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Procedia CIRP 61 (2017) 22 – 27

The 24th CIRP Conference on Life Cycle Engineering

Development of 1/N machines for optimization of life cycle cost

responding to globally varying production environment
Yasuhiko Yamazakia*
a
DENSO CORPORATION, 1-1 Kariya-shi Show-cho, Aichi 448-8661, JAPAN

* Corresponding author. Tel.: +81-566-25-5513; fax: +81-566-25-4615. E-mail address:yasuhiko_a_yamazaki@denso.co.jp

Abstract

International business competition is becoming intense along with economic growth among emerging countries. One of the most significant
issues in the expansion of global production involves the localization of parts. Parts processing requires sophisticated techniques, and its
localization requires a certain level of production volume and investment. These needs have caused delays in localization, now among the most
significant hindrances to competitiveness. We developed 1/N machines in order to solve these issues and build a new lean production system
with high cost competitiveness. This system is expected to reduce environmental footprints and generate steady competitiveness throughout the
entire product life cycle.
© 2017 The Authors. Published by Elsevier B.V. This is an open access article under the CC BY-NC-ND license
© 2017 The Authors. Published by Elsevier B.V.
(http://creativecommons.org/licenses/by-nc-nd/4.0/).
Peer-review
Peer-review under
under responsibility
responsibility of the cscientific
of the scientifi committeecommittee of the
of the 24th CIRP 24th CIRP
Conference Conference
on Life on Life Cycle Engineering.
Cycle Engineering

Keywords: Lean production system; 1/N machine; Die casting; Forging; Parts localization; Global manufacturing

1. Introduction what we call “1/N Machines” that enable us to significantly

reduce the optimal production volume of certain parts, thus
Global corporate competition continues to intensity amid achieving greater cost efficiency and realizing lean production,
the development of emerging economies and the creation of and in turn avoiding waste throughout the manufacturing
new IT-aided business models. Such environmental changes processes. These machines constitute a manufacturing system
and the need to respond more effectively to market needs are that promotes parts localization, greatly improving our cost
pushing many manufacturing companies to relocate their competitiveness and responsiveness to market changes. The
activities to or near their markets. However, many parts system has also proven effective in substantially reducing
continue to be manufactured at mother plants and then energy consumption and improving competitiveness
exported because their manufacturing cannot be localized due throughout the product life cycle. This paper describes the
to their complexity and production volume. In most such concepts behind the development of 1/N Machines, illustrated
cases, economies of scale can be attained only with a high using concrete examples [1][2][3][4][5].
level of output. In other words, localization is not an attractive
investment option unless parts are produced in large quantities. 2. Optimal output level and responsiveness to market
In addition, the processing of parts whose optimal production fluctuations
volume is large often involves considerable waste in terms of
total life cycle cost since it is generally highly energy- Manufacturing comprises various processes. It is generally
consuming and is not flexibly adaptable to market changes. known that each process has an optimal level of output at
Moreover, given the long investment cycle of these large- which economic efficiency is attained under given conditions
volume processes, equipment and process upgrading tends to (“optimal output level” hereafter). As indicated in Fig. 1,
be slow. To overcome these problems, we have developed

2212-8271 © 2017 The Authors. Published by Elsevier B.V. This is an open access article under the CC BY-NC-ND license
(http://creativecommons.org/licenses/by-nc-nd/4.0/).
Peer-review under responsibility of the scientific committee of the 24th CIRP Conference on Life Cycle Engineering
doi:10.1016/j.procir.2016.12.002
 Yasuhiko Yamazaki / Procedia CIRP 61 (2017) 22 – 27 23

