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UCL. PROD 2800 PRODUCTION AND OPERATIONS MANAGEMENT Gestion de la production et des opérations. Per AGRELL agrell@poms.ucl.ac.be Lecture 2 Process analysis. Outline. Processes Terminology Definitions Flowcharting (PFA) Process improvement. Process flow classification. Project Jobbing
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UCL PROD 2800PRODUCTION AND OPERATIONS MANAGEMENTGestion de la production et des opérations Per AGRELL agrell@poms.ucl.ac.be Lecture 2 Process analysis
Outline • Processes • Terminology • Definitions • Flowcharting (PFA) • Process improvement PROD 2800
Process flow classification • Project • Jobbing • Batch • Line • Continuous processing PROD 2800
Production order regimes • Design to order (DTO) • Specific design and manufacture for all customers • Engineer to order (ETO) • Changes to standard products are offered and produced • Make to order (MTO) • Production of standard product on receipt of order/call-off • Assemble to order (ATO) • Components MTS. Assembly made on receipt of order. • Make to stock (MTS) • Production to forecast. Order met from inventory. PROD 2800
Process choice Process Structure Process focus Job shop Intermediate focus Batch process Product focus Line process Continouos process Product Structure PROD 2800
Products and Markets Type of product Product range Customer order size Rate of product introductions Order winners? Order qualifiers? Manufacturing Nature of process technology Focus Investment and Cost Level of capital investment Level of inventory Level of WIP Cost drivers Infrastructure Organizational control Organizational style Required support expertise Implications of process choice PROD 2800
Process analysis Control PROCESS PROCESS Resources (Inputs) Products (Outputs) PROD 2800
Process flowcharting • Abstraction of process interdependencies • Uniform process terminology • Methodology to analyze • Tasks/operations • Flows • Storages/inventories • Decision making PROD 2800
PFA symbols Tasks or operations Storage areas / queue Decision Points Material flow PROD 2800
Example 1 Exam passed? Revise material Attend reexam No Yes Drive on! PROD 2800
Drive on! Buffers Yes Exam passed? Revise material Buffer Attend reexam No PROD 2800
Parallel activities Listen to radio Drive to UCL Wait Park car PROD 2800
Throughput time Cycle time Time concepts Operation 2 Operation 1 Operation 1 Setup Wait Run time Operation time PROD 2800
Performance measures • Cycle time = Ave. time between completion of units • Throughput time = Ave. time in process per unit • Throughput rate = 1 . Cycle time • Velocity = Throughput time Value-added time PROD 2800
Productivity measures • Productivity = Output • Input • Efficiency = Actual output Potential Output • Utilization = Time Activated Time Available PROD 2800
Process improvement • Process choice • Vertical integration • Resource flexibility • Flow time reduction PROD 2800
Vertical integration PROD 2800
Resource flexibility • Workforce flexibility • Training, certification • Buffer against uncertainty • Capacity • Job satisfaction • Equipment flexibility • Fixed automation • High demand volume, stable market, long PLC • Flexible automation • Quick setups, FMS PROD 2800
Flow time reduction • Parallel activities • On-line and off-line work • Reorganizing sequences • Reduction of non-value added work • Outsourcing • Process focus PROD 2800
Summary Buffer WIP Bottleneck Throughput time PROD 2800