6.6.4 Characteristics Material Requirements Control over suppliers Vertical Integration Raw Materials Finished goods Quality control responsibility Production information requirements Scheduling Operations challenges Process flow Typical size Type of Equipment Table 1: Important characteristics of production methods1 Job-Shop 1 Continuous Flow More predictable Predictable Very predictable Low Moderate High Very high None Very little Small Moderate None Varies Some backward often forward Varies, frequent deliveries High Backward & forward Large, continuous deliveries Very high Direct Labour Varies QC specialists Process control High Varies Moderate Low Uncertain, frequent changes Frequent expending Process design around schedule Inflexible sequence dictated by technology Increasing labour and machine utilisation, fast response, breaking bottlenecks Balancing stages, designing procedures, responding to diverse needs A few dominant patterns Moderate Combination of specialised & general purpose Rebalancing line, productivity improvement, adjusting staffing levels Avoiding down time, timing expansions, cost minimisation No pattern Usually small Rigid flow pattern Often large Large Specialised, high tech Clear expressed in physical terms Requires synchronisation Varies Incremental Varies Shifting frequently Shifting often but predictable Slow Very short Moderate Moderate Clear in terms of output rates Requires rebalancing Generally known and stationary Fast Long Incremental Often incremental Incremental or radical Edward A. Silver, David F. Pyke, Rein Peterson, (1998) Clear & inflexible Specialised, low or high tech Fuzzy, often expresses in € Bottlenecks Speed (unit/day) Run length Process changes required by new products Assembly Line Difficult to predict General purpose Definition of Capacity Capacity addition Line Flow/Batch Known and stationary Very fast Very long Always radical Characteristics Number of customers Number of products Typical factory size Level of automation Speed (Units/day) Nature of maintenance Process changes required by new products Marketing characteristics By-products Need for traceability Capital versus labour/material intensive Job-Shop Line Flow/Batch Assembly Line Continuous Flow Many Many but fewer Less Few Many Fewer Fewer still Few Usually small Moderate Often large Large Low Intermediate Low or high High Slow Moderate As needed or preventive when idle Fast Very fast As needed Shutdown Incremental or radical Always radical As needed Incremental Often incremental Features of the product Quality and features Few Few Quality & features or availability/price Few Little Intermediate Little High Labour Labour & material Material & labour Capital Availability/price More