Question. 6)
Write short notes on:
a) Capacity Planning
b) Work Sampling
c) Line Balancing
d) Acceptance Sampling
e) Waste Management
Ans :
a)
Capacity Planning
The production system design planning considers
input requirements, conversion process and output. After considering the
forecast and long-term planning organization should undertake capacity
planning.
Capacity is defined as the ability to achieve, store
or produce. For an organization, capacity would be the ability of a
given system to produce output within the specific time period. In operations,
management capacity is referred as an amount of the input resources available
to produce relative output over period of time.
In general, terms capacity is referred as maximum
production capacity, which can be attained within a normal working schedule.
Capacity planning is essential to be determining
optimum utilization of resource and plays an important role decision-making
process, for example, extension of existing operations, modification to product
lines, starting new products, etc.
Strategic
Capacity Planning
A technique used to identify and measure overall
capacity of production is referred to as strategic capacity planning. Strategic
capacity planning is utilized for capital intensive resource like plant,
machinery, labor, etc.
Strategic capacity planning is essential as it helps
the organization in meeting the future requirements of the organization.
Planning ensures that operating cost are maintained at a minimum possible level
without affecting the quality. It ensures the organization remain competitive
and can achieve the long-term growth plan.
Capacity
Planning Classification
Capacity planning based on the timeline is
classified into three main categories long range, medium range and short range.
Long
Term Capacity: Long range capacity of an
organization is dependent on various other capacities like design capacity,
production capacity, sustainable capacity and effective capacity. Design
capacity is the maximum output possible as indicated by equipment manufacturer
under ideal working condition.
Production capacity is the maximum output possible
from equipment under normal working condition or day.
Sustainable capacity is the maximum production level
achievable in realistic work condition and considering normal machine
breakdown, maintenance, etc.
Effective capacity is the optimum production level
under pre-defined job and work-schedules, normal machine breakdown,
maintenance, etc.
Medium
Term Capacity: The strategic capacity
planning undertaken by organization for 2 to 3 years of a time frame is
referred to as medium term capacity planning.
Short
Term Capacity: The strategic planning
undertaken by organization for a daily weekly or quarterly time frame is
referred to as short term capacity planning.
Goal
of Capacity Planning
The ultimate goal of capacity planning is to meet
the current and future level of the requirement at a minimal wastage. The three
types of capacity planning based on goal are lead capacity planning, lag
strategy planning and match strategy planning.
Factors
Affecting Capacity Planning
Effective capacity planning is dependent upon
factors like production facility (layout, design, and location), product line
or matrix, production technology, human capital (job design, compensation),
operational structure (scheduling, quality assurance) and external structure (
policy, safety regulations)
Forecasting
v/s Capacity Planning
There would be a scenario where capacity planning
done on a basis of forecasting may not exactly match. For example, there could
be a scenario where demand is more than production capacity; in this situation,
a company needs to fulfill its requirement by buying from outside. If demand is
equal to production capacity; company is in a position to use its production
capacity to the fullest. If the demand is less than the production capacity,
company can choose to reduce the production or share it output with other
manufacturers.
b)
Work
sampling
Work sampling is a method of
finding the percentage occurrence of a certain activity
by statistical sampling and
random observations.In order to obtain a complete and
accurate picture of the
productive time and idle time of the machines in a specific
production area, it would be
necessary to observe continuously all the machines in that
area and to record when and
why any of the machines were stopped. It would of course be
quite impossible to do this
unless a large of workers spent the whole of their time on this
task alone – an unrealistic
proposition.
If it
were possible to note at a glance of every machine, it may be found that, 80%
of
machines are working and 20% were stopped. If this
action was repeated 20 or more times
at different times of the day and if each time the
proportion of machines working was
always 80%, it would be possible to say with
confidence that at any given time there were
always 80% of the machines working.
