SlideShare a Scribd company logo

Operation Analysis - Process Mapping

Download as PPT, PDF
Pavan Rajini, profile picture
Pavan Rajini

This document provides an overview of operations analysis and operations management. It defines operations as the set of activities that transforms inputs into outputs in the form of goods and services. Operations management is decision making around designing, planning, and controlling factors that affect operations, with a focus on productivity, cost, flexibility, quality, and service. The document discusses different industrial sectors and how countries' operations change as they develop economically, shifting from primary to secondary to tertiary sectors. It also outlines the structure of the operations analysis module.

Education
1 of 72
Downloaded 96 times
1
2
3
Most read
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
Most read
28
Most read
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
Operations Analysis Xun Wang, Wessam Abouarghoub. Logistics Systems Dynamics Group Logistics and Operations Management Section Cardiff Business School
What is Operations? • Operations is the set of activities that creates value in the form of goods and services by transforming inputs into outputs. – Goods: tangible products – Services: intangible products OperationsInput Output
What is Operations Management? • Operations Management (OM) is decision making involving the design, planning and control of the many factors that affect operations. – Productivity, cost, flexibility, quality, service Ford Model T www.ford.co.uk
What is Operations Management? • Typical structure of organizations: – Marketing – Finance – Human Resource – Production/Operations • Operations are costly!
Why bother with Operations Management? • Manufacturing still important in the UK • Manufacturing important in developing countries • Global outsourcing – Supply chain issues • Service has become more and more important • Methods, tool, techniques can be carried over to other sectors – Government – Healthcare
Three basic types of industrial sectors • Primary. Agriculture etc • Secondary. Manufacturing etc • Tertiary. Services etc • As a country develops, its businesses migrate from primary to secondary to tertiary sectors • This means that the type of operations change over time, and as Operations Managers our tasks will change over time
As a country develops its operations changes…. % gross domestic product by sector 1980 1996Country Primary Secondary Tertiary Primary Secondary Tertiary Australia 12 28 60 8 22 70 Belgium 3 39 58 2 34 64 Canada 12 33 55 8 30 62 France 6 40 54 4 33 63 Germany 4 47 49 2 41 57 Italy 7 40 53 3 31 66 Japan 5 41 54 2 40 58 Norway 24 28 48 21 22 57 Singapore 2 36 62 1 36 64 South Africa 31 29 40 15 33 52 Spain 8 40 52 4 30 66 Sweden 5 41 54 3 36 61 UK 7 38 55 4 33 63 USA 8 29 63 4 24 72
As a country develops its operations changes…. (India)
As a country develops its operations changes…. (China) Service Manufacturing Agriculture 45 45 10
Employment in the UK
Consultants income • 31% of consultants income is from operations management activities Marketing/ sales Operations Management Corporate Strategy IT Strategy Benefits/Accurial Organistional design Finance
Supposed Outcomes • A comprehensive understanding of various operations management techniques. • Critically evaluate the context and assumptions behind these techniques. • Judge the intrinsic trade-offs identified in determining targets and solutions in operations management problems.
Who am I? Dr Xun (Paul) Wang, PhD, MAdmin, BAdmin Room S05 wangx46@cardiff.ac.uk My office hours I have an open door policy on Mondays 14.00-16.00 and Tuesdays 14.00-16.00. If you wish to see me at other times, please email for an appointment as I usually have a very busy schedule. My secretary Elaine Adams, Room C52, AdamsE27@cardiff.ac.uk
Who am I? Dr Wessam Abouarghoub, PhD, MSc, BSc, HND, Chief Mate Mariner Room C44 AbouarghoubW@cardiff.ac.uk http://business.cardiff.ac.uk/contact/staff/abouarghoub My office hours I have an open door policy on Monday 12.00 – 14.00 and Wednesday 15.00 – 17.00. If you wish to see me at other times, please email for an appointment as I have a very busy schedule. My secretary Elaine Adams, Room C52, AdamsE27@cardiff.ac.uk
Operations Analysis: Lectures and Tutorials • Lectures in weeks 1-10 in JHRC. Lectures Wednesdays 13.10-15.00. • Tutorials in room P21 – Groups 2, 3, 4. 13.10-15.00hrs. Tuesday 21st Oct, 11th Nov, 25th Nov, 9th Dec. • Tutorials in room C23 – Groups 5, 6,7,8. 15.10-17.00 hrs. Tuesday 21st Oct, 11th Nov, 25th Nov, 9th Dec. • Tutorials in room L02 – Groups 9,10,11,12. 09.10-11.00 hrs. Wednesday 22th Oct, 12th Nov, 26th Nov, 10th Dec. – Groups 13,14,15,16. 11.10-13.00 hrs. Wednesday 22th Oct, 12th Nov, 26th Nov, 10th Dec. • If you are unsure of your tutorial group, please go to Postgraduate Student Hub at the new building. • Note there is an assessment week in-between weeks 5 and 6. Thus there is no Operations Analysis lecture on the 5th November (although there are other activities scheduled).
Module assessment outline • Methods, techniques and tools of operations management • The exam will cover what was taught in the class. • 3 hours, end of module examination in January • Internal and External Examiners will moderate the grading • Final module marks will be awarded by the Board of Examiners in April 2015.
The secret formula for an MBA • An MBA is 180 academic credits. – According to the UK’s QAA standards this is equivalent to 1800 hours of study. • 1800 hrs / 48 weeks = 37.5 hrs a week study • Operations Analysis = 10 credits – 10 credits = 100 hours of study – 20 hours of lectures, 8 hours of syndicates – 100 - 20 - 8 = 72 hours of self study and revision • 72 hours / 10 weeks= 7.2 hrs a week of self study for Operations Analysis! • If you turned up after week 2 then you need to do 9.5 hrs self study a week on Operations Analysis (week 3 it requires 11.5 hrs per week)!
learningcentral.cf.ac.uk Things you should bring to every lecture; • pens, • pencils, • coloured pens/pencils, • calculator, • paper, • previous lecture notes, • ruler, • brain. Things you should not bring to lectures: Mobile phones, drinks, food, cigarettes, beer There are many Operations Management books in the library. A good start is…
What sort of maths skills are required? ,,,,, x÷×−+ ., cmxy dx dy += 2 ,σµ $, £, ¥, € The noble quest of making money is greatly assisted by a little mathematics!
Formula sheets in the exams • I do give out formula sheets for the more complicated equations as remembering equations is not a learning objective. • However, you will be excepted to apply, use, critic, adapt equations in formula sheets to both theoretical and practical situations. • I also expect you to be able to derive solutions (usually of the simpler equations) from first principles, this is a learning objective. – In this case I will, of course, not give to the equation in a formula sheet as that would be giving away the answer!
Maths Support Service The Maths Support Service is freely available to all students of Cardiff University, not just those studying Mathematics, to assist with any maths based problems, no matter how small! The service offers: • Friendly one-to-one or small group assistance • Informal drop-in sessions and appointments • Access to a range of learning resources http://www.cf.ac.uk/mathssupport/
Syllabus for Operations Analysis Week No. Lecture Topics Lecturer Tutorial 1 Process Modelling I Wang 2 Process Modelling II Wang 3 Activity Sampling Wang 4 Optimisation and Linear programming Wang Process Mapping & SADT (Abouarghoub) 5 Project Management Wang Assessment week 6 Economics of Operations I Wang Activity Sampling (Abouarghoub) 7 Economics of Operations II Wang 8 Decision Making Under Uncertainty Wang Linear Programming (Abouarghoub) 9 Inventory I Wang 10 Inventory II – Cause and Effect Diagrams Wang Project Management (Abouarghoub)
End of Introduction to Operations Analysis Lecture 1. Process mapping
Process mapping • Process mapping describes processes in terms of how the activities within the process relate to each other. • There are different techniques for process mapping (we will cover that in the next lecture), but they both have the following features: – They identify different types of activities that take place during the process – They show the flow of materials, people or information through the process
Purpose of process mapping • Overview – Identify what actually takes place • Basics for discussion – Clarity for yourself and others – Understand how different players view the process under study and the tasks and activities in the process • Opportunity to see improvements – Evaluate different process designs – Identify value adding and wasteful activities – Aid in the design of a simpler/ more effective systems • Skills you can use anywhere • Increases your effectiveness
Procedure of process mapping • Describe the process that you want to map – “The process has the purpose of …” – “The aim of this process is to …” • Identify names of tasks – Which event triggers the above said process – Which event concludes it – Which tasks are included in the process • What kind of the task is it? – Operation; transport; store; delay; inspection; decision; … • Identify the person/role/department who carries out the step – Yourself; your assistant; the finance department, …
