Process Design / Capacity Planning - week 6

4 basic strategies of process design

process focus; repetitive focus; product focus; mass customisation

process focus strategy

Bakery, hospital; facilities are organised around specific activities or processes, product flows may vary, making planning end scheduling a challenge; many inputs and high variety of outputs; Low FC, high VC; low volume, high variety

product focus

beer brewery; facilities organised by product; long continuous production runs enable efficient processes; high volume, low variety; high FC, low VC

repetitive focus

harley davidson; facilities organised as assembly lines, middle ground between product and process focus, modules can be combined for many output options

mass customisation

rapid low-cost production of goods, combines flexibility of a process focus with efficiency go a product focus; high volume, high variety, high FC, low VC

push-pull boundary

indicates the point in the production process after which production occurs only based upon customer demand; M-t-O earliest, A-t-O next, M-t-S last

capacity planning

long-range planning (add facilities, add long-lead time); intermediate-range planning (add personnel, subcontract, add equipment); Short-range planning (schedule jobs, schedule personnel)

matching capacity to demand

making staffing changes, adjusting equipment, improving processes to increase throughput, redesigning products to facilitate more throughput, adding process to meet changing product preferences, closing facilities