Chap015 - JIT & Scheduling

15-1 Scheduling
JIT and
Lean Operations
15-2 Scheduling
JIT/Lean Production
 Just-in-time (JIT): A highly coordinated

processing system in which goods move
through the system, and services are
performed, just as they are needed,
 JIT   lean production
 JIT  pull (demand) system
 JIT operates with very little “fat”
15-3 Scheduling
Goal of JIT
The ultimate goal of JIT is a balanced

system.
Achieves a smooth, rapid flow of materials

through the system
15-4 Scheduling
Summary JIT Goals and Building Blocks

Figure 14.1
Ultimate A
Goal balanced
rapid flow
Supporting
Goals Eliminate disruptions
Make the system flexible Eliminate waste
Product Process Personnel Manufactur- Building

Design Design Elements ing Planning Blocks
15-5 Scheduling
JIT Building Blocks
 Product design
 Process design
 Personnel/organizational
elements
 Manufacturing
planning and control
15-6 Scheduling
Product Design
 Standard parts
 Modular design
 Highly capable production systems
 Concurrent
engineering
15-7 Scheduling
Process Design
 Small lot sizes

 Setup time reduction
 Manufacturing cells
 Limited work in process
 Quality improvement
 Production flexibility
 Little inventory storage

15-8 Scheduling
Benefits of Small Lot Sizes
Reduces inventory
Less rework
Less storage space
Problems are more apparent
Increases product flexibility
Easier to balance operations
15-9 Scheduling
Personnel/Organizational Elements
 Workers as assets
 Cross-trained workers
 Continuous
improvement
 Cost accounting
 Leadership/project
management
15-10 Scheduling
Manufacturing Planning and Control
 Level loading
 Pull systems
 Visual systems
 Close vendor relationships
 Reduced transaction
processing
 Preventive maintenance
15-11 Scheduling
Pull/Push Systems
 Pull system: System for moving work where

a workstation pulls output from the preceding
station as needed. (e.g. Kanban)
 Push system: System for moving work where
output is pushed to the next station as it is
completed
15-12 Scheduling
Traditional Supplier Network

Figure 14.4a
Buyer
Supplier Supplier
Supplier
Supplier Supplier Supplier Supplier

15-13 Scheduling
Tiered Supplier Network

Figure 14.4b
Buyer
First Tier Supplier Supplier
Second Tier Supplier Supplier Supplier
Third Tier Supplier Supplier Supplier Supplier Supplier

15-14 Scheduling
Comparison of JIT and Traditional

Table 14.3
Factor Traditional JIT

Inventory Much to offset forecast Minimal necessary to operate
errors, late deliveries
Deliveries Few, large Many, small
Lot sizes Large Small
Setup; runs Few, long runs Many, short runs
Vendors Long-term relationships Partners

are unusual
Workers Necessary to do the Assets
work
15-15 Scheduling
Transitioning to a JIT System
 Get top management commitment

 Decide which parts need most effort
 Obtain support of workers
 Start by trying to reduce setup times
 Gradually convert operations
 Convert suppliers to JIT
 Prepare for obstacles
15-16 Scheduling
Obstacles to Conversion
 Management may not be committed

 Workers/management may not be
cooperative
 Suppliers may
resist
 Why?
15-17 Scheduling
JIT in Services
The basic goal of the demand flow technology in

the service organization is to provide optimum
response to the customer with the highest quality
service and lowest possible cost.
 Eliminate disruptions
 Make system flexible
 Reduce setup and lead times
 Eliminate waste
 Minimize WIP
 Simplify the process
15-18 Scheduling
Benefits of JIT Systems
 Reduced inventory levels

 High quality
 Flexibility
 Reduced lead times
 Increased productivity
15-19 Scheduling
Benefits of JIT Systems (cont’d)
 Increased equipment utilization

 Reduced scrap and rework
 Reduced space requirements
 Pressure for good vendor relationships
 Reduced need for indirect labor
15-20 Scheduling
CHAPTER
15
Scheduling
15-21 Scheduling
Scheduling
 Scheduling: Establishing the timing of the

use of equipment, facilities and human
activities in an organization
 Effective scheduling can yield
 Cost savings
 Increases in productivity
15-22 Scheduling
High-Volume Systems
 Flow system: High-volume system with

Standardized equipment and activities
 Flow-shop scheduling: Scheduling for high-
volume flow system
Work Center #1 Work Center #2 Output

15-23 Scheduling
Scheduling Manufacturing Operations
High-volume JAN FEB MAR APR MAY JUN

Build A
Intermediate- A Done
volume Build B
B Done
Low-volume Build C
Service C Done
On time!
Build D
operations
Ship
15-24 Scheduling
High-Volume Success Factors
 Process and product design

 Preventive maintenance
 Rapid repair when breakdown occurs
 Optimal product mixes
 Minimization of quality problems
 Reliability and timing of supplies
15-25 Scheduling
Intermediate-Volume Systems
 Outputs are between standardized high-

volume systems and made-to-order job shops
 Run size, timing, and sequence of jobs
 Economic run size:
2DS p
Q0 
H p u
15-26 Scheduling
Scheduling Low-Volume Systems
 Loading - assignment of jobs to process

centers
 Sequencing - determining the order in
which jobs will be processed
 Job-shop scheduling
 Scheduling for low-volume
systems with many
variations
in requirements
15-27 Scheduling
Gantt Load Chart

