1. PLANT LAYOUT
1.1. DEFINITION
1.1.1. IS THE ARRANGEMENT OF DEPARTMENTS AND EQUIPMENT IN A PLANT TO EFFICIENTLY PRODUCE A PRODUCT
1.1.1.1. WHEN?
1.1.1.1.1. WHEN THE COMPANY FIRST STARTS ITS BUSINESS OR WHEN IT IS MOVING TO ANEW LOCATION OR WHEN A COMPANYDECIDES TO PURCHASE NEW MACHINERY OR TO DEVELOP A NEW PRODUCT
1.1.1.2. WHY?
1.1.1.2.1. TO ENSURE A SMOOTHE FLOW OF WORK MATERIAL,PEOPLE AND INFORMATION
1.2. TYPE OF FACILITY LAYOUT
1.2.1. FIXED POSITION LAYOUT
1.2.1.1. USED IN LARGE CONSTRUCTION PROJECT
1.2.2. PROCESS LAYOUT
1.2.2.1. ARE USED PRIMARILY IN JOB SHOPS
1.2.3. PRODUCT LAYOUT
1.2.3.1. USED TO ACHIEVE A SMOOTH AND RAPID FLOW OF LARGE VOLUMES OF PRODUCT
1.3. FACTORS INFLUENCING THE DESIGN OF FACTORY LAYOUT
1.3.1. NATURE OF THE PRODUCT
1.3.2. FACTORY BUILDING
1.3.3. PRODUCTON PROCESS
1.3.4. TYPE OF MACHINERY
1.3.5. REPAIRS AND MAINTENANCE
1.3.6. HUMAN NEED
1.3.7. PLANT ENVIRONMENT
1.3.8. MANAGEMENT POLICIES
2. DEMAND FORECASTING
2.1. DEFINITION
2.1.1. FORECASTING
2.1.1.1. THE PROCESS OF PREDICTING THE FUTURE AND IS CRUCIAL TO ANY SUPLLIER, MANUFACTURER OR RETAILER
2.2. FORECASTING TECHNIQUES
2.2.1. QUALITATIVE APPROACHES
2.2.1.1. HIERARCHICAL METHOD
2.2.1.2. EXPERT OPINION
2.2.1.3. DELPHI METHOD
2.2.1.4. SURVEYS
2.2.2. QUANTITATIVE APPROACHES
2.2.2.1. MOVING AVERAGES
2.2.2.2. WEIGHTED MOVING AVERAGES
2.2.2.3. EXPONENTIAL SMOOTHING
2.2.2.4. LINEAR PROGRESSING
3. LINEAR PROGRAMMING
3.1. DEFINITION
3.1.1. A MATHEMATICAL APPROACH TO THE PROBLEM OF ALLOCATING LIMITED RESOURCES AMONG COMPETING ACTIVITIES IN AN OPTIMAL MANNER WHEN THE PROBLEM CAN BE EXPRESSED USING A LINEAR OBJECTIVE FUNCTION AND LINEAR INEQUALITY CONSTRAINS
3.2. CONSIST OF
3.2.1. A SET OF VARIABLES
3.2.2. A LINEAR OBJECTIVE FUNCTION
3.2.3. A SET OF LINEAR CONSTRAINTS
3.3. STEPS IN LP MODEL FORMULATION
3.3.1. DEFINE THE DECISION VARIABLES
3.3.2. FORMULATE THE OBJECTIVE FUNCTION
3.3.3. FORMULATE THE CONSTRAINT
3.3.4. THE NON-NEGATIVITY CONSTRAINTS
3.4. APPLICATIONS
3.4.1. SCHEDULING OF PERSONNEL
3.4.1.1. NUMBER OF EMPLOYEE PER SHIFT
3.4.2. INVENTORY CONTROL AND PRODUCTION PLANNING
3.4.2.1. HOW MANY ITEMS TO PRODUCE EACH TIME PERIOD SO AS TO SATISFY CUSTOMER DEMAND, STORAGE LIMITATION
3.4.3. BLENDING PROBLEMS
3.4.3.1. PETROLEUM PRODUCTS TO PRODUCE DIFFERENT GRADES OF GASOLINE
3.4.4. TRANSPORTATION
3.4.4.1. BEST ROUTE TO DELIVER GOODS
3.4.5. FOREST MANAGEMENT PLANNING
3.4.5.1. TIMBER ALLOCATION MODEL
4. PRODUCTION AND OPERATION MANAGEMENT CONCEPT
4.1. DEFINITION
4.1.1. MANAGEMENT
4.1.1.1. A DISTINCT PROCESS CONSISTING OF ACTIVITIES OF PLANNING, ORGANIZING, ACTUATING, AND CONTROLLING, PERFORMED TO DETERMINE AND ACHIEVED THE DESIRED OBJECTIVES
4.1.1.2. DEALS WITH THE ACHIEVEMENT OF SOMETHING SPECIFIC EXPRESSED AS OBJECTIVES OR GOAL
4.1.2. PRODUCTION
4.1.2.1. STEP-BY-STEP CONVERSION OF ONE FORM OF MATERIAL INTO ANOTHER FORM THROUGH CHEMICAL OR MECHANICAL PROCESS TO CREATE OR ENHANCE THE UTILITY OF THE PRODUCT TO THE USER
4.1.2.2. VALUE ADDITION PROCESS
4.1.3. OPERATION
4.1.3.1. REFERS TO THE DAILY ACTIONS/TASK/ACTIVITIES NECESSARY FOR THE PRODUCTION SYSTEM TO WORK
4.2. PRODUCTION SYSTEM
4.2.1. A SYSTEM WHOSE FUNCTION IS TO TRANSFORM AN INPUT INTO DESIRED OUTPUT BY MEANS OF A PROCESS (THE TRANSFORMATION PROCESS) AND RESOURCES.
