【ISE318: Industrial Engineering Techniques and Methods】

Industrial Engineering Techniques and Methods Learning Notes
Content derived from ISE318 course

Chapter 1: Productivity

1. Introduction of Industrial Engineering

2. Introduction to productivity

Productivity § is the relationship between the outputs (O) generated from a system and the inputs (I) that are used to create those outputs.
The ratio of Output to Input

Productivity Improvement (PI) is the result of managing and intervening in transformation or work processes.

2.1 Productivity

2.2 Profit

3. Causes of low productivity in enterprises (3P1M)

1. Defects in the Design or Specification of the product or service

2. Inefficient Working Methods, Systems or Procedures in producing the product or providing the service

3. Shortcomings of “Management” and “Personnel” in producing the product or providing the service

4 Resources and outputs of enterprise, their importance and measurement

Exercises

Comment on those costs that are most significant and how they could be reduced.

Labor contributes the most, follows by materials.
Measures: (1) employing more skilled operators to reduce the operators;
(2) improving the automation level; and
(3) Applying new technology/process for materials-saving.

Tutorial

Summary

1. What is productivity?
2. How to calculate the productivity? Single-factor and Multi-factor approach. How to improve productivity?
3. Causes of low productivit

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Chapter 2: Layout

1. Layout Planning

2. Types of layout manufacturing and offices

2.1 Process Layout

Machines grouped by process they perform. Used in a job shop for a low volume, customized products

2.1.1 Advantages and Disadvantages

Advantages
• Can handle a variety of processing requirements
• Not particularly vulnerable to equipment failures
• General-purpose equipment is often less costly and easier and less costly to maintain
• It is possible to use individual incentive systems

Disadvantages
• In-process inventories can be high
• Routing and scheduling pose continual challenges
• Equipment utilization rates are low
• Material handling is slow and inefficient
• Reduced spans of supervision
• Special attention necessary for each product or customer
• Accounting, inventory control, and purchasing are more involved

2.2 Product Layout

Linear arrangement of workstations to produce a specific product. Used in a flow shop for a high volume, standard products.

One in which the facilities are arranged according to progressive steps by which the product is made.

2.2.1 Advantages and Disadvantages

Advantages
• High rate of output
• Low unit cost
• Labor specialization
• Low material handling cost per unit
• High utilization of labor and equipment
• Established routing and scheduling
• Routine accounting, purchasing, and inventory control

Disadvantages
• Creates dull, repetitive jobs
• Poorly skilled workers may not maintain equipment or quality of output
• Fairly inflexible to changes in volume or product or process design
• Highly susceptible to shutdowns
• Preventive maintenance, capacity for quick repair and spare-parts inventories are necessary expenses
• Individual incentive plans are impractical

2.3 Fixed Position Layout

Used in projects where the product cannot be moved. Owing to the bulk or weight of the product, men and machine are brought to the location where the product is made.

2.3.1 Advantages and Disadvantages

3. Layout Planning Techniques

3.1 Block Programming

3.2 Relationship Programming

When you improve the layout, you can just ignore the X, and pick the A,E as your priority.

Tutorial

Exercise 1 (Layout Plan)

(1) Construct the “from-to matrix”;

(2) Determine an initial layout plan for the laboratory (open question);

(3) Develop an initial schematic diagram and Determine the total costs of the initial layout plan

(4) Try to improve the layout to obtain the improved layout plan (open question); determined in (2);

(5) Determine the total costs of the improved layout plan determined in (4).

Schematic Diagram

Mistake:

Exercise 2

Tutorial

Method: Advantages and Disadvantages

Advantages: quantitative approach, ensuring the lower materials handling costs, Disadvantages: neglect the relationship between each pair of departments, large amount of calculations.

Summary

4. Process layout, product layout, and fixed position layout
5. Methods for layout plan, especially relationship diagramming and minimize materials handling costs

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Chapter 3: Multi-Criteria Decision Making and Decision under Risk and Uncertainty in Industrial Engineering

1. SAW (Simple Additive Weighting)

Multiplies the normalized value of the criteria for the alternatives with the importance of the criteria, the alternative with the highest score is selected as the preferred one.

2. Decision making under uncertainty

Decisions are sometimes made under complete uncertainty: No information is available on how likely the various states of nature are.

There are three general environment categories

• Certainty
  Environment in which relevant parameters have
  known values
• Risk
  Environment in which certain future events have
  probabilistic outcomes
• Uncertainty
  Environment in which it is impossible to assess the
  likelihood of various possible future events

3. Decision Criteria

3.1 Maximin

Choose the alternative with the best of the worst possible payoffs

Find the highest

3.2 Maximax

Choose the alternative with the best possible payoff

Find the highest

3.3 Laplace

Choose the alternative with the best average payoff

Find the highest

/ alternatives -> Low, Moderate, High = 3

3.4 Minimax regret

Choose the alternative that has the least of the worst regrets

Find the lowest

4. Decision Tree

A schematic representation of the available alternatives and their possible consequences

Three types of “nodes”
• Decision nodes - represented by squares ( □)
• Chance nodes - represented by circles (Ο)
• Terminal nodes - represented by triangles (optional)

5. Decision Making Under Risk

A widely applied criterion is expected monetary value (EMV)

Find the highest

Tutorial

Summary

6. multi-criteria decision making Using multi-criteria decision making to rank the alternatives Simple Additive Weighting (SAW)
7. Decision Making Under Uncertainty, Risk and Basics of Decision Tree

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Chapter 4: Methods Engineering and Recording Techniques in Industrial Engineering

1. Methods engineering

is the analysis and design of work methods and systems, including the tooling,
equipment, technologies, workplace layout, plant layout, and work environment.

