Process Fundamantals OPS

PROCESS FUNDAMENTALS
Rajiv Misra
Bread Making
Flour, Yeast and Water are converted to Bread.

Process: Mixing
Proofing (letting bread to rise)
Baking
Packaging
Rajiv Misra
Bread Making
There are two mixers,2 proofers and two Ovens so

organized that the ingredients mixed on the first
mixer are automatically fed to the first proofer and
then sent to the first oven.
All the bread loaves are packaged in the same
packaging line (only one).
The company makes many types of Breads
Rajiv Misra
Bread Making
Draw it diagrammatically
Rajiv Misra
Bread Making
Draw it diagrammatically, Using the following

Symbols
Symbols Meaning
Task or Activity
Flow
Storage of Goods (WIP/FG)
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Bread Making
MIX PROOF BAKE
R
WIP PACK
M
BAKE
MIX PROOF
FG
Parallel Lines. Each line is in Series
Why WIP in front of Packing
How do we determine Capacity
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Bread Making II
Rajiv Misra
Bread Making II
If Mixers, proofers and ovens were not set up as

distinct lines
Rajiv Misra
Bread Making II
MIX PROOF BAKE
R
WIP PACK
M
BAKE
MIX PROOF
FG
Individual Tasks operate in Parallel
Rajiv Misra
Samosa Making
Rajiv Misra
Samosa Making
The process is in two parts

Dough: Mix, Proof, Roll and Cut
Fillings: Mix (Potatoes)
With Dough and Filling ready.
Fill and Fold, Fry and Pack
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Samosa Making
Dough Dough
MIX PROOF Roll/Cut
Fills MIX Fills Fill/Fold Fry Pack
Parallel lines – but is it same as earlier FG
What is the Capacity?

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Bread Making Revisted
Rajiv Misra
Bread Making
Bread Making WIP Packing
1 hour per 100 loaves 3 / 4 hour per 100 loaves
What is the CYCLE TIME

What is the Manufacturing Lead Time
Rajiv Misra
Bread Making
Bread Making WIP Packing
1 hour per 100 loaves 3 / 4 hour per 100 loaves
What is the CYCLE TIME = 60/100 (Units??)

What is the Manufacturing Lead Time = 1 and 3 /4 hours
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Bread Making II
Rajiv Misra
Bread Making
1 hour per 100 loaves

Bread Making
WIP Packing
Bread Making
3 / 4 hour per 100 loaves

Rajiv Misra
Bread Making

Bread Making
WIP Packing
Bread Making

Rajiv Misra
PROCESS FUNDAMENTALS – CASE 1

It depends on schedule.
Bread Making
WIP Packing
Bread Making
Case 1 – Each batch starts every 3 / 4 hours

Rajiv Misra

Bread Making
WIP Packing
Bread Making
Each batch starts every 3 / 4 hour to coincide with packing

Rajiv Misra
Line # Batch # Start End Pack end

Bread Bread
Line 1 Batch 1 9.00 10.00 10.45

Line 2 Batch 2 9.45 10.45 11.30
Line 1 Batch 3 10.30 11.30 12.15
Line 2 Batch 4 11.15 12.15
MLT = 1 and 3 / 4 hours

Rajiv Misra
Rajiv Misra

Bread Making
WIP Packing
Bread Making
Case 2 – Each machine is loaded every 1 and ½ hr

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Bread Making
WIP Packing
Bread Making
1 and 1/2 hr so that bread stock does not pile up

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Line # Batch # Start End Pack Pack MLT (HR)

Bread Bread Start end
Line 1 Batch 1 9.00 10.00 10.00 10.45 1-3/4

Line 2 Batch 2 9.00 10.00 10.45 11.30 2-1/2
Line 1 Batch 3 10.30 11.30 11.30 12.15 1-3/4
Line 2 Batch 4 10.30 11.30 12.15 1.00 2-1/2
MLT = Average of 1-3/4 and 2-1/2 hours = 2- 1/8 hours

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SETTING UP A COOKIE COMPANY
Rajiv Misra
SETTING UP A COOKIE COMPANY
To meet your expenses you decide to start a Co.
Vision:
Provide fresh cookies to starving neighbors
late at night
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SETTING UP A COOKIE COMPANY AT XL
Your idea is to bake fresh cookies to order, using

any combination of ingredients that the buyer wants
The cookies will be ready for pickup at your home

within an hour
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COOKIE COMPANY AT XL
What type of industry are we taking of?
MTS/MTO/ATO/ETO??
Location of the Decoupling Point ??
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BILL OF MATERIALS
¾ Dough
¾ Coconut, Raisins, Chocolate Chips etc (Additives)
¾Additives are added based on customer

specifications.
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THE PRODUCTION PROCESS
¾ Mix all the ingredients in a Food Processor.