Process flow mapping symbols OPERATION Indicates a main step in a process, method or procedure where a change in “state” occurs STORE a controlled delay in the process where material is received into and issued from a store or a file or an item is retained for reference purposes INSPECTION Indicates an inspection for quality and / or a check for quantity TRANSPORT movement between parts of the process DECISION Decision/judgement has to be made which will decide the following process DELAY an uncontrolled delay in the process
Process for making a cup of coffee Prepare cup Add coffee powder to cup Boil water Add water to cup Stir your drink Need sugar? Need milk? Add sugar to cup Add milk to cup Wait YES NO NO YES Stir your drink
Process for making a cup of coffee 1 Go to coffee machine 1 Take filter out of machine 2 Take to bin 2 Knock out used bins 3 Go to sink 3 Wash filter 4 Go back to coffee m/c 4 Fill filter with fresh beans 5 Tamp down beans 6 Refit filter to coffee m/c 7 Turn on m/c 1 Wait for m/c to heat up 8 Put cup under filter 9 Turn m/c to steam 10 Steam beans and fill up cup 11 Turn off m/c 12 Take cup out from m/c 5 Go to the conservatory 13 Enjoy
Cross-functional process maps •Sometimes it is useful to use “streamed” process maps highlight the roles different people (or departments) play in delivering the product or service. •AKA process maps with “swimming lanes”
Shopping for a pair of jeans
Purpose, viewpoint and detail • When drawing a process map it is important to keep in mind the purpose of your study – Maps drawn for one purpose may not be suitable for another purpose • Different viewpoints of the process exist – A customers view of the process is different from a company’s view or the product’s (or paper / information) view (indeed different customers may also have different perspectives / opinions). • The appropriate level of detail is affected by the purpose and context of your study – At a supply chain level, perhaps a whole factory can be considered an operation. Mapping inside the factory though requires much more detail. • Process mapping requires skill & professional judgement
The four process states • You should always tackle a process mapping problem with a sceptical mind as there are four process states – What people say it is – What they perceive it to be – What it actually is – What it should be • Remember, people may be lazy, ignorant or afraid and they do lie!
Critical examination of your process map • After we have drawn a map of the “as is” situation we need to improve it. • We do this by critically examining the map to - determine the true reasons behind each event - draw up a list of improvements • Focus attention first on each individual event and then on the process as a whole
Your attitude will affect your process mapping results! 1. Facts must be established. Do not accept what “appears to be”, or “should be” or what is “said to be” 2. Preconceptions must not be allowed to colour the facts 3. The problem must be tackled with a challenging and sceptical attitude 4. Hasty judgements must be avoided 5. Detail must receive persistent and close attention 6. Experiments not based on firm evidence should be documented and reserved to the appropriate place in the investigation 7. New methods should not be considered until all the features of the current method have been systematically examined
The seven lean wastes (DOTWIMP) • Defects. Any repair, rework or spoilage. • Over production. Producing too much or producing too soon. – Overproduction is the worst waste because it hides or generates all others, especially the inventory waste. • Transportation. All transport is a waste. • Waiting. For parts, people or machines. • Inventory. Any more than the minimum amount required to get the job done. • Motion. Any motion (of man) that does not add value. • Processing. Excess capacity, excess quality standards. • But what about wasting people’s talent? Or energy?
Waste Definition Causes Why is it a waste? Transport • Unnecessary movement of parts between processes • Unnecessary material handling • Badly designed process/cell • Complex material flow • Poor value stream flow • Sharing of equipment • Increases production time • Products could get damaged during transit • Takes time, resources & space • Increases WIP Inventory • Any raw material, WIP or finished goods which are not having value added to them • Mismatch between demand & production • Inaccurate forecasting • Excessive downtime / set up • Push instead of pull • Large batch sizes • Unreliable suppliers • Adds cost & requires investment • Requires space to store • Extra resources needed to manage • Hides shortages & defects • Can become stolen, damaged, obsolete & out of date • Needs to be insured Motion • Waste motion occurs when individuals move more than is necessary to complete the process • No standard operating procedure • Poor housekeeping • Badly designed cell • Inadequate training • Adds cost • Interrupts production flow • Increases production time • Can cause injury Waiting • People or parts that wait for a work cycle to be completed • Shortages & unreliable supply chain • Lack of flexible workers • Downtime / Breakdown • Ineffective production planning • Large batch sizes • Quality, design, engineering issues • Stop / start production • Poor workflow continuity • Creates bottlenecks • Loses capacity • Lengthens lead times • Failed delivery dates Over- Production • To produce sooner, faster or in greater quantities than required to meet customer demand • Manufacturing too much, too early or “Just in Case” • MRP push rather than kanban pull • Large batch sizes • Looks better to be busy • Lack of customer focus • It costs money to consume resources before you have too • It creates inventory & that hides quality problems and uses up space • Overproduction discourages a smooth flow of goods or services Over- Processing • Processing beyond the standard required by the customer • Out of date standards • ‘We have always done it like this’ attitude • Not understanding the customer & the process • Lack of innovation & improvement • Lack of standard operation procedures • By improving processing efficiency we ultimately use less resource to achieve the same customer satisfaction • It increases productive time • It’s work above and beyond specification Defects • A defect is a component which the customer would deem unacceptable to pass the quality standard • Out of control/Incapable processes • Lack of skills, training & on the job support • Inaccurate design & engineering • Machine inaccuracy • Black art processes • Defects reduce or discourage customer satisfaction • Defects have to be rectified which costs money, time, effort, materials & creates paper work • Defects in the field reduces customer confidence & you could lose customers • Defects interrupt the schedule
Waste is everywhere • Many (all?) processes have wasteful activities • The target is to eliminate waste • This is usually done by reducing complexity in the process (i.e. simplifying it!) • Each process consists of value add and non-value add (waste) activities
VA and NVA activities Current process Remove waste Redesigned process
Categories of waste Value add (VA) activities Anything that the customer is willing to pay for Non-value add (NVA) activities An activity that costs money but does not add value to the need (perceived as waste) Something the customer is not willing to pay for Necessary NVA (NNVA) activities NNVA activities are NVA activities that do not add value but which are essential to ensure that the VA activities fulfil the need NNVA activities may also be there to meet legal requirements
What is a value adding activity? To be a value added action the action must meet all three of the following criteria: 1) The customer is willing to pay for this activity. 2) It must be done right the first time. 3) The action must somehow change the product or service in some manner.
Waste measurement & reduction VA and NVA activities usually defined in terms of time The main principals to waste reduction are: Elimination (of activities) Time compression (doing things quicker) Concurrency (parallel operations) VA and NVA activities are identified via process modelling
Shopping for Silk in Shanghai Notice how the numbers are used. Within which category numbers are consecutively. This allows the number of each category to be easily determined, by simply observing the last instance of each category.
Shopping for Silk in Swansea
Title: Completed by: “As is” “As should be” “As could be” Date: Time Units Distance Units Operation Inspection Transport Storage Delay # Task Description VA NNVA NVA Notes 1 2 3 4 5 6 7 8 Process mapping data collection form
Making a cup of coffee 360
Formula 1 pit stop • Formula 1 pit stop • Pit stops: 1950 and 2013 • Formula 1 pit stop: slow motion
Pit stop – 1950s Driver Tyre man Fuel man Jack operator 1 Driving in lane 2 Stopping 3 Jacking up the front 13 Departure Change front right tyre 4 Refuelling 9 12 Lower the car Clean spillages 10 11 Clean windshield 1 Wait in car 1 Move to left Change front left tyre 5 Move to the rear 2 6 Jacking up the rear Change front right tyre 7 3 Move to left Change front left tyre 8
Changing tyre – 1950s 1 Knock screw off Fetch new tyre 42 Remove old tyre 3 Fit new tyre 4 Fit screw 5 Fasten screw Put down old tyre 3 Put down spanner 1 Put down screw 2 Take up spanner 6 Take up screw 5
