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Ed Red
ME 482 - Manufacturing Systems
Objectives
INMASS/MRP Modules
MRP (Materials Requirements Planning)
Inventory Control
Bill of Materials
Job Cost/Work
in Process
To review modern production control
technologies
Purchasing
- MRP
Sales Order Entry
- JIT
General Ledger
Accounts Receivable
- Shop floor control
Accounts Payable
- Inventory control
Payroll
Shop Floor Control
Bar Coding
To study costs and complexity of manufacturing
systems
Forecasting
StarShip Shipping Module
output levels.
6 or more months
Master production planning - Breaking down the enterprise product plans into
a master production schedule (MPS) for producing models within each product
line.
Inventory control
Concerned with minimizing cost of holding inventory and maximizing
customer service. These seem to conflict.
Types of inventory:
Raw materials
WIP
Components
Finished products
Inventory costs:
Investment costs
Storage costs
Possible obsolescence costs
Spoilage costs
Costs considerations:
Production consists of a series of operations
Time is consumed in each operation (and time is cost)
Time and costs are consumed between each operation (e.g., material handling
with no value added)
Ch = holding costs
HCpc holding cost per part
TCpc total cost per part including WIP carrying costs
ME 482 - Manufacturing Systems
Ta = Tsu + Q Tc + Tno
MLT
MLT = no Ta
(batch process)
Cpc = Cm + Sk Cok
Cpc = Cm + no ( Co Tp + Cno )
* assuming Tpk and Cnok are the same for each operation
( k = 1, .. no)
where HCpc = holding cost for WIP HCpc = (Cm + Cp/2) h (MLT)
ME 482 - Manufacturing Systems
The cost of the raw material for a certain part is $100. The part is
processed through 20 processing steps in the plant, and the
manufacturing lead time is 15 wk. The production time per processing
step is 0.8 hr, and the machine and labor rate is $25.00/hr. Inspection,
material handling, and other related costs average to $10 per
processing step by the time the part is finished. The interest rate used
by the company i = 20%, and the storage rate s = 13%. Determine the
cost per part and the holding cost.
Agile manufacturing
Responsive to change
Minimize change!
Embrace change!