Unit 1

Introduction to CIM Technology

Rehg & Kraebber Chapter1:

TheManufacturingEnterprise
Introduction:
Manufacturingisacollectionofinterrelated
activitiesthatincludesproductdesignand
documentation,materialselection,planning,
production,qualityassurance,management,
andmarketingofgoods
Thefundamentalgoalofmanufacturingisto
usetheseactivitiestoconvertrawmaterials
intofinishedgoodsonaprofitablebasis

Introduction:
Thelessonslearnedinthe1970sand
1980sresultedinchangesacrossU.S.
industries
Asaresultofimprovedmanufacturing
practices,U.S.industriesreclaimeda
leadershiprolebythemid-1990sand
willcontinuethatleadershiproleinthe
nextmillennium

ThreeStagesofManufacturing
Retreat:
1. Emergenceofsmallelectronicconsumer
goodsduringtheVietnamWar
2.Japanesepracticeofcopyingsuccessful
U.S.products
3.Offshorecompaniesandrapidproduct
developmentinthelate1980s

Return to Power of the United States

Manufacturing Industry
Was as a result of the following factors:
Economic factors
Business factors
Political factors

ReturntoPower
Economic factors:
Deregulations of energy and communications
markets
Low inflation as a result of downward pressures
on wages, the price of raw materials, and the
deregulated energy markets
Falling interest rates during the last decade
The collapse of Asian economy owing to the
excesses of financial institutions in managing
real-estate portfolios and corporate loans

Return to Power
Business factors:
Consolidation of competitive companies and companies
with complementary products in most markets
Restructuring of corporate America
New and expanding technological leadership
Partnership between the United States and offshore
companies
Adoption of CIM concepts in many industry groups
Increased productivity as a result of consolidations,
restructuring, technology, CIM, and better labormanagement relations.

Return to Power
Political factors:
The consolidation of European Union
Pressure to open closed markets

ProductVersusProcessGoals
ThesuccessofU.S.manufacturersfollowingWWII
wasduelargelytothetechnologyandindustrial
basespawnedbythewarandthecaptivemarket
associatedwiththepostwareconomy
ThemainreasonothercountriesbeattheU.Sinthe
1970s/80swasbecausetheyspenttimedeveloping
theirwar-tornmanufacturingbaseafterthewar.
Tobesuccessful,amanufacturermustmeettwo
challenges:externalandinternalchallenges

ExternalChallengesResultfrom:
Niche market entrants, traditional
competition, suppliers, partnerships and
alliances, customers, global economy, cost
of money, and the Internet

InternalChallengesResultin:
Aplan,process,ormanufacturing
strategythatforcescongruence
betweenthecorporateobjectivesand
marketinggoalsandproduction
capabilityofacompany

Order-winningCriteriaare:

Price
Quality
Delivery speed
Innovation ability

ProductLifeCycleCurve

Sales

Introduction

Growth

Maturity

Decline/Commodity

ChangingtheProductLifeCycle:
Kaizen or improvement of current model
Leaping or developing a new product
similar to the initial product
Innovation or using genuine new product
invention to identify follow-up merchandise

Order-winningVersusOrderQualifyingCriteria:
Marketshareisincreasedwhenthe
order-winningcriteriaareunderstood
andexecutedbetterthanthe
competition

MeetingtheInternalChallenges:
Analyze every product and agree on the orderqualifying and order-winning criteria for the
product at the current stage in its life
Project the order-winning criteria for the future
stages in every products life
Determine the fit between the required process
capability and the existing capability in
manufacturing
Change/modify the marketing goals, or upgrade
the manufacturing processes and infrastructure to
force internal consistency

World-classOrder-winningCriteria:
Setup time or time required to get a machine
ready for production
Quality or % of defective parts produced or %
of total sales
Manufacturing space ratio or a measure of how
efficiently manufacturing space is utilized
Inventory: Velocity/residence time

World-classOrder-winningCriteria:
Flexibility or a measure of the number of different
parts that can be produced on the same machine
Distance or total linear feet of a parts travel
through the plant from raw material in receiving
to finished products in shipping
Uptime or % of time a machine is producing to
specifications compared to total time that
production can be scheduled

TheProblemandaSolution:
Cost of doing nothing
A solution

CIM has Different Definitions for

Different Users
i.Shopcommunications
ii.Recurringprocesses
iii.Non-recurringprocesses
iv.Engineering/manufacturing
communication
v.Otherusers
vi.Improvingcommunicationthrough CIM

