Multi-product cost and value stream modelling in support of business process analysis

To remain competitive, most Manufacturing Enterprises (MEs) need cost effective and responsive business processes with capability to realise multiple value streams specified by changes in customer needs. To achieve this, there is the need to provide reusable computational representations of organisational structures, processes, information, resources and related cost and value flows especially in enterprises realizing multiple products. Current best process mapping techniques do not suitably capture attributes of MEs and their systems and thus dynamics associated with multi-product flows which impact on cost and value generation cannot be effectively modelled and used as basis for decision making. Therefore, this study has developed an integrated multiproduct dynamic cost and value stream modelling technique with the embedded capability of capturing aspects of dynamics associated with multiple product realization in MEs. The integrated multiproduct dynamic cost and value stream modelling technique rests on well experimented technologies in the domains of process mapping, enterprise modelling, system dynamics and discrete event simulation modelling. The applicability of the modelling technique was tested in four case study scenarios. The results generated out of the application of the modelling technique in solving key problems in case study companies, showed that the derived technique offers better solutions in designing, analysing, estimating cost and values and improving processes required for the realization of multiple products in MEs, when compared with current lean based value stream mapping techniques. Also the developed technique provides new modelling constructs which best describe process entities, variables and business indicators in support of enterprise systems design and business process (re) engineering. In addition to these benefits, an enriched approach for translating qualitative causal loop models into quantitative simulation models for parametric analysis of the impact of dynamic entities on processes has been introduced. Further work related to this research will include the extension of the technique to capture relevant strategic and tactical processes for in-depth analysis and improvements. Also further research related to the application of the dynamic producer unit concept in the design of MEs will be required

The integrated use of enterprise and system dynamics modelling techniques in support of business decisions

Enterprise modelling techniques support business process re-engineering by capturing existing processes and based on perceived outputs, support the design of future process models capable of meeting enterprise requirements. System dynamics modelling tools on the other hand are used extensively for policy analysis and modelling aspects of dynamics which impact on businesses. In this paper, the use of enterprise and system dynamics modelling techniques has been integrated to facilitate qualitative and quantitative reasoning about the structures and behaviours of processes and resource systems used by a Manufacturing Enterprise during the production of composite bearings. The case study testing reported has led to the specification of a new modelling methodology for analysing and managing dynamics and complexities in production systems. This methodology is based on a systematic transformation process, which synergises the use of a selection of public domain enterprise modelling, causal loop and continuous simulationmodelling techniques. The success of the modelling process defined relies on the creation of useful CIMOSA process models which are then converted to causal loops. The causal loop models are then structured and translated to equivalent dynamic simulation models using the proprietary continuous simulation modelling tool iThink

Enterprise modelling in support of methods based engineering: lean implementation in an SME

Popular ‘methods-based’ approaches to engineering enterprises include: BPR, Continuous Improvement, Kaizen, TQM, JIT, Lean and Agile Manufacturing. Generally the industrial application of such methods-based approaches leads to long lead-times, high costs, and poorly justified engineering projects that do not prepare the organization for future change. These outcomes are to be expected because (1) invariably Manufacturing Enterprises (MEs) constitute very complex and dynamic systems that naturally require complex design and change processes and (2) current methods-based approaches to organizational design and change are not analytically well founded. Therefore the authors argue that a framework and modelling toolset are required to facilitate ongoing and integrated application of methods-based engineering approaches, providing underlying modelling structures and concepts to ‘systemize’ and ‘quantify’ key aspects of organization design and change. Unless suitable decomposition, quantitative and qualitative modelling principles are used to underpin an approach such as a Lean Manufacturing, deficiencies will remain. Often, MEs adopt the “we need be lean” mindset without holistic understandings of causal and temporal impacts of such philosophies on ME processes, resource systems and current and possible future workflows. Enterprise Modelling (EM) partially addresses the aforementioned problems and can support the development of robust understandings about current enterprise processes and potential capabilities of systems. However in general, current EM techniques are geared best to capturing and organizing relatively enduring knowledge and data about any given organization but are themselves deficient in respect to replicating and predicting dynamic system behaviors. This paper presents a model driven approach to organization design and change in support of methods-based engineering, applying Lean Manufacturing principles, with a UK based bearing manufacturer. EM and various derivative Simulation Modelling (SM) views were generated to display system behaviors under changing scenarios

Recipe-based integrated semantic product, process, resource (PPR) digital modelling methodology

