Manufacturing
Systems IV
MMM451/1
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Topics
• Strategy
• Identifying IT requirements, system
selection and implementation
• Computer Aided Production
Management (CAPM) Systems
MMM451/2
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
W
Indicates that the slide is
available on the WWW
at:
MMM451/3
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Information Technology
in Manufacturing
MMM451/4
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
References
W
• Checkland P.B. (1981), “Systems
Theory, Systems Practice”, John Wiley
and Sons Ltd.
• Cutts G. (1991),” Structured Systems
Analysis and Design Methodology”,
Blackwell, England, ISBN 0-63202831-9
• Howe D.R. (1983),”Data Analysis for
Database Design”, Edward Arnold
ISBN 0-7131-3481-X
• Hutchinson G.K. (1975),Introduction to
the Use of Activity Cycle Diagrams as
a Basis for Systems Decomposition
and Simulation, Simuletter 7(1) pp1523
MMM451/5
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
References (cont.)
W
• Johnson G. and Scholes (1998),
“Exploring Corporate Strategy: Fifth
Edition”, Prentice Hall Europe, ISBN 013-808739-0
• Monniot J.P., Rhodes D.H., Towill J.G
and Waterlow J.G. (1987), Report of a
Study of Computer Aided Production
Management in UK Batch
Manufacturing, Int. J. Op. Prod, Man.
7(2) pp2-57
• Ross D.T. (1977), Structured Analysis
(SA): A Language for Communicating
Ideas, IEEE Transactions on Software
Engineering, Vol. SE3(1)
MMM451/6
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Strategy
• Strategic decisions are concerned with
or affect the long-term direction of an
organisation
• Strategic decisions are about trying to
achieve competitive advantage for an
organisation
• The scope of an organisation
determines the boundaries of the
business in terms of the type of
product, mode of service and
geographical spread
• Strategic fit is the matching of the
activities of an organisation to the
environment in which it operates
MMM451/7
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Strategy (cont)
• Strategy can be seen as building on or
“stretching” an organisations resources
and competencies to create
opportunities or to capitalise on them
• Strategies may require major resource
changes e.g. need for capital, balance
of resources needed
• Strategic decisions affect operational
decisions.
MMM451/8
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Levels of Strategy
• Corporate strategy, concerned with the
overall purpose and scope of an
organisation to meet the expectations
of owners and major stakeholders and
to add value to the different parts of the
enterprise
• Strategic Business Unit is a part of the
organisation for which there is a
distinct external market
• Business unit strategy how to compete
successfully in a particular market
• Operational strategy concerned with
how the component parts of the
organisation deliver the business and
corporate level strategic direction
MMM451/9
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
In this context, Manufacturing Strategy
and Information Technology Strategy are
operational strategies.
Information Technology can be seen as
infrastructure that supports the various
operational strategies within the
organisation.
In these lectures, we will focus particularly
on how IT can support manufacturing
strategy
MMM451/10
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Identifying IT requirements,
selecting systems and IT
implementation
MMM451/11
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Assumptions
• Competitive criteria are known and
understood in terms of qualifying, order
winning and losing criteria. Remember
profile analysis?
• Basis of competition is known e.g.
product excellence, operational
excellence, customer intimacy
• Manufacturing strategy is determined
in terms of make/buy, processes,
technology, focus and organisation.
• IT support and infrastructure is to be
reviewed.
MMM451/12
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Feasibility Study
• Ensure commitment from top
management
• Planning phase
– Estimate required budgets
– Produce programme plan
– Identify milestones
– Estimate manpower requirements
– Define management input
– Identify key decision points
– Estimate required contact with staff
• Do not be optimistic, things will often
take longer than expected and be
more expensive!
• Confirm management commitment
MMM451/13
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Managing the Process
• Identify project leader
– Champion responsible for “selling”
project
– Managing budget
– Monitoring and controlling progress
– Reporting to management
• Identify business process improvement
teams (representing the various
business processes).
• Organise management and reporting
structures for teams
MMM451/14
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Identifying IT Requirements
Steps:
• Understand existing systems
• Model existing systems
• Redefine systems to streamline them
and ensure that they support
operational, business and corporate
strategies
• Produce models of proposed system
• Develop a Functional Specification that
defines requirements
MMM451/15
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Selecting systems and
IT implementation
• Select a package that satisfies
Functional Specification
• Purchase package
• Implement package
• Identify training requirements for all
staff
• Develop training material and training
plans
• Carefully manage change over to new
system
• Develop operational procedures to
ensure successful continued operation
MMM451/16
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Understand Existing
System
• Meetings with business process
improvement teams
• Identify information flows through
organisation
• Identify role / purpose / objectives of
business processes / job functions
• Identify information requirements of
each job function in terms of data
inputs, data outputs and reporting
requirements
• Identify way in which data is processed
and decisions are made
MMM451/17
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Understand Existing
System (cont.)