Figure 15.2
 Gantt chart - used as a visual aid for loading

and scheduling
Work Mon. Tues. Wed. Thurs. Fri.
Center
1 Job 3 Job 4
2 Job 3 Job 7
3 Job 1 Job 6 Job 7
4 Job 10
15-28 Scheduling
Loading
 Infinite loading
 Finite loading
 Vertical loading
 Horizontal loading
 Forward scheduling
 Backward scheduling
 Schedule chart
15-29 Scheduling
Sequencing
 Sequencing: Determine the order in which

jobs at a work center will be processed.
 Workstation: An area where one person

works, usually with special equipment, on a
specialized job.
15-30 Scheduling
Sequencing
 Priority rules: Simple heuristics

used to select the order in
which jobs will be processed.
Everything is
#1 Priority
 Job time: Time needed for

setup and processing of a job.
15-31 Scheduling
Priority Rules
Table 15.2
 FCFS - first come, first served
 SPT - shortest processing time
 EDD - earliest due date
 CR - critical ratio
 S/O - slack per operation
 Rush - emergency Top Priority
15-32 Scheduling
Example 2
Table 15.4
Average
Average Average Number of
Flow Time Tardiness Jobs at the
Rule (days) (days) Work Center
FCFS 20.00 9.00 2.93
SPT 18.00 6.67 2.63
EDD 18.33 6.33 2.68
CR 22.17 9.67 3.24
15-33 Scheduling
Two Work Center Sequencing
 Johnson’s Rule: technique for minimizing

completion time for a group of jobs to be processed
on two machines or at two work centers.
 Minimizes total idle time

 Several conditions must be satisfied
15-34 Scheduling
Johnson’s Rule Conditions
 Job time must be known and constant

 Job times must be independent of
sequence
 Jobs must follow same two-step sequence
 Job priorities cannot be used
 All units must be completed at the first
work center before moving to second
15-35 Scheduling
Johnson’s Rule Optimum Sequence
1. List the jobs and their times at each work

center
2. Select the job with the shortest time
3. Eliminate the job from further consideration
4. Repeat steps 2 and 3 until all jobs have been
scheduled
15-36 Scheduling
Scheduling Difficulties
 Variability in
 Setup times
 Processing times
 Interruptions
 Changes in the set of jobs
 No method for identifying optimal schedule

 Scheduling is not an exact science
 Ongoing task for a manager

15-37 Scheduling
Minimizing Scheduling Difficulties
 Set realistic due dates

 Focus on bottleneck operations
 Consider lot splitting of large jobs
15-38 Scheduling
Scheduling Service Operations
 Appointment systems
 Controls customer arrivals for service
 Reservation systems
 Estimates demand for service
 Scheduling the workforce
 Manages capacity for service
 Scheduling multiple resources
 Coordinates use of more than one
resource
15-39 Scheduling
Cyclical Scheduling
 Hospitals, police/fire departments, restaurants,

supermarkets
 Rotating schedules
 Set a scheduling horizon
 Identify the work pattern
 Develop a basic employee schedule
 Assign employees to the schedule

15-40 Scheduling
Service Operation Problems
 Cannot store or inventory services

 Customer service requests are random
 Scheduling service involves

 Customers
 Workforce
 Equipment
15-41 Scheduling
Service Scheduling
SSU1
Overview—United Airlines
15-42 Scheduling
Service Scheduling
SSU2
United Airlines Flight Schedule
15-43 Scheduling
Schedule
PS8
Painting Example (Washburn Guitar)

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15-1 Scheduling

 Just-in-time (JIT): A highly coordinated

The ultimate goal of JIT is a balanced

Achieves a smooth, rapid flow of materials

Summary JIT Goals and Building Blocks

Product Process Personnel Manufactur- Building

JIT Building Blocks

 Small lot sizes

 Limited work in process

 Little inventory storage

Benefits of Small Lot Sizes

Manufacturing Planning and Control

 Pull system: System for moving work where

Traditional Supplier Network

Supplier Supplier Supplier Supplier

Tiered Supplier Network

First Tier Supplier Supplier

Second Tier Supplier Supplier Supplier

Third Tier Supplier Supplier Supplier Supplier Supplier

Comparison of JIT and Traditional

Factor Traditional JIT

Lot sizes Large Small

Setup; runs Few, long runs Many, short runs

Vendors Long-term relationships Partners

Transitioning to a JIT System

 Get top management commitment

 Management may not be committed

The basic goal of the demand flow technology in

Benefits of JIT Systems

 Reduced inventory levels

Benefits of JIT Systems (cont’d)

 Increased equipment utilization

 Scheduling: Establishing the timing of the

 Flow system: High-volume system with

Work Center #1 Work Center #2 Output

Scheduling Manufacturing Operations

High-volume JAN FEB MAR APR MAY JUN

High-Volume Success Factors

 Process and product design

 Outputs are between standardized high-

Scheduling Low-Volume Systems

 Loading - assignment of jobs to process

Gantt Load Chart

 Gantt chart - used as a visual aid for loading

 Sequencing: Determine the order in which

 Workstation: An area where one person

 Priority rules: Simple heuristics

 Job time: Time needed for

Two Work Center Sequencing

 Johnson’s Rule: technique for minimizing

 Minimizes total idle time

Johnson’s Rule Conditions

 Job time must be known and constant

Johnson’s Rule Optimum Sequence

1. List the jobs and their times at each work

 Changes in the set of jobs

 No method for identifying optimal schedule

 Ongoing task for a manager