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Capital Intensity is the mix of equipment and human skills in the
process; the greater the relative cost of equipment, the greater
is the capital intensity.

Automation  is a system, process, or piece of equipment that is
self-acting and self-regulating.
   ◦ Fixed automation is a manufacturing process that produces one
     type of part or product in a fixed sequence of simple operations.
   ◦ Flexible (or programmable) automation is a manufacturing
     process that can be changed easily to handle various products.




                                                                         3–1
Capital Intensity is the mix of equipment and human skills in the
process; the greater the relative cost of equipment, the greater
is the capital intensity.

Automation  is a system, process, or piece of equipment that is
self-acting and self-regulating.
   ◦ Fixed automation is a manufacturing process that produces one
     type of part or product in a fixed sequence of simple operations.
   ◦ Flexible (or programmable) automation is a manufacturing
     process that can be changed easily to handle various products.
     ADVANTAGES
     Low variability (automated processes
        produce more consistent results
        than human labor)
     Efficiency
     Some degree of standardization is
        required
                                                                         3–2
Capital Intensity is the mix of equipment and human skills in the
process; the greater the relative cost of equipment, the greater
is the capital intensity.

Automation  is a system, process, or piece of equipment that is
self-acting and self-regulating.
   ◦ Fixed automation is a manufacturing process that produces one
     type of part or product in a fixed sequence of simple operations.
   ◦ Flexible (or programmable) automation is a manufacturing
     process that can be changed easily to handle various products.
     ADVANTAGES                             DISADVANTAGES
     Low variability (automated processes   Costly technology
        produce more consistent results     Decreased flexibility
        than human labor)
                                            Some degree of standardization is
     Efficiency                                required
     Some degree of standardization is
        required
                                                                                3–3
Manufacturing Technology
Much of the technology used
 in small- and mid-sized
 manufacturing
 organizations is relatively
 basic
   Machine technology
   Automatic identification
    systems (AISs)
   Process control
   Vision system
   Robot
   Automated storage and retrieval systems (ASRSs)
   Automated guided vehicles (AGVs)
   Flexible manufacturing systems (FMSs)
   Computer-integrated manufacturing (CIM)




                                                      3–5
Increased precision
                                    Increased productivity
   Machine technology
                                    Increased flexibility
                                    Improved environmental impact
                                    Reduced changeover time
                                    Decreased size
                                    Reduced power requirements




                         “With our new filling machines it is possible to
                         provide our customers with high production line
                         efficiencies for mass production and unique
                         flexibility.

                         The CFA 512 fills volumes of 500, 750, 1,000
                         and 1,100 ml with a steady output of 12,000
                         packages per hour.”

                                                                            3–6
Production Technology

     Machine technology
     Automatic identification
      systems (AISs)             Improved data acquisition
                                 Reduced data entry errors
                                 Increased speed
                                 Increased scope of process automation



                                   The Nationwide Automatic Identification
                                   System (NAIS) will enable the USCG to
                                   identify, track and communicate with marine
                                   vessels using the Automatic Identification
                                   System (AIS), a maritime digital
                                   communication system that continually
                                   transmits and receives vessel data over very-
                                   high frequencies.


                                                                            3–7
Production Technology

     Machine technology
     Automatic identification
      systems (AISs)                        Improved data acquisition
                                            Reduced data entry errors
                                            Increased speed
                                            Increased scope of process automation




         The Nauticast-B transponder is a plug and play
         AIS solution. Enjoy the benefits of the AIS
         system knowing larger commercial vessels are
         aware of your position increasing your personal
         safety while navigating at sea.




                                                                                3–8
Production Technology

     Machine technology
     Automatic identification
      systems (AISs)
     Process control            Increased process stability
                                 Increased process precision
                                 Real-time provision of information for
                                          process evaluation
                                 Data available in many forms




                                                                          3–9
Production Technology

           Machine technology
           Automatic identification
            systems (AISs)
           Process control
           Vision system                            Particular aid to inspection
                                                     Consistently accurate
                                                     Never bored
Typical applications for machine vision systems are: Modest cost
     Robot Guidance / Motion Control                 Superior to individuals performing the
     Part Orientation and Dimensional Inspection     Natural depth perception and tactile sensation
                                                               same tasks
     Pattern and/or Character Recognition            allows surgeons the ability to perform pure
     2D and 3D Bar Code Reading                      laparoscopic procedures with confidence and
     Label Inspection                                ease.
     Printing Inspection
     Quality Control



