Professional Documents
Culture Documents
ninth edition
Operations Management
For Competitive Advantage
Chapter 10
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AQUILANO
JACOBS
ninth edition
JIT Defined The Japanese Approach to Productivity JIT Implementation Requirements JIT in Services
CHASE AQUILANO JACOBS
Operations Management
ninth edition
JIT can be defined as an integrated set of activities designed to achieve high-volume production using minimal inventories (raw materials, work in process, and finished goods). JIT also involves the elimination of waste in production effort. JIT also involves the timing of production resources (e.g., parts arrive at the next workstation just in time).
CHASE AQUILANO JACOBS
Operations Management
ninth edition
Characteristics of JIT
JIT is popularly known as stockless production Produce just enough to meet demand Inventory is wasteful
Labor and materials Equipment and time Storage and insurance Capital, etc.
Operations Management
ninth edition
Final Assembly
Sub
Fab
Vendor
Fab
Vendor
Fab
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Vendor
Operations Management
ninth edition
Imported technologies Efforts concentrated on shop floor Quality improvement focus Elimination of waste Respect for people
CHASE AQUILANO JACOBS
Operations Management
ninth edition
Waste in Operations
(1) Waste from overproduction (2) Waste of waiting time (3) Transportation waste (4) Inventory waste (5) Processing waste (6) Waste of motion (7) Waste from product defects
CHASE AQUILANO JACOBS
Operations Management
ninth edition
Operations Management
ninth edition
Final Assembly
CHASE
AQUILANO
JACOBS
Operations Management
ninth edition
10
Identification of:
Machine cells Part families
Operations Management
ninth edition
11
Using Departmental Specialization for plant layout can cause a lot of unnecessary material movement.
Saw Saw Saw Grinder Grinder
Heat Treat
Lathe
Lathe
Lathe
Press
Press
Press
CHASE
AQUILANO
JACOBS
Operations Management
ninth edition
12
Revising by using Group Technology Cells can reduce movement and improve product flow.
Lathe
Press
Heat Treat
Lathe
Press
CHASE
AQUILANO
JACOBS
Operations Management
ninth edition
13
Robotics Supply chain management Value stream mapping Flexible manufacturing systems Computer integrated manufacturing systems Expert systems Neural networks
CHASE AQUILANO JACOBS
Operations Management
ninth edition
14
Self-inspection
Limited use of QC departments
Operations Management
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Operations Management
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Operations Management
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Not uniform
Uniform
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WHAT IT DOES
Exposes problems and bottlenecks Achieves streamlined production
WHAT IT REQUIRES
Employee participation
Industrial engineering/basics Continuing improvement Total quality control Small lot sizes CHASE
AQUILANO
JACOBS
Operations Management
ninth edition
19
Example: By identifying defective items from a vendor early in the production process the downstream work is saved.
Paperwork backlog
Inspection backlogs
Example: By identifying defective work by employees upstream, the downstream work is saved.
JACOBS
CHASE
AQUILANO
Operations Management
ninth edition
20
Uses signaling system to regulate JIT flows Kanban--sign or instruction card Kanban system is a pull system
Authority to produce comes from downstream It is a form of information system Production kanban--can be single card if move distance is short Move (withdrawal, conveyance) kanban
CHASE AQUILANO JACOBS
Operations Management
ninth edition
21
Machine Center
Storage Part A
Storage Part A
Assembly Line
Production kanban
CHASE
AQUILANO
JACOBS
Operations Management
ninth edition
22
Setting up a kanban system requires determining the number of kanbans (or containers) needed. Each container represents the minimum production lot size. An accurate estimate of the lead time required to produce a container is key to determining how many kanbans are required.
CHASE AQUILANO JACOBS
Operations Management
ninth edition
23
Operations Management
ninth edition
24
A switch assembly is assembled in batches of 4 units from an upstream assembly area and delivered in a special container to a downstream control-panel assembly operation. The control-panel assembly area requires 5 switch assemblies per hour. The switch assembly area can produce a container of switch assemblies in 2 hours. Safety stock has been set at 10% of needed inventory.
CHASE AQUILANO JACOBS
Operations Management
ninth edition
25
Operations Management
ninth edition
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Operations Management
ninth edition
27
Strive to maintain level payrolls Workers as assets Cooperative employee unions Subcontractor networks Bottom-round management style Quality circles (Small group involvement activities)
CHASE AQUILANO JACOBS
Operations Management
ninth edition
28
Link operations Balance workstation capacities Relayout for flow Emphasize preventive maintenance Reduce lot sizes Reduce setup/changeover time
CHASE AQUILANO JACOBS
Operations Management
ninth edition
29
Design for quality and quality at the source Worker responsibility/quality culture Measure SQC and use achievable goals Enforce compliance Fail-safe methods Automatic inspection
CHASE AQUILANO JACOBS
Operations Management
ninth edition
30
Level schedule
Pull materials into final assembly in uniform pattern
Underutilize capacity
Realized by removing excess inventory Inventory less likely with quality and equipment maintenance
Operations Management
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Operations Management
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Limited number of suppliers for better control Reduce lead times Frequent deliveries Project usage requirements Quality expectations
CHASE AQUILANO JACOBS
Operations Management
ninth edition
33
Operations Management
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Operations Management
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35
Standard product configuration Standardize and reduce number of parts Process design with product design Quality expectations
CHASE AQUILANO JACOBS
Operations Management
ninth edition
36
Organize Problem-Solving Groups Upgrade Housekeeping Upgrade Quality Clarify Process Flows Revise Equipment and Process Technologies
CHASE AQUILANO JACOBS
Operations Management
ninth edition
37
Level the Facility Load Eliminate Unnecessary Activities Reorganize Physical Configuration Introduce Demand-Pull Scheduling Develop Supplier Networks
CHASE AQUILANO JACOBS
Operations Management
ninth edition
38
Assembly
2 Order Signal
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AQUILANO
JACOBS
Customer
Operations Management
ninth edition
39
Objectives
Lead time reduction Lot size reduction Waste elimination
Operations Management
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40
New Paradigms
Operations Management
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41
What, Why, How, When Baseline measurements Benchmarking JIT Education/Training for all Milestone charts Communication Numerical goal setting
CHASE AQUILANO JACOBS
Operations Management
ninth edition
42
Performance Measurement
Quality levels Customer satisfaction Equipment effectiveness Supplier performance Throughput time Inventory levels Setup/lead time reduction Layout efficiency
CHASE AQUILANO JACOBS
Operations Management
ninth edition
43
Overriding Principles
Simplification
Visibility--Andons
Quality Inventory Productivity
CHASE
AQUILANO
JACOBS
Operations Management
ninth edition
44
Sort--Seiri (organization; find whats not needed) Set in order--Seiton (place for everything) Shine--Seiso (cleanliness) Standardize--Seiketsu (develop/maintain stds.) Sustain--Shitsuke (self-discipline)
CHASE AQUILANO JACOBS
Operations Management
ninth edition
45
Returns Problems
Procedures Posted
Part A
Part B
Outgoing
CHASE
AQUILANO
JACOBS
Operations Management
ninth edition
46
Overriding Principles
Variance reduction
Identify sources and reduce/eliminate Check the standards and enforce them Quality, delivery, setup, level production Shoot for perfection always Benchmarking
Where are we right now? Where do we want to be? How to get there. Post results of improvements
CHASE AQUILANO JACOBS
Measurement
Operations Management
ninth edition
47
Benchmarking
Where are we now? Where do we want to be? How do we get there--whats the plan?
CHASE AQUILANO JACOBS