PRODUCTION MANAGEMENT

PRODUCTION MANAGEMENT The management of those resources & activities that are required to produce goods for consumers or to the organizations. The Production Management is generally concerned with Manufacturing Industries.

PRODUCTION MANAGEMENT

To be effective, requires the focus and attention to details related to; - Utilization of materials - Utilization of plant & machinery - Utilization of men with the Product design and plant design being optimum for the requirements.

Definition & Objectives

Planning the optimum arrangement of facilities, personnel, equipment, storage space, material handling equipment and all supporting services, along with the design of the best structure to contain all these facilities Economic handling of all material; better supervision; faster production; better product quality; flexible plant & workspace design for expansion; Improved work conditions; unidirectional workflow

PLANT LAYOUT
Layout plays an important role in production system. Layout not only affects the allocation of machines & other resources to perform given tasks but it may also become an important factor at the design stage in selection of production process

Advantages
Better working conditions for workers Minimisation in material handling Minimisation in damage & spoilage Minimisation of congestion of material, machinery, workers Flexibility to adapt to changing production conditions

Production Management Plant layout

An arrangement of facilities and services in the plant that outlines relationship between production centers and departments.
A layout may either evolve gradually, or it may be planned for future operations.

Purpose of a planned layout: - Integrate the production centres into a logical, balanced and effective production unit. - Facilitates satisfactory movement of materials and personnel and an efficient control mechanism for such transportations. - Provides a logical distribution of functional facilities in the plant. - Be adaptable to possible changes in the plants production programme, changes in product designs, changes in output requirements, rearrangement of facilities or expansion of facilities. - Proper allocation and utilisation of space to the production centres and service departments. - Convenience of operations both to operators and supervisors.

Production Management Plant layout

Plant layout provides: - The broad framework within which production and many administrative activities have to take place and as such has an important bearing on utilization of facilities, on manufacturing methods, on control mechanisms and on production costs. - Layout has also a marked effect on capital expenditure and the costs of special installations have to be carefully weighed against potential savings in the cost of labour, machine time, handling and services.

Production Management
Plant Layout

Flow Systems: - Horizontal Flows

- Vertical Flows

Horizontal Flows 5 Types:

- I Flow or Line flow , Materials are fed at one end and components/finished parts leave at the other end. - L Flow, similar to I but adapted when I line cannot be accommodated in the available space. - U Flow, has both feeding to and ejection from the line at the same end. When the line occupies the whole floor, a U line is convenient ease of supervision

Horizontal Flows 5 Types: - S Flow, for long production lines: - Efficient floor utilisation - Compact for effective supervision - O Flow, is used when operations are carried out on a rotary table/handling system. Components are passed from one working station to another & when they leave the O- line , a complete set of operation has been performed. Components can be inspected before these are passed on to a second O line or other\line for next operation. Usually flow lines are used in combinations.

Horizontal Flow Systems

Combinations of Horizontal Flow Systems

Horizontal Flow lines - Aspects: Unidirectional or retractional flow: - Unidirectional flow, material is transferred from one machine to another without having to move again - Retractional flow, the flow is repeated, with one or more non consecutive operation performed on the same machine - offers better machine utilisation - more settings - intermittent halts for change over of machine settings.

Unidirectional and Repeated Flow Systems

Horizontal Flow lines - Aspects: Integration of flow lines into assembly lines: - Where several flow lines feed assembly lines, the logical pattern of integration is like a river, where several streams/tributaries combine into main river. - Rate of flow is determinant factor in the integration of all the lines into one unit. This decides the process used for feeding lines in Continuous or Batch. Example Three continuous and three batch lines

Combination of basic flow lines- manufacture of motors

A River Convergent Flow

Vertical Flow lines: In multi-story buildings/systems, flow is planned with due importance to material handling systems & control mechanisms. Processing Downwards or Upwards : Downwards Raw materials are taken to top Upwards - Finished product comes up to the top. > Processing downwards Gravity handling systems ( roller lines, chutes, pipes, buckets, hand operated lift etc.) can be used. > Processing upwards Basically for heavier raw materials - Lighter machines as we go up, cost of construction - Process ( manufacture of glass- pushed up through successive set of rollers and cut).

Vertical Flow lines: - Centralised or decentralised elevation : Centralised - All handling systems, upwards or downwards at one end of the building, suitable for U-flow. - Supervision, maintenance of material handling system better & economical. - Lower capital cost Decentralised I Flow, centralised will require extra material handling - Offers more flexibility in design of flow lines & effectiveness. - Higher capital costs.

Vertical Flow lines: Unidirectional or Retractional flow: - Like in horizontal, retraction helps improve machine utilization, but handling & machine setting more costlier.
Vertical or Inclined flow: - Vertical by elevators, chutes & buckets with economy of space. - Inclines due to conveyor belts & chain systems; - more adaptable - can be point to point

Vertical Flow lines:

Single or Multi flow: Single flow One flow line Multi flow - Several production feed one assembly line & converge into one flow line. - Alternatively, the material is divided into several streams after first operations & each stream is directed to different processes, so that several products finally emerge.

