Flow Line Forecasting
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Transcript of Flow Line Forecasting
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ME 101: High Mix/Low Volume Manufacturing
University of California, Berkeley
Lecture #9
Mechanical Engineering 101
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ME 101: High Mix/Low Volume Manufacturing
Today’s lecture
Flow lines
Forecasting
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ME 101: High Mix/Low Volume Manufacturing
1 2 3 4 NIN OUT
Production System Model
N unit processes
• operation or suite of operations
• self-contained, distinct
transfer mechanism (arrows)• continuous
• intermittent (synchronous or asynchronous)
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ME 101: High Mix/Low Volume Manufacturing
1 2 3 4 5IN OUT
Toc1=1 Toc2=3 Toc3=2 Toc4=2 Toc5=1
Mass production, synchronous
flow line
• Slowest operation is bottleneck
• line cycle time is longest operation cycletime plus transfer/repositioning time
Tc = Tr + Max (Toci) – “ideal cycle time” (theoretical)
Rc = 60 / Tc
– ideal production rate
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ME 101: High Mix/Low Volume Manufacturing
1 2 3 4 NIN OUT
What actually happens at each station?
2
From 1 To 3
Process
a b c d e (was a for 1)
Transfer = a b 2
Transfer = 2 d e“simultaneous”
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ME 101: High Mix/Low Volume Manufacturing
What happens if Toci < Tocmax ?
3
From 2 To 4
Process
a b c d e
Tocmax
Toc3
idle
Process
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ME 101: High Mix/Low Volume Manufacturing
1 2 3 4 5IN OUT
WIP = 0
0Tc
2Tc
3Tc
4Tc
5Tc
6Tc
7Tc
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ME 101: High Mix/Low Volume Manufacturing
0Tc
2Tc
3Tc
4Tc
5Tc
6Tc
7Tc
1 2 3 4 5IN OUT
WIP = 1
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ME 101: High Mix/Low Volume Manufacturing
0Tc
2Tc
3Tc
4Tc
5Tc
6Tc
7Tc
1 2 3 4 5IN OUT
WIP = 2
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ME 101: High Mix/Low Volume Manufacturing
1 2 3 4 5IN OUT
WIP = 3
0Tc
2Tc
3Tc
4Tc
5Tc
6Tc
7Tc
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ME 101: High Mix/Low Volume Manufacturing
0Tc
2Tc
3Tc
4Tc
5Tc
6Tc
7Tc
1 2 3 4 5IN OUT
WIP = 4
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ME 101: High Mix/Low Volume Manufacturing
0Tc
2Tc
3Tc
4Tc
5Tc
6Tc
7Tc
1 2 3 4 5IN OUT
WIP = 5
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ME 101: High Mix/Low Volume Manufacturing
0Tc
2Tc
3Tc
4Tc
5Tc
6Tc
7Tc
1 2 3 4 5IN OUT
WIP = 5
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ME 101: High Mix/Low Volume Manufacturing
0Tc
2Tc
3Tc
4Tc
5Tc
6Tc
7Tc
1 2 3 4 5IN OUT
WIP = 5
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ME 101: High Mix/Low Volume Manufacturing
9Tc
10Tc
11Tc
12Tc
13Tc
6Tc
7Tc
8Tc
1 2 3 4 5IN OUT
WIP = 5
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ME 101: High Mix/Low Volume Manufacturing
1 2 3 4 5IN OUT
WIP = 4
9Tc
10Tc
11Tc
12Tc
13Tc
6Tc
7Tc
8Tc
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ME 101: High Mix/Low Volume Manufacturing
1 2 3 4 5IN OUT
WIP = 3
9Tc
10Tc
11Tc
12Tc
13Tc
6Tc
7Tc
8Tc
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ME 101: High Mix/Low Volume Manufacturing
1 2 3 4 5IN OUT
WIP = 2
9Tc
10Tc
11Tc
12Tc
13Tc
6Tc
7Tc
8Tc
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ME 101: High Mix/Low Volume Manufacturing
1 2 3 4 5IN OUT
WIP = 1
9Tc
10Tc
11Tc
12Tc
13Tc
6Tc
7Tc
8Tc
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ME 101: High Mix/Low Volume Manufacturing
1 2 3 4 5IN OUT
WIP = 0
9Tc
10Tc
11Tc
12Tc
13Tc
6Tc
7Tc
8Tc
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ME 101: High Mix/Low Volume Manufacturing
WIP
Cycle increments0 1 2 3 4 5 6 7 8 9 10 11 12
Variation in work in process over batch
System at capacity
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ME 101: High Mix/Low Volume Manufacturing
Announcements
TI calculator
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ME 101: High Mix/Low Volume Manufacturing
Stats Background Survey
What is the highest level of formal statisticsyou’ve studied?