As it is
not generally possible to do this either, the next best method has to be
adopted;
that of making tours of the factory at random
intervals, noting which machines are working
and which are stopped, an noting the cause of each
stoppage. This data capturing method is
known as work sampling.
The
larger the size of the sample, the more accurate or representative it becomes
with
respect to the original “population”, or group of
items under consideration.
c)
Line
Balancing
Line
Balancing is leveling the workload across all processes in a cell or value
stream to remove bottlenecks and excess capacity. A constraint
slows the process down and results if waiting for downstream
operations and excess capacity results in waiting and absorption of fixed
costs.
Objective
Match the production rate after all wastes have been
removed to the takt time at each process of the value stream.
Here
is a simple definition and example of line balancing :
Everyone is doing the same amount of work
Doing the same amount of work to customer requirement
Variation is 'smoothed'
No one overburdened
No one waiting
Everyone working together in a BALANCED fashion
Here we see operator number 1 over-producing, thus creating the other 6 wastes.
Takt Time & Standard Work
Everyone is doing the same amount of work
Doing the same amount of work to customer requirement
Variation is 'smoothed'
No one overburdened
No one waiting
Everyone working together in a BALANCED fashion
Here we see operator number 1 over-producing, thus creating the other 6 wastes.
Takt Time & Standard Work
Whether you use Standard work combination tables, Standard work instruction sheets or any other Standard work documentation will depend upon the type of work involved
Standard Work instruction sheets provide a detailed description of HOW to do a particular step of a work operation
Takt time maximises the productivity due to:
· Easily managed processes
· Output of each process matches customer demand
Standard Operations provide:
· Capable and repeatable processes
· Process control at source
· Improves accuracy of planning
· Better adherence to plans
· A platform from which continuous improvement can be made
· Reduced costs
· Improved quality
· Basis for training
d)
Acceptance Sampling
Acceptance
sampling is an important field of statistical quality control that was
popularized by Dodge and Romig and originally
applied by the U.S. military to the testing
of bullets during World War II. If every bullet was
tested in advance, no bullets would be
left to ship. If, on the other hand, none were
tested, malfunctions might occur in the field of
battle, with potentially disastrous results.
Dodge
reasoned that a sample should be picked at random from the lot, and on the
basis
of information that was yielded by the sample, a
decision should be made regarding the
disposition of the lot. In general, the decision is
either to accept or reject the lot. This
process is called Lot Acceptance
Sampling or just Acceptance Sampling.
Acceptance sampling is "the middle of the
road" approach between no inspection and
100% inspection. There are two major classifications
of acceptance plans:
by attributes ("go,
no-go") and by variables. The attribute case is the most
common for
acceptance sampling, and will be assumed for the
rest of this section.
A point to remember is that the main purpose of
acceptance sampling is to decide whether
or not the lot is likely to be acceptable, not to
estimate the quality of the lot.
Acceptance sampling is employed when one or several
of the following hold:
- Testing is destructive
- The cost of 100% inspection is very high
- 100% inspection takes too long
It was pointed out by Harold Dodge in 1969 that
Acceptance Quality Control is not the
same as Acceptance Sampling. The latter depends on
specific sampling plans, which when
implemented indicate the conditions for acceptance
or rejection of the immediate lot that is
being inspected. The former may be implemented in
the form of an Acceptance Control
Chart. The control limits for the Acceptance Control
Chart are computed using the
specification limits and the standard deviation of
what is being monitored (see Ryan,
2000 for details).
In 1942, Dodge stated:
"....basically the "acceptance quality
control" system that was developed encompasses the
concept of protecting the consumer from getting
unacceptable defective product, and
encouraging the producer in the use of process
quality control by: varying the quantity and
severity of acceptance inspections in direct
relation to the importance of the characteristics
inspected, and in the inverse relation to the
goodness of the quality level as indication by
those inspections."
To reiterate the difference in these two approaches:
acceptance sampling plans are one-shot
deals, which essentially test short-run effects.
