Process

1
Process

• Introduction.
• Types of Processes.
• Process Strategy in the industry.
• Factors affecting Process Design.
• Tools

2
Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

3
Introduction

• The information generated during the product
  design phase specifies how the product must be,
  but not how to organize the production process to
  make it (equipment, labor skills required, etc.).
• Process Design specifies how the activities that
  Operations must carry out should be developed
• Guiding the election and selection of
  technologies.
• Clarifying the quantity and type of resources to
  be acquired, when to be acquire and their
  availability.
• Process design and redesign is intimately related
  to Product Design
• Concurrent or Simultaneous Engineering.

4
Process Selection and System Design
5
Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

6
The process-focused Project Shop

• Characteristics
• Unique products with certain complexity (boats,
  aircrafts, trains, motorways)
• The production process is managed like a project
• Makes a one-of-a-kind product (volume 1)
• Uses general purpose equipment
• Has informal relationships with many vendors
• Very little vertical integration
• Flexible layout often with factors of production
  moving to job

7
The Job Shop

• A process structure suited for low volume
  production of a great variety of non-standard
  products (highly customized products).
• Custom or workshop Low specialized operations
  carried out by the same worker or group of
  workers that follow up the whole process for the
  order.
• Batch More specialized operations carried out by
  different workers or group of workers (need for
  more specialization and standardization).
• Characteristics
• Makes many products in small volume
• Uses general purpose equipment, grouped by the
  same function in Work Centres
• Has informal relationships with vendors
• Very little vertical integration
• Departmentalized layout with chaotic flow

8
The Large Batch (Cell, Flow Shop or Hybrid Shop)

• A process structure that produces a variety of
  standard products at relatively low volumes. This
  variety of standard products has a similar
  sequence of operations
• The equipment is laid out in line, instead of
  grouped by the same function.
• After completing one batch, equipment adjustments
  for the next one are made and the next batch
  produced.
• Characteristics
• Makes several families of products in moderate
  volume
• Uses general purpose equipment often customized
• Little vertical integration
• Similar product follows the same path, produced
  in batches to reduce the impact of setup time.
• Hybrid layout with flow lines

9
Assembly Line

• A process structure designed to make discrete
  parts. Parts are moved through a set of specially
  designed workstations at a controlled rate.
• Characteristics
• Makes few products in large volume
• Uses specialized high-volume equipment
• Has formal relationships with vendors
• May use vertical integration
• Product-based layout with linear flow

10
Continuous Flow

• An often automated structure that converts raw
  materials into finished products in one
  continuous process.
• Same operations are made in the same equipment to
  make the same product, reducing waiting time.
• Objectives
• Improvement of material flow and operations.
• Workers specialization
• Increasing speed and added value.

11
Types of Processes

• Flexibility and Costs
• By Projects
• Job Shop
• Flow Shop
• Assembly Line
• Continuous

-

Flexibility
Fixed Cost
Variable Cost
Unit Cost
-

12
Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

13
Process Strategy in the industry

• Manufacturing Process Life Cycle
• Processes go through different phases as products
  do.
• Interdependency between Product and Process Life
  Cycles
• Process Life Cycle Affects manufacturing costs,
  quality and production volumes, which affects
  sales volumes.
• Product Life Cycle Influences the type of
  manufacturing process that can be economically
  and financially justified.

14
Process Strategy in the industry
These are the major stages of product and
process life cycles

• Product-Process Matrix

High Volume, High Standard- ization
Few Major Products, Higher Volume
Low Volume, One of a Kind
Multiple Products, Low Volume
I. Job Shop
Commercial Printer French Restaurant
Flexibility (High) Unit Cost (High)
II. Batch
Heavy Equipment
III. Assembly Line
Automobile Assembly Burger King
IV. Continuous Flow
Flexibility (Low) Unit Cost (Low)
Sugar Refinery
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Process Strategy in the industry

• The Product-Process matrix and the Competitive
  Advantage
• The Product-Process matrix helps companies define
  where their competencies are, concentrating their
  attention in a limited group of decisions and
  process alternatives, as well as a limited group
  of Marketing options.
• When the company considers at the same time
  products and processes, it can increase its
  probability of success.
• Place in the matrix and Competitive priorities
• Organization of the Operations and the
  Product-Process matrix

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Process Strategy in the industry

• The Product-Process matrix and the Competitive
  Advantage
• Place in the matrix and Competitive priorities
• Operations Management priorities change as the
  Product-Process combinations change.
• I.e.- Flexibility vs. Standardization
• Each company has to take into account its
  traditional focus when positioning in the matrix
• Market oriented Flexibility and Quality.
• Manufacturing oriented Costs and Process
  Leadership.
• Organization of the Operations and the
  Product-Process matrix

