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4.1




                            Process Design




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.2


Design:
  “To design” refers to the process of originating
  and developing a plan for a product, service or
  process.

Process:
  Is any part of an organization which takes a set
  of input resources which are then used to
  transform something into outputs of products
  or services.
© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.3                                    Process Design


                                            Process design
                     Processes that                         Processes that
                    Design Products                        Produce Products
                      and Services                           and Services
                                                             Supply Network Design
                      Concept Generation


                           Screening
                                                                       Layout
                                                                      and Flow
                       Preliminary Design


                         Evaluation and
                          Improvement
                                                          Process                 Job
                                                         Technology              Design
                      Prototyping and final
                             design




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004                 Operations Management, 4E: Chapter 4
4.4
                       Product & services design are
                      interrelated to its process design
                             Designing the                  Designing the
                              Product or                    Processes that
                               Service                   Produce the Product
                                                              or Service

                                                          Processes should be
                  Products and services                   designed so they can
                  should be designed in                     create all products
                   such a way that they                    and services which
                     can be created                       the operation is likely
                       effectively                             to introduce




    Decisions taken during the design of the product or service will have
        an impact on the process that produces them and vice versa


© Nigel Slack, Stuart Chambers & Robert Johnston, 2004             Operations Management, 4E: Chapter 4
4.5

 Process Design and Product/Service Design are Interrelated
 •     To commit to the detailed design of a product or service
       consideration must be given to how it is to be produced.
 •     Design of process can constrain the design of products and
       services.
 •     The overlap is greater in the service industry:
        • Service industry - it is impossible to separate service
             design and process design – they are the same thing.
        • Manufacturing industry - it is possible to separate
             product design and process design but it is beneficial to
             consider them together because the design of products
             has a major effect on the cost of making them.



© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.6

The design activity is itself a process                        Finished designs
                                                                  which are:

  TRANSFORMED                                            High quality: Error-free designs
    RESOURCES                                            which fulfil their purpose in an
Technical information                                    effective and creative way
 Market information
  Time information                                       Speedily produced: Designs
                                                         which have moved from
                                                         concept to detailed
                      THE DESIGN                         specification in a short time
 INPUTS                          OUTPUT
                       ACTIVITY                          Dependably delivered: Designs
                                                         which are delivered when
                                                         promised
  Test and design
     equipment                                           Produced flexibly: Designs
Design and technical                                     which include the latest ideas
        staff                                            to emerge during the process

  TRANSFORMING                                           Low cost: Designs produced
   RESOURCES                                             without consuming excessive
                                                         resources

© Nigel Slack, Stuart Chambers & Robert Johnston, 2004      Operations Management, 4E: Chapter 4
4.7         Relatively early in the design activity the
              decisions taken will commit the operation
                 to costs which will be incurred later

    100%
                 Percentage of final
                    product cost
                  committed by the
                       design




                                                         Percentage of
                                                         design costs
                                                           incurred

       0%
         Start of the                                                  Finish of the
        design activity                                               design activity

© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.8




    Designing processes
    •      Process mapping
    •      Process mapping symbols
    •      Improving processes
    •      Process performance
    •      Throughput, cycle time & work in process




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.9




    Process mapping
    •      Used to identify different types of activities.
    •      Shows the flow of material, people or
           information.
    •      Critical analysis of process maps can improve
           the process.




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.10


      Process mapping symbols
              Operation (an activity                          Beginning or end of process
              that directly adds value)

              Inspection (a check of                          Activity
              some sort)
              Transport (a movement                           Input or Output from the process
              of some thing)

              Delay (a wait, e.g. for materials)              Direction of flow

              Storage (deliberate storage,                    Decision (exercising discretion)
              as opposed to a delay)

       Process mapping symbols derived                   Process mapping symbols derived from
       from “Scientific Management”                      Systems Analysis




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004                   Operations Management, 4E: Chapter 4
4.11


         Raw                         Stored          Move to     Stored                   Take
                     Assembly                                                 Sell
       Materials                   Sandwiches        Outlets   Sandwiches                Payment




       Standard sandwich process
                                                                            Customer
                                                                             Request
       Raw           Assembly             Take
     Materials                           Payment




                      Customer
                       Request

                                                Customized sandwich old process


© Nigel Slack, Stuart Chambers & Robert Johnston, 2004                Operations Management, 4E: Chapter 4
4.12
          The operation of making and
         selling customized sandwiches
                                                                Assemble as       Take
                                                      Prepare     required      payment
                                    Sandwich                                                 Customers
                                   materials and                                           “assembled” to
                                    customers                                                sandwiches




                       Bread and
                       Base filling                                 The outline process of making and
                                                                     selling customized sandwiches
                                      Assemble whole
                                         sandwich
              Use standard
                “base”?
                              No

                             Yes           Fillings
              Customer                                               The detailed process of
              Request                                                assembling customized
                                        Assemble from
                                                                          sandwiches
                                       standard “base”
                          Stored
                         “Bases”


© Nigel Slack, Stuart Chambers & Robert Johnston, 2004                        Operations Management, 4E: Chapter 4
4.13