Virtual engineering methods based on digital modelling and simulations have potential to improve analysis and performance of manufacturing systems. Current generation digital modelling techniques in view of systems design and life cycle modelling attempt to integrate aspects of product, process and resource requirements. Despite these advances, to facilitate rapid design and provide support for the selection of processes and resources, there is the need to semantically model and integrate product-process requirements with resource capabilities. This paper therefore presents a ‘recipe-based’ approach to modelling based on ontologies with capability to rapidly define and select resource systems meeting product and process requirements

Resource selection ontologies in support of a recipe-based factory design methodology

Factory (re) design involves the appropriate utilisation of product, process and resource knowledge in the determination of suitable configurations of physical factory facilities which have the potential to meet industrial and organisational requirements. Different independent semantic modelling standards exist for products, processes and resources but to automate and facilitate the selection of factory resources, there is the need to semantically integrate resource capabilities with product and process requirements. This paper defines a ‘recipe-based’ approach to design factories and it is based on the assumption that capabilities and competences of reusable components (or building blocks) of factory resources can be semantically modelled and matched with product–process requirements. This approach will enable Factory Designers and Engineers to decide on relevant resource systems within finite, valuable and defined sets of requirements

Manufacturing systems modelling in support of cost and value stream analyses

The average economic life of manufacturing systems will reduce as product lifetimes reduce, unless the next generation of these systems is sufficiently flexible to realise the customised manufacture and assembly of multiple product types. To achieve this, there is the need for a full life cycle engineering of 'recomposable' production systems comprising processes and their associated resources. In reality, for any process to be sustainable, 'value' must be added along a process path at a reduced cost such that the sale of the process output will generate profit. In this book, an integrated multi-product dynamic cost and value stream modelling methodology which rests on well experimented techniques in the domains of process mapping, enterprise modelling, system dynamics and discrete event simulation modelling, have been applied to help design, analyse, estimate cost and values, and improve processes required for the realisation of multiple products in Manufacturing Enterprises. Results derived from the integrated methodology have been compared with the lean-based value stream mapping technique which offers limited solutions in the design of complex manufacturing systems

Digital modelling methodology for effective cost assessment

Research advances in digital factory design has led to a number of simulation techniques and tools which have the capability to represent aspects of the lifecycle of manufacturing systems. Although this is the case, analysis of key performance indicators (such as cost) are not very advanced when compared with other digital manufacturing simulation applications. To address this gap, this paper proposes a dynamic cost modelling (Product, Process, Resource, Cost-PPRC) methodology which is based on an initial digital modelling of the (perceived or real) production system and then associating product features with the capabilities of the production system. The paper reports a case application of the PPRC methodology for remote laser welding (RLW) of a car door. The methodology provides a basis for economic justification of product, process and resource related changes

Towards the derivation of an integrated design and manufacturing methodology

Design methods support the derivation of alternative design solutions, and based on product requirements, it provides a platform for the evaluation and selection of appropriate solutions. Because of the driving needs of design and manufacturing industries and also the quest to remain competitive, several design methodologies aimed at addressing aspects of industrial requirements have emerged. This study identifies current best practice design methodologies and their performance when compared with current trends in design and manufacturing. Based on the review, the strengths and weaknesses of current methods are highlighted and used as the platform to support the recommendation for an integrated design and manufacturing methodology. The integrated design and manufacturing methodology rest on the strengths of product design, cost engineering, enterprise and process simulation modelling techniques. This method can help in the (re)design and (re)engineering of products and processes for better cost indications; help determine appropriate manufacturing paradigms; perform virtual experiments to understand implication of production volume changes on designs and flexibility needs in production system

An integrated product–process design methodology for cost-effective product realisation

Methods related to Design for X are known to have contributed positively to product designs, resource selection and realisation of products. Despite these achievements, frequent design errors which can be attributed to the lack of integration of design and manufacturing concepts exist. Departmentalisation, skill concentration and protection of institutional interests contribute largely to the non-full integration of design and manufacturing methods. This article adopts a process-engineering approach which supports the development and integration of product and process models for design concept analysis. The methodology described in this article is part of a broad-based design methodology with a potential to improve design and manufacturing integration and offers solutions for effective and timely reconfiguration of manufacturing systems in view of meeting market demands

Digital modelling methodology for effective cost assessment

Abstract Research advances in digital factory design has led to a number of simulation techniques and tools which have the capability to represent aspects of the lifecycle of manufacturing systems. Although this is the case, analysis of key performance indicators (such as cost) are not very advanced when compared with other digital manufacturing simulation applications. To address this gap, this paper proposes a dynamic cost modelling (Product, Process, Resource, Cost-PPRC) methodology which is based on an initial digital modelling of the (perceived or real) production system and then associating product features with the capabilities of the production system. The paper reports a case application of the PPRC methodology for remote laser welding (RLW) of a car door. The methodology provides a basis for economic justification of product, process and resource related changes