Output Productivity Input
Output Productivity Input
Output Productivity Input
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4Q1. What are the components of systems productivity? Explain how CAD and CIM
help in improving productivity.
Enhancement of productivity is achieved by either reducing the inputs for the same output or
increasing the output by using the same input. Productivity can be calculated for a:
• Single operation
• Functional unit
• Department or division
• Plant
Productivity is a measure of the efficiency of the system and looks at the economies achieved
during the processes. Every process will have a number of contributors which help in
achieving maximum productivity. The processes are: People, Machines, Facilitating goods,
Ancillary equipments, and Technology. Each of these elements attempts to enhance the
contribution of other elements.
Opportunities exist at all stages of the workflow in the entire system to introduce measures
for increasing productivity. However in actual manufacturing situations, the inefficiencies
will have cascading effect in hampering productivity. Communication, effective review
processes and innovative methods will ensure optimization of resources. Building up
reliability into the equipments, managing the supply chain to economize on the cost factors
improves productivity.
Quality circles are very efficient in incorporating low cost and non-intrusive methods of
improving productivity and quality throughout the organization.
Quality circles:
• Involve all persons who are actually involved in the production system and the
information they elicit and bring about improvements that are highly cost effective
• Unveil creativity and encourage team work and bring about improvements almost on a
day to day basis
• Bring continuous incremental changes in a harmonious way instead of dramatic changes
• Encourage identification of possible failures and seek methods of preventing things going
wrong
The software can generate the volume, weights of components as also other engineering
parameters like centre of gravity, deflections under estimated loads, and various other design
parameters on complicate forms, either for single components or assemblies. Laborious
mechanical drawings or complicated calculations need not be drawn for people using this
software. The database can be prepared, updated continuously and their access to executive.
Analysts use CAD to store, retrieve, and classify data about various parts.
CAD helps to increase the efficiency of a designer’s work. This aids in reducing the time
required for making a design or modifying a product and thus concept market period gets
drastically cut. This implementation also cuts the cost of product development and sharply
reduces the time to market new products. It saves time by enabling designers to access and
modify old designs quickly, rather than start from scratch.
CIM: Integration occurs when a broad range of manufacturing and supporting activities are
linked. CIM is the complete automation of a manufacturing plant, with all processes
functioning under computer control and digital information tying them together. The three
major functions in manufacturing are production, design, and management function.
Production function converts resources into products. The design function transforms
customer specifications into design. Finally the management functions plan and control
production activities. The three computer aids in CIM are:
When it comes to production, CIMs are included in different areas of production process such
as in engineering design, production planning, shop control, order processing, material
control, distribution and many other areas. Information flow across all the functions takes
place with the help of computers. Transmission, processing, distribution, and feedback
happen almost in real time so that intended activities are conducted rapidly.
CIM process helps in rapid production and also reduces indirect costs. CIM uses computers to
control the entire production process. This integration allows the processes to exchange
information with each other and thus they become capable of initiating actions. As response
times decrease, customer satisfaction increases resulting in better business. CIM helps in
avoiding accumulation of materials resulting in better throughput and better utilization of
space. Bar coded labels that accompany materials contain instructions for processing them
which are read by sensing devices and display the status on monitors. This information is
available to all concerned personnel responsible in planning, marketing and other activities so
that they will beware of the status of any order. If expediting is needed to meet deadlines, they
will be able to seek intervention. Identifying shortages and ensuring faster deliveries become
easy with CIM.
Ans:
Industry Best Practices: Each industry would have developed over years or decades. During
this development materials would have changed and processes would have changed. As all
products or services are meant to serve needs of the customers, they undergo continuous
changes both in shapes and features.
Materials and methods go on improving incessantly because of the research that is conducted.
The companies that were at the front innovate to stay in business as new entrants would be
adopting the latest techniques that the pioneers had taken decades to establish. So, the various
firms in any industry would end up adopting almost similar methods of getting an output
required. Such practices would get refined to a great extent giving rise to what we call
industry best practices. These tend to get stabilized or changed owing to the development of
new equipments which are designed.
A manufacturer, with an eye on growing markets, demands for higher quality and reduced
prices. Competition benefits those who can use all these to their advantage. Industry best
practices open up the field for benchmarking by companies which need to improve their
performance.