18
Process Strategy in the industry

• The Product-Process matrix and the Competitive
  Advantage
• Place in the matrix and Competitive priorities
• Organization of the Operations and the
  Product-Process matrix
• Paying attention to the process that makes the
  company more competitive, the company will be
  able to manage the development of the operations
  involved per line of products.
• The knowledge about how the different positions
  in the matrix affect manufacturing will lead the
  company to suggest changes in Operations
  Management.
• Companies that compete with several products in
  different markets will probably have their
  products in different stages of the life cycle
• Companies should separate and organize their
  processes in different areas focalized in the
  different life cycles.

19
Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

20
Process Selection and System Design
21
Factors affecting Process Design

• Capital Investment
• Flexibility
• Vertical Integration / Outsourcing
• Nature of Demand
• Quality of the product or service
• Customer participation
• The Learning effect
• Financial Planning and Evaluation

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Factors affecting Process Design

• Capital Investment
• Combination of equipment and human resources at
  the manufacturing process.
• The new manufacturing technologies provide a wide
  variety of available options
• As the mechanical and/or automated operations
  increase, more capital is required.
• Most of the available options require a high
  capital investment, which create a high risk in
  case our sales volumes (and therefore our
  production volumes) are lower than the expected.

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Factors affecting Process Design

• Flexibility
• A production process is more flexible when their
  equipment and human resources are able to manage
  a wider variety of products, outputs,
  responsibilities and functions, at a reasonable
  cost and time frame.
• Capital vs. Flexibility

Flexibility
New technologies
Traditional technologies
Capital
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Factors affecting Process Design

• Flexibility
• Flexibility affects the type of human resources
  required and their job stability
• More training is required.
• Job stability is more variable for companies
  working by projects or job shop type of process.
• Flexibility is one of the best ways to get a
  reliable customer service and reduces bottle
  necks.

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Factors affecting Process Design

• Vertical Integration/Outsourcing
• The degree of vertical integration is related to
  the number of processes at the supply chain that
  are carried out by the own company.
• The vertical integration can generate savings
  when the company has the necessary skills to
  carry out some processes at a lower cost and
  better quality.
• If the resources acquired are basic, the company
  may loose competitiveness with non-vertical
  integration.
• Outsourcing is interesting when a resource
  consumption is low, and its efficient management
  has a certain economy of scale.
• Outsourcing is used as well when the technology
  to be used is so complex that being competitive
  requires a big effort not balanced with the
  benefits obtained.

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Factors affecting Process Design

• Nature of the demand
• Manufacturing processes have to have the
  necessary capacity to support the demand of
  products and services that the company is going
  to offer.
• Seasonality, tendency and other characteristics
  of the demand are going to affect the capacity
  required over the time.
• Some processes are able to expand and contract
  more easily than others.
• The final selection of processes will be affected
  by the estimated demand.
• Price
• If its high, consumers will tend to buy less and
  vice versa.
• To fix the price, the company has to take into
  account factors like advertising costs, sales
  force, financial conditions, services provided to
  the customer, specific designs, inventory and
  delivery policy, quality, etc., at the same time
  than the costs related to manufacturing.
• It should be coordination between product price
  and process selection, due to the competitive
  advantages provided by the different types of
  processes

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Factors affecting Process Design

• Quality of the product or service
• Quality is a competitive advantage in the current
  business environment.
• The level of quality to be offered will affect
  directly the selection of the production process.
• The level required is directly related to the
  level of automation of the process, since the
  automatic equipment manufactures products with a
  high and consistent uniformity.
• Customer participation
• Services that require higher contact with the
  customer generally need less capital investment
  and have more flexibility.
• Customer presence normally affects the process
  efficiency in a negative way, which increases
  cost.

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Factors affecting Process Design

• The Learning effect
• The working hours required per unit of product
  represent a decreasing function of the number of
  cumulative production units.
• This reduction of working hours (and therefore
  cost) are based on the gain of experience in
  design of products and services, automation and
  capital investment, as well as changes in methods
  and experience of the working force.
• Companies competing in price try to have high
  manufacturing volumes to take advantage of the
  learning effect, and therefore have a lower cost.

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Factors affecting Process Design

• Financial Planning and Evaluation
• Operation managers are continuously looking for
  new and different ways of producing that
• Increase productivity.
• Follow the Operations Strategy.
• Provide sufficient profit to justify the capital
  investment required.
• Each type of process has different capital
  requirements, thus limiting the companys
  possibilities of process selection in case of
  limited financial resources.

