An alternative to implementing multiple modules like flow and discrete for manufacturing, the process-mix can be handled using Discrete Manufacturing module alone, resulting in lowering of implementation and support cost.
This is Part 1 of a two-part article. Part 2 can be found here.
Manufacturing companies usually have a mix of discrete and flow type manufacturing processes. An alternative to implementing multiple modules like flow and discrete for manufacturing, which may make the implementation complex, the process-mix can be handled to a large extent using Discrete Manufacturing module alone, resulting in lowering of implementation and support cost.
The shop floor operations of any manufacturing entity are normally a mixed bag of discrete, flow, and processing at the outside vendor (subcontracting) etc. Implementing multiple modules of Oracle (Flow Manufacturing, Discrete Manufacturing) to handle the operations will make the implementation very complex and costly. Also the data and setup requirements for modules like flow manufacturing are quite demanding. This paper provides an alternative option to model the mixed mode manufacturing setup (combination of OSP, in-house discrete, in-house cell manufacturing) using conventional WIP and BOM modules, and simplify the setup by not having to use Flow or Network routings. This will reduce the implementation and maintenance cost but will give fairly accurate results.
Mix mode manufacturing – Concept and Relevance:
The key to success in manufacturing today is it’s agility—the ability to precisely anticipate and swiftly respond to fluctuating market demands. As the supply chain becomes more demand-oriented, manufacturers are under pressure to bring products to market in the shortest span of time, at the right price, and adhering to the customer’s specifications. Moreover, during hard economic times, organizations scramble to find business, any business to help ride out of storm is welcome.
To achieve this, more and more companies are pursuing mixed-mode manufacturing and employing different production strategies for different product lines. One will therefore mostly find that the shop operations are a combination of different manufacturing techniques like discrete manufacturing, repetitive manufacturing, outside processing, single piece flow manufacturing, etc.
Pit FallsA lot of ERP packages have separate modules for discrete, flow, repetitive, etc. In order to map the shop floor operations ideally, one many need to implement a plethora of modules. This makes the implementation costly due to high licensing, consulting and maintenance cost, and training cost. Also, the implementation timelines will go up and benefits of accrual of the implementation gets delayed. The master data requirements and the accuracy of data that these multiple modules demand are also very high and it is quite difficult in lot of cases to really generate that data with the existing processes and systems.
One has to really do due diligence on whether we really need that level of accuracy in terms of replicating the exact shop floor scene in Oracle. Can we sacrifice some accuracy in terms of replicating the shop floor model exactly in our ERP system, but reap the benefits like a simpler and cost effective implementation with a non complex system to handle during its life cycle. Below section explains how different manufacturing processes are handled using discrete manufacturing module.
Mixed-mode Manufacturing: How to implement using Discrete Manufacturing
Choosing a software package that handles multiple manufacturing processes is a no brainer for those who are currently involved in mixed mode manufacturing, but it is also a good idea for those who don’t because you never know what the future holds. When times are bad and you’re scrambling for work, your ability to react to the market and provide good service has a lot to do with the tools your people have at their disposal.
The below section explains how Mixed mode manufacturing can be implemented using Discrete Manufacturing by using some workarounds in the way the operations are being modeled.
Single Piece Flow:
In this kind of manufacturing process, pieces flow in single piece for each operation rather than lots. Once the first operation is complete on that piece, it has to be moved on for the second operation and the next piece is moved on for first operation.
The diagram above depicts a single piece flow scenario. Every piece move from Turning to Welding and then to Assembly. Once first piece completes Turning operation and moves to Welding, the second piece starts the Turning operation, and so on.
About the authors
Yogesh is a Lead Consultant in the Enterprise Solutions group of Infosys Technologies Limited. He has over 13 years of experience with 10 years of end-to-end business transformation engagements leveraging Oracle Applications. He has consulted for multiple clients in discrete manufacturing space in the United States, Europ,e and Asia-Pacific. His area of specialization is Manufacturing and Supply Chain. Yogesh is an Engineering graduate with a Masters in Business Administration
Shantanu is a Senior Consultant in the Enterprise Solutions group of Infosys Technologies Limited. He has around 6 years of experience with 5 years of end-to-end business transformation engagements leveraging Oracle Applications. He has consulted for multiple clients in discrete manufacturing space in the India and Europe. His area of specialization is manufacturing and supply chain. Shantanu is an engineering graduate with a Masters in Business Administration
Vamsi is a Consultant in the Enterprise Solutions group of Infosys Technologies Limited. He has around 6 years of experience with 5 years of end-to-end business transformation engagements leveraging Oracle Applications. He has consulted for multiple clients in discrete manufacturing space in the India and the United States. His area of specialization is manufacturing and supply chain. Vamsi is an Engineering graduate with a Masters in Business Administration