                                                                                               3 – 10
Production Technology

     Machine technology
     Automatic identification
      systems (AISs)
     Process control
     Vision system
     Robot
                                 Perform monotonous or dangerous tasks
                                 Perform tasks requiring significant strength or
                                          endurance
                                 Generally enhanced consistency and accuracy




                                                                              3 – 11
Production Technology
                               ASRS technology is just beginning to
                               be used in large libraries, particularly
                                 at universities. It is used mostly to
     Machine technology          retrieve seldom-used books and
     Automatic identification  periodicals that are kept in storage
      systems (AISs)          vaults. It works via a robotic "arm" that
                                quite literally fetches materials from
     Process control                     archival locations.
     Vision system
     Robot
     Automated storage and retrieval systems (ASRSs)

                                         Automated placement and withdrawal of
                                         parts and products
                                         Reduced errors and labor
                                         Particularly useful in inventory and test
                                         areas of manufacturing firms




                                                                                 3 – 12
Firstly ASRS saves shelf
space in the library. It only
requires 1/5 space to hold
the same number of
materials, compared to the
ordinary library open stacks
on floor area basis.

Secondly, ASRS can keep
materials in their optimum
condition, away from any
source of lights and
humidity.

Thirdly, ASRS sets us free
from shelf management.
We can put materials back
in any vacant bins in any
order. Location changes
from one bin to another, yet
keeping their right links.



                                3 – 13
Production Technology

     Machine technology
     Automatic identification
      systems (AISs)
     Process control
     Vision system
     Robot
     Automated storage and retrieval systems (ASRSs)
     Automated guided vehicles (AGVs)

                                      Electronically guided and controlled carts
                                      Used for movement of products and/or
                                               individuals




                                                                              3 – 14
SKILLET SYSTEM




                         ELECTRIFIED MONORAIL SYSTEM
TRANSFER CAR




                                                 3 – 15
Production Technology




     Flexible manufacturing systems (FMSs)

                                      Computer controls both the workstation
                                               and the material handling
                                               equipment
                                      Enhance flexibility and reduced waste
                                      Can economically produce low volume at
                                               high quality
                                      Reduced changeover time and increased
                                               utilization
                                      Stringent communication requirement
                                               between components            3 – 16
Production Technology



     Computer-integrated manufacturing (CIM)
                                      Extension of flexible manufacturing
                                      systems
                                          Backwards to engineering and inventory
                                              control
                                          Forward into warehousing and shipping
                                          Can also include financial and customer
                                              service areas




                                                                               3 – 17
Manufacturing Technology       Service Technology
Much of the technology used    Automation is found in many
 in small- and mid-sized         areas of services…
 manufacturing
 organizations is relatively
 basic
Service Technology
   Service Industry                       Example
  Financial Services Debit cards, electronic funds transfer, ATMs,
                     Internet stock trading
  Education           Electronic bulletin boards, on-line journals,
                      WebCT and Blackboard
  Utilities and       Automated one-man garbage trucks, optical
  government          mail and bomb scanners, flood warning
                      systems
  Restaurants and     Wireless orders from waiters to kitchen, robot
  foods               butchering, transponders on cars that track
                      sales at drive-throughs
  Communications      Electronic publishing, interactive TV


                                                                       3 – 19
Service Technology
   Service Industry                       Example
  Financial Services Debit cards, electronic funds transfer, ATMs,
                     Internet stock trading
  Education           Electronic bulletin boards, on-line journals,
                      WebCT and Blackboard
  Utilities and       Automated one-man garbage trucks, optical
  government          mail and bomb scanners, flood warning
                      systems
  Restaurants and     Wireless orders from waiters to kitchen, robot
  foods               butchering, transponders on cars that track
                      sales at drive-throughs
  Communications      Electronic publishing, interactive TV


                                                                       3 – 20
Service Technology
   Service Industry                       Example
  Hotels              Electronic check-in/check-out, electronic
                      key/lock system
  Wholesale/retail    ATM-like kiosks, point-of-sale (POS) terminals,
  trade               e-commerce, electronic communication
                      between store and supplier, bar coded data
  Transportation      Automatic toll booths, satellite-directed
                      navigation systems
  Health care         Online patient-monitoring, online medical
                      information systems, robotic surgery
  Airlines            Ticketless travel, scheduling, Internet
                      purchases


                                                                        3 – 21
Service Technology
   Service Industry                       Example
  Hotels              Electronic check-in/check-out, electronic
                      key/lock system
  Wholesale/retail    ATM-like kiosks, point-of-sale (POS) terminals,
  trade               e-commerce, electronic communication
                      between store and supplier, bar coded data
  Transportation      Automatic toll booths, satellite-directed
                      navigation systems
  Health care         Online patient-monitoring, online medical
                      information systems, robotic surgery
  Airlines            Ticketless travel, scheduling, Internet
                      purchases


                                                                        3 – 22
Service Technology
   Service Industry                       Example
  Hotels              Electronic check-in/check-out, electronic
                      key/lock system
  Wholesale/retail    ATM-like kiosks, point-of-sale (POS) terminals,
  trade               e-commerce, electronic communication
                      between store and supplier, bar coded data
  Transportation      Automatic toll booths, satellite-directed
                      navigation systems
  Health care         Online patient-monitoring, online medical
                      information systems, robotic surgery
  Airlines            Ticketless travel, scheduling, Internet
                      purchases


                                                                        3 – 23
Service Technology
   Service Industry                       Example
  Hotels              Electronic check-in/check-out, electronic
                      key/lock system
  Wholesale/retail    ATM-like kiosks, point-of-sale (POS) terminals,
  trade               e-commerce, electronic communication
                      between store and supplier, bar coded data
  Transportation      Automatic toll booths, satellite-directed
                      navigation systems
  Health care         Online patient-monitoring, online medical
                      information systems, robotic surgery
  Airlines            Ticketless travel, scheduling, Internet
                      purchases


                                                                        3 – 24
Service Technology
   Service Industry                       Example
  Hotels              Electronic check-in/check-out, electronic
                      key/lock system
  Wholesale/retail    ATM-like kiosks, point-of-sale (POS) terminals,
  trade               e-commerce, electronic communication
                      between store and supplier, bar coded data
  Transportation      Automatic toll booths, satellite-directed
                      navigation systems
  Health care         Online patient-monitoring, online medical
                      information systems, robotic surgery
  Airlines            Ticketless travel, scheduling, Internet
                      purchases


                                                                        3 – 25
Service Technology
   Service Industry                       Example
  Hotels              Electronic check-in/check-out, electronic
                      key/lock system
  Wholesale/retail    ATM-like kiosks, point-of-sale (POS) terminals,
  trade               e-commerce, electronic communication
                      between store and supplier, bar coded data
  Transportation      Automatic toll booths, satellite-directed
                      navigation systems
  Health care         Online patient-monitoring, online medical
                      information systems, robotic surgery
  Airlines            Ticketless travel, scheduling, Internet
                      purchases


                                                                        3 – 26
Reduce the negative impact on the
          environment
   Encourage recycling
   Efficient use of resources
   Reduction of waste by-products
   Use less harmful ingredients
   Use less energy




                                     3 – 27

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Capital Intensity and Automation Types