Quality control is of the long-run variety, and
is part of a well-designed system for lot
acceptance.
Schilling (1989) said:
"An individual sampling plan has much the
effect of a lone sniper, while the sampling plan
scheme can provide a fusillade in the battle for
quality improvement."
According to the ISO standard on acceptance control
charts (ISO 7966, 1993), an
acceptance control chart combines consideration of
control implications with elements of
acceptance sampling. It is an appropriate tool for
helping to make decisions with respect to
process acceptance. The difference between
acceptance sampling approaches and
acceptance control charts is the emphasis on process
acceptability rather than on product
disposition decisions.
e)
Waste Management
Waste management and handling of waste materials has seen
some dramatic changes over the past few decades. In years gone by we were all
dependent on landfills for disposal of most waste materials, including garbage,
discarded furniture and appliances, and even hazardous materials such as
batteries and items that contained mercury. The planet definitely needed some
sort of waste management system in order to remain healthy. Before it is too
late we all must learn to:
Reduce the amount of waste materials we need to dispose of
Recycle as much as we can as often as possible
Reuse as much as we possibly can
Recover as much as possible from waste by making it a source of energy
Incineration
Recycle as much as we can as often as possible
Reuse as much as we possibly can
Recover as much as possible from waste by making it a source of energy
Incineration
Incineration can remove waste and create an energy source at
the same time. Burning waste materials converts waste into flue gases,
particulates, incinerator bottom ash, and heat. This heat source can be used in
turn as a generator of electric power. Flue gases and particulates are filtered
free from pollutants before dispersed into the atmosphere. This form of waste
to energy technology is “a win win” situation.
While incinerators are found to reduce the amount of original waste by eighty to eighty five percent, compared to compression (in garbage trucks) which is ninety five to ninety six percent, there is less overall to dispose of because it has been burned up and not merely compressed. Ultimately incineration reduces the volume of waste that would otherwise go into the landfill by some seventy percent.
While incinerators are found to reduce the amount of original waste by eighty to eighty five percent, compared to compression (in garbage trucks) which is ninety five to ninety six percent, there is less overall to dispose of because it has been burned up and not merely compressed. Ultimately incineration reduces the volume of waste that would otherwise go into the landfill by some seventy percent.
Landfill
Waste disposal into a landfill (dump) entails burying the
waste materials and this is still commonly practiced throughout the world. Many
landfills were set up in previously unused or abandoned mines, quarries, or
pits that had already been dug. When properly managed, a landfill can be an
inexpensive and hygienic means of the disposal of waste materials. The majority
of the materials buried will eventually break down into gases and dissipate
into the atmosphere. Some gases may be pumped from landfills and burned in gas
engines, creating electricity. This is cause for concern now days however; as
there is concern the gases create greenhouse gas.
Recycling
Recycling
For the past several decades recycling has come into vogue
and is proving to be quite effective when practiced. The idea is to reuse as
many items as possible either in their original form or transforming them into
something equally useful. Paper products are a popular item to recycle and have
proven a most effective means of preserving trees. Plastics and glass are
effectively recycled, saving space at the local landfills. Oil used for cooking
and frying can be used for a fuel source in many vehicles.
Waste Avoidance
Waste Avoidance
Preventing waste materials from being created in abundance is
important as a form of waste management. Reuse of second hand items,
repairing instead of replacing with new, manufacturing longer lasting products
(cotton bags instead of plastic bags for groceries, etc.), designing items that
use less material (smaller, thinner). Less wastage created in food and food
handling materials. All can be utilized to achieve less waste of many
materials.
Composting (anaerobic digestion)
Many materials such as plant, food scraps, and various paper
products can successfully be recycled or even eliminated through composting. An
effective compost heap in ones back yard can be turned into mulch and feed for
plants and grasses. This biological form of waste management can even be useful
as an energy source when the gases (methane) are processed and used to generate
electricity. Composting speeds up the process of decomposition of the organic
matter.
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