UNIT 2

Outline

 Developments in Manufacturing Industry

 Product and Transformation System Design
 Product design
 Process design
 Lean Production
 What is Manufacturing
process
 A sequence of operations, often done on a machine
or at a given area.
 During a manufacturing process, we add, subtract,
or form materials in order to give a desired
property/shape to the workpiece.
 Examples: welding, casting, cutting, assembling, etc.
Development in
manufacturing industry

Craft Mass Lean

production production Production
 Craft production

Manufacturing at its initial stages

Skilled labour (craft men) individually or in-groups

carried out the entire design and production
process (typical example is a carpenter making a
chair).
 Mass Production Drivers

 Supply vs demand
 Prices
 Demand- price-unit cost

• Would reduction in cost and price always

result in increase in demand?
• Will demand for construction products
(buildings, for example) be increased
significantly if production process became
more efficient?
 Concept of Mass Production

Standardization
 Ford’s contribution came from his
approach of breaking larger jobs into
smaller, highly repeatable tasks

minimising the cost of each task using

standardisation (company level, industry
level)
 Concept of Mass Production

Modularity
 With more competition consumers
demanded variety and customisation.
 modularity obtain variety and still hold
down cost
 A car that has 3 engines, 2 transmission, 5
exterior colours and 3 interiors available
to customer (13 modules but 90 different
versions)
 Design and Process

 Design:
 “To design” refers to the
process of originating
and developing a plan
for a product, service or
process.
 Process:
 Is any part of an
organization which
10 takes a set of input
(resources) which are
then used to transform
something into outputs
of products or services.
 Product and Transformation System
Design

Product design is the process of defining all the product

characteristics

 Product design defines a product’s characteristics of:

Appearance, Materials, Dimensions, performance standards,
etc)

 Product design must support product manufacturability (the

ease with which a product can be made)

Process Selection is the development of the process necessary to

produce the designed product.
 Product Design Process

12
Idea Feasibility
generation study Performance
Product or
service concept specifications

Suppliers Customers Form design

R&D

Marketing Competitors Revising and testing

prototypes

Functional Production
design design

Design Manufacturing
New product or specifications or delivery
service launch specifications

Pilot run
Final design and final tests
& process plans
 1. Idea Generation

13
Sources Useful Techniques

• Company’s own • Visual comparison

R&D department of customer
• Customer perceptions
complaints or • Direct data
suggestions collection and
• Marketing research analysis
• Suppliers • Benchmarking
• Factory workers • Reverse engineering
• New technologies
• Competitors
• Customer orders
 2. Screening

14 • Evaluating product concept

Market • Demand analysis
analysis • Product life cycle
• Competition analysis

Economic • Production and demand costs

analysis • Feasibility estimates

• Technical capability to manufacture

Technical • Product competitive strengths
analysis • Compatibility with core business

14
 3. Preliminary Design

15

Product design that pass feasibility study enters preliminary

design

Relationship between components and bill of materials (rapid

prototyping

Mapping out of the sequence of activities

Development of process flow charts

15
 Prototyping

16

Revise Retest
design

Build a prototype
•Form design - how
product will look?
•Functional Design –
reliability,
maintainability, usability Test
•Production design – prototype
simplification,
standardization,
modularity
 4. Final Design

17

(a) Original design (b) Revised design (c) Final design

Assembly using One-piece base & Design for push-

common fasteners elimination of and-snap
fasteners assembly
 Process Design

18

 Used to identify different types of activities.

 Shows the flow of material, people or information.

 Critical analysis of process maps can improve the process.

 Process Selection
19

 Product design considerations impact the process selection.

 Processes can be

 Intermittent processes: Processes used to produce a variety

of products with different processing requirements in lower
volumes.

 Repetitive processes: Processes used to produce one or a

few standardized products in high volume.
Key success factors in
manufacturing
 Low production cost
 Manufacture quality
 Efficient use of fixed assets
 Access to skilled labour
 Low cost facilities
 High productivity
 Low cost design and engineering
 Customisability
 Process types

 Project Operations
 Continuous process
 Batch production
 Flow Shops
 Job Shops
 Process types

22
Project Continuous
Operation Process
High variety and low volume Very high volume products

One off product to customer

specification
Large amount of specialized and
dedicated equipment
Staff and equipment move to the
product site
Labor is used merely to monitor and
control the process
Limited in time frame

Example: building construction, ship Example: water treatment, electricity,

manufacturing, airplane oil, gas etc
manufacturing etc
 Process types (Contd.)

