Question: Consider the manufacturing system description (PDF). This document contains explanation of the XYZ company producing two different products (Product 1 and Product 2) on three
Consider the manufacturing system description (PDF). This document contains explanation of the XYZ company producing two different products (Product 1 and Product 2) on three different locations (Plant 1, Plant 2, and Plant 3). You should develop (draw) the current-state Value Stream Map of this company production process. Follow those guidelines:
- Use standard symbols for Value Stream Map.
- Include both material flow and information flow.
- Complete the process attributes in terms of cycle times, waiting times, and any other data provided.
- Include quantities of inventories on each location.
- Include frequency of transport operations.
- Use Visio for drawing the map (Visio has a VSM template, if not available directly, search for it).
- Summarize the current-state VSM in term of waste identification (in one paragraph).
- After drawing the VSM map, analyze applicability of continuous flow methods in this process. Your analysis should be one paragraph long.
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iii. Raw materials at each plant are supplied by various vendors. Raw materials are delivered on a daily basis. XYZ Production Control Department i. Receives ABC Carpet's 90/60/30 day forecasts and enters them into manufacturing resource planning (MRP). ii. Issues XYZ's 6 week forecast to ChemCo Supplier via MRP. iii. Secures raw materials by weekly faxed order release to ChemCo Supplier. iv. Generates MRP-based, weekly departmental requirements based on customer orders. v. Issues weekly build schedules to Plants 1,2 , and 3. vi. Issues daily shipping schedule to shipping department at Plants 1,2 , and 3. Process Information All processes occur in the following order with Products 1 and 2 going through all processes. Plant 1 Receiving i. Raw material is shipped in by pipe, rail, and truck. ii. Raw material is stored on-site in tanks. iii. Production of some raw materials is on-site. Plant 1 i. The plant makes the same material for Products 1 and 2. ii. Cycle time is 12 days. EMGT 6500 iii. No changeover time is required. iv. Process reliability is 90%. v. Yield is 95%. vi. First pass yield is 87%. vii. Shut down for 3 weeks every 18 months to refurbish the process. viii. Observed inventory: A. 5 days of hydrogen cyanide (HCN) (in tank). B. 0 days of propane (in pipe). C. 30 days of platinum (catalyst). Plant 1 Shipning i. Products 1 and 2 are shipped out by barge and rail to Plant 2(83%) and to customers (17%) by rail and truck. ii. Products 1 and 2 are stored on-site in tanks before shipment. Plant2 Receiving i. Products 1 and 2 are shipped in by barge and rail. ii. Products 1 and 2 are stored on-site in tanks before use. Plant 2 i. The plant makes the same material for both Products 1 and 2. ii. Cycle time is 30 days. iii. Two hour changeover time is required. iv. Process reliability is 82%. v. Yield is 85%. vi. First pass yield is 68%. vii. Shut down for 2 weeks every 24 months to refurbish the process. viii. Observed inventory: A. 25 days of Product 1 (in tank). B. 12 days of Product 2 (in tank). C. 30 days of mixture 3Z4 (in tank). EMGT 6500 i. Products 1 and 2 are shipped out by rail and truck. ii. Products 1 and 2 are stored on-site in tanks before shipment. Plant 3 Receiving i. Products 1 and 2 are shipped in by rail and truck. ii. Products 1 and 2 are stored on-site in tanks before use. iii. Observed inventory: A. 35 days of Product 1 (in tank). B. 32 days of Product 2 (in tank). Plant 3 i. The plant makes a different item for both Products 1 and 2. ii. Cycle time is 30 days. iii. Eight hour changeover time is required. iv. Process reliability is 72%. v. Yield is 75%. vi. First pass yield is 62%. vii. Shut down for 3 weeks every 18 months to refurbish the process. viii. Observed inventory: A. 35 days of Product 1 (in warehouse). B. 32 days of Product 2 (in warehouse). Plant 3 Shipning i. Products 1 and 2 are shipped out by rail and truck. ii. Products 1 and 2 are stored on-site in warehouses before shipment. iii. Raw materials at each plant are supplied by various vendors. Raw materials are delivered on a daily basis. XYZ Production Control Department i. Receives ABC Carpet's 90/60/30 day forecasts and enters them into manufacturing resource planning (MRP). ii. Issues XYZ's 6 week forecast to ChemCo Supplier via MRP. iii. Secures raw materials by weekly faxed order release to ChemCo Supplier. iv. Generates MRP-based, weekly departmental requirements based on customer orders. v. Issues weekly build schedules to Plants 1,2 , and 3. vi. Issues daily shipping schedule to shipping department at Plants 1,2 , and 3. Process Information All processes occur in the following order with Products 1 and 2 going through all processes. Plant 1 Receiving i. Raw material is shipped in by pipe, rail, and truck. ii. Raw material is stored on-site in tanks. iii. Production of some raw materials is on-site. Plant 1 i. The plant makes the same material for Products 1 and 2. ii. Cycle time is 12 days. EMGT 6500 iii. No changeover time is required. iv. Process reliability is 90%. v. Yield is 95%. vi. First pass yield is 87%. vii. Shut down for 3 weeks every 18 months to refurbish the process. viii. Observed inventory: A. 5 days of hydrogen cyanide (HCN) (in tank). B. 0 days of propane (in pipe). C. 30 days of platinum (catalyst). Plant 1 Shipning i. Products 1 and 2 are shipped out by barge and rail to Plant 2(83%) and to customers (17%) by rail and truck. ii. Products 1 and 2 are stored on-site in tanks before shipment. Plant2 Receiving i. Products 1 and 2 are shipped in by barge and rail. ii. Products 1 and 2 are stored on-site in tanks before use. Plant 2 i. The plant makes the same material for both Products 1 and 2. ii. Cycle time is 30 days. iii. Two hour changeover time is required. iv. Process reliability is 82%. v. Yield is 85%. vi. First pass yield is 68%. vii. Shut down for 2 weeks every 24 months to refurbish the process. viii. Observed inventory: A. 25 days of Product 1 (in tank). B. 12 days of Product 2 (in tank). C. 30 days of mixture 3Z4 (in tank). EMGT 6500 i. Products 1 and 2 are shipped out by rail and truck. ii. Products 1 and 2 are stored on-site in tanks before shipment. Plant 3 Receiving i. Products 1 and 2 are shipped in by rail and truck. ii. Products 1 and 2 are stored on-site in tanks before use. iii. Observed inventory: A. 35 days of Product 1 (in tank). B. 32 days of Product 2 (in tank). Plant 3 i. The plant makes a different item for both Products 1 and 2. ii. Cycle time is 30 days. iii. Eight hour changeover time is required. iv. Process reliability is 72%. v. Yield is 75%. vi. First pass yield is 62%. vii. Shut down for 3 weeks every 18 months to refurbish the process. viii. Observed inventory: A. 35 days of Product 1 (in warehouse). B. 32 days of Product 2 (in warehouse). Plant 3 Shipning i. Products 1 and 2 are shipped out by rail and truck. ii. Products 1 and 2 are stored on-site in warehouses before shipment