Lecture Planning and Control 14 Enterprise Resource ... OM Lecture 6 NCOI BPM H 14 en 15.pdf · Operations Management, 7E: Chapter 14 en15 1 ... (ERP) Manufacturing Resource Planning

Operations Management, 7E: Chapter 14 en15

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Lecture Planning and Control 14 Enterprise Resource Planning (ERP) 15 Lean synchronization 16 Project Management (zie andere sheets) 17 Quality Management (zie andere sheets)

Hessel Visser NCOI Les 6 A

P 373


2

14 Enterprise Resource Planning (ERP)

Lecture 6 Planning and Control

P 435


3

Web-integrated Enterprise Resource Planning (Collaborative Commerce,

c-commerce)

Enterprise Resource

Planning (ERP)

Manufacturing Resource

Planning (MRPII)

Increasing integration of information systems

Incre

asin

g im

pact on the w

hole

supply

ne

two

rk

The development of ERP

Material

Requirements

Planning (MRP)

P 441


4

Customer

orders Master

production

schedule

Forecast

demand

Bill of

materials

Inventory

records

Purchase

orders

Materials

plans

Works

orders

Material

requirements

planning

Material requirements planning (MRP-1)

P 446


5

Forecast element

of demand

Known orders

Total

demand

Time in future

Dem

an

d

Total future demand is made up of

known and forecast demand


6 Master production schedule (MPS)

Forecast

demand

R & D

demand

Promotion

requirements

etc.

Known

orders

Master

production

schedule

Sister plant

demand

Key

capacity

constraints

Spares

demand

Safety stock

requirements

Inventory

levels

P 441


7

ERP structure for the sandwich company

Common

database Purchasing

system

Plant and

Facilities

Management

Distribution

planning

MRP II

system

Recipe

Management

System (RMS)

Accounts

and

invoicing

system

Sales and

Marketing

system

Order

validation

EDI orders

from

customers

To

Customers

To

Customers

From

Customers

To

Distribution

company

To

Suppliers

P 452

http://www.hartenziel.nl/uploadphoto/uitroepteken1238157556.jpg


8 Product structure for a simple board game

Box lid 10077

Box base assembly

10089

‘Quest’ cards 10023

Character set

10045

Dice 10067

TV label 10062

Game board 10033

Rules 10056

Inner tray

23988

TV label 10062

Box base

20427

Board game

00289

Level 2

Level 1

Level 0

P 458

Why do we use a Level code?



9

15 Lean synchronization

Lecture 6 Planning and Control


10

‘The key principle of lean operations is relatively

straightforward to understand: it means moving

towards the elimination of all waste in order to

develop an operation that is faster and more

dependable, produces higher quality products

and services and, above all, operates at low cost.’



11 Synonyms

continuous flow manufacture

high value-added manufacture

stockless production

low-inventory production

fast-throughput manufacturing

lean manufacturing

Toyota production system

short cycle time manufacturing Source: Corbis/Denis Balihouse


12

Traditional approach

JIT approach

stage A

orders

deliveries

orders

deliveries

JIT material flow

buffer

inventory stage B

buffer

inventory stage

C

stage A stage C stage B

P 466


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WIP

Defective

materials

Rework Scrap

Downtime

productivity

problems

WIP

Defective

materials

Rework Scrap

Downtime

productivity

problems

Reduce the level

of inventory (water)

to reveal the

operations’ problems

The problem with inventory

P 468 (zie film HP)


14

JIT

approach

focus on producing

only when needed

fewer stoppages

low inventory so

problems are

exposed and

solved

no surplus

production goes

into inventory

lower capacity

utilization, but

Traditional

approach focus on high

capacity utilization

more stoppages

because of

problems

high inventory

means less chance

of problems being

exposed and solved

extra production

goes into inventory

because of continuing

stoppages at stages

more production

at each stage

JIT and capacity

utilization

P 469


15

operation

movement

inspection

storage

Activities:

Waste (muda) Which of these symbols signify non-value-

adding activities?

influencing the throughput efficiency

Types of waste:

delay

over-production

waiting time

transport

process

inventory

motion

defective goods

P 472



16 ‘Value stream’ map for an industrial

air-conditioning installation service

T/T = Task time

TTT = Total throughput time

V-A T = Value-added time

C/T = Cycle time

Survey Order Assemble Frame

Wait in

branch Wait for

assembly

Ship to

branch and

wait

Wait for

installers

Install

T/T = 0.5

Avail = 100%

C/T = 30

T/T = 0.5

Avail = 100%

C/T = 10

T/T = 5.0

Avail = 100%

C/T = 12.5

T/T = 0.75

Avail = 100%

C/T = 17

T/T = 0.75

Avail = 100%

C/T = 35

Cash

management

Completion

confirmation

Operations

planning

Job tracking confirmations

Sales

office Forecasts Invoice

status

30 mins

58 hrs

30 mins

96 hrs

5 hrs

48 hrs

60 mins

48 hrs

60 mins

TTT = 258 hrs

V-A T = 8 hrs

P 474


17

Using several small machines rather than one large

one allows simultaneous processing, is more robust

and is more flexible

P 476

easy to move (layout)

quick set-up

flexible scheduling options

cheaper tooling

fewer set-ups needed

planned maintenance easier

Small machines


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1. Sort (Seiri) Eliminate what is not needed and keep what is

needed. 2. Straighten (Seiton) Position things in such a way that they can

be easily reached whenever they are needed. 3. Shine (Seiso) Keep things clean and tidy; no refuse or dirt in the

work area. 4. Standardize (Seiketsu) Maintain cleanliness and order –

perpetual neatness. 5. Sustain (Shitsuke) Develop a commitment and pride in keeping

to standards.

P 484

The 5 S’s

test 5S

../../Mijn Presentaties/5S Work in English.ppt#1. 5S

../../Mijn Presentaties/5S en 7 Wastes Slank Slim en Schoon Werken.ppt#28. De methode van 5S


19

Inventory

level

Delivering smaller quantities more often can

reduce inventory levels

Inventory

level

P 483


20 JIT and MRP - control

cell

1

cell

2

cell

3

master production

schedule

orders management

system

simplified bill of

materials materials requirement

planning factory assembly

schedule

purchasing

vendors goods in final assembly

Kanban control

MRP Control



21

complex

structures

simple

structures JIT

MRP

JIT and/or

MRP

PERT

simple routings complex

routings

JIT, MRP, or both?

P 484



22 Conceptual diagram of the kanban system


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Lecture Planning and Control 14 Enterprise Resource ... OM Lecture 6 NCOI BPM H 14 en 15.pdf · Operations Management, 7E: Chapter 14 en15 1 ... (ERP) Manufacturing Resource Planning