Operations Operations ManagementManagement

Process Strategy andProcess Strategy and Capacity Planning Capacity Planning

Tintu ThomasFm-501

PROCESS PLANNINGPROCESS PLANNING

A production process is a series of manufacturing operations performed at work stations to achieve the design specifications of planned output

Process planning is concerned with planning the transformation processes needed to convert the raw-materials into finished products.

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Process planning consists of two parts namely:

OPERATION DESIGN PROCESS DESIGN

Both stages provide information on process which will be required to effectively utilize existing equipment and machinery and to determine what new equipment and machinery would be required.

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PROCESS DESIGN•It is concerned with the overall sequences of operationsrequired to achieve the product specifications. •It specifies the type of work stations that are to be used,the machines and equipments necessary, to determine what new equipment should be used etc.

The sequences of operations in the manufacturing process are determined by

1. Nature of the product2. Materials used3. Quantities being produced4. Existing layout of the plant 3

STEPS IN PROCESS PLANNING1.Analyze the print to get an overall picture of what is wanted.

2.Make recommendations to or consult with product engineers on product design changes.

3.List the basic operations required to produce the part to the drawing or specification

4.Determine the best way to combine the operations and put them in sequence

5.Specify the gauging required for the process4

Production Process Flow DiagramProduction Process Flow Diagram

Shipping

Customer

Customer sales representative

take order

Prepress Department(Prepare printing plates

and negatives)

Printing Department

Collating Department

Gluing, binding, stapling, labeling

Polywrap Department

Purchasing(order inks, paper,

other supplies)

Vendors

Receiving

Warehousing(ink, paper, etc.)

Accounting

Information flowMaterial flow

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Types of Process StrategiesTypes of Process Strategies

ContinuumContinuum

Process strategies follow a continuum Within a given facility, several strategies may be

used These strategies are often classified as:

Repetitive-Focused

Product-FocusedProcess-Focused

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Process-Focused StrategyProcess-Focused Strategy

Facilities are organized by process. Similar processes are together. Low volume, high variety products. ‘Jumbled’ flow.

OperationProduct A

Product B

1111 2222 3333Other names Intermittent process Job shop

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Process-Focused Strategy ExamplesProcess-Focused Strategy Examples

Bank

© 1995 Corel Corp.

Machine Shop© 1995 Corel Corp.

Hospital© 1995 Corel Corp.

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Process Focused Strategy -Process Focused Strategy - Pros & Cons Pros & Cons

Advantages Greater product flexibility More general purpose equipment Lower initial capital investment

Disadvantages More highly trained personnel More difficult production planning & control Low equipment utilization (5% to 25%)

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Repetitive Focused StrategyRepetitive Focused Strategy

Facilities often organized by assembly lines Characterized by modules

Parts & assemblies made previously

Modules combined for many output options Other names

Assembly line Production line

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Repetitive Focused Strategy -Repetitive Focused Strategy -ConsiderationsConsiderations

More structured than process-focused, but less structured than product focused

Using modules, it enjoys economic advantage of continuous process, and custom advantage of low-volume, high-variety model.

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Repetitive-Focused Strategy - Repetitive-Focused Strategy - ExamplesExamples

Truck

© 1995 Corel Corp.

Clothes Dryer

© 1995 Corel Corp.

Fast Food

McDonald’sover 95 billion served

McDonald’sover 95 billion served

© 1984-1994 T/Maker Co.

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Product-Focused StrategyProduct-Focused Strategy

Facilities are organized by product High volume, low variety products Part of:

Discrete unit manufacturing Continuous process manufacturing

Operation

Products A & B

11 22 33

Also known as Line flow production Continuous production

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Product-Focused StrategyProduct-Focused Strategy Pros & Cons Pros & Cons

Advantages Lower variable cost per unit Lower but more specialized labor skills Easier production planning and control Higher equipment utilization (70% to 90%)

Disadvantages Lower product flexibility More specialized equipment Usually higher capital investment

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Product-Focused ExamplesProduct-Focused Examples

© 1995 Corel Corp.

Light Bulbs (Discrete)

Paper (Continuous)© 1984-1994 T/Maker Co.

© 1995 Corel Corp.

Soft Drinks (Continuous, then Discrete)

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PROCESS FOCUS REPETITIVE FOCUS PRODUCT FOCUS

Small quantity

And large variety

Long runs,

usually standardized Product: Largequantities, small

variety

General purpose Special assembly line; Special-purpose

Operators broadly

skilled

Employees modestly

trained

Operators less

broadly skilled

Many job instruction Repetitive operations Few work orders and job instruction and standardization

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BASIS

Product

Equipment

Skills

Work flow

Tools for Process DesignTools for Process Design

Flow Diagrams Process Charts Time-Function/Process Mapping Service Blueprinting

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Time Function MapTime Function Map

Customer

Sales

Production control

Plant A

Warehouse

Plant B

Transport

Order Product

Process Order

Print

Extrude

Receive product

Wait

Move

Wait Wait Wait

Move

Ord

er

Ord

er

WIP

WIP

WIP W

IP

Prod

uct

Prod

uct

Prod

uct

12 days 1 day 1 day 1 day 1 day13 days 4 days 10 days 9 days

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Process ReengineeringProcess Reengineering The fundamental rethinking and radical redesign of

business processes to bring about dramatic improvements in performance and requires reexamination of the basic process and its objectives.

Focuses on activities that cross boundaries.

The process engineer should therefore: Determine the method of manufacturing a product Establish the sequence and the type of operations involved Select the tools and equipments required and Analyze how the manufacturing of the product will fit into

the facilities20

Operations Design

It is concerned with the design of the individual manufacturing operation. It consists of examining the man mixing relationship in the manufacturing process for converting the raw materials into the finished products or semi finished products.Operation design must specify how much of man and machine time is required for each unit production.

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Thank You!!