Capacity Planning

1. Capacity Planning

2. Contents for Capacity Planning and Utilization Role of Capa. Plan’g in MPC CP and Control Techniques Scheduling Capa. and Mtl. Simultaneously Management and CP/Utilization Examples

3. Role of Capacity Planning and in MPC Systems • The primary objective is to estimate the capacity requirement • Located at Midterm Range coined with MRP

4. Role of Capacity Planning and in MPC Systems • Links to Other MPC Modules: - Resource Planning - Rough Cut Capacity Planning - Capacity Requirement Planning • Resource Planning <-> Sales and Operations Planning -gross labor hours, floor space, machine hours • Rough Cut Capacity Planning <-> MPS -CPOF, Capacity Bills, Resource Profiles • Capacity Planning <-> MRP -Time Phase Capacity Requirement, Gantt Chart, .. • Finite Loading -> Production Activity Control과 영역이 겹침 • APS: Advanced Production/Planning and Scheduling • Input/Output Analysis

5. CP and Control Techniques: 4 Techniques • CPOF(Capacity Planning Using Overall Factors • Capacity Bills • Resource Profiles • Capacity Requirement Planning

6. CP and Control Techniques: CPOF

7. CP and Control Techniques: Capacity Bills • Bill of Material, Routing Data including Machine/Labor Hour Data • Bill of Capacity indicates total Standard Hour • Some Companies use CBs only for Critical Work Centers • quirement Planning

8. CP and Control Techniques: Capacity Bills

9. CP and Control Techniques: Capacity Bills

10. CP and Control Techniques: Resource Profiles • Bill of Material, Routing Data including Machine/Labor Hour Data, and also Lead Time information is needed • Operation Set Back Chart is used

11. CP and Control Techniques: Resource Profiles

12. CP and Control Techniques: CRP • CRP utilizes time phased material plan information(MRP) • Similar to the one for Resource Profiles but use detailed MRP data, e.g. initial inventory, lot sizing, lead time, etc.

13. Scheduling Capacity and Material Simultaneously • Finite Loading is necessary( Fig.10.11) • Overall lead time based on Hierarchical BOM structure tends to be quite long • Vertical Loading vs. Horizontal Loading • Front Scheduling vs. Back Scheduling

14. APS Systems

15. APS Systems

16. Management and Capacity Planning and Utilization • Capacity Planning is one side of coin; Capacity Management is the other • Capacity Monitoring with Input/Output Control -Planned Input/Outputvs Actual Input/Output -Productivity Deviation at Work Centers, Breakdown, Absence, Poor Quality, etc… -Other reasons outside the Work Center, e.g. Raw Material Shortage, Unrealistic Capacity Plans,… -Order Backlogs also need to be considered: Planned Backlog vs. Actual Backlog • Required Capacity vs. Rated Capacity vs. Demonstrated Capacity • Managing Bottleneck Capacity: TOC(Theory of Constraints) “The Goal” by Eliyahu (1947.3.31-2011.6.1), 옛날 1984년경 OPT(Optimized Production Technology)

17. Management and Capacity Planning and Utilization • If Production Planning and Resource Planning are done well, then problems faced in Capacity Planning can be reduced • Choosing the Measure of Capacity: -Labor/Machine Hour -Days Work • Direct Labor: 비율 축소, 종신 고용 • Planning Factors: 지속적 개선 • Outsourcing: Foxconn, Solectron, Flextronics,… • Flexible Automation: Routing • Cellular Manufacturing: Bottleneck Capacity determines the Capa. • Full Capacity vs. Reserve Capacity( Plasticity in Capacity)

18. Management and Capacity Planning and Utilization • Choice of Specific Techniques among the 4 • CRP unnecessary in JIT environment • Capacity Change: -Overtime/Undertime -Hiring/Firing -Number and Time of Machines -Alternative Routing -Make/Buy/Subcontracting -Material/Inventory/Customer Nego

19. Examples: Montell USA (pallets for injection molding m/c) Picaso system + SAP RCCP from MPS

20. Examples: Applicon(CAD/CAM/CAE Hardware/Software)

21. Examples: with APS at a consumer products company • Manugistics사의 APS(NetWORKS) 활용 • Horizontal Loading and Back Scheduling System • Many Options: Common Setup/Raw Material, Graphical Review, Troubleshooter, Changes in Setup/Changeover Costs, …

22. Examples: Mntell USA (pallets for injection molding m/c)

23. Examples: Mntell USA (pallets for injection molding m/c)