Flexible Manufacturing

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 (Contd)

• Change in manufacturing over time
• 60s- Efficiency in manufacturing
• 70s- Efficiency and quality
• 80s- 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
  RD 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, KUKATitan became worlds 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?vJn7v65ZhhW4
• 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 Flows 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?
• Whats the advantage?
• What are the drawbacks?
• Recommendations

27
Questions or Comments?
28
Sources Used

• 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.