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EMC Corp. provides products, services and solutions for
information management and storage. As a global corporation
with a complex supply chain, EMC has specific processes
for managing and optimizing its inventory holdings.
Damaged inventory, both incoming and outgoing, goes
through a process where it is tracked, analyzed, evaluated and
ultimately disposed of. A noticeable buildup of such damaged
inventory led EMC to focus an improvement project on
reducing the overall associated inventory levels and holding
time.
A cross-functional team, led by a Green Belt, successfully
applied Lean Six Sigma principles and DMAIC to the problem. Damaged inventory
holdings were reduced by almost 55 percent. The holding time to process
damaged inventory had a shift in the process mean from 330
days to 56 days, and the range was similarly reduced.
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