4.2.2. ELEMENTS OF PRODUCTION SYSTEMS
4.2.2.1. INPUT
4.2.2.2. OUTPUT
4.2.2.3. PRODUCTION PROCESS
4.2.2.4. RESOURCES
4.3. CLASSIFICATION OF PRODUCTION SYSTEM
4.3.1. CONTINUOUS PRODUCTION
4.3.2. MASS PRODUCTION
4.3.3. BATCH PRODUCTION
4.3.4. JOB-SHOP PRODUCTION
5. PLANT LOCATION
5.1. DEFINITION
5.1.1. ONE OF THE MAJOR STRATEGY DECISIONS THAT MUST BE MADE BY ORGANIZATION ESPECIALLY FOR MANUFACTURER IS WHERE TO LOCATE ITS FIRST FACTORY OR WAREHOUSE OR LOCATING A NEW FACTORY OR WAREHOUSE RELATIVE TO THE LOCATIONS OF EXISTING FACILITIES
5.2. LOCATION FACTOR
5.2.1. MARKET RELATED FACTORS
5.2.1.1. LOCATION OF DEMANDS
5.2.1.2. LOCATION OF COMPETITORS(CLUSTERING)
5.2.2. TANGIBLE COST FACTORS
5.2.2.1. TRANSPORTATION
5.2.2.2. RAW MATERIAL AVAILABILITY AND COSTS
5.2.2.3. LABOR AVAILABILITY AND COSTS
5.2.2.4. SITE AND CONSTRUCTION COSTS
5.2.2.5. TAXES
5.2.3. INTANGIBLE FACTORS
5.2.3.1. STABILITY OF POLITICAL ENVIRONMENT
5.2.3.2. ZONING AND LEGAL CONSIDERATION
5.2.3.3. QUALITY OF LIFE
5.2.4. LOCATION EVALUATION METHODS
5.2.4.1. TRANSPORTATION MODEL METHOD
5.2.4.2. GEOGRAPHIC INFORMATION SYSTEM
5.2.4.3. FACTOR RATING METHOD
5.2.4.4. THE CENTRE-OF-GRAVITY TECHNIQUE
6. LEAN MANUFACTURING
6.1. DEFINITION
6.1.1. LEAN MANUFACTURING
6.1.1.1. A SYSTEMATIC APPROACH FOR ACHIEVING THE SHORTEST POSSIBLE CYCLE BY ELIMINATING THE PROCESS WASTE THROUGH CONTINUOUS IMPROVEMENT
6.1.1.1.1. PUSH SYSTEM
6.1.1.1.2. PULL SYSTEM (KANBAN SYSTEM)
6.1.2. WASTE
6.1.2.1. WASTE IS ANYTHING THAT HAPPENS TO A PRODUCT THAT DOES NOT ADD VALUE AND VALUE IS DEFINED BY THE CUSTOMER
6.1.2.2. PRODUCT BEING STORED,INSPECTED OR DELAYED,PRODUCTS WAITING IN QUEUES,AND DEFECTIVE PRODUCTS DO NOT ADD VALUE
6.2. THE SEVEN FORM OF WASTE
6.2.1. OVERPRODUCTION
6.2.2. WAITING
6.2.3. TRANSPORTATION
6.2.4. IN APPROPRIATE PROCESSING
6.2.5. UNNECESSARY INVENTORY
6.2.6. MOTION
6.2.7. DEFECTS
6.3. THE KEY PRINCIPLES OF LEAN
6.3.1. DEFINE VALUE FROM THE CUSTOMER PERSPECTIVE
6.3.2. IDENTIFY THE VALUE STREAM
6.3.3. MAKE THE PROCESS FLOW
6.3.4. PULL FROM THE CUSTOMER
6.3.5. HEAD TOWARD PERFECTION
6.4. LIST OF LEAN TOOLS
6.4.1. POKA YOKE
6.4.2. 5s VISUAL WORKPLACE
6.4.2.1. SORT
6.4.2.2. SET IN ORDER
6.4.2.3. SHINE
6.4.2.4. STANDARDIZE
6.4.2.5. SUSTAIN
6.4.3. JUST IN TIME
6.5. BENEFITS
6.5.1. REDUCTION OF INVENTORY
6.5.2. REDUCED WASTE
6.5.3. INCREASED MARKET SHARE
6.5.4. INCREASED COMPETITIVE ADVANTAGE