Examine the operations first • Transports and delays may superficially appear to give the greatest scope for improvement • However it is often possible to streamline the process by considering the operations first. - Can they be eliminated? - Can they be re-ordered? This will then alter the transport and delays • If the operations are “capable” do we require so many inspections?
Primary examination of each activity 1) Purpose. “What is achieved?” and “is it necessary?”. Challenge why the activity exists. The answer will guide you to whether a particular activity should be included in the new process 2) Place. “Where is it done?” and “Why there?” 3) Sequence. “When is it done?” and “Why then?”. This will guide you towards the best sequence of events 4) Person. “Who does it?” and “Why that person?” 5) Means. “How is it done?” and “Why is it done that way?”
Secondary examination of each activity 1) Purpose. “What else could be done?” and “What else should be done?” 2) Place. “Where else could it be done?” and “Where should it be done?” 3) Sequence. “When else could it be done?” and “When should it be?”. 4) Person. “Who else could do it?” and “Who should do it?” 5) Means. “How else could it be done?” and “How should it be done?”
Purpose of the examination • The answers will guide you towards the new design • Unnecessary activities can be eliminated • If an activity can’t be eliminated it could be - changed - combined with another activity - done in a different place - done in a different order (in parallel?) - done by different people - done by a different means • Could an activity be simplified? • Could an activity be made to be external to the process?
Operation Analysis - Process Mapping
Wheel man Regulat ion Wheel t eam Wheel t eam PaulPit st op Hand Aft er car is lift ed Seems logical / habit Aft er car is st opped Wheel nut is removed Yes,absolut ely Not hing Not hing Byspanner Noinvest ment in t echnology Wheel gun Wheel gun 4 Int hepit st op Regulat ion None Pit st op Removet hewheel nut Aft er car is st opped
(Un) securing the wheel • Senses the torque, thus more accurate • Handmade equipment, more expensive • Cheap • Inaccurate, slow to communicate
Jackoperat or Logical None Jackoperat or PaulPit st op Hand Aft er wheel nut is fit t ed Habit Aft er wheel is fit t ed Car is lowered Yes,absolut ely Not hing Not hing Byjack Jackis lift ingt hecar None Byjack 12 Int hepit st op Logical None Pit st op Loweringt hecar Aft er wheelis fit t ed
Signalling • Accurate, automatic, fast • Prone to errors, failed sensors or false positive triggers • Cars could be stranded in the pit or released early • Flexible to the environment • Subject to the crews’ communication and response speed
Lollipopman Need inspect ion Lollipopman Lollipopman PaulPit st op Hand Whent hecar is int hepit st op Seems logical Whent hecar is int hepit st op Drivers knowwhent o st op,st art engine and depart Yes,absolut ely Not hing Not hing Bylollipopsign Noinvest ment in t echnology Trafficlight syst em Trafficlight syst em Infront of t hecar Habit Somewherewit ha bet t er sight Somewherewit ha bet t er sight Providingsignalt odriver Whent hecar is int hepit st op
Pit stop – 2013 Lollipop man Driver Other mechanics Jack operators x2 Driving in lane Signing brake Braking Jacking up the car If other cars passing lane Lift sign Departure Other changes / adjustments Lower the car Signing first gear Removing the nut Remove the old tyre Fitting the new tyre Fitting the nut Tyre changer Tyre carrier 1 Tyre carrier 2 First Gear
Changing tyre – 2013 Removing the nut Remove the old tyre Fitting the new tyre Fitting the nut Tyre changer Tyre carrier 1 Tyre carrier 2
Pit stop – 2013 Front wing men Alter wings and nose cone Stabilizer Fire extinguisher Crew Starter man Put out fire that occurs Stabilizes the car Remove rubbish from air intake Restart engine if stalls Crew Cleaning windshield Crew Watering the driver
F1 pit stop • “You could design new equipment to shave off a tenth, or five- hundredths of a second, but it’s expensive and there’s a point at which the resources could be better allocated elsewhere.” – Jonathan Wheatley, Red Bull Team Manager
Single Minute Exchange of Dies (SMED) • When a machine (or operator) is required to produce more then one product (or service) then a “set-up” or “changeover” may be necessary when the machine changes from producing one product to another. • SMED, or Single Minute Exchange of Dies is a technique invented Dr Shigeo Shingo to reduce the waste incurred to convert processes from running one part or operation to another.
Set-up activities in different industries Scenario Set-up activities Lathe Removing completed work piece from lathe and placing new work piece in the lathe, selecting new cutting tool, fixing and aligning new cutting tool to lathe, consult engineering drawings. Press Remove die from the press machine, locate and fix new die into the machine. Telephone operator at call centre Ask for customer account number, ask for nature of enquiry, retrieve necessary data on account / problem by navigating various computer screens. Hair dresser Obtain payment from previous customer, clean chair, ask requirements, wash / dry hair. Fruit juice producer Empty filling machine of juice, washing out machine pipes, change over juice containers. Restaurant Washing of a saucepan. Formula One pit stop Change tyres, replenish coolants and fuel, undertake small repairs, clean windshield, giving driver a drink. Airline Getting passengers and luggage off and then one to plane, cleaning cabin, restocking cabin consumables (food drink, duty free gifts), refuelling, changing staff. Sports stadium Changing the arena for a basketball game from an ice hockey game.
Internal and external set-up activities • An internal activity is the work done whilst the machine is not producing good product. • An external activity is the work done whilst the machine is producing good product. • If there is no machine in your scenario, think about the “core” activity that progresses the work to its final state in order to identify what is internal or external. – Internal changeover activities delay the progress towards the final state, external activities do not.
Charging the battery on your camera • Scenario 1. Before SMED – 1a. You are taking pictures and the battery runs out. – 1b. You plug the power cable into the camera and wait for the battery to be charged. Whilst this is happening you are not taking any pictures. – 1c. Unplug the power cable – 1d. Carry on taking pictures • Activity 1b and 1c are the internal changeover / set-up activities • Scenario 2. After SMED – 2a. You are taking pictures and the battery runs out. – 2b. You remove the flat battery and replace it with a previously fully charged battery. – 2c. Carry on taking pictures. – 2d. You plug in the power cable and charge the flat battery at your convenience. • Activity 2b is an internal set-up activity and 2d is an external set-up activity
A four stage approach to achieve SMED • Step 1. Separate out the internal tasks from the external tasks (move the external tasks backwards or forwards, introduce parallelization) • Step 2. Reduce the number and duration of the internal tasks. Sometimes you need to convert internal tasks to external ones • Step 3. Reduce the external tasks. • Step 4. Improve all set-up activities. • http://www.youtube.com/watch?v=Q_A89Tv5Rl4
Changing tyre – Identifying external and internal tasks 1 Knock screw off Fetch new tyre 42 Remove old tyre 3 Fit new tyre 4 Fit screw 5 Fasten screw Put down old tyre 3 Put down spanner 1 Put down screw 2 Take up spanner 6 Take up screw 5 4 can be moved forward 1 2 3 5 can be reduced by parallelization can be moved backward 6
Changing tyre – 2013 Removing the nut Remove the old tyre Fitting the new tyre Fitting the nut Tyre changer Tyre carrier 1 Tyre carrier 2 Hold gun Hold gun and nut Hold new tyre Put down old tyre
Imagine you are in the Tour de France… The tour de France is a bike race. You are in the front group, but you get a flat tire. You raise your hand up to signal the officials’ car immediately behind the group that there’s something wrong so they can announce it on race radio. The hand you raise makes a difference. If it’s your rear wheel that is flat, you raise your right hand - you raise your left hand for a front flat. Prepare the bike. If your rear wheel is flat, shift your gears into the smallest cog on the rear wheel in order to make the current wheel drop out of the rear end more easily and make it easier for the mechanic to get the new one on. Whether it’s a front or rear wheel change, you flip the release lever on the brake so the pads move away from the rim. Remove the offending wheel If you have time before the mechanic arrives, flip the quick release lever and remove the wheel from the bike. When the mechanic arrives with the new wheel, remember to hold on to the bike as the mechanic is completely focused on getting the new wheel on and secured, not holding the bike upright. If you hold onto the bike, he can use both hands to get the wheel change done faster. Get started again. Staying calm is the key to getting going again quickly. Take a deep breath, get one foot on the pedal and shove off. Let the mechanic give you a push and then focus on catching up with the group. Homework Question. Draw a process map of this activity. Highlight which are the internal tasks and the external tasks.
Thank you for your attention! Handouts Shopping for silk in Shanghai: Case study Notes on SMED Mathematics for Operations Managers

