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Data Analysis in Production Levelling Methodology

Conference Paper  in  Advances in Intelligent Systems and Computing · March 2017


DOI: 10.1007/978-3-319-56541-5_47

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Data analysis in production levelling methodology

Krzysztof Żywicki1, Paulina Rewers1, Mariusz Bożek2


1
Poznan University of Technology, Chair of Management and Production Engineering, Poland
2
Aesculap Chifa Sp. z o. o., Tysiąclecia 14, 64-300 Nowy Tomyśl, Poland
{krzysztof.zywicki,paulina.rewers}@put.poznan.pl; mariusz.bozek@bbraun.com

Abstract. The article describes an original computer program developed by the


authors to aid data analysis for the purposes of production levelling
methodology. Individual stages of the methodology are connected with analysis
of multiple types of data. The program AnaPro enables analysis of
manufacturing process data to separate product families, specify the demand for
products and implement production. Functions of the program are described
along with examples of data analysis.

Keywords: production leveling, analysis of production processes, lean


manufacturing

1 Introduction
Dynamic changes in economy along with continuously increasing requirements of
clients force production companies wanting to maintain their position on the market
to seek for solutions to facilitate manufacturing processes and cut down production
costs. When performing subsequent operations the value of manufactured products is
generated, thus generating a value stream. It is important to ensure that the values
adding up to a product price are acceptable to clients. The improving actions
concentrate in two basic areas: eliminating loss connected with implementing specific
production tasks and organization of production flow. The first one is usually
connected with optimization of specific manufacturing technique [1, 2, 3, 4, 5, 6]. The
improvement actions in the area of production flow are connected with application of
tools and methods developed under such concepts as Lean Manufacturing or Theory
of Constraints [7, 8, 9, 10, 11]. One method of improving production flow is the so-
called heijunka, which is production levelling, aimed mostly at eliminating the
changeability in production plan [12].
The present article describes an original production levelling methodology of which
individual stages of implementation are supported by AnaPro software.

adfa, p. 1, 2017.

© Springer-Verlag Berlin Heidelberg 2017


2 Production levelling
The concept of levelled production was developed by Toyota more than 50 years ago
[13]. The first descriptions in literature began to appear already in the 1960s [14, 15]
Since the very beginning levelled production has been associated with lean
manufacturing and it has been described as one of its foundations [16, 17]. Production
levelling is applied currently not only by automotive industry but also by processing
and food industry [18, 19, 20]. Production levelling is construed as a method of
determining product sequences to prevent from sudden changes in the quantity of
manufactured products, which contributes to enhancing efficiency and flexibility, as
well as to minimizing differences in workplace load [21].
The main objectives of levelled production include mostly:
─ continuous flow throughout the entire supply chain [22];
─ eliminating peaks in production [23];
─ reduction of stock levels [24];
─ avoiding work overload [25];
─ enhancing production capacity [26];
─ maximizing efficiency of production resources [21];
─ increasing company competitiveness [23].

3 Production levelling methodology


The authors perceive production levelling as determining the sequence and the
volume of product flow from production to the warehouse of finished products, to
ensure that current client’s demand is entirely satisfied with goods from the
warehouse or from the supermarket, not causing sudden changes in the production
plan or schedule. It is assumed that production plan in the given period of time does
not change. The time depends to a significant degree on the seasonality of production.
The main assumption is to manufacture products in a specified sequence and in lots of
fewest parts possible. The figure below pictures such a levelled production (Fig. 1).

Fig. 1. The principle of operation of the production leveling, source: own study
The authors’ methodology of levelled production includes the following stages:

1. Determining a group of products for which levelled production will be introduced


– a selection of products that are sold in largest quantities / fastest turnover.
2. Division of selected products into families – determining technological similarity
of products.
3. Analysis of client orders – analysing the frequency and number of orders.
4. Determining stock levels – calculating stock levels at the supermarket.
5. Determining the frequency of repeating the production of product families –
determining the period of time in which a given quantity of products should be
manufactured.
6. Establishing a levelled production plan – determining the sequence and quantity of
manufactured products.
Further stages of the methodology are connected with analysis of data concerning
sales and technological process with consideration of production resources. In order
to shorten the time of analysis and to eliminate potential errors and mistakes a
computer program called AnaPro was developed.

4 Functional scope of AnaPro


The program structure includes a database and analytical functions which enable data
analysis. The databases contain the following information:

─ products – specification of products and their structure,


─ technology – structure of technological process (or its options) in the form of
subsequent technological operations and their characteristic data: cycle time and
changeover time,
─ production stations – production system resources used during production,
─ sales – quantitative and time-related specification of subsequent consignments
connected with sales of products.
Primary function of the program is to provide data that allow to develop a recurring
production plan which is the final result of the production levelling methodology (Fig.
2).