Vertical Flow lines:

Flow between buildings: - When several buildings form links in one production line. The flow from one building to the other is either elevated or a ground floor. - Ground floor is cheaper to install & is more suitable when processing upwards in the second building. If downward in the second building, the material from the first building is to be elevated to the top floor of second building.

Six Basic Aspects of Vertical Flow Systems

Production Management
Plant Layout

Types of Layouts
Fixed Position Layout (Static Product layout) Product Layout or Line Production Process Layout Combination Layout Group or Cellular Layout

Project/Fixed Position Layout

It is also called fixed position layout. In this type of layout product to be produced remain at fixed position and machine, material and man are brought at the assembly position. Examples Aeroplane, ships and heavy machines. Advantages: Reduces movement of m/c & equipment; Minimizes damage/cost of movement; continuity of assigned work force Disadvantages: Skilled & versatile workers needed due to multiple operations; skill combination may be difficult to obtain; higher pay; movement of people/material may be expensive; equipment utilisation low as they are left at location for subsequent usage instead of being moved as & where needed

Product Layout or Line Production

It is also called line layout. The layout plant, size and shape of building, location and shape of storage yard, position of material handling equipment is such that material is flowed in one direction at the steady rate. All equipments and machines used in this process are of special type and highly trained labor is used in this layout. Examples are assembly lines of automobiles, refrigerators, radio, televisions and air conditioners. Machines and auxiliary services are located along the product flow line. Suitable for continuous type of production and can employ, one of the basic Horizontal flow lines.

Product Layout
Advantages: Small mfg cycle; low wip; min material handling; lower labour cost; effective quality control; easy to schedule; easy production control; low variety Disadvantages: Change in work nature needs change in layout; m/c utilisation may not be optimum; m/c breakdown delays work; work area expansion/m/c addition not possible

Product Layout

Process/ Functional Layout

It is also called functional layout. It is generally associated with batch production. Factory is divided into similar process units. and with in these similar process units all similar facilities are grouped together; similar equipment & tasks grouped, useful for low volume, high variety jobs. Example Movie sets or studios. Machines & Services are grouped according to their characteristics functional purpose. Such as Turning, Welding, Printing, Presses etc.

 Advantages: low capital investment, fewer m/c; higher space utilization; flexibility in equipment allocation; workers gain expertise; problems localized; job variety Disadvantages: needs more space; no mechanization; high wip; work scheduling problems; high set-up & inspection costs

Process layout

Combination of Layouts in Practice

Each type has advantages and limitations and hence Combinations of these types are in use very often in industry. In case of a Basic requirement of a Product Layout, some times we need to allow for repeated flow to avoid excessive machine idle time and extra capital expenditure.

A Compromise layout
- The flow is basically U-Flow. - The raw materials are supplied from stores and metal bars and sheets are first cut to size. - In Functional layout (Process), there are 9 Production Centres to which components are brought according to the Process Chart and Inspection is also centralised. - In Product Layout, U-Flow line is strictly adhered to and the total distance travelled by material is considerably shorter, but turning operation is performed at 3 different locations along the production line.

A Compromise layout

Comparison of distances travelled in a product, a process and a combined layout

February 5, 2009

An example of Product & Process Layout

- Product requires 3 components A,B&C - Involves 17 Operations - Involves 5 Inspections in a machine shop

Summary Comparison between Product & Process layouts Product Layout Process Layout Number of Operation Stations 11 Number of Inspection Stations 4 Total number of Stations 15 Distance covered by material, 283 mts floor area being same Machine utilisation Lower-TBA Capital cost Higher-TBA Inventory ( WIP) Lower TBA

8 1 9 477mts Higher-TBA Lower TBA Higher -TBA

A Compromise layout Factors to be considered: - Utilisation of men & machines - Space requirements and availability - Material movements and Handling

A Compromise layout - In the example, inspections are responsible for a great amount of handling in Process layout (208mts.) and this could be decentralised without too much of additional Capital costs. Number of Operations - 10 Number of Inspections - 4 Total Operations - 14 Total distance covered - 298 mts. WIP - Lower

Old Layout

A Compromise layout - Assemblies completed in Department A, Stored at B waiting for inspection, inspected at C and stored again at D - Delays between production and inspections - Possibilities of higher rejection due to delayed corrections.

New Layout

A Compromise layout
- Inspection immediately after production - Immediate corrective actions, lesser possibilities of rejections - Lower WIP and hence economies of space and less Inventory cost.

Machine Layout
- General layout of the plant, broken into machines in relation to other machines and to material handling system. - Affects efficiency of the operations and rate of production for the whole line.

