Lean Aerospace Initiative Outline Manufacturing System Design Manufacturing

Lean Aerospace Initiative Outline â Manufacturing System Design â Manufacturing Strategy Tools â Manufacturing System Design Framework 1 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative What is Manufacturing System Design? â Manufacturing system design is NOT just … â Factory floor improvements â Kaizen activities â Changes within the four walls â Waste elimination â Manufacturing system design IS the above plus … â A selection of a layout that meets system demands (outputs) â Development of an operational policy for decision making â Selection of the right process technology â Make-buy decisions â Organizational structure design and interaction methods 2 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative What is Manufacturing System Design? â Manufacturing system “infrastructure” design â Manufacturing strategy â Operating policy â Partnerships (suppliers) â Organization structure details â Manufacturing system “structure” design â Buildings, location, capacity â Machine selection â Layout â WIP 3 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative What is Manufacturing System Design? â Manufacturing system “infrastructure” design â Manufacturing strategy â Operating policy â Partnerships (suppliers) Manufacturing Strategy Tools â Organization structure details â Manufacturing system “structure” design â Buildings, location, capacity â Machine selection â Layout Manufacturing System Design Tools â WIP 4 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative What is Manufacturing Strategy? A “game plan” for the manufacturing organization to keep itself aligned with the Corporate strategy It consists of : â Long term objectives â Strategies â Programs â Initiatives To help the businessbuild and maintaina competitive advantage forfuture success 5 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Why Have a Strategy? â Assures decisions based on long term success of the enterprise â Aligns manufacturing with business and corporate strategies â Creates an awareness of competition â Assures long term product, capability and process differentiation from competitors â Provides for clear communication between management levels â Focuses improvement activities on long-term success PROVIDES A BASIS FOR FUTURE SUCCESS 6 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Outline â Manufacturing System Design â Manufacturing Strategy Tools â Manufacturing System Design Framework 7 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative High Level Strategy Tools/Concepts â Focused Factory â Wickham Skinner â Product-Process Matrix â Hayes and Wheelwright â 3 -DCE â Charlie Fine â Nine Components of Manufacturing Strategy â Fine and Hax â Manufacturing Strategy Worksheet â Miltenburg 8 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Manufacturing Strategy Worksheet

Lean Aerospace Initiative Strategy Worksheet - Miltenburg â Requires a strategy before system design attempt â Implies “Design Beyond Factory Floor” idea â Connects strategy to manufacturing system selection â Recommends existing systems based on outputs needed â Evaluates system performance relative to other systems â A useful strategy and Manufacturing system design tool 10 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Outline â Manufacturing System Design â Manufacturing Strategy Tools â Manufacturing System Design Framework 11 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Manufacturing System Design Tools â Axiomatic design/MSDD â Cochran â Production Preparation Process (3 P) â 2 -D manufacturing world maps â Toyota production system frameworks â Ohno, Shingo, and Monden â Various analytical tools/computer simulation tools â Manufacturing system design process 12 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Map of the Manufacturing World â There Are Many of These Charts in Literature â All Use Only Two Factors (2 Dimensions) â But, There Are at Least 10 Factors â There Is Much Overlap Which Is Confusing â Real System Boundaries are fuzzy 13 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Outline â Manufacturing System Design â Manufacturing Strategy Tools â Manufacturing System Design Framework 14 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Framework For Manufacturing System Design â A holistic view of manufacturing system design environment â Visual description of “design beyond factory floor” â Manufacturing is a part of the product strategy â Manufacturing system design is strategy driven, not product design driven â Tool of many tools â Combines useful strategy and design tools â Can lead to a innovative & new manufacturing system designs â Shows the unending design cycle -- Continuous Improvement 15 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Enterprise Snapshot Society Suppliers Customers. Stakeholders Employees Stockholders Mgmt Govt. Enterprise Needs Corporate Goals/Objectives/Strategy Business Unit Strategy Product Strategy Partnerships/Alliances Product Development Sales/Marketing R&D Customer Support Investment Strategy Commercial Management Consulting Manufacturing Operation Services E-commerce Human Resources 16 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology Military web. mit. edu/lean

Lean Aerospace Initiative Product Strategy Ma r k e ti n g S u p p l i ers P ro d u ct Desi g n Ma n u fa c tu r i n g 17 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative 18 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Stakeholders Society Suppliers Customers Executive Management Employees Stockholders Mgmt Govt. Manufacturing System Design (Corporate Strategy) [Seek approval] [Interpret] Middle Management (Business Strategy) Product Strategy Product Design Manufacturing Marketing Requirements/Considerations/Constraints Manufacturing System Design/Selection Implement (pilot) Optimizing Evaluate/Validate Full Rate Production Modifications Suppliers

Stakeholders Manufacturing System Design Executive Management [Seek approval] [Interpret] Middle Management [Business Unit] Product Strategy Product Design Make/Buy Risk-sharing Partnerships Manufacturing DFMA, IPT 3 -DCE Concurrent Engineering Marketing Customer Needs Technical Feasibility Feasible performance guarantees Requirements/Considerations/Constraints - Miltenburg, - 3 P, - 2 D plots, - MSDD, - AMSDD - design Kaizen Manufacturing System Design/Selection - Analytical Tools, - Simulation Tools Implement (pilot) Fine Tune Evaluate/Validate Finalized Product Design Modifications Suppliers • VSM • Kaizen • Trial & Error • Kaikaku Full Rate Production