1. some mention in high school math2. some coverage in college classes
3. AP stats in high school
4. significant coverage in college classes
5. took a college class focused on statistics6. took more than one college class focused on
statistics
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ME 101: High Mix/Low Volume Manufacturing
For a normal distribution, percent of area undercurve between red lines is approximately:
1. 25%2. 33%3. 50%4. 68%
5. 75%6. 95%7. 98%8. none of the above
Stats Quiz
Frequency
+-
- 2 + 2
mean=00
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ME 101: High Mix/Low Volume Manufacturing
Today’s lecture
Flow lines
Forecasting
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ME 101: High Mix/Low Volume Manufacturing
Demand
Production planning
• flow line
need for setting cycle time
• batch
need for EOQ formula
when to develop new products
• product life cycle when to add/close/upgrade production
facilities
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ME 101: High Mix/Low Volume Manufacturing
Ask experts?
“I think there is a world market for maybe fivecomputers.”• Thomas J. Watson, IBM (1943)
“There is no reason for any individuals to have acomputer in their home.”• Ken Olsen, Digital (1977)
“The wireless music box has no imaginable value.Who would pay for a message sent to nobody inparticular?” • David Sarnoff, RCA
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ME 101: High Mix/Low Volume Manufacturing
Forecasting
• looking at existing products… • examine past data
• find historical trends• extrapolate forward
• assumptions• past trends will continue
• demand values a function of time
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ME 101: High Mix/Low Volume Manufacturing
Naïve forecasting
this week’s demand = last week’s • D(t) = D(t-1)
So if we want 1 week safety stock• target inventory I*(t) = 2 x D(t-1)
• production level P(t) = I*(t) - I(t) + D(t-1)
• = 3 x D(t-1) - I(t)
Issues• amplifies variations in demand
• large fluctuations in production
• extra inventory w/ slight demand variations
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ME 101: High Mix/Low Volume Manufacturing
Forecasts need to reflect variability in demand data.
Caution: data not always normally distributed (why?)
Demand
Frequency
+-
Averagedemand
- 3 + 3
confidence interval ( 3)
Variability in Demand
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ME 101: High Mix/Low Volume Manufacturing
Demand Data
• typically look at:• shipments
• past customer orders• is this the same as demand?
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ME 101: High Mix/Low Volume Manufacturing
Demand Data
• Issues• orders never delivered
• extra orders “booked” at end of quarter • over/under ordering• special advertising campaigns• lost sales due to missed delivery
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ME 101: High Mix/Low Volume Manufacturing
Short term forecasting
constant demand model
demand in period t (D t ) =
• mean expected demand
• + “random error” term t (0, 2)
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ME 101: High Mix/Low Volume Manufacturing Lecture 7
demand in period t estimated as constant mean + “random error” term: D t = + t
Time (t)
1
1 2 3 10
Constant mean demand
1
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ME 101: High Mix/Low Volume Manufacturing
Simple exponential smoothing
use weighted average of all past data
weight so importance of older data
decays• is weighting factor
proportion of weight for most recent data
estimate S t
(for future periods givendata through period t):• S t = D t + (1 - )S t-1 (text eqn 3.3)
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ME 101: High Mix/Low Volume Manufacturing
Simple exponential smoothing
S t = D t + (1 - )S t-1 S t = D t + (1 - )[D t-1 + (1- ) S t-2]
S
t = D
t + (1 - )D
t-1+ (1- )2 [D
t-2 + (1 - )S
t-3]
S t = D t + (1 - )D t-1 + (1- )2D t-2 + (1 - )3[ D t-3+(1 - ) S t-4]
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ME 101: High Mix/Low Volume Manufacturing
Simple exponential smoothing
S t = D t + (1 - )S t-1 S t = D t + (1 - )[D t-1 + (1- ) S t-2]
S
t = D
t + (1 - )D
t-1+ (1- )2 [D
t-2 + (1 - )S
t-3]
S t = D t + (1 - )D t-1 + (1- )2D t-2 + (1 - )3[ D t-3+(1 - ) S t-4]
… S
t (1 )
k
k 0
Dt k