The figures obtained from the above determine the efficiency of the organization. To keep
focused, many organizations, especially the large ones, select a few processes for purposes of
benchmarking. This helps in ensuring constant and deep attention to those aspects which are
to be dealt with. The following are the types of benchmarking considered by various firms.
Tools like Pareto Analysis are used to make the choice or choices from among many aspects
in any one of the above categories.
Planning, Analysis, Integration, and Action are the four steps recognized in the process of
benchmarking. The select criteria are compared with the performance parameters of the
company which is considered the best in the industry. Targets are set and activities are
conducted to reach them. Let us discuss in detail, about the steps which are necessary for
conducting a benchmarking operation.
1. Planning: Planning determines the process, service or the product to be benchmarked
on which metrics are assigned for collection of data.
2. Analysis: Analyzed data gives inputs for comparison with the target company’s
performance on the parameter benchmark on which data was collected. Measuring
gaps helps in identifying the process which should be improved for reaching the
benchmark.
3. Integration: Resources are required across all functions to achieve the target needs.
Integration involves putting together resources like people, equipments, and
communication, so that, progress is unhindered and all activities reach their logical
conclusions without loss of initiative or time.
4. Action: When changes are needed, actions have to be planned according to the steps
earlier stated. Teams are provided with necessary leadership, authority, and
supporting facilities to enable them to complete all activities within the time frame set
for the purpose. Since benchmarking is done in specific areas, it is necessary to
maintain the focus, and implement actions without losing initiative, so that, results
become demonstrable.
1Q3. List out the various automated systems for transfer of materials in the production
plant. What do you understand by Line Balancing? Explain with an example.
Ans: There are three kinds of automation: fixed, programmable, and flexible.
1. Fixed: By its very nature, fixed automation is rigid. They are designed for high
volume production and their rigidity ensures less variability. They are not amenable
to change in product or process. They need minimal human intervention. Examples:
Oil refineries and chemical processing units.
2. Programmable: Programming devices enable machines to operate automatically.
The machines have sensing and control devices that enable this. The simplest of them
called machine attachments replace human effort. They guide, locate, move, and
achieve relative positions by means of cams, optical sensing, and load sensing
mechanisms and activate the controls to remove human intervention. Numerically
controlled machines read instructions and convert them to machine operations.
Computers are used for controlling one machine or a number of them and they have
programmes written into them for operations. They are Computer Numerically
Controlled or, for short, CNC machines.
3. Flexible: Robots are higher in the order of automation as they perform a variety of
tasks. They are designed to move materials by holding them in their arms and making
precise movements according to programmes written into the computers that reside in
them. They simulate human actions. They can grip and hold tools with the help of
sensors. These sensors are sensitive to touch and force to ‘know’ that the material is
to be held with the requisite pressure for the conduct of operations. Vision sensors are
used for inspection, identification and guidance. They use optics based instruments to
gather data and feed them to the computers for activating the other parts of the robot.
With the help of automation, 100% inspection of components can be done which ensures
highest quality. Identification and movement of materials are helped by bar codes which are
read and fed into the system for monitoring quantity, location, and movement.
They help the automated systems to sort information and provide information for effecting
any changes necessary.
To make effective use of automated machines, we need to have the movement of materials
from and to different stations as also stores, automated. Automated Storage and Retrieval
Systems (ASRS), receive orders for materials from anywhere in the production area, collect
materials and deliver materials to the workstations.
Computers and information systems are used for placing orders for materials, giving
commands and adjusting inventory records which show the location and quantity of materials
available/needed. Continuous updating gives a clear picture for all concerned to enable them
initiate action to keep the throughput smooth. Automated Guided Vehicle Systems (AGVS)
like pallet trucks and unit load carriers follow embedded guide wires or paint strips to reach
destinations as programmed.
Line Balancing: Production lines have a number of work centres in a particular sequence, so
that the material that gets processed has to move further without encountering any
bottlenecks. The factors taken into account during production for material flow are:
• Quantities produced
• Rate of production at each centre
• Number of operations
• Total production required
Factors influencing material flow: The purpose of balancing is to see that no shortages
occur between work centres and minimum inventory gets created. We use the principles of
JIT and Lean Manufacturing to achieve these. Linear programming, dynamic programming,
and other mathematical models are used to study material flow problems. Some computer-
efficient approximate algorithms have been developed to help the material flow process.
