Production optimization consists of various activities related to measurement, analysis, modeling, prioritization and implementation of actions to improve productivity. Product optimization addresses manufacturing challenges such as:
- slow production line
- long pending work
- Separate workstation overwhelmed by work in progress
- Utilize unnecessary storage space
- Multiple errors requiring rework
- Workstation bottleneck
- Extended Delivery Time
- Productivity mismatch
- Complex production process and management
Production optimization allows companies to better understand and manage production processes and bottlenecks. Manufacturers optimize their systems for productivity and delivery times. As a result, sales increase and the company can think about future expansion plans.
Production optimization also encourages employees to responsibly eliminate wasteful practices while monitoring various performance through metrics. Additional benefits include shorter production times due to lower production costs, higher production capacity and higher quality.
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How does production optimization work?
As with any process, production optimization first works with the company to identify key issues encountered in the production process. As issues are identified, organizations should set appropriate goals and managers should be able to answer the following questions:
- Has your organization identified specific bottlenecks and identified the resources needed to meet production goals?
- Can your organization provide accurate, objective and quantitative data to improve processes and increase productivity?
- What is your company’s strategy? How do you define achievable goals?
- Can your organization identify how to measure, frequency, and calibrate in your production process?
- Can your organization identify and manage any obstacles that may appear in the optimization process (eg insufficient staffing information, communications, or software)?
- Can an organization modularize its activities and optimize all modules?
With all these questions answered, companies should consider the different modeling, simulation, optimization, and control methods available to them. What is the input source for each? Is it people or is it a matter of capital, natural resources or payback? Is your organization looking to compete with other players in the market, deal with newly introduced laws, or simply adapt to market demand? In each of these factors, what are the fluctuations that precede the organization and why are there fluctuations? What are the optimal input parameters? How are these optimal input parameters maintained? Are the parameters always the same?
These considerations will continue to be optimized and improved over time. Companies must learn how to find and update new optimal sets of input parameters, especially since products and raw materials are constantly changing. Optimal production standards are determined by:
- price
- quality
- Faster and better delivery
- environmentally safe products
Most production optimization methods use key cost function analysis with numerous input parameters (whether they are controllable or not).
Benefits of Optimizing Production
Production optimization can transform manufacturing operations and make them efficient at multiple stages. When optimization is implemented correctly, organizations will benefit from a number of benefits, including:
- Improve the overall efficiency of your equipment
- Reduce production delays
- Guaranteed to reduce equipment failures
- Increase equipment efficiency
- Regular monitoring of equipment availability and performance
- Improve quality and yield performance
- cloud-based Machine Learning (ML) Analyzes waste and uncover inefficiencies by predicting changes in productivity performance with the help of
- Improve factory innovation by reducing downtime or overtime and unscheduled maintenance with AI
- Saving money and protecting the environment by optimizing energy use
- Analyze scrap, waste and inefficiency sources with AI
Production Optimization Techniques
After establishing the basis for production optimization, companies can implement optimization using the following methods:
Forecasting market expectations
Every manufacturing company needs to estimate how much output it will need. Unfortunately, most organizations do not have projections for future sales. Sales forecasts can be obtained by examining historical sales data and general market trends. Organizations can use advanced reporting tools to gain accurate insight into their company’s sales and inventory.
Inventory Management
A key tool in creating and optimizing production plans is the quality inventory management process. This process is difficult to perform manually and must be automated. Automating your inventory management system allows your company to see what resources it has at any time. A quality inventory management system allows production planners to track inventory levels and automate replenishment volumes. Automated systems can also predict inventory requirements.
Preparing staff for production
Businesses must ensure that their equipment and personnel are always ready. For good production optimization, it is important to estimate the number of employees required for the production process and what their capabilities should be. It is essential to provide your employees with the right tools and the necessary training on advanced machinery.
Step and time management standardization
For any production process, you need to know when and where each step occurs and how long it will take to complete. Not all steps occur sequentially. Some occur back and forth and some occur according to a set series. When processes are mapped, it is easier to understand how long each process will take to complete. For repetitive activities, standardizing the process is best practice.
In addition, documenting all similar activities in the manufacturing process sets the baseline for the future if there are changes to the route or timing in the new manufacturing process. Creating baselines helps companies speed up the production planning process.
Identify problems that may arise
The best way to predict potential problems in your production process is to collect historical data for similar operations. Analysis of turnaround times, materials used and failures allows companies to apply failure modes and impact analysis techniques to analyze the likelihood of a hazard and reduce the likelihood of its occurrence. Failure mode and impact analysis allows companies to study their processes in-depth and find ways to reduce the impact of potential problems in their operations.
Plan delivery
This can be achieved through manufacturing software, as employees need to be aware of all plans for optimizing production. Plans, associated work orders, and production schedules should be shared so that employees are always aware of their responsibilities and have access to production systems at any time.
Production optimization realizes what every company desires: the continuous production of quality products at the right time according to the needs of the market.