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Industrial Technologies

Industrial technologies (Politecnico di Milano)

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INDUSTRIAL TECHNOLOGIES prof. Sergio terzi 17.09.18

INTRODUCTION TO PRODUCTION SYSTEM:

- Production process  we are talking about a list of activities of various kind that take place
in a production system
- Industrial technology  the knowledge on which a process is based
- Production  the process required to produce goods or services destined to a certain
market  the production process consists in the transformation performed on inputs,
based on a defined industrial technology that is implemented through proper equipment,
to obtain a certain output.
- Production system  a subsystem of the company through which the production process
is realized.
- Production plant (impianto di produzione) physical plant where the production system is
established and the production process is realized.

A company exists since there is a demand to satisfy  all the elements are called production
factors.
Generally production represents the point of intersection of two macro processes that characterize
every industrial company  the new product development process (vertical dimension) and
logistics and production process (horizontal dimension).
The realization of the industrial production process is performed within an industrial production
system and it requires of many inputs and resources  the finish product is sold into the market
and the revenues are used to sustain the costs and investments while generating process.

Industrial system  the production process consists of several stages that can be grouped into
three main phases:
1. Material acquisition (procurement) of raw material to use for production;
2. Transformation  the raw material into finish goods
3. Distribution of the product on the market.

What it’s about inside logistic (inbound logistic)  will be up logistic course
Our focus will be on the transformation phase, which happens within the boundaries(confini) of
the company and doesn’t involve external actors  this transformation phase generally includes
various sub-stages/sub-processes:
- The conversion or processing stage  in which raw materials are converted into finished
products
- The storage or waiting stage  in which the processed material is stored while waiting to
undergo a subsequent processing phase (in case of semi-finished product) or before being
distributed on the market (in case of finished product)
- Transportation stage  that allows the succession of different stages of conversion

The main activities that a production process need are two:

1. To be designed
2. To be managed
In this course we will learn to rightly design a production system.

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How to define a production system  the elements for understand and describe the production
system:
- We need a way to describe a production system easily in the way all person can recognise
 diagram ASME  was codify by an American society of engineering  in the production
system there are transformation, movement material, control or quality check, waiting in
some areas of the system attend to be transform (decoupling point)
Process sheet  is an international language to describe what happened in the production
process

The main representation solutions aim at reporting the physical aspect and the technological
aspects of the process:
1. The physical aspect corresponds to the view of the process from a static standpoint  it
describes the set of physical units of the production system, without considering other
elements of technological or managerial nature  the tool used in this context is the
physical layout which corresponds to a plan drawing of the plant. It can be schematic or
detailed. Flows can be added just to understand how they are intertwined (intrecciate)

2. The technology aspects correspond to the view of the process from a dynamic standpoint,
considering the various operations required to realize the process (technology cycle or
technology routing)  3 types of diagram can be used:

- The technology diagram  based on the ASME symbols which is used to represent the
flow of materials and the relationships within the production system. It can also be
quantitative to represent the amounts of flowing materials.

- The flow sheet (process flow diagram) PFD  represents the different sections of the
production system through a schematic drawing of the equipment  only highlights the
flow of materials  in general, it could be a very qualitative description or more detailed

- The block flow diagram (BFD)  is a simplified representation of the main phases of a
production process only critical equipment for the process are represented in a BFD 
the flows are represented by directed arrows, normally having the flows from left to right
except for the recirculating flows.

Other elements that could be useful to describe a production plant are following:

- A bill of materials or product structure  it is a list of the raw materials, subassemblies,

intermediate assemblies, sub-components, parts and the quantities of each needed to
manufacture an end-product.

- A production order  is an order issued within(entro) a company to produce a specific

quantity of material within a certain timeframe

- A cycle time sheet  is a table, related to a certain product and a certain machine, where
the times of each operation done by the machine on the product are collected.

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The flows of materials in a process can be of different types:

- Linear  the various phases that lead to the finished are in sequence
- Synthetic  if the process starts from a multiple components to obtain the finished
product
- Analytical  if from an initial component more finished products are obtained

The flows can also be continuous or discontinuous according to the presence of temporary buffers.

Production process is the starting point for the production system  we need information about
the product  starting point of the production engineering
BILL OF MATERIALS  its normally describe in the company in which there are information about
the different material and all the components  This a starting information for all the production
and process engineering

From the bill of materials and the process the company define a cycle time sheet that is a
document where describe the part program that will be executed by a machine (list of activities
that will be performed by a machine on a precise pieces)

We have knowledge about process, the time of production and raw materials necessary  we will
always start form the time

Production should be managed  basic elements for managing production are orders  the work
of the production manager is to elaborate the order  production should be managed by orders
define step by step  this course is about the design of the production system but from the
production manage we have a different type of production design

Flow sheet of a production plant  the typical way to describe the flow of production and the
machine utilized  easiest way to explain the production process

Layout of a production system  is the map of the factory

We have to design a system  design all the components of the system  we have to put in the
resource and the machine with a logical scheme  we try to find a way to reduce waist time (lines
crossing is a problem in a production process )

WORTMANN CLASSIFICATION  every company can be defined and classified in based on the
order arriving at the company  based on the customer order decoupling point (how the
company responds to demand)

- ETO  engineer to order  the product is designed and built to customer specifications
- PTO  purchase to order  the product is already designed but materials for production
are still not in inventory and should be acquired only when an order arrives
- MTO make to order  the product is based on standard design and raw materials are in
stock, but the production of components is linked to orders placed by the final customers
and in accordance with the specifications
- ATO  assembly to order  the product is built to customer specifications from a stock of
existing components

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- MTS  make to stock  the product is built against a sales forecast, and sold to the
customer form finished goods stock

Most of them move to ATO because of the delivery time  its not possible to put production
machine in MTS because of the costs

This way of classification is usually by everybody because of its simplicity  describing how is the
reactive to the market.

Industrial production system can be classified in different ways: one of the classifications that is
relevant is the classification of production system on three orthogonal axis:

- Demand (z axis) how the company fulfils the demand of the market  how the company
is reacting to the demand  production to stock or production to order

- Process (x axis) how the product is made through the production process  company
can be divided in two groups  manufactory system and process industry production

- Volume (y axis) how the production is managed to make the required production volume
 how the volume of the production is managed (how many pieces is production for time
for this process)  we can have continuous production, batch production (batch of the
same type of product) or one of a kind productions.

Production system of the companies can be two types  process plants (continuous flow or batch)
or manufacturing plants (part production or assembly)

Depending on how the production is realized from a technology point of view, the following cases
can be distinguished:

- PROCESS PLANT  also called basic, primary or fixed technology cycle production  in this
type of production, the components of which the final product is made can no longer be
distinguished at the process completion  the product cannot be decomposed, as the
original components are subjected to non-reversable transformation.
The production system is characterized by a well-defined technology cycle  fixed
technology cycle  the output of this type of production (called primary) is often the raw
material for other production processes which are therefore called secondary.

- MANUFACTURING PLANT  so called secondary or variable cycle production  in this

type of production two phases are typically present: parts production and assembly.
During parts production materials are subjected to some change in their shape and/or
chemical or physical properties.
Thereafter, assembly aims at joining two or more components to obtain the final product.

In discrete manufacturing, products can be assembled and disassembled while this is impossible
for processed products.

Standing on how volumes in output are realized, production can be classified as:

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- One of a kind production (single unit production)  because of this singular nature the
variability of the process is very high  the production resources are managed to produce
the exact volumes required in the order

- Batch production  intermittent production  production intermittently changes from

one product to another  to change production, machines and other resources must be
prepared during the set up  since the set-up activities requires time, the company is led
to produce a production volume higher than the volume immediately required to satisfy
future demand without the need to restart production.

- Continuous production  the technology cycle remains fixed for extended periods,
causing an uninterrupted flow of products presenting homogeneous characteristics  this
is possible thanks to the stability of an external market which enables the company to
accurately forecast the demand.

Standing on how the company meets market’s demand, it is possible to identify two main cases:

- Production to order  the company reacts to an order placed by a customer. It can further
distinguished in single order the customer order is considered unique and it is highly
improbable that the same product with the same specifications will be requested in the
future or repeat order  a product is made knowing that in the future it will be requested
again by the same or other costumer (it is the case of companies sing product catalogues or
that work as sub-contractors supplying components to other companies)

- Production to stock  the firm manufactures high volumes of products before receiving
the customers’ orders.

BASICS, PERFORMANCES AND COSTS

main components of a production system are: inputs, machines, tools and operators.

How production system works  we have raw materials, tools and machine (changing tools for the
machine is the set-up time)
A production machine could be in different status:
- Working
- In set-up/ change over
- Waiting for pieces/operators/interventions
- Blocked for breakdowns
- Under maintenance/ repair

This is valid also for the workers  also the activity of the operator can be defined status by
status  the operator can be involved in different tasks:

- Working on a machine/ system

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- Preparing the production machine (set up)

- Doing maintenance
- Monitoring and supervisor production
- Performing quality checks
- Load/unload materials

This activity could be design

In all the type of the production approaches the production system are managed by the orders 
order should be planned in a production planned that normally coming from the material
requirement planning (MRP) that elaborated the orders of the production plan  orders are listed
by scheduling that should be done by a software.
When we design a system we must have an idea of the managed of the orders.