• Identify which decisions are totally
delegated and those that require
authorisation
• Identify appropriate measures of
performance associated with each
business process / job function
• Confirm with business process
improvement teams.
MMM451/18
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Modelling Systems
• Process maps to define data flow
• Functional model - decomposes a
complex system using a hierarchical
top down approach - provides a means
of understanding activities and their
inter-relationships
• Information model - enables the
structure of information required to be
understood
• Dynamic model - shows changing
behaviour over time
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© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
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Process Map Examples
MMM451/20
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Customer Enquiry
Regret Enquiry
Regret Enquiry
New Product
Yes
Sales
Check type
of Enquiry
Order Raw
Materials
Insufficient
Check
Existing Raw
material
W
Bad
Credit Check Via
NMB - Heller
Limited
New
Customer
Check with Mr
Rathi for
manufacturing
capability
No
Enquiry
Customer Phones
Good
Fill Credit
Application Form
Customer informed
about New Account
John Schofield
works out delivery
date
Insufficient
Sufficient
Set up new Account
Check stock
position on shop
floor
Sufficient
Customer must
confirm order in
writing
Customer
Customer notified
of delivery date &
price list sent
Order
Price List
Agreed with
Sales &
General
Manager
Amend to
predefined
requirements
Different
Sales (Dorothy)
Check quantity
against price list
Check order
requirements
Sales Dept.
Filing Cabinet
Adequate
Rachel
checks O/C
before
sending
John Watson
Despatches
Manager
John
Schofield
Works
Manager
Make out Order
Confirmation &
send to relevant
parties
Reply within
3 days
Customer
Checks Order
confirmation details
Sales Agent (Derek Freeson)
Sales Manager (Mike Day)
or General Manager (Mr Rathi)
No Reply
Order
confirmed
automatically
MMM451/21
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Production
W
John
Schofield
A sheet
A Sheet
Remove Waste
from Machine
Colour
Change
Extrusion Line
Operator Selects required
Copper & PVC
Check
Production schedule
Book
for temperature settings
of compounds
Check
Machine set to
specified
instructions
Supervisor
Bad
Cut sample of
insulation & check
for concentricity
A sheet completed
Quantity made
Line Operator No.
Manufactuer of Copper & Q.C. No.
Manufacturer of PVC
PVC Compound type & Batch No.
Masterbatch type & Batch No.
Good
Ensure mark
settings are
correctly positioned
and are marking
correctly
Lasermike
diameter control
data on cable
sizes
check
Surface
finish of
cable by
sight & feel
Use hand
micrometers
check
Ensure cable is
manufactured to
correct size
Complete
Supervisor for
testing
Sample
from each batch
Cut & tie label onto
drum
Label shows, batch/
drum number, cable type
and amount, position of
any spark faults, clock
number.
Twisting
QC for testing
Complete sample
from each batch
Winding
Sheathing
MMM451/22
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
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Supervisor
Produce Reel Labels
Cable type
specification length
job number
winders number
Core Test
Results logged in
record book
a. Marking
b. Conductor resistance
c. Concentricity of conductor/core
d. Overall dimensions - insulation
e. Minimum thickness
f. Overall dimensions - sheath
g. Minium thickness - sheath
Complete
A sheet
New A sheet for
sheathing from J.
Schofield
Twisting
Pass
Twisting Intrsuctions
Sheathing
Same process as
Extrusion for
cores
Twisting
J. Schofield sets
QTY
size No. of Cores
Length
Test cable
Dimension
conductor
Pass
QC for
Testing
Winding
Complete sample
from each batch
Complete record
Book for HT No.s
Twist to cable to
specified
instructions
Cable wound
to
specification
A Sheet
Label Drum
QC No.
No. of Cores
HT No.
Length
A sheet completed
Label Reels &
Store on pallets
Size of Reel
No. of Reels wound
Total Length
Operator No.
