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8/18/2019 8 - Emanuele_Strada_23 TOCPA_USA_21-22 March 2016 v8a
1/26
23rd International Conference of the
TOC Practitioners Alliance - TOCPA
www.tocpractice.com 21-22 March, 201, Tennessee, !"A
"harin# e$perience on step 2
%ecide how to e$ploit the s&stem's constraint
Emanuele Strada
Thinking-Solutons, Italy
March, 2016
8/18/2019 8 - Emanuele_Strada_23 TOCPA_USA_21-22 March 2016 v8a
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo
Emanuele Strada
Emanuele Strada is a thought leader on business
process transformation at Thinking Solutions. He is an
expert in supply chain re-engineering and dynamicprocess modelling with over 20 years’ experience. He
has worked for some of the top manufacturing
companies in the world - setting corporate strategy,
holding various senior positions with a focus on re-
engineering and creating systems and structures todeliver substantial improvements in companies.
Emanuele is a well-respected expert in leading
business change. He has proven capabilities in
managing complex turnaround projects at an
international level and has earned many awards forthem. [email protected]
Place for the photo of the
presenter
8/18/2019 8 - Emanuele_Strada_23 TOCPA_USA_21-22 March 2016 v8a
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo
Agenda
• the challenge• customer expectations
• gap analysis
• key learning
8/18/2019 8 - Emanuele_Strada_23 TOCPA_USA_21-22 March 2016 v8a
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logoThe customer expectations
• !!" up#to#schedule shipping performance
•$ero off#lines or production losses due to supplier failure
• !!" %uality parts& 'ero shipping discrepancies
• (anufacturing fle)ibility for une)pected plant
shortagesre%uirements
• +rror#proof processes
• aily shipments• -ccurate pac.aging and e)ecution
• +lectronic communication capability and e)ecution
• -dvance problem notification and %uic. resolution
• Internal training procedureprocess
• /o supplier constraints• …
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logoAt least the “what” is clear…
…today, the process performance
is far below the e)pectations
8/18/2019 8 - Emanuele_Strada_23 TOCPA_USA_21-22 March 2016 v8a
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo…a step back: gap analysis
0asting1ps
(illing1ps
01/234-I/3
cont5line
ownstream1ps 6
istribution
07231(+4
1ps
1. IDENTIFY the system's constraint(s).
2. Decide how to EXPLOIT the system's constraint(s).3. SUBORDINATE everything else to the above decision.
4. ELEVATE the system's constraint(s).
5. WARNING!!!! If in the previous steps a constraint has been broken, go back to step 1, but do not
allow INERTIA to cause a system's constraint
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logoFrom S!s to "oils
0ustomer production Plan
81(
297s re%uirement
0oils re%uirement
0oil
01/234-I/3
emand
I/P73
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo#es… $!T
0asting1ps
(illing1ps
01/234-I/3
cont5line
ownstream1ps 6
istribution
07231(+4
1ps
8/18/2019 8 - Emanuele_Strada_23 TOCPA_USA_21-22 March 2016 v8a
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
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0oils re%uirement
From S!s to %other "oil
297 !!! 297 n297 !!!: 297 m
0ustomer production Plan
81(
297s re%uirement
(arriage logic
*;irst challenge< I/P73 7/I32 = the 01/234-I/3
0oil
01/234-I/3
emand
I/P73
(other
0oil
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo
0asting1ps
(illing1ps
01/234-I/3
cont5line
ownstream1ps 6
istribution
07231(+4
1ps
0oils
&'(!T !'&T o) the "*'ST+A&'T
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo
0asting1ps
(illing1ps
01/234-I/3
cont5line
ownstream1ps 6
istribution
07231(+4
1ps
(other
0oils
&'(!T !'&T o) the "*'ST+A&'T
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logoThe challenge ,-
(other 0oil >
? 297
? 297 :
? 297 n
(other 0oil Y
? 297 a
? 297 b
? 297 '
(other 0oil $
? 297 @
? 297 9
(arriage logic
:
*2econd challenge<
(other 0oils
2e%uencing = the01/234-I/3
Atechnical limitations
6 real downstream /13
e%uali'ed needed %uantityB
*
*
01/34-I/3
input
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logoThe challenge ,.
