Alex Hill and Terry Hill
Operation Management Chapter 5
Nov 03, 2014
Operation Management
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Transcript
Alex Hill and Terry Hill
Lecture outline
• INTRODUCTION
• Factors affecting MANUFACTURING PROCESS design
• DESIGNING the manufacturing process
• HYBRID processes
• Critical REFLECTIONS
• SUMMARY
© Alex Hill and Terry Hill
Factors affecting manufacturing process design
•STEPS required to
- Turn INPUTS- Into OUTPUTS
TECHNICALREQUIREMENTS
•VOLUMES•MARKET- ORDER-WINNERS- QUALIFIERS
BUSINESSREQUIREMENTS
Manufacturing processes need to meet bothTECHNICAL and BUSINESS requirements
Categories of product
Types of manufacturing process
Developing a strategyUnderstanding customer requirements
Process type
Product Process
Project
Jobbing
Batch
Line
Continuous processing
• Made ON-SITE • Resources BOUGHT TO SITE
• SPECIAL, non-repeat
• ONE PERSON or SMALL GROUP
• STANDARD, repeat low to high volume
• Has to be RESET for each batch of products made
• MASS, repeat high volume
• DOES NOT have to be reset for different products
• MASS, repeat very high volume
• Process runs CONTINUOUSLY and never stops
Process choices
Designing the manufacturing processProcess choices
Use the words FLEXIBLE and AGILE with care as they have many DIFFERENT MEANINGS and, therefore, can be misleading
CASE 5.1
OLD AND NEWCAR PLANTS1.Why does Ford use a
LINE manufacturing process?
2.Why is this process INFLEXIBLE?
CASE 5.1
Question Answer
Line process
Inflexible
• MASS products• NARROW product range• VERY HIGH VOLUME• NOT RESET for different products
OLD AND NEW CAR PLANTS
• Narrow PRODUCT range• Narrow VOLUME range
BATCH: SIX PROCESS TYPES LAID OUT
Hybrid processes
SIX PROCESS TYPES FUCTIONALY LAID OUT
• Less WAITING time• Lower INVENTORY• Easier to SCHEDULE
ADVANTAGES
DISADVANTAGES
• Less FLEXIBLE• Lower equipment
UTILISATION
CELLS are a commonly usedHYBRID PROCESS
Car RestaurantBird
Making products
Product category and process type
A Bug’s Life
(1998)
Kia Sportage factory
production line
Dinner Rush
(2000)
Film clip Pit Stop
FilmTitleDirector (year)
A Bug’s LifeJohn Lasseter and Andrew Stanton (1998)
ClipStartFinish
00:47:0000:51:22
What clip showsThe bugs decide that they want to build a bird to protect their community
Key learning objective
The characteristics of a project processHow an operation transforms inputs into outputs
Making productsProduct category and process type
Film clip Factory
FilmTitleDirector (year)
Kia Sportage factory production line
ClipStartFinish
01:33:1301:34:31
What clip shows Cars being manufactured on a production line
Key learning objective
The characteristics of a high-volume batch processHow an operation transforms inputs into outputs
Making productsProduct category and process type
Film clip Restaurant
FilmTitleDirector (year)
Dinner RushBob Giraldi (2000)
ClipStartFinish
00:58:5801:02:44
What clip showsThe chef producing a special one-off dish for a restaurant critic who is having dinner in the restaurant
Key learning objective
The characteristics of a low-volume batch process How an operation transforms inputs into outputs (and the difference between services and manufacturing)
Making productsProduct category and process type
Product category and process type
Question Bird Car Restaurant
PRODUCT category
PROCESS type
• Made on-site• Special
• Mass• Standard
• Project• Resources
moved to site
• Line• High volume
• Special• One-off
• Jobbing• Small group
Product category and process type
Critical reflections
• MANUFACTURING PROCESSES must be:- ALIGNED to its market ORDER-WINNERS and
QUALIFIERS- REFLECT its internal BUSINESS requirements
• Although DEMAND CHANGES over time, most businesses will NOT RE-INVEST in a different process
• Choosing the RIGHT PROCESS for the life of a product will have a significant impact on its SALES REVENUE and PROFIT
Summary• Manufacturing processes must
SUPPORT- Technical and business requirements
• TECHNICAL requirements- The product specification
• BUSINESS requirements- Volumes and market order-winners and
qualifiers
• Each process type has a different set of TRADE-OFFS
© Alex Hill and Terry Hill
CASE FOR TUTORIAL
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