㻻㼜㼠㼕㼙㼍㼘 㻼㼍㼞㼠㼟 㻼㼞㼛㼏㼑㼟㼟㼕㼚㼓 㻭㼟㼟㼑㼙㼎㼘㼕㼚㼓

㻻㼡㼠㼜㼡㼠
Long Lead time for 1 process Short
㻿㼔㼍㼜㼕㼚㼓 㼀㼞㼑㼍㼠㼙㼑㼚㼠 㻾㼑㼙㼛㼢㼕㼚㼓 㻭㼡㼠㼛㼙㼍㼠㼕㼛㼚 㻹㼍㼚㼡㼍㼘
㼘㼑㼢㼑㼘 㻷㻛㻹 㻨㻮㼍㼠㼏㼔㻌㼜㼞㼛㼏㼑㼟㼟㻪 Process Treatment Molding Removing Assembling Deforming
䠍䠌䠌䠌䠌 㻼㼞㼑㼟㼟 㻼㼘㼍㼠㼕㼚㼓 㻹㼡㼘㼠㼕㻙
䠍䠌䠌䠌 㼟㼜㼕㼚㼐㼘㼑 㻴㼕㼓㼔㻌㼟㼜㼑㼑㼐 Heatreatment Diecasting Cutting Automation Press
㻹㼛㼘㼐㼕㼚㼓 㻴㼑㼍㼠㻌 Ex. Plating
䠍䠌䠌 㻰㼕㼑 㼠㼞㼑㼍㼠㼙㼑㼚㼠 㻸㼍㼠㼔㼕㼚㼓 㻸㼍㼞㼓㼑 Plastic molding EDM Manual ColdForging
䠍䠌 㼏㼍㼟㼠㼕㼚㼓 㻰㻸㻯 㻹㼍㼏㼔㼕㼚㼕㼚㼓 㻼㼞㼛㼐㼡㼏㼠 Large
Multi cavities
Fig. 1 Optimal output level of representative processes quantity High speed
Multi machines
Parallel production One piece flow
molding generally has a high optimal output level, followed Large volume lot production
Batch production
by the levels for treatment and removal. Batch
Process integrating Changeover
Using the formula for the average capital and depreciation Production (cell) production
cost of processing, equipment cost divided by production Small No existing
quantity Low efficiency
output shows that a process with a high optimal output level
inevitably sees costs rise if the production volume is small. Fig. 2 Classification of manufacturing system based on economic
Since a process with high optimal output usually involves efficiency of production volume
large-scale equipment, a change of product model requires a
complex and time-consuming setup. Consequently, such a significant improvement through the multiple of an integral
process is often employed most advantageously for mass number.
production with a large production lot and inventory. Such a
process can realize low-cost production if a fixed quantity of 3.2. 1/N machine development to change the optimal output
output is secured. However, once output decreases, not only level
does it push up the processing cost, but it also generates much
wasted energy, factory space, and many other manufacturing As described in section 2, processes with a large optimal
factors. It also has the disadvantage of drastically reducing output level are difficult to relocate overseas or adjust to
production efficiency once multiple-model manufacturing market fluctuations. As a result, they generate much waste
develops in response to market needs. Therefore, to maintain during the product life cycle, pushing up costs. This used to
cost competitiveness in manufacturing that uses such a be accepted as inevitable, and manufacturing lines were
process, priority is given to ensuring output volume. This type designed to achieve the best possible results under
of manufacturing is not suited for localization, nor is it unavoidable conditions. However, this approach is no longer
capable of flexibly responding to ever-diversifying market valid in the face of ever-intensifying global competition. This
needs. Moreover, in terms of life-cycle cost, given the problem can be addressed in several ways. One is to develop
difficulty of accurate long-term forecasts, manufacturing must new equipment and technologies that lower the optimal output
constantly allow for ample leeway in order to be kept level. The conventional improvement cycle for reinforcing the
reasonably responsive to future fluctuations. This generates competitiveness of parts processing begins under pressure to
significant long-term waste across the board, ranging from cut costs and arrives at higher processing speed or multiple-
equipment and labor and material costs to environmental piece processing, intended to increase output per unit time and
impacts. Thus, a process with a high optimal output level is a thus reduce costs. This approach eventually reduces
low-robustness process that can be competitive only under manufacturing flexibility, which is maintained through
extremely limited conditions. various improvement efforts (such as mixed production lines
and improved setup times to handle multiple-model
3. Development of 1/N machines production), thereby increasing the operating rate, which is
then linked to the next improvement target. Such a cycle has
3.1. Target area of 1/N Machine development been maintained thus far. Although effective in increasing the
operating rate of equipment through higher-speed, multiple-
Processes that have a high optimal output level, lack piece, and/or multiple-model processing, this cycle is based
flexibility, and can be competitive only in large-volume on the premise that substantial processing volume is
production can be classified into two types: those that have maintained and thus cannot effectively handle a change of
large capacity per unit equipment because of large-lot batch product model. We therefore developed a new problem-
processing, used to ensure efficiency despite its extremely solving cycle based on a new wide-ranging concept that
long processing time (e.g., plating and heat treatment) and encompasses the overall global production system, with an
those that have large capacity per unit equipment because the eye to overseas relocation. The cycle we envision minimizes
processing time is extremely short (e.g., pressing). Neither the optimal output level of certain manufacturing processes to
type has a cost-efficient method or equipment suited for low- achieve cost reduction; by doing so, the cycle facilitates
volume production, as shown in Fig. 2. Improving in these investment in manufacturing, either at home or overseas,
areas requires developing processing methods that reduce while at the same time making manufacturing more resistant
equipment costs, rather than reducing the number of pieces and responsive to changes of volume or model, as investment
processed per unit equipment for the former type or slowing is possible in a smaller amount in the precise way required for
down the processing time for the latter type. We attempted to production. Moreover, beyond separate processes, the cycle
develop such a processing method, to be performed by what enables the streamlining of the entire production system,
we call “1/N Machines.” The “1/N” signifies their goal: eliminating waste and transforming it into a highly cost-
24 Yasuhiko Yamazaki / Procedia CIRP 61 (2017) 22 – 27