Production is handled through WORK ORDERS work orders are planned and scheduled in the
production plan and then launched and executed  they are moved in the production system
according to the production cycle of the product they are referred to.
A working station is the elementary unit of a production system, which realizes a single process
phase if the entire technology cycle  it can be constituted by an operator or by a machine or by
both.

The working stations of an industrial production system can be arranged or organised in different
kinds of configurations, each one corresponding to different types of production systems. The
types of organization of the working stations of an industrial plant is closely linked to the
production mission of the company.

It’s important to well distinguish between performances and operative conditions

- Performances  are the results of the logistic and productive process
- Operative conditions  are factor that determine external and internal context in which
these results are obtained  they influence performances

The production archetype represents a different way of the design of the system  different
impact on the performances  the solutions have an impact of a different performance of the
system  main operational performances:

- Production Lead time (throughput time)  the time during which a piece remains inside
the production system  the lead time is the sum of processing time, transport time and
waiting time (waiting time is the time during which a piece is waiting to be processed or
assembled and it is linked to another basic parameter called WIP)

- Set up time  is the time required to prepare a machine or a line to produce a new work
order  the set-up is related to the specific technology involved into the process (need to
change tools or to perform washes or to adjust…)  the need to perform the set -up
activity entails the waste of a productive time

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- WIP (work in progress)  refers to the amount of material, waiting to undergo further
processing. WIP grows as more parts wait within the process and an increase in WIP means
more production costs for the company. In fact, a high value of WIP not only involves the
need of space for the storage of the corresponding semi-finished materials, but it also
involves an unproductive of money which is due to the value stored inside of WIPs.

- Production rate (throughput, rhythm, production capacity)  is the number of products

that a production system is able to produce in a time unit  pieces/time

- Cycle time  inverse of the production rate  is the time period elapsing between the exit
of two consecutive work-pieces out of a system  time/pieces

In a certain time in a production system we can have a certain part of the materials that is called
work in progress  there is a direct connection between the WIP and the throughput time of the
system  WIP is relevant for us to design a production system  giving us an idea of how fast
the system is

The concept of lead time  lead time is the time spent passing through the system  in a
production system we have a different status in which a material can be  time that is necessary
to perform all the activities inside the factory form the customer order arrival to the moment in
which the material is ready to be delivered

Orders are happening inside the production system and according to be agreement with the
customers  the role of the customers is relevant because is the customers define due date  we
have to design a system in base on the time we will expect to have a due date

Operational performances:

- Utilisation (saturation)  is a parameter that measures the rate of use of a production

equipment  it is normally given by the ratio between the effective work hours of a
machines and the available working hours of the machines itself.

- Flexibility  4 type of flexibility  the ability of the station to change the type of product
manufactured quickly and at low costs.

- Availability  measures the impact of breakdowns and stoppages on the time when a
machine is theoretically available to be used.

A production system is a system based on a different status (discret event simulation)  but also
the production system is a dynamic system  we have to consider it when we design  we have
to try to anticipate this dynamism  we have to simulate what happened in the system

The different type of production system has a different impact on the different performances of a
production system.

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A performance is something which have a level of freedom  caused by internal performance,

operative condition and external conditions/ performances

The procurement of production factors involves costs that the company must sustain before or
during the operation of the plant, depending on their nature. Costs of a production system can be
classified in two main categories: installations costs and operational costs. Additional components
of industrial cost analysis are:

- Depreciation and amortisation  which do not reflect a real output of money, but which
are relevant because they impact the balance sheet of the company and consequently
taxes to pay
- Inefficiency costs  which do not correspond to an actual output of money , but to the
loss of income resulting due to the inefficient operation of the plant  typical inefficiency
costs are: overtime work costs, subcontractors’ costs, stock-out cost, stock holding costs,
set up costs

To be define as relevant for the design of a production system, a cost should be:
- Future
- Avoidable  if we do not follow a certain plan, we do not sustain that cost
- Differential  respect to other alternative designs/plans

Installation costs can be defined as all the expenses that the company sustains on a plant to enable
production distinction between fixed capital and operational capital
- Costs of installation  CAPEX  fixed capital  it is required to finance the following
activities:
 Preliminary economic analysis of the project
 Development the project
 Acquisition of the ground
 Building constructor
 Installation of plant services
 …

- OPEX  operational capital  refers to the set of non-durable production assets and
financial payable to start production  it normally includes the following costs:
 Inventories of finished products and raw materials
 Account receivable
 Cash

WE HAVE TO TAKE DECISION ON A LONG TERM  WE HAVE TO LOOK ON THE REAL COSTS

INTRODUCTION TO THE DESIGN OF PRODUCTION SYSTEMS

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DESIGN PROCESS  design engineering is a process that is done by a list of step that normally are:
first idea, test verification to check if the idea is fine, if it is fine activity  process that is done by
fashion designer  this process is not really linear but if there are some error it is need to do some
modification or come back to step before  for examples raw material for the system is not the
proper one  most of them time design process is iterative and circle  in this process in every
step we are creating something new  in a design process we are creating a cumulative
knowledge  the list of step will be the same for all products  is about design approaches

We will deal with system that they are at industrial level  we are using term industrial when we
are dealing with something that is not artigianal  many actors involved, all actors involved in one
or plus step, mass production, high number of output

In an industrial contest  also the design process is done step by step  specific engineers 
design process  in the car industry typically the design process is structure in three main macro
activities:

1. Product design development

2. Process engineering  how the product will be physically done  manufacturing
technology and design engineering  list of engineers that are delivery in the production
process  guys that are expert of the technology that are needed to realize the product 
should be expert of the manufacturing technologies needed to the product
3. Production system design  industrial system needs a place/factory that is able to make
the product  typical car maker is a company in which there are process engineer,
production system engineer and a product design and development

That activity in the production system should be designed following the step we mentioned before
 for doing this as to follow specific step  all that activities are normally done by a series of sub-
steps.

Industrial companies are always having this process, more or less in sequence.

We are in one of the some of the macro process of the design process  typical activities of such
design sub-process:
- Demand planning  how many products and how many types of products we have to
produce in the plant in the next years
- Industrialization/production engineering  which production technologies should be used,
how should be the processing cycle?

This two first step is done external

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- Identification of production layout archetypes  based on production volumes, variety and

expected performances
- Workload dimensioning and definition of the number of resources
- Design of the production area, stations, machines and services  this last step is not
considered in this course

It is necessary to understand the process so means understand the production technology, we

should know the competences that are needed but also the machine that are needed for this
particular product, it is necessary to know the volume of productions that coming from the
demand planning forecasting that is done by sales, marketing insiders (addetti), demand planning
and forecasting it is an activity that is done when we are in the process of production system
design  normally is not done by the industrial engineer
Normally based on the volume and the type of technologies the industrial engineers has to
elaborated several options in which taking decision about the type of production systems  the
archetype  or common said the layout of the system  we have to take decision about which
type of layout we want to have for the system  different layout means different performances 
the performances (lead time, WIP, flexibility) will be affected by the layout decisions - this is why
today we have to deal with the layout planning  since it is a strategic decision normally take at
the beginning  it is the first concept of the system  decision that normally has to be taken at
the beginning because affect all the rest. It is a relevant decision because affect all the follow 
when taken this decision I should making a proper evaluation of the work (amount of time that we
should do there)  amount of work that the system should be able to do.

The activity of designing a new production system have to involve many persons  we need a lot
of knowledge and the process of designing a production system is an iterative process, we have
more alternative that should be evaluate  the typical approach to design a new production
system is composed by main phases that are:

- Feasibility plan  technical and economic plan  costs evaluation  normally you are
running several scenaries  this is the moment we are doing the evaluate of the different
alternatives  there everything is still on paper  you should elaborate more options

- Approval  on investments  several level of approval  is not just a decision of the

company but the decisions are affected by other factors (normative, regulations) in the
country/city

- Detailed design of the system  could happen after approval  decision for examples for
the assembly line, …

- Construction and installation  we are dealing with projects on 2,3 years

- Testing and launch

The process of production system design can be described by different terms  according to the
different production system (the layout of the production system is a decision taken at the
beginning)
- Production design and engineering  the widest concept  designing a new system

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- Plant design  we are dealing with the constrain of the building  we have to take
decision on the machine
- Manufacturing engineering, manufacturing planning  talking about the production
process (production sheet)
- Factory design and engineering, factory plan  normally talking about the strategic
decision about the layout of the system

When we take about factory planning (design) we are talking about one of the activity that
normally is taken at the beginning  which type of production system I would like to have 
PRODUCTION SYSTEM TYPES  I’m planning how I will put the staff in  the decision that I have
to take:

- Where I will put the machines  decision about the layout

- Where I will put the restroom, or the office  all this question re decision that should be
taken  I’m also taking decision about how I will move the material from one machine to
another  I should try the design of the layout to simplify the material flow
- I have to calculate the so-called capacity  how many machines I need to realize all the
products according to the production layout

The decision of planning the type of system is the decision of the layout that have an affect on the
capacity and on the material flow  we will see a lot of different models  during the last century
many models approaches have been invented for planning a factory so this contest were studied
by many person so created many solved methods that have different approach on capacity,
material flow and layout:

- Stationary deterministic models

- Stationary stochastic models
- Dynamic deterministic models
- Dynamic stochastic models

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We will use a mix of these models.

