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7 - Process Selection and Facility Layout

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7 - Process Selection and Facility Layout

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t18090121053
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Operations Management

Process Selection and Facility Layout

Pi-Ying Yen 顏碧瑩


Macau University of Science and Technology, School of Business
[email protected]
Tentative Topics and Schedule

Class Topic 主題 Class Topic 主題


• Introduction • Aggregate Planning and Master Scheduling
1 9
• Competitiveness, Strategy and Productivity • MRP and ERP
• Product and Service Design
2 10 • Inventory Management
• Supplement: Reliability
• Project Management
3 11 • Scheduling
• Submit Group List on or before 2024-09-22 23:59
• Strategic Capacity Planning for Products and Services • Sailboat Game
4-5 12
• Supplement: Forecasting, Decision theory • Submit Group Project (PPT) on or before 2024-11-24 23:59
• Work Design and Measurement
6 13-14 • Group Presentation
• Supplement: Leaning Curves
7 • Process Selection and Facility Layout
• Review
15 • The Future Is Bright: Recent Trends and Emerging Topics
8 • Management of Waiting Lines in Operations Management
What will we learn?

1. Process Selection
• Process Types
• Technology

2. Facility Layout
• Layout Types
• Line Balancing
Operations Management

Process Selection

• Process Types
• Technology
Process Selection

• Process selection refers to deciding on the way production of goods or


services will be organized.

• The two key questions in process selection are:


• 1. How much variety will the process need to be able to handle?
• 2. How much volume will the process need to be able to handle?
Process Types

• There are five basic process types: job shop, batch, repetitive,
continuous, and project.
• A project is used for work that is nonroutine, with a unique set of
objectives to be accomplished in a limited time frame.
Technology

• Technology and technological innovation often have a major influence


on business processes.

• Automation: Machinery that has sensing and control devices that


enable it to operate automatically.
• 3D printing: A process that creates a three-dimensional object by
adding successive layers of material.
Technology: 3D Printing
Technology: 3D Printing

• The firm selects designs to be handled by each technology and then


invests accordingly in technology adoption, product development,
capacity, and production.

• Within the optimal assortment, 3D printing should handle the less


popular generic designs than conventional technologies.
Technology: 3D Printing
Technology: 3D Printing

• To minimize long-run average system cost, our model determines


which parts to stock and which to print.

• We find the optimal utilization to increase in part variety and decrease


in part criticality, suggesting the value of 3D technology in tolerating
large part variety and the value of inventory for critical parts.
Technology: 3D Printing
Technology: 3D Printing

• The internet of things (IoT) monitors complex systems in real time, whereas
three-dimensional printing (3DP) enables agile manufacturing that can
respond to real-time information. However, the details of how these two can
be integrated are not yet clear.

• Although the public perception indicates that this integration would enable
on-demand printing, our research suggests that this is not necessarily the
case. Instead, the true benefit is the ability to print predictively. In particular,
it is typically more effective for the 3D printer to predictively print to stock
based on a threshold that depends on the system’s status.
Operations Management

Facility Layout

• Layout Types
• Line Balancing
Layout Types

• Layout refers to the configuration of departments, work centers, and


equipment, with particular emphasis on movement of work (customers
or materials) through the system.

• The three basic types of layout are product, process, and fixed-position.
Product layouts are most conducive to repetitive and continuous
processing, process layouts are used for intermittent processing, and
fixed-position layouts are used when projects require layouts.
Repetitive and Continuous Processing:
Product Layouts

• Product layouts are used to achieve a smooth and rapid flow of large
volumes of goods or customers through a system. This is made
possible by highly standardized goods or services that allow highly
standardized, repetitive processing.

• Production line: Standardized layout arranged according to a fixed


sequence of production tasks.
• Assembly line: Standardized layout arranged according to a fixed
sequence of assembly tasks.
Repetitive and Continuous Processing:
Product Layouts
Intermittent Processing: Process Layouts

• Process layouts (functional layouts) are designed to process items or


provide services that involve a variety of processing requirements.
• The layouts feature departments or other functional groupings in
which similar kinds of activities are performed.
Fixed-Position Layouts

• In fixed-position layouts, the item being worked on remains stationary,


and workers, materials, and equipment are moved about as needed.

• Fixed-position layouts are used in large construction projects


(buildings, power plants, dams), shipbuilding, and production of large
aircraft and space mission rockets. In these instances, attention is
focused on timing of material and equipment deliveries.
Line Balancing

• The process of deciding how to assign tasks to workstations is referred


to as line balancing.

• The goal of line balancing is to obtain task groupings that represent


approximately equal time requirements.
• This minimizes the idle time along the line and results in a high
utilization of labor and equipment.
Line Balancing

• Cycle time: The maximum time allowed at each workstation to


complete its set of tasks on a unit.

• The minimum cycle time is equal to the longest task time (1.0 minute),
and the maximum cycle time is equal to the sum of the task times (0.1
+ 0.7 + 1.0 + 0.5 + 0.2 = 2.5 minutes).
Line Balancing

• Assume that the line will operate for eight hours per day (480 minutes).
• With a cycle time of 1.0 minute, output would be:

• With a cycle time of 2.5 minutes, the output would be:


Line Balancing

• Suppose that the desired output rate is 480 units, the cycle time is:

• The theoretical minimum number of stations necessary to provide a


specified rate of output

(round up to 3 stations)
Line Balancing

• Two widely used measures of effectiveness are


• The percentage of idle time of the line. This is sometimes referred to as the
balance delay.

• The efficiency of the line.


Efficiency = 100 % − Percent idle time
Line Balancing

• Generally, no techniques are available that guarantee an optimal set of


assignments. Instead, managers employ heuristic (intuitive) rules,
which provide good and sometimes optimal sets of assignments.

• A number of line-balancing heuristics are in use, two of which are


described here for purposes of illustration:
• Assign tasks in order of most following tasks.
• Assign tasks in order of greatest positional weight. Positional weight is the
sum of each task’s time and the times of all following tasks.
Exercise
Practice Time!
What did we learn?

1. Process Selection
• Process Type
• Technology

2. Facility Layout
• Layout Types
• Line Balancing
Pi-Ying Yen 顏碧瑩
Thank
You! MUST, School of Business
謝謝 [email protected]

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