Traditional production system K/M

100K/line
25K/line K/M K/M
Parts manufacturing Assembly
Specific optimization for each process 200 200 200

Customer
100 100 100

Stuff to Heat Surface 0 0 0

2 4 Y 2 4 Y 2 4 Y
principle Machining Griding treat- treat-
forms ment ment Enhancement of Improvement of Risk aversion for
Waste of Waste of material Waste of Diversion by Cash flow Surplus investment
Waste of size
Material handling Stock Small capability

Fig.3 Waste in traditional parts production system Fig. 5 Effect of optimal output level investment

competitive production system. Fig. 3 shows several examples

of waste in traditional parts manufacturing by large lot

Investment
production. Cost can NOT be reduced
Because of its high optimal output level, each parts factory proportionaly by capability
100k
has operated as a dedicated factory engaging in large-lot Cost can be reduced
production, generating much waste in many areas. This waste 25k proportionaly by capability
has always been recognized as a problem, but it has become Traditional Small capability
far more serious in recent years because of its huge negative Machine Machine(1/N)
impact as manufacturing has become more complex due to the Fig. 6 Problem of small capability machine
growing sophistication of parts. The increased sophistication
of products has resulted in diversification, reducing the Investments designed to lower the optimal output level of
production volume per model. At the same time, advances in parts processing can significantly eliminate waste not only
product functionality and high precision mean that parts are from the target production system but also from the
no longer completed in a single manufacturing process but investment itself. As Fig. 5 indicates, a reduced investment
now undergo several steps—such as molding, cutting, and unit improves the company ÿ s cash flow and allows the
heat treatment—before completion, as Fig. 4 shows. These company to avoid the risk of excess capacity. It also makes it
changes have generated substantial costs related to possible to divert assets for other uses in smaller units. Small
transportation and stock between manufacturing processes, as unit investment can also realize a lean production system
well as tasks relating to their management, representing waste through the synchronization of processes throughout the
that does not produce added value. Minimizing or eliminating product life cycle. The production of the desired quantity at
such waste has become a major key to enhancing the desired time also minimizes energy consumption.
manufacturing competitiveness.
Under these circumstances, our goal is to minimize the 3.3. Key point of the development of 1/N machines
optimal output level of parts processing through technological
and equipment development and to create a seamlessly The average capital and depreciation cost of processing can
synchronized flow throughout the production system, thereby be obtained by dividing the equipment cost by the number of
minimizing waste. pieces processed. A conventional approach to minimizing the

