bar coding techniques solve this critical need by:
Improving Speed – historically data on the plant floor was recorded on paper documents, forwarded up to a data center and inputted by key stroke into the computer system. A slow process that might get the critical information into the ERP system at the end of a shift or day. With bar code techniques, you swipe the information in and in real-time you get the data into the systems server instantly!!!
Improved Accuracy – hand written records and key stroking information requires at least the transfer and input of information by a min. of two personnel. bar code inputs are entered by the operator with no errors in transposition, transfer or data entry.
Cost savings - tremendous reduction in personnel costs who traditionally were doing non-value added functions in the factory.
Some examples of real life applications: Large freight carrier company implemented an automatic time keeping system that was collected using paper time cards, sent to a processing center and manually entered into their payroll system. The new paperless system saved them over $500K the first year by reducing the payroll processing dept by 22 employees, dramatically decreased errors and eliminated the practice of supervisor’s rounding up and buddy punching.
Large French catalog sales company was having a 6% error rate in its shipping dept. They were shipping the wrong part to their customers. They started barcoding every shipment, matching the order detail with the inventory pulled detail and reduced their shipment returns to under 1%. Freight savings alone gave them a ROI under 3 months!!
Aircraft manufacturer had no detailed visibility of the % completion of an aircraft being worked on in their WIP assembly area even though the plane assembly process would take 6-9 months. With work order tracking procedures ( both inventory and labor) the company management now has complete visibility on the % completion of any given aircraft. In addition a side benefit that was unanticipated was the ability to back-track on released aircraft and get complete lot tracking information for FAA reporting and product recall/maintenance reporting.
Greenhouse tomato grower was having weight problems reported by their largest customer – Costco. The standard package needed to be “never below weight as printed on the label “ and if their packagers over loaded, they would loss profits. The company added bar code terminals to each packaging station, interfaced the terminal to the electronic scale and when a package was completed, a red or green light turned on to indicate the package passed or failed weight criteria. In addition, since the employee clocked in on the terminal, the company had automated information on each employees history on a real time basis.
Bio: Bob Auman, grad in 1976 with a BS in accounting university of Susquehanna in central PA. While working for Ernst & Young from 1976-1980, he got his CPA in 1978. From 1980-1987, Auman was the Division Controller of 100 Million dollar revenue / four plant division of Amp Incorporated (now Tyco).
1988 – Intelligent Instrumentation* until the present. I.I.* was then owned by Burr Brown (electronic industry), with sales to approx. 200 Million. 1996 Texas Instruments bought both Burr Brown and I.I.* where Auman started off as the CFO
In 2006, Bob Auman managed the buy-out of Intelligent Instrumentation from Texas Instruments and is co-owner and VP of Sales & Marketing.
Bob went from Accounting to Sales as in 1991, when he personally started companies in the UK, France, Italy & Japan. Bob Auman orchestrated Texas Instruments eventually put Intelligent Instrumentation on the market for sale. Auman orchestrated the company purchase and won the bidding from a Beverly Hills venture capitalist.
About the company: Intelligent Instrumentation manufactures and sells industrial data collection terminals to Fortune 500 companies worldwide with sales of approx 40% of the sales to international markets.
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