The line balancing problem: Assembly lines are best suited for the study and analysis of the
line balancing problem, called Assembly Line Balancing (ALB). Ghosh and Gagnon
categorised the ALB problems into four categories – Single Model Deterministic, Single
Model Stochastic, Multi/Mixed Model Deterministic, and Multi/Mixed Model Stochastic.
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21. Single Model Deterministic (SMD): SMD model assumes that, the one product that
passes through the dedicated line has all tasks’ times known. This model is useful when
automatic machines or operations have their times predictable with certainty.
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42. Single Model Stochastic (SMS): SMS model allows the task times to be variable. This is
applicable when a single product goes through machines where manual content is more, and
the operations do not have definite periods. Determining locations and sizes of buffers
required to keep the throughput is the purpose of this model.
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63. Multi/Mixed Model Deterministic (MMD): In MMD case, task times are known, but
we have many products that go through the line. The products are assembled in batches.
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84. Multi/Mixed Model Stochastic (MMS): Here, the task times are variable and we have
many products that go through the production line. The problem of balancing such lines is
more. Decomposition of the assembly into sub-assemblies, and having advanced handling
equipment may help to make inventories small and keeping the flow line smooth.
Generally, the criteria for all the above cases are technical and economic ones. The technical
criterion seeks to maximise the line efficiency, that is, throughput. The economic criteria can
be minimised by minimising the:
• Number of workstations
• Number of operators
• Quantum of buffers
Many times, a trade-off may be necessary. It is for the operations manager to balance between
the two competing requirements.
14. Explain the different types of Quality Control Tools with examples? How do
Crosby’s absolutes of quality differ from Deming’s principles?
Ans:
Quality Control Techniques: Quality control techniques are specific activities and
procedures adopted using data for determining a particular aspect of quality for arriving at
decisions which are conclusive. Each technique though developed and tested by senior
personnel or consultants will be simple enough to be understood, implemented, and
interpreted by the personnel for their immediate use. The techniques to be used, the criteria to
be adopted and the way of interpreting data are handed over to them for use. Some of the
quality control techniques are:
Quality at the source: The concept of quality makes the production worker responsible for
inspecting his own work and for taking corrective actions. Since inspection is done
immediately after a job is done, finding the cause of the error with clarity aids in faster
rectification.
Often, some fundamental processing mistakes get identified and their analysis improves the
quality in the long run. Every worker has the authority to stop production, if he finds some
serious defect. This puts responsibility for quality on the workers and gives them pride in
their work. Help should always be available from the Quality Control personnel to help
workers understand the implications of the above actions. This brings in cooperation and
improves the achievement of quality. The information generated may be used to effect
improvements at the suppliers’ end also. The entire process brings in openness, commitment,
and participation and helps in achieving quality.
Quality control tools: Flow Chart, Check sheet, Histogram, Pareto Analysis, Scatter
Diagram, Control Chart, and Cause and Effect Diagram are the basic seven control tools
considered for achieving quality.
1a) Flow Chart: Flow chart is a visual representation of process showing the various steps.
It helps in locating the points at which a problem exists or an improvement is possible.
Detailed data can be collected, analyzed, and methods for correction can be developed using
flow charts. The various steps include:
• Listing out the various steps or activities in a particular job
• Classifying them as a procedure or a decision
Each decision point generates alternatives. Criteria and consequences that go with decisions
are amenable to evaluation for purposes of assessing quality. The flow chart helps in pin-
pointing the exact points at which errors have crept in. (See Figure below for Sample flow
chart)
Reject Reject
1b) Check Sheet: Check sheets are used to record the number of defects, types of defects,
locations at which they are occurring, times at which they are occurring, and workmen by
whom they are occurring. The sheet keeps a record of the frequencies of occurrence with
reference to possible defect causing parameters. It helps to implement a corrective procedure
at the point where the frequencies are more. (See Table below for Sample check sheet)
No. of
Defect 1 2 3 4 5
s
Day
1 // /// /// ///// //
2 / //// /// //// ///
3 // ///// //// // //
/
4 // //// /// // //
5 /// ///// /// / ///
/
6 // //// /// /// //
The table shows that the number of defects 1 and 5 are not many as compared to defect no 2
which increased over the days and appears to be stabilizing at the higher side and therefore
needs to be attended immediately. The column which shows days can be changed to observed
by the hour, if need be.
