Wha is Operate? A funchion of dyson that jramsfors input into ouput a grcabt Value. Conde! Dutra 1 hd. ut Trarofor lo roa |r" Conch, acon is yo Meare " \ econ — mean pekn ot ue -__eanet_| ' Joon pov ‘om frrabo SF Conse} |---t ras eg— Zane (4 weeks idva 40 a Sbne) Nowa ame And aboye, (sudaeng ovmage Sieg, aasernbly bee concept) Ube [4 dimion —> Produch Airibite Prowse Conpaseney %4 pace al — Coat — Cort Conpetemes | —Raporse hme — Flow Hme — Vox = Heniviiitg = Quoby = Quality am orden and delved. procunement leak time. —> Hime borwnen placement 4 manufacturing leadk time—p tme boner prepara on m aralacoig 4 poste ulech 4 wal ancl compton fo Stock) "Zee Hime UiKe @ Supensiowe) — Prodece in anbicipakion of customer ord 2 fo Cusdomer ord ms (Male, Cy failon) Mro (Nak & ord) — in exp ons ATO ( Assemble. fo onde) > C Pc aosendly) _)KEA TAKT Time c eb fore vo at to me sndbvank pnacun bine for | Tre bolt tts Paparch on Quolomee demand each Shep-eke~ ‘Rice prop” Hu matenol ancl fe Combe Césad on demard volt) tad peed be (variable unit) = Neb production Fie 6 fp . NA prcdachion Tine ro of enits made (Oey bebatn te Short and, Customer Sermad. a pron) of flow uruts that move tanouph a proces Throughput time nde fo auwage rumbor por sprae unit of mee Cfo vole)Managing Theorilicod time. O May the work Conbmb ef Critical pak (work. m ae) © Eliminate won value adaling ookniy (wont Sot) © Reduce amount of Rework. ® Incnaase spud of opvahon- (snk for cite § Law je ory able proces, awcraye. isorbory pve hscup pot milipled by ovmege Pans here D=RT | when. inflow vate exceeds Oulflow sole, ag no of flew unis tak indscals Hime needed, wee wae sales TLL um Lit opi precus incraass. Invenlory 15 fotod por urié hme pe saraber, of fe units Praek witht prow boundaries (wiP) Mi paige space fpeerly Joely plomsing [me ee ead é makin which sinslox egup mat om [rohons ant groped tegen confers oeconolicg fo proces ferdion they pepo Mbvandage, - Fieibit hi 1 Gncruase oc ma reise movernent || mabviod randling “| ace a Png ope ~~] preiens la out > fo in departments 0% worl phararh visti, — frbermiteat opuohors , Sonica. Shops, gob Shops, Both produchon Drsedrnrhage — Je de (fod bee bh Conn — where te (ovale, He wea Uo pong and dpe. on machina Covtors Yan to dot) ub tom jolubioe — Gost info on © custome ondes ancl prajchon — pro duck Layout Annarge achivilite in O dine acconalieg to He sequence of P ty be porformel fo asrmble a patedlon product : aobvordag e tffeemeg anal ease. of Use dsadverbagt — Snplenibiliy wxations tak reecl to Tha mayor. lancom in @ Hoduck won J we aw embly bine to fake no one becomes a bottleneck. Jag out is balaningPrajech logout > poor is not on optim waa osition % FRSOWEES | jouw is on ging goin control of mmalensal fo and. snaducing days. Collabon Layout [ginal legen seus fo expr greene components McDonald's Assembly Line pri, av fre basis fon ie wommonabity in manufackvnrng canal Sed fp ond ours - He imbolamce bebween machines On prsonne while rerhing e. objwhve is to rents ind output Dbermin opel Hime vot uv no wo on § sre cedente, relationships J cole Hreamical munamuan = mn Cutan je dine ty wig ring specific — min “yn of took time (7) e —— Hee = ae pus . Cyt Requind oupet P 4 : L pant 4 nism x ronan un of, tak Homes (7D ®) 5 rei ~ Cele fime (6) le Drocets ara ghen bekow To meet demand, al Fit mead to produce 6000 4 ; fruit sts every 46-how. Design an assembly line'nith the fewest number of Line Balancing Workstations that wil achieve the sroduevan quota without vlatingLine Balancing Gane Ne2s Jom Gls dole Assembly-Line Balancing Prwbloms Line Balancing 1. Specify the sequential relationships among tasks. 