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Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

31
Tools and Concepts

• Simplify/Mechanize/Automate/Integrate
• SMED
• CAD/CAM
• Statistical Process Control
• Bottlenecks

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How much is the profit?

• A company manufactures 2 products P Q. Sale
  price of P is 90 and Q price is 100 /unit.
  Weekly Demand is 100 units for P and 50 units for
  Q.
• Both products require the same PC component, the
  raw material of which worths 20 /unit. To
  transform PC 15 minutes of a given resource B are
  required and 5 minutes of a given resource C.
• Product P also requires Component 1 (C1) that
  should be transformed from a raw material that
  cost 20 /unit, and it requires 15 minutes of a
  given resource A and 10 minutes of C.
• To assembly PC with C1 a new component C3 is
  required with a cost of 5 /unit and 5 minutes of
  the D resource.
• Product Q follows a very similar process. To
  manufacture C2 raw material with a cost of 20
  /unit is needed, and it is processed using 20
  minutes of A and 15 minutes of B. Then resource D
  assembles PC with C2 during 5 minutes.
• Each week has 5 days of 4 hours. Total cost are
  3600 /week.

33
Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

34
Work Measurement and Standards

• The Purpose of Work Measurement is to set time
  standards for a job. Such standards are necessary
  for 4 reasons
• To schedule work and allocate capacity.
• To provide an objective basis for motivating the
  workforce.
• To bid for new contracts and to evaluate
  performance on existing ones.
• To provide benchmarks for improvement.
• Methods
• Time Study (stop watch)
• Work Sampling (observing a sample)
• Predetermined times
• Elementary standard data
• Reference points.
• Reference Book (B.W. Niebel, Motion and Time
  Study)

35
Time Study

• A time study is generally made with a stopwatch,
  either on the spot or by analyzing a videotape
  for the job.
• The job or task to be studied is separated into
  measurable parts and then timed individually.
• Some general rules
• Define each work element to be short in duration
  but long enough to be timed and the time can be
  written
• Separate activities related with machine from the
  rest.
• Define any delays or acyclic activities.
• After a number of repetitions, collection times
  are averaged.
• Normal Time Observed Performance Time x
  Performance Rating
• Standard Time NT x (1 Allowances)

36
Work Sampling

• Three primary applications
• Determine the activity-time percentage for
  personnel or equipment.
• Performance measurement to develop a performance
  index for workers.
• Evaluate time standards to obtain the standard
  time for a task.
• Five Steps
• Identify the specific activities that are the
  main purpose for the study.
• Estimate the proportion of time of activity of
  interest of the total time.
• State the desired accuracy in the study results.
• Determine the specific times when each
  observation is to be made.
• At two or three intervals during the study period
  recompute the required sample size by using the
  data collected thus far.

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Predetermined Motion Times (MTM, MODAPTS, )
Put
Get


N

X

F

GE

8

13

16

GD

17

20

25

Move with Weight (5 UMT)
Coger funda GDF 25 Coger "tinta" GDF 25 Poner
"tinta en funda" PDN 19 Coger y Poner GENPEN
58 Aplicar Presión 14 Coger caperuzón GDF
25 Reajustar tras coger 6 Poner caperuzón PDN
19 Aplicar Presión 14 Dejar bolígrafo PEF 14
Grasp (6 UMT)
Apply Presure (14 UMT)
Eye Movement (7 UMT)
Step (18 UMT)
Bend Down (29 UMT)
Stand up (32 UMT)
6.3 seconds
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Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

39
Documents

• Flowchart.A flowchart is a graphical
  representation of a process, depicting inputs,
  outputs and units of activity. It represents the
  entire process at a high or detailed (depending
  on your use) level of observation, allowing
  analysis and optimization of workflow.It can
  serve as an instruction manual.
• Assembly Drawing An exploded drawing containing
  a set of number parts combined to make a complet
  product.
• Value Stream Map Value stream mapping is a paper
  and pencil tool that helps you to see and
  understand the flow of material and information
  as a product or service makes its way through the
  value stream.

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Process Documentation using Flowcharts

• Shampoo directions
• Lather
• Rinse
• Repeat

Example Any problems with the following
set of directions?
Basic flowchart symbols
Begin or end
Information input
Operation
Information output
Question yes/no?
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Process Flow Diagram (PFD) A process flow
diagram is a mapping of the specific processes
that raw materials, parts, and subassemblies
follow as they move through a plant. Builds on
the concept of flowcharting.

