AGILE MANUFACTURING

By – Sandeep Kashyap2015PR21

Submitted To –Dr. Venketeshwar Rao Koma Sir

What will be covered• Introduction• What is Agile Manufacturing• Why do we need to be agile• Key to Agility and Flexibility• Agile Manufacturing in our company• Four Core Concepts• Nuts and Bolts• Interdisciplinary Design• How can we make the transition• Real world example• Exercise• Summary• Bibliography

IntroductionManufacturing industry is on the verge of a major paradigm shift. This shift will take us away from mass production, way beyond lean manufacturing, into a world of Agile Manufacturing.

What is Agile Manufacturing?Agile manufacturing is a term applied to an organization that has created the processes, tools, and training to enable it to respond quickly to customer needs and market changes while still controlling costs and quality.

Why do we need to be agile• Global Competition is intensifying.• Mass markets are fragmenting into niche markets.• Cooperation among companies is becoming necessary, including companies who are in direct competition with each other.

Why do we need to be agile contd:• Customers are expecting:

1. Low volume products2. High quality products3. Custom products

• Very short product life-cycles, development time, and production lead times are required.

• Customers want to treated as individuals.

Keys to agility and flexibility• To determine customer needs quickly and continuously reposition the company against it’s competitors.• To design things quickly based on those individual needs.• To put them into full scale, quality, production quickly.• To respond to changing volumes and mix quickly.• To respond to a crisis quickly.

Agile manufacturing in our company• Customer-integrated process for designing, manufacturing, marketing, and supporting all products and services.• Decision making at functional knowledge points not in centralized management “silos”• Stable unit costs, no matter what the volume• Flexible Manufacturing-ability to increase or decrease production volumes at will.

Agile manufacturing in our company cont.• Easy access to integrated data whether it is customer-driven, supplier-driven, or product and process-driven• Modular production facilities that can be organized into ever changing manufacturing nodes.• Data that is rapidly changed into information that is used to expand knowledge.• Mass customized product verses mass produced product.

Four core concepts1. A strategy to become an Agile

Manufacturing enterprise.2. A strategy to exploit agility to achieve

competitive advantage.3. Integration of organization, people and

technology into a coordinated interdependent system which is our competitive advantage.

4. An interdisciplinary design methodology to achieve the integration of Organization, people and technology.

Nuts and Bolts • Enriching the customer

1. Replace large centralized with distributed clusters of mini-assembly plants located near customers.

• Cooperating to enhance competition. 1. Internal—cross-functional teams,

empowerment.2. External—managing the supply chain.

Nuts and Bolts • Organizing to manage change and

uncertainty1. Rapid reconfiguration of plant and

facilities. 2. Rapid decision making-shallow

empowered.• Leveraging people and information.

1. Distribution of authority, resources, and rewards.

Interdisciplinary Design

Interdisciplinary design will form the basis of designing Agile Manufacturing systems in the new knowledge intensive era.

Interdisciplinary design is one of the most important challenges to that managers and systems designers and integrators will face in the years ahead, it leads us to new approaches and new ways of working and of thinking.

Interdisciplinary Design

To successfully adopt an interdisciplinary design method, we need to:

• Challenge our accepted design strategies and develop new and better approaches.

• Question our established and cherished beliefs and theories, and develop new ones to replace those that know longer have any validity.

Interdisciplinary Design• Consider how we address organization, people and technology, and other issues in the design of manufacturing systems, so we can have systems that are better for performance, better for the environment, and better for the people.

• Go beyond the automation paradigm of the industrial era, to use technology in a way that makes human skill, knowledge, and intelligence more effective and productive, and that allows us to tap into the creativity and talent of all our people. (5)

Transition to Agile manufacturing?• Make the break with the things that are wrong with the way we do things today.

• Examine and define the underlying conceptual framework on which Agile Manufacturing enterprises will be built.

Making the transition cont.• Explore and understand the nature of the mass production paradigm and the nature of the cultural and methodological difficulties involved in the transition to Agile Manufacturing.

• Define a methodology for designing a 21st century manufacturing enterprise.

Real world example:• The Industry: Japanese car makers

• The goal: To produce the three day car, (three days from customer order for a customized car to dealer delivery)

Real world ex. Cont. The Challenges:The challenges:

1. Break dependency on scale and economies of scale (reducing setup costs in key).

2. Produce vehicles in low volumes at a reasonable cost.

3. Guarantee the three day car.4. Replace large centralized with

distributed clusters of mini-assembly plants located near customers.

5. Be able to reconfigure components in many different ways.

Real world ex. Cont. The Challenges:

1. Make work stimulating.2. Turn the customer into a “prosumer,” an ugly

neologism that means proactive something; the idea is that the customer will take an active role in the product design by, for example, configuring options at a computer in a dealer showroom.

3. Streamline ordering systems and establish close relationships with suppliers.

4. Manage the massive volumes of data generated by the production system so as to be able to analyze that data quickly and agilely.

Exercise War has broken out

somewhere in the world, and the US becomes involved. Suddenly, all branches of our armed forces need more conventional amunitions-and they need them immediately. How can suppliers meet this kind of unpredictable demand ?

Conclusion • The forces of globalization and competition that are driving the need for manufacturing companies to be agile in order to stay competitive.

• One of the major goals of agile manufacturing is to produce customized products in a short time at low cost.

• With Agile Manufacturing we will be able to develop new ways of interacting with our customers and suppliers.

Bibliography1. Abair, Bob. Agile Manufacturing: Not Just Another

Buzzword. http://www.partnersforexcellence.com/95art3.htm

2. Agile Manufacturing: Gearing to meet demand. Linkages http://www.llnl.gov/str/Burleson.html

3. “Agile Manufacturing” linkages http://www.peterkeen.com/engbp003.htm

4. D&ME. Pacific Northwest National Laboratory. Linkages http://www.technet.pnl.gov/dme/agile/index.stm

5. Kidd, T. Paul. Agile Manufacturing: Forging New Frontiers. http://www.cheshirehenvury.com/publications/ammaterial.html.

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