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Flexible Manufacturing

Flexible Manufacturing. Ashlee Choman Annalisa Scotto Sara Weron. Operations Management and Flexible Manufacturing. “A form of computer-integrated manufacturing used to make small to moderate-sized batches of parts.”

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Flexible Manufacturing

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  1. Flexible Manufacturing Ashlee Choman Annalisa Scotto Sara Weron

  2. Operations Management and Flexible Manufacturing • “A form of computer-integrated manufacturing used to make small to moderate-sized batches of parts.” • According to MIT study: American companies spend twice as much on product innovation as they do on process innovation • Operations Management and Flexible Manufacturing • Why do we need flexible manufacturing?

  3. The Need for Flexibility • Flexibility • Cost savings • Efficiency • Mass production • Time • Flexibility today means quickness in delivery and high quality at reasonable prices.

  4. Issues • Customizability • Adapt to changing environments; become more flexible • Quality and Quantity • Cost Savings • Mass Production

  5. Advantages • Faster, lower cost products • Lower direct labor costs • Consistent and better quality • Reduces errors and rejects = Higher Six Sigma

  6. Disadvantages • Limited capacity of machinery (logic) • Substantial pre-planning • Expensive machinery • Sophisticated manufacturing systems mean expensive programs to train employees

  7. Sustainable Competitive Advantage • Customizability- Companies have to adapt to the environment in which they operate to be more flexible in their operations and to satisfy different market segments • Thus the innovation of FMS became related to the effort of gaining a competitive advantage.

  8. Sustainable Competitive Advantage • …We produce more, at a better price, with a higher quality… • Car companies make many models of cars in great time in order to meet customer needs

  9. History of Flexible Manufacturing • In the beginning, there was not much competition and so FM systems were not needed. • “People can order any color of car as long as it is black.” Henry Ford • After WWII, market focused on consumer (not manufacturer) • The first FM system was patent in 1965 by Theo Williamson who made numerically controlled equipment

  10. History (Cont’d) • Change in manufacturing over time • 60’s- Efficiency in manufacturing • 70’s- Efficiency and quality • 80’s- Efficiency quality and flexibility • Due To: • Increased international competition • The need to reduce manufacturing cycle time and • Pressure to cut production costs

  11. Recent Trends- Renault • “All major car makers will switch to flexible manufacturing within 7 years”- Greg Gardner (US manufacturing specialist, Troy, Michigan) • Renault integrated manufacturing system will build 3 platforms, 6 body styles, on one line

  12. Recent Trends - Renault • Renault is the latest to choose flexibility • RIMS aims at producing multiple models on one assembly line • First RIMS will open in 2009 in India • Used by Nissan, Renault and Mahindra (Indian) • Renault CEO Carlos Ghosn says the RIMS will half R&D costs between 2006 and 2009 and increase sales from 2.5 million to 3.3 million in 2009

  13. Recent Trends • Flexibility gives option to adjust to changing environment • Not a simple task • Very costly • One car per one plant systems does not cut costs if plants are being under utilized • i.e.-Car models are not as popular • The alternative to flexibility would be to increase manual labor and individualization while increasing time to market • Cheaper, but does not provide SCA

  14. Recent Trends • In 2007, KUKA”Titan” became world’s strongest robot • Power of mid-sized car • Builds parts for automotive industry • i.e.- capable of moving whole cars • July 7, 2005- joined forces with auto companies to develop new flexible manufacturing processes for aerospace industries www.kuka.com

  15. What is Flexible Manufacturing? • “A form of computer-integrated manufacturing used to make small to moderate-sized batches of parts.” • Communication • Technique • Cost • Jobs

  16. Evidence of Everyday Use • Audi • Jeep • General Motors • Microsoft • McGraw- Hill

  17. Why Choose Flexible Manufacturing? • Competitive Market • Quick and Easy • Expensive Initial Cost • Low Cost to Change Design • Keep Up With Competitors • What Makes This Approach Better? • Computer Does The Work • User Friendly • Cost Efficient

  18. Discussion Of Flexible Manufacturing • Basic Mechanics • Computer Designed Work • No Need For New Equipment • Issues With Flexible Manufacturing • Costly • Time and Complexity • Not Guaranteed

  19. ATI Industrial Automation • Leading engineering-based world developer of robotic accessories that include: • Robotic tool changers • Force/torque sensors • Robotic collision sensors • Robotic and CNC Deburring Tools • Remote center compliance devices • Robotic rotary joint • http://www.ati-ia.com/library/video_listing.aspx

  20. Robotic Accessories • Used by: • Automotive Firms • Chrysler Group • Medical Facilities • John Hopkins University

  21. Honda • Reduces time and resources with flexible manufacturing • Operates in unprecedented level of flexibility to meet customer demand • Company added production of cars to existing plants due to flexible manufacturing • Increased annual North American production capability for Civics by 60,000 units • Restored Alabama plant to annual capacity of 300,000 vehicles

  22. Flow Corporation • Waterjet Cuttin System • Cuts greater variety of materials • Setup and fixturing is complete in minutes • Different jobs do not require different tooling • Increases productivity • Edge quality eliminates costly secondary finishing • Raw material savings • Compliments existing technology

  23. Waterjet Cutting Technology • http://www.youtube.com/watch?v=Jn7v65ZhhW4 • Used by: • Metal intensive firms • The Wagner Companies • Airline Industry • Boeing Commercial Airplane Group

  24. Orange County Choppers • Founded by metalworker Paul Teutul, Sr. • Designed custom choppers • Implemented Flow’s waterjet in 2003 • Priceless machine • Opened new design possibilities for OCC • Easy to use • Allows more bikes to be built in shorter period of time

  25. Contrast Company • Indian Larry Motorcycle Company • Custom builds each bike • Relies on craftsmanship • Tools, not computers • Prides on legacy

  26. Conclusion • How is the new approach better? • How does it make it more competitive? • What’s the advantage? • What are the drawbacks? • Recommendations

  27. Questions or Comments?

  28. www.answers.com www.audi.com www.ati-ia.com www.flowcorp.com www.gm.com www.kuka.com www.jeep.com www.microsoft.com www.mcgraw-hill.com www.uky.edu www.orangecountychoppers.com www.search.eb.com www.wagnercompanies.com www.world.honda.com De Saint-Seine, Sylviane. Renault Plants Get Flexible. Automotive News Europe. Sources Used

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