a lean analysis methodology using simulation february 20, 2009
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AUTOMATION IN MANUFACTURING Leading-Edge Technologies and Applications. A Lean Analysis Methodology Using Simulation February 20, 2009. [email protected] www.OpStat.com. SME Technical Communities. Production & Operations Analysis. MSMOT Courses Supply Chain Design - PowerPoint PPT PresentationTRANSCRIPT
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[email protected] www.OpStat.com
A Lean Analysis Methodology Using SimulationFebruary 20, 2009
AUTOMATION IN MANUFACTURINGLeading-Edge Technologies and Applications
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SME Technical Communities
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Production & Operations Analysis
MSMOT CoursesSupply Chain Design Manufacturing Process Design
Lean ImprovementMethodologyStatistical Analysis SimulationOptimization
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FORBES.com Innovation During The Great Disruption
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Innovation During The Great DisruptionScott Anthony, 01.16.09,
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What is “Lean” / Why Simulation?
The term goes back to the Toyota Production System’s Just-in-Time techniques
Lean Manufacturing expanded to Lean Six Sigma & Lean Supply Chain: to optimize cross-functional processes
Simulation allows us to: Evaluate things other tools cannot, such as impacts of product mix and
setups, for complex operations with many products
Analyze impacts of variability in processes and demand, with real-world time sensitive parameters
Develop replenishment & inventory strategy across locations,
Analyze impacts of process and capacity changes on performance.
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Simulate Replenishment Planning
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Key Metrics Can Be Compared For Multiple Scenarios
Results of Multiple Simulations are
Compared on the Same Graph
Cycle Times
Inventory Levels
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Repair Centers
Repair Centers
Case Study: Lean Simulation Model Test a New Demand Pull Process
ExtrusionLaminating
& cutting PackagingDemand60 +finished products
MRP Push 3 Passes on the same equipment
Limitedstorage space
5 days/week 7 days/week 7 days/week
Each work center operates on a different work schedule.
Before Model for Laminated Plastic Manufacturing Process
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Lean Techniques in Model
KanbansOne-Piece Flow
EPEI (Every Part Every Interval) Constant Work In Process (CONWIP)
Batch Schedules
When to Authorize Production
DowntimeSetups / Changeovers
YieldScrap
Lead Times
Incorporate Variability
Setup ReductionShared Equipment Resources
Skilled LaborWork Center Schedules
Test Factory Changes
Takt Times / RatesOEE (Overall Equipment Effectiveness)
Cycle Times
Metrics
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Pull Process: Scheduling & Structured Replenishment Rules
Repair Centers
CuttingExtrusion Laminating Packaging FillOrders
Triggered by KANBAN replenishment
Rhythm Cycle Product Group Allotment
LIGHT 80
LIGHT 55
LIGHT 25
FULL 80
FULL 55
FULL 25
5 days/week 7 to 6 days/week
7 days/week
Schedule to maintainCONWIP
EPEI Rhythm
Cycle
Tested & modified work schedule
Packaging is the constraint operation.
Repair Centers
CuttingExtrusion Laminating Packaging FillOrders
Triggered by KANBAN replenishment
Rhythm Cycle Product Group Allotment
LIGHT 80
LIGHT 55
LIGHT 25
FULL 80
FULL 55
FULL 25
5 days/week 7 to 6 days/week
7 days/week
Schedule to maintainCONWIP
EPEI Rhythm
Cycle
Tested & modified work schedule
Packaging is the constraint operation.
After Model with Best Practice Just-in-Time Techniques
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“Every Product Every Interval” (EPEI)
EPEI Cycle Product Group Allotment
LIGHT 80
LIGHT 55
LIGHT 25
FULL 80
FULL 55
FULL 25
~60 total products; in 6 product groups
As demand arrives for each product, the production order is assigned to the next available cycle spot
Fairly complex setup rules between product groups
Make every product within this cycle: -Sets the maximum lead time-Dictates inventory turns & working capital
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Before: throughput/service problem
Packaging operation is sometimes starved
Not meeting demand
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After: Increased & consistent flow
Improvement in Packager utilization
Better Demand fulfillment
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Some Real Benefits
Postponement strategy ( the Dell method ) - 30% inventory reduction; with service improvement to 97+%
Synchronized flow - reduced cycle time 18 to 13 weeks
Kanbans – inventory reduced 20% across a network
Demand pull – delayed need for major capacity upgrade
Focus on continuous improvement A traditional method such as value-stream mapping becomes
dynamic A model is a tool for kaizen teams and six sigma black belts
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Hierarchical blocks for each plant or work
center
Each work-center has flow logic for
material, and schedule input
Each line has logic for each equipment set
Hierarchical Model Building
Excel interfaces for all inputs & outputs provides ease of use
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Job Shop Simulation Model
Setup ProcessJobs from multiple sources
Each Job assigned a Job Type
Each Job Type creates a series ofJob IDs to be executed
Test ID Resource Requirements Skill Equipment Time Hold Time
10 3 101 4 hrs 24 hrs20 2 102 8 hrs 030 4 206 .5 hrs 6 hrs40 4 210 3 hrs 1 week
Each Job ID has parameters that define resources & duration
Skills Equip
Resources
Job Type Job Sequence Job IDs in the Sequence to be Performed. These Correspond to Job IDs in the Job ID to Resource WorksheetCode Nbr of Ops 1 2 3
2 3 10 20 303 2 20 304 1 405 3 20 10 40
Completed Jobs
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Job Shop Example Statistical Outputs
Confidence intervals for results, e.g., end-to-end time
& utilization
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A Takeaway