More Related Content

PPTX
Capacity management
yashodeep more
 
PPTX
Operation Management
Subrata Uthpal
 
PPT
Operations Management
Akash Deep Sharma
 
PDF
Product Operation Planning & Control
We Learn - A Continuous Learning Forum from Welingkar's Distance Learning Program.
 
PPTX
cycle time, normal time and standard allowance
Pratibha Khemchandani
 
PPTX
Introduction to Operations Research
Victor Seelan
 
PPT
Capacity planning
Abdullah Shahid
 
PPTX
Location Planning
Mary Gilssie Joy Ecaldre
 
Capacity management
yashodeep more
 
Operation Management
Subrata Uthpal
 
Operations Management
Akash Deep Sharma
 
Product Operation Planning & Control
We Learn - A Continuous Learning Forum from Welingkar's Distance Learning Program.
 
cycle time, normal time and standard allowance
Pratibha Khemchandani
 
Introduction to Operations Research
Victor Seelan
 
Capacity planning
Abdullah Shahid
 
Location Planning
Mary Gilssie Joy Ecaldre
 

What's hot (20)

PPT
Operation management
Rameshsingh Pardeshi
 
PPT
Production and Operations Management- Chapters 1-8
vc_santos
 
PPT
material requirement planning
Naushii Khan
 
PPT
Time And Motion Study
ahmad bassiouny
 
PPTX
Time and Motion Study
Vivek Shelke
 
PPT
Scheduling and sequencing
Akanksha Gupta
 
PDF
Recent Trends in Modern Operations Management
Shuhab Tariq
 
PPT
Introduction To Operation Management
Menchanical Engineering Community forum
 
PPT
Productivity improvement slide share
K. M. Hasan Ripon
 
PDF
Operations management notes
Somashekar S.M
 
PPTX
Jonson"s Rule Production scheduling
mrinalmanik64
 
PDF
Basic EOQ Model, Quantity Discount, Economic Lot Size
Phillip Leonard Petate
 
PPTX
1. INTRODUCTION TO OPERATIONS MANAGEMENT.pptx
IvanIISeballos
 
PPT
Aggregate Planning
Deepanker Agarwal
 
PPT
Scheduling
ahmad bassiouny
 
PPTX
Operation Management
kifluchekole1
 
PPT
Location Planning and Analysis
Iza Marie
 
PPT
Operation Management
MAJU
 
PDF
Motion and time study
Seta Wicaksana
 
PPTX
Operations management
Prithvi Ghag
 
Operation management
Rameshsingh Pardeshi
 
Production and Operations Management- Chapters 1-8
vc_santos
 
material requirement planning
Naushii Khan
 
Time And Motion Study
ahmad bassiouny
 
Time and Motion Study
Vivek Shelke
 
Scheduling and sequencing
Akanksha Gupta
 
Recent Trends in Modern Operations Management
Shuhab Tariq
 
Introduction To Operation Management
Menchanical Engineering Community forum
 
Productivity improvement slide share
K. M. Hasan Ripon
 
Operations management notes
Somashekar S.M
 
Jonson"s Rule Production scheduling
mrinalmanik64
 
Basic EOQ Model, Quantity Discount, Economic Lot Size
Phillip Leonard Petate
 
1. INTRODUCTION TO OPERATIONS MANAGEMENT.pptx
IvanIISeballos
 
Aggregate Planning
Deepanker Agarwal
 
Scheduling
ahmad bassiouny
 
Operation Management
kifluchekole1
 
Location Planning and Analysis
Iza Marie
 
Operation Management
MAJU
 
Motion and time study
Seta Wicaksana
 
Operations management
Prithvi Ghag
 
Ad

Viewers also liked (15)

PPTX
Mhs bpm conference- 04-11-2014
Brian D'Rosario
 
PPTX
Process chart and flow diagram
Angelica Angelo Ocon
 
PDF
Process Experience - The coffee example
Thomas Olbrich
 
PPT
Story Board Laundry Project
jonhaid
 
PDF
Example of Business Operations Analysis
Bojan Mitrovic, M.A.
 
PPTX
Achieving “services” business process excellence: Metrics-driven best practic...
Genpact Ltd
 
PPTX
Zara final
University of Moratuwa, Sri Lanka
 
PPTX
Lean Concepts In The Service Industry
RNHolley01
 
PPTX
Total quality control
Aakash Bhongade
 
PDF
All process maps 18 blueprints all process-maps
Lidnaaidnilas
 
PPT
Dell Supply Chain
Amit Kumar
 
PDF
Getting Started With Business Process Modeling
Michael zur Muehlen
 
PDF
Process mapping with flowcharts
Steven Bonacorsi
 
PPT
Process mapping
Mauro Calcano
 
PPT
Simple Process Mapping Techniques
Stephen Deas
 
Mhs bpm conference- 04-11-2014
Brian D'Rosario
 
Process chart and flow diagram
Angelica Angelo Ocon
 
Process Experience - The coffee example
Thomas Olbrich
 
Story Board Laundry Project
jonhaid
 
Example of Business Operations Analysis
Bojan Mitrovic, M.A.
 
Achieving “services” business process excellence: Metrics-driven best practic...
Genpact Ltd
 
Zara final
University of Moratuwa, Sri Lanka
 
Lean Concepts In The Service Industry
RNHolley01
 
Total quality control
Aakash Bhongade
 
All process maps 18 blueprints all process-maps
Lidnaaidnilas
 
Dell Supply Chain
Amit Kumar
 
Getting Started With Business Process Modeling
Michael zur Muehlen
 
Process mapping with flowcharts
Steven Bonacorsi
 
Process mapping
Mauro Calcano
 
Simple Process Mapping Techniques
Stephen Deas
 
Ad

Similar to Operation Analysis - Process Mapping (20)

PPT
(1) 2014 process mapping 3
Shodmonbek Shakir
 
PPTX
Operations Management 2024 diapositiva 2024 2024 2024
AngieMartnMora
 
PPTX
Lean concepts and quality indicators final
Dr. Bikash Kumar Chaudhury
 
PDF
PI Boot Camp 2015.06 Participant Packet
Mike Rudolf
 
PPT
Lecture 2-design process and phasses 25 sebtember.ppt
kghanem2
 
PPTX
Chapter-7 Job Design and Work Measurement Final.pptx
amanuel236786
 
PDF
Kaizen | Continuous Improvement for Organization
Institute of Management Consultants Myanmar
 
PDF
Changing culture and building efficiencies by applying the Lean principles to...
Association for Project Management
 
