Ccapacity.ppt-1APACIT?1994GeneralMotorsCorporation.Allrightsreserved.Y?1994GeneralMotorsCorporation.Allrightsreserved.SUPPLIERDEVELOPMENTTOOLSCAPACITYWORKSHOPEXECUTIVESUMMARYPURPOSE:SCOPE:METHOD:AssistSupplierintheIdentificationAndTheEliminationofPotentialProductionShortfallsBetweenCapacityandRequirements.MayIncludeAllFunctionalAreasAndProductionOperations.Datacollection,workshop,targettedactionsLOGISTICS:ConductedUtilizingJointGM/SupplierTeam.QCHECKCOPERATIONIdentifypilotareaMakeallpeopleaffectedawareofwhatisgoingtohappenSelectteammembersIdentifyopportunitiestoimproveAnalyze&selectDevelopactionplan(applyzero/lowcostideasfirst)ImplementnewmethodA.S.A.P.Verify&adjustLookfornewopportunitiesRecognizeeffortsofpeopleDefinecurrentsituationOPERATION:NO.DESCRIPTIONOFOPERATIONWFROM:___________________________TO:_____________________________ELEMENTTIMEHANDWORKMACHINEALKQUANTITYPERSHIFT:______________SHIFT:________STANDARDIN-QUALITYPROCESSSTOCKCUSTOMERCYCLETIME:__________________OPERATORCYCLETIME:__________________CRITICALSAFETYSupplierDevelopmentWorkshopProcessDiscussplancapacity.ppt-4CAPACITYWORKSHOPAGENDA????????IntroductionTheoryofConstraintOverview5StepImprovementProcessDataCollection/DataAnalysisConstraintIdentificationStrategyImplementationMeasureImprovementWrap-Up?1994GeneralMotorsCorporation.Allrightsreserved.?1994GeneralMotorsCorporation.Allrightsreserved.TheoryofConstraintOverviewFLOW?1994GeneralMotorsCorporation.Allrightsreserved.BOTTLENECKAnOperationWhichLimitstheOverallOutputofaSeriesofOperations1,000900800700600500400300200100012345678BottleneckDemandCAPACITYOPERATIONCAPACITY>DEMAND?1994GeneralMotorsCorporation.Allrightsreserved.CONSTRAINTABottleneckbecomesaConstraintwhenitcannolongersatisfythedemandplaceduponitThus,anyresourcewhosecapacityislessthanthedemandplaceduponitisaConstraint1,000900800700600500400300200100012345678ConstraintDemandCAPACITYOPERATIONCAPACITY<DEMAND?1994GeneralMotorsCorporation.Allrightsreserved.DEFINITIONAconstraintisthatactivitywhichmostlimitstheorganization’’sabilitytoachievehigherperformancerelativetoitspurposeorgoal.TypesofConstraintsCapacity:?Capacity<DemandMarket:?Capacity>DemandPolicy:?ManagementDecision?1994GeneralMotorsCorporation.Allrightsreserved.ConstraintTypesCapacity?Customerswantmoreproductthancanbesupplied?Symptoms:equipmentoverworked,noPreventativeMaintenance,highpremiumcosts,overtime?Example:StampingPresscanonlymake5,000partsperday,butthecustomerrequires6,100.Market?Customersdonotwantasmuchproductascanbeproduced?Symptoms:wastedequipment,highercostsincurred,lowefficiency?Example:CastingforsixhourswiththemachineidlefortheremainderofthedayPolicy?Managementdecisionsdictatehowthebusinessshalloperate?Symptoms:unabletochange,highcostsolutionsinsteadoflowcost?Example:tagreliefnotusedduringaconstraint,maximumovertimeallowedperweek,resultsinmoremachinerybeingusedcapacity.ppt-10CONSTRAINTSYMPTOMS????????BuildupofInventoryPriortoanOperationDownStreamOperationsStarvedforPartsExpeditingExcessiveMaterialHandlingatanOperationPremiumFreightOvertimeNoTimeforPreventativeMaintenanceConstantScheduleChanges?1994GeneralMotorsCorporation.Allrightsreserved.?1994GeneralMotorsCorporation.Allrightsreserved.5StepImprovementProcessStep0:EstablishBaselineStep1:IdentifyConstraint/BottleneckStep2:ExploitConstraintStep3:Subordinatenon-constraintsStep4:Elevatea:RunAlloftheTimeb:AddCapacityStep5:RestudyRepairLoop(s)StationBuffersParallelPower&FreeConveyorISTHEREACONSTRAINT?Back-UpStationBuffersFinishedProductExitPointRawMaterialEntryPointcapacity.ppt-12ParallelStationsHERE?HERE?StationsHERE?AccumulatingConveyorBack-UpHERE??1994GeneralMotorsCorporation.Allrightsreserved.HERE??1994GeneralMotorsCorporation.Allrightsreserved.ISONEPARAMETERSUFFICIENT?102030405010008919028030010203040506510203040504.7102030405010203040501.0102030405065.2MeanTimeBetweenFailuresJobsPerHourOccurrencesofFailureMeanTimeToRepair6.5ScrapLookingattheseindividualreports,whatwouldyousayisthemainbottleneck?678075714.55.312.80.444.42.01.00.10.437.64.6TotalDowntime87.50.3?1994GeneralMotorsCorporation.Allrightsreserved.THETYPICALPLANTENVIRONMENT??????PlantOperatesataProductivityPlateau,WithHighThroughputVariability.PlantThroughputIsOften10%to50%BelowDesignedRate.LostProductionIsMadeupWithOvertime.ProductionBlamesMaintenance,MaintenanceBlamesProduction,GeneralAssemblyBlamesPaint,PaintBlamesBody,Etc.InManyofOurPlants,We'reCollectingVastQuantitiesofDataandWe'reNotUsingIt!InSomeofOurPlants,NOProductionMonitoringIsPerformed.“High-Tech””andLow-TechSystemsComplicateAnalysisoftheProductionProcess.?1994GeneralMotorsCorporation.Allrightsreserved.5StepImprovementProcessStep0:EstablishBaselineStep1:IdentifyConstraint/BottleneckStep2:ExploitConstraintStep3:Subordinatenon-constraintsStep4:Elevatea:RunAlloftheTimeb:AddCapacityStep5:RestudyStep0:EstablishBaseline????capacity.ppt-16Goalofthisstepistodetermine:“Wherearewetoday?””DefinethescopeofthesystemDeterminethemeasurementsystemtouse-*ifyouknowitatthispointCompletetheCapacityAnalysisWorksheet–LogicalProcesstoIdentifyanyConstraint–EstimatestheCapacityatEachOperation–NoteAdditionalConstraints?Market?Policy?1994GeneralMotorsCorporation.Allrightsreserved.?1994GeneralMotorsCorporation.Allrightsreserved.CapacityAnalysisTool??Requiresafewsimpleinputs–CapacityRequirements–ScrapandRework–Downtime-ScheduledandUnscheduled–OperationCycleTimesOutputincludes:–EstimationofTotalCapacityofOperation–TotalNumberofShiftsRequiredperWeektoProduceRequirements–OverallEquipmentEffectivenessMeasurement–FlagforConstraintOperations?1994GeneralMotorsCorporation.Allrightsreserved.Step0:Re:CompletionoftheCapacityAnalysisWorksheet?NotetoSDEs:–ShowanexampleoftheCapacityAnalysisWorksheet–Workthroughthesheetwiththesupplierwithasmuchactualdataaspossible–Accuracyofinformationisimportant,asthiswillformthebasisfortheremainderofthediscussion–Brainstormingforimprovementscanbestructuredtofolloweachoneoftheinputstothecapacityanalysis?1994GeneralMotorsCorporation.Allrightsreserved.5StepImprovementProcessStep0:EstablishBaselineStep1:IdentifyConstraint/BottleneckStep2:ExploitConstraintStep3:Subordinatenon-constraintsStep4:Elevatea:RunAlloftheTimeb:AddCapacityStep5:RestudyNetCapability perdayShiftsReq’d perweek#41417.27#46714.76?1994GeneralMotorsCorporation.Allrightsreserved.Step1:IdentifytheConstraint/Bottleneck??If#shifts/weekrequired>#shiftsavailable,thenaconstraintexists?Note:Thiswillbeshownbya““#”ontheCapacitySpreadsheetIfnoconstraintexists:–examinetheoperationsforthegreatestnumberofshiftsrequired,andthelowestnetcapabilityperday.–Theoperationwiththegreatestnumberofshiftsclosesttotherequirementisthebottleneck.–Notethatconstraintsmaynotbeimmediatelyvisibleonthecapacityspreadsheetduetointeractionsbetweenoperations(buffers)Shiftsavailable=15Requirement/day=450?1994GeneralMotorsCorporation.Allrightsreserved.5StepImprovementProcessStep0:EstablishBaselineStep1:IdentifyConstraint/BottleneckStep2:ExploitConstraintStep3:Subordinatenon-constraintsStep4:Elevatea:RunAlloftheTimeb:AddCapacityStep5:Restudy?1994GeneralMotorsCorporation.Allrightsreserved.Step2:ExploitConstraint???RunconstraintatitsbasiccapacityinisolationScheduleOperationEffectivelyDon’tWasteOutput–Eliminatedefectivepartsbeforetheyarrive–Makesurepartsarenotscrappedlaterintheprocess–Eliminatereworkthatmustgobackthroughconstraint–Improvethetoolsorgaugesused–Improveyieldbyassuringthequalityoftheprocess–“Rushto””before...”Handlewithcare””after?1994GeneralMotorsCorporation.Allrightsreserved.Step2:ExploitConstraint-continued??OperatorRulesofEngagement–Runmachineswhenyouhavematerial–Dosomethingproductivewhenyoudon’’thavematerial(setup,PM)–Cross-trainworkerstopreventidletimeduetoabsenteeismEliminateBlockandStarvethrougheffectivebuffering–i.e.partsbeforeandspaceafterwards?1994GeneralMotorsCorporation.Allrightsreserved.Starving/Blocking??NeverStarveaConstraint–UtilizeBufferManagement–Placebufferinventoryaheadtoassureitalwayshaspartstorun–LoadpartsaheadtoensureconstraintrunsNeverBlocktheConstraint–De-coupletheOperations–Assurepartsarepulledawaysooperationdoesn’tstop(enoughracks,containers,space)–UnloadaftertheconstraintifthesystemdownstreamisdownSTARVEDSystem(NoJobstoWorkOn)BLOCKEDSystem(Choked)(NoPlacetoputJob)DESIREDSystemLuuZZZZZZLBlockedStationFullBufferuuZZZZZZFailedStationFailedStationEmptyBufferStarvedStationJWorkingStationJConstraintWorkingStation?1994GeneralMotorsCorporation.Allrightsreserved.STARVE/BLOCKNote:Thisisapplicablefortheconstraintoperationonly,andnotalloperationsMaxMinBufferMaxMinEmptyBuffer?1994GeneralMotorsCorporation.Allrightsreserved.DE-COUPLINGTakingonecontinuousprocessandbreakingitinto2ormoresmallerprocesseswithasmallinventorybetweeneachprocessinordertoreducethelevelofdependency.CoupledDe-coupledBufferAutoTransferMachineMachineMachineConstraintMachineMachineMachineAutoTransferAutoTransferBLOCK?1994GeneralMotorsCorporation.Allrightsreserved.CONSTRAINTS/BOTTLENECKSFLOW?1994GeneralMotorsCorporation.Allrightsreserved.5StepImprovementProcessStep0:EstablishBaselineStep1:IdentifyConstraint/BottleneckStep2:ExploitConstraintStep3:Subordinatenon-constraintsStep4:Elevatea:RunAlloftheTimeb:AddCapacityStep5:Restudy?1994GeneralMotorsCorporation.Allrightsreserved.Step3:SubordinateOtherOperationtoRuntheConstraint????Subordinate(Optimize)Resourcesinfavorofrunningtheconstrainingoperation–Movepeoplefromnon-constraintstoconstrainingoperationeveniftheyaren’tfinishedatthenon-constraintPerformmaintenanceontheconstraintoperationbeforeothersRunallothermachinestoeliminatestarve/block“Improvingthroughputonanyoperationotherthantheconstraintdoesnotimprovethesystem’’soverallthroughput””?1994GeneralMotorsCorporation.Allrightsreserved.5StepImprovementProcessStep0:EstablishBaselineStep1:IdentifyConstraint/BottleneckStep2:ExploitConstraintStep3:Subordinatenon-constraintsStep4:Elevatea:RunAlloftheTimeb:AddCapacityStep5:Restudy?1994GeneralMotorsCorporation.Allrightsreserved.Step4a:Elevate-RunAlloftheTime?KeepItRunning–Runthroughlunch,breaks(tagrelief),etc.–Afterchangeover,runproductionsimultaneouslywithfirstpieceapproval–Reducenumberofsetupsbyprocessingfamiliesofjobsthatrequiresimilarsetups–Reducesetuptime–Improvepreventativemaintenancetoreducebottleneckdowntime?1994GeneralMotorsCorporation.Allrightsreserved.5StepImprovementProcessStep0:EstablishBaselineStep1:IdentifyConstraint/BottleneckStep2:ExploitConstraintStep3:Subordinatenon-constraintsStep4:Elevatea:RunAlloftheTimeb:AddCapacityStep5:Restudy?1994GeneralMotorsCorporation.Allrightsreserved.Step4b:Elevate-AddCapacity??Addcapacitytotheconstraintoperation–ImproveCycleTime(canitgofaster?)–AddaMachine/Person–ProduceMorePartsperCycleReduceWorkloadatBottleneck–Moveworktoalternateworkcentersormanufacturingmethods–Redesignsomeproductstoreduceworkloadofthebottlene