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1 Drum-Buffer-Rope: Using Theory of Constraints in Workflow and Facility Design Several years ago, I was called into a client’s production facility which was experiencing a major production problem. Turn-Around-Time (TAT) had increased to over 100% of what had been guaranteed to their customers. Even with the addition of 25% more printing capacity, daily production had not increased to utilize this added potential. As I began to analyze the situation, I realized the extent, as well as the simplicity of the problem. The difficulty was not with the efficiency of the printing or binding equipment – although those efficiencies were not as high as could be expected. They were not low enough to cause the drastic increase in TAT, and the low improvement in production. The identified problem was simply this: Work-In-Process inventory was extremely high. The impact of WIP on throughput and TAT Eli Goldratt, in his book “The Goal,” describes the impact of WIP inventory on throughput. His methodology, called the Theory of Constraints (TOC) reduces the effect of WIP on overall system performance. Solving the Problem – Workflow Solving the problem requires use of what Goldratt terms “Drum – Buffer – Rope.” In this method, an operation is selected to control the tempo of work flowing through the production system (the “drum”). In Godratt’s methodology, this controlling operation is the constraint, or bottleneck of the production system. Since the output of the production system cannot be faster than its slowest member, it makes sense for this operation to be the drum. One of the key concepts in TOC is that the constraint should never be idle. In other words, the constraint should never run out of work. This makes sense since if the production system can only yield the amount that the constraint produces, we must maximize its production. Case Study THE CLIENT A large digital book printer THE CHALLENGE Turn-around-time exceeding customer commitments THE SOLUTION Identify the bottleneck in the manufacturing system Determine a strategy for limiting WIP in the system THE RESULTS 200% decrease in TAT; 50% increase in throughput Craig Paxson [email protected] www.newsalemconsulting.com Creating Order at the Edge of Chaos

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Drum-Buffer-Rope: Using Theory of Constraints in Workflow and Facility Design

Several years ago, I was called into a

client’s production facility which was

experiencing a major production problem.

Turn-Around-Time (TAT) had increased to

over 100% of what had been guaranteed to

their customers. Even with the addition of

25% more printing capacity, daily

production had not increased to utilize this

added potential.

As I began to analyze the situation, I

realized the extent, as well as the simplicity

of the problem. The difficulty was not with the efficiency of the printing

or binding equipment – although those efficiencies were not as high as

could be expected. They were not low enough to cause the drastic

increase in TAT, and the low improvement in production.

The identified problem was simply this: Work-In-Process inventory was

extremely high.

The impact of WIP on throughput and TAT

Eli Goldratt, in his book “The Goal,” describes the impact of WIP

inventory on throughput. His methodology, called the Theory of

Constraints (TOC) reduces the effect of WIP on overall system

performance.

Solving the Problem – Workflow

Solving the problem requires use of what Goldratt terms “Drum – Buffer

– Rope.” In this method, an operation is selected to control the tempo of

work flowing through the production system (the “drum”). In Godratt’s

methodology, this controlling operation is the constraint, or bottleneck of the production system. Since the output

of the production system cannot be faster than its slowest member, it makes sense for this operation to be the

drum.

One of the key concepts in TOC is that the constraint should never be idle. In other words, the constraint should

never run out of work. This makes sense since if the production system can only yield the amount that the

constraint produces, we must maximize its production.

Case Study

THE CLIENT

A large digital book printer

THE CHALLENGE

Turn-around-time exceeding customer

commitments

THE SOLUTION

•Identify the bottleneck in the

manufacturing system

•Determine a strategy for limiting WIP

in the system

THE RESULTS

200% decrease in TAT; 50% increase

in throughput

Craig Paxson

[email protected]

www.newsalemconsulting.com

Creating Order at the Edge of Chaos

2

Drum-Buffer-Rope

But how can we ensure the constraint never runs out of work to process? This is the concept of

the “buffer”. The buffer is a predetermined amount of WIP. If that amount is chosen carefully, the

constraint is protected from being idle, while not increasing TAT.

The rope is the mechanism that pulls new work into the system. Work should be pulled into the

system at the same rate that it leaves, with small adjustments as necessary. .

Workflow Applications

The above discussion seems like common sense. But how is it applied? Looking at most multi-

step operations, there are piles of WIP everywhere - WIP between the printers and the binders;

between the inserters and the mailers. Even more devastating than the WIP is that the amount is

uncontrolled. It is simply a result of the mismatch in output of the preceding and succeeding

operations. Figure 1 showing the client’s workflow illustrates this situation.

Figure 1 – Print Shop Flow without Buffers

The first step in applying TOC to the situation is to determine where and how large the WIP buffers should be.

Although the preferred method is to put the buffer in front of the constraint, we may need more than one buffer; or

Craig Paxson

[email protected]

www.newsalemconsulting.com

Creating Order at the Edge of Chaos

3

Drum-Buffer-Rope

the constraint may not be an appropriate place to insert a buffer. An analysis of the production

system (routes that parts take through the system, the production speed of equipment, how

equipment is manned, setup times, etc.) is necessary to determine where the buffers need to be.

This analysis will also determine the size of the buffers.

Workflow Redesign

In this case, two buffers were created - one prior to perfect binding, and one prior to case-binding

(reference Figure 2). These were the appropriate places for these buffers because multiple pieces

of work were put together at those points. This made it possible for the production personnel to

determine easily which pieces were missing and needed to be run. The size of the buffers also

allowed production personnel to determine where to put their people. If the buffer is too large, more

resources must be assigned to the downstream processes (overtime, people, etc.). If the buffer is

too small, more resources must be assigned to the upstream resources (i.e. running the material

for that buffer in upstream processes for example).

Figure 2 - Print Shop Flow with Buffers

Craig Paxson

[email protected]

www.newsalemconsulting.com

Creating Order at the Edge of Chaos

4

Drum-Buffer-Rope

One of the keys in using this workflow is to only have WIP in the buffers. Between the binder and

cutter, for example, there should be only a small amount of WIP. This makes the production line

behave like one continuous machine, reducing turnaround time. We use the methods proposed in

“Factory Physics” to determine the proper size for the buffers.

Results

In this case, limiting WIP storage to the buffers and the amount of WIP in the system decreased

TAT by over 200% and increased throughput by over 50%, with no additional manpower or

machinery required.

Facility Design

Generally, facilities are designed to “shoehorn” the most equipment possible, or to minimize the

travel of parts or people. As we have seen from our discussion above, we also need to provide

space for WIP buffers; and the facility should discourage the accumulation of WIP anyplace other

than the designated buffers.

Summary

Workflow and facility design should take into account the Theory of Constraints. Analysis must be

done to determine the location and size of WIP buffers and facilities must be designed with these

buffers in mind.

For more information on using Theory of Constraints in your operation, contact V3Synergy Consulting.

V3Synergy Consulting specializes in helping small and digital printers to improve profitability through the

application of workflow process improvement and waste management.

Craig Paxson

[email protected]

www.newsalemconsulting.com

Creating Order at the Edge of Chaos