Stakeholders Manufacturing System Design Executive Management [Seek approval] [Interpret] Middle Management [Business Unit] Product Strategy Product Design Make/Buy Risk-sharing Partnerships Manufacturing DFMA, IPT 3 -DCE Concurrent Engineering Marketing Customer Needs Technical Feasibility Feasible performance guarantees Requirements/Considerations/Constraints - Miltenburg, - 3 P, - 2 D plots, - MSDD - AMSDD - design Kaizen Manufacturing System Design/Selection - Analytical Tools, - Simulation Tools Implement (pilot) Fine Tune Evaluate/Validate Finalized Product Design Modifications Suppliers • VSM • Kaizen • Trial & Error • Kaikaku Full Rate Production

Lean Aerospace Initiative Conclusions â Manufacturing system design beyond factory floor â Strategy driven manufacturing system design â There is no general manufacturing system design methodology â Manufacturing is a competitive weapon â Know the industry dynamics â Which component in Product Strategy has the highest leverage? â Manufacturing Process Improvement? 22 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Executive Management Current Situation Middle Management Product Development Suppliers Manufacturing. Organization Baseline Manufacturing/TPS Pilot Plant Full Rate Production

Lean Aerospace Initiative What Should the Manufacturing System Design Consider? Stakeholder Primary Need Stockholders Return of investment Customers Product performance, quality & cost General public Satisfaction of needs Business Low risk participation, steady business Employees Employment stability Hourly Satisfactory salary, working conditions Management Promotion opportunities Suppliers Stable business Society/Community/Environment Responsible behavior Government Capability, tax base 24 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative 25 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology Manufacturing System Design Process web. mit. edu/lean

Lean Aerospace Initiative Focused Factory â Focus on One or Few Products in a Factory â Advantage Through Simplicity, Repetition, Experience, and Consistency â Ability to Compete in the Focused Product â Plant Within a Plant (PWP) Idea â Easier to Improve, Change and Upgrade â No Process, Tool, Skill Conflicts â Need for a Well-defined Manufacturing Policy â Decision Aid 26 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Product-Process Matrix â Creates Awareness to Product Position on Life Cycle Curve â Manufacturing Processes Linked to Product Life Cycle â Highly Flexible Manufacturing System Needed During Initial and Growth Stages â No Design Standard â User Needs Vary â Dedicated, Cost Effective Manufacturing System Is Needed As Product Sales Saturate and Decline â Standard Design â User Is Indifferent to Additional Features 27 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative 28 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology Product-Process Matrix web. mit. edu/lean

Lean Aerospace Initiative 3 -DCE: Clock Speed â Three Dimensional Concurrent Engineering â Product Architecture, Supply Chain Architecture and Process Architecture â Avoids “Throwing the Design Over the Wall” â Three Strengths Instead of One (Product Design) â Shared Competitive Advantage â Shared Risk â Builds Mutual Trust Between Supplier and Contractor â Ensures “Readiness” Concurrently â Reduced Overtime, Expediting, Late Deliveries 29 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative 3 -DCE Model PRODUCT PROCESS Performance Specifications Technology And process Planning Recipe, Unit Process Product Architecture, and Make/buy 30 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology Time, Space, and Availability SUPPLY CHAIN Details, strategy Manufacturing System, Make/buy web. mit. edu/lean

Lean Aerospace Initiative 9 Components of Strategy - Fine & Hax â Facilities â Capacity â Vertical Integration â Processes and Technologies â Scope and New Products â Human Resources â Quality â Infrastructure â Vendor Relations 31 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Manufacturing Strategy Tools: Application â Focused Factory â Strategy Formulation, Factory Design, Operating Policy Design â Product-Process Matrix â Strategy Formulation, Determine Time to Change Manufacturing System, Evaluate competitor strategy, Locate Niche Markets â 3 -DCE â Product Design, Manufacturing System Design, Supply Chain Design â 9 Components of Manufacturing Strategy â Strategy Formulation, Determine Effect of Manufacturing on other Components and Vice Versa â Manufacturing Strategy Worksheet â Strategy Formulation, Competitive Analysis, Layout Selection, Changing existing system, 32 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Axiomatic Design (MSDD) â Allows for Structured Break Down of A System â Links High Level Goals to Lowest System Level â Shows necessary conditions on the factory floor to achieve corporate goals â Forces the designers to prioritize Objectives â Translates ‘goals’ into ‘means’ â Great Communication Tool Across the board â Does not restrict to selecting Existing Designs â A unique manufacturing system design is possible depending on the highest goal â A Visual Design Tool 33 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative 34 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology Example of MSDD web. mit. edu/lean

Lean Aerospace Initiative Manufacturing World Maps â Shows existing systems that might match desired system requirements â Helps the designer focus on the right type of systems â Useful to verify if system is operating within limits â Useful in planning a move from one type of system to another 35 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Other tools â Production Preparation Process â Creative Brainstorming â Cooperative Decision making â Unrestricted Design possibilities â Detailed consideration to each part â Various Analytical Tools And Simulation Tools â Loop, ? 36 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean

Lean Aerospace Initiative Product Strategy Application â Best Life Cycle Cost â Acquisition Cost + Direct Operating Cost + Maintenance Cost - Scrap â Acquisition = Development Cost + Manufacturing Cost â Direct Operating Cost = f(performance) â Maintenance = f(External Quality) + Ease of maintenance â Scrap Value = f(reliability, maintainability, customer support) 37 - MS/Shields - 041001 © 2001 Massachusetts Institute of Technology web. mit. edu/lean