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1、Lean Systems,Chapter 9,How Lean Systems fits the Operations Management Philosophy,Operations As a Competitive Weapon Operations Strategy Project Management,Process Strategy Process Analysis Process Performance and Quality Constraint Management Process Layout Lean Systems,Supply Chain Strategy Locati

2、on Inventory Management Forecasting Sales and Operations Planning Resource Planning Scheduling,Lean Systems,Lean systems are operations systems that maximize the value added by each of a companys activities by paring unnecessary resources and delays from them. (video) Just-in-time (JIT) philosophy T

3、he belief that waste can be eliminated by cutting unnecessary capacity or inventory and removing non-value-added activities in operations. JIT system: A system that organizes the resources, information flows, and decision rules that enable a firm to realize the benefits of JIT principles.,Pull metho

4、d of work flow Quality at the source Small lot sizes Uniform workstation loads Standardized components & work methods Close supplier ties Flexible workforce Line flows Automation Preventive maintenance,Characteristics of Lean Systems,Push and Pull Systems of Work Flow,Push method: A method in which

5、production of the item begins in advance of customer needs. Example: A buffet where food is prepared in advance. Pull Method: A method in which customer demand activates production of the service or item. Example: A restaurant where food is only prepared when orders are placed. Lean systems use the

6、pull method of work flow.,Pull method of materials flow Quality at the source Small lot sizes Uniform workstation loads Standardized components & work methods Close supplier ties Flexible workforce Line flows Automation Five S Preventive maintenance,Characteristics of Lean Systems,Quality at the Sou

7、rce,Quality at the source is an organization-wide effort to improve the quality of a firms products by having employees act as their own quality inspectors, and never pass defective units to next stage. One approach for implementing quality at the source is to use poka-yoke, mistake-proofing methods

8、 aimed at designing fail safe systems that minimize human error. Another approach for implementing quality at the source is a practice the Japanese call jidoka, and andon, which gives machines and machine operators the ability to detect when an abnormal condition has occurred. (video),Pull method of

9、 materials flow Quality at the source Small lot sizes Uniform workstation loads Standardized components & work methods Close supplier ties Flexible workforce Line flows Automation Preventive maintenance,Characteristics of Lean Systems,Small Lot Sizes,Lot:A quantity of items that are processed togeth

10、er. Setup: The group of activities needed to change or readjust a process between successive lots of items. Single-digit setup:The goal of having a setup time of less than 10 minutes.,Pull method of materials flow Quality at the source Small lot sizes Uniform workstation loads Standardized component

11、s & work methods Close supplier ties Flexible workforce Line flows Automation Five S Preventive maintenance,Characteristics of Lean Systems,Uniform Workstation Loads,A lean system works best if the daily load on individual workstations is relatively uniform,Uniform Plant Loading,Not uniformJan. Unit

12、sFeb. UnitsMar. UnitsTotal 1,2003,5004,3009,000,UniformJan. UnitsFeb. UnitsMar. UnitsTotal 3,0003,0003,0009,000,Suppose we operate a production plant that produces a single product. The schedule of production for this product could be accomplished using either of the two plant loading schedules belo

13、w.,How does the uniform loading help save labor costs?,or,Uniform Workstation Loads,Service processes can achieve uniform workstation loads by using reservation systems (e.g., scheduled surgeries) and differential pricing to manage the demand. For manufacturing processes, uniform loads can be achiev

14、ed by assembling the same type and number of units each day, thus creating a uniform daily demand at all workstations.,Pull method of materials flow Quality at the source Small lot sizes Uniform workstation loads Standardized components & work methods Close supplier ties Flexible workforce Line flow

15、s Automation Five S Preventive maintenance,Characteristics of Lean Systems,Line Flows and Automation,Line Flows: Managers of hybrid-office and back-office service processes can organize their employees and equipment to provide uniform work flows through the process and, thereby, eliminate wasted emp

16、loyee time. Automation plays a big role in lean systems and is a key to low-cost operations. Example: ATMs More automation, the better?,Lean Systems at New Balance Athletic Shoe Company,The Lawrence plant makes footwear styles exclusive to the North American market. Most new designs are first made a

17、t Lawrence and then transferred out to other NB American plants, all of which follow the same production methods. NB migrated away from the shoe industrys traditional batch and queue method towards small-lot, cellular flow production. Operators never pass on a defective unit, and they always check t

18、he prior operators work as well as their own. When deciding how many shoes of each style to schedule, NB thinks of “sales orders” and not “production orders.” Instead of pushing shoes to the market, NB uses more of a pull strategy. Its production schedules are driven by market demand. NBs work flow

19、is uniform and it fosters teamwork and a culture of continuous improvement.,Continuous Improvement with Lean Systems,The Single-Card Kanban System,Kanban means “card” or “visible record” in Japanese & refers to cards used to control the flow of production through a factory. General Operating Rules:

20、Each container must have a card. The assembly line always withdraws materials from fabrication (pull system). Containers of parts must never be removed from a storage area without a kanban being posted on the receiving post. The containers should always contain the same number of good parts. The use

21、 of nonstandard containers or irregularly filled containers disrupts the production flow of the assembly line. Only nondefective parts should be passed along. Total production should not exceed the total amount authorized on the kanbans in the system.,The Single-Card Kanban System,Storage area,Empty

22、 containers,Full containers,Kanban card for product 1,Kanban card for product 2,The Single-Card Kanban System,Storage area,Empty containers,Full containers,Kanban card for product 1,Kanban card for product 2,The Single-Card Kanban System,Storage area,Empty containers,Full containers,Kanban card for

23、product 1,Kanban card for product 2,The Single-Card Kanban System,Storage area,Empty containers,Full containers,Kanban card for product 1,Kanban card for product 2,The Single-Card Kanban System,Storage area,Empty containers,Full containers,Kanban card for product 1,Kanban card for product 2,The Sing

24、le-Card Kanban System,Storage area,Empty containers,Full containers,Kanban card for product 1,Kanban card for product 2,Fabrication cell,O1,O2,O3,O2,The Single-Card Kanban System,Organizational Considerations,The human costs: Lean system implementation requires a high degree of regimentation, and sometimes it can stress the workforce. Cooperation & Trust: Workers and first-line supervisors must take on responsibilities formerly assigned to middle managers and support staff. Reward s

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