  • 1. Capital Intensity is the mix of equipment and human skills in the process; the greater the relative cost of equipment, the greater is the capital intensity. Automation is a system, process, or piece of equipment that is self-acting and self-regulating. ◦ Fixed automation is a manufacturing process that produces one type of part or product in a fixed sequence of simple operations. ◦ Flexible (or programmable) automation is a manufacturing process that can be changed easily to handle various products. 3–1
  • 2. Capital Intensity is the mix of equipment and human skills in the process; the greater the relative cost of equipment, the greater is the capital intensity. Automation is a system, process, or piece of equipment that is self-acting and self-regulating. ◦ Fixed automation is a manufacturing process that produces one type of part or product in a fixed sequence of simple operations. ◦ Flexible (or programmable) automation is a manufacturing process that can be changed easily to handle various products. ADVANTAGES Low variability (automated processes produce more consistent results than human labor) Efficiency Some degree of standardization is required 3–2
  • 3. Capital Intensity is the mix of equipment and human skills in the process; the greater the relative cost of equipment, the greater is the capital intensity. Automation is a system, process, or piece of equipment that is self-acting and self-regulating. ◦ Fixed automation is a manufacturing process that produces one type of part or product in a fixed sequence of simple operations. ◦ Flexible (or programmable) automation is a manufacturing process that can be changed easily to handle various products. ADVANTAGES DISADVANTAGES Low variability (automated processes Costly technology produce more consistent results Decreased flexibility than human labor) Some degree of standardization is Efficiency required Some degree of standardization is required 3–3
  • 4. Manufacturing Technology Much of the technology used in small- and mid-sized manufacturing organizations is relatively basic
  • 5. Machine technology  Automatic identification systems (AISs)  Process control  Vision system  Robot  Automated storage and retrieval systems (ASRSs)  Automated guided vehicles (AGVs)  Flexible manufacturing systems (FMSs)  Computer-integrated manufacturing (CIM) 3–5
  • 6. Increased precision Increased productivity  Machine technology Increased flexibility Improved environmental impact Reduced changeover time Decreased size Reduced power requirements “With our new filling machines it is possible to provide our customers with high production line efficiencies for mass production and unique flexibility. The CFA 512 fills volumes of 500, 750, 1,000 and 1,100 ml with a steady output of 12,000 packages per hour.” 3–6
  • 7. Production Technology  Machine technology  Automatic identification systems (AISs) Improved data acquisition Reduced data entry errors Increased speed Increased scope of process automation The Nationwide Automatic Identification System (NAIS) will enable the USCG to identify, track and communicate with marine vessels using the Automatic Identification System (AIS), a maritime digital communication system that continually transmits and receives vessel data over very- high frequencies. 3–7
  • 8. Production Technology  Machine technology  Automatic identification systems (AISs) Improved data acquisition Reduced data entry errors Increased speed Increased scope of process automation The Nauticast-B transponder is a plug and play AIS solution. Enjoy the benefits of the AIS system knowing larger commercial vessels are aware of your position increasing your personal safety while navigating at sea. 3–8
  • 9. Production Technology  Machine technology  Automatic identification systems (AISs)  Process control Increased process stability Increased process precision Real-time provision of information for process evaluation Data available in many forms 3–9
  • 10. Production Technology  Machine technology  Automatic identification systems (AISs)  Process control  Vision system Particular aid to inspection Consistently accurate Never bored Typical applications for machine vision systems are: Modest cost Robot Guidance / Motion Control Superior to individuals performing the Part Orientation and Dimensional Inspection Natural depth perception and tactile sensation same tasks Pattern and/or Character Recognition allows surgeons the ability to perform pure 2D and 3D Bar Code Reading laparoscopic procedures with confidence and Label Inspection ease. Printing Inspection Quality Control 3 – 10
  • 11. Production Technology  Machine technology  Automatic identification systems (AISs)  Process control  Vision system  Robot Perform monotonous or dangerous tasks Perform tasks requiring significant strength or endurance Generally enhanced consistency and accuracy 3 – 11
  • 12. Production Technology ASRS technology is just beginning to be used in large libraries, particularly at universities. It is used mostly to  Machine technology retrieve seldom-used books and  Automatic identification periodicals that are kept in storage systems (AISs) vaults. It works via a robotic "arm" that quite literally fetches materials from  Process control archival locations.  Vision system  Robot  Automated storage and retrieval systems (ASRSs) Automated placement and withdrawal of parts and products Reduced errors and labor Particularly useful in inventory and test areas of manufacturing firms 3 – 12