2. Determine the required warkstation cycle time. 3. Determine the theoretical minimum number of werkstations. 4. Select a primary and secondary assignment rule, | Primary Rule: Longest Task Time , Secondary Rule: Longest following Tasks) 5. Assign tasks, G.Evaluate the efficiency of the balance. 7. Rebalance if needed. Assembly Steps and Times Home Exercise near bet. 500 First use the principle of Langest fllowing Tasks an Longo Tak Time Fine the elffarence and comment.Five Helpful Ideas for Supermarket Layout 1. Locate high-craw tems around the periphery of the stoce 2. Use prominent locations for high-impuls andl high-magin item's 3. Distribute power items to both sides of an aisle and disperse them to Increase viewing of other items 4, Use end-aisie locations 5. Convey mission of stare through careful positioning of lead-off department Copacsty plonring Copa capes bo proms: Cnc odes ophnisng tr i ' ive a otek overall (opHimad) lov of proiah Planning Over a Time Horizon ions for Adjusting Capacit Modify capacity ay ya “na act sn wait OX 2 H0§ on ! 7 p. ant ‘he dem a) oe mS nce Ne pobie om i ae = — "paage balan ae bebe, opel oT jemid neBteps_in_Copocty Ploonning » Evaluate exishng copauity 4 foci i catrvale. jutone apaoly pegamemink v Assan Ke conduck fdentify aliunarve ff ps pitetve nanvel <— inehrg meg umemends JL ques fiends f sis t Sulut BON Jon ot Qualls en ed wn Hoviton Aes a yuu, Sup yte cree > "4 eh ol operations whose opuahen in o 0g vente ra is Jour than thot of He oth operation: gn the bottleneck * Lattlenek_O, weal or apn - js bavecl “pm fel pub por hous (& oO capt p Frime tok beg £ op) © Flow Hime / Porongh Ha dyplin = Ve 9) pot time Ctotl spore in precaa + wakes Example of Decision Tree Problem: Tht Payot! Tabla woe in i Me whe fival out ex peckal vale here wt ~ (0.4% 40) +0 % 50) $0 -1x 1) ond Pru idenh fy He highat moxfmin volne»Brak wren poirk CFited Got) Q gee = bh walt a ea oot Break-Even Analysis jsearont Hp | econo | > Board SN sestie coun ato \ | E - er ott hl ta mes + mom pyar aressen agro) = ait FE ae Be oat fonchon Ob ymet cluct Ae opproach Hak whtaroks the voice of He customer into the pro i ceabe clon) amd Stnvicts devdap rind pre cobtvong Site! oa _ House Of Quality =». aot eocrunce Vale An oly sé” vE/ya (value of a function 1 \ALUE ANALYSIS (VA) dina, a3 the weabionshp 9 ost 10. performance) [Ashortage of materials rig Wer Wor Val, 2 Perfvenam'e onan) in ‘UGenerat Electric com Cost Cin) pany found that many ofthe substitutes have heiter oF eaual performance a ess Cost lawrence D. Miles launched an eHort to make the concent systematic for US defence products = Value Analysis can be defined as the organizes! and systematic ‘approaches to provide a required function at the lowest cost consistent with specific performance, quality and refiability, or ‘DEstablishment of Saciety of American Value Engineers “SAVE* in 1959 Valve Func ov. (ron) hoa _vwoyg bo de ib: ™ ox Bonnes (win) @ Value Enhancement Cadaling rome Vodue) @ Materviol Subs tion (chropor alkrmakvs ) Bn na Cary pt mieMaloval Leg urement Plann saguineontenle fon enol. items indo. time~ phased Tramslabs master Schudbole ‘unts, ome HOW nate als reg yintera ents fon seb assemblin, compon anak is reve. 2 — (Bomb en posion) no? tw much. ie needa 2 Cnetng) (Len lam 5 neede 2-~ (leach hme) (od Setting Tey" Overview of MRP c —— aes Dred wanagenare Decne ep puaeck i6 & tempor ag a and tayyn umdertoKen 70 create a WeigTe protect, Service