1 Lxplaln ln brlef Lhe orlglns of !usL ln 1lme Lxplaln how !

l1 ls lmplemenLed
Ans Introduct|on !usL ln 1lme (!l1) manufacLurlng ls a process by whlch companles don'L keep loLs
of excess lnvenLory lnsLead Lhey manufacLure a producL as an order comes ln lL ls a managemenL
phllosophy of conLlnuous and forced problem solvlng
1he ob[ecLlve of !l1 manufacLurlng sysLem ls Lo
O LllmlnaLe wasLe LhaL ls mlnlmlze Lhe amounL of equlpmenL maLerlals parLs space and
worker's Llme whlch adds a greaL value Lo Lhe producL
O lncrease producLlvlLy
!l1 means maklng whaL Lhe markeL demands when lL ls need lL ls Lhe mosL popular sysLems LhaL
lncorporaLe Lhe generlc elemenLs of lean sysLems Lean producLlon supplles cusLomers wlLh exacLly
whaL Lhe cusLomer wanLs when Lhe cusLomer wanLs wlLhouL wasLe Lhrough conLlnuous lmprovemenL
1hey are many advanLages of !l1 !l1
O lncreases Lhe work producLlvlLy
O educes operaLlng cosLs
O lmproves performance and LhroughpuL
O lmproves quallLy
O lmproves dellverles
O lncrease flexlblllLy and lnnovaLlveness
lor lndusLrlal organlzaLlons Lo remaln compeLlLlve cosL efflclencles have become compulsory !l1 helps
ln Lhls process lL ls exLended Lo Lhe shop floor and also Lhe lnvenLory sysLems of Lhe vendors Powever
for organlzaLlons Lo compleLely lmplemenL !l1 manufacLurlng sysLem Lhey need Lo have a proper
commlLmenL along wlLh Lhe followlng baslc faclllLles proper maLerlal quallLy equlpmenL and people
lnvolvemenL
frfcter|st|cs of II1
1he seven wasLes Lo be ellmlnaLed accordlng Lo !l1 are
1 ver producLlon
2 lnvenLory
3 WalLlng Llme
4 MovemenL
3 LfforL
6 uefecLlve producLs
7 ver processlng

1 ver roducLlon ver producLlon ls Lo manufacLure producLs before lL ls acLually needed
lf Lhe demand for LhaL producL decreases Lhe exLra parLs or producLs produced may noL be
useful or needed Also over producLlon resulLs ln hlgh sLorage cosLs and ls also dlfflculL Lo deLecL
defecLs So over producLlon ls consldered a wasLe
2 lnvenLory Lxcess procuremenL or producLlon bulld up sLock of maLerlals whlch are noL
lmmedlaLely used Lhus locklng space and funds carrylng heavy cosLs
3 WalLlng Llme WasLe of Llme happen when goods are noL movlng or belng processed 1he
operaLor Lhe machlne or Lhe parL wlll elLher be noL worklng or be worked upon
4 MovemenL Any unnecessary movemenL ls wasLe of energy
3 LfforL 1he people who work do noL make a sLudy as Lo how Lhe producLs on whlch Lhey are
maklng are uLlllzed and do noL reallze Lhe purpose whlch Lhey are made
Slnce Lhese wasLes have Lo be ellmlnaLed a Lhorough sLudy of how Lhey occur and whaL sLeps would
resulL ln Lhelr ellmlnaLlon ls of paramounL lmporLance
ey rocesses to L||m|nfte Wfste
1he key processes Lo ellmlnaLe Lhe wasLes are llsLed below
1 anban for maLerlal flow
2 Plgh quallLy producLlon
3 Small and unlform workloads
4 Suppllers as parLners
3 llexlble workforce and Lralnlng
6 1oLal producLlve malnLenance
1 anban for maLerlal flow ConLrolllng maLerlal flow uslng cards Lhrough Lhe manufacLurlng sysLem
lmplemenLlng !l1 ls called anban 1hese cards are used Lo Lell a work sLaLlon Lo perform a cerLaln
funcLlon on maLerlals anban means a 'vlslble Card' and also 'Slgnal' ln !apanese language 1hese Cards
are used for communlcaLlng Lhe quanLlLles requlred aL Lhe Llme 'cusLomers' polnL for hls use
AdvanLages of anban processes are llsLed below
O 1he orders are conLrolled and Lrlggered from deflned locaLlons
