1. © 2004 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 15-1 Operations Management Short-Term Scheduling Chapter 15

2. © 2004 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 15-2 Planning / Scheduling Relationships Capacity Planning 1. Facility size 2. Equipment procurement Aggregate Planning 1. Facility utilization 2. Personnel needs 3. Subcontracting Master Schedule 1. MRP 2. Disaggregation of master plan Short-term Scheduling 1. Work center loading 2. Job sequencing Long-term Intermediate-term Short-term Intermediate-term

3. © 2004 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 15-3  Mount Sinai Hospital  Operating room use  Patient admissions  Nursing, security, maintenance staffs  Outpatient treatments  Delta Airlines  Aircraft maintenance  Departure timetables  Flight crews, catering, gate, and ticketing personnel Short-Term Scheduling Examples

4. © 2004 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 15-4 Strategic Importance of Short-Term Scheduling  By scheduling effectively, companies use assets more effectively and create greater capacity per dollar invested lower cost  This added capacity and related flexibility provides faster delivery better customer service  Good scheduling and increased flexibility are competitive advantages dependable delivery

5. © 2004 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 15-5 Scheduling Criteria  Minimize completion time  Maximize utilization (make effective use of personnel and equipment)  Minimize WIP inventory  Minimize customer wait time

6. © 2004 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 15-6 Requirements for Scheduling Process-Focused Work Centers  Schedule incoming orders without violating capacity constraints of individual work centers  Check availability of tools and materials before releasing an order to a department  Establish due dates for each job and check progress against need dates and order lead times  Check work-in-progress as jobs move through the shop  Provide feedback on plant and production activities  Provide work-efficiency statistics and monitor operator times for payroll and labor distribution analyses

7. © 2004 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 15-7 Priority Rules for Dispatching Jobs First come, first served The first job to arrive at a work center is processed first Earliest due date The job with the earliest due date is processed first Shortest processing time The job with the shortest processing time is processed first Longest processing time The job with the longest processing time is processed first Critical ratio The ratio of time remaining to required work time remaining is calculated, and jobs are scheduled in order of increasing ratio. FCFS EDD SPT LPT CR

8. © 2004 by Prentice Hall, Inc., Upper Saddle River, N.J. 07458 15-8 Scheduling for Services  Appointment systems – doctor’s office  Reservations systems – restaurant, car rental  First come, first served – deli  Most critical first – hospital trauma room