od&em lec. 7

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Managing Technology

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Page 1: OD&EM Lec. 7

Managing Technology

Page 2: OD&EM Lec. 7

What is Technology? Technology is the combination of skills, knowledge, abilities, tools, techniques, materials, machines, equipments, and computers that people use to convert raw material into valuable goods and services.

In simple words, technology is the process of converting raw materials into valuable products.

Technology has a great significance today because of globally rising competition, craftswork (i.e. custom-designed products), and mass production.

Page 3: OD&EM Lec. 7

Challenges of Technology

Survival in the global competitionThreat of ever escalating technological products (such as in high tech industries like cellular and computers industries)

Attaining the benchmarks of qualityAttaining product differentiationGaining low cost technology

(less costly plants; lowering production cost; economies of scale)Searching new technologies to reduce parts in machines; finding alternate inputs; and flexible manufacturing options

Page 4: OD&EM Lec. 7

Levels of TechnologyManual (by using hands only)

Semi-automatic (for bulk production and requiring labor for inserting raw material, supervisors to check different processes and operate the machines, and packing supervisors)

Automatic (for bulk production and requiring almost no labor except labor for inserting raw material and packing supervisors)

Page 5: OD&EM Lec. 7

Choice of Manufacturing Process

i. Job shop: These are small organizations producing goods in small quantities but offer large varieties. Ex. A shop manufacturing gift items like key chains, pens, and wall clocks for companies.

ii. Batch Process or Batch Manufacturing: These organizations produce goods in average quantities using standardized methods, but their production capacity is larger than job shops.

Page 6: OD&EM Lec. 7

Choice of Process cotd.iii. Large Batch/Line/Repetitive Process: These organizations produce goods in relatively larger quantities than job shop and batch manufacturing.

iv. Continuous Production: These organizations produce goods with the highest scale of production on automatic plants, which is the highest among all other process choices, like job shop, batch and repetitive process.

Criticism: There exists only three processes or scales of operations: small, medium, and large batch manufacturing along with the facility to manufacture either small , medium, or large variety of products.

Page 7: OD&EM Lec. 7

Nexus of Technology with Quality & Standardization

As technology leads to better productivity and quality, so it has a nexus with quality practices and certification of standardization / standardized processes like:

Quality Circles;Kaisen;TQM;ISO 9000 series; &Similar standards

Page 8: OD&EM Lec. 7

Total Quality Management (TQM)

TQM is a management philosophy about managing the quality of products and entire systems of an organization, while focusing on customer satisfaction, employee involvement, and continuous improvement in quality, as the three principles for maximizing quality.

Its tools include: Process design (for workflows)Benchmarking (the performance indicators)

Page 9: OD&EM Lec. 7

Implementing TQM It requires:

- Customers need identification- Employee involvement- Management support- Cultural change- Training and development- Individual development and teamwork- Rewards and incentives- Controlling measures

Page 10: OD&EM Lec. 7

Advanced Manufacturing Technology

Advanced Manufacturing Technology (AMT) consists of materials technology and knowledge technology to improve work processes.

Materials technology is the use of machinery, equipments, and computers in the work processes. It includes other technologies, like:

Computer Integrated Manufacturing (CIM) is a computerized system to integrate product design and engineering, process planning, production planning, inventory control, and scheduling. Various technologies that comprise CIM include the following:

Page 11: OD&EM Lec. 7

AMT contd.Computer–Aided Manufacturing (CAM): CAM systems are used to design production process and to control machine tools and materials flow through programmable automation.

Computer–Aided Design (CAD): CAD is a system for designing new products or parts or altering existing ones. It replaces traditional drafting done by hand and with the help of desktop computer and graphics softwares, where the designers manipulate geometric shapes.

Page 12: OD&EM Lec. 7

AMT contd.Computer–Aided Materials Management (CAMM): CAMM system is used to manage materials and input flow, master production schedules, and inventory control. It seems similar to CAM but other researchers have designed it with different features.

Just-In-Time (JIT): JIT is a system (usually on a computerized software) to control materials and input flow by ordering them exactly when they are required, thus eliminating extra inventory and carrying costs.

Page 13: OD&EM Lec. 7

AMT contd.Numerically Controlled (NC) Machines: These are large scales machines programmed to produce small to medium size products. They follow a programmed sequence of instructions and can drill, turn, bore, and mill many different parts of products in various sizes and shapes.

Computerized numerically controlled (CNC) machines are more advanced, automatic, and flexible than NC machines.

Page 14: OD&EM Lec. 7

AMT contd.

Industrial Robots: Industrial robots are versatile, computer controlled machines programmed to perform various functions. These “steel-collar” workers operate independently without a human control; when needed, they can be reprogrammed as well.

The industrial robot joined the General Motors (GM) production line in USA in 1961.

Page 15: OD&EM Lec. 7

AMT contd.Automated Materials Handling: Materials handling covers the process of moving, packaging, and storing a product. Material handling consists of two of the following technologies that are concerned with computerized transport system.

i. Automatic Guided Vehicles (AGVs): AGV is a small driverless, battery driven truck/vehicle that moves materials from one place of operations to another, by following instructions of a computer.

Page 16: OD&EM Lec. 7

AMT contd.ii. Automated Storage/Retrieval System (AS/RS): AS/RS is a computer controlled method of storing and retrieving materials and tools using racks, bins, and strikers. If optical sensors of AS/RS confirm that the materials placed will fit in, the automatic system moves them to the proper location.

Flexible manufacturing system (FMS): FMS is a configuration of computer controlled, automatic manufacturing system where materials are automatically handled and machine loaded and unloaded at various work stations. It involves the least labor involvement to operate because it employs CNC machines, robots, AGVS, and AS/RS to perform operations almost without human labor.

Page 17: OD&EM Lec. 7

AMT contd.Knowledge Technology is the combination of skills and abilities of individuals and groups. (Note that it’s the second part of Advanced Manufacturing Technology (AMT), and it also includes KM tools).

People set processes and standardized procedures, so-called standard operating procedures (SOPs) to perform various tasks.

Flexible workers (capable to perform a variety of specialized tasks)

Flexible teams (capable to perform a variety of specialized tasks)