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2c) Histogram – Histograms are graphical representations of distribution of data (See Figure
6.4 for Sample histogram chart). They are generally used to record huge volumes of data
about a process. They reveal whether the pattern of distribution has a single peak, or many
peaks and also the extent of variation around the peak value. This helps in identifying whether
the problem is serious. When used in conjunction with comparable parameters, the visual
patterns help us to identify the problem which should be attended to.
1d) Pareto Analysis: Pareto analysis is a tool for classifying problem areas according to the
degree of importance and attending to the most important. Pareto principle, also called 80-20
rule, states that 80 percent of the problems that we encounter arise out of 20 percent of items.
If we find that, in a day, we have 184 assemblies having problems and there are 11 possible
causes, it is observed that 80 percent of them, that is, 147 of them have been caused by just 2
or 3 of them. It will be easy to focus on these 2 or 3 and reduce the number of defects to a
great extent. When the cause of these defects has been attended, we will observe that some
other defect becomes predominantly observed and if the process is continued, we are
marching toward zero defects.
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2e) Scatter Diagram: Scatter diagram is used when we have two variables and want to know
the degree of relationship between them. We can determine if there is cause and effect
relationship between the variables and the degree of extent over a range of values of the
variables. Sometimes, we can observe that there is no relationship, in which we can change
one parameter being sure that it has no effect on the other parameter.
f) Control Charts: Control charts are used to verify whether a process is under control.
Variables, when they remain within a range, will render the product and maintain the
specifications. This is called the quality of conformance. The range of permitted deviations is
determined by design parameters. Samples are taken and the mean and range of the variable
of each sample (subgroup) is recorded. The mean of the means of the samples gives the
control lines. Assuming normal distribution, we expect 99.97 percent of all values to lie within
the Upper Control Limit (UCL) and Lower Control Limit (LCL) – corresponding to + 3 σ. The
graphical representation of data helps in changing settings to bring back the process closer to
the target.
1g) Cause and Effect Diagram: Cause and effect diagram represents all the possible causes
which lead to a defect on quality characteristics. These are arranged in such a way that
different branches representing causes connect the stem in the direction of the discovery of
the problem. When each of them is investigated thoroughly we will be able to pin-point some
factors which cause the problem. We will also observe that a few of them can have
cumulative effect or even a cascading effect.
Deming wheel: Deming's TQM helps organizations to improve the quality of the products
and services they offer. Deming’s approach is summarized in his 14 points.
11. Constancy of purpose for continuous improvement
22. Adopt the TQM philosophy for economic purposes
33. Do not depend on inspection to deliver quality
44. Do not award any business based on price alone
55. Improve the system of production and service constantly
66. Conduct meaningful training on the job
77. Adopt modern methods of supervision and leadership
88. Remove fear from the minds of everyone connected with the organization
99. Remove barriers between departments and people
1010. Do not exhort, repeat slogans, and put up posters
1111. Do not set-up numerical quotas and work standards
1212. Give pride of workmanship to the workmen
1313. Education and training to be given vigorously
114. State and exhibit top management’s commitment for quality and productivity
Using the above principles, Deming gave a four step approach to ensure a purposeful journey
of TQM. The slope is shown to indicate that if efforts are let up the programmed will roll
back.
• Plan means that a problem is identified, processes are determined and relevant
theories are checked out.
• Do means that the plan is implemented on a trial basis. All inputs are correctly
measured and recorded.
• Check means that the trials taken according to the plan are in accordance with the
expected results.
• Act means when all the above steps are satisfactory regular production is started so
that quality outcomes are assured.
Crosby’s absolutes of quality: Like Deming, Crosby also lays emphasis on top management
commitment and responsibility for designing the system so that defects are not inevitable. He
urged that there be no restriction on spending for achieving quality. In the long run,
maintaining quality is more economical than compromising on its achievement. His absolutes
can be listed as under:
• Quality is conformance to requirements, not ‘goodness’
• Prevention, not appraisal, is the path to quality
• Quality is measured as the price paid for non-conformance and as indices
• Quality originates in all factions. There are no quality problems. It is the people,
designs, and processes that create problems
Crosby also has given 14 points similar to those of Deming. His approach emphasizes on
measurement of quality, increasing awareness, corrective action, error cause removal and
continuously reinforcing the system, so that advantages derived are not lost over time. He
opined that the quality management regimen should improve the overall health of the
organization and prescribed a vaccine.
