High Velocity Manufacturing

High Velocity Manufacturing (HVM) provides a quantum improvement in manufacturing production control and inventory management. HVM’s predecessors, Manufacturing Resource Planning (MRP-II) and Just-In-Time (JIT) are widely used by companies throughout the world. A simplified version of the “drum-buffer-rope” concepts developed by Eliyahu M. Goldratt, High Velocity Manufacturing marries the best features of TOC, JIT, and MRP-II.

HVM is different from TOC-based production methods offered by other consulting groups in THREE respects:

  • First, Goal Systems International recognizes the widespread use of MRP software and the emerging popularity of Enterprise Resource Planning (ERP) systems. Consequently, HVM is designed to integrate TOC smoothly with both of these kinds of systems, and to clearly identify the advantages and drawbacks of each.
  • Second, HVM employs a simpler, easier-to-implement version of the original “Drum-Buffer-Rope” production scheduling method developed by Goldratt.
  • Third, HVM uses a proprietary state-of-the-art computer simulation program— the Management Interactive Case Study Simulator™ (MICSS) capable of both teaching and “what if...” analysis on both “set piece” and custom-modeled unique production lines. MICSS™ is easy to learn and operate and is designed to run under Windows 95/98 or 3.1.

 

BENEFITS OF HIGH VELOCITY MANUFACTURING

Any manufacturing operation not already using a Theory of Constraints approach to production and inventory control can realize the following benefits:

  • Dramatically reduced manufacturing cycle times, often beyond those achieved through JIT.
  • Significant reductions in both work-in-process and finished goods inventories.
  • Capability to shift to make-to-order, rather than make-to-forecast, or inventory. In some cases, mass customization is possible.
  • Faster deliveries to customers.

 

WHAT YOU WILL BE ABLE TO DO AFTER ATTENDING HIGH VELOCITY MANUFACTURING

  • Students will leave the course capable of immediately establishing a manual “drum-buffer-rope” scheduling system that effectively balances flow—not capacity—through a production line.
  • Students will have a thorough understanding of the requirements for a computer-based TOC scheduling system. In those comapnies where some version of MRP-II is already in use, students will know how to adapt it to operate as a "drum-buffer-rope" system. (i.e., no additional investment in dedicated scheduling software required).
  • Students will understand and be able to apply the concept of split-and-overlapped batches in transferring work-in-process between stations.

 

WHO SHOULD ATTEND?

  • Plant managers, senior managers, and middle managers with responsibility for manufacturing operations.
  • Managers and staff with responsibility for Total Quality Management or Continuous Improvement in manufacturing operations

 

SCHEDULE

The course is composed of three one-day sessions and one half-day session (approximately 24 seminar hours) modulized for flexible scheduling in one-day or half-day increments. Courses may divided, with intervening breaks, into any combination of days or half-days. See accompanying table (below) for a detailed course outline.

First Day

Second Day

  • Case Study: Reliable Manufacturing, Inc.”
  • Introduction to TOC
    - Definitions
    - Five focusing steps
    - Measurements
  • MICSS Simulation Exercise: “Plant 120"
    - TOC production policies
    - Finding excess capacity
    - Balancing contracts with open orders
Lunch Lunch
  • Tabletop exercise: “The Dice Game”
    - Variation and interdependence in
    complex systems
  • Production Environment (types)
    - Flow types (A, V, T and I)
    - Make-to-Order/Stock/Forecast
  • Introduction to the MICSS (computer)
  • Traditional “Drum-Buffer-Rope” (DBR)
  • Formal buffer management
  • Using DBR with existing MRP systems

Third Day

Fourth Day

  • Simplified “Drum-Buffer-Rope” (S-DBR)
  • “Red-Line Control”
    - Controlling variation and uncertainty
  • MICSS simulation exercise - ADV200
    - DBR in an environment of dynamic
    market demand
  • Integrating TOC with ERP
    - Case Study: “SMPRO, Inc.”
    - Throughput-Based Decision Support
  • Summary and Conclusion
    - Implementation issues
Lunch  
  • MICSS simulation exercise - ADV200 (Continued)
  • Managing excess capacity