Machine Layout
Major Considerations: - Room for workers operating machines - Allowance for projection of machines moving parts - Allowance for projections of materials - Material handling movements - Storage space - Place for tools & accessories - Maintenance requirements - Quick access & Safety stops - Lighting, Ventilating & Safety requirements - Statutory compliances

Materials Handling
Means by which the flow in the plant is sustained forms vital part of the layout. Material Handling is used for horizontal, vertical or combination incl. inclined. - Cranes - Conveyors - Trucks - Gravity handling Systems (cheaper).

Group Layout (or Cellular Layout)

It is a combination of the product layout and process layout. It combine the advantages of both layout systems. If there are m-machines and n-components, in a group layout (Group-Technology Layout), the m-machines and ncomponents will be divided into distinct number of machine-component cells (group) such that all the components assigned to a cell are almost processed within that cell itself. Here, the objective is to minimize the intercell movements. In-group technology layout, the objective is to minimize the sum of the cost of transportation and the cost of equipments.

The basic aim of a group technology layout is to identify families of components that require similar of satisfying all the requirements of the machines are grouped into cells. Each cell is capable of satisfying all the requirements of the component family assigned to it. The layout design process considers mostly a single objective while designing layouts. In process layout, the objective is to minimize the total cost of materials handling. Because of the nature of the layout, the cost of equipments will be the minimum in this type of layout. In product layout, the cost of materials handling will be at the absolute minimum. But the cost of equipments would not be at the minimum if the equipments are not fully utilized.

Advantages: Group Technology layout can increase 1. Component standardization and rationalization. 2. Reliability of estimates. 3. Effective machine operation and productivity. 4. Customer service. It can decrease the 1. Paper work and overall production time. 2. Work-in-progress and work movement. 3. Overall cost. Disadvantages: This type of layout may not be feasible for all situations. If the product mix is completely dissimilar, then we may not have meaningful cell formation.

Automation on layout
Fully Automated plant or individual sections or production lines - Automated lines provide for: > Constant flow of materials through the system > Automatic loading, positioning & unloading > Inspection after certain predetermined operations > Automatic sorting for rejections - Results in: > Lower WIP > Lesser temporary storages space and costs >Reduced material handling costs

Automation on layout
- Involves: > Major Capital expenditure > Reduced flexibility > Reduced adaptability to variations in designs - Flexibility is achieved, if adopted to batch production & integration of these lines into one layout.

Symptoms of bad layout: - Material congestion - Excessive WIP - Poor space Utilization - Long transportation lines - Production bottlenecks at certain machines, when some other identical machines are idle. - Excessive handling by skilled operators - Long production cycles and delays in delivery - Mental and/or physical strain on Operators - Poor effective supervision and controls - Higher rejections/damages - Accidents

Factors to be considered in planning of layout: A number of factors must be analysed before deciding on the pattern of the flow lines and type of layout and communication systems. - Hazards : moving parts, projecting machine elements, suspended weights, air pollution, physical & chemical risks, safety of personnel & plant. - Type of Production : Job, batch or continuous or combinations - Type of Operation : Wet or dry : Light or heavy machines etc.

Factors to be considered in planning of layout: - Sequence of Operations - Integration of production: Single/Multi flow - Type of Products: Weight, Volume, Physical state - Type of Inspection: Centralised/Decentralised : Frequency etc. - Management policy: Plans for future expansion, changes in product design & variety.

To summarise, Plant layout is critical from: - Utilization of space & equipment - Material Handling - WIP - Production Control Layouts are classified as: - Product Type - Process Type - Static Product Type Automation on layout provides: - Saving in Space & Handling - Reduced WIP - Problems of adaptability to product variety & changes in design

Flow Systems: - Flow of materials through the plant is one of the major factors that determine the type of layout. - Flow of materials govern : - Cost of material handling - Amount of WIP - Capital & Space tied up by WIP - Length of Production time - Complicated flow systems, usually implies complicated control system - Generally plant layout design starts with the flow system, around which services & other facilities are added. Sometimes, it is required to be adapted to existing buildings/set-up.

LINE BALANCING
Workstation Cycle Time -The most common assemblyline is a moving conveyor that passes a series of workstations in a uniform time interval Work is performed on a product either by adding parts or by completing assembly operations. The work performed at each station is made up of many bits of work, termed tasks, elements, and work units. Such tasks are described by motion-time analysis. Generally, they are grouping that cannot be subdivided on the assembly-line without paying a penalty in extra motions.

The steps in balancing an assembly line are:

1. Specify the sequential relationships among tasks using a precedence diagram.

2. Determine the required workstation cycle time C, using the formula

3. Determine the theoretical minimum number of workstations (Nt) required to satisfy the workstation cycle time constraint using the formula

4. Select a primary rule by which tasks are to be assigned to workstations, and a secondary rule to break ties. 5. Assign tasks, one at a time, to the first workstation until the sum of the task times is equal to the workstation cycle time, or no other tasks are feasible because of time or sequence restrictions. Repeat the process for workstation 2, workstation 3, and so on until all tasks are assigned.

6. Evaluate the efficiency of the balance derived using the formula

7. If efficiency is unsatisfactory, rebalance using a different decision rule.

Thank you for listening!!

Production Management