on esl heal — Speepic objeche (colin. Spey cation) — dnd Shard amd omd dob = fonsing inits — consumes Weounced arta C planning, scheduling, row sng, ondtalg fosko) [Pri Bor 200] K —(Tople lowit aint of @ poset) eg < \ Ge Bedyok Ltte Stand sith mas ard. Nebwonk, diagram (tat neids to be clone) Rapnsiility Molen, veil define pole anrcl. cnpuching info for “scam ho execichion: Responsibility Matrix (RM) — Homposhene sting Gis Pete! Tuam Mamta Connita PAD cama, i Caries Manager Ti ca ews san ped chen Project Sehodel Techrigus sc oA 8 1 ' ii Malhek CPM) ema HS ce sie emt iat © Critial F ane. Know : a are fale dorahon (hmelie) tener kOe Ot Tene hiet ae 4i jMonindy Siuna Rlaport 1 1 R c 1 var © Ca toinlf poole se ts The Network Diagram The Network Diagram (cont'd) * Network tprecedenee) diagram — diagram of project hak acivlles at shows sequent relalananips by he une of som and nada + Soqucroe ul eaves tat eads tom te starbog node To he thing pace * Acthety n-arrew (AOA) — a network diagram convertion In » Caitical path Which stows designate aowveies " » Tre enact pty determines expt prcect » Actuty-on-node (AON) - a network dagram earwention in ust which nodes designate fctivives. + Citical activities » Acthoties — project that consume msourees ee aes Braior hme. + Stack = Allowale sipnaas for path: the derence the ~ fama the sang nd titra fetes, dented longo path and te length of eal path example: AON Example ia ne Fao Marsa) Asses From ~ yaa oie. wank fo cuash vie. need fo Determining the Project Schedule focus on wodluc [int hee say he critical. p Cooter on o Pas conte adsl Is ighanroatin ae ae ptm a at gape once prinirram Fime neg fo nse Pe prt Sams pos CLifb be yu lay stat /Eonly pos Cehose Mog) Backoond. pu C Big to Wp) lake Shot late from Corwose min) a) c lack. Cactvieg Hak fea om Pe OM 2 in ornrbrally ddag We whole prejet idee wi ally Critical achivity hao cm ~ eng ong coifeal aahuryCritical Path for Milwaukee Paper Project Crashing dup fo _ past crashing Mapbevs wee _ “Oe minimise the ‘fod Hime. 4 inelodling ra MAUL amo fhn guahon : folubon f PERT — use & probebitity distibubion fo activity tima fo allow fox VoruaditiyAchd birt) beta blishing the he ee ites in on oxgan radio ~L4fuchve Schadalng can i > Ot Scheduling Approaches oh ” + Forward schedling:Schedlng seu tom “bay sono pani in =, "enien 1008 secre ne | Puonity - Backward seheduling: Scheduling from some cue date ee Hungarian Method owt rector: iba the sraiest arb wach rw for every puriber in Bae row CColurre reduetan: subtract the:smallest number in each column farm every number in the slur 9. Test whather an optimum assignment con be made Destine themida nue nes reso coat ull ste ee ge toning (took Jon 7% reoluchion ample. Sequencing Toks : Segumcing NN jobs on (40 deteumine thy onder im whicr. jobs FCPS _ Roles > prog & SPT EDD — ealiat due al SOS Henge Met! whe vse cf equipment, facilities anol Soning, wmphve advantage, Ce. ve one han types of Behidluliry methodedory ys fod eh mnebrod ( Linear progra mrd’ Me we C for ee ment et fasts and HyebouCS)) ethod of onnigning Joes amore moiding to ilenihy vem below : Assignment asian Method! -» (M @ one- fowwt Cast solution) 41 Ifthe numberof ines i lees than te number of rows, modity te fable: 5 Subset te amatestsumar wom eveyy uncoueen number ha i 2 dd the aman remverscrumber fo the numbers fared of cmt Numbees crosad au! rata osocona of ceasoul Hoes cay aver Uncharges te eet ate 5, Repeat steps: 3and 4 unt an optimal table s obtained 8. Make tne assignments ogi a sons or sum aM ney ome HN asonner Paavo, wea) om ae EOS wn He PPT Shared. 