Production Management

1. Production Management

2. Integrated Production Management • Procurement of materials • Movement of material • Training and deploying of workforces • Implementing the procedure • Packaging the material • Monitoring and controlling the materials

3. Production management and control

4. Production Planning

5. Production Control

6. Productivity P=output/input Labor productivity= number of products produced per hour • Capital Productivity Outsourcing Strategy Method Improvement Balancing of workstation Quality Circles Rationalization of packaging method • Time and Motion Study A method of finding the best way of performing the best task by breaking the tasks into small steps and measuring the time taken to perform each step.

7. Methods improvement • Balancing the workstation • Maintain the assembly line as per rout and schedule. • Quality of Circle • A composition of a small group of employees who genially care about others, and who preferably does similar works, that is-  • Meeting voluntarily with a leader on a regular basis • Identifying the problems • Analyze the cause recommending their solution to the management • Implementing solution, wherever possible

8. Rationalization of packaging methods • Packaging should be as per system requirement because movement inside the premises from one location to another location is being done with automated system. • Advanced methodology • Material handling • Scheduling • Just in time • Packaging • Logistic

9. Computer Aided Design • An electronic system for designing new parts or products or altering existing one, replacing drafting traditionally done by hand.  • Computer Integrated Manufacturing • Automated flow of material • Automated flow of technological material • Automated flow of management information

10. Split case Order Fulfillment Method and Mechanization • Appears when bulk supplies in full case to one or more destination are not done. • Strategies adopted in split-case order fulfillment • Order packing methods • Sorting and routing • Classification scheme • Choice of optimal fulfillment strategies

11. Order picking methods • Item as per customer requirements should be picked and packaged in a logical manner and assigned to personnel so that their productivity is maximized • Order is ensure by two factors • Order Extent • Coverage Extent

12. Sorting and Routing • Sorting is the process of keeping orders as per demands. • Routing is the process of assigning the rout as per zone • Order packing methods • Pack immediate • Assembly and pack • Classification of Scheme • DZA- • Discrete Order Picking or Batch Order Picking • Zone Picking or Tour Picking • Pack immediate or Assembly and Pack

13. Choice of optimal fulfillment Strategies • Wholesale Distribution • Retail Distribution • Direct Marketing • Consumer Distribution

14. Communication of picking directive • Report Customer‘s order in either printed form generated by customer end or converted by marketing department in to pick list or packaging slip. • Labels Used to direct order pick location Bar coded for item sorting and order verification • Radio frequency terminal Used in combination with bar coded shipping label • Display lights Computer activated light Direct order selectors to item and location to pick order - and batch requirement

15. Mechanization Costs- for assembly and packing • Tote sorting • Containing the picked merchandise area are moved from selected zone, are received for sorting. • Item sorting • Receives the totes with picked merchandise and transported to various induction station where individual items are removed.

16. Operation management • Operation Management is the systematic design, direction, and control of the process that transform inputs in to output. • Components of Operation management • Plants • People • Parts • Process • Planning and control

17. Operation strategies • Corporate strategy • Environmental Scanning • Core competency • Global Strategies • Core process

18. Market Analysis • Market Segmentation • Need assessment • Competitive priorities • Cost • Quality • Time • Flexibility

19. Competitive Capabilities • Current • Needed • Planned • New service/ product design • Design Analysis • Development • Full Launch

20. Functional Area Strategies • Finance • Marketing • Operation • Strategic Management Process • Establishment the hierarchy of strategic intent • Formulation of strategies • Implementation of policy • Strategy evaluation and control

21. Strategic Decision Making

22. Differentiation Strategy • A process of differentiating itself from its competitors • Tools for Implementation of Operations • Material • Person who needed invoice • Price to be paid • Supplier • Insurance • Quantity • Tax

23. Pragmatic Benchmarking • A method of measuring a company’s process, methods and procedures. • Process of benchmarking • Planning • Analysis • Integration • Actions • 5W2H Method- • What, Why, Where, When, Who, How and How much.

24. Thanks

25. BCG (Boston Consulting Group)

27. PRODUCTION TECHNIQUES Production techniques It encompasses the work system, design of work system and the process of planning and production control techniques.

