Process choice and production layout Marja Blomqvist, Patrick Appelqvist 19.10.2005 The product-process matrix High variety Project Too expensive Jobbing Batch Repetitive Not competitive Continuous Low variety Low Volume High Volume Project: Wedding cake The product is unique The product is assembled on-site because it is so large Variety Not to be confused with projects in general Proj Job Batch Rep Cont Volume How projects are arranged: Fixed lay-out • • • • Variety • Keeping the timetable Schedule resources Continuous replanning Extreme material flow (T-shaped) Approached with planning software Proj Job Batch Rep Cont Volume Jobbing: Restaurant kitchen Special products are made in low volumes by skilled workers. Variety Not ”industrial-level” efficiency Proj Job Batch Rep Cont Volume Challenges in jobbing Variety • High product variety, low volumes (e.g. consulting, handicraft furniture makers) • Requires skilled people. • Investments are low. Proj Job Batch Rep Cont Volume How jobbing is arranged: Functional lay-out • Same type of machines together. Rep Cont Paint booth Batch Boring machine Job Milling machines Drilling machines Lathes Variety • Workers move products depending on needed processes. Proj Work benches Work benches – Functional layout – Alternatively cellular production Batch process: Bakery A batch of similar products are made at a time. Provides higher efficiency than jobbing. Variety Usually implosive material flow. Proj Job Batch Rep Cont Volume How batch is arranged: Process lay-out Variety Proj Job Batch Rep Cont Volume Sonic welding Injection moulding machines • Stop-and-go processes • Processspecialised machines and workers • Production scheduling • Process lay-out D Work-inprogress Final assembly D Work-inprogress Screen printing D Hot-roll stamping Final assembly Repetitive: Pizza manufacturing The product moves according to a fixed route. Variety Possible for very high volumes as investments are huge Proj Stopping the line is Job Batch very expensive Rep Cont Volume How repetitive mfg is arranged: Product lay-out • • Processes divided in steps of equal duration and arranged in the sequence product needs them. Fixed production / assembly line – Cycle time; forced movements of products – Stopping the line is very expensive • Flow line – Non-forced; buffers between the stations Variety • Low skills needed, boring work; Taylorism Proj Stopping the line is Job Batch very expensive Rep Cont Volume Continuous flow process: Beer brewing A homogenous product flows through dedicated pipes. High investment on facilities; capacity level changes slow and costly. Variety In contrary to batch and repetitive, often explosive material flow. Proj Job Batch Rep Cont Volume How continuous production is arranged Variety • Expensive, specialpurpose equipment • Few, skilled workers • Focus in capacity utilisation Proj Job Batch Rep Cont Volume Summary of the layout options Functional i.e. Process lay out Cellular Flow i.e. Product layout (Group Technology!) Line Improvement of production flow • • Importance of production flow: main indicator of manufacturing smoothness Indicators for improvement need: – Many units on carts, shelves, conveyors floors waiting to be assembled or further processed – Visible reject parts that have not been disposed or repaired – Numerous rework benches or large amount of rework operations in the normal production – Workers hanging around idle – Expensive machinery or known bottleneck that is idle – Expediting of high priority work orders on factory floor – Trash on the floor, on the tables, on the shelves – Unplanned partial assemblies carried out due to part shortages / unplanned capacity problems – Machine operators sorting out defect incoming parts – Daily or frequent ad hoc production status meetings on firefighting basis. – Delivery on time, throughput time, yield and other main measures not visible on factory floor Summary 1. High variety 2. 3. 4. Process choice is a strategic choice. Depending on process, both challenges and solutions are different Production lay-out is the implementation of the chosen process The process types are presented as stereotypical cases: however, in reality the line between different types is sometimes fuzzy. Low variety Low Volume High Volume Backup Burbidge’s six laws on production system design (1) • Law of the whole and its form: The whole is not a mere sum of its parts, and a set of subobtimised solutions never yield to a truly optimal whole solution. • Law of material flow: The efficiency of production is inversely proportional to the complexity of material flow. • Law of forecasting: Only few have psychic skills of seeing things before they happen. Use short planning cycles. Burbidge’s six laws on production system design (2) • Law of system dynamics: If demand variations have a chance to amplify throughout the steps of production chain due to its structure, this is bound to happen even under normal circumstances. • Law of ordering cycles: If parts and components are manufactured and orderd in different cycles, large variances and unexpected changes both in inventories and capacity needs are unavoidable. • Law of interdepencences: Every consequence has many root causes and vice versa.