4.1 Separating product groups


According to levelled production methodology, those products that are manufactured
in largest quantities at the given company and are characterized by the highest
turnover of sales should be separated as first. That group of products will be later
subject to further stages of production levelling. Products are classified on the basis
of ABC sales rotation analysis and Glenday sieve. Both analyses are performed on the
basis of data concerning quantitative sales of individual products where the division is
established pursuant to other criteria. The rotation analysis divides products into three
groups: fast-moving (A), medium-moving (C) and slow-moving (C) and Glenday
sieve divides them into four categories.
The analysis is performed in AnaPro on the basis of input data in the form of a list of
products and a quantity specification of product sales in an assumed period of time. In
both cases group 1 (products of highest sales) or group A (fast-moving products) is
selected for further stages of the methodology.

products

technology
AnaPro
workplace DATA ANALYSIS

delivery

DATA OUTPUT

Products groups Products families Demand index

Leveled
production plan

Fig. 2. The functional scope of the program AnaPro in the methodology of leveling production,
source: own study

4.2 Separating product groups


According to levelled production methodology, those products that are manufactured
in largest quantities at the given company and are characterized by the highest
turnover of sales should be separated as first. That group of products will be later
subject to further stages of production levelling. Products are classified on the basis
of ABC sales rotation analysis and Glenday sieve. Both analyses are performed on the
basis of data concerning quantitative sales of individual products where the division is
established pursuant to other criteria. The rotation analysis divides products into three
groups: fast-moving (A), medium-moving (C) and slow-moving (C) and Glenday
sieve divides them into four categories.
The analysis is performed in AnaPro on the basis of input data in the form of a list of
products and a quantity specification of product sales in an assumed period of time. In
both cases group 1 (products of highest sales) or group A (fast-moving products) is
selected for further stages of the methodology.
4.3 Dividing selected products into families
Based on the sales specification the selected group of products is further analysed to
separate product families that are technologically alike. A product family is a set of
products which technological processes are implemented at the same production
stations. The division aims at pointing out the relations between the resources used in
the production process, and thus to determine the direction and parameters connected
with material flow.
Product families are separated in AnaPro by a functionality in which a matrix of
relationships between the products and production stations is the input information.
The relationship matrix contains information that specifies which production stations
are used in the technological process of a given product. The information on products,
production stations and technology are collected automatically from databases. If a
given production station is used in a technological process of given index, it is marked
as BS (basic station). A matrix also contains information about alternative stations
which can be used in a technological process of a given index and these are marked as
A (alternative).
Products are divided into families using an algorithm which is based on
exponentiation of the matrix relation “product – station” and sequencing the values
which are sums of powers for a given product (Fig. 3).

Matrix connections
products "Product - workplace"

workplace

technology

Asides family of
technologically similar

Fig. 3. Schema evolution families of technologically similar, source: own study


4.4 Analysis of client orders
Another group of analyses regarding the levelled production methodology aims at
determining basic indexes connected with product sales. The AnaPro functionality
enables determining: average monthly and daily sales, average sales frequency,
minimum and maximum consignment lot size.

Fig. 4. Window analysis of orders for products, source: own study

This stage of production levelling methodology serves defining parameters of demand


which are taken into consideration when preparing a recurring plan of product flow.

4.5 Determining the frequency of repetitions in product manufacturing


The frequency of repetitions in product manufacturing is determined with use of EPEI
(Every Part Every Interval) index. The index indicates how often it is possible to
manufacture an assumed quantity of all the products manufactured at individual work
stations [6].

(1)

where:

─ NDP – the number of different parts or the number of changeovers which should
be performed to manufacture one sequence of products,
─ NPC - the number of possible changeovers during that period.
The EPEI index of the entire manufacturing process is as high as the greatest value of
the index of all the work stations. Therefore, if maximum EPEI index equals 1.0, it
means that once per one period (e.g. 8-hour working shift) all the products can be
manufactured in the process.

4.6 Determining stock levels


Another step is to determine stock levels for finished products at the supermarket.
This stage is very important, since in levelled production the ongoing client orders are
processed from the supermarket, without changing the production plan and schedule.
The supermarket is a warehouse where products have their assigned locations, the
FIFO (First In First Out) rule is applied and the maximum and minimum stock levels
are clearly determined.

The following three types of inventory are distinguished in the supermarket:

─ rotating stock – products necessary to cover normal demand of clients;


─ buffer stock – products necessary to cover variations in clients’ demand;
─ safety stock – products necessary to cover internal loss.
Total supermarket stock is the sum of rotating, buffer and safety stocks.

4.7 Establishing a levelled production plan


The final step of the methodology is establishing a levelled production plan. At this
stage it is necessary to determine the amount of time required for manufacturing a
given product family. The rotating stock, process passage time of the product and the
assumed number of downtimes should be taken into account. Fig. 3 shows an example
of such a plan.

Fig. 5. Leveled production plan, source: own study

5 Conclusions
The authors’ methodology described in the paper depicts individual stages of
implementing a levelled production. The methodology was established on the basis of
authors’ own reflections as well as analysis of both Polish and world literature. The
methodology requires multiple data analyses as regards functioning of the
manufacturing system. For this purpose the authors developed the AnaPro software. It
provides assistance in collection and analysis of manufacturing data and product
sales: separating families of products which are technologically alike, determining the
specification and division of products due to sales rotation. The data provided by the
software make it possible to implement stages of the methodology connected with
developing a repeatable product manufacturing plan.
Functions of the software shorten the time required for analysing and eliminate
calculation errors. Therefore, implementing production levelling methodology can be
more effective.
Both the described methodology and the AnaPro software are currently under
development. Another step in work over the methodology will be its verification in
real conditions. The program is further developed in the scope of assistance in
subsequent production levelling methodology stages.

Acknowledgments
The presented results of the research, carried out under the theme No. 02/23/DS-
MK/7677, was funded with a grant to science granted by the Ministry of Science and
Higher Education.

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