¾ Spoon out the dough onto a tray
¾ Put the cookies into the oven
¾ Bake them
Ingredients
¾ Take out the tray from the oven differ from
order to
¾ Let the cookies cool off order
¾ Take cookies off the tray

¾ Pack them
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THE PRODUCTION ROUTE CARD
¾ YOU Mix all the ingredients in a Food Processor.

¾ Wash the mixing bowl from previous batch
¾ Add all the ingredients
¾ Mix them in the Food Processor
¾ The mixer holds ingredients for up to 3 dozen
cookies
¾ This takes 6 minutes to do
Mixing dough for 1,2 or 3 dozen takes same time
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¾ YOU Spoon out the dough onto a tray.
¾ This takes 2 minutes
This finishes your work and your wife

starts her work
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¾ Wife puts the cookies into the oven.

¾ She first sets the timer and thermostat, which
takes one minute
¾ The cookies bake for next 9 minutes
¾ Total baking time is 10 minutes, of which your
room mate is busy for the first minute
¾ The oven holds only one tray, a second dozen
takes an additional 10 minutes to bake
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¾ Wife performs the last steps also.

¾ She first removes the cookies
¾ Takes no time, but must be done on time
¾ The cookies cool for 5 minutes
¾ She then packs the cookies ( 2 minutes/doz)
¾ She collects the payment for order (1 min)
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This is the process
Some Simplifications (“Model”)
e.g. Preheating of the oven (Startup) etc not

considered etc.
Draw its Process Flow Diagram

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PROCESS FLOW DIAGRAM
You Room Mate
Load
Oven,Set
Mix and Continue
Times, Cool Pack
Spoon bake
Begin
bake
Mins 8 1 9 5 2
(6+2)
Receive Hold
payment
Mins 1
Rajiv Misra
ANALYSIS AND VOCABULARY - 1
How long will it take to fill a rush order?

(Assume no other cookies are being processed)
26 minutes 6 minutes : Mixing
2 minute : Spooning
10 minutes: Loading & Baking
5 minutes : Cooling
2 minutes : Packing
1 minute : Taking Payment
Rajiv Misra
ANALYSIS AND VOCABULARY- 1
How long will it take to fill a rush order?

(Assume no other cookies are being processes)
26 minutes
This is the Minimum

Manufacturing Lead Time (diff names)
Rajiv Misra
Rajiv Misra
How many orders can you fill in a night (4 hours)?
Manufacturing Lead Time: 26 minutes

No of working minutes: 240 minutes
No of orders that can be filled: 240/26 ~ 9
Is it correct??
Rajiv Misra
MLT is not the the relevant number to calculate how

many cookies can be made in a night
We are looking for the capacity of the process as
a whole ?
What controls the capacity? (Refer Process Flow)
Considering only orders for a dozen cookies

The slowest stage is Baking.
A tray of cookies shall pop out every 10 minutes
Rajiv Misra
Considering only orders for a dozen cookies

The slowest stage is Baking.
A tray of cookies shall pop out every 10 minutes
The slowest stage is called the BOTTLENECK

10 minutes is the CYCLE TIME for the whole
process
CAPACITY of the process in the Inverse of Cycle
Time which is 240/10 = 24 dozen cookies
Rajiv Misra
A finer point:
Some start-up and Shut Down time is needed.
First dozen cannot come start till 8 minutes
after you open.
The last dozen must come out before 8 minutes of
close (so that rest operations till payment have
time)
Usual concern is with steady state. Because work
can be left partially completed overnight
Rajiv Misra
Rajiv Misra
We considered orders for one dozen each.