1Q5. Define project cycle, project management, and scope of project. List the various
project management knowledge areas? What are the reasons for failure of a project?
Ans:
Project cycle: A project cycle consists of the various activities of operations, resources, and
the limitations imposed on them
Scope: Scope of the project refers to the various parameters that affect the project in its
planning, formulation, and executions.
Project failure:
A project may fail because of one or more of the following reasons:
• Incidence of project failure
• Factors contributing to project success not emphasized
• Overview of Information and Communication Technologies (ICT) projects
• Common problems encountered during projects
Reason for the failure of a project are given below:
• Incidence of project failure: The incidents of project failure are due to following
reasons:
• Projects being initiated at random at all levels
• Project objective not in line with business objective
• Project management not observed
• Project manager with no prior experience in the related project
• Non-dedicated team
• Lack of complete support from clients
1Q6. Explain the various phases in project management life cycle. Explain the necessity
and objectives of SCM.
Analysis and evaluation phase: Analysis and evaluation phase is the initial phase of any
project. In this phase, information is collected from the customer pertaining to the project.
From the collected information, the requirements of the project are analyzed. According to the
customer requirement, the entire project is planned in a strategic manner. The project manager
conducts the analysis of the problem and submits a detailed report to the top management.
The important tasks of the project manager during the phase of analysis and evaluation
include:
• Specification Requirements Analysis (SRA): SRA has to be conducted to determine
the essential requirements of a project in order to achieve the target.
• Feasibility Study: Feasibility study has to be conducted to analyze whether the project
is technically, economically, and practically feasible to be undertaken.
• Trade-off Analysis: Trade-off analysis has to be conducted to understand and
examine the various alternatives which could be considered for solving the problem.
• Estimation: Before starting a project, estimation has to be conducted on the project
cost, effort required for the project, and the functionality of various processes in the
project.
• System Design: According to the customer requirement, a general system design has
to be chosen to fulfill the requirements.
• Project Evaluation: The project has to be evaluated in terms of expected profit, cost,
and risks involved.
Marketing phase: A project proposal is prepared by a group of people including the project
manager. This proposal has to contain the strategies adopted to market the product to the
customers.
Design phase: Design phase involves the study of inputs and outputs of the various project
stages.
• Inputs received consist of: project feasibility study, preliminary project evaluation
details, project proposal, and customer interviews.
• Outputs produced consist of: system design specifications, functional specifications
of the project, design specifications of the project, and project plan.
Execution phase: In execution phase, the project manager and the team members work on
the project objectives as per the plan. At every stage during the execution, reports are
prepared.
Control – inspecting, testing and delivery phase: During this phase, the project team works
under the guidance of the project manager. The project manager has to ensure that the team
working under him is implementing the project designs accurately. The project has to be
tracked or monitored through its cost, manpower, and schedule. The project manager has to
ensure ways of managing the customer and marketing the future work, as well as ways to
perform quality control work.
Closure and post completion analysis phase: Upon satisfactory completion and delivery of
the intended product or service the staff performance has to be evaluated. The project
manager has to document the lessons from the project. Reports on project feedback are to be
prepared and analyzed. A project execution report is to be prepared.
Let us have a quick recap of what is involved in the above phases.
o Analysis and evaluation phase: The preparation stage involves the preparation and
approval of project outline, project plan, and project budget.
o Assigning task to the team members: The next stage involves selecting and briefing
the project team about the proposals, followed by discussions on the roles and
responsibilities of the project member and the organization.
o Feasibility study: The feasibility or research stage establishes whether the project is
feasible or not and establishes the risk factors likely to be faced during the course of
the project execution and the related key factors to overcome the problems.
o Execution phase: A detailed definition and plan for the project and its execution is
prepared by the team and coordinated by the project manager.
o Implementation stage: The implementation stage involves the execution of the project
as per the plan. This also involves careful monitoring of the project progress and
managing the changes, if any, within the scope of the project framework.
o Closure and post completion analysis phase: The final stage involves satisfactory
delivery of the product/service to the customers. Upon completion, a project review is
to be conducted by the project manager along with team members, sponsors, and
customers. A project review process involves discussions about the progress,
performance, hurdles that were overcome and problems faced, so that, such instances
could be avoided in future projects.
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