㼑㼤㻚㻕㻌㻮㼛㼐㼥㻌㼒㼛㼞㻌㻲㼡㼑㼘㻌㻵㼚㼖㼑㼏㼠㼕㼛㼚㻌㻼㼡㼙㼜㻌㼛㼒㻌㼐㼕㼑㼟㼑㼘㻌㼑㼚㼓㼕㼚㼑
Conventional Parts Fuel efficient/safety product
→simple function, simple shape →Multi function, complicate shape
Cost

㻴㼛㼡㼟㼕㼚㼓 㻮㼛㼐㼥

Waste
Value
Value

Cost

Waste Waste
Waste Net
Cost
Net Cost
Heat treatment
Conveyance

Conveyance

Conveyance

Conveyance

Conveyance

Conveyance
Plating
Electropolishing
Conveyance
Machining

Machining
Die-casting

Warm Forging

Repacking

Repacking

Repacking

Repacking

Repacking

Repacking
Assembly

Assembly

Process㸦э㸧 Process㸦э㸧

Fig. 4 State of waste within parts process

 Yasuhiko Yamazaki / Procedia CIRP 61 (2017) 22 – 27 25

optimal output level—reducing equipment capacity— valve parts in an integrated and synchronized line. The overall
encounters the fundamental problem of continued cost line is composed of material (aluminum alloy) injection, die
increases, as shown in Fig. 6: dividing the existing functions casting, heat treatment, cutting, washing, alumite treatment,
is no longer a valid solution. Research must therefore be and inspection in order to solve the problem of a small-
pursued from a totally new angle. For effective problem capability machine, as Fig. 6 shows. Previously, each of these
solving, target processes must be fundamentally reviewed and processes was located in a separate building. Due to the large
transformed in light of the ultimate purpose, and work steps production capacity of each equipment component, large
and equipment composed of small units must be realigned at quantities of stock existed between the processes, which
low cost. The cases presented in the following section required wasteful transportation, loading, and unloading. In
describe how we have achieved these objectives. the new integrated and synchronized line including the small-
scale 1/N die-casting system, the equipment was made smaller
4. Practical cases for each process, with output and setup time equally reduced
[8]. The surface area occupied by equipment was reduced by
4.1. 1/N Machine development for die casting 1/5, energy consumption by 1/2, and production cost by 33%
over the previous line (see Fig. 8).
Die casting is a process that involves injecting molten
metal under high pressure into a die to mold it. Its industrial 4.2. 1/N Machine development for forging
advantage is the ability to mold complex forms in a short
period of time. The melting furnace must retain a large A forging machine is large due to its great processing load,
quantity of molten metal inside to maintain a fixed interior which requires a dedicated factory in a tall building, as well as
temperature, which requires large-scale equipment. A die- ground reinforcement work, hoist cranes, the transportation of
casting machine requires high pressure to eliminate defects large dies and materials, and anti-noise measures. It is also
(blow holes) that would otherwise form inside the molded necessary to manufacture large lots and keep stock so as to
pieces[6]. Therefore, die-casting equipment is high-output, minimize the number of setups, which are time-consuming
highly rigid, and large-scale. Heat treatment furnaces, which and during which operation must be suspended.
are often operated on a batch system, have the disadvantages An integrated and synchronized forging process requires
of being large in scale and generating intermediate stock. reducing equipment size to a level small enough to be housed
In our development project, we set the goal of in an ordinary factory and realizing quick changeover (with
transforming the respective components of the existing die- each setup time taking 10 minutes or less) through 1/N
casting equipment and creating a small, manageable, and processing load reduction and machine downsizing. Since the
continually operative system with an investment-friendly processing load is determined by adding up material
optimal output level (production capacity) in anticipation of deformation resistance and surface area, it is most effective to
global development in order to realize integrated and reduce deformation resistance by overlaying heat or to adopt
synchronized manufacturing free of waste within and between incremental forging, thereby reducing the surface area
the processes. We focused on the die-casting process, which processed per work step and dispersing load[9]. The
would be the heart of the new system, departing from the techniques used to achieve these results vary from one
conventional high pressure-dependent method by developing machine to another and one parts type to another, and also
a technology to maintain die-casting quality even under low depend on line lot size. Therefore, the know-how required for
pressure [7]. We also developed a technology for stabilizing
the temperature inside the furnace even with a small amount Traditional Line Machining&
Almite Inspection
of molten metal and an online heat treatment furnace. By washing
Die casting
setting up these processes as cells, thus completely Material
eliminating the need for transportation between the processes,
we realized a new integrated and synchronized system. Melting Heat treatment
Fig. 7 shows an example of the application of our small- 1/N system Machine Area :1/5 Valve
scale 1/N die-casting system to the processing of hydraulic Energy
Consumption:1/2
Cost ▲33%
Machining
1/N Die casting 1/N Almite
&washing
Fig. 8 Synchronization consistency line with the 1/N die casting system

