CLASS No 11
GROUP TECHNOLOGY &
WORK BREAKDOWN STRUCTURE (GT & WBS)
11.1 KEY CONCEPTS:
 GT is not new
 Has only had limited application in shipyards
 Typical uses have been structural part variety reduction and development of pipe
piece families
 Many shipyards say they use it but they only think so as they use Work Breakdown
Structures, classification and coding. This is not GT
 GT is necessary if a shipyard wants to utilize automated pipe shop, Computer Aided
Process Planning and/or robotics
 However, GT is not for everyone. It should not be used unless a clear understanding
of why they need it
 Many people need a classification and coding system but not GT
 Work Breakdown Structures (WBS) have been used for many years in many
industries
 WBSs are a convenient method to show desired tasks and/or processes to be used to
build a product.
 A WBS can be Custom, Group Technology or Standard based. Custom is when the
product and its components are all different and no attempt is made to group the
tasks or processes. GT based is when, even though the end products may be
different the tasks or processes can be group into similar categories based on work
requirements. Standard based is when the product is completely made up of standard
components in the same way every time.
 A Product Breakdown Structure is a graphic representation of an indented Bill of
Material, where the indentations reflect the order in which the components are
assembled.
 The term Product-oriented Work Breakdown Structure (PWBS) refers to the specific
case where the product, work and organization are combined into a system to
address a specific industrial product, like ships.
 The concept was introduced into U.S. shipbuilding by the IHI Technology Transfer
in 1982 by the NSRP Report "Product-oriented Work Breakdown Structure."
 Since then most U.S. shipbuilders have adopted the concept to some level, but not to
the extent or the way that the report described. In fact the report is confusing in
many ways and has caused implementers considerable trouble.
 A PWBS can be one of the most important tools in a shipyard’s attempt to improve
it’s performance. This is because when it is developed correctly and applied to assist
in the integration of the many systems in a shipyard, the benefits are significant.
 Some shipyards develop a more detailed breakdown in the form of an Interim
Product Catalog. The catalog can range from a few basic interim product types to a
very comprehensive catalog of all parts through to erection. It can also identify work
stations and processes used to manufacture the interim products as well as manhour
budget and manning.
COURSE NOTES:
 Paper, "GROUP TECHNOLOGY IN SHIPBUILDING," by T. Lamb
 A Proposed Shipbuilding Product Work Breakdown System and Its Use
 D&P Generic Product-oriented Work Breakdown Structure
 PDF file: group_tech.pdf
CLASS NUMBER 12
PLANNING, SCHEDULING, PRODUCTION AND
MATERIAL CONTROL
12.1 PLANNING
 Planning focuses on the future; what is to be accomplished and how.
 The planning function includes those managerial activities that determine objectives
for the future and the appropriate means for achieving those objectives.
 Planning occurs at all levels in an organization
 The are three levels of planning, Strategic, Tactical and Detailed (Operational)
 Top management handles the Strategic Planning, Middle management handles the
Tactical Planning and the Detailed Planning is handled at the lowest appropriate
level in the organization
 Production planning is a mix of Tactical and Detailed planning
12.2 SCHEDULING
 Scheduling also focuses on the future, but on when the activities must be performed.
 Scheduling is sometimes considered a part (an important part) of Planning
 Operating schedules start at the top of an organization in the form of the integrating
"MASTER SCHEDULE" and cascade downward to each department, section, group
and team.
 Operating schedules range from the simple to the complex, each being suitable for
specific applications. Point to point schedules are suitable for tasks to be performed
in sequence. Overlap or parallel schedules are suitable for tasks that must be
performed at the same time or portions of the same time. Finally, network schedules
are suitable for complex tasks where both sequence and overlap approaches are
needed.
 PERT/CPM is the best known network scheduling approach
 A GANT Chart is a graphic scheduling technique. It can be used for the simple
sequence or overlap tasks or be an outcome of the PERT system once the network
has been developed. This is important because many people can follow the Gant
Charts but have trouble following the network chart.
