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L02_ProcessCapacity_AfterClass

L02_ProcessCapacity_AfterClass - Process Analysis with...

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Slide 1 Lecture 02 Evaluating Process Capacity
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Slide 2 Learning Objectives Get familiar with the elements of a process Compute capacity, bottleneck and utilization Analyze a process with multiple flow units
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Slide 3 A Simple Process
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Slide 4 The Process View Inputs  are used in the process and transformed into outputs, e.g. raw  materials  Outputs  are coming out of the process, e.g. the finished products Resources  are used to transform inputs into outputs but are not  incorporated into the outputs, e.g. labor and capital Work-in-process  inventories are kept in the process Flow units  are transformed from inputs to outputs Inputs Outputs Flow Units (Raw Material, Customers) Goods Services Process
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Slide 5 Elements of Process Activities Carried out by resources Add value and are required for completion of the flow unit May or may not carry inventory Have a capacity (maximum number of flow units that can flow through the  activity within a unit of time) Arrows Indicate the flow of the flow unit Multiple flow unit types possible Inventory/Buffers Do not have a capacity (may be limited) Multiple flow unit types possible
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Slide 6 Subway Customer’s view Manager’s view The same process! Each customer  = 1 order of sub meal Processing time Bread Cheese Meat Vegetable Dressing Drinks A sub meal Workers Waiting time A starving  customers   customer Workers
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Slide 7 Zoom in Subway Process Steps Cut bread, add cheese and meat (Worker A) Toast (Toaster Oven) Add vegetables (Worker B) Add dressings, cut and wrap (Worker C) Get the drink and take payment (Workers D & E) Expand the box and draw the Process Flow Diagram Processing time Bread Cheese Meat Vegetable Dressing Drinks A sub meal Workers
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Slide 8 Process Flow Diagram @ Subway Flow unit = a customer’s order for a sub = a sub Convention: we call successive  tasks  performed by the same (set of)  resource(s) an  activity. Cut bread, add  cheese, and meat Cut bread, add  cheese, and meat Add  vegetables Add  vegetables Get the drink &  take payment Get the drink &  take payment Waiting sub  orders Add dressing,  cut and wrap Add dressing,  cut and wrap (Worker A) (Worker B) (Worker C) (Workers D & E) Waiting  subs Waiting  subs Waiting  subs toaster  oven toaster  oven Waiting  subs
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Slide 9 Capacity of a Resource How many subs can be sold in 1 hour? To compute process capacity, we need to compute the capacity of each  resource or set of resources in parallel Capacity of a resource or a set of resources in parallel: maximum amount the  resource(s) can produce in a given time unit Activity time : time it takes to process one flow unit by one resource (can 
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