(other 0oil >
? 297
? 297 :
? 297 n
(other 0oil Y
? 297 a
? 297 b
? 297 '
(other 0oil $
? 297 @
? 297 9
(arriage logic
*
*
**
**
**
**3hird challenge<
Potential different ;Cs
%uantity and 297s type
due to different
customerproduction plan
D
E (io of vehicles year 6 E!! 297s per vehicle
:
*2econd challenge<
(other 0oils
2e%uencing = the01/234-I/3
Atechnical limitations
6 real downstream /13
e%uali'ed needed %uantityB
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo
0asting1ps
(illing1ps
01/234-I/3
cont5line
ownstream1ps 6
istribution
07231(+4
1ps
(other
0oils
&'(!T !'&T o) the "*'ST+A&'T
8/18/2019 8 - Emanuele_Strada_23 TOCPA_USA_21-22 March 2016 v8a
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo
01/234-I/3
cont5line
Input 1utput
ummy
0oil F
2everal 0oil types<• -lloy
• 3emper
• 3hic.ness
• Gidth
• pre#treatment• etc…
Y+2
• 204-P
• 0-P-0I3Y H123
/ocal optimal and constraint
/1
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo
01/234-I/3
cont5line
Input 1utput
ummy
0oil F
/1
2everal 0oil types<• -lloy
• 3emper
• 3hic.ness
• Gidth
• pre#treatment• etc…
/ocal optimal and constraint
-re we really e)ploitingthe constraint F
Y+2
4e%uested
0oil F
• /1/ P41703I+
0-P-0I3Y
/1
4+-H 3J417CJP73
Y+2Y+2
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo
as& +estions/
• Jow to e)ploit the constraint F
• Jow to prove robustness of the solution…
• Jow to reduce the ris. of implementation
failure F
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
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as& +estions/
• Ghat is the batch si'e logicF• Jow many 297s should we consider in our
marriage logicF
• Ghat is the “best” 297s se%uence to
consider, not for local optimal, but for the
entire system F
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The )est se+ence
• Ghat is “best” F
• Jow can we describe it F
• Ideally every single coil that need to be producedshould be part of this definition, and every single
coil that is not needed for the production plan of
the customer in a short term, should not be
considered5
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The )est se+ence
• Is it correctF
• 1., but… what about the technical limitations
by which the dummy coil is neededF
• …and what does it mean “short term”F
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo0ere we are… the F/*1 2
Hoo.ing forward
/ormal ArightB flow speed
/ormal flow speed
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The dynamic process model
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Your logo(ro3ect *utcome
*ummy 0oils
K!"
Cood 0oils
K!"
efore After
3-4C+3 LK"
-2#I2 K!"
-0JI++ ELM"
*ummy 0oils
K!"
Cood 0oils
K!"
NO"
Cood coils
ELM"
*ummy 0oil< coil needed by the continuous line but not needed by the downstream operations
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logoey learning
ynamic Process (odelling can support you
not only to Identif& the system constraint, but
also to e$ploit it meanwhile validate your
assumptions for a robust solution
Jow F
…you can sim+late the material and decision flow
considering the resources dependencies coupled
with statistical fluctuation
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23rd International Conference of the TOC Practitioners Alliance - TOCPAwww.tocpractice.com
Your logo
Emanuele Strada
Emanuele Strada is a thought leader on business
process transformation at Thinking Solutions. He is an
expert in supply chain re-engineering and dynamic
process modelling with over 20 years’ experience. He
has worked for some of the top manufacturing
companies in the world - setting corporate strategy,
holding various senior positions with a focus on re-
engineering and creating systems and structures to
deliver substantial improvements in companies.
Emanuele is a well-respected expert in leading
business change. He has proven capabilities in
managing complex turnaround projects at an
international level and has earned many awards for
them. [email protected]
Place for the photo of the
presenter
Thans for &o+r time.