     Customized sandwich improved new process

                                                               Assemble whole
                                                                  sandwich


                   Assembly of           Use standard                                            Take
                    “sandwich                            No                                     Payment
                                           “base”?
                      bases”

                                                                        Fillings

Bread and                                                Yes
Base filling                       Customer Request


                Stored “Bases”                                  Assemble from
                                                               standard “base”




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004              Operations Management, 4E: Chapter 4
4.14                       ‘Two handed’ process chart
                                       Left hand         Right hand
                           Wait                                           Pick up base plate
                                                                          Insert into fixture
                Hold base plate                                           Pick up two supports
                                                                          Locate back plate
                                                                          Pick up screws
                                                                          Locate screws
                                                                          Pick up air driver
                                                                          Fasten screws
                           Wait                                           Replace air driver
                                                                          Pick up centre assembly
                                                                          Inspect centre assembly
        Hold centre assembly                                              Locate and fix
                                                                          Switch on timer
                                                                          Wait to end test
                       Inspect                                            Inspect
                Transfer grasp                                            Transfer grasp
                           Wait                                           Put aside


© Nigel Slack, Stuart Chambers & Robert Johnston, 2004                Operations Management, 4E: Chapter 4
4.15




    Process performance
    •      Process performance can be judge against the
           five key performance objective:
               Quality
               Speed
               Dependability
               Flexibility
               Cost



© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.16

    Throughput, work content, cycle time, and
    work in process
         •     Throughput – the time for a unit to move through the
               process
         •     Work content – the total amount of work required to
               produce a unit of output (measured in time)
         •     Cycle time – The average time between units of
               output emerging form the process
         •     Work in process (WIP) –unfinished items in a
               production process waiting for further processing e. g.
               when customers join a queue in a process they
               become WIP
             throughput = work in process x cycle time
© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.17


                       Project Processes
    • One-off, complex, large scale, high work
      content “products”
    • Specially made, every one customized
    • Defined start and finish: time, quality and cost
      objectives
    • Many different skills have to be coordinated
    • Fixed position layout



© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.18
                                         Project Process




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004     Operations Management, 4E: Chapter 4
4.19

                     Jobbing Processes
     • Very small quantities: “one-offs”, or only a few
       required
     • Specially made. High variety, low repetition.
     • Skill requirements are usually very broad
     • Skilled jobber, or team of jobbers complete
       whole product
     • Fixed position or process layout (routing
       decided by jobbers)

© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.20
                                        Jobbing Process




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004    Operations Management, 4E: Chapter 4
4.21


                          Batch Processes
    • Higher volumes and lower variety than for
      jobbing
    • Standard products, repeating demand. But
      can make specials
    • Specialized, narrower skills
    • Set-ups (changeovers) at each stage of
      production
    • Process or cellular layout


© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.22
                                          Batch Process




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004    Operations Management, 4E: Chapter 4
4.23


                 Mass (Line) Processes
     •    Higher volumes than Batch
     •    Standard, repeat products
     •    Low and/or narrow skills
     •    No set-ups, or almost instantaneous ones
     •    Cell or product layout




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.24
                                           Mass Process




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004    Operations Management, 4E: Chapter 4
4.25


                   Continuous Process
     • Extremely high volumes and low variety: often
       single product
     • Standard, repeat products
     • Highly capital-intensive and automated
     • Few changeovers required
     • Difficult and expensive to start and stop the
       process
     • Product layout: usually flow along conveyors
       or pipes

© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.26
                                    Continuous Process




© Nigel Slack, Stuart Chambers & Robert Johnston, 2004   Operations Management, 4E: Chapter 4
4.27

                 Manufacturing process                                        Service process
                        types                                                      types
High




                                                            High
             Project
                                                                            Professional
                                                                              service
                   Jobbing

                                                                                    Service shop




                                                            Variety
Variety




                             Batch



                                        Mass

                                              Contin-       Low                                Mass service
Low




                                               uous

            Low              Volume                  High             Low             Volume                  High




   © Nigel Slack, Stuart Chambers & Robert Johnston, 2004                         Operations Management, 4E: Chapter 4