6(QTIKPI/CEJKPG 0/CEEJKPG 6

9JKVGETCPG *KIJTQQH
RNCPV
㻝㻚㻡㼙
3.5m

(NQQT#TGCᲴO
#TGC ᲫᲩᲰ
(NQQT#TGCᲴO /CEJKPGEQUV ᲫᲩᲭ
2TQEGUUEQUV ŢᲭᲪᲟ

Fig. 7 1/N Compact die casting system Fig. 9 Comparison between traditional machine and 1/N machine
26 Yasuhiko Yamazaki / Procedia CIRP 61 (2017) 22 – 27

adjusting the techniques to each process is enormous and ᵪᶍᵿᶂᴾ ᵲᶇᶋᶃᴾᶂᶇᶄᶄᶃᶐᶃᶌᶁᶃᴾᶕᶍᶐᶉᶇᶌᶅ

represents competitiveness technology that is difficult for ᵿᶒᴾᶒᶆᶃᴾᶑᵿᶋᶃᴾᶒᶇᶋᶃ 㻯㼞㼍㼚㼗
competitors to emulate. 㻝㼍㼏㼠㼡㼍㼠㼛㼞

Process load (T)

㻹㼛㼠㼛㼞 㻝㼟㼠㼞㼛㼗㼑
Fig. 9 shows a case of 1/N Machine application for forging. 㻢㻜 㻺
㼎㼥㻌㻸㼛㼣㻌㼘㼛㼍㼐
More than half the processing equipment cost is said to come 㻠㻜
Process divided
from the frame that supports the processing load. To divide 㻞㻜
䠍䡏䡐
and reduce the load through incremental processing, we 㻜
Traditional method 1/N Machine
decided to effectuate deferred processing for each work step
by adding an angle difference to the crank shaft, as Fig. 10 Fig. 10 Load reducing method of 1/N Forging Machine
shows. This method, in which pressure is applied to pieces
one after another at each turn of the crank shaft, reduces the Cost index
processing load by 1/number of work steps and the processing Labor Cost
Dipreciation Cost
164
126 121
equipment size and capacity by 1/N. In designing the 116
123
100
processing line, it was essential to disperse the load by
intelligently adjusting the mode of pressurization and die
structures to prevent load concentration or imbalance. The
Traditional 1/N Traditional 1/N Traditional 1/N
optimization of forging, in combination with subsequent Die casting Die casting Die casting Die casting Die casting Die casting