Date
STOCK &
DISPATCH AREA
MMM451/23
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Common Methodologies
• Functional model
– Structured Systems Analysis and
Design Methodology (Cutts 1991)
– SADT (Ross 1977), IDEF0, ....
• Information View
– Entity- relationship diagrams (Howe
1983),IDEF1
• Dynamic view*
– Activity cycle diagram (Hutchinson
1975), IDEF2
* Mainly used in simulation
MMM451/24
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
W
Structured Systems
Analysis and Design
Methodology (SSADM)
Examples
MMM451/25
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
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Company X - Context Diagram
High Level
a
Customer
a
Customer
ITT
Contract
Awarded
Progress
Report
Tender
Company X
ITT
Quote
b
Supplier
Order
b
Supplier
MMM451/26
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Data Flow Diagram - High Level
W
4
Gen. Manager
D
1
Approval Of
Tender
Supplier
Tender
Quote
Quote
ITT (copy)
1
Designs, TPS, PP
Recommend Suppliers
Design for
Tender
Designs
ITT (copy)
Historic Designs
CQAR
5
Contract
Awarded
Tender
Progress
Report
Project
Plan
Update
Plan & Coordinate
Project
Quality
3
Projects
Project
Report
9
Contract
File (copy)
Progress
Report
Drawings,
Manuals
7
Engineering
6
Conceptual &
Detailed Design
New Designs
M
5
M
6
Supplier
Approval
Supplier
Pref. Suppliers
Historic Designs
Purchasing
Supplier Selection,
Ordering &
Expediting
Customer
M
3
Contract File
D/M
4
Client Corresp
G.M
BRR
Action
Prepare
CQAR
Approve
Drawings
P.O.
Contract
Progress
File (copy)
Report
Supplier Details
Suppliers
& Costing
ITT
Contract
File
Pref. Suppliers
M
6
D
2
ITT (copy)
Supplier
M
5
Tendering
Prepare
Tender
Engineering
2
ITT & Tender
Progress
Report
Drawings
ITP
Contract
File (copy)
Purchase
Order
(copy)
Supplier
Approval
8
Quality
ITP & Supplier
Approval
Supplier
M/D
Suppliers
7
Supplier
Purchase
Expedite
Quote Order
D
Previous Suppliers
Designs
8
Supplier
Inspection
report
MMM451/27
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Data Flow Diagram - Low Level :
W Supplier Selection, Ordering & Expediting
7 . Supplier Selection,
Ordering & Expediting
Projects
Drawings
7.1
Purchasing
Generate Bill
of Materials
Components
(grouped)
7.2
Contract
File (Copy)
Supplier
Details Possible
Supplier
Previous Suppliers
M/D
7
Supplier Literature
New
Supplier
Purchasing
Select
Supplier(s)
D
8
Approve
Supplier
Engineering
Quote
Supplier Selected
7.3
Purchasing
Order
Component
Agreed Delivery
Date, Location
7.4
Purchasing
Purchase
Order
Project Plan
(Delivery Date)
Purchase
Order
(Copy)
Approve
Order
Supplier
Projects
Project Progress
Check
Expedite
Progress
Supplier
MMM451/28
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Other Functional
Modelling Methods
• SSADM
• GRAI
• Checkland “soft systems models”
provides a way of seeing patterns in
diffuse problems and allows different
views to be represented
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© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Entity-Relationship
Modelling
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© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Entity-Relationship
Modelling
• Describes data structures for database
systems
• An entity is an object which one wants
to describe in terms of data
• An entity type describes some class of
object
• An instance describes particular
objects.
Example:
A payroll system may use an entity type
EMPLOYEE, with each particular
person being an instance of that type.
MMM451/31
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Relationships
• Different entities will have relationships
between them
• For example in manufacturing there
would be people and machines. The
relationship may define which people
are capable of operating which
machines.
• Relationships are also defined in terms
of type and instances
MMM451/32
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Attributes
• Entities and relationships have
attributes
Example: Employees have the attributes:
• Name
• Address
• National insurance number
• Date of birth
• Sex
• Salary etc.