4 fa Sind one Machine at a work, Gntr will be processed) srosha processing Hime late LPT —longah procesng Hm RS — andor sdedion Performance Criteria 1» Makespan (processing time) ~ Toa ine ress! to campiae 8 {group af jobs kom fre baginrng ofthe est oo i fw completion ot the Sat >> Flom time — This ainount of tio torm when ob arves antl ite fine > Job lateness — The ditereron bepmeen schil completion date ard ihe ue tang ‘Sunvot tte Na te Avaiags competion tne = epee etl pb work (processing) fe Sar arses —— ‘Suma tota ow te Tota job wore processing time Total nt ce Tinie o jabs \utizaton maine = nverapa nun et “abn ne system = Average jb lteneca =achine on work umber ef Jobs Sequencing Tots on. Toe Machines: (Johnson's Rule) Jat paw Wiargr the Stome hee m — ows with Qo mone oes dle hme. Cin Nia. problenn, Nm Contos = Minimags foled pron’ tome anol Hough 2 non station) Augen preg £ hie Lfjeng Ebr fae mu i th pe. (_rrinimise macunce C dong sings ght ee andl. tart planning sage. Fo mmo ig & at You fiat Arne) ’ cardol of alt the puoduchviy) jesouen that ane Uuoed. fo produce goods om prone & in Poe Uppy Chain> vice Apgregah planng i 0 pavcew by which @ company dhbowonins ideal tev af copacty producer, 0b Contvackng , Intend ore , Sjoleouls, and pring ow & plamong hanigon of one ov foo fon, usvally in monthly on quondony = ofa proms imeeong Af ego deations pathen, Pram Stk Keeping writ (GRD Joud — deciaiort = ng fous product fomilio om ei Copaci peguisemend dabtyr than individoal cahiens q Cdomand is Hp flsctstrg) tims buekt- phoducls o% Speepe capac — [oct pion cnet oe SS at am ogguipetel pan — — t = SS = dsoggng oe ond al << <=>” mgion Wise" ' 1 © work Force @ Overtime @ Mochine Copecty devel O Subcontracting @ Backlog (demand not Sohsfid)O Amventong or Hamel. Mamagors hove & Yow options in develop yrogate plans in as rede demancl “ carn a med Supply ophiors — Hiring § lay Uf = Demand options —_ Prucing overtime. | Slack: time = Promotion = New demand Goat —time worked — Back ond Sryentens Sub = cord xachrg # * jncarwe tomar ether roe orcas araChoosing a Strategy ‘Chase Approach Level Approach + Capacities (wworkfacee levels, output + Capacities (workiorce levels, output rates, rates, €tc,) are adjusted to match denand ste. ate kept constant aver the planning, requirements over the planning horizon. horizon, + Achase strategy works best when + Alevel strat inventory invento: costs are hi costs are costs ace relatively low: + Advantage investment inventory is * Advaniage stable output ates and low: labor utilization is high. ee + Disads - inwenlory casts; * Disadvantage — the cost of adjustments Sl eld tee a ew. een uuliizations that vary over time Numenical_ approach. Hime pood ale ploduchon. pla profes Hoa production ve foreach Hime p cr ee porigon, Auch 08 Week. OM month P- Puoduchon i fone Decision vorsblea in poo andl - 0 orig ob ine end. of pocd + Te - Saver tome Minimvee, Toto! Prodluchag St + Nomeicod Example : obj fa Tilt inventooy COB |e erie eas w determines uezepate pi oc he set ise mae, Denne taco ee JP, BR, +H-SR +080 (4,+2+T) ‘Simulation find the optimum level (unt to aveld shortages, mauaimum demand is produced! ua is 380 ants. ‘Month 1:0 458-250-100 ‘Month 2: 1004980 ~ ‘Mone 3: 100 + 55 ~ ys0=100 “etal coat = 1) Brahe ashe emai eds F380 + 9ISO + a1 IE +e ADreHOne.O0+ 100) = 824% ‘Honve, 300 unis procuea each mosh gives heGor rou ‘Mone 1:0 +100 =-250=50 ‘Month 2:50 +n 35040 Month 3:1) +99 1808150 “ete ont 810500 Beluon 8. What wooky peoducion ria is