Let us consider different order sizes.
How many cookies can we produce if everybody
orders 2 dozen cookies at a time?
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What time will the Mixing Stage take?

10 mins (6 + 2 + 2).
This time is for the order not for a dozen.
What time will baking take?

10 minutes
This time for a dozen. It is straight run time and
there is no setup time
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Hence, capacity in this case is not affected by

order size as the bottleneck’s capacity is in dozen
cookies per hour and independent of order size
Rajiv Misra
Rajiv Misra
How much time can you and your wife study for
OPS during this four hours?
Look at the work for every 10 minute baking cycle
You have 8 minutes of work for first tray of order

and 2 minutes for 2nd or 3rd tray.
Wife has 4 minutes of work (what about payment? –
for a 3 tray order, he spends 3,3 and 4 minutes for
each baking cycle.
This time is labor time. Rest is idle time
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Can idle time vary day to day?

What does it depend on?
It depends on nature of order size (proportion of 1, 2

or 3 dozen orders)
It depends on whether there are enough orders
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Impact of labor costs, if you hired people?
If we hired people we would have to pay even if

they were idle.
Is then labor cost Fixed or Variable?
Hence, the need for Labor Flexibility – when you
worked idle time is spent studying (hopefully)
For hired workmen, other work they can do.
Rajiv Misra
Rajiv Misra
Can you afford to divorce your wife and do all the

work yourself ?
Consider 2 tray (dozen) orders only.
How would you go about it. Think graphically!
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work yourself ?
We shall draw what is known as a GANTT Chart
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Mix, Spoon GANTT Chart

Bake
Cool
Pack
Activities
Pay
YOU
Wife Resources
OVEN
0 5 10 15 20 25 30 35 Minutes
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8 2 Note : This
Mix, Spoon Tray 2
shift so that
10
Both you and
Bake
wife do not
Tray 1 5 5 work
Cool
together
2 2
Pack
1 SHIP
Pay
YOU
8 2
1 2 2 1
WIFE
10
OVEN
0 5 10 15 20 25 30 35 Minutes
Gantt Chart for two tray orders

Rajiv Misra

work yourself ?
GANTT Chart shows that both you and wife do not

work together, so you can divorce your wife.
Rajiv Misra
Rajiv Misra

work yourself ?
Draw a GANTT Chart
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Let’s consider 2 tray order and only YOU working
Cycle Time = 20 minutes.

Labor-mins = 20 minutes (for one person)
Labor time needed = 17 minutes.

8 + 2 (Mix) + 1 + 1 (Bake) + 2 +2 (pack) + 1 (pay)
Therefore, only YOU can manage
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Let’s consider 1 tray order and only YOU working

Cycle Time = 10 minutes.
Labor-mins = 10 minutes (for one person)

Labor time needed = 12 minutes.
8 (Mix) + 1 (Bake) + 2 (pack) + 1 (pay)
Therefore, only YOU alone cannot manage.
You are now the Bottleneck
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Rajiv Misra
What happens if you buy a new oven?
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Continue
bake
Mix and Continue Receive

Cool Pack
Spoon bake payment
Mins 8 10 5 2 1
(6+2)
Cap/hr 7.5 12 30/hr 60/hr

(in doz)
The bottleneck is the Mixing Station at 7.5 doz/hr - for one tray!
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What happens if we get all 3 tray orders ?
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Continue
bake
Mix and Continue Receive

Cool Pack
Spoon bake payment
Mins 8 10 5 2 1
(6+2)
15
Cap/hr 7.5 12 30/hr 60/hr
3 doz in 12 (6+2+2+2) mins can be mixed. Therefore capacity is 15 dozen/hr
The bottleneck is the Baking at 12 doz/hr - for three trays!
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Therefore, the identity of the bottleneck and thus the

capacity of the system depends on the exact
composition of the orders.
Hence, equivalent measure are sought to be developed

like value in Rs, tonnages, Standard man Hours etc.
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Parting thought:
Why did we not consider Cooling in the Capacity
calculations?
What would happen to Capacity if Cooling time
becomes 15 minutes instead of 5 minutes currently?
We would also need to consider the impact of trays on

the cycle time. Tray must be back for next cycle if
we had only one Tray
Rajiv Misra
ANALYSIS AND VOCABULARY
What is the Critical WIP for this line?
Rajiv Misra
Mix and Receive

