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Process Fundamentals Summary

This document provides definitions and examples related to operations management concepts like process flow diagrams, capacity, bottlenecks, cycle time, and manufacturing lead time. It uses examples of bread making and croissant manufacturing processes to demonstrate how to analyze bottlenecks, calculate cycle times and capacities, and determine the impact of changes to equipment or processes. The key steps shown are identifying parallel processes, choosing the largest cycle time, and calculating times through all process paths to find the manufacturing lead time.

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hempchill
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631 views

Process Fundamentals Summary

This document provides definitions and examples related to operations management concepts like process flow diagrams, capacity, bottlenecks, cycle time, and manufacturing lead time. It uses examples of bread making and croissant manufacturing processes to demonstrate how to analyze bottlenecks, calculate cycle times and capacities, and determine the impact of changes to equipment or processes. The key steps shown are identifying parallel processes, choosing the largest cycle time, and calculating times through all process paths to find the manufacturing lead time.

Uploaded by

hempchill
Copyright
© Attribution Non-Commercial (BY-NC)
Available Formats
Download as PDF, TXT or read online on Scribd
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Mgt 203Operations Management

HBR Process Fundamentals HBR Capacity Analysis

Definitions
Process flow diagram Traces the flow of materials through a process (assembly line). Capacity Maximum rate of output from the process, and is measured in units of output per unit of time Bottleneck An operation that has the lowest effective capacity of any operation in the production system and thus limits the systems output. Cycle time (at a station) The time to produce a given number of units at that station (e.g. 1 hour for 5 cars). Manufacturing lead time The time it takes one unit (or batch) of product to go through the entire empty assembly line from start to finish. Utilization Is the ratio of the input the process actually used in creating the output to the amt of that input available for use. Capacity Utilization Is ratio of capacity actually used (i.e., the output of the process) to the total capacity available

Example 1Bread Making on Two Lines


Initial Assumptions The bakery sells only white bread. Two parallel baking lines, each equipped with a mixer, a proofer, and an oven. The two baking lines share a single packaging line. 8-hour work day
Figure 1 Process Flow Diagram and Cycle Times for Bread-Making with Two Parallel Lines Mix Raw Materials Cycle Time: 3/4 hour/ 100 loaves Mix Cycle Time: 3/4 hour/ 100 loaves Proof Cycle Time: 3/4 hour/ 100 loaves Proof Cycle Time: 3/4 hour/ 100 loaves Bake Cycle Time: 1 hour/ 100 loaves Bake Cycle Time: 1 hour/ 100 loaves Work in Process Finished Goods

Pack Cycle Time: 3/4 hour/ 100 loaves

1. Which process is the bottleneck within each baking line?

2. What is the cycle time of the 1st baking line? The 2nd?

Figure 2

Cycle Times for each Bread-Making Line

Mix Raw Materials

Proof

Bake

Cycle Time: 1 hour/100 loaves Mix Proof Bake

Work in Process

Pack Cycle Time: 3/4 hour/ 100 loaves

Finished Goods

Cycle Time: 1 hour/100 loaves

1. What is the cycle time for the entire baking line operation?

2. What is the cycle time for the entire bread-making process?

3. What is the overall daily capacity of the bread-making operation?

Options: The bakery is considering replacing some of its existing equipment with more advanced and faster equipment. The choice is between: (i) purchasing two new ovens that are each capable of baking a batch of 100 loaves in hour, or (ii) purchasing a new packaging line that is capable of packaging a batch of 100 loaves in hour. Which option would allow the greatest increase in the bakerys overall capacity? What is the new overall daily capacity?

Example 2Croissant Manufacturing


Assumptions Making dough and mixing filling are done separately. Both making dough and mixing filling must be finished before croissants can be filled, folded, baked, and packed. 8-hour work day
Figure 4 Process Flow Diagram and Cycle Times(CT) for Croissant-Making

Raw Materials: Dough

Mix CT: 5 min/50 croissants

Proof CT: 15 min/50 croissants

Roll & Cut CT: 5 min/50 croissants Work in Process: Filling

Work in Process: Dough Fill & Fold CT: 5 min/50 croissants Finished Goods Bake CT: 20 min/50 croissants Pack CT: 10 min/50 croissants

Raw Materials: Fillings

Mix Filling CT: 10 min/50 croissants

1. What is the cycle time of the dough making line?

2. What is the cycle time of the combined dough making and mixing filling operations? 3. What is the cycle time of the entire croissant making process? 4. What is the overall daily capacity? 5. What is the manufacturing lead time of the croissant making process?

Figure 5

Gantt Chart for Croissant Making

Mix Proof Roll & Cut Mix Filling Fill & Fold Bake Pack 5 10 20 30 40 TIME 50 60 70 80

Batch #1

Batch #2

What if we had started Batch #2 immediately after Batch #1 was mixed?

Capacity Analysis Summary Example


To find the cycle time: 1. Adjust for any parallel processes. 2. Choose the largest. To find the manufacturing lead time: 1. Calculate time through every path in the system (ignore parallel processes). 2. Choose the largest.
Sawing
10 min./unit

Sanding
4 min./unit

Drilling
12 min./unit

Measuring
8 min./unit

Line 1 Sawing
10 min./unit

Finishing
2 min./unit

Sanding
4 min./unit

Drilling
12 min./unit

Line 2

1. Bottleneck? 2. Cycle Time? 3. Manufacturing Lead Time?

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