necessary? (2aor2 S003 co+3}900+3, 500} = 700 uvtaweck 5. ina te ering emery oe ve te sly Your ane pan se ke ak prey rhe ane ee amJonvesshing — "4 objadva O undue tonding the 3 frme Honigons C to foresee possible Jukn 40 use Qvobitave & Overditabve models © Appyng Love caatiog Hehnigus Rist andl. fovecostg ) Bord on historical date _ . Coma at “y forecast voor Cdern ama uncoioty) is imp fox oypply Hain ve ost. eg * Shore wange (SF morse) ATM cask fore casting Fine bosiserd J yaplaam norge (Srrits 12 5 Sead Long kamge C 23 yd Cla rights O Agger forecasts ane uovally mone accurate than disoga negate forecasts ® Short - tye forecasss one aavally mone accurate thon fener? Economic foe sips of foment __ quanwolope | Demand. forecasts (deve 2 obey produchion. ,capacily ana Scheduling os inputs to firaneral , mondiding , anh posonneh planvng?) > [ Rescaonch C PEG) la nn’ Y Collborolne 617 [se Quolitotive opproeh Ovarhiative fore bh npslon anal BwVE by si vend approach. quouve oF opinion and expinh opinsons: Celpea whol) Assouoli¥® Sint gon nod eu fee — — B 6 tonne Sunny Conk a ont Sv i » endl LO | N pare L L Sg Linvox Mov" 5 D\ external Regnasion oe es wa oat srt is that pact of Ue i eth he forwcast that deste fe pany cannst (and shonald mat) forectst cammat ened shel ot) omc CaS ers pees otimeateeneloved — avorage value in the Suutd trunk — rnoreose, OF decrtsose, veld Suaconalily— xpeang Sherk tron = A] dala shows seavondily / ballon — we com vse Ggnesion jn ty Stove ch, in thy Suite 4, Matis wpe sonst, wth Seasorad, variations. te ferent fon ““ . valut cunnunt season 15 Ogu to The A simple But widely used appeosch to forecasting if the naive He fast Seanon in py Sous Fe a a tc Me ee stone 2h) Of 6 oxcssat CBared on hO «yw ee, th it ata pont Pecomes the recast fo he net oo Tm, iil Raitt ed 0 ce et Fortis week nbc, 4 cost oh trode incor? Grommollt % + an 00000 t Debaetn cost se Pre Lo, Simple Moving Average (SMA): A SMA forocast uses a number af historical actual data values fo generate a for 2 Weighted Moving Average A weighted moving average Is We sscume that market demand yell stay fourly steady over a 7 ee rie ‘ foitly steacty similar to a moving average methoxt except that H ity philly Period of fime, Thus, the moving-average method is used Assigns welghts tothe most rece values ia ime series, when demand has no abservable trend of seasonality. In this case, ‘iystematicsomponent of demand less} — Aemonth SMA is found by simple assuming the demand during, Note: sum of weights sheild be 104) 5 the pat month ant Giving by Coblg angst a 1 nov ews sma -E! usnperiods Where nis the number of periods in moving average Siweatiengs ME AS another weighted moving: average ie evigring epemetily forceasting methonl, The difrice fis focresing mls acer dime. Ie nwevos very less ascend of hoeping nd ke pastdata, fn this case ystemiaticeomponint ef dh iin co in orl Tram Cquabions4, Trend equation: When trend is observed, «=F-b2=M06—1054-4 Thay the least square tren a Pec Patimnted demand oreo _ a rand etichin\(yeld'S rrodel) ++] (wn Hore ig tev ‘anal dun WW ode) (bat ston) ents Peel] —ohen we hove all lord, trend anak Seasonally | When fo order 7 Tivatorg Honagennt Com much. to order? Saved Jnventony a Siock. on Stowe gor Ch avai & Steck - out) — Effuctve inventors managurint is important fH te sucoenful eporction. ff moat business ark fee eyply Chains int Coons 4] 2 Bt impacts markibng, operahore » and ‘hnomce- [4 Somber Srovndoeg Frpeonak is dependlond am (Ormond forent” aye 4 Srey — Roms modviol Reguinement fo Effeche TM Won