Bake Cool Pack
Spoon payment
Mins 8 10 5 2 1
(6+2)
Rajiv Misra
What is the Critical WIP for this line?
rb * T0 = 1/10 * 26 = 2.6 dozen cookies
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On an average this line has 10 dozen cookies (WIP)
What are the best, worst and PWC performance

you can expect?
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BEST CASE
CT (or MLT) = w/rb

= 10/(1/10) = 10/0.1 = 100 mins
TH = rb
= 0.1 dozen per minute
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WORST CASE
CT (or MLT) = w T0
= 10 * 26 = 260 mins
TH = 1 / T0
= 1/26
= 0.038 dozen per minute
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PRACTICAL WORST CASE
CT (or MLT) = T0 + (w-1)/rb

= 26 + (10-1)/0.1
= 116 mins
TH = (w/ (W0 + w – 1)) rb

= (10/(2.6 + 10 -1) * 0.1
= (10/11.6) * 0.1 = 0.086 doz/min
Rajiv Misra
COMPARISION
WIP = 10 doz CT or TH
MLT (doz/min)
(mins)
Best Case 100 0.100
Worst Case 260 0.038
P W Case 116 0.086
Rajiv Misra

Process Fundamantals OPS

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Process Fundamantals OPS

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PROCESS FUNDAMENTALS

Flour, Yeast and Water are converted to Bread.

There are two mixers,2 proofers and two Ovens so

Draw it diagrammatically, Using the following

Storage of Goods (WIP/FG)

MIX PROOF BAKE

If Mixers, proofers and ovens were not set up as

MIX PROOF BAKE

Individual Tasks operate in Parallel

The process is in two parts

Fills MIX Fills Fill/Fold Fry Pack

Parallel lines – but is it same as earlier FG

What is the Capacity?

Bread Making WIP Packing

1 hour per 100 loaves 3 / 4 hour per 100 loaves

What is the CYCLE TIME

Bread Making WIP Packing

1 hour per 100 loaves 3 / 4 hour per 100 loaves

What is the CYCLE TIME = 60/100 (Units??)

1 hour per 100 loaves

What is the CYCLE TIME

1 hour per 100 loaves

1 / 2 hour per 100 loaves

What is the Manufacturing Lead Time

1 / 2 hour per 100 loaves

Case 1 – Each batch starts every 3 / 4 hours

What is the Manufacturing Lead Time

1 hour per 100 loaves

1 / 2 hour per 100 loaves

Each batch starts every 3 / 4 hour to coincide with packing

What is the Manufacturing Lead Time

Line # Batch # Start End Pack end

Line 1 Batch 1 9.00 10.00 10.45

MLT = 1 and 3 / 4 hours

What is the Manufacturing Lead Time

1 hour per 100 loaves

1 / 2 hour per 100 loaves

Case 2 – Each machine is loaded every 1 and ½ hr

What is the Manufacturing Lead Time

1 hour per 100 loaves

1 / 2 hour per 100 loaves

1 and 1/2 hr so that bread stock does not pile up

What is the Manufacturing Lead Time

Line # Batch # Start End Pack Pack MLT (HR)

Line 1 Batch 1 9.00 10.00 10.00 10.45 1-3/4

MLT = Average of 1-3/4 and 2-1/2 hours = 2- 1/8 hours

To meet your expenses you decide to start a Co.

Your idea is to bake fresh cookies to order, using

The cookies will be ready for pickup at your home

What type of industry are we taking of?

Location of the Decoupling Point ??

¾Additives are added based on customer

¾ Mix all the ingredients in a Food Processor.

¾ Take cookies off the tray

¾ YOU Mix all the ingredients in a Food Processor.

¾ YOU Spoon out the dough onto a tray.

¾ This takes 2 minutes

This finishes your work and your wife

¾ Wife puts the cookies into the oven.

¾ Wife performs the last steps also.

This is the process

Some Simplifications (“Model”)

e.g. Preheating of the oven (Startup) etc not