23
Job Shop Batch Production Flow Shops

One off or low volume

Medium variety and Products of high volume
product to customer
medium volume and low variety
specification

The product moves to the Products are grouped as It can be automated for
location of manufacturing they move across the production and material
equipment manufacturing process handling

Staff and equipment can be Products move to the Time spent per unit must be
shared among many location of the equalized for each stage –
products manufacturing equipment line balancing

Setting of equipment is
Undertake frequent setting
done between batches of Set-up time is low
of equipment
products

Example: machine tool Example: Book printing,

manufacturing, precision automotive parts assembly Example: car, TV, food etc
engineering etc etc
Process types
 Job Shops

• provide flexibility to respond to

individuals, small volume demands • General purpose equipment is slower
than special purpose ones
• larger base of experience with these
equipment and risk of obsolescence is • cost of skilled labour is high.
low. • initial cost of general purpose equipment
is significantly less but variable cost is
• Because of the functional arrangement significantly higher
of equipment, resources maybe
centralised at separate location (high • need for high stocks of raw materials,
utilisation rate, distracting or dangerous parts and in-process inventories become
equipment can be segregated) very large

• Staff highly skilled and similar people • management and control is difficult and
grouped together expensive as production varies
• Pace of work is not dictated by a moving
line (productivity is not hindered by a
machine braking in another function).
 Batch Production

• Making in batches • The work is less

reduces unit costs interesting and very
repetitive
• Can still address • More space is
specific customer required for working
needs (e.g. size, and storage
weight, style) • Larger stocks of raw
materials must be
• Use of specialist kept
machinery & skills • Machines have to be
can increase output re-set between
and productivity batches, losing time
 Flow Shops

• low per unit cost, • limited variety

• bulk purchasing, • changes in design
• lower labour rates, require substantial
• efficient use of changes in
factory space equipment
• low in-process • dehumanisation of
inventories workers
• simplified • if line is stopped the
managerial control entire production
come to a halt
• high capital cost
• risk of obsolescence
 Class Exercise (Groups)

Is construction a manufacturing process?

• What kind of production is construction?

• Compare and contrast construction (of a
building/ dam/ power plant...etc) and
manufacturing (of car, biscuits...) in terms of
• Production process
• Product design process
• End product
• Organization structure
• End users and their role in design
• Supply chain
 Characteristics associated with
manufacturing industries

(Most of them relate to the factory mass or flow production

scenario):-
 Controlled production environment
 Highly standardised repeatable and specialised production
tasks
 Customisation achieved by modularised assembly
 ‘Remoteness’ of production from ‘consumer’
 High levels of integration between design and manufacture
both product and manufacturing process are designed
 High capability for automation (either specialised OR
general)
 High levels of quality control, monitoring and inspection
 Capability to realise continuous improvement
 Characteristics associated with
manufacturing industries

 Market Idea or User Idea

 Research and Development
 Product Design
 Prototype production
 Testing and Revision
 Production Engineering
 Production Configuration
 Production Runs (batch, mass or continuous)
 Sale
 End user consumption.
 Characteristics associated with
construction industry

 Uncontrolled production environment

 Bespoke and specialised ‘one-off’ production
tasks
 Every Construction Project is unique and is
uniquely customised or ‘tailored’ to suit one
specific need
 Customer intricately involved in production
 Fixed Position Production
 Production is ‘rooted in place’ and is ‘consumed’
at the point of production
 Characteristics associated with
construction industry

 Design and Production treated as

separate processes, largely as a
result of competitive tendering,
industrial organisation and
professional cultures
 Buildings are ‘hand’ built or ‘hand’
assembled, primarily being
dependent upon craft skills
 Problematic quality control due to
site production and ‘uniqueness’ of
each item
 Low capacity for innovation and
continuous improvement
 Characteristics associated
with construction industry

 Customer specific demand –

project ‘built to order’
 Definition of Project Brief
 Conceptual Design
 Scheme Design
 Detailed Design
 Tendering Procedure
 Construction
 Final Completion
 Building Handover
 End user consumption
 Lean production: Drivers for
Change
 Toyota had a much lower demand for its
product (produced far fewer cars in a
decade than were shipped from Ford in a
single day!).