FACTORY LAYOUT PLANNING  consists in the definition of the physical organisation of the
factory  concerns the search of the most efficient location of the shops (areas of activities)
within a given building or area available in a building  shop might have needs of space very
different one form the other  the objective is the minimization of costs of relation between the
shops, respecting plant constraints

Deciding the layout of the system how we should put the different resources in the different
areas of the production system  somebody decided to allocate the resources in the different
production areas  it is already a layout elaborated at the beginning  general layout (general
level useful to taking general decision)
The detailed layout concerned with the identified the exact position of the shops, structure,
machines in the areas (physical representation of the production system)

General layout with identification of location of each shop

Several approaches  the objective of the layout of a production system should be to find a
solutions to be the efficient one  we should look at the costs and times  for making a layout
that is efficient material is flowing with the minimum time at the minimum costs  this costs is
affected by the distances and how many time the material must be moved, the material can be
moved by a person or by a transporting system  engineering decision that have an impact on the
costs  you have to make a layout that has the minimum costs  production department among
which we moved the material
Our objective is to minimize the handling costs as well to consider other elements that should be
part of the production facilities  we are talk about the minimization the handling material inside
the system

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We have to calculate the distance between the different areas that I have to move the material in
the system  the issue is how to calculate the distance  the typical approaches:
- Rectilinear distance  it is a simplified measurement  connection rectilinear between
the different areas
- Euclidean distance  I just connected the different areas
- Actual distance  how really the movement will be

I can use models that supporting me using the decisions  different models have been invented
 normally we will practise in heuristic way

At first we need an analysis phase and then the design phase  this approached if value to build
something for new or for revalue something
- Analysis of products  analysis of material flows and of relationship between activities
- Design
Logical approach  having a visualisation of the flows and of the activities  building of
the graph
Alternative solutions evaluation
Calculate the square metres needed for each area in the system
Space diagram definitions
Layout

Always in every type of industry independent by the technology the layout can be useful in
different ways 
- High volume, few numbers of product  layout based on the lines  dedicated resources
- Medium volume, medium number of products  cells
- Low volume, high number of products  job-shop
We can have other solutions that there are some peculiarities.

We know that first we have to do an analysis of the product and on the flow  we can easily
having a first idea of the layout of the system based on the production volume and the number
of production we have to realize  then we need to described the material flow that should be
implemented described with a diagram that telling us information  indication of the flows
we are expecting between the different areas of the system  inside the production system
we have a different archetypes (layout)  we have a part of the plant where dedicated
resources as lines and another part of the plant that work as a job shops

Graph and space diagram

Different departments, which is calculated the square metres that are needed, each color is a
legend (metres of costs for examples)  CAD factory layout with identification of shops with
high density of flows

In a layout of a production system we normally have a relationship activities  relationship

analysis  the method of RELATIONSHIP CHART  identify the requirements of relations
between shops (area of activity) between the different shops  causes and importance or
relations are identified by dedicated codes

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We will use heuristic techniques for the solution search  we expected to have a “good”
solution that can be applied in different ways starting from the information that we have -->
the results of this approaches should be discussed by the engineer

1. Heuristic CRAFT  has been invented during the 70s  computerized relative allocation of
facilities technique  this method could be applied at many times during the designing of
the production system  approach that need these starting elements:
- Starting with an existing layout  first catch of the planned  ask the computer to allocate
resources to one area  the resulting is affected by the starting point
- Matrix to exchange position of shops
- Evaluation of cost of the exchange of position  calculate the costs of movement 
relation chart that gives us information about the costs

Generate step by step a solution.

2. ALDEP  constructive method  automated layout design program  is doing step by

step some modification  given the relationship chart, size of the facilities, the
departments/shops and their size, proximity relationships and a sweep width  ALDEP
constructs a layout

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JOB SHOP

GENERAL FEATURES

Ina job shop machines are grouped on the basis of technological process involved  similar
machines in term of technological capability in the same department. Machines in the same
group could be different each other, but they support the same technological process  for
examples the milling machines are in the same functional department

Each product has its own technological routing in the system

It is possible to do every kind of product, according to the machines that are available in the
plant. For each product, we have to achieve different characteristic and there are different
ways to reach them (different routes) because each department offer its own technological
capability and I am free to move within the functional department and between the
department.

In a job shop material are moved according to the required product routings (from one
department to another). The logistics (material handling through the factory) is characterized
by high flexibility. There is no rigid interconnection between the machines  every movements
are allowed.

According with the structure of the plant, materials could be putted everywhere in the plant,
where they are needed (buffer where is necessary).

Moreover the labour is divided in departments according to task specialisation  workers are
skilled based on technological process involved. It is required a high specialization of the
workers.

We can have two different duffer’s option:

- A buffer for each functional department
- A buffer for the entire system

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STRENGHTS  HIGH FLEXIBILITY

General definition of flexibility  it is the ability to change from internal inputs or react form
external inputs with little penalties in terms of costs and time.

We have three principal kind of flexibility, which lead to other derived forms. The principals
are:

- MACHINE FLEXIBILITY  it depends on the selection of the machine  generally in a job

shop I have machines which can do a large gamma of operations and so a high machine
flexibility

- MATERIAL HANDLING FLEXIBILITY  because machines are not rigidly connected

- ROUTING FLEXIBILITY  it is the main characteristic of a job shop system  I am quite free
to move within the functional department and between functional departments. For the
same product can be available different technological routes. Maybe an alternative route
for a product cannot be the best choice, but it can improve the system performances.

Thanks to this basic flexibility in the production system, we can reach other type of flexibility:

SHORT TERM FLEXIBILITY (1 week to 1 month)

- MIX FLEXIBILITY  is the ability to meet the market requirements in terms of variety of
product supplied in a given of time (given a product portfolio)
- VOLUME FLEXIBILITY  the ability to deal with variations of aggregate volume  the total
volume does not change
- PRODUCT FLEXIBILITY (CUSTOMISATION)  the ability to meet the market’s demand in
terms of product’s customisation of some existing designs

MEDIUM/LONG TERM FLEXIBILITY (1 month to 1 year)

- PRODUCT FLEXIBILITY (INNOVATION)  the ability to meet market’s demand in terms of

product’s innovation  I can introduce new products without stopping the normal
production
- EXPANSION FLEXIBILITY  the ability to add new production capacity (more machines
installed) in terms of volume trends and of technology capabilities  it depends also on
the ability to plan a good layout.

The difference between mix and volume flexibility can be summarized by as:

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As a consequence:

- Low impact of breakdown/failure  thanks to the routing and material handling flexibility
 it is a short-term advantage.
- Low obsolescence of the system  obsolescence does not depend only on the age of the
system /machine but also on the market demand  product and expansion flexibility
reduces the possibility of market’s obsolescence.
- Knowledge  experiences are easier to transfer
- Finance  in a job shop the money cash flow is distribute during the years, and not for all
in the starting moment because I can add in a second moment other machines I need, and
this is good form a financial point of view.

JOB SHOP - WEAKNESS

- PRODUCTION MANAGEMENT IS DIFFICULT  we have to take much decision because of

the many options that are possible in the job shop system  in particular:
 High WIP  I put as much material as I can in the system because of the hard
schedule  in this way I am protected myself from the low utilisation of the
machines  this cause also high queues
 Lead time are long and characterised by high variability  the queues cause the
high lead time and make the lead time very difficult to predict
 Difficulties in estimating delivery lead times  I do not know before the routes of
products for all because it depends on the availability of the machines
 Low utilisation rate of machines

- LIMITATIONS IN EFFICIENCY  it may happen that a machine have to wait the material
because of the overload of the previous one  machine efficiency could be low

- QUALITY CHARACTERISTIC OF THE PRODUCT CAN VARY FOR DIFFERENT PIECES  two
different routes can be characterised by different level of quality (maybe one machine
guarantee a better level of quality than one other, which can do the same operation) 
quality characteristic is not homogeneous.

- IT IS DIFFICULT TO CALCULATE PRODUCTION CAPACITY  it depends on:

 Long term:
 Mix of jobs that have to be manufactured
 Technological characteristic of jobs
 Complexity of pieces to be manufactured
 Lot sizes

 Both long and short term:

 Number of machines and their state
 Possibilities to use alternative routings

 Short term:
 Ability to schedule jobs

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In a job shop system the future production is very uncertain because of the nature of this type of
plant. We design the system for 5/10 years (very long time) but many things can change during this
period. I cannot know during the design phase which technological routings will have the product
passing in the job shop, because of the possibilities that are available  predictionaries are very
difficult to be made

Example of a job shop  there are several departments, each one with his own technological
capability. In the example, there is a mechanical industry. We can see in the departments some
space for future expansion.

ROUGH DESIGN OF A JOB SHOP

Typical questions related to system design (to design new system or to increase an existing one):

- How many machines do we need to meet the demand?

- How many operators do we need to meet the demand?
- Where are the bottlenecks?  which are the limited factors?  because of the high cost of
the machines we prefer that the bottlenecks are the machines and not the operators
- What happens if the production mix changes?
- What happen if a machine break down?
- What is the effect of the reducing setup time or lot sizing?
- What is the effect of adding another machine to the system?