PDF
PA2557_SQM_Lecture3 - Process Improvement.pdf
hulk smash
 
PPT
Tqm tools
Jiji Raju
 
PPTX
20 Tools of Six Sigma.pptx
minhajulislam90
 
PPT
Chapter 5 successful problem solving & task mgt
Nasz Zainuddin
 
PDF
Workplace management : 5S / Visual Control
Varmahk
 
PPTX
ISO 9001 Implementation Implementation 2.pptx
ssuser443211
 
PPTX
Lesson14
GeorgeLasluisa
 
PPTX
Driving Change with Data: Getting Started with Continuous Improvement
LeanKit
 
PPTX
AGC_LCEP_PPT Unit 7_0 (2).pptx
ManoharDatt2
 
PPTX
PROBLEM_SOLVING_AGC_LCEP_PPT Unit 7_0 (1).pptx
PraneethAnjana
 
PPTX
AGC_LCEP_PPT Unit 7_0.pptx
HamzaRismila
 
PPTX
An introduction to lean six sigma
Rahul Singh
 
(1) 2014 process mapping 3
Shodmonbek Shakir
 
Operations Management 2024 diapositiva 2024 2024 2024
AngieMartnMora
 
Lean concepts and quality indicators final
Dr. Bikash Kumar Chaudhury
 
PI Boot Camp 2015.06 Participant Packet
Mike Rudolf
 
Lecture 2-design process and phasses 25 sebtember.ppt
kghanem2
 
Chapter-7 Job Design and Work Measurement Final.pptx
amanuel236786
 
Kaizen | Continuous Improvement for Organization
Institute of Management Consultants Myanmar
 
Changing culture and building efficiencies by applying the Lean principles to...
Association for Project Management
 
PA2557_SQM_Lecture3 - Process Improvement.pdf
hulk smash
 
Tqm tools
Jiji Raju
 
20 Tools of Six Sigma.pptx
minhajulislam90
 
Chapter 5 successful problem solving & task mgt
Nasz Zainuddin
 
Workplace management : 5S / Visual Control
Varmahk
 
ISO 9001 Implementation Implementation 2.pptx
ssuser443211
 
Lesson14
GeorgeLasluisa
 
Driving Change with Data: Getting Started with Continuous Improvement
LeanKit
 
AGC_LCEP_PPT Unit 7_0 (2).pptx
ManoharDatt2
 
PROBLEM_SOLVING_AGC_LCEP_PPT Unit 7_0 (1).pptx
PraneethAnjana
 
AGC_LCEP_PPT Unit 7_0.pptx
HamzaRismila
 
An introduction to lean six sigma
Rahul Singh
 

Recently uploaded (20)

PDF
2.FourierTransform-ShortQuestionswithAnswers.pdf
Raji Murugan
 
PDF
Practical Manual AGRO-233 Principles and Practices of Natural Farming
MilindKhedekar2
 
DOC
Soft-furnishing-By-Architect-A.F.M.Mohiuddin-Akhand.doc
ArchitectAFMMohiuddi
 
PDF
Complications of Minimal Access Surgery at WLH
mohitsuren827
 
PDF
Updated Idioms and Phrasal Verbs in English subject
surbaraoye
 
PDF
Anesthesia in Laparoscopic Surgery in India
mohitsuren827
 
PDF
RTP_AR_KS1_Tutor's Guide_English [FOR REPRODUCTION].pdf
RobertMentino1
 
PPTX
Microbial diseases, their pathogenesis and prophylaxis
DevlinaSengupta
 
PDF
Classroom Observation Tools for Teachers
Nicaramirez
 
PPTX
PPT- ENG7_QUARTER1_LESSON1_WEEK1. IMAGERY -DESCRIPTIONS pptx.pptx
KMDee
 
PDF
Supply Chain Operations Speaking Notes -ICLT Program
labyankof
 
PDF
Chinmaya Tiranga quiz Grand Finale.pdf
Nitin Suresh
 
PDF
Computing-Curriculum for Schools in Ghana
abigailanane203
 
PDF
Paper A Mock Exam 9_ Attempt review.pdf.
SameeraNaveed2
 
PPTX
Introduction-to-Literarature-and-Literary-Studies-week-Prelim-coverage.pptx
EricaRamos80
 
PDF
What if we spent less time fighting change, and more time building what’s rig...
Derek Wenmoth
 
PDF
Weekly quiz Compilation Jan -July 25.pdf
Nitin Suresh
 
PDF
grade 11-chemistry_fetena_net_5883.pdf teacher guide for all student
banteamlakmebratu738
 
PDF
Module 4: Burden of Disease Tutorial Slides S2 2025
Jonathan Hallett
 
PDF
GENETICS IN BIOLOGY IN SECONDARY LEVEL FORM 3
ElishamichaelSamwel
 
2.FourierTransform-ShortQuestionswithAnswers.pdf
Raji Murugan
 
Practical Manual AGRO-233 Principles and Practices of Natural Farming
MilindKhedekar2
 
Soft-furnishing-By-Architect-A.F.M.Mohiuddin-Akhand.doc
ArchitectAFMMohiuddi
 
Complications of Minimal Access Surgery at WLH
mohitsuren827
 
Updated Idioms and Phrasal Verbs in English subject
surbaraoye
 
Anesthesia in Laparoscopic Surgery in India
mohitsuren827
 
RTP_AR_KS1_Tutor's Guide_English [FOR REPRODUCTION].pdf
RobertMentino1
 
Microbial diseases, their pathogenesis and prophylaxis
DevlinaSengupta
 
Classroom Observation Tools for Teachers
Nicaramirez
 
PPT- ENG7_QUARTER1_LESSON1_WEEK1. IMAGERY -DESCRIPTIONS pptx.pptx
KMDee
 
Supply Chain Operations Speaking Notes -ICLT Program
labyankof
 
Chinmaya Tiranga quiz Grand Finale.pdf
Nitin Suresh
 
Computing-Curriculum for Schools in Ghana
abigailanane203
 
Paper A Mock Exam 9_ Attempt review.pdf.
SameeraNaveed2
 
Introduction-to-Literarature-and-Literary-Studies-week-Prelim-coverage.pptx
EricaRamos80
 
What if we spent less time fighting change, and more time building what’s rig...
Derek Wenmoth
 
Weekly quiz Compilation Jan -July 25.pdf
Nitin Suresh
 
grade 11-chemistry_fetena_net_5883.pdf teacher guide for all student
banteamlakmebratu738
 
