With nearly one percent of the kanban cards lost per day, the net result is that the inventory runs dry and the overall production efforts suffer or get delayed. Considering the fact that Danaher has acquired a number of small companies, the application of the information technology can really go a long way in helping the firm under consideration in enhancing its efficacy, so far as the objective of reducing its inventory levels is concerned.
The application of information technology can help Danaher to purchase supplies from the overseas vendors by making the purchasing process more streamlined. The usage of electronic kanban system can do away with the fragilities and flaws of the manual approach. This will also allow the key employees in the procurement system to focus on the core tasks like discovering new sources and developing supplier relationships. E-kanban system will also improve and fasten the communication between Danaher and its suppliers. The introduction of bar codes and electronic scanners will do away with the old and cumbersome processes that were prone to grave errors and thus delays. This will also delegate the responsibility of verifying the order notifications to the suppliers. Thus the key staff will be left with ample time to concentrate on the supplier procurement goals. The application of the information systems has already reduced the non-productive time at Gurnee by 57 percent. ...Show more