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4 2

  • 1. 4.1 Process Design © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 2. 4.2 Design: “To design” refers to the process of originating and developing a plan for a product, service or process. Process: Is any part of an organization which takes a set of input resources which are then used to transform something into outputs of products or services. © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 3. 4.3 Process Design Process design Processes that Processes that Design Products Produce Products and Services and Services Supply Network Design Concept Generation Screening Layout and Flow Preliminary Design Evaluation and Improvement Process Job Technology Design Prototyping and final design © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 4. 4.4 Product & services design are interrelated to its process design Designing the Designing the Product or Processes that Service Produce the Product or Service Processes should be Products and services designed so they can should be designed in create all products such a way that they and services which can be created the operation is likely effectively to introduce Decisions taken during the design of the product or service will have an impact on the process that produces them and vice versa © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 5. 4.5 Process Design and Product/Service Design are Interrelated • To commit to the detailed design of a product or service consideration must be given to how it is to be produced. • Design of process can constrain the design of products and services. • The overlap is greater in the service industry: • Service industry - it is impossible to separate service design and process design – they are the same thing. • Manufacturing industry - it is possible to separate product design and process design but it is beneficial to consider them together because the design of products has a major effect on the cost of making them. © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 6. 4.6 The design activity is itself a process Finished designs which are: TRANSFORMED High quality: Error-free designs RESOURCES which fulfil their purpose in an Technical information effective and creative way Market information Time information Speedily produced: Designs which have moved from concept to detailed THE DESIGN specification in a short time INPUTS OUTPUT ACTIVITY Dependably delivered: Designs which are delivered when promised Test and design equipment Produced flexibly: Designs Design and technical which include the latest ideas staff to emerge during the process TRANSFORMING Low cost: Designs produced RESOURCES without consuming excessive resources © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 7. 4.7 Relatively early in the design activity the decisions taken will commit the operation to costs which will be incurred later 100% Percentage of final product cost committed by the design Percentage of design costs incurred 0% Start of the Finish of the design activity design activity © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 8. 4.8 Designing processes • Process mapping • Process mapping symbols • Improving processes • Process performance • Throughput, cycle time & work in process © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 9. 4.9 Process mapping • Used to identify different types of activities. • Shows the flow of material, people or information. • Critical analysis of process maps can improve the process. © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 10. 4.10 Process mapping symbols Operation (an activity Beginning or end of process that directly adds value) Inspection (a check of Activity some sort) Transport (a movement Input or Output from the process of some thing) Delay (a wait, e.g. for materials) Direction of flow Storage (deliberate storage, Decision (exercising discretion) as opposed to a delay) Process mapping symbols derived Process mapping symbols derived from from “Scientific Management” Systems Analysis © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 11. 4.11 Raw Stored Move to Stored Take Assembly Sell Materials Sandwiches Outlets Sandwiches Payment Standard sandwich process Customer Request Raw Assembly Take Materials Payment Customer Request Customized sandwich old process © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 12. 4.12 The operation of making and selling customized sandwiches Assemble as Take Prepare required payment Sandwich Customers materials and “assembled” to customers sandwiches Bread and Base filling The outline process of making and selling customized sandwiches Assemble whole sandwich Use standard “base”? No Yes Fillings Customer The detailed process of Request assembling customized Assemble from sandwiches standard “base” Stored “Bases” © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 13. 4.13 Customized sandwich improved new process Assemble whole sandwich Assembly of Use standard Take “sandwich No Payment “base”? bases” Fillings Bread and Yes Base filling Customer Request Stored “Bases” Assemble from standard “base” © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 14. 4.14 ‘Two handed’ process chart Left hand Right hand Wait Pick up base plate Insert into fixture Hold base plate Pick up two supports Locate back plate Pick up screws Locate screws Pick up air driver Fasten screws Wait Replace air driver Pick up centre assembly Inspect centre assembly Hold centre assembly Locate and fix Switch on timer Wait to end test Inspect Inspect Transfer grasp Transfer grasp Wait Put aside © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 15. 4.15 Process performance • Process performance can be judge against the five key performance objective:  Quality  Speed  Dependability  Flexibility  Cost © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 16. 4.16 Throughput, work content, cycle time, and work in process • Throughput – the time for a unit to move through the process • Work content – the total amount of work required to produce a unit of output (measured in time) • Cycle time – The average time between units of output emerging form the process • Work in process (WIP) –unfinished items in a production process waiting for further processing e. g. when customers join a queue in a process they become WIP throughput = work in process x cycle time © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 17. 4.17 Project Processes • One-off, complex, large scale, high work content “products” • Specially made, every one customized • Defined start and finish: time, quality and cost objectives • Many different skills have to be coordinated • Fixed position layout © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 18. 4.18 Project Process © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 19. 4.19 Jobbing Processes • Very small quantities: “one-offs”, or only a few required • Specially made. High variety, low repetition. • Skill requirements are usually very broad • Skilled jobber, or team of jobbers complete whole product • Fixed position or process layout (routing decided by jobbers) © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 20. 4.20 Jobbing Process © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 21. 4.21 Batch Processes • Higher volumes and lower variety than for jobbing • Standard products, repeating demand. But can make specials • Specialized, narrower skills • Set-ups (changeovers) at each stage of production • Process or cellular layout © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 22. 4.22 Batch Process © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 23. 4.23 Mass (Line) Processes • Higher volumes than Batch • Standard, repeat products • Low and/or narrow skills • No set-ups, or almost instantaneous ones • Cell or product layout © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 24. 4.24 Mass Process © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 25. 4.25 Continuous Process • Extremely high volumes and low variety: often single product • Standard, repeat products • Highly capital-intensive and automated • Few changeovers required • Difficult and expensive to start and stop the process • Product layout: usually flow along conveyors or pipes © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 26. 4.26 Continuous Process © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4
  • 27. 4.27 Manufacturing process Service process types types High High Project Professional service Jobbing Service shop Variety Variety Batch Mass Contin- Low Mass service Low uous Low Volume High Low Volume High © Nigel Slack, Stuart Chambers & Robert Johnston, 2004 Operations Management, 4E: Chapter 4