Module 4: Burden of Disease Tutorial Slides S2 2025
Jonathan Hallett
 
GENETICS IN BIOLOGY IN SECONDARY LEVEL FORM 3
ElishamichaelSamwel
 

Operation Analysis - Process Mapping

  • 1. Operations Analysis Xun Wang, Wessam Abouarghoub. Logistics Systems Dynamics Group Logistics and Operations Management Section Cardiff Business School
  • 2. What is Operations? • Operations is the set of activities that creates value in the form of goods and services by transforming inputs into outputs. – Goods: tangible products – Services: intangible products OperationsInput Output
  • 3. What is Operations Management? • Operations Management (OM) is decision making involving the design, planning and control of the many factors that affect operations. – Productivity, cost, flexibility, quality, service Ford Model T www.ford.co.uk
  • 4. What is Operations Management? • Typical structure of organizations: – Marketing – Finance – Human Resource – Production/Operations • Operations are costly!
  • 5. Why bother with Operations Management? • Manufacturing still important in the UK • Manufacturing important in developing countries • Global outsourcing – Supply chain issues • Service has become more and more important • Methods, tool, techniques can be carried over to other sectors – Government – Healthcare
  • 6. Three basic types of industrial sectors • Primary. Agriculture etc • Secondary. Manufacturing etc • Tertiary. Services etc • As a country develops, its businesses migrate from primary to secondary to tertiary sectors • This means that the type of operations change over time, and as Operations Managers our tasks will change over time
  • 7. As a country develops its operations changes…. % gross domestic product by sector 1980 1996Country Primary Secondary Tertiary Primary Secondary Tertiary Australia 12 28 60 8 22 70 Belgium 3 39 58 2 34 64 Canada 12 33 55 8 30 62 France 6 40 54 4 33 63 Germany 4 47 49 2 41 57 Italy 7 40 53 3 31 66 Japan 5 41 54 2 40 58 Norway 24 28 48 21 22 57 Singapore 2 36 62 1 36 64 South Africa 31 29 40 15 33 52 Spain 8 40 52 4 30 66 Sweden 5 41 54 3 36 61 UK 7 38 55 4 33 63 USA 8 29 63 4 24 72
  • 8. As a country develops its operations changes…. (India)
  • 9. As a country develops its operations changes…. (China) Service Manufacturing Agriculture 45 45 10
  • 11. Consultants income • 31% of consultants income is from operations management activities Marketing/ sales Operations Management Corporate Strategy IT Strategy Benefits/Accurial Organistional design Finance
  • 12. Supposed Outcomes • A comprehensive understanding of various operations management techniques. • Critically evaluate the context and assumptions behind these techniques. • Judge the intrinsic trade-offs identified in determining targets and solutions in operations management problems.
  • 13. Who am I? Dr Xun (Paul) Wang, PhD, MAdmin, BAdmin Room S05 wangx46@cardiff.ac.uk My office hours I have an open door policy on Mondays 14.00-16.00 and Tuesdays 14.00-16.00. If you wish to see me at other times, please email for an appointment as I usually have a very busy schedule. My secretary Elaine Adams, Room C52, AdamsE27@cardiff.ac.uk
  • 14. Who am I? Dr Wessam Abouarghoub, PhD, MSc, BSc, HND, Chief Mate Mariner Room C44 AbouarghoubW@cardiff.ac.uk http://business.cardiff.ac.uk/contact/staff/abouarghoub My office hours I have an open door policy on Monday 12.00 – 14.00 and Wednesday 15.00 – 17.00. If you wish to see me at other times, please email for an appointment as I have a very busy schedule. My secretary Elaine Adams, Room C52, AdamsE27@cardiff.ac.uk
  • 15. Operations Analysis: Lectures and Tutorials • Lectures in weeks 1-10 in JHRC. Lectures Wednesdays 13.10-15.00. • Tutorials in room P21 – Groups 2, 3, 4. 13.10-15.00hrs. Tuesday 21st Oct, 11th Nov, 25th Nov, 9th Dec. • Tutorials in room C23 – Groups 5, 6,7,8. 15.10-17.00 hrs. Tuesday 21st Oct, 11th Nov, 25th Nov, 9th Dec. • Tutorials in room L02 – Groups 9,10,11,12. 09.10-11.00 hrs. Wednesday 22th Oct, 12th Nov, 26th Nov, 10th Dec. – Groups 13,14,15,16. 11.10-13.00 hrs. Wednesday 22th Oct, 12th Nov, 26th Nov, 10th Dec. • If you are unsure of your tutorial group, please go to Postgraduate Student Hub at the new building. • Note there is an assessment week in-between weeks 5 and 6. Thus there is no Operations Analysis lecture on the 5th November (although there are other activities scheduled).
  • 16. Module assessment outline • Methods, techniques and tools of operations management • The exam will cover what was taught in the class. • 3 hours, end of module examination in January • Internal and External Examiners will moderate the grading • Final module marks will be awarded by the Board of Examiners in April 2015.
  • 17. The secret formula for an MBA • An MBA is 180 academic credits. – According to the UK’s QAA standards this is equivalent to 1800 hours of study. • 1800 hrs / 48 weeks = 37.5 hrs a week study • Operations Analysis = 10 credits – 10 credits = 100 hours of study – 20 hours of lectures, 8 hours of syndicates – 100 - 20 - 8 = 72 hours of self study and revision • 72 hours / 10 weeks= 7.2 hrs a week of self study for Operations Analysis! • If you turned up after week 2 then you need to do 9.5 hrs self study a week on Operations Analysis (week 3 it requires 11.5 hrs per week)!
  • 18. learningcentral.cf.ac.uk Things you should bring to every lecture; • pens, • pencils, • coloured pens/pencils, • calculator, • paper, • previous lecture notes, • ruler, • brain. Things you should not bring to lectures: Mobile phones, drinks, food, cigarettes, beer There are many Operations Management books in the library. A good start is…
  • 19. What sort of maths skills are required? ,,,,, x÷×−+ ., cmxy dx dy += 2 ,σµ $, £, ¥, € The noble quest of making money is greatly assisted by a little mathematics!
  • 20. Formula sheets in the exams • I do give out formula sheets for the more complicated equations as remembering equations is not a learning objective. • However, you will be excepted to apply, use, critic, adapt equations in formula sheets to both theoretical and practical situations. • I also expect you to be able to derive solutions (usually of the simpler equations) from first principles, this is a learning objective. – In this case I will, of course, not give to the equation in a formula sheet as that would be giving away the answer!
  • 21. Maths Support Service The Maths Support Service is freely available to all students of Cardiff University, not just those studying Mathematics, to assist with any maths based problems, no matter how small! The service offers: • Friendly one-to-one or small group assistance • Informal drop-in sessions and appointments • Access to a range of learning resources http://www.cf.ac.uk/mathssupport/
  • 22. Syllabus for Operations Analysis Week No. Lecture Topics Lecturer Tutorial 1 Process Modelling I Wang 2 Process Modelling II Wang 3 Activity Sampling Wang 4 Optimisation and Linear programming Wang Process Mapping & SADT (Abouarghoub) 5 Project Management Wang Assessment week 6 Economics of Operations I Wang Activity Sampling (Abouarghoub) 7 Economics of Operations II Wang 8 Decision Making Under Uncertainty Wang Linear Programming (Abouarghoub) 9 Inventory I Wang 10 Inventory II – Cause and Effect Diagrams Wang Project Management (Abouarghoub)
  • 23. End of Introduction to Operations Analysis Lecture 1. Process mapping
  • 24. Process mapping • Process mapping describes processes in terms of how the activities within the process relate to each other. • There are different techniques for process mapping (we will cover that in the next lecture), but they both have the following features: – They identify different types of activities that take place during the process – They show the flow of materials, people or information through the process
  • 25. Purpose of process mapping • Overview – Identify what actually takes place • Basics for discussion – Clarity for yourself and others – Understand how different players view the process under study and the tasks and activities in the process • Opportunity to see improvements – Evaluate different process designs – Identify value adding and wasteful activities – Aid in the design of a simpler/ more effective systems • Skills you can use anywhere • Increases your effectiveness
  • 26. Procedure of process mapping • Describe the process that you want to map – “The process has the purpose of …” – “The aim of this process is to …” • Identify names of tasks – Which event triggers the above said process – Which event concludes it – Which tasks are included in the process • What kind of the task is it? – Operation; transport; store; delay; inspection; decision; … • Identify the person/role/department who carries out the step – Yourself; your assistant; the finance department, …
  • 27. Process flow mapping symbols OPERATION Indicates a main step in a process, method or procedure where a change in “state” occurs STORE a controlled delay in the process where material is received into and issued from a store or a file or an item is retained for reference purposes INSPECTION Indicates an inspection for quality and / or a check for quantity TRANSPORT movement between parts of the process DECISION Decision/judgement has to be made which will decide the following process DELAY an uncontrolled delay in the process