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STEP 1 – PRODUCTION MIX DEFINITION

- Identify all the product types (with the index j)  we can have a high number of product
types, and the mix can change during the years
- Estimate yearly demand for each product type (Qj)  in order to make these two points
we can use experience and statistical methods (it can be very useful to do similarities
between old products and new one)  I can use the past to make a forecast for the future
- Define the lot sizes for each product type  I will define the number of lots that depends
directly on the dimension of the lot

From there I can also calculate the number of set-up.

STEP 2 – ROUTING DEFINITION

- Define the main routings for each product type so which operations define the main route
- If possible, define alternative routings, so which operations can be substitute the main one

STEP 3 – MACHINE IDENTIFICATION

On the basis of routings, it is possible to identify all the machine type that are necessary to
manufacture the production mix  the index for the machines are i.

STEP 4 – for each product type, calculate the total time of the operations that have to be done on
the same type of machines (Tij)  it is estimate or calculate by a computer (for CNC machines)

STEP 5 – calculate the yearly workload for each type of machine.

Where:
i = index of the machine type
j = index of the product type
N = number of different product types

With this formula we are calculating the total time of operation we are asking to the machine 
also called gross workload

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- N is the number of different product types

- SR is the SCRAP RATE  so the part of the inputs which will not be sold to the market (low
quality, defects, … )  I can calculate the scap rate with experience  0<= SR j <= 1

- STT is the setup time (minutes /setup)

- A is the availability of the machine I  the machine could be down for maintenance 
0 < Aj <= 1
- HC is the human coefficient  the operator could be busy  0 < HC j <= 1
- TR is the trial rate for technologies tests  0 < TR j <= 1

STEP 6 – calculate the number of hours available for each machine type i

Where:
- WHj (s) = yearly working time available depending on the shifts per day (s in the number of
shifts)
- SE is the schedule efficiency (sometimes we have empty spaces in the calendar)  it
depends on the ability to schedule  0<SE<=1

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STEP 7 – calculate the number of machines type necessary to manufacture the production mix,
given the yearly demand

STEP 8 – the number that has been obtained must be rounded up or down depending on:
- Machine- type cost
- Possibility to outsource the production of some product type
- Possibility to use alternative routings for some product type

If NM = 1,05 probably the best choice is to round down it, but it is not always possible.
The last possibility is to reduce the total workload, selling less than I can.

STEP 9 – evaluate the number of shift/days, computing the yearly cost.

We can minimize this formula for each machine, or better for each functional department.

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MANUFACTURING CELLS

GENERAL FEATURES

When cellular manufacturing is applied, parts are grouped into part families (part with some
similarities) and machine into cells, on the basis of the processing requirements of the part
families. To form a cell we select machines that are required for a particular part family.

Each product has its own routing within the cell (in the case of compete cell independence).
One product will visit only one cell.
We can base the separation in cells for example on the type of material we have to work.

The first step to design a manufacturing cells system is to define the part families, looking fro
similarities between different parts.
When cellular manufacturing is applied, it may lead to:
- Re-arrange the existing equipment on the factory floor
- Operate with new equipment, often incorporating various forms of flexible automation (like
FMS)

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STRENGHTS

- RATIONALIZATION OF MATERIAL FLOWS  the cell is visited only by similar parts.

- SET UP TIME REDUCTION  with similar parts, we can use similar tools, reducing set up
time and costs. We have also generic fixture that are good for more than only one part. We
can reduce to lot size, without increase the set-up time.

- PRODUCTION MANAGEMENT IS EASIER (than in a job shop)  thanks to the closer layout,
the operator can easier manage the entire cycle (and not only the one single operation)

- OVERALL (compared to a job shop):

 Wip reduction because of the easier management
 Lead time reduction, because we reduce the transport time  moreover it is
possible to overlap the production: I can anticipate the starting point of the
production of one lot on a machine even if it is not complete at all the production
on the previous machine.
 Less variability (within the cell)
 Realistic estimates of delivery lead time, because of the easier management and of
the less variability

- JOB ENLARGEMENT AND JOB ENRICHMENT FOR EMPLOYEES  the role of the worker is
different and become more and more important. In manufacturing cell we need some
problem solving capabilities, in order to not asking anything to the supervisor.

- TEAM WORK WITHIN THE CELL  with the teamwork, we create group’s responsibilities
(about process and product)

- UNIFICATION OF PRODUCT AND PROCESS RESPONSIBILITIES

- MORE CONTROL ON THE QUALITY CHARACTERISTICS OF THE PRODUCTS  the smaller

size of the lot helps to find out problems in easier ways.

MANUFACTURING CELLS – WEAKNESS

- DIFFICULTIES WITH WORK LOAD BALANCING BETWEEN CELLS  in a job shop I can move
some work load to other routes, but in a cell it is not possible because we have low mix,
volume and routing flexibility. On this matter, a cell is rigid.

- PROBLEMS RELATED TO PRODUCTION MIX VARIABILITY as before

- DIFFICULTIES WITH THE APPLICATION to the whole stages of the production chain  if not
all the stages of the production chain use cells, the advantages can be smaller because if
the difficulty of the implementation

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- in some case, NECESSITY OF MORE MACHINES THAN IN A JOB SHOP  one type of
machine can be required by two different cells, so I have to buy two machines. In a job
shop maybe one machine should be enough for the two parts families.

- DIFFICULTIES TO MANAGE TECHNOLOGICAL OPERATIONS OUTSIDE THE CELLS  If I do

not want to duplicate one machine type, I must consider movements between cells, and
this create disturbances, making performance worsen.

- PROBLEMS RELATED TO BREAKDOWN  I have no alternative routings, so a breakdown

can afflict mostly of the parts processed in the cell.

SYSTEM DESIGN  an approach that try to manage diversity, by exploring similarities between
parts. These similarities are the starting point for the rationalization of the system:

1. Data collection regarding the production mix and technological routings (as in a job shop)
2. Classification of the products, basing on similar features as dimension, material …
3. Standardisation of products. We avoid product variety that is not necessary.
4. Standardisation of technological routings. I try to create a sequence for each product type
as linear as possible (within the cell)  these passages make the management easier
5. Identification of product families  we can use informal methods or part-coding analysis’s
method:
 The informal methods are quick and they do not require any particular investment.
Experts carry them on, so they are unrepeatable and subjective. As a request, there
must be not too much part type. We can base them in geometrical (like dimension)
or on technological features (the type of operation they need)
 The part coding analysis uses a coding system that characterize geometrical or
technological features. It is less subjective respect to informal methods.
6. Identification of machine groups forming the cells  we base our analysis on the
production flow analysis (PFA) and in particular on the cluster analysis. We will see two
methods:
 The rank order clustering (ROC)
 The similarities coefficients

Rank order clustering (ROC)

- Step 1  read each row as a binary number

- Step 2  order rows according to descending binary numbers
- Step 3  read each column as a binary number
- Step 4  order columns according to descending binary numbers
- Step 5  if on step 2 and 4 no reordering happened go to step 6, otherwise go to step 1
- Step 6  stop

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Similarities coefficient

- Step 1  compute the similarity coefficients

N ij = number of product types which are visiting both machines I and j

Ni = number of product types which are visiting the machine I
Nj = number of product types which are visiting the machine j

- Step 2  join the couple (i*;j*) with the highest similarity coefficient, thus forming the
machine group k

- Step 3  remove rows and columns related to both i* and j* from the original similarity
matrix and substitute them with the row and column of the machine group k; then
compute the similarity coefficient

- Step 4  go to step 2 based on a criterion: single machine group or predetermined number

of machine groups

ROUGH DECISION OF A MANUFACTURING CELLS

After the identification of product families and machine group, the cells design can be based on
the same approach used for the job shop:
- Calculate the number of machines of type I necessary in the cell (yearly workload, number
of hour available for each machine and finally the number of machine for the cell)
- Evaluate the number of shift for day, computing the yearly cost adopting one, two or three
shift for day

VIRTUAL CELLULAR MANUFACTURING (VMC)

VMC are an alternative to traditional manufacturing cells, with the purpose to be more responsive
with production mix variability. The machines that belong to a cell are not physically located
together, but are identified as a group only by the production planning and control system.

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Real plant

Virtual cells

Virtual cells can achieve the benefits of repetitive processes without the layout rearrangement of a
job shop. In this way, with a change in the production mix, I can rearrange the cells, creating new
routes, without modifying the production plant.

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TRANSFER LINE

GENERAL FEATURE

Consists in a series of machines, which produce a single product or a limited number of products.
The resulting flow is a rigid route through these series of machines.

The material handling is parallel to the flow of the parts. I prepare the line for the production of a
specific product, and the line will produce this kind of product without stopping (set ups ave very
rare) for weeks.
We can have two different types of movement:
1. Asynchronous
2. Synchronous

 The asynchronous is a system in which the production time of different machines that
belong to the same line are different. In this case, I need buffer between the machines 8in
particular, if the previous machine is faster than the following one). There is no
simultaneous movement. The buffer could be the space between the two machines.

 The synchronous type means that all the operations in the machines are making without
stopping the production, because we have simultaneous movement of the parts (no
machine have to wait the previous machine finish its work). The material handling system is
intermittent, so it is activate every AT regularly, passing the part from machine number n to
machine number n+1.

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Transfer line can also be distinguished in single model (the line is dedicated only to one product) or
multi model (can make for some time the product A and after a set up the product B). it is a rare
case but there are also mixed model, that means that the line can make different product without
any set up (it recognise the type of products, and it can makes different work). Obviously the
products that pass on a line have to be very similar.