  • 13. Firstly ASRS saves shelf space in the library. It only requires 1/5 space to hold the same number of materials, compared to the ordinary library open stacks on floor area basis. Secondly, ASRS can keep materials in their optimum condition, away from any source of lights and humidity. Thirdly, ASRS sets us free from shelf management. We can put materials back in any vacant bins in any order. Location changes from one bin to another, yet keeping their right links. 3 – 13
  • 14. Production Technology  Machine technology  Automatic identification systems (AISs)  Process control  Vision system  Robot  Automated storage and retrieval systems (ASRSs)  Automated guided vehicles (AGVs) Electronically guided and controlled carts Used for movement of products and/or individuals 3 – 14
  • 15. SKILLET SYSTEM ELECTRIFIED MONORAIL SYSTEM TRANSFER CAR 3 – 15
  • 16. Production Technology  Flexible manufacturing systems (FMSs) Computer controls both the workstation and the material handling equipment Enhance flexibility and reduced waste Can economically produce low volume at high quality Reduced changeover time and increased utilization Stringent communication requirement between components 3 – 16
  • 17. Production Technology  Computer-integrated manufacturing (CIM) Extension of flexible manufacturing systems Backwards to engineering and inventory control Forward into warehousing and shipping Can also include financial and customer service areas 3 – 17
  • 18. Manufacturing Technology Service Technology Much of the technology used Automation is found in many in small- and mid-sized areas of services… manufacturing organizations is relatively basic
  • 19. Service Technology Service Industry Example Financial Services Debit cards, electronic funds transfer, ATMs, Internet stock trading Education Electronic bulletin boards, on-line journals, WebCT and Blackboard Utilities and Automated one-man garbage trucks, optical government mail and bomb scanners, flood warning systems Restaurants and Wireless orders from waiters to kitchen, robot foods butchering, transponders on cars that track sales at drive-throughs Communications Electronic publishing, interactive TV 3 – 19
  • 20. Service Technology Service Industry Example Financial Services Debit cards, electronic funds transfer, ATMs, Internet stock trading Education Electronic bulletin boards, on-line journals, WebCT and Blackboard Utilities and Automated one-man garbage trucks, optical government mail and bomb scanners, flood warning systems Restaurants and Wireless orders from waiters to kitchen, robot foods butchering, transponders on cars that track sales at drive-throughs Communications Electronic publishing, interactive TV 3 – 20
  • 21. Service Technology Service Industry Example Hotels Electronic check-in/check-out, electronic key/lock system Wholesale/retail ATM-like kiosks, point-of-sale (POS) terminals, trade e-commerce, electronic communication between store and supplier, bar coded data Transportation Automatic toll booths, satellite-directed navigation systems Health care Online patient-monitoring, online medical information systems, robotic surgery Airlines Ticketless travel, scheduling, Internet purchases 3 – 21
  • 22. Service Technology Service Industry Example Hotels Electronic check-in/check-out, electronic key/lock system Wholesale/retail ATM-like kiosks, point-of-sale (POS) terminals, trade e-commerce, electronic communication between store and supplier, bar coded data Transportation Automatic toll booths, satellite-directed navigation systems Health care Online patient-monitoring, online medical information systems, robotic surgery Airlines Ticketless travel, scheduling, Internet purchases 3 – 22
  • 23. Service Technology Service Industry Example Hotels Electronic check-in/check-out, electronic key/lock system Wholesale/retail ATM-like kiosks, point-of-sale (POS) terminals, trade e-commerce, electronic communication between store and supplier, bar coded data Transportation Automatic toll booths, satellite-directed navigation systems Health care Online patient-monitoring, online medical information systems, robotic surgery Airlines Ticketless travel, scheduling, Internet purchases 3 – 23
  • 24. Service Technology Service Industry Example Hotels Electronic check-in/check-out, electronic key/lock system Wholesale/retail ATM-like kiosks, point-of-sale (POS) terminals, trade e-commerce, electronic communication between store and supplier, bar coded data Transportation Automatic toll booths, satellite-directed navigation systems Health care Online patient-monitoring, online medical information systems, robotic surgery Airlines Ticketless travel, scheduling, Internet purchases 3 – 24
  • 25. Service Technology Service Industry Example Hotels Electronic check-in/check-out, electronic key/lock system Wholesale/retail ATM-like kiosks, point-of-sale (POS) terminals, trade e-commerce, electronic communication between store and supplier, bar coded data Transportation Automatic toll booths, satellite-directed navigation systems Health care Online patient-monitoring, online medical information systems, robotic surgery Airlines Ticketless travel, scheduling, Internet purchases 3 – 25
  • 26. Service Technology Service Industry Example Hotels Electronic check-in/check-out, electronic key/lock system Wholesale/retail ATM-like kiosks, point-of-sale (POS) terminals, trade e-commerce, electronic communication between store and supplier, bar coded data Transportation Automatic toll booths, satellite-directed navigation systems Health care Online patient-monitoring, online medical information systems, robotic surgery Airlines Ticketless travel, scheduling, Internet purchases 3 – 26
  • 27. Reduce the negative impact on the environment  Encourage recycling  Efficient use of resources  Reduction of waste by-products  Use less harmful ingredients  Use less energy 3 – 27