  • 28. Process for making a cup of coffee Prepare cup Add coffee powder to cup Boil water Add water to cup Stir your drink Need sugar? Need milk? Add sugar to cup Add milk to cup Wait YES NO NO YES Stir your drink
  • 29. Process for making a cup of coffee 1 Go to coffee machine 1 Take filter out of machine 2 Take to bin 2 Knock out used bins 3 Go to sink 3 Wash filter 4 Go back to coffee m/c 4 Fill filter with fresh beans 5 Tamp down beans 6 Refit filter to coffee m/c 7 Turn on m/c 1 Wait for m/c to heat up 8 Put cup under filter 9 Turn m/c to steam 10 Steam beans and fill up cup 11 Turn off m/c 12 Take cup out from m/c 5 Go to the conservatory 13 Enjoy
  • 30. Cross-functional process maps •Sometimes it is useful to use “streamed” process maps highlight the roles different people (or departments) play in delivering the product or service. •AKA process maps with “swimming lanes”
  • 31. Shopping for a pair of jeans
  • 32. Purpose, viewpoint and detail • When drawing a process map it is important to keep in mind the purpose of your study – Maps drawn for one purpose may not be suitable for another purpose • Different viewpoints of the process exist – A customers view of the process is different from a company’s view or the product’s (or paper / information) view (indeed different customers may also have different perspectives / opinions). • The appropriate level of detail is affected by the purpose and context of your study – At a supply chain level, perhaps a whole factory can be considered an operation. Mapping inside the factory though requires much more detail. • Process mapping requires skill & professional judgement
  • 33. The four process states • You should always tackle a process mapping problem with a sceptical mind as there are four process states – What people say it is – What they perceive it to be – What it actually is – What it should be • Remember, people may be lazy, ignorant or afraid and they do lie!
  • 34. Critical examination of your process map • After we have drawn a map of the “as is” situation we need to improve it. • We do this by critically examining the map to - determine the true reasons behind each event - draw up a list of improvements • Focus attention first on each individual event and then on the process as a whole
  • 35. Your attitude will affect your process mapping results! 1. Facts must be established. Do not accept what “appears to be”, or “should be” or what is “said to be” 2. Preconceptions must not be allowed to colour the facts 3. The problem must be tackled with a challenging and sceptical attitude 4. Hasty judgements must be avoided 5. Detail must receive persistent and close attention 6. Experiments not based on firm evidence should be documented and reserved to the appropriate place in the investigation 7. New methods should not be considered until all the features of the current method have been systematically examined
  • 36. The seven lean wastes (DOTWIMP) • Defects. Any repair, rework or spoilage. • Over production. Producing too much or producing too soon. – Overproduction is the worst waste because it hides or generates all others, especially the inventory waste. • Transportation. All transport is a waste. • Waiting. For parts, people or machines. • Inventory. Any more than the minimum amount required to get the job done. • Motion. Any motion (of man) that does not add value. • Processing. Excess capacity, excess quality standards. • But what about wasting people’s talent? Or energy?
  • 37. Waste Definition Causes Why is it a waste? Transport • Unnecessary movement of parts between processes • Unnecessary material handling • Badly designed process/cell • Complex material flow • Poor value stream flow • Sharing of equipment • Increases production time • Products could get damaged during transit • Takes time, resources & space • Increases WIP Inventory • Any raw material, WIP or finished goods which are not having value added to them • Mismatch between demand & production • Inaccurate forecasting • Excessive downtime / set up • Push instead of pull • Large batch sizes • Unreliable suppliers • Adds cost & requires investment • Requires space to store • Extra resources needed to manage • Hides shortages & defects • Can become stolen, damaged, obsolete & out of date • Needs to be insured Motion • Waste motion occurs when individuals move more than is necessary to complete the process • No standard operating procedure • Poor housekeeping • Badly designed cell • Inadequate training • Adds cost • Interrupts production flow • Increases production time • Can cause injury Waiting • People or parts that wait for a work cycle to be completed • Shortages & unreliable supply chain • Lack of flexible workers • Downtime / Breakdown • Ineffective production planning • Large batch sizes • Quality, design, engineering issues • Stop / start production • Poor workflow continuity • Creates bottlenecks • Loses capacity • Lengthens lead times • Failed delivery dates Over- Production • To produce sooner, faster or in greater quantities than required to meet customer demand • Manufacturing too much, too early or “Just in Case” • MRP push rather than kanban pull • Large batch sizes • Looks better to be busy • Lack of customer focus • It costs money to consume resources before you have too • It creates inventory & that hides quality problems and uses up space • Overproduction discourages a smooth flow of goods or services Over- Processing • Processing beyond the standard required by the customer • Out of date standards • ‘We have always done it like this’ attitude • Not understanding the customer & the process • Lack of innovation & improvement • Lack of standard operation procedures • By improving processing efficiency we ultimately use less resource to achieve the same customer satisfaction • It increases productive time • It’s work above and beyond specification Defects • A defect is a component which the customer would deem unacceptable to pass the quality standard • Out of control/Incapable processes • Lack of skills, training & on the job support • Inaccurate design & engineering • Machine inaccuracy • Black art processes • Defects reduce or discourage customer satisfaction • Defects have to be rectified which costs money, time, effort, materials & creates paper work • Defects in the field reduces customer confidence & you could lose customers • Defects interrupt the schedule
  • 38. Waste is everywhere • Many (all?) processes have wasteful activities • The target is to eliminate waste • This is usually done by reducing complexity in the process (i.e. simplifying it!) • Each process consists of value add and non-value add (waste) activities
  • 39. VA and NVA activities Current process Remove waste Redesigned process
  • 40. Categories of waste Value add (VA) activities Anything that the customer is willing to pay for Non-value add (NVA) activities An activity that costs money but does not add value to the need (perceived as waste) Something the customer is not willing to pay for Necessary NVA (NNVA) activities NNVA activities are NVA activities that do not add value but which are essential to ensure that the VA activities fulfil the need NNVA activities may also be there to meet legal requirements
  • 41. What is a value adding activity? To be a value added action the action must meet all three of the following criteria: 1) The customer is willing to pay for this activity. 2) It must be done right the first time. 3) The action must somehow change the product or service in some manner.
  • 42. Waste measurement & reduction VA and NVA activities usually defined in terms of time The main principals to waste reduction are: Elimination (of activities) Time compression (doing things quicker) Concurrency (parallel operations) VA and NVA activities are identified via process modelling
  • 43. Shopping for Silk in Shanghai Notice how the numbers are used. Within which category numbers are consecutively. This allows the number of each category to be easily determined, by simply observing the last instance of each category.
  • 44. Shopping for Silk in Swansea
  • 45. Title: Completed by: “As is” “As should be” “As could be” Date: Time Units Distance Units Operation Inspection Transport Storage Delay # Task Description VA NNVA NVA Notes 1 2 3 4 5 6 7 8 Process mapping data collection form
  • 46. Making a cup of coffee 360
  • 47. Formula 1 pit stop • Formula 1 pit stop • Pit stops: 1950 and 2013 • Formula 1 pit stop: slow motion
  • 48. Pit stop – 1950s Driver Tyre man Fuel man Jack operator 1 Driving in lane 2 Stopping 3 Jacking up the front 13 Departure Change front right tyre 4 Refuelling 9 12 Lower the car Clean spillages 10 11 Clean windshield 1 Wait in car 1 Move to left Change front left tyre 5 Move to the rear 2 6 Jacking up the rear Change front right tyre 7 3 Move to left Change front left tyre 8
  • 49. Changing tyre – 1950s 1 Knock screw off Fetch new tyre 42 Remove old tyre 3 Fit new tyre 4 Fit screw 5 Fasten screw Put down old tyre 3 Put down spanner 1 Put down screw 2 Take up spanner 6 Take up screw 5
  • 50. Examine the operations first • Transports and delays may superficially appear to give the greatest scope for improvement • However it is often possible to streamline the process by considering the operations first. - Can they be eliminated? - Can they be re-ordered? This will then alter the transport and delays • If the operations are “capable” do we require so many inspections?