STRENGHTS

- SIMPLE PRODUCTION MANAGEMENT  we do not have space for decision making,

because the routes are fixed. To calculate the batch size of the product j, I have to divide
the total annual demand for the optimum number of stops (that depend on a cost’s trade
off). Once decided the batch size, I have to decide only batch sequence, depending on the
set-up time, if I have two or more products.

- HIGH MACHINE UTILISATION  when I design the system, every machine I buy is placed in
a transfer line and are utilised for the production of a specific part. When I produce a
certain product, I always use those types of machine I planned. Because of the stability of
the demand, the production will be stable for a long time.

- LOW SPACE OCCUPIED  transfer line is a compact system (more and more for
synchronous line)

- LOW WIP

- LOW LEAD TIME

- LOW NEED FOR WORKFORCE  there are few tasks for the workforce (the line is
automated), like supervising, complementary to the transport system

- QUALITATIVE CHARACTERISTICS OF PRODUCTS ARE STABLE  quick identification of

problems

WEAKNESS

- LOW FLEXIBILITY  in terms of:

 Mix flexibility
 Expansion flexibility
 Product flexibility

- HIGH INVESTMENT ARE NEEDED  high fixed costs

- LONG TIME REQUIRED TO START NEW PRODUCTIONS

- HIGH RISK OF OBSOLESCENCE  if the lifetime of a product is ended, also the lifetime of
the line is over (maybe not for the machines)

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- SIGNIFICANT IMPACT OF FAILURES  the failure of only one single device in the line
affects the entire line. We can protect the line from unexpected stops by using buffers
between different machines (buffer can absorb the failure of single devices). I can also put
more machines of one type in parallel in the line (redundancy)

TRANSFER LINES

• A transfer line consists of a (group) series of machines: parts / products (limited number of
product types within the family) flow through this series of machines, from outside the
system/line to the first machine, then to the second machine, and so forth until the last
machine, after which they exit the system / line.

• (Routing through the machines) we can talk of a product layout, as expression of the fact
that the transfer line is constituted by a series of machines resembling the operations
sequences required by the single type of product, or the limited variants of products
within the product family  grouping machines according to the processing requirements
of a single product type (of few variants/few product types).

• The series of machines is physically adjacent (within the transfer line, integrated with the
material handling system). Overall, all the machines are then visited sequentially by the
work-pieces, processed by the transfer line according to the process plans of product type.

• Parts / products are moved as a single piece or in small transfer lots correspondent to the
number of work-pieces fixed on fixtures / work-holding devices used in the line. To this end,
the series of machines is integrated with a common material handling system which
moves parts through the transfer line, e.g. a conveyor belt > the movements of product
items / work-pieces are constrained by the rigid interconnection due to the material
handling system, and they are intermittent and synchronous (in case of synchronous
transfer line) or asynchronous (in case there is the presence of inter-operational buffers
b/w one machine and the adjacent one along the series of machines).

STRENGHTS
- Simple production management
- System dedicated and design to be full used  high machine utilisation, high saturation
- Low space occupied  it is true that if you have dedicated resource you do not need space
around
- Low lead time and therefore reduce the amount of the work in progress (WIP)
- Low need for workforce  less person with less skills, a part the person for the control of
the system
- Qualitative characteristics of products are stable  the number of good product produced
in amount of time should be higher  we do not expect problem.

Other strength is the low need of workforce:

• as said, the system design adopts high automation, in order to support high volumes each
year (i.e. high production rates) of few products;

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• the tasks of operators / workers are then limited to control activities (control that the line
is working / good functioning) and, when there is no specific automated system to this end,
to load / unload activities (of materials to / from the line).

Other strength is the stability of quality characteristics of products:

• no alternative technological routings is used > all the workpieces are processed by the
same machines, thus avoiding differences due to the usage of different machines
(differing for technological capabilities or precision level);
• as the WIP is low, a quick discovery of deviations from quality standards and feedback –
with few workpieces after deviations – is possible > subsequent capability to maintain the
stability of quality characteristics (i.e. stop soon when there is a deviation).

WEAKNESSES
- Low flexibility  dedicated resources
- High investment needed  result of specific market players
- Long time required to start new productions  at the beginning you need to adjust
parameters huge amount of time to define them
- High risk of obsolescence  “getting older”  we have invested in some machine that can
be older compared with the technological progress (we have production system that cost a
lot that can be result older because of the technological progress)
- Significant impact of failures  breakdown can have an huge impact on the availability of
the system.

The main weaknesses are enlisted in the remainder.

• First of all, a transfer line has a low flexibility  there are weaknesses in many flexibilty
dimensions.
i) A transfer line is designed to produce a limited set of product types (within the family) or
only one product type + a transfer line is designed to produce batches of the same product
types at a given period of time (multi-model)  any how limited mix flexibility;
ii) the introduction of new product types is constrained  it is possible if the new product
types share the same technological routing of existent product types within the family,
for which the line is designed (and for which the interconnected handling has been
defined); moreover, differently from the job-shop, each trial production / pre-series has
high impact on the line, as the line has to be totally dedicated to trial production during a
given time period, so stopped from the normal production  limited product flexibility;
iii) the introduction of new machines requires a reconfiguration and rebalancing of the whole
system / line  limited expansion flexibility;
iv) due to the high required investment, this type of system is usually built to work on more
production shifts / high number of production shifts per week > hence, a small demand
variation can be absorbed by using remaining shifts or overtime; higher demand
variations – especially with dedicated / specialized machines - could be challenging,
because of the needs to reconfigure / rebalance the line with the introduction of an
additional machine  limited volume flexibility.

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Other weaknesses:
• High investment needed > due to the needs to introduce high automation for workstations
and material handling system, in order to fully exploit potentials (i.e. for mass
manufacturing) > high level of fixed costs;
• Long time required to start new productions >>> new productions requires time for the
changes required in machines, material handling system, automation system > time to
reconfigure / rebalance the line;
• High risk of obsolescence > the line is designed for / dedicated to a limited set of product
types > facility lifetime is strictly related to products’ lifetime, that is: if products are their
end of life, and they are not replaced by similar product types (within the family, using the
same technological routing), the line becomes obsolete > overall, machines can be reused
if they are general purpose, machining centres, while the line has become obsolete, and
there is necessarily a transient period to reconfigure / rebalance the line for new
productions (see back previous point);
• Significant impact of failures > considering the series logic of equipment (machines /
material handling system) within the line, the impact of a long machine downtime leads to
line downtime; solutions used to mitigate the impacts of equipment downtime are the
followings: i) buffers b/w workstations, but – due to their (small size) – these are used to
limit the effects of limited process variability (e.g. micro-stoppages, for ex. a tool
breaking); ii) the installation of redundant machines > when there is a machine breakdown
the other machines have still the capacity to produce the demanded production (but this
has normally high costs, except in the case that the redundant workstation is featuring a
low automation); iii) parallel machines whose nominal capacity is enough to produce the
demanded production, while is partially enough in case of a machine breakdown (i.e.
production capacity reduction).

About transfer lines there is many comparisons that are possible to do with the cells  on average
rough design but more detailers  these two activities are called in two ways:
- Rough design of a transfer lines
- Machine identification and line balancing

Initial considerations for design of transfer lines  you are taking investment that will have an
impact on the return on investment of your company
- With respect to previous industrial configuration data are no more deterministic
- Two different cases  mono-product or multi-product

Rough design of a transfer lines (single-model):

1. We need to know how the product should be produced  define the technological routing
and operations of the product type  information that should came from who is closed to
the product

2. We need the expertise of the suppliers proposing solutions  identify all the machine
types that are needed and balance the line on the given cycle time (CT)

3. Calculate the theoretical production capacity  TPC = 3600 / CT [p/h]  you need to
have an idea of the capacity that your plant is able to deliver  capacity is a matter of the

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amount of product produced in amount of time  the total capacity of a system is based
on how fast is the system  this rate is called production or throughput rate  the
theoretical production capacity will be given by the amount of time that single piece is
taken  CT = cycle time = time that is needed for having a cycle of the lines = time that is
given for producing one product  normally measured in second/piece  it is a decision
that should be taken by the company and the suppliers that is providing the machines.
What we are asking to our supplier must be able to satisfy the demand  we need to
check that the system is able to satisfy the capacity needed to the required demand.

4. Calculate the actual production capacity  APC = TPC * A * (1 – SR) [p/h]  the actual
production capacity of that machine that I’m buying will be based on the design but we will
have different problems: creating some scraps(if we have a machine that could create
scraps, we have to produce more products), availability means that the system can have
problems.

5. Compare the actual production capacity and the demand  if necessary modify the line
and go back to step 2  strategic decision that can be taken in a rough design.

Machine identification and line balancing  we are now one of the members of the working
team for proposing and delivering solutions to a company  which are the step to be done:

1. Define operations and their sequence  we should know the step of the production  we
are referring to the minimum specific activity that should be done by a machine to
operations or tasks  this task should happen according to the production process that is
defined by a list of operations  we talk about the sequence of the operations or tasks 
so we should have the starting information that usually are given.

2. Get the required cycle time (TC)  it means that we have to design a line fulfilling and
balancing the cycle time  this will be a number so a design variable  normally this is
given  it is in some way a strategic decision  it is a starting point.

