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The TSMC Way: Meeting Customer Needs at Taiwan Semiconductor
Transcript of The TSMC Way: Meeting Customer Needs at Taiwan Semiconductor
Q7. Does this suggest that certain types of emergency orders are easier to accommodate than others?
Q8. What should LC try to optimize as he accommodates the emergency order?
Q9. Are there recommendations you might make to senior management?
Seasonal demand, when demand is low capacity will be high and emergency order accommodation will be easier.
Some recipes’ involve less repetition.
Certain products are further down the learning curve and use less dedicated tools specific to that recipe.
Products with high similarity to regularly mass produced recipes are easier.
More likely to exceed maximum capacity in high demand season (problem).
Some types require new machinery, which takes 6-9 months to order/qualify.
Extra depreciation on machinery.
Machines in some locations are with limited functions and certain types would be easier to make when transfered to other locations, but logistical costs are to be considered
Customer focus: need to optimise delayed orders and consider compensation.
Adjusting the capabilities of tools and the time spent using each, consider investing in multi-functional/most useful tools to help aid flexibility.
Balanced use of manipulating demand and capacity in tandem, incorporate help from sales departments. Finding a balance between customer satisfaction and production costs.
Quality of tools in fabs and the fabs themselves.
Logistics between fabs.
SOP for rush orders and dedicate sections of fabs to these especially
Online system(e.g. EOS) that can book urgent orders and establish paper-less processes, also effective allocation of work
More accurate estimate of tool utilization
Priorities hierarchy for important customers, more stress on emergency accommodation and thus different levels of flexibility.
Improve interdepartmental communication to aid manipulation of demand e.g. sales/marketing and production departments
Increased customer shipping costs if standing orders are broken into small batches at low emergency demand points.