= work study, work simplification, method study, process re-engineering, business process reengineering

2. Methods design

is concerned with either of the following situations:

1. Design of a new method or process
   • Required for new product or service and there is no existing standard
   • Method must be designed from scratch, using best existing practice for similar operations
2. Redesign of an existing method or process based on a previous methods analysis.

Step 1: Define the Problem and Objectives.

• The problem in methods engineering study may be low productivity, high cost, inefficient methods, or the need for a new method or a new operation.
• The objective is the desired improvement or new methods design. Possible objectives are to increase productivity, reduce labor content and cost, improve safety, or develop a new method or new operation.

Step 2: Analyze the Problem.

Data collection and analysis activities for the type of problem being studied.

Cause-effect analysis: Fishbone Diagram

Exercise

Why-why diagram

(1) To derive the root causes, the decision makers need to kee
p asking why, and the identified causes for the specific que
stion form the basis of the following questions;
(2) In most cases, with five iterations of this ask-answer proc
edure at most, the root causes can be identified.

Step 3: Formulate Alternatives.

Here are some possible alternatives methods:

1. Upgrade from the monosodium glutamate (MSG) base to include more natural flavours
2. Establishing a new product as non-fried instant noodles
3. Establishing a new product as wet-processed instant noodles
4. Using potassium chloride as a common salt-reducing ingredient
5. Adopt smart salt intake indicator

Step 4: Evaluate Alternatives and Select the Best.

• Must features: guaranteed at the minimum level
• Desirable features: Not must features

Feasibility Analysis

An assessment of the practicality of a proposed project or system.

Conflict Analysis

Conflict analysis or conflict assessment is an initial stage of conflict resolution in which parties seek to gain a deeper understanding of the dynamics in their relationship.

Step 5: Implement the Best Method.

4P strategy, price, promotion, place, product

ISE375 Modelling and design:
Direct installation - Changing over from the old information system to a new one by turning off the old system when the new one is turned on

Parallel installation - Running the old information system and the new one at the same time until management decides the old system can be turned

Single-location installation - Trying out a new information system at one site and using the experience to decide if and how the new system should be deployed throughout the organization.

Phased installation - Changing from the old information system to the new one incrementally, starting with one or a few functional components

Step 6: Audit the Study.

Select D because, it has the highest score among desirable features.

Perform some follow-up on the methods engineering project.
How successful?
Implementation issues?
What to be did differently?

3. Process Analysis

3.1 ASME Symbols

3.2 Flow Process Chart Symbols

OTIS Charts: stands for Operation, Transport, Inspection, Storage

Examples

Mr. Chan went to hospital from his office, he registered on the machine, then sit down for 15 minutes, and subsequently fill out patient history, he wait another
10 minutes, then the nurse took him to the doctor. He was checked by the doctor, he walk to pharmacy, then pick up prescription, finally he left the hospital.
Question: Draw an Operation Transport Inspection Storage (OTIS) flowchart on the sheet provided showing the procedure for seeing the doctor.

(1) Summarizing all the activities
went from his home to the canteen: Transport (T)
put his bag on a chair: Storage (S)
went to the food-selling table: Transport (T)
joined the queue: Operation (O)
waited for about 2 mins: Delay (D)
ordered a bowl of instant noodles: Operation (O)
paid by cash: Operation (O)
went to food collection area: Transport (T)
gave the order receipt to the chef: Operation (O)
he waited for 5 mins : Delay (D)
picked up the food: Operation (O)
went to the table which is near the chair with his bag: Transport (T)
ate the noodles: Operation (O)
left the building: Transport (T)
Then, you can use the vertical lines connect these symbols in the sequence they performed.

(2) Two points for process improvement
i. use electronic payment or card payment to replace the current cash payment;
ii. take his bag directly to food-selling table rather than putting on the chair;
iii. combining ordering the food, payment process and giving the order receipt to the chef together into an integrated intelligent order system

4. Process Improvement

5W1H Principle: Why, What, Where, When, Who and How Why? Why we need to do it in this way? Is it unnecessary? What? Is it necessary? Are there some more suitable objects? Where? Any more suitable places or venues? When? Any more suitable time? Who? Any more suitable operators or staff? How? Any more suitable methods?