 Company had little access to investment

capital

 Had agreement with its trade unions that

virtually guaranteed lifelong employment
to the workforce.
 Conversion of a Job Shop
Layout to a Cellular Layout
From Job Shop Chaos To Lean Order
 Main principles of Lean
 eliminate variations in the production process
 setup the infrastructure to accommodate
variations should it happen (people and
equipment) (cellular production)
 Production system should drive design where
possible (concurrent engineering)
 Supply chain management and long term
partnering
 Getting it right first time (eliminate rework)
 Continuous improvement or kaizen (emphasise
on measurement).
 Fundamentals of Lean Thinking

 Specify value: Value is defined by customer in terms

of specific products and services
 Identify the value stream: Map out all end-to-end
linked actions, processes and functions necessary for
transforming inputs to outputs to identify and
eliminate waste
 Make value flow continuously: Having eliminated
waste, make remaining value-creating steps “flow”
 Let customers pull value: Customer’s “pull” cascades
all the way back to the lowest level supplier, enabling
just-in-time production
 Pursue perfection: Pursue continuous process of
improvement striving for perfection
 Lean Production & Waste

Lean is a process of
eliminating waste with the
goal of creating value for
enterprise stakeholders.
 Value added & non-value added
activities

• Transforms or shapes material or information

or people
Value Added Activity • Done right the first time
• The customer wants it

• No value is created, but cannot be eliminated

Non- Value Added based on current technology, policy, or
Activity - thinking
• Examples: project coordination, regulatory,
Necessary waste company mandate, law

Non- value Added • Consumes resources but creates no value in

the eyes of the customer
Activity – Pure • Examples: idle/wait time, inventory, rework,
waste excess checkoffs
For visual learners

https://www.youtube.com/watch?v=wfsRAZUnonI
The 7 Wastes- MUDA

Overproduction

Defects Waiting

MUDA
Unnecessary
Transportation
movement

Unnecessary Inappropriate
inventory processing
 The 7 Wastes- MUDA

Overproduction

Making too much, too early or just in case

Obsolescence
Manufacturing Work in
Bottlenecks of goods and Delivery sizes
lead times progress
products
 The 7 Wastes- MUDA

Waiting

Time not being used effectively; creates delay to value

adding activities

Material
Tool setups/ Poor
Plant shortages/ Material not Labour
power planning or
breakdowns late being used shortages
failures coordination
deliveries
 The 7 Wastes- MUDA

Transportation

Movement of components and materials on around a site is

waste

Distances
Delivery to Empty returns
travelled to Material
stock or from delivery
site and on handling
storage lorries
site
 The 7 Wastes- MUDA

Inappropriate
processing

Using a hammer to crack a nut

Product not Snagging,

Order
meeting defects Purchase
acknowledg Quotations Inspection Invoicing
customer rectification orders
ements
requirements and re-work
 The 7 Wastes- MUDA

Unnecessary
inventory

in the form of raw materials, work-in-progress (WIP), or

finished goods

Shortages due
Early Safety shocks/ to damage of
Storage space
deliveries over ordering goods stored
for too long
 The 7 Wastes- MUDA

Unnecessary
movement

Poor Quality of work life & ergonomics

Searching
Stretching Walking to Congestion
for
Machine to reach fetch through
materials/ Bending Lifting
watching goods or materials/ poor work
drawings
materials drawings planning
etc
 The 7 Wastes- MUDA

Defects

Cost money, time and reputation

Transport
Paperwork Stock loss/ Rework /
ation Lost goods
errors damage snagging
damage
 Other wastes suggested in
literature as addition to 7 Muda

• Waste of human potential or talent

• Waste of excess energy or power used
• Waste of pollution
• Waste of space
• Waste of unnecessary complexity
 7 Wastes
https://www.youtube.com/watch?v=NJN-lsk_DLU
Exam questions

 Discuss if the adaptation of concepts and

principles from manufacturing to construction is
straightforward: How much similarities are there
between the two industries?
 “The construction industry can learn from the
manufacturing industry and adopt
manufacturing principles and techniques to
improve its performance and productivity”.
Critically discuss the validity of this statement
and analyse applicability in the construction
industry
Next Week and week after

 Focusing on Lean management and Lean

construction