O lnvenLory cosLs and Work ln rogress (Wl) are reduced
O 1he conLrol of sLock ln Lhe lnvenLory wlll be lmproved
2 Plgh CuallLy roducLlon !l1 producLlon ls meanL for producLs whlch are repeLlLlve ln naLure 1he
sysLem has lLs orlgln ln provldlng a soluLlon Lo a manufacLurlng process where Lhe flnlshed producL has
a number of parLs LhaL geL assembled lor !l1 Lo be successful lnvenLorles have Lo be kepL Lo Lhe
mlnlmum and every componenL produced musL represenL hlghesL quallLy
3 Small and unlform workloads ManufacLurlng faclllLles have Lo produce a number of parLs Lo
meeL Lhe requlremenLs of a number of producLs ManufacLurlng all Lhe producLs ln large volumes and
malnLalnlng sLocks aL varlous dlsLrlbuLlon cenLers ls hlghly uneconomlcal and no organlzaLlon would
conLemplaLe such a plan
4 Suppllers and parLners Suppllers are Lhose companles whlch underLake supplylng Lhe
manufacLured producLs of an organlzaLlon lf Lhe Lechnology Lhey have ls superlor lf Lhe equlpmenLs
Lhey use are opLlmal and Lhe work force ls efflclenL Lhe beneflLs would lncrease for Lhem aL a cosL Lo
Lhe organlzaLlon
Imp|ementft|on of II1
!l1 1oLal CuallLy ManagemenL (1CM) and oLher developmenL measures are posslble only wlLh
Lop managemenL commlLmenL and a learnlng culLure ln Lhe organlzaLlon So communlcaLlon of goals ls
Lo be reallzed and Lhe ob[ecLlves of each Leam are Lo be framed effecLlvely lL ls well Lo remlnd you aL
Lhls sLage LhaL !l1 ls noL a desLlnaLlon buL an ongolng conLlnuous lmprovemenL programme ln Lhe
process of achlevlng 1CM
rerequlslLes for lmplemenLaLlon Llke any advanced meLhod of producLlon and quallLy
lmprovemenL some prerequlslLes are needed Lo be ln place so LhaL lmplemenLaLlon ls easy and Lhe
resulLs are ldenLlflable 1he followlng Lable glves Lhe requlremenLs from Lhe deslgn process Lo Lhe
measuremenL of performance
A Des|gn I|ow rocess 1 Llnk operaLlons
2 8alance worksLaLlon capaclLles
3 elayouL for flow
4 Lmphaslse prevenLlve malnLenance
3 educe loL slzes
6 educe seLup and changeover Llmes
8 1otf| I|ow ontro| 1 Worker responslblllLy for quallLy
2 Measure SCC
3 Lnforce compllance
4 lallsafe meLhods
3 AuLomaLlc lnspecLlon
C tf|||ze cedu|e 1 Level schedule
2 under uLlllze capaclLy
u fnfn u|| 1 uemand pull
2 8ack flush
3 educe loL slzes
L Work w|t Vendor 1 educe lead Llmes
2 lrequenL dellverles
3 ro[ecL usage requlremenLs
4 CuallLy expecLaLlon

2 8rlng ouL Lhe hlsLorlcal background of value Lnglneerlng LlucldaLe Lhree companles whlch have
lncorporaLed vL wlLh brlef explanaLlon
Ans 1he concepL of value englneerlng orlglnaLed ln 1947 ln Ceneral LlecLrlcals CorporaLlon (CLC)
when a subsLlLuLe for asbesLos for floorlng had Lo be found Speclallzed dealers could provlde an equally
good 'maLerlal' aL a lesser prlce
lnlLlally Lhe pracLlLloners were Lhe people ln charge of purchaslng who Lrled Lo locaLe subsLlLuLe
maLerlal whlch would be equally good lf noL beLLer aL a lower prlce 1hls ls Lhe flrsL and baslc approach
Lo value englneerlng As Lhe concepL percolaLed Lo Lhe manufacLurlng and found LhaL Lhey could use
alLernaLe maLerlals whlch were cheaper glvlng Lhe same performance lL was also found LhaL dlmenslons
and Lolerances could be alLered wlLhouL affecLlng Lhe performance of Lhe parL or Lhe producL 1he
lnvesLlgaLlons Look Lhem on Lhe paLh of ellmlnaLlng some operaLlons 1he focus was on Lhe value of
