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Unformatted text preview: Material handling accounts for; 25% of all employees 55% of all factory space 87% of production time 15 to 70% of the total cost of a manufactured product There is typically more than one best solution to a material handling system design problem. An ideal goal is to totally eliminate material handling activities. A more practical goal is simply to reduce material handling as much as feasible to minimize total manufacturing costs . Material handling is one of the first places to look for operational efficiency and quality improvements. I t is estimated that between 3 and 5 % of all material handling becomes damaged. Right amount refers to the problem of how much inventory is needed. Just-in-Time vs. just in case inventory management. Issue quantity vs. stocking quantity. Stocking in active picking areas, reserve, and safety stock. Right material refers to picking the right material in the right quantity. Automatic identification system is key to accurate identification Simplify the part numbering system Reduce the number of part numbers Right condition refers to the state of the material the customer wishes to receive the material. The absence of damage Right sequence refers to gaining efficiency by picking materials in the best order possible. Minimize the variety of materials required Change assembly criterion Right Orientation positioning the material for ease of handling. Regaining or retaining orientation Changing the design Right Place both transportation and storage. Central storage vs. distributed storage Desirable to directly transport materials to the point of use. Right time means on-time delivery, neither early nor tardy. Sufficient capacity inherent in the system to respond Cycle time reductions The emphasis is on the right time, not the fastest time Right cost not necessarily the lowest cost, but one appropriate for what is required. Cost incurred and cost foregone Cost incurred Investment of operating cost for material handling technology and personnel. Cost foregone Cost of inventories, space, inspectors, expediters, and other personnel not needed because of the installation of the material handling system. Reduction in losses due to damage and pilfering need to be included Right methods Requirements-driven materials handling systems over solution-driven system. Solution-driven systems are those in which technologies are chosen without consideration for how the technologies match requirements; instead or defining requirements and matching technology options to requirements, the solution-driven approach force-fits a technology on the system....
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- Fall '09