Transcript 15.2 Single - Factor (One - Way) Analysis of Variance

Chapter 4
Processes and Technologies
Process Strategy
 Overall approach to producing goods and
services
 Defines:
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Capital intensity
Process flexibility
Vertical integration
Customer involvement
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From Function to Process
Sales
Manufacturing
Purchasing
Accounting
Product Development
Order Fulfillment
Supply Chain Management
Customer Service
Function
Figure 4.1
Process
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Types of Processes
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Projects
Batch production
Mass production
Continuous production
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Types of Processes
Product
Customer
Demand
Volume
No. of different
products
System
Equipment
Type of work
Skills
Advantages
Disadvantages
Example
Table 4.1
PROJECT
Unique
One-at-a-time
Infrequent
Very low
Infinite
BATCH
Made to order
Few individuals
Fluctuates
Low to med
Many, varied
MASS
Made to stock
Mass market
Stable
High
Few
CONTINUOUS
Commodity
Mass market
Very stable
Very high
Very low
Long-term
Discrete, job
Process industry
Varied
Contracts
Experts,
craftspeople
Custom work,
technology
Nonrepetitive,
small customer
base, expensive
Construction,
shipbuilding
General-purpose
Fabrication
Wide range
of skills
Flexibility,
quality
Costly, slow,
difficult to
manage
Machine shops,
printing, bakery
Repetitive,
assembly lines
Special-purpose
Assembly
Limited range
of skills
Efficiency,
speed, low cost
Capital investment,
lack of
responsiveness
Autos, TV’s,
fast food
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Highly automated
Mix, treat, refine
Equipment
monitors
Highly efficient
large capacity
Difficult to
change
Paint, chemicals,
food
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Process Selection with
Break-Even Analysis
Total cost = fixed cost + total variable cost
TC = cf + vcv
Total revenue = volume x price
TR = vp
Profit = total revenue - total cost
Z = TR - TC
= vp - (cf + vcv)
cf = fixed cost
v = volume (i.e., number of units produced and
sold)
cv = variable cost per unit
p = price per unit
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Process Planning
 Make-or-buy decisions
 Process selection
 Specific equipment selection
 Process plans
 Process analysis
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Make-or-Buy Decisions
1.
2.
3.
4.
5.
6.
Cost
Capacity
Quality
Speed
Reliability
Expertise
Make?
Buy?
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Specific Equipment Selection
1.
2.
3.
4.
5.
6.
7.
Purchase cost
Operating cost
Annual savings
Revenue enhancement
Replacement analysis
Risk and uncertainty
Piecemeal analysis
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Process Plans
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Blueprints
Bill of material
Assembly chart /
product structure diagram
Operations process chart
Routing sheet
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Bottom bun
Process Plans
Beef patty
Salt
Cheese
SA
Lettuce
Sauce
Onions
First-layer assembly
Middle bun
Beef patty
Salt
Cheese
SA
Lettuce
Sauce
Onions
Pickles
Second-layer assembly
Sesame seed top bun
Wrapper
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Completed Big Mac
Figure 4.2
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Operations Process Chart
Part name
Crevice Tool
Part No.
52074
Usage
Hand-Vac
Assembly No. 520
Oper. No. Description
Dept.
Machine/Tools
Time
10
Pour in plastic bits
041
Injection molding
2 min
20
Insert mold
041
#076
2 min
30
Check settings
& start machine
041
113, 67, 650
20 min
40
Collect parts & lay flat
051
Plastics finishing
10 min
50
Remove & clean mold
042
Parts washer
15 min
60
Break off rough edges
051
Plastics finishing
10 min
Figure 4.3
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Process Analysis
 The systematic examination of all aspects
of a process to improve its operation
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Faster
More efficient
Less costly
More responsive
 Basic tools
 Process flowchart
 Process diagrams
 Process maps
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Process Flowchart Symbols
Operations
Inspection
Transportation
Delay
Storage
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Process Flowchart
Description
of
process
1
Unload apples from truck
2
Move to inspection station
3
Weigh, inspect, sort
4
Move to storage
5
Wait until needed
6
Move to peeler
7
Apples peeled and cored
15
8
Soak in water until needed
20
9
Place in conveyor
5
10
Move to mixing area
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Weigh, inspect, sort
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Total
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Distance
(feet)
Location: Graves Mountain
Process: Apple Sauce
Time
(min)
Operation
Transport
Inspect
Delay
Storage
Step
Date: 9-30-02
Analyst: TLR
20
100 ft
30
50 ft
360
20 ft
20 ft
30
480
190 ft
Figure 4.4
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Process Diagram
UPS
Active
Bins
Receiving
Reserve
Storage
Picking
Packing
Monogramming
Shipping
Parcel
Post
Next-Day
UPS
Embroidering
Quality
Assurance
Back to
Vendor
Hemming
Gift
Boxing
Figure 4.5
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Process Map
Customer
Waiter
Place order
Is order
complete?
Salad Chef
Dinner Chef
N
Y
Give soup or salad order to chef
Prepare soup or
salad order
Prepare dinner
order
Give dinner order to chef
Drink
Get drinks for customer
Eat salad or
soup
Deliver salad or soup order to customer
Eat dinner
Deliver dinner to customer
Receives check
Deliver check to customer
Gives payment
to waiter
Receive payment for meal
Cash or
Credit?
Give order
to waiter
Give order
to waiter
Credit
Cash
Collect change,
leave tip
Bring change to customer
Run credit card through
Fill in tip
amount
Return credit slip to customer
Figure 4.6
Collect tip
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Continuous Improvement and
Breakthroughs
Continuous improvement
refines the breakthrough
Breakthrough
Improvement
Continuous improvement activities
peak; time to reengineer process
Figure 4.9
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Process Reengineering
Customer
requirements
data
Strategic
directive
Benchmark
data
Goals & specifications
for process performance
Design
principle
s
Baseline
analysis
High-level
process map
Key
performance
measures
Detailed
process map
Innovative
ideas
Model
validation
Pilot study of
new design
Figure 4.10
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Full-scale implementation
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Principles for Redesigning
Processes
1.
2.
3.
4.
5.
Remove waste, simplify, consolidate
Link processes to create value
Let the swiftest and most capable execute
Flex the process
Capture information digitally and propagate
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Table 4.2
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Principles for Redesigning
Processes
Provide visibility through information about
process status
7. Fit the process with sensors and feedback loops
8. Add analytic capabilities
9. Connect, collect and create knowledge around
the process
10. Personalize the process
6.
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Table 4.2
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Techniques for Generating
Innovative Ideas
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Vary entry point to a problem
Draw analogies
Change your perspective
Try inverse brainstorming
Chain forward as far as possible
Use attribute brainstorming
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Table 4.3
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e-Manufacturing
 Real-time sharing of data with trading partners
and customers to drive collaborative decisions
 CAD - uses software to create & modify designs
 GT- classifies designs to benefit from prior experience
 STEP - sets standards for communication
 CAPP - creates processing instructions for CAM
 CAM - uses programmable automation in manufacturing
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