3. Compute the theoretical minimum number of workstations  calculate how many

resources we need in theory (how many resources means how many workstations) 
inside 1 workstation we can have one or more operations  each minimum unit of working
can be done in one workstation

4. Allocate the operations to the workstations  main design activity

5. Balance the line and compute the efficiency of the solution  we are dealing with a system
with more resources putting in line so we have to balance the resources  we can have a
bottleneck that block all the rest resources, so the system is not well balance  we have to
change the disposition of the machine or changing the assignment of the operations for a
better work of the system the typical way of doing it’s to calculate the efficiency of the
line

6. Assignment of personnel (if any)

For number 4,5 we can follow different methods.

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Define the machines and their sequence  logic unit based on two elements: it should happen in
a certain time and according to a specific sequence  a sequence can be defined and represent in
a precedence diagram

We can imagine that each box is a set of minimum activity, we know the time of each activity
(0,1min, 0,7…) we can say that group of activity in total represent an amount of work  there is a
total work content that is the sum of the different operations time  we need 2,5 minutes to do
each 5 operations  this time is
deterministic  but it is not always
true  we have several ways to
describe the list of operations and their
sequence precedence diagram,
precedence table, Hoffmann’s matrix.

Get the required cycle time (TC)  the cycle time physically means the time in which the line is
doing a cycle  measured in time/unit  it is a starting point  can be improved (most of the
time reduced) but we cannot start design a line if we don’t know the cycle time  usually it is
given by the market  how we should be fast?  we have decided for examples to work 8 hours
per day, so 480 minutes per day, we are able to produce 480 units per day so the cycle time is
equal to 480 minutes/ day / 480 units/day = 1 minute/unit

Cycle time of a system = longest processing time in a workstation  we will design system in
which we will have 5 workstations each of them with a cycle time assigned of 1 minute with the
different activities  every minute there is a moving material from one station to the other one 
so every minute we will have a product that goes out form the system
At the end of the day some working stations are less use than the other  for examples for the
machines 1 the time is 0,1 min so for the 90% of the time the machine do not work  it is not an
efficiency way of working

so instead of having one working station for operations we can have one machines that do all the
5 operations  with 1 working station that operate all the 5 tasks the cycle time change in 2,5
minutes  in this case the cycle time of a system= total processing time of tasks.

Minimum number of working stations  calculate the total work content and the cycle time we
can calculate the minimum number of workstations for our system.

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we have assigned operation 1 and 2 to the workstation1 , 3 operation to the workstation 2 and the
other to the workstation 3  in this case we can respect the cycle time of 1 minute/unit and we
have a better use of the workstations. To measure the level of saturation we have to divided the
sum of the processing time divided the cycle time.

Allocate the operations to workstations  the allocation is done starting from the list of
operations that should be done and allocated the work
content to the available station  we do this activity step
by step  we use an algorithm  we check if the time
we have assigned compared to the cycle time is fine or
not  the cycle time is also called the station time
This activity should be done trying to use better the resources that we have and try to make the
production flow running properly  the idea is to have a production system in which the
production flow is quite constant

Line balancing  ideally the line balancing would like to have a single queue  we have the
product that should be produced following a list of operations identifying by letter  these
operations should be assigned to the workstations  the operation time of each operation is
equal to 1 minute  we have 3 possible solutions of the line:

1. 12 operations divided in 4 stations, we have fixed a cycle time of 4 minutes  only the first
station will be full used while the other 3 workstations are used partially  with this design
we will have a production capacity equal to 15 p/h

2. 12 operations in 4 stations  we have to reduce the cycle time (3 minutes)  all the
stations are full used  production capacity in this case is equal to 20 p/h  we do not
have a bottlenecks  every workstation is working with the same amount of work of the
previous and the next

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3. 12 operations divided in 3 stations  cycle time is 4 minutes  all the stations are full used
 the production capacity is equal to 15 p/h

the best solutions depends  the difference is in terms of installation costs (second solutions
needs one machines more, the third one machine less  between the two there is a different in
the installation cost)  the other cost to be consider is the inefficiency cost (the second solutions
have an higher production capacity while the third a lower)  we will be asked to design the line
taking into account also the cost in our decision.

Line balancing  parallel stations  letter are operations while the number are the processing
time for each single operation  the total work content
is just to sum the different time of the operations  in
this case the total work content is equal to 15 minutes 
other starting data us the cycle time that is given (it is a
strategic decision).

We can put stations in parallel  we are adding another resources parallel  it is a dynamic
system  we will have two resources instead of one  It is a matter of line balancing  we can
balance a line with this kind of dynamism.

Objectives of line balancing and assigning tasks to workstations:

- minimizing number of workstations
- reduce the cycle time  way for increasing the capacity
- maximizing efficiency
- minimizing production costs
- maximizing profits

looking of this objective we can define different solutions. The minimum way to define if the line is
design properly is the concept of efficiency.

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Assignment of personnel  one of the main issues in designing system is how the workforce will
work

Models for balancing a line

- linear programming (optimal)  in theory is giving us an optimal solution
- maximum fixed utilisation rate (heuristic)
 simple method without priority rules
 with local priority
 with global priority rules

different approaches using the same rules can be used:

- task oriented
- station oriented

one example of linear programming models based on one single definition of cost coefficient. I
should assign work to each single operation till a certain level of utilisation (utilisation rate) that
can be in theory 100% but in realty less (it will be given in the exercise).

Ranked positional weighting  creating an indicator: priority weight index

To each generic operation/task i it is associated a priority (or positional weight, PW(i)).
Such priority depends on the time required to perform the operation/task i and the sum of the
times required to perform each task which requires, directly or indirectly, the previous execution
of the task i.
- ti = time required to execute the operation/task i
- S(i) = set of operations/tasks which requires, directly or indirectly, the previous execution of
the operation/task i.

The basic logic of this heuristic methodology is to give higher priority to tasks followed by higher
numbers of tasks. Such attribution allows to:
 respect precedence constraints;
 set “free” a greater number of branches of the assembly graph (i.e. executing first tasks
which take precedence over the other activities, in the following stations it will be granted
greater freedom in choosing between the remaining tasks).

This procedure consists of 2 steps:

STEP 1. Task ordering
1) For all tasks i, compute the positional weight PW(i)
PW(i) is the positional weight of the task i. It is calculated following the assembly graph.
The times required to perform the operations/tasks and precedence constraints are taken from
the assembly graph.
1) Rank tasks by non-increasing PW (thus ranking the PW(i) in non ascendant order.)

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STEP 2 .Task assignment

In the order defined in step 1, tasks are allocated to the first possible station, respecting:
• the cycle time (or the maximum achievable saturation/utilization);
• precedence constraints;
• other constraints.

DESIGN OF ASSEMBLY SYSTEMS

Three main type of assembly systems:

1. Fixed position
2. Assembly shop/cell
3. Assembly line

This map is useful since you can see 4 main performances to define the different type of assembly
systems:
- Flexibility  in term of order operation  high in fixed position while is low in assembly
line
- Variety  how many different products they produce  high in fixed position
- Volume  high in assembly line
- Repetitiveness  repeating a task  high in assembly line while is low in the fixed position

In fabrication we produce somethings and we can’t go back to the components while in the
assembly system we can go back to the components of the product realized. In assembly activities
we need resources like person.

Different type of assembly archetypes  to do an assembly we can work in different ways 

dealing with assembly we have to consider other elements  we have to comprehend the general
features  assembly system can be designed in different way according to how many components
they are able to assembly:

- Single model  assembly only one

type of product
- Multi models  assembly different
type of products but batch by
batch

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- Mixed models  product that are assembly along the system independent
SINGLE MODEL  establish one assembly line for each product  sustainable for high volumes
and stability of product demand.
PROS  low management issues
CONS  low flexibility

MULTI MODEL  more products are assembled on the same system  batch production
- Set up time are relevant to substitute the components to be assembled
- Cycle time (CT) and number of workstations depend on the product to be assembled
- Need of good balancing and scheduling of all the products to be assembled on the same
line (trade-off)
- High inventory of finished product (demand is not precisely satisfied)

MIXED MODEL With the respect to a single model line, more products are assembled in the
same line  with respect to multi-model the production batch size is equal to one (thus need for
reducing setup time), they are implemented with continuous and un-paced line.
PRO  opportunity to follow the demand
CONS 
- Need to reduce setup time
- Need to properly schedule the products to be assembled
- Difficult to manage component flows
- Difficult to manage parallel workstations

Assembly systems are systems which join together components (coming from systems making the
parts production or subassemblies) in order to obtain finished products.
Manual assembly systems are composed of several stations in which one or more workers
executes assembly activities. Stations are linked through a handling system (or transfer system).

MAIN RESOURCE: in manual assembly system the main resource is the workforce.
• ADVANTAGE of depending on operator’s activities: this kind of systems can be properly
defined flexible (it is a matter of necessary skills for making a range of operations ->
versatility of the workers -> resources embracing a variety of skills, ability to handle
multiple assignments/different operations)
• DISADVANTAGE of depending on operator’s activities: variability of the manual assembly
time (which determines challenges in the balancing and sequencing problem).

CONFIGURATION:
• Fixed position assembly: the product does not move while being assembled, the required
components are brought to the working station. All the assembly activities are executed in
only one workstation. For this reason this solution is typically applied to heavy and bulky
products (difficult to handle), e.g. machine tools, ships, airplanes.

