1 and 2 -Challenge

8/12/2019 1 and 2 -Challenge

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Introduction

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Management of Manufacturing

Systems - An Overview

The two most important people in an

organization are those who make theproduct and those who sell them


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The challenge

Changing market conditions

Rate of change is faster

Global competition

Need to be proactive Increased Customer focus


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3/22/2014

The Changing customer

Once satisfied with a black car. Availability Price Quality

Variety wants to buy frequently

Absolutely impatient customer Wants more value for money


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3/22/2014

Events in History

The war - Resource Availability

Computers - Cost and information control

Quantitative methods - Doing things well

Communication - Personal touch

Electronic Commerce - Doorstep Home offices


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Some more HistoryAdam Smith and James Watt

Up and down motion to rotary motion

Desirability of a factory system (capital andlabor)

Watt showed how to do it

Carnegie and Scale Steel Industry with a large stable output.

Concept of cost control to increase profits


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Some more History Ford and Speed

Take the work to the man and not man to the work.

The moving assembly line Did not concentrate on variety

Scientific Management Concentrate on Efficiency

Work standards are the rate of work by a first classman

Carrot and stickThe worker who is fast and efficient isrewarded while the inefficient is discharged


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Some more History Scientific ManagementGantt

Minimum money + bonus

Known for Gantt chart Emerson also agreed with Gantt.

Emersondispatching Rules

Gilbreth Motion Study

Human Aspects of work study (Lillian)


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Requirements of manufacturing

Make an increasing variety of products, onshorter lead times with smaller runs andflawless quality.

Improve ROI by automating and introducingnew technology in process and materials sothat price can be reduced to meet local and

foreign competition.

Mechanizebut keep schedules flexible,inventories low, capital costs minimal and

work force contented (Skinner, 1985)


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9 laws in manufacturing First Law: Little law

WIP = Production rate * Throughput time

Increase production by increasing WIP upto capacity.

Second Law : Matter is conserved

Difference between material entering andleaving is the inventory.

Applicable to entire plant. All that comes inmust leave


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9 laws in manufacturing Third Law: Larger the scope, less reliable is

the system

As we add more machines, for the same systemavailability, individual reliabilities become larger.

Machine downtime has to be lesser.

Fourth Law : Objects Decay

The performance of the machines deterirate withtime.

Applicable to newer and flexible machiningsystems also.


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9 laws in manufacturing Fifth Law: Complexity of systems grow

exponentially Most of the time we assume a linear relationship,

which is wrong. Number of sequences is n! If jobs are doubles,

number of sequences is much more than double.

Sixth Law : Technology Advances

Decay of systems create new systems with betterperformance New means are better than old means

(breakdown etc)


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9 laws in manufacturing Seventh Law: System components behave

randomly

Inherently stochastic behaviour. E(LTD) vs actual LTD for an instance

Parallel processorsbehave differently

Eighth Law : Limits of human rationality

Limited by linear thinking

Limited by seven items at a time

Keen on satisficing than optimizaing


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9 laws in manufacturing Ninth Law: Combining, Simplifying and

eliminating can save time, money and

effort Led to CMS, JIT, kanban etc.

Principles of IE.


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Requirements of manufacturing

Make an increasing variety of products, onshorter lead times with smaller runs andflawless quality.

Improve ROI by automating and introducingnew technology in process and materials sothat price can be reduced to meet local and

foreign competition.

Mechanizebut keep schedules flexible,inventories low, capital costs minimal and

work force contented (Skinner, 1985)


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MassProductionn

Jobshop

BatchProduction

C

P

P - Projects

C -Continuous


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3/22/2014

Methodology - TraditionalApproaches

Line layout - Product LayoutContinuous high volume production

Process layout - Batch production,Middle volume Middle variety - focus

on utilization of resources

Quality- SQC Focus on measurement

and conformance to specifications

h d l


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Methodology - ProcessImprovement

Group Technology, Cellular manufacturing -Reorganizing machines, grouping of partsto families - Ownership and Responsibility

Japanese Management Systems - JIT -Waste elimination, Inventory Reduction

Flexible Manufacturing - Automation - Highvolume- Focus on technological solutions -Reducing production time

t


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et o o ogy - umanResources and Processes

Total Quality Management - Focuson people, employeeempowerment, Quality Circles

Business Process Reengineering,Management Reengineering

ISO 9000 - Certification and

recognition of a system in place


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Methodology - InformationSystems and Decisions

Materials Resources Planning -Inventory Reduction, Consistency in

BOM, Lot sizing, pull systems Enterprise Resources Planning -

Integrating the various functions

Supply Chain Management - DecisionMaking, integration of production anddistribution


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9 laws in manufacturing Ninth Law: Combining, Simplifying and

eliminating can save time, money and

effort Led to CMS, JIT, kanban etc.

Principles of IE.

1 and 2 -Challenge

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