ComputerIntegratedManufacturing
Refers to the technology, tool or method used to improve
entirely the design and manufacturing process and increase
productivity, to help people and machines to communicate. It
includes CAD (Computer-Aided Design), CAM (Computer-
Aided Manufacturing), CAPP (Computer-Aided Process
Planning, CNC (Computer Numerical Control Machine tools),
DNC (Direct Numerical Control Machine tools), FMS (Flexible
Machining Systems), ASRS (Automated Storage and Retrieval
Systems), AGV (Automated Guided Vehicles), use of robotics
and automated conveyance, computerized scheduling and
production control, and a business system integrated by a
commondatabase.(HoustonColeLibrary)

ComputerIntegratedManufacturing
Istheprocessofautomatingvariousfunctionsina
manufacturing company (business, engineering,
and production) by integrating the work through
computer networks and common databases. CIM
is a critical element in the competitive strategy of
globalmanufacturingfirmsbecauseitlowerscosts,
improves delivery times and improves quality.
(Amatrol)

Computer-integratedManufacturing
Defined:
CIM is the integration of the total manufacturing
enterprise through the use of integrated systems and
data communications coupled with new managerial
philosophies that improve organizational and
personal efficiency

SME New Manufacturing Enterprise Wheel

WhatisCIM?
C+I+M
C = Computer
i.Enablingtool
ii.Informationflow
iii. Informationmanagement

WhatisCIM?
I = Integrated
i.Integrationvs.interfacing
ii.Sharedinformation
iii.Sharedfunctionality
M = Manufacturing
i.Productioncontrol
ii.Productionscheduling
iii.Processdesign
iv.Productdesign
v.Manufacturingenterprise

LearningCIMConcepts:
Process segments such as these:
CAD

CAM

CIM

CAE

Others

CAPP

QA

GoingfortheGlobe:
The CIM process: Step 1 (assessment of the
enterprise in technology, human resources,
and systems)
The CIM process: Step 2 (simplification or
elimination of waste)
The CIM process: Step 3 (implementation
with performance measures)
Managing the resources

Manufacturing Today
Off-shoring and job loss issues
Free market economy defined
Production-oriented activities in a free
market economy
The centrality of manufacturing
Recommendations

Off-Shoring & Job Loss Issues

Some operations moved overseas
Companies move to find market & cheap
resources
Off-shoring affects large companies more
Small companies are doing well
New startups in the US need manufacturing

Free Market Economy Defined

Aneconomicsysteminwhichthe
productionanddistributionofgoods
andservicesisnotcontrolledbythe
government,butrathertakesplace
throughthemechanismoffreemarkets
whichisguidedbyafreepricesystem

Production-Oriented Activities In
A Free Market Economy

Sales and marketing

Design
Production engineering
Manufacturing

The Centrality of Manufacturing

in a Market-Oriented Economy
Production System triad
Mkt

Man

Des

Pro
Eng

Recommendations
Manufacturing personnel should be flexible
and mobile
There is a need to learn cultures that are
different from ours
Localitys manufacturing programs should
be more functional relative to areas needs
Employ an interdisciplinary approach to
make programs more agile and adaptable

Chapter2:ManufacturingSystems
Manufacturingsystemclassifications:

Project
Job shop
Repetitive
Line
Continuous

ProductionStrategyClassification:
Relative to customer lead time
Relative to manufacturing lead time
Manufacturing lead time and customer lead
time must be matched

ProductionStrategiesUsedtoMatch
CustomerandManufacturingLeadTimes:

Engineer to order (ETO)

Make to order (MTO)
Assemble to order (ATO)
Make to stock (MTS)

ProductDevelopmentCycle:
New product development
Existing product changes

Product Development Cycle

1. Market Research
2. Management Review
3. Design Engineering

4. Production Engineering

5. Manufacturing

6. Customer Use

EnterpriseOrganization:
AsuccessfulCIMimplementationrequiresan
understandingofthefunctionsperformedby
eachblockofanenterprise,including:

Sales and promotion

Finance and management
Product/process definition
Manufacturing planning and control
Shop floor
Support organizations

Manualproductionoperations:
Activity enters system as either a design or request for
engineering action
Product design uses CAD to make the drawing
The product definition group lists the different parts of the
drawing as BOM
The manufacturing definition group separates the BOM into
those to be purchased and those to be manufactured inside
Manufacturing process planning determines the type of
machines and process sequences required to process the parts
The business production planning produces the production
schedule

CIM-Oriented Operations
ImplementingaCIMsystemenhances
andautomatestheabovemanual
productionoperations

PotentialBenefitsofCIM
Shorter time to market
with new products
Increase in manufacturing
productivity
Shorter customer lead
times
Improved quality
Improved customer
service

Shorter vendor lead

times
Reduced inventory
levels
Greater flexibility and
responsiveness
Lower total cost
Great long - term
flexibility