Five ways: Eliminate, Combine, Rearrange, Simplify and Cross

• Eliminate: eliminate the unnecessary operations or steps;
• Combine: combine some operations/steps that cannot be eliminated;
• Rearrange: determine the best sequence of the operations/steps;
• Simplify: use more convenient way to replace the old methods; and
• Cross: cross-parallel operations to save time

1st Priority: Eliminate
2nd Priority: Combine
3rd Priority: Simplify

Fishbone Diagram
PDCA: Planning, Doing, Checking and Action
Benchmarking

5. Gilbreth Symbols

Outline Process Chart V.S. Flow Process Chart

The convention is that the Flow Process Chart uses all the ASME symbols and provides more detail that the Outline Process Chart

6. Multiple Activity Charts

A chart on which the activities of more than one subject (worker, equipment of material) are each recorded on a common time scale to show their inter-relationship.

Objective: to analyze how the workload is coordinated and shared among the entities.

6.1 Right-hand/left-hand activity chart

Two symbols are used in this chart:
• Transportation (either an arrow or a small circle)
• Action (e.g., grasp, position, use, release) A sketch of the workplace is drawn, indicating the contents of the bins and the location of tools and materials.
• Record the motions of one hand at a time
• Usually necessary to redraw the chart

A process chart in which the activities of the workers hands (or limbs) are recorded in relationship to one another.

6.2 Worker-machine activity chart

6.3 Worker-multimachine activity chart

6.4 Gang activity chart (a.k.a. multiworker activity chart)

This chart indicates activities in which two or more workers performing together as a team.
Objective: To better coordinate the activities and balance the workload among the workers

7. Block diagram

Graphic consisting mostly of blocks and arrows to portray the relationships among components of a physical system
• Commonly used in linear control theory, where
• Arrows represent the flow of signals or variables in the system
• Blocks contain transfer functions that define how input signals are mathematically transformed into output signals

8. Forms Orientated System Flowcharts (Procedure Flowcharts)

8.1 Symbols

Start/ending point

STATED AS TERMINAL ONE

Input/Output

For example, inout: keyboard; output: words

Decision

YES/NO Option

Connector

There is usually a letter in this circle, and it represents that the process will continue starting the action/activity using the corresponding letter as its name

Direction of the flow

Process

Process: represents an action/activity transform the input into output

Function/Subroutine / Predefined Process

This shape takes two names - ‘Subroutine’ or 'Predefined Process’. Its called a subroutine if you use this object in flowcharting a software program. This allows you to write one subroutine and call it as often as you like from anywhere in the code.

Exercise

9. Gantt Chart

Show dependencies between tasks, personnel, and other resources allocations

Chapter 5: Predetermined Motion Time Systems

Four basic work measurement techniques:

1. Direct time study
2. Predetermined motion time systems (PMTS): commonly used PMTS, Work-Factor, Predetermined Time Standards Systems – Meyers, MOST (Maynard Operation Sequence Technique)
3. Standard data systems
4. Work sampling
   • Predetermined motion time system (PMTS) is a database of basic motion elements and their associated normal time values, and it includes procedures for applying the database to analyze manual tasks and establish standard times for the tasks.

5.1 Predetermined motion time systems (PMTS)

Methods-Time Measurement

MTM is a procedure which analyzes any manual operation or method into the basic motions required to perform it, and assigns to each motion a predetermined time standard which is determined by the nature of the motion and the conditions under which it is made.
MTM gives values for the fundamental motions of: reach, move, turn, grasp, position, disengage, and release.

Most predetermined motion time systems use time measurement units (TMU) instead of seconds for measuring time. One TMU is defined to be 0.00001 hours, or 0.036 seconds.

Includes MTM-1, MTM-2, MTM-3, MTM-X
The job broke down into body movements required to perform it.

MTM-1

Reach [R NO. CHAR.]

Move [M NO. CHAR.]

Turn [NO. T(WEIGHT.) DEGREE.]

Grasp [G CASE.]

Release [RL NO.]

MTM-2

Takes about 40% of the time of MTM-1 to analyze a task.
• Key categories are GET and PUT.
• Provides decision trees to determine case.
• User estimates distance and uses time from table.
• Includes 7 other motions.

MTM-3

Takes about 15% of the time of MTM-1 to analyze a task.
• Key categories are HANDLE and TRANSPORT.
•Provides decision trees to determine case.
• User estimates distance (< 6 in. or > 6 in.) and uses time from table.
• Includes 2 other motions.

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5.2 Direct Time Study Procedure

• Observed Time: Direct and continuous observation of a task using a stopwatch or other timekeeping device to record the time taken to accomplish the task
• Normal Time: While observing and recording the time, an appraisal of the worker’s performance level is made to obtain the normal time for the task
• Standard Time: The data are then used to compute a standard time for the task

1. Define and document the standard method
2. Divide the task into work elements
3. Time the work elements to obtain the observed time $T_{obs}$
4. Evaluate worker’s pace relative to standard performance to obtain normal time $T_n$
   Called performance rating (PR)
   $T_n=T_{obs}(PR)$
5. Apply allowance factor to compute standard time $T_{std}=T_n(1+A_{pfd})$, where $(1+A_{pfd})$ is the allowance factor, the function of the allowance factor is to inflate the value of standard time in order to account for the various reasons why the worker loses time during the shift

Normal Time: Observed time x Performance Rating Factor = OT x PRF

The Performa