Relationships also have attributes
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© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Primary and secondary
keys
• The primary key is an attribute that
uniquely identifies a particular instance
of an entity
• A secondary key is some combination
of attributes that uniquely define a
particular instance of an entity
MMM451/34
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
W
Entity
Name of
entity type
EMPLOYEE
National Insurance
Number
Surname
First Name
Other initials
House number
Street
Area
City
Post code
Salary
Job function
Primary key
Other
attributes
MMM451/35
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
W
Relationship
Primary keys of entities
with relationship
PKey 1
PKey 2
+Other attributes
MMM451/36
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
W
Entity-Relationship
Diagram
EMPLOYEE
Primary key 1
m
Other
attributes
MACHINE
Works on
Primary key 1
Primary key 2
Other attributes
n
Primary key 2
Other
attributes
MMM451/37
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Redefine Systems
• Produce process maps that define
streamlined systems
• Produce functional models that define
relationships between subsystems in
proposed system
• Produce data models that define data
structures for proposed system.
Care should be taken to:
• Eliminate redundant processes
• Eliminate redundant data
MMM451/38
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Develop Functional
Specification
Describe system requirements
• Process maps
• Functional models
• Data models
• Description of processes to be
supported
• Required reports
• Description of job functions under new
system
• Required performance indicators
• Security
• Volume of data
MMM451/39
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Commercial Issues
• Size, turnover, liquidity, profitability of
software vendor
• Package cost and maintenance
• Purchase / lease arrangements
• Stage payments
• Support arrangements
• Software / hardware updates
• In-house / bought in analysis,
implementation and training support
• Trade / bank (beware) references
• Trading Period
MMM451/40
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Technical Issues
•
•
•
•
•
•
•
•
•
•
Platform PC / Workstation / mainframe
Operating systems
Networking Ethernet / token ring
Data storage requirements
Data processing requirements
Backup
Security
Ability to customise
Standard database / bespoke?
Internet / intranet / Email?
MMM451/41
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Select Package
• Listing of available packages in
Computer Users Yearbook
• Identify packages that appear to have
required functionality / features
• Obtain annual reports for commercial
analysis
• Postal / telephone survey
• Generate spreadsheet
• Get vendors to demonstrate packages
using your data
• Visit test sites with similar
requirements
• Visit software company
MMM451/42
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Purchase Package
• Specify requirements as clearly as
possible - many software houses aim
to make money on “extras”
• Make payment in stages
• Clearly identify responsibilities
• Do not scrimp on training
MMM451/43
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Implement Package
• Training and involvement is key
• Make sure the people who use the
system feel they own it
• Ensure staff have plenty of time to
learn new system
• During implementation frequently
check the validity of data and identify
further training requirements
• Keep backup system during
implementation
Approaches:
• Implement in stages e.g business by
business or process by process
• “Big bang” - avoid if possible
MMM451/44
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Making it a Success
• Try to satisfy user requirements if it is
not possible explain why - it should be
their system
• Ensure that the data model is correct
• Continually measure system
performance
• Be prepared to make changes.
• Ensure that the system is stable
MMM451/45
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Computer Aided
Production Management
(CAPM) Systems
MMM451/46
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Computer Aided Production
Management Systems
• “All computer aids supplied to the production
manager” (Monniot et al 1987)
• Main information processing activities
– specification of tasks
– planning and control
– recording and reporting
• Information systems
– transaction processing
– management information
– automated decision making
MMM451/47
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
CAPM System Integration
•
•
•
•
Technical integration
Information integration
Strategic integration
Functional integration
MMM451/48
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
5 Levels of CAPM
Integration
•
•
•
•
•
No CAPM
No integration
Partial integration
Full integration
Full integration of manufacturing
systems
MMM451/49
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Prerequisites for Success
•
•
•
•
Data accuracy
Real time data
Shared data
Networked systems
MMM451/50
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Other Important Issues
• CAPM Systems are a component of a
manufacturing system
• Many “soft” system elements
• Ownership important
• Champion required
• Time scales
MMM451/51
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Identify Manufacturing
Characteristics
• Competitive criteria, manufacturing
strategy - determines context
• Make to Order / Make to stock - effects
Master Production Scheduling, order
processing, inventory management
and production scheduling
• Product structure, determines nature of
procurement, manufacturing and
assembly effects procurement, MRP
and inventory subsystems
• Uncertainties, environmental / system refer to MRP parameters covered in
Manufacturing Systems 3.
MMM451/52
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne
Identify Manufacturing
Characteristics (cont.)
• Relationships with other functions,
accounting, marketing
• Make v/s buy - relative importance of
procurement / manufacturing
subsystems
• Standardised / customised products links with product development, need
for new process plans etc.
These factors help determine the
particular characteristics of CAPM
subsystems required.
MMM451/53
© Dr. C.Hicks, MMM Engineering
University of Newcastle upon Tyne