• A more constrained version of the operation
  symbol used in flowcharting
• Requires a resource
• Resource has a capacity constrain
• Adds value

Activity

• Flow
• Arrow indicates the flow of jobs
• Multiple flow units (types of jobs) possible

Buffer

• Buffer or inventory location
• Normally does not have a capacity
• Multiple units possible

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Flow Diagrams
44
Single Object Process Chart
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Assembly Process Chart

• Assembly charts
• Disassembly charts

46
Action Decision Flow Diagram
47
Multi Activity Charts
48
Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

49
Job Design (I)

• Job design is the function of specifying the work
  activities of an indidividual or a group in an
  organizational setting.
• The objective is to develop job structures that
  meet the requirements of the organization and its
  technology and that satisfy the job holders
  personal and individual requirements.
• Trends of Job Design Decisions
• Quality control as part of the workers job
• Cross training workers to perform multiskilled
  jobs
• Employee involvement and team approaches to
  designing and organizing work
• Informating ordinary workers through internet,
  email
• Extensive use of temporary workers
• Automation of heavy manual work
• Organizational commitment to providing meaningful
  and rewarding jobs for all employees.

50
Job Design (II)

• The improvement of the job methods leads to a
  higher level of specialization.
• A workplace with a high level of specialization
  covers a narrow set of tasks, high repetitive
  levels, and, hopefully, high efficiency and
  quality.
• Specialization produce benefits as quicker
  training and faster working rates.
• This way of working has also some disadvantages
  as worker demoralization, reduces flexibility and
  increases the work of upper levels of management.
• To avoid those disadvantages
• Wider jobs
• Job enlargement (horizontally expanded)
• Job enrichment (vertically expanded)
• Job Rotation
• Socio-Technical Systems
• Task variety
• Skill variety
• Feedback
• Task identity
• Task autonomy

51
Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

52
Line Balancing

• Introduction
• Line Balancing
• Mathematical Programming Model
• Heuristic Methods
• Yamazumi
• Duration of the Tasks Longer than Cycle Time
• Other Considerations.
• Mixed Model Assembly Line

53
Introduction

• The design of the line, constraints the
  alternatives when scheduling the activity of the
  line.
• A decision on the productive system (in the long
  term)
• Defines the allocation of facilities.
• Constrains the sequence (lines with mixed
  models).
• Constrains the production volumes (lines
  multi-model).

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Assembly line
Manufacturing
Made and bought inventory of components and
subassemblies
Final product inventory
Conveyor moving at
constant speed
Work
Work
Work
Station 1
Station 2
Station m
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Production Organization

single model line
batch model line
mixed model line
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Use of the Assembly line

• Advantages
• Performance increase due to the learning effect.
• Reduces the difficulty of the task.
• Increases the team work, avoiding isolations.
• Constant rate of work.
• Ongoing quality control.
• Disadvantages
• Alienation.
• Less flexibility.

57
Line Balancing. Definition.

• Line Balancing consists of assigning operations
  to the workstations of such form that the sum of
  their durations in each station is as similar as
  possible.
• With this procedure bottlenecks should be
  avoided, unproductive time will be reduced and
  the productivity of the line will increase.
• This implies that
• Each operation will be assigned to an one only
  and only one workstation.
• Relations and bounds between operations will be
  respected.
• Times of the stations will not exceed their cycle
  time.

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Objectives.

• Capacity
• Minimization of total idle time (maximization of
  the use of the line).
• Minimization  of product flow-time.
• Balance the levels of capacity used at the
  workstations.
• Cost
• Minimization  of the machinery costs, tools or
  idle equipment.
• Minimization  of the costs of materials or
  reworks.
• Minimization of the costs by adjustment and
  change.
• Organizational-social
• Job Enrichment
• Modifications at the Line balancing

59
General definitions.(I)

• Operation Smaller unit of work than cannot be
  divided without creating an unnecessary
  interference.
• Workstation Segment of the line where a set of
  operations is executed. Characterized by its
  surface, machinery or type of assigned work.
• Line Balancing Process to assign operations to
  workstations. It intends to assign personal or
  equipment of efficient way to obtain the
  performance maximum.
• Cycle time Amount of time between two
  consecutive products.
• Balance Efficiency It indeed represents the
  percentage of invested total time in making
  products.
• Station Pitch The distance of a product and the
  one that follows to him in the conveyor belt.