each blL of maLerlal each operaLlon 1hls approach led Lo Lhe deslgn sLage
1hree companles whlch are lncorporaLed vL are
1 v Sundaram lyenger Sons (1vS) lL ls one of Lhe largesL dlsLrlbuLlon companles ln lndla
uurlng Lhe mld of 1940s Lo 1960s 1vS based ln Madural was ranked as Lhe besL bus LransporLaLlon
sysLem ln lndla lL could manage Lo run Lhe fleeLs for abouL 96 of Lhe Llme
1vS used Lhe vL approach Lo resLore Lhe moblllLy of buses LhaL had broken down 1hey sLocked Lhelr
garage wlLh some crlLlcal assemblles of a bus Whenever a parL or an assembly falled of a bus Lhey
replaced lL lmmedlaLely wlLh a new one Lhus resLorlng moblllLy wlLhln a couple of hours
1v Sundaram lasLener lncorporaLed 'Zero defecL approach' Lo enhance producL quallLy 1hls approach
also enhanced Lo achleve zero devlaLlon from dellvery schedules
Mul xLx lL ls deslgned Lhe vLd low cosL copler 1023 S1 whlch uses a slngle Lray 1he advanLage of
new deslgn ls LhaL lL ls easy Lo operaLe and Lhe cosL ls also very low








C3 Lxplaln Lhe key elemenLs of CuanLlLaLlve modellng WhaL ls work sLudy and moLlon sLudy
Ans Introduct|on Whenever we have Lo make declslons ln managemenL we have Lwo approaches
Lo arrlve aL a declslon ne approach ls Lo conslder Lhe avallable facLs ldenLlfy varlous opLlons for acLlon
and Lhe llkely consequences and evaluaLe all Lhe opLlons based on Lhe experlences we had and Lhe guL
feellng as Lo whaL mlghL happen and Lake a declslon
ufnt|tft|ve Mode|s ln Lhls secLlon we conslder Lhe dlfferenL ways of solvlng problems uslng
quanLlLaLlve approach and varlous oLher models 1he buslness lmpllcaLlons are wlde as soluLlons are
used for declslon maklng ln all aspecLs of buslness llke
O rocuremenL of maLerlal
O AllocaLlng funds
O Schedullng producLlon
O Carrylng of lnvenLory
CuanLlLaLlve approach Solvlng a problem uslng Lhe quanLlLaLlve approach lnvolves Lhree sLeps deflnlng
Lhe problem consLrucLlng a maLhemaLlcal model and LesLlng Lhe model and lLs soluLlons
1 ueflnlng Lhe problem
2 ConsLrucLlng a maLhemaLlcal model
3 1esLlng Lhe model and lLs soluLlon
1ypes of quanLlLaLlve models 1here are dlfferenL quanLlLaLlve models
1 Llnear rogrammlng
2 1ransporLaLlon Model
3 AsslgnmenL Model
4 lnvenLory ConLrol Model
3 WalLlng Llne Models
6 SlmulaLlon Models
ufnt|tft|ve Metods for Dec|s|on Mfk|ng We choose Lhe quanLlLaLlve model LhaL closely resembles
Lhe slLuaLlon whlch we wanL Lo analyse for maklng declslons llke
O rovlde funds
O Asslgn people
O lace order for cerLaln quanLlLles
O uelay or hasLen some acLlvlLles
O pen one more counLer or buy machlnes
O Change locaLlon of manufacLurlng unlLs
O ShlfL dlsLrlbuLlon cenLers
O osLpone Lhe launch of a producL
Workforce Mfnfgement ln Lhls secLlon we wlll conslder varlous concepLs of workers' conLrlbuLlon for
producLlvlLy We wlll also sLudy Lhe followlng polnLs ln Lhe resL of Lhe unlL
O Pow ls work measured?
O Pow do Lhe workers geL beneflL for superlor performance?
O Pow ls producLlvlLy lnfluenced by Lhe envlronmenL ln Lhe organlzaLlons?
Work rfct|ces Work racLlces are ways of dolng any work whlch has been ln vogue and found Lo be
useful 1hese are deLermlned by moLlon and Llme sLudy conducLed over years and found Lo be efflclenL
and pracLlced Any meLhod lmprovemenL LhaL ls conducLed may be adopLed Lo change Lhe pracLlce buL
only afLer Lralls Lhey have shown LhaL Lhey lncrease Lhe comforL of Lhe worker and geL Lhe [ob done
fasLer