On the surface, Company A appears to be a nicely bundled
continuous-flow operation. All component parts except hardware are
molded in-house on the press line. Some parts go to the assembly
area to be built into truck hoods or truck tops. The truck hoods
are painted with primer and share a paint line with the tops that
are painted in multiple colors to a finished state. Other molded
components go directly from the press line to a second paint line
that paints primer only. In all cases after painting, the products
are packaged for shipment. It would appear that one bill of
material per end item, with a routing from start to finish would
be appropriate. In utilizing this single-thread concept, the end
items would be master-scheduled, leaving all lower levels to be
planned in an MRP fashion. A typical BOM would look like this:
Bill of Material—Truck Tops
Finished Top (MPS Item) Shipping Bags Painted Top
Assembled Top Molded Top Panel Molded Right Side Panel
Molded Left Side Panel Molded Rear Panel
• Molding Compound #9024, 85#
• • Fiberglass Roving, 15#
• • • • • R & H Resin, 65#
• • • • • Calcium Carbonate, 5#
• • • Hardware
• • • Rubber Seals
• • Paint
• • Spatter Coat
As "clean" as this sounds, the
approach leaves something to be desired. In order to understand
the weaknesses we need to examine the resources:
1. The Paint Primer Line is near 100%
capacity on two shifts, but can process any amount that the
presses can provide. A consideration for the primer line is
that they must run things in batches that use the same type of
primer.
2. The hood and top assembly line is under
capacity on its two-shift operation.
3. The presses are overloaded. Certain
presses are working three shifts per day. Additionally, the
tools to make certain component parts cannot be placed in just
any press. Due to size and pressure requirements tools are
limited to use in certain presses.
Because of these constraints, top-level
master scheduling will not provide control over the critical
resources, the presses. Also, scheduling by end item does not
provide the controls needed at the primer line. Clearly, the
objective is to maximize control over the resources that control
the output of the plant. To do so, MPS and BOM changes are
required.
Scheduling Company A
The Press Line is the first candidate for
master schedule control, but only for those presses that are
regulating throughput (bottlenecks). The presses that do not
control the throughput of the follow-on resources are left to MRP.
The bottleneck presses require a good deal of attention. After
all, by definition, they are regulating the flow of product
through the entire process. With these thoughts in mind we must
develop a schedule for the bottleneck presses that maximizes their
output. This maximization is accomplished through the application
of any number of techniques such as batch splitting, minimizing
down time by scheduling preventive maintenance, reducing setup
times, maximizing the quality of incoming material to the presses
and improving molding processes to el iminate scrap at the
presses. After applying the techniques and maximizing the presses'
output, we have produced a schedule that can be used to drive the
other resources. We now use the press schedule to
backward-schedule the Compound Room (upstream activity), and to
forward-schedule the downstream activities (Figure 1).
By master-scheduling the bottleneck presses, we
are assured of maximizing the total system's output. It would not
be logical to assume that all of our planning considerations could
be accommodated by back-scheduling the presses from an end-item
explosion, in a typical MRP fashion.
Once the MPS is completed, the BOM must be
created, or adjusted, to provide the ability to execute the
schedule. In this case, since the MPS is in midstream of the
product flow, multiple bills must be created. Conceptually, the
outcome we have created is the scheduling of the actual resources,
the presses. But, in application we must produce a schedule for
those parts that run over those resources. Each of the MPS items
must have a BOM to develop requirements for the Compound Room. One
of those bills might look like this:
Top Level 13768a
Level 01 Molding Compound #9024, 85#
Level 02 Fiberglass Roving, 15#
Level 02 R & H Resin, 65#
Level 02 Calcium Carbonate, 5#
The demand on the Compound Room is the
projected output plan for the bottleneck presses. We can input
that demand schedule to MRP and let it do the balance of the
planning for the Compound Room.
There is another resource we should consider
for master scheduling; the Paint Primer Line. The reason for
master scheduling this resource is that it must be scheduled in
accordance with whatever is produced from the presses. The actual
and planned output from the presses becomes the demand that is
loaded into the primer line MPS. Now the primer line can be
scheduled in accordance with its peculiar requirements. And, in a
fashion identical to the press line, bills of material must be
developed for the primer line's MPS items.
By scheduling Company A as has been described,
several advantages are achieved:
1. The critical, or bottleneck, resources are maximized, and
subsequently the output of the total system.
2. Inventories can be controlled better because both push and
pull techniques are employed.
To be Continued
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