Processes, Technology, Capacity Chapter 6, Part 2.
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Transcript of Processes, Technology, Capacity Chapter 6, Part 2.
Processes, Technology, Capacity
Chapter 6, Part 2
Global Outsourcing Issues(pages 13 – 16)
Supply chain logistics – getting parts or products on time
Quality problems Loss of capabilities (issue in both domestic and global
outsourcing) Safety, security, and stability Changes in the value of currency Cultural differences and communication issues Corporate image
Financial Justification of Technology
Revenue enhancement Maintenance of business: how much business will we
lose without the new technology? Purchase cost Operating costs Annual savings Replacement analysis Avoid piecemeal analysis: what is the impact of this
decision on the overall process? You need a strategic technology plan.
Risk and uncertainty
Technology PrimerProduct Design
Computer-aided design (CAD): use of computer software to design products
Computer-aided engineering (CAE): use of computer software to evaluate and improve product designs
Group technology (GT): Classifies designs into families for easy retrieval and modification. Also used to classify parts for Just-in-time manufacturing.
Collaborative product commerce (CPC): Permits electronic exchange of information among product designers and suppliers
Technology PrimerComputer-Aided Process Planning
(CAPP)
Generates process plans based on CAD/CAE data and a database of products with similar manufacturing requirements (pages 230-231)
Assembly charts show how the product is put together Operations sheets list the manufacturing operations to
be performed, with details on machines, tools, time, and possibly worker skills
Quality checksheets specify quality standards and quality data to be recorded.
Process plans are used to generate manufacturing instructions for computer-aided manufacturing (CAM)
Data Flow in Manufacturing Technology
Computeraided design (CAD)
Computeraidedengineering(CAE)
Productdesigndata Final
design?
No
YesFinaldesigndata
Computeraidedprocessplanning(CAPP)
Manufacturinginstructions
Computeraidedmanufacturing(CAM)
Finishedgoods
Technology PrimerInformation Technology
Bar codes: used for product identification, product tracking, and package tracking
Radio frequency identification (RFID): An integrated circuit embedded in a tag that can send, receive, and record information
Can detect and identify products without opening shipping containers
Technology PrimerInformation Technology (2)
Enterprise resource planning (ERP) systems: Software for managing basic requirements of an enterprise, including sales & marketing, finance and accounting, production & materials management, and human resources. All applications use a common "data warehouse".
Extended ERP (ERP II) systems: Extends ERP to include suppliers and customers.
Technology PrimerInformation Technology (3)
Vision systems are computer systems with artificial intelligence that can "see" objects Often built into robots. Used for sorting and positioning parts Used for inspection. Suspect parts can be
inspected by a second vision system or by a person
Can recognize images of hands, etc.
Technology PrimerInformation Technology (4)
Biometrics Used to identify people and grant access to
facilities, work areas, equipment, etc. Include a vision system, database, and artificial
intelligence. Stored image of some portion of each user's
body. May use hand, thumb, or iris (colored part of eye).
Vision system develops and stores images. Artificial intelligence compares body part of
person seeking access with stored image.
Technology PrimerManufacturing Technology
Computer numerically controlled (CNC) machines: Machines controlled by software code to
perform a variety of operations equipped with automated tool changers also collect processing information and
quality data controlled by a central computer system can be networked into flexible manufacturing
cells and flexible manufacturing systems
Technology PrimerManufacturing Technology (2)
Robots: reprogrammable manipulators that can perform repetitive tasks. They are more consistent than workers but less flexible. Used for
Monotonous work, such as assembly line work
Work that is hard or unhealthy for people, such as painting or nuclear plant cleanup
Work that requires great precision Making integrated circuits Surgery – guided by a surgeon
May include vision systems to identify parts
Technology PrimerManufacturing Technology (3)
Flexible manufacturing system (FMS): A collection of CNC machines and/or robots connected by an automated material handling system to produce a wide variety of parts All machines in the system will be under the
command of a single computer. The system usually has automatic
inspection capability Automated materials handling is usually
done by a conveyor belt
Parts Finishedgoods
Load Unload
Computer control room
Machine Machine
Machine
Machine Machine
Machine
Tools Tools
Conveyor
Flexible Manufacturing System
Transparency Masters to accompany Operations Management, 5E (Heizer & Render) 7s-20 © 1998 by Prentice Hall, Inc.
A Simon & Schuster CompanyUpper Saddle River, N.J. 07458
Advantages of FMS Technology
Fast response - short manufacturing lead time
High product flexibility High quality Very efficient if total production
volume is high
Transparency Masters to accompany Operations Management, 5E (Heizer & Render) 7s-20 © 1998 by Prentice Hall, Inc.
A Simon & Schuster CompanyUpper Saddle River, N.J. 07458
Advantages of FMS Technology (2)
Low unit costsVery little direct laborLess material wasteVery low work in process inventory
Transparency Masters to accompany Operations Management, 5E (Heizer & Render) 7s-20 © 1998 by Prentice Hall, Inc.
A Simon & Schuster CompanyUpper Saddle River, N.J. 07458
Disadvantages of FMS Technology
High capital cost - need high total product volume to justify investment
Expertise required to design and maintain the system
Computer Integrated Manufacturing (CIM)
CAD, CAE, and CAPP Flexible Manufacturing System Production planning and inventory
management Purchasing Common databases and control systems for all
these functions Provides product flexibility, cost savings, and
short manufacturing lead times
Components of e-Manufacturing
Capacity Decisions
Capacity maximum
capability to produce
rated capacity is theoretical
effective capacity includes efficiency and utilization
Capacity utilization percent of available time
spend working Capacity efficiency
how well a machine or worker performs compared to a standard output level
Capacity load standard hours of work
assigned to a facility Capacity load percent
ratio of load to capacity
Capacity Expansion Strategies
Capacity Decisions (cont.)
Capacity increase depends on volume and certainty of anticipated demand strategic objectives costs of expansion and operation
Best operating level % of capacity utilization that minimizes unit costs
Capacity cushion % of capacity held in reserve for unexpected
occurrences
Economies of Scale
It costs less per unit to produce high levels of output fixed costs can be spread over a larger
number of units production or operating costs do not increase
linearly with output levels quantity discounts are available for material
purchases operating efficiency increases as workers gain
experience More efficient process technology can be used
Best Operating Level for a Hotel
Diseconomies of Scale
Occur above a certain level of output Diseconomies of distribution Diseconomies of bureaucracy (more
management overhead) Diseconomies of confusion (complexity) Diseconomies of vulnerability (risk)
Diseconomies of Confusion
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