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General Definitions. (II)

• Bounds between operations.
• Precedence Relations.
• Imposed generally by technological constraints.
• Operation 'í' cannot be made if before the 'h'
  has not taken place
• In the case of linear configurations, this
  implicates that 'h' will have to be in the same
  station that 'i' or in a previous one, but never
  in a following one.

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General Definitions. (III)

• Positive Zoning.
• It is compulsory to locate an operation in the
  same station that another one.
• Operations that need the same tool
• Operations that need the same ability on the part
  of the worker
• Operations that need the same physical training
  conditions
• Negative Zoning or incompatibility.
• It is demanded that an operation is not in the
  same station that another one.
• Position of the unit in the line (Operations to
  be made at the right side
• are not compatible with those to be made at the
  left)
• Exigency of a high specialized workers
• Processes of painted sandpapering and of surfaces
  
• Allocation of varied activities to avoid
  monotony.
• Limit Zone.
• It is demanded that certain operations are
  assigned to stations previous or next to one
  given
• Fixed zone of material arrival.
• Zone of preparation or control.

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General Definitions. (IV)
VL/C

• Line Speed
• Productivity
• Operation Time in a station
• Minimum number of workstations

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General Definitions. (IV)

• Idle time of a station
• Total idle time of a station or delay
• Station saturation
• Efficiency
• Delay

64
Line Balancing

• Introduction
• Line Balancing
• Mathematical Programming Model
• Heuristic Methods
• Duration of the Tasks Longer than Cycle Time
• Other Considerations.
• Mixed Model Assembly Line

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Resolution Procedures for problem SALBP 1.

• Exact methods
• Mathematical Programming Models
• Exact algorithms of directed exploration and
  dynamic programming.
• Heuristic methods
• Constructive. Based on rules and strategies
• Heuristic of a single one happened.
• Simple
• Composed
• Heuristic with backward movement
• Approaches from exact algorithms
• Others

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Model of PLM of problem SALBP1.
Variables of allocation xij Binary variables
that they indicate if operation i is assigned to
station j. Variables of existence yj Binary
variables that they indicate if station j exists.
This existence comes imposed when not being able
to assign but operations to anyone of the
stations already defined.
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Heuristic procedures

• Although nonexact, some heuristic procedures
  provide solutions that can be considered
  acceptable.
• The known procedures of constructive type more
  are the bound ones to the duration of the task or
  the number of consequent.
• One of them chooses to assign to the open station
  the task with greater duration than still it fits
  in the station.
• The alternative procedure chooses to assign to
  the open station the task with greater number of
  consequent.

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Yamazumi
C Y C L E T I M e
5
9
6
3
4
10
12
8
2
11
7
1
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Objectives.

• Capacity
• Minimization of total the idle time (maximization
  of the use of the line).
• Minimization  of products flow-time in the line.
• Balance the levels of capacity use at the
  workstations.
• Cost
• Minimization  of the machinery costs, tools or
  idle equipment.
• Minimization  of the costs of materials or
  reworks.
• Minimization of the costs by adjustment and
  change.
• Organizational-social
• Job Enrichment
• Modifications in the Line balancing

70
Line Balancing

• Introduction
• Line Balancing
• Mathematical Programming Model
• Heuristic Methods
• Yamazumi
• Duration of the Tasks Longer than Cycle Time
• Other Considerations.
• Mixed Model Assembly Line

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A real Example
72
Yamazumi Graphics Example
73
Yamazumi Graphics Example
74
Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

75
Measuring Process Performance

• Productivity Ratio of Output to Input
• Effiency Ratio of Actual output to some
  standard.
• Utilization Ratio of the time that a resource is
  actually activated relative to the time that it
  is available for use.
• Cycle time (takt time) Average time between the
  completion of succesive units.
• Run Time time required to produce a batch of
  parts
• Setup Time is the time required to prepare a
  machine to make a particular item.
• Operation Time sum of setup and run time.
• Throughput time time that unit spents actually
  being transformed or waiting.
• Throughput rate output rate that the process is
  expected to produce over a period of time.
• Process velocity Total throughput divided by
  Value Added Time
• Value Added Time Time that useful work is
  actually done

76
Process

• Introduction
• Classification of Processes
• Process strategies at the Industry
• Factors that affect (or are affected by) the
  Process Selection.
• Tools
• SPC, SMED
• Documents
• Work Measurement and Standards
• Job Place Design
• Line Balancing
• Measuring Process Performance
• Queueing Theory

77
Queueing Theory

• Littles Law The size of a queue is proportional
  to the input rate and the average throughput time.

L ? W Lq ? Wq