CRITICAL POINT: material handling systems are different and for different reasons -> should be
taken carefully into account when designing an assembly system:
i) Material handling systems for material feeding (moving parts/components to be supplied;
note the challenge: trend to have more and more part numbers for producing diversity of
product variants in a product family -> trend to variety);

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ii) Material handling systems for moving the assembly (product) on progress (again there is
some effect of variety but more on the line balancing and sequencing problem).

SHORT INTRO OF OTHER CONFIGURATION

• Assembly shop: the product has to be moved through the different manual assembly
workstations. Indeed, there is no rigid transport system, every product could have its
specific flow through the workstations. The transfer could be manual or using AGV. The
workstations are assigned a subset of all the operations of the assembly process.

• Assembly line: the workers are stationary in the workstations and a transfer system moves
the semi-finished assembly through the workstations where the parts / components are
added in sequence until the final assembly is realized. The workstations are assigned a
subset of all the operations of the assembly process. The transfer can be:
• synchronous (absence of buffers between workstations),
• asynchronous (buffers between workstations) or
• continuous (operators move together with the assembly and at the same time they
work on it or, similarly, the assembly is moving along the station and the operators
are concurrently carrying out the assigned operations).

Some definitions applied to assembly, in order to classify the different configurations:

Variety:
• Variety of the assemblies (product types, variants within families) and, as induced effects,
of assembly operations executed inside the work-stations of assembly systems.
Repetitiveness:
• Repetitiveness of the assembly operations executed by / tasks assigned to the operators
inside the work-stations of the assembly systems (as opposite to the variety).
Flexibility:
• the ability to change or react with little penalty in time, effort, cost or performance (e.g.
quality)  the ability of the assembly system to adapt, with low costs and times and
penalties, to changes in the external or external context; Cost, times… etc. are both due to
the assembly process as well as to the material feeding.
Volume:
• the ability of the assembly system to assemble a given range of volumes of assemblies (as
opposite to flexibility …)

Clearly in this scheme the fixed position assembly is located in the upper corner, to the right:
depending just on the workforce skills, this system can guarantee:
• high flexibility (the ability to adapt is gained by training the operators which are -by
definition- the most versatile existing resource)  operators in this system are highly skilled
/ multi-skilled;
• high variety and low repetitiveness  substantially,the operator has to execute all the
assembly activities required by the product; or at least a big portion of activities along the
assembly process;
• low volume as the high variety (low repetitiveness) of the executed activities brings to
lower efficiencies for different reasons.

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First activities  chair Alrik  typical instruction that Ikea providing to the non-expert person 
list the activities to do for this product:
We are creating subcomponent (sub assembly)  first element on which we assemble the other
components  it is not the only way of doing to create this assembly  there can be different
order for some activities  in assembly can happen that fort he same assembly system we can
have different assembly diagram (4 is not needing the other activities to be done)  instead for
doing 5 we need both the activity 3 and 4 done  6 is working on other sub assembly it can be
done in parallel  operation 7 need 5 done
Precedence diagram:

1 2 3
5 7 8
4
6

we have to assembly just one chair for our bedroom  we usually do it form ourselves but if we
have to assembly a lot of chair for example in short time probably you will not work chair by chair
but subsystem by subsystem, and you will do it with somebody to have an help (you will increase
the number of resources person to assembly the chair  you will divide the work among the
person components by components  this is exactly what happened in company  if the number
of pieces increasing you will find other resources to divide the work.

The list of components that are needed is called bill of materials  we will have the bill for
materials but also the bill of resources that are needed for the activities
ALEX  precedence diagram: (from 10 to 13 are installation activities)  the two groups of
activities are the same but on different components

1 2 3 5 6 7 8 9 10 11 12 13
4 24
14 15 16 17 18
19 20 21 22 23

is a typical system in which there is also a installation part  we have 3 main subsystems: the
frame, and two types of boxes  there are executed in the same order, we have to do the same
list of activities.
If we have to assemble one product we can decide to do it with 2 friends and divided among us the
3 subsystems (fixed position) but if we have to produce a higher number of products we can decide
again to divide the work  it is possible to divide the work putting person in line dividing the work
by products.

How we can a manage an order of boxes? We can manage this assembly in the so called multi
model approach  I will do first the boxes of the first type, then a minimal set up I will do the
other type of boxes or if it is possible we can do one box of type 1, one box of type 2  different
production assembly system that can be used for produce the product  we can have different
solutions. Assembly is a different context from what we have seen so far. It is more flexible because
it is based on person  assembly was the first context originally studied by industrial engineer.

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NORMAL distribution is a good way to describe the activities of humans  in our design approach
we have to take care of this aspects  we are in charge to define the assembly graph and the
assembly different solution starting from the product we need to realize.
For use an assembly cycle table is the starting point.

Assembly system can be defined according to the reciprocal

movement  there is a person that is putting together some
components following some instruction. Another type of
reciprocal movements is assembly-components. The different
type of assembly system we can have components and move
the assembly towards them typically in assembly shop or we can
have components that are all of them brought in one single
space context in which is building the staff (fixed approach)
When we have to design an assembly system we have to start
the assembly cycle and we have to take decision on how to
move components and assembly. In the real life we can have a
mix of solutions. This type of design decision should be taken
the process engineer.

For designing assembly system we need to know the structure (assembly cycle table) and the
assembly time  this type of information are needed at the beginning  how we can calculate
and define this time?  we can have person and they can try the activities  experience based
approach.
a more scientific way  we can use the learning curve or calculate the needed time having a
specific analysis on what the single person has to do  this activity is normally called work
sampling  for collecting data for the firm observing and keeping the time of the person and
elaborating after several analysis standard reference time.

In determined the assembly times of manual

assembly, it must be considered the so-called
“learning curve” that affects the work due to
the operator’s learning effect. In fact the
assembly time for a given activity decreases
with the number of repetitions of the activity
itself, tending towards an asymptote after
some time (normally the steady state time is
less than half of the initial time)

Other methods had been invented  other scientific methods are invented  methods to
calculate assembly times:
- Work sampling  it consists in the observation of specific assembly operations and in the
calculation of the average duration and standard deviation (Mk, Sk) of each operation using
the standard statistical approaches. The method requires to create a sample of each

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operation’s duration by registering the assembly time of the repetition of the same
operation. To provide reliable data, it is required to have a meaningful sample size.
A drawback of the method is that it requires the availability of a real assembly station.

- Standard times  are called the data on elementary assembly operations calculated with
the work sampling method in a company and stored in the company data-base. This way a
data-base is made available with data related to basic assembly operations.
Therefore if real data of elementary operations have been correctly collected and
transformed in standard times, the duration and standard deviation of a new assembly
operation can be calculated by composition of the standard times of the available
elementary operations data.

- MTM  motion time measurement  is based on the assumption that, based on an

archive of elementary operation data it is possible to compose any complex operation and
calculate its average duration and standard deviation. Nowadays the use of CAD computer
programs makes this approach much more easy and precise then in the past.
CAD computer programs allow to model any movement of the operator and his interaction
with the equipment  after that automatically the computer program can generate the
exact sequence of the various elementary operations and pick up corresponding data from
MTM tables, thus calculating the final values of Mk and Sk.

MTM is the most commonly method used.

FIXED POSITION ASSEMBLY

Description of this type of system

Every workstation (i.e. the manual station) could be modeled as a unique block, physically
correspondent to a single site (as space in the shop floor) for which:

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• the input are the various necessary components to be assembled (all those required by the
BOM);
• inside the system, such components are assembled together; all the tools and equipment
required to assemble the components must be there (in the site);
• the output is the unique finished product.
Every workstation is involved in the assembly of a different types of product (in the example 2
workstations assembly the product A, the other twos assembly the product B and the product C,
respectively -> mix flexibility is reached thanks to the parallel stations prepared for different
product types, i.e. equipped with proper materials/components, tools,… , and trained workers).
Characteristics of products typically assembled by this type of system
Generally speaking, this kind of system is chosen to assemble:
• Heavy and bulky machines (machine tools, turbines, aeroplanes) which require the
assembly of big amounts of parts; this leads, at the end, to build an heavy and bulky
product.
• Such products are generally required in small quantities (aereoplanes, aero
engines). Since these products are generally required in small quantities, the
building of an assembly line dedicated – costing for its structure (i.e. capital
expenditures e.g. for a fixed material handling system) – for them wouldn’t be
economically justified and strategically justified (i.e. low volumes calls for flexible
solutions -> flexibility).
• The big size (physical volume/dimension) and the heaviness (weight) of the
machines justify the choice of this kind of system, since all the assembly operations
are made in a single site, thus they do not require to move such a bulky product
from the site (which would be of course a challenge).
• Simple products/objects required in medium quantities and requiring few parts to be
assembled (small toys or subassemblies of more complex products).
• The limited range of necessary components doesn’t justify the splitting of the
workload in more workstations, while the moderate volumes required doesn’t
justify the building of an assembly line -> again, an economic convenience but also
some practical matter in the work organization -> few tasks are assigned to the
same operator in the case of fixed assembly system.
• Fragile products, difficult to handle because movements could create scraps (e.g. hi-fi
system).
System characteristics and criticalities:
• All the components must flow to the single site – depending on the scheduled products
(normally mixed models or multi models …); this creates a complex flow in managing the
input of components to each site (i.e. complex logistics management in the factory to feed
the components).
• Work-force assignment: in a workstation, depending on the complexity of product, one or
more operators could work; therefore, each operator executes the entire product assembly
cycle or a significant part of it -> required multi-skilled workers; as the assembly process is
divided in few operators, the cycle time is by definition long.