proces Sori fsshed — Syphon to tack. snvendois 2 hamel Finished goods invenlotd on onder Scrap — Reliable precast demancl — Knowledge 4 fea, rea [bead ime Arseny Comnig Spr nel: eslimale, of irvenlory Coat O Poiodic Splom — Sendole weekly [morthly SKU Court — Claeiahon Sp for int pm O Continsoas Syphon — Pracks hemaerinG Invent «eK tach. fime a withdraw) is made @ a-bin Syphon Reorder when jo bin is omply @ Vravorsel produck Cde- Reading bax code © Point of Sue Sphon ~ fecords GRU wha athal Sale. happens RFID — Raolio pregame Mork fpeabion. Guernsey ability to frock, Heal me Tags tranomie infotemobon. to locote ony dlyset- Inpronk Sof, Convenience anol inv ef management. aq Zara, HOM, FashogSritnbory Cosks Oo O Hobling/ enouying (ost cumk poi to viedon tg — nerchowsing, ransanelor, dprcahion, damage = okt Got _f Stnape x loo voc feed onruol imeeny ® Ordeoing Costs (osk aascuakd, with ordvung ona MWe © sep Oe il of hun a company produecs ils own /nvembe inakad buyig oulside , machine Cast, © Lhorlage Cools Sthpast ce T fined Gr] sresulls whim demand enceeds inv ay lost sala, Customer geod enbosey or Proved Sroentony Classi ficabion Syslern Adting op a precedence af itemo pared on (dollans invested, prapit StocKouk penaltis, Soy ck) [ Pareto pronape 1 © ABC Approach Sp (ey imp) — 10-00% in venbondy polenhol, Sale, volume, __s 60-b% q olallar valve L “ae (imp) — 20% inventor] > g-a0% toiol abelian vale 4 cern errand. VC Cleoat imp) 6% —- ©” valve x yk Cost Sovendong ordeing polices @ How much to onde? ) CStuva fo anenioe 2 que Hons — @ whn © orden ? © Exorome Onder Qvankty (£08 Hoded) — Cophri2®? (wed te iden a pred osder Sige tat wil) rend mize fou total inven os) — aro nies haw mach ob ord (optimise ording holding, pancteoe 1) re(ge CKD 4+2DxC, + AXE oxCe 4 2 i \ ott Y os ‘ baal sae “f yaitd oa Poe cose = a ort ate ee Cen e QvonbepBOQ Model Cost Curves == Reorl por ‘Reorder paint strategy - when to order “uc en 1 Sapeeth oie anand drop Sivan fientery reaches 00 In order to meet the demand during the See - fd upwidh stockou ¥ mami inven Ce + She Wass Vendlon pacbliom- Covninge Sevage in a word of uncudoin demand) Sypply Chatee abed- Objubive is 40 maximise Overall Valve CH - wine 15 He dna bebanen hak be prot pradiel WAS AP oma Custom and ix effone the Aupbly chase enponde pulng Heguat- , an is correlated to 4uphly Chain prope ae 4 lena tre Uncertain. challenges — Palitieak [otous, » vuhion Im pre Exchange yaks. ack. of (o-ondinahion SH disruphon, Sufply Chain Madeval managemit Aovxcing, prncunemert | sul moagement \ 0 distoabtio Logishe (romeo for fomcasbig oud) we ) SruntorgDecison Ghous of 2 Spy Chain — chain aligy ov design — locahen, capaci of acility, product on, Syply ain St a4 9 4 4 i % n = sh d chain ee policy for Short rewe operation ¢ Pe ntrocing backup locabion , mentee, Time Horie, Allocate osdew to inser. 3 ‘h debivog schedotes, place replenish . views of @ Sipbly Chair oe onder (pu Ho. cree view ad, into — extauteol im pers oot ondex (poss) ahividect * — onbici pation proces is ° a sue of cle Push/Pull Processes for the L. L. Bean Supply Chain ‘tee ke t Kecf tee pean’ wom || YM steady sa Goalopes — Conaisloney and Sippel biborara SC Cran GE coed aspintel! Strakgy , and o/b = Compeblie £ Sophy {metiona Shakeye is enporbond = Adi wing Strodgic coe ~ Cepanding Birla p Cale Chain fox @ Gmpary ) Frama deanly hyve Trokge Mini Bao New \\ Marketa) \, trotect_) ant YOpeanvas )Barisutan) Senice Development! Salen / if t ZL £ Z a cx priowtieo 4 Compe Sprakgy and supply Crain pred speiped. ym Shy Chon brabipy