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UCL ESPO/IAG/POMS PROD 2800 PRODUCTION AND OPERATIONS MANAGEMENT Gestion de la production et des opérations Per AGRELL Lecture 2Process.

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Presentation on theme: "UCL ESPO/IAG/POMS PROD 2800 PRODUCTION AND OPERATIONS MANAGEMENT Gestion de la production et des opérations Per AGRELL Lecture 2Process."— Presentation transcript:

1 UCL ESPO/IAG/POMS PROD 2800 PRODUCTION AND OPERATIONS MANAGEMENT Gestion de la production et des opérations Per AGRELL Lecture 2Process analysis UCL

2 PROD Outline Processes – Terminology – Definitions Flowcharting (PFA) Process improvement

3 PROD Process flow classification Project Jobbing Batch Line Continuous processing

4 PROD 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.

5 PROD Process choice Product Structure Process Structure Process focus Product focus Intermediate focus Job shop Batch process Line process Continouos process

6 PROD Implications of process choice 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

7 PROD Process analysis PROCESS Resources (Inputs) Products (Outputs) Control

8 PROD Process flowcharting Abstraction of process interdependencies Uniform process terminology Methodology to analyze – Tasks/operations – Flows – Storages/inventories – Decision making

9 PROD PFA symbols Tasks or operations Decision Points Storage areas / queue Material flow

10 PROD Example 1 Exam passed? Yes No Drive on! Revise material Attend reexam

11 PROD Buffers Exam passed? Yes No Drive on! Revise material Attend reexam Buffer

12 PROD Parallel activities Drive to UCL Park car Wait Listen to radio

13 PROD Time concepts Wait Cycle timeThroughput time Run time Setup Operation 1 Operation 2 Operation 1 Operation time

14 PROD 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

15 PROD Productivity measures Productivity =Output Input Efficiency = Actual output Potential Output Utilization = Time Activated Time Available

16 PROD Process improvement Process choice Vertical integration Resource flexibility Flow time reduction

17 PROD Vertical integration

18 PROD 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

19 PROD Flow time reduction Parallel activities – On-line and off-line work Reorganizing sequences Reduction of non-value added work Outsourcing Process focus

20 PROD Summary Bottleneck WIP Buffer Throughput time


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