cutting by specifying sections of pieces to be cut by the 1/N At the case of At the case of Including next
100% OEE ͤ Real OEE ͤ generation at
cutting machine, constitutes know-how. The reduced (full capacity) Real OEEͤ
processing load in turn decreased equipment rigidity, and ͤOEE=Overall equipment efficiency
setup time was cut to several minutes because smaller dies,
Fig. 11 Cost comparison between traditional machine and 1/N
placed next to the machine, could be lifted without a hoist.
Smaller carts could now be used to change materials, which
was completed within a few minutes. It became possible to 5.2. Significance of 1/N machine development
run several work steps together, synchronizing forging with
cutting and subsequent treatment and enabling the processing Manufacturing technology faces many challenges; in all
of parts with high added-value at 30% lower cost [10]. We cases, the primary concerns are cost and quality (including
intend to export this integrated and synchronized line outside environmental conservation). While manufacturers cite
Japan in order to enhance our global competitiveness. numerous goals such as process synchronization, inventory
reduction, and overseas localization, they are all premised on
5. Significance of 1/N machine development the fulfillment of cost and quality requirements. It has been
believed almost as an absolute truth that increased output
5.1. Life cycle cost in a model case equals cost reduction. Indeed, technological advances in
manufacturing have been founded on this belief, and it is no
These processing methods and equipment have already exaggeration to say that cost reduction has been achieved
achieved substantial cost reductions with regard to the through capacity augmentation by way of accelerating
respective parts. Even greater efficiencies can be expected production and increasing the number of pieces processed per
from these technologies throughout the product life cycle, as unit equipment . This approach is valid as long as output
described in Fig.11 for the example of die casting. volume and product types remain stable on the simple premise
Conventional processing using large-scale equipment can of continued economic growth. Today, as product types and
be cost-competitive if operated at full capacity. However, output volume inevitably vary, manufacturing processes with
high-capacity processing is difficult to maintain if equipment a high optimal output level, which have promoted higher-
flexibility is low. With melting furnaces, it is next to speed and multiple-piece processing, generate significant
impossible to switch materials. This means that a change of waste and increased costs. As the preconditions for
material entails the addition of a new machine. Requiring as manufacturing are changing from the medium- to long-term
many machines as materials implies extremely low-capacity perspective, a completely new approach is being called for in
utilization. The setup of dies for die-casting machines that order to adapt to the changes .
handle an increasing number of product types seriously In such a situation, production capacity (i.e., optimal
compromises the operating rate. The new system enables output level) reduction by 1/N goes against the conventional
operation that produces only the necessary quantity and only concept of cost reduction. It has never before been placed at
when necessary, thereby constantly maintaining a high the heart of development. The keys to achieving it cannot be
operating rate. For a product switch, the system can be easily found in an extension from the conventional principle of
converted for a new product type thanks to the low optimal processing. Achieving a lower optimal output level requires
output level, without waste of investment. The constant reducing equipment cost rather than slowing down the
maintenance of a high overall operating rate means lower processing cycle and, most importantly, by first lowering the
labor and energy costs. mechanical processing capacity. In the case of die casting
presented above, we initially attempted to lower the optimal
output level by slowing down the processing cycle, but this
was not economically viable unless the equipment cost was
 Yasuhiko Yamazaki / Procedia CIRP 61 (2017) 22 – 27 27

reduced. After examining the case from several angles, we and surface finishing, which have traditionally been processed
found a concrete key to reducing the equipment cost: lower in large batches. Our approach of minimizing the optimal
pressure. Reducing the equipment cost required simplifying output level in pursuit of the ultimate goal of one-by-one
the equipment, which we achieved by using lower pressure processing resonates with the concept of lean production as
for injection. This goes against the development of die casting well as environmentally benign manufacturing. One-by-one
thus far, which has evolved with the use of increasingly processing, through its remarkable process controllability,
higher pressure, in turn necessitating larger equipment. Higher promotes upgrading and facilitates the observation of
pressure has been employed to increase processing speed and traceability and first-in-first-out rules as part of process
the number of pieces processed per die, as well as to apply management, greatly contributing to quality improvement.
pressure before material solidification in order to reduce Given the rapid advances in information technology, one-by-
internal defects from the squeeze casting method. This one processing suggests the possibility of data collection in
evolution has proceeded in the right direction in accordance single-piece units; such data could then be utilized for further
with the conventional principles of processing. However, process development. We intend to pursue 1/N equipment
development is reoriented when processing methods change development to perfect a flexible and compact production
as preconditions, leading to new discoveries. A development system that realizes a one-piece manufacturing flow stretching
that lowers the optimal output level with 1/N equipment has from the factory’s entrance to its exit.
the potential to create new value by abandoning conventional
processing methods. References
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