28. Work System Define and consolidate the process of manufacture. It focuses on the following fields. • Deploying existing resource • Reinforcing them with new equipments • Identifying new vendors • Updating their technology • Resolving quality problem • Identifying bottlenecks in the flow of material and information

29. Automated production system It is based on following criteria • Output of the product- Weather they are goods or services • Specification of the product-standard or customized • The flow pattern-weather it is batch production, assembly or continuous

30. Phases of production system • Procurement • Manufacture • Distribution • Customer care • Acquisition • Utilization of fund

31. Automation • Automation is the use of scientific and technological principles in the manufacturing of machines that take over work normally done by humans. • Example- • Education – distance learning program • Banking sector-ATM

32. Kind of automation • Fixed • Designed for high volume production • They are not amenable to change in product or process • Example- Oil refineries Chemical processing unit

33. Programmable • Programming device enables machine to operate automatically • Machines have sensing and control device that enable this. • Numerically controlled machines read instruction and convert them to machine operations. • Flexible • Robots perform a variety of tasks. They are designed to move materials by holding them in their arms and making precise movements according to program written on computer that reside in them. • ASRS- Automated Storage and Retrieval Systems • AGVS-Automated Guiding Vehicle System

34. Automated Flow Line • Linked machines by transfer system for the purpose of moving material from one end to other end • Automated assembly line • All equipments needed to make a finished product are laid out in such a way as to follow the sequence in which the parts or sub assemblies are put together and fitted.

35. Product Layout • Product layouts are designed so that the assembly tasks are performed in the sequence they are designed. • Flexible Manufacturing System • It consists of production machines, material handling, transferring machines, and a computer system. • Prototype • Prototyping is a process by which a new product is developed in small numbers. Prototyping is helpful to • Determining the suitability of the materials • Study the various methods of manufacture • Determining type of machine required • Develop techniques to overcome problems that may be encountered when full scale manufacturing is undertaken

36. Facility Management Facility management- • Facility management is the process of planning and management of the plant location and layout. • It is a strategic level decision. Plant location and layout is based on long run forecasting.

37. Plant layout- • Layout means the positioning of various equipment, machineries, and department facilities so as to maximize productivity and valuable space utilization. • Facility planning process- • Planning the location of the plant. • Planning the manufacturing facility layout.

38. Factor influencing plant location- General factor- • Availability of land • Availability of inputs • Closeness of market place • Communication facilities • Infrastructure • Transport • Government support Special factors- • Economic stability • Cultural factors • Wages • Joint ventures

39. Rating methods • Rating plan method • Factor rating method • Point rating method • Break even analysis • Centre of gravity method Rating planning method- • Here, the various factors for locating a plant are given ratings depending upon the perception of the management. The locations which get the maximum rating, considering all the factors, is chosen for locating the plant.

40. Factor Rating Methods- • Here, each of the factors for location is rated and the rating of the competitive location is rated and the rating of the competitive location is considered, then, the product of the rating are added and the location which gets the maximum product of rating is selected. Point Rating Methods- • Here, we apportion a fraction of a suitability selected total rating and see how many points we can allocate to the locations under consideration. You should compare the total ratings and decide the performance.

41. Break-even analysis- Here, we consider three major contributors- • Investments made for land, plant and machinery • Recurring expense • Variable Cost Centre of gravity methods- This method is used when: • Transport costs, either for distribution of products or collection of materials from different suppliers, is the main criteria. • Production rate is high. • The volume and weights of material that have to be move are huge. • Time taken, either to receive material from suppliers or delivery to customer, is critical.

42. Product Layout- • Called production lines or assembly lines • Are designed and laid out in such a way that only a few products are capable of being manufactured or assembled. • Using some special machines to perform specific operation to produce only one product at one time. Precaution to be taken- • Constant check on the process needs to be performed so that quality is assured. • Corrective measures have to be implemented immediately to avoid rejection, since, the quantities that get manufactured will be continuous. • Check for the behavioral attitude of the workers.

43. Just in time Philosophy- • JIT focuses on balancing the system, consider the following as wastes: • Transportation • Products defects • Over production • Waiting time • Inefficient works method • Inventory • Unnecessary movements

44. Work centre- • A production facility comprising of one or more machines or one or more workmen considered as a single unit for the purpose of estimation of capacity. Location should fulfill the following conditions- • Minimize the flow of materials • Meet technological sequence • Avoid repetitive movements • Avoid cost and time factor

45. Total Quality Management Introduction – • Quality is an important part of any product or services. Right quantity at the right time is not only the matter for the customer but also the right quality is required.

46. Factors improving the quality of the product: • Identify the defects • Efficiency • Innovation • Certification Dimension of a Quality- • Quality of a design • Conformance to design • Utilization condition • After sales services

47. Quality control- • Design • Process Quality control Techniques- • Flow Chart • Check sheet • Pareto analysis helps to identify the top 20% of causes that needs to be addressed to resolve the 80% of the problems. • Control chart • Cause and effect diagram

48. Accepting Sampling- • Here, the supplier and the customer agree upon accepting a lot, by inspecting a small number taken randomly by bulk supply. Out of sample, if a small number is determined and accepted by both party as defective, the lot is accepted.

49. Total Quality Management- The following steps are taken to achieve the total quality. • Take all measure to know what the customer want • Convert the wants into design specification • Design process so that they facilitate doing the right job at the right time • Keep records of all occurrence, procedure followed and consequence

50. Four step approach to ensure a powerful journey of TQM-