  • 51. Primary examination of each activity 1) Purpose. “What is achieved?” and “is it necessary?”. Challenge why the activity exists. The answer will guide you to whether a particular activity should be included in the new process 2) Place. “Where is it done?” and “Why there?” 3) Sequence. “When is it done?” and “Why then?”. This will guide you towards the best sequence of events 4) Person. “Who does it?” and “Why that person?” 5) Means. “How is it done?” and “Why is it done that way?”
  • 52. Secondary examination of each activity 1) Purpose. “What else could be done?” and “What else should be done?” 2) Place. “Where else could it be done?” and “Where should it be done?” 3) Sequence. “When else could it be done?” and “When should it be?”. 4) Person. “Who else could do it?” and “Who should do it?” 5) Means. “How else could it be done?” and “How should it be done?”
  • 53. Purpose of the examination • The answers will guide you towards the new design • Unnecessary activities can be eliminated • If an activity can’t be eliminated it could be - changed - combined with another activity - done in a different place - done in a different order (in parallel?) - done by different people - done by a different means • Could an activity be simplified? • Could an activity be made to be external to the process?
  • 55. Wheel man Regulat ion Wheel t eam Wheel t eam PaulPit st op Hand Aft er car is lift ed Seems logical / habit Aft er car is st opped Wheel nut is removed Yes,absolut ely Not hing Not hing Byspanner Noinvest ment in t echnology Wheel gun Wheel gun 4 Int hepit st op Regulat ion None Pit st op Removet hewheel nut Aft er car is st opped
  • 56. (Un) securing the wheel • Senses the torque, thus more accurate • Handmade equipment, more expensive • Cheap • Inaccurate, slow to communicate
  • 57. Jackoperat or Logical None Jackoperat or PaulPit st op Hand Aft er wheel nut is fit t ed Habit Aft er wheel is fit t ed Car is lowered Yes,absolut ely Not hing Not hing Byjack Jackis lift ingt hecar None Byjack 12 Int hepit st op Logical None Pit st op Loweringt hecar Aft er wheelis fit t ed
  • 58. Signalling • Accurate, automatic, fast • Prone to errors, failed sensors or false positive triggers • Cars could be stranded in the pit or released early • Flexible to the environment • Subject to the crews’ communication and response speed
  • 59. Lollipopman Need inspect ion Lollipopman Lollipopman PaulPit st op Hand Whent hecar is int hepit st op Seems logical Whent hecar is int hepit st op Drivers knowwhent o st op,st art engine and depart Yes,absolut ely Not hing Not hing Bylollipopsign Noinvest ment in t echnology Trafficlight syst em Trafficlight syst em Infront of t hecar Habit Somewherewit ha bet t er sight Somewherewit ha bet t er sight Providingsignalt odriver Whent hecar is int hepit st op
  • 60. Pit stop – 2013 Lollipop man Driver Other mechanics Jack operators x2 Driving in lane Signing brake Braking Jacking up the car If other cars passing lane Lift sign Departure Other changes / adjustments Lower the car Signing first gear Removing the nut Remove the old tyre Fitting the new tyre Fitting the nut Tyre changer Tyre carrier 1 Tyre carrier 2 First Gear
  • 61. Changing tyre – 2013 Removing the nut Remove the old tyre Fitting the new tyre Fitting the nut Tyre changer Tyre carrier 1 Tyre carrier 2
  • 62. Pit stop – 2013 Front wing men Alter wings and nose cone Stabilizer Fire extinguisher Crew Starter man Put out fire that occurs Stabilizes the car Remove rubbish from air intake Restart engine if stalls Crew Cleaning windshield Crew Watering the driver
  • 63. F1 pit stop • “You could design new equipment to shave off a tenth, or five- hundredths of a second, but it’s expensive and there’s a point at which the resources could be better allocated elsewhere.” – Jonathan Wheatley, Red Bull Team Manager
  • 64. Single Minute Exchange of Dies (SMED) • When a machine (or operator) is required to produce more then one product (or service) then a “set-up” or “changeover” may be necessary when the machine changes from producing one product to another. • SMED, or Single Minute Exchange of Dies is a technique invented Dr Shigeo Shingo to reduce the waste incurred to convert processes from running one part or operation to another.
  • 65. Set-up activities in different industries Scenario Set-up activities Lathe Removing completed work piece from lathe and placing new work piece in the lathe, selecting new cutting tool, fixing and aligning new cutting tool to lathe, consult engineering drawings. Press Remove die from the press machine, locate and fix new die into the machine. Telephone operator at call centre Ask for customer account number, ask for nature of enquiry, retrieve necessary data on account / problem by navigating various computer screens. Hair dresser Obtain payment from previous customer, clean chair, ask requirements, wash / dry hair. Fruit juice producer Empty filling machine of juice, washing out machine pipes, change over juice containers. Restaurant Washing of a saucepan. Formula One pit stop Change tyres, replenish coolants and fuel, undertake small repairs, clean windshield, giving driver a drink. Airline Getting passengers and luggage off and then one to plane, cleaning cabin, restocking cabin consumables (food drink, duty free gifts), refuelling, changing staff. Sports stadium Changing the arena for a basketball game from an ice hockey game.
  • 66. Internal and external set-up activities • An internal activity is the work done whilst the machine is not producing good product. • An external activity is the work done whilst the machine is producing good product. • If there is no machine in your scenario, think about the “core” activity that progresses the work to its final state in order to identify what is internal or external. – Internal changeover activities delay the progress towards the final state, external activities do not.
  • 67. Charging the battery on your camera • Scenario 1. Before SMED – 1a. You are taking pictures and the battery runs out. – 1b. You plug the power cable into the camera and wait for the battery to be charged. Whilst this is happening you are not taking any pictures. – 1c. Unplug the power cable – 1d. Carry on taking pictures • Activity 1b and 1c are the internal changeover / set-up activities • Scenario 2. After SMED – 2a. You are taking pictures and the battery runs out. – 2b. You remove the flat battery and replace it with a previously fully charged battery. – 2c. Carry on taking pictures. – 2d. You plug in the power cable and charge the flat battery at your convenience. • Activity 2b is an internal set-up activity and 2d is an external set-up activity
  • 68. A four stage approach to achieve SMED • Step 1. Separate out the internal tasks from the external tasks (move the external tasks backwards or forwards, introduce parallelization) • Step 2. Reduce the number and duration of the internal tasks. Sometimes you need to convert internal tasks to external ones • Step 3. Reduce the external tasks. • Step 4. Improve all set-up activities. • http://www.youtube.com/watch?v=Q_A89Tv5Rl4
  • 69. Changing tyre – Identifying external and internal tasks 1 Knock screw off Fetch new tyre 42 Remove old tyre 3 Fit new tyre 4 Fit screw 5 Fasten screw Put down old tyre 3 Put down spanner 1 Put down screw 2 Take up spanner 6 Take up screw 5 4 can be moved forward 1 2 3 5 can be reduced by parallelization can be moved backward 6
  • 70. Changing tyre – 2013 Removing the nut Remove the old tyre Fitting the new tyre Fitting the nut Tyre changer Tyre carrier 1 Tyre carrier 2 Hold gun Hold gun and nut Hold new tyre Put down old tyre
  • 71. Imagine you are in the Tour de France… The tour de France is a bike race. You are in the front group, but you get a flat tire. You raise your hand up to signal the officials’ car immediately behind the group that there’s something wrong so they can announce it on race radio. The hand you raise makes a difference. If it’s your rear wheel that is flat, you raise your right hand - you raise your left hand for a front flat. Prepare the bike. If your rear wheel is flat, shift your gears into the smallest cog on the rear wheel in order to make the current wheel drop out of the rear end more easily and make it easier for the mechanic to get the new one on. Whether it’s a front or rear wheel change, you flip the release lever on the brake so the pads move away from the rim. Remove the offending wheel If you have time before the mechanic arrives, flip the quick release lever and remove the wheel from the bike. When the mechanic arrives with the new wheel, remember to hold on to the bike as the mechanic is completely focused on getting the new wheel on and secured, not holding the bike upright. If you hold onto the bike, he can use both hands to get the wheel change done faster. Get started again. Staying calm is the key to getting going again quickly. Take a deep breath, get one foot on the pedal and shove off. Let the mechanic give you a push and then focus on catching up with the group. Homework Question. Draw a process map of this activity. Highlight which are the internal tasks and the external tasks.
  • 72. Thank you for your attention! Handouts Shopping for silk in Shanghai: Case study Notes on SMED Mathematics for Operations Managers