ABSTRACT
The constant and consistent application of the manufacturing cost policy deployment (MCPD) system involves the collection, monitoring, and continuous interpretation of the results of the annual manufacturing cost improvement (MCI) and, implicitly, annual MCI targets and means. The types of data and information collected are for market driven for annual MCI target, profit driven for MCI, driven by annual MCI targets deployment, and driven by annual MCI means deployment. This chapter provides answers to the following questions: How is the MCPD supported on the long term at all levels of the organization? What is the impact of the MCPD system on the continuous transformation of the manufacturing flow for each product family cost? It presents the way to monitor and continuously improve the MCPD system. The chapter also presents the impact of the MCPD system on the continuous improvement of manufacturing system, more precisely on manufacturing lead time and beyond, on work in progress, and on material stock.
