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Group Technology

GROUP TECHNOLOGY

A component of CAD that allows for the


cataloging and standardization of parts
and components for complex products.
(Foster, 187)
TWO MAIN TYPES OF GROUP TECHNOLOGY
(GT) SYSTEMS:

• Cellular Manufacturing
• GT Coding and Classification Systems
Cellular Manufacturing
 Placing parts with the same requirements
in a GT cell
 Producing small and more flexible
assembly lines in a production operation
 Manufacturing similar parts in a small area
Group Technology Coding and
Classification Systems
 Assigns codes to different parts based on a
descriptive coding system
 Parts are categorized into groups based on
similar characteristics
 Codes can be used to search for parts in a
Group Technology database
Group Technology Advantages
 Group Technology (GT) has a competitive
advantage:
• The quality of products are improved
• Profits are improved
• Improved customer service
Quality Improvement Advantage
 Operators work with a limited amount of
parts; increasing their skills in these areas.
 Smaller batches lead to smaller amounts of
defective parts.
 Operators detect more mistakes when
working in a small work area.
Improved Profits

• Reducing production costs can lead to


increased profits.
• An increase in the production of parts
• Simplified estimation of costs
Improvements in Customer
Service

• Shorter Lead Times


• Deliveries are more reliable
• Easier tracking of the status of an order
• Access to a Group Technology database
for salespeople
Group Technology in
Organizations

• Manufacturing organizations
– GT cell layout is most suitable for batch
processes
Group Technology in Batch
Processes

• Offers more flexibility


• Decrease in setup times
• Decline in work-in-process inventories
Offering more flexibility in Batch
Processes

• Reduction in lead time allows for more


flexibility in certain areas
- Areas can include the reaction to
market demand
Decrease in Setup Times

 Group of similar parts in each cell leads to


smaller setup times
Decline in Work-In-Process
Inventories

 Smaller batch sizes allow for less work-in-


process
Example of a corporation using
Group Technology

Harley-Davidson Inc.
• Cell-based cylinder machining resulted
in a 29% reduction in scrap, and
productivity increased 26%
(Frazier, 86)
Exercise
1. What are the two types of Group Technology Systems?
2. What assigns codes to different parts based on a
descriptive coding system?
3. Cellular Manufacturing places what type of parts
together?

-Cellular Manufacturing - Similar

-Group Technology
Coding &Classification -GT Coding & Classification Systems
Systems
Summary of Group Technology
 Group Technology (GT) is a component of
CAD (Computer Aided Design).
 Categorizes similar parts in a GT work cell
 There are two main types of GT systems
 GT offers a competitive advantage
 GT cells tend to be more suitable for batch
processes
Bibliography
Foster, Thomas S. Managing Quality: An
Integrative Approach. New Jersey: Prentice-
Hall, Inc. , 2001.

Frazier, George V. “Achieving Competitive


Advantage Through Group Technology.”
Business Horizons V39 May/June 1996:
83-90.

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