Manufacturing & operations management

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Manufacturing & operations management

  1. 1. Nishant Wasatkar MOM
  2. 2.  Production Systems Plant Location & Layout Production Planning & Control Maintenance Management Inspection Work Study Lean Production Systems Nishant Wasatkar MOM
  3. 3.  Production can be defined as the process of converting inputs into desired output thereby adding value to some entity. Production function brings together people, machines & materials to provide goods & services satisfying the wants of people. Nishant Wasatkar MOM
  4. 4. Adjustments Monitor Needed Output INPUTS Conversion Process Outputs Labour Materials Goods &Equipment Services Capital Comparison Actual Vs Planned Nishant Wasatkar MOM
  5. 5.  Manufacturing Cycle Time/ Lead Time Inventory Work in progress (WIP) Material Handling (Manual/Automated) General Purpose Machines (GPM) Special Purpose Machines (SPM) Product Layout Process Layout Nishant Wasatkar MOM
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  10. 10. MillingAssembly & Test Grinding Drilling Plating Process Layout - work travels to dedicated process centers Nishant Wasatkar MOM
  11. 11.  Primary Objective: To produce goods & services of quality accepted by customer, in desired quantities, according to time schedules & at minimum cost. Nishant Wasatkar MOM
  12. 12.  Effectiveness: Producing right kind of goods & services that satisfy customers needs. Efficiency : Maximizing output of goods & services with minimum resource inputs. Quality: Ensuring that goods & services produced conform to pre-set quality specifications. Nishant Wasatkar MOM
  13. 13.  Lead Time: Minimizing mfg. cycle time by reducing delays, waiting time and idle time. Capacity Utilization: Maximizing utilization of manpower, machines and rest of resources. Cost: Minimizing cost of producing goods or services. Nishant Wasatkar MOM
  14. 14.  Planning: ◦ Product selection & design ◦ Process selection & planning ◦ Facility Location ◦ Facility layout and materials handling ◦ Capacity planning ◦ Forecasting ◦ Production Planning Nishant Wasatkar MOM
  15. 15.  Organizing  Work study & job design Controlling ◦ Production control ◦ Inventory control ◦ Quality control ◦ Maintenance & replacement ◦ Cost reduction & cost Control Nishant Wasatkar MOM
  16. 16.  The factory system was a method of manufacturing first adopted in England at the beginning of the Industrial Revolution in the 1750s and later spread abroad. Traditionally, each worker used to create a separate part of the total assembly of a product. In factory system all resources of productions were bring together under one roof. Nishant Wasatkar MOM
  17. 17. Manufacturing system need to interact with bothinternal & external environment. Internal  External Environment: Environment: ◦ Engineering ◦ Customers ◦ Marketing ◦ Competitors ◦ Personnel ◦ Suppliers ◦ Accounts/Finance ◦ Labor Unions Nishant Wasatkar MOM
  18. 18.  The selection of manufacturing system is a strategic decision. The system selected should ensure ◦ Desired output ◦ Required Quality ◦ Cost effectiveness Nishant Wasatkar MOM
  19. 19. TYPES OF MANUFACTURING SYSTEMS INTERMITTENT CONTINUOUS PRIDUCTION PRODUCTION PROJECT JOBBING BATCH MASS/FLOW PROCESSPRODUCTION PRODUCTION PRODUCTION PRODUCTION PRODUCTION Nishant Wasatkar MOM
  20. 20.  Definite beginning and definite end. Non uniform requirement of resources Involvement of different agencies Fixed Position layout ◦ E.g. production of ships, aircrafts, construction of buildings, bridge etc. High cost overruns ◦ Often delays takes place in projects which are very expensive due to cost of factors of production & penalties. Nishant Wasatkar MOM
  21. 21.  Personnel Problems ◦ If labor are borrowed from outside for short duration, involvement in project will be limited. ◦ Since project has a limited period, the staff starts spending more time for getting prepared for next project. ◦ Generally sites of project are in underdeveloped region & it may change from project to project which causes dislocation of the normal life. Scheduling & Control ◦ As large number of activities involve in project completion by different agencies with strict precedence, scheduling & control becomes complex & very important. Nishant Wasatkar MOM
  22. 22.  Small production runs. Discontinuous flow of materials ◦ Imbalance in operation wise work content leads to discontinuity in materials flow. Disproportionate manufacturing cycle time ◦ Lack of materials/components, imbalanced work flow, design changes, design errors detected during manufacture, inaccurate work measurements etc will lead to extended mfg cycle time. General purpose machines & process layout. Nishant Wasatkar MOM
  23. 23.  Highly skilled labor Highly competent knowledgeable supervision Large work in progress Limited functions of production planning & control ◦ Materials are indented & purchased on receipt of orders. ◦ Tools control function is simple. Standard tools are stocked while special tools are either made or purchased on request. ◦ Process planning activity is almost absent. ◦ The scheduling activity is decentralized. A schedule is prepared to show the start and completion date of each major component of the product. Nishant Wasatkar MOM
  24. 24.  Short runs Skilled labor in specific trades Supervisor to possess knowledge of a specific process. General purpose machines & process type layout. Manual material handling Mfg cycle time affected due to queues Large work in progress Flexibility of production schedules Need to have production planning & control. Nishant Wasatkar MOM
  25. 25.  Continuous flow of materials Special purpose machines & product type layout Mechanized materials material handling Low skilled labor Short manufacturing cycle time Easy supervision Limited work in progress Lesser flexibility in production schedules. Nishant Wasatkar MOM
  26. 26.  Process production is characterized by manufacture of a single product produced and stocked. Special purpose machines with built in controls Highly mechanized materials handling Virtually zero manufacturing cycle time Low skilled labor Supervisor to be process specialist Negligible work in progress Nishant Wasatkar MOM
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  28. 28.  High product variety require highly skilled labor, general purpose machinery, detailed & sophisticated production planning & control systems. Low product variety enables the use of low skilled labor, highly automated mass production processes using special purpose machinery and simple production planning & control systems Nishant Wasatkar MOM
  29. 29. JOBBING BATCH MASS PROCESSONE DEGREE OF REPETITIVENESS MANY Nishant Wasatkar MOM
  30. 30.  Fixed cost are high for continuous process & low for intermittent process While variable costs are more for intermittent process & less for continuous process. Intermittent process therefore will be cheaper to install and operate at low volumes & continuous process will be economical to use at high volumes. Nishant Wasatkar MOM
  31. 31. Total Cost (Intermittent) Total Cost (Continuous) Variable Cost (Intermittent) Variable Cost (Continuous) Fixed CostCost (Continuous) Fixed Cost (Intermittent) Intermittent Continuous Manufacturing Manufacturing Range Range Volume Nishant Wasatkar MOM
  32. 32.  Flexibility implies ability of manufacturing system to manufacture variety of products. Greater flexibility will be achieved in intermittent production which also results in higher inventories, long mfg lead times & complex planning & control. Nishant Wasatkar MOM
  33. 33.  Efficiency measures the speed and the cost of manufacturing system. Depending on sales volume & product variety process has to be considered which will give the best efficiency in terms of machines & manpower utilization. Environment brings new technologies, as market preferences change the manufacturing system has to be changed accordingly. E.g. Furniture manufacturer. Nishant Wasatkar MOM

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