12.3 PRODUCTION CONTROL
 Production Control consists of the continuous adjustments which are required to
accomplish the plan and infers the existence of (1) an information system by which
the actual state of the activities is compared to the planned state and (2) the
existence of a feed back system by which adjustments can be made into the
production planning stage
 Production Control depends upon processing adequate amounts of accurate and
timely information regarding the current status of the production plan; the work in
process; inventories; human, facility and material resources; and requirements
projections.
 Production Control begins with techniques for organizing and conceptualizing
information about the plan and the current status of events in pursuing the plan.
 In some shipyards, Production Control is responsible for the issuance of the work
packages and material release documents. If the shipyard Engineering Department
does not prepare the technical documentation in a form that is directly usable by the
Production Department and the shipyard does not have a Production Engineering
Department, the Production Control Department will need to prepare the work
sketches that go with the Work Packages.
 Tools used by Production Control include Inventory Modeling, Queuing Theory,
Material & Resource Planning, and PERT/CPM
 Production Control and Material Control are so closely intertwined that many
companies combine them
12.4 MATERIAL CONTROL
 Material Control (MC) is often called Materials Management
 MC starts with a Bill of Material for a given product, usually developed by
Engineering and manipulated by Production Planning to sort into required
sequencing and delivery dates
 MC then involves procuring, receiving, wharehousing, handling, delivering within
the shipyard, plus all the information management required for the successful
operation of all the above activities.
 MC tools include inventory control and Material Requirements Planning, sometimes
referred to as MRPI
 Very few U.S. shipyards use the MC system described in the handout. They prefer
to use MRPI or MRPII (Material and Resource Planning) systems.
 Again, Material Control and Production Control are so closely intertwined that
many companies combine them, especially if they use MRPII which can handle both
inan integrated database
COURSE NOTES:
 PDF file : planning_scheduling.pdf
 Chapter 10 - Program Management, PERT/CPM
 Planning non-repetitive Production: PERT
 Drawing Schedule
 Specification and Special Material Schedule
 SHIP PRODUCTION, Chapter VII, Section 4 - Production Control
 Product-oriented Material Management and Peripheral Systems
 "The Elements of Material Control are:"
 Critical path model of Material Lead Times
 Paper, "BUILD STRATEGY DEVELOPMENT," by J. Clark and T. Lamb
 Paper, "CE or not CE? That is the Question," By T. Lamb
CLASS No 14
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SHIPYARD ORGANIZATION AND MANAGEMENT
Shipbuilding is an old traditional industry and its organization and management are
very traditional
Relationship between management and workers is adversarial
Shipyards have been slow to introduce new organization types and management
approaches
There is a general lack of trust in shipyards
Today people expect more than the traditional approach to management
Companies can no longer consider themselves as closed systems. They are impacted
by their immediate external environment as well as the global environment
Different levels of management require different skills and focus
A managers task has changed from the traditional, directing, organizing, controlling
to coaching, supporting, facilitating, advising
Management 101 describes normal organization types. Today flexibility in
organization is essential
The biggest problem in traditional management is communication between
themselves and to their subordinates.
Re-engineering a company and the use of Concurrent Engineering offer the best
hope for companies struggling to survive
U.S. shipyards should use Concurrent Engineering, as well as the Shipbuilding
Policy and Build Strategy approach, as they can all assist them to better plan,
communicate and perform their work. Work organization is where U.S. shipyards
are weak, compared to world class shipbuilders
COURSE NOTES:
 Paper, "SHIPYARD MANAGEMENT - THE OPERATION OF A MANMACHINE SYSTEM," by Mack-Forlist
 Paper, "ENGINEERING MANAGEMENT FOR ZONE CONSTRUCTION OF
SHIPS," by T. Lamb
 PDF file: Shipyd_mgt.pdf