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OSCM 4 - Types of Production System

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0% found this document useful (0 votes)
26 views22 pages

OSCM 4 - Types of Production System

supply chain mba

Uploaded by

KING ADDY
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Types of Production Systems System Basics Concepts Systematic approach to accomplish tasks more efficiently, effectively and economically. Organized approach for complex (military and industrial) equipments design. Cost effective methodology to control Time and Cost overruns Furnishes a frame of references for how to manage and analyze complex phenomenon under different environments System Basics Concepts « System approach more common in field of Physical Science and Engineering. Because it easier to build model of such systems + Also applicable to solve problems related to business or human engineering (like fire protection, housing etc.) Definition Defined as collection of interacting elements that operate to achieve pre-determined objectives. Can be visualized as a processing unit which receives certain inputs and acts upon them in some desired manner to deliver outputs with aim to optimize certain input output functions. Dynamic in nature. Can have animate or inanimate interacting elements Examples « Human body: With various sub- systems like nervous, digestive, sensory etc. ¢ Industry: With various sub-systems like production, marketing, finance e Automobile: Transmission, Steering, Fueling, Energy ¢ Transportation: Rolling stock, roads, airspace, waterways, rails, traffic control and signaling etc Production System * The production system of an organization is that part, which produces products of an organization. It is that activity whereby resources, flowing within a defined system, are combined and transformed in a controlled manner to add value in accordance with the policies communicated by management. Production System The production system has the following characteristics: 4. Production is an organized activity, so every production system has an objective. 2. The system transforms the various inputs to useful outputs. 3. It does not operate in isolation from the other organization system. 4. There exists a feedback about the activities, which is essential to control and improve system performance. § Typography of Production SA) 1. Manufacturing systems and _ service systems 2. Series and parallel production systems 3. Continuity based systems ( Continuous and intermittent) Differentiating Features of Production Systems 1. Degree of Standardization 2. Manufacturing Operations Vs _ Service Operations 3. Types of Operations 1. Degree of Standardization * The output of production system can range from highly standardized to customized products. + Standardized output: Goods services having high degree of uniformity + Example: TV, Computers, Newspaper, pens etc + Customized Output: Product or service is designed for specific customer « Example: Custom-fitted clothes, customized drapers, Tailoring, taxi rides, healthcare Vianutacturing vs Service (OEMS Similar in term of What is done but different in terms of How it is done First is good-oriented and latter is act oriented Maloy Difference in terms of Customer contact Uniformity of inputs Labour contact of jobs Uniformity of output Measurement of Productivity Quality Assurance 3. Types of Operations « Nature of output: Building, oil refining * Classified as: * Continuous + Intermittent « Batch Processing + Job shop Processing Types of Production Systems Production Systems Mass / Flow Continuous, itt Basic Types of Production Processes — Continuous Production «Continuous or almost continuous physical material flow =Makes use of special purpose machines =Produces standardized items in large quantity Examples: Chemical Manufacturing, Milk production Intermittent Production System «Production is performed on a start-and-stop basis, such as for the manufacture of made-to-order products. =Viake use of general purpose machines =Done to produce small volume and high diversity products. »Examples: Machine shop, repair and maintenance shops aWINJOA suoHeedoO yuo INpolg Output / Product Variety Mass / Flow Line Production « Also called repetitive production ¢ Manufacture of discrete parts or assemblies using a continuous process are called mass production. ¢ This production system is justified by very large volume of production. e The machines are arranged in a line or product layout. e Product and process standardisation exists and all outputs follow the same path. Mass / Flow Line Production * Also referred as line production as it include production or assembly lines. Resources are organized around a product or service and materials move in a line flow from one operation to next according to a fixed sequence. Suitable for “make-to-stock” strategy. However, “assemble-to-stock” and mass customization strategies are also possible . Characteristics 1. Standardization of product and process sequence. 2. Dedicated special purpose machines having higher production capacities and output rates. 3. Large volume of products. | 4. Shorter cycle time of production. 5. Lower in process inventory. 6. Perfectly balanced production lines. 7. Flow of materials, components and parts is continuous and without any back tracking. 8. Production planning and control is easy. 9. Material handling can be completely automatic. 10. Machinery laid as per production sequence Advantages 1. Higher rate of production with reduced cycle time. 2. Higher capacity utilisation due to line balancing. 3. Less skilled operators are required. 4, Low process inventory. 5. Manufacturing cost per unit is low. 6. Very little set-up time. 7. Low WIP Limitations 1. Breakdown of one machine will stop an entire production fine. 2. Line layout needs major change with the changes in the product design. 3. High investment in production facilities. 4. The cycle time is determined by the slowest operation. Examples: Automobile Manufacturing, TV production Continuous/ Process Production * Production facilities are arranged as per the sequence of production operations from the first operations to the finished product. + The items are made to flow through the sequence of operations through material handling devices such as conveyors, transfer devices, etc. « Examples: Petroleum products, steel, sugar, flour, paper, cement, fertilizers Characteristics 4. Product consumed fast (electricity, petrol, milk) and has continuous demand 2. Dedicated plant and equipment with zero flexibility. 3. Material handling is fully automated. 4.Process follows a predetermined sequence of operations. 5. Component materials cannot be readily identified with final product. 6. Planning and scheduling is a routine action. 7. Plant layout as per production requirement. 8. Equipments employed is one built to need. 9. Good plant maintenance and effective quality control are essential requirements 10. Uses both skilled and semi-skilled workers Advantages 1. Standardisation of product and process sequence. 2. Higher rate of production with reduced cycle time. 3. Higher capacity utilisation due to line balancing. 4. Manpower is not required for material handling as it is completely automatic. 5. Person with limited skills can be used on the production line. i 6. Unit cost is lower due to high volume of production. Limitations 1. Flexibility to accommodate and process number of products does not exist. 2. Very high investment for setting flow lines. 3. Product differentiation is limited.

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