Physical structure and organization of the single site:

• components are stocked around the site (challenge: need for room/space to place
components);
• assembly equipment and tools are placed around the working position where the product
to be assembled is positioned (need for room/space to place …);

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• the product is
placed in the central
area of the
workstation
(working position).
• in the case
of heavy and
bulky
products,
they are
located on
the ground /
floor in a
delimited
zone;
• conversely,
small
products are
placed on a worktable / assembly work bench.
• the operator works on the product while standing and moving in the surrounding area.

NOTE: the space required depends on the kind of product to be assembled, the number of parts to
be assembled and their characteristics (amount and size), the number of tools/equipment ….
It is important to design the workstation following the ergonomic principles. For instance:
• locate materials and components in way that ease operator movements so to be efficient
and to be safe;
• provide the equipment onto adjustable bases to adapt their height to workers
characteristics;
• etc. …
Whether standalone work benches or interlinked workstations in assembly lines, the structure is
similar, but of course the space requirement are different (depending on the operations required
in the workstation).

FIXED POSITION ASSEMBLY – STRENGHTS

- High flexibility
- Low investments  you need less resources to do the work
- Job enlargements, enrichment and rotation for the employee  the person that are
working there have normally more responsibilities. Each single operator is a resource  all
the operator are able to do most of the work  the job rotation is a management way of
doing for giving the possibility to everybody to have a proper assembly learning. Most of
the effort in the company is involved in discussing these issues (level of job enlargement,
enrichment and rotation)  to find the agreement.
Person that working in assembly line compared to the person that working in a fixed
position  in this case the person normally have more experience.

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High flexibility
• Mix flexibility: (short period) it is possible to assemble different types of product in the
same time, meeting specific and periodically changing demand requirements (i.e. high
variety in the same time, different variety at different times).
• This is due to the independence and the decoupling of the workstations (in a given
period, if you need to assemble more products of type X, it will be sufficient to
dedicate / prepare more workstations to that type of product) -> of course workers
should be trained to change….
• Product flexibility: to introduce a new product, operators just need to be trained to
acquire the new required skills for new types of product, while the physical structure can
remain substantially the same (new product being close to characteristics of existent
products -> normally few simple tools / equipment are required even with changed
products -> it is quick to start with new production of new product types / prepare the
workstation to this end).
• Expansion flexibility: (long period) it is not difficult to add new workstations, thanks to
their independence/decoupling, the only constraint is room/space.
Low investment
• it is, of course, due to the system simplicity -> the building of new workstations doesn’t
require particular structures; of course expansion flexibility may be possible (if there is
room/space for this):
• the investment value may be increasing if some necessary equipment are
expensive;
• in this case, it is advisable to buy a limited number of equipment and, through a
correct scheduling, make them available to the different workstations whenever
they are required (obviously, this solution would make the logistics management
more complex and lead to some “interference time”)
Job enlargement, enrichment and rotation for the employee
• Every operator executes the entire product assembly process (case of simple products), or
a significant part of it (case of bulky products).
• The workload is not split between the various workstations (as in the case of the assembly
line) and this means more gratification for the operator:
• high number of different operations / tasks assigned to the station/operator -> low
repetitiveness of tasks -> more gratification;
• Job enlargement (more, different tasks along the assembly process), enrichment
(other types tasks than only assembly, quality ctrl, test, repair, packaging, feeding),
rotation (in case of heavy and bulky machines, forms of job rotation can be
actuated within the groups of workers assigned to the station).

FIXED POSITION ASSEMBLY – WEAKNESSES

Potentials for intertwining of material flows

• Every necessary material/component has to be brought to every workstation + every
finished product has to be handled from every workstation. Such issues creates problems

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relating to internal, intertwined flows. The problem will be more relevant with the increase
of workstations number.
• Conversely in assembly lines, the material flow is extremely rationale -> every single
workstation along the line is fed with just its pertinent components; then the finished
product is taken from just one specific point (the end point of the line), instead of every
single workstation.
• For this reason, in fixed position assembly, a logistics management of flows is challenged by
many issues, and inefficiencies are existent, due to such a complexity on the floor, having
different I/O points, the site of the materials, possibly with different requirements, i.e.
multi/mixed model assembly).
High WIP
• Cycle times are high at each workstation -> subsequently, one or more pallets of
components (as input) are kept for a long time as WIP; besides, also the finished products
(as output) are normally not delivered immediately after the end of the operations (still a
WIP then) waiting for some time before the material handling (i.e. complexity in logistics)
come to serve. Then, in buffers by the station, many components and finished products
may be stocked.
• On the contrary, in assembly line there is a natural and continuous flow of semi-finished
assembly and finished products, which leads to limited WIP along the line and finished
products being regularly delivered out of the line to the further logistics activities …
Large space requirement
• Clearly it is linked to the reason above: there is a need for room to place components and
finished products. Moreover, while an assembly line is a compact system, the fixed position
assembly requires additional room between different workstations to allow a safe material
handling.
Labor training might be difficult and time-consuming
• As a consequence of job enlargement, enrichment and rotation for the employees (as more
different operations are required within a significant variety of products), they do need
time to learn and be trained on how to execute their tasks.
High cost for workforce
• This is strictly related to the difficult and time consuming labor training (see the reason
above). Workforce will be highly qualified, well trained.

This way of doing have some weaknesses generally speaking the WEAKNESSES are:
- Potentials for intertwining of material floes
- High WIP
- Large space requirement  in fixed position is quite easier to move material in batches
- Labour training might be difficult and time-consuming
- High cost for workforce

ROUGH DESIGN OF A FIXED POSITION ASSEMBLY we have to decide how many fixed positions
installed.
The rough design of a fixed position assembly simply consists of determining the necessary
number of single sites/manual stations. Such number – referring to a piece of product type j – has
to be calculated starting from the knowledge of:
• the average (total) time required in order to complete the assembly process on a piece of
product type j;

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• the required production capacity for product type j.

The value of the requested production capacity has to take into account the value of the waste
which could be produced during the assembly process; generally the waste in manual assembly
acquires the meaning of rework/repair, typically for products of high value. It means that PCj
consists of the target demand and the losses of time (consider the scrap rate => rework rate due
to quality control,..).
Observing the formula: N j = PC j * T j
• If T j is very high, and PC j is low (case of airplane or in general heavy and bulky machines),
Nj is low.
• If T j is low and PC j is medium (case of toys or in general simple/small products), Nj may
increase but it is still low.

Remember that: PC j is generally NOT high because - otherwise – it wouldn’t be correct to build
up a fixed position assembly: actually if the number of stations increases, for ex., the
“intertwining of material flows issue” becomes excessively relevant, and in general, the strategy
should look for other solutions (i.e. lines) more oriented to the efficiency (eventually with some
flexibility).

ASSEMBLY SHOP

• Assembly systems are systems which join together components (coming from
manufacturing or subassembly systems) in order to obtain finished products.
• Manual assembly systems are composed of several stations in which one or more workers
executes assembly activities; stations are linked through a handling system (or transfer
system).
• Automated assembly systems are composed of several stations in which assembly
activities are automated. They can be rigid or flexible (robot). In rigid systems each
assembly machine can execute one or a few assembly activities; in flexible systems robots
can execute more assembly activities.
Automated assembly systems are less widespread than automated manufacturing systems
because the assembly is a complex process (it is difficult / costly to build automation solutions
which are able to replace man’s performances).

Assembly shop
• the product has to be moved through different manual/automated assembly
workstations;
• there is no rigid transport system, every product could have its specific flow through the
workstations (flexibility in routings due to flex material handling);
• the transfer could be manual, automated (using AGV, Automated Guided Vehicles) or semi-
automated;
• to each workstation (generally, more than one station in parallel) is assigned a phase of
the assembly process of the product;
• this system is useful and relies on the decoupling of stations to launch different
product types (some variations in the mix -> even with mixed-model production)
Some definitions applied to assembly:

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• Flexibility: ability of the assembly system to adapt, with low costs and times, to changes in
the external or external context.
• Variety: Variety of the assembly activities executed inside the system
• Volume: ability of the system to assemble a range of volumes of products (e.g. high or low
volume)
• Repetitiveness: repetitiveness of the tasks executed inside the system (it is the opposite of
variety)

In this scheme the assembly shop is located in the central area: it is an intermediate solution
between the other two solutions (fixed position assembly and assembly line).
• Thanks to the routing flexibility (owing to the absence of rigidity of the handling system),
the assembly shop system ensures a good degree of flexibility, enabling especially mix
and product flexibility.
• Mix flexibility: (short period) it is possible to assemble different types of product in
the same time, meeting specific and periodically changing demand requirements
(high variety in the same time); (besides the flexibility in material handling, during
the move phase) this is also linked to the independence and the decoupling of the
workstations;
• Product flexibility: to introduce a new product, operators just need to be trained to
acquire the new required skills, while the physical structure can remain the same.
• It is also ensured a good degree of variety and repetitiveness: each assembly phase (which
is assigned to each workstation) represents a good set of assembly tasks, which ensures the
low repetitiveness of the executed activities.

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