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Index

A

Accreditation Board for Engineering and Technology (ABET), 156–157

Accreditation process, 156–157

Adaptive control, 200

Administrative theory, classical, 117–119

Alcoa, 225, 232

Artificial intelligence

use of simulation models and, 207

used for schedule management, 211

B

Badore, Nancy L., 27, 36, 37, 85

Bateson, G., 62

Benchmarking.

See also Metrics

competitive, 200

explanation of, 100, 108

importance of, 63

metrics useful for, 100

process performance and, 229

Blakey, Art, 239

Bloch, E., 16, 73

Boeing, 235–236

Bowen, H. Kent, 54, 72, 93

Breakthrough planning, 200

Bridges, Bill, 192

C

Camp, R. C., 100

Capacity management. See Total capacity management (TCM)

Capacity requirements analysis, 209–210.

See also Total capacity management (TCM)

Capital expenditures, 147

Change

ongoing, 208, 233



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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE Index A Accreditation Board for Engineering and Technology (ABET), 156–157 Accreditation process, 156–157 Adaptive control, 200 Administrative theory, classical, 117–119 Alcoa, 225, 232 Artificial intelligence use of simulation models and, 207 used for schedule management, 211 B Badore, Nancy L., 27, 36, 37, 85 Bateson, G., 62 Benchmarking. See also Metrics competitive, 200 explanation of, 100, 108 importance of, 63 metrics useful for, 100 process performance and, 229 Blakey, Art, 239 Bloch, E., 16, 73 Boeing, 235–236 Bowen, H. Kent, 54, 72, 93 Breakthrough planning, 200 Bridges, Bill, 192 C Camp, R. C., 100 Capacity management. See Total capacity management (TCM) Capacity requirements analysis, 209–210. See also Total capacity management (TCM) Capital expenditures, 147 Change ongoing, 208, 233

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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE promotion and management of, 233–237 risk as consequence of, 190 Change control system, 194 Chew, W. B., 48 Clark, K. B., 202 Commercialization projects, 94 Communication and change process, 235 effect of functional groups on, 175 employee motivation through, 236–237 as key element of success, 79 transformation in manufacturing due to technological advances in, 10 Communication barriers, 160 due to different manufacturing languages, 175–176 information management systems and, 176–178 between material sourcing and procurement, 174 between product design and production, 173–174 regarding product support, 174 Communications network to facilitate distribution of knowledge and information, 74 as principle of integrated enterprise, 161–162 Competition goals of manufacturers regarding, 28 and time-pressure, 67 understanding capability of, 29 Competitive advantage, 68, 81, 147–148 Competitive benchmarking, 200 Competitive capability, long-term, 104–105 Competitive environment, worldwide, 10–11, 78–79, 85 Compton, W. Dale, 46, 50, 53, 55, 107 Computer-integrated manufacturing (CIM), 204 Computer modeling, 75 Computer technology, 10, 215 Concurrent engineering, 18. See also Simultaneous engineering Conniff, Ray, 242 Continuous improvement, 200 Cook, Harry E., 33, 45, 48, 72–73, 116 Cost performance, 109, 168 Costs communication problems regarding, 176 learning curve related to, 109–110 Critical variables, 57–58 Cross-functional teams, 172 Customer awards, 143 Customer complaints, 143–144 Customer satisfaction checks on, 146 elements of, 128 for inside customers, 133 leadership in issues dealing with, 164 meaning of, 130–131 objectives involved in, 131–132 Customers defining organization's, 128–130 as members of manufacturing system, 79 served by manufacturingor ganizations, 4–5, 30–31 understanding of, 63 Cycle time in integrated enterprise, 159 reduction in, 146 variance of, 47

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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE D Data, strategic analysis, 225–226 Davis, S., 197, 199 Decision-expenditure curves, 53–54 Design communication barriers between production and product, 173–174 simulation and assessment of, 208–209 Design process, 150–153 Dispatch lists, 206, 207 Double-loop learning, 63 Drucker, P. F., 32, 65 Dunlap, Michelle D., 107 E Economic lot size model, 185 Economic warfare, 12 Edmondson, Harold E., 31, 51, 63, 128 Education. See also Engineering education establishment of quantitative performance objectives and goals for , 154–157 experienced-based, 178 implications of manufacturing foundations for, 26 insufficiencies in business and engineering, 149–150 need for reassessment of, 80–81 Eisenberg, E., 240 Ellington, Duke, 242 Empirical models explanation of, 52–54 laws vs., 182–185 Employee capability, 29 Employee empowerment critical need for, 87, 188 employee involvement vs., 86–87 importance of, 34, 37 in integrated enterprise, 161 Employee involvement critical nature of, 87 employee empowerment vs., 86–87 environment encouraging, 79–80 explanation of, 86 importance of, 36–37, 147 objectives of, 35–36 at plant level, 88 risk and, 190 Employee motivation management climate and, 141 through communication, 236–237 Employees assessment of, 105 as asset of organization, 5, 35 as customers, 30–31 participation in strategic analysis by, 231–232 understanding of manufacturing foundations by, 24 Empowerment. See also Employee empowerment of students, 155 by world-class manufacturers, 35–37, 80 Engineering coordination between manufacturing and, 144 and design process, 150–153 responsibility involved in, 133 Engineering education steps to reduce Taylorism in, 154–157 Taylorism as obstacle to, 150–153 Engineering limits, 57 Engineers Council for Professional Development, 156 Entrepreneurial surveillance, 200

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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE Ephlin, Donald F., 61, 89 Experience curve. See Learning curve F Factories design of future, 59 ongoing modernization of, 196 Feedback loops influences on, 54 learning and, 63–64 15/85 rule, 54, 58, 67, 94, 96, 98 Financial metrics explanation of, 48–50 used for benchmarking, 101 Fisher, Philip A., 29–30, 37, 68, 137 Ford Executive Development Center, 92 Ford Motor Company, 88–92 Forecasts development of, 226–229 summarizing, 230–231 Foreign competition, 10–11 Foster, R., 71 Functional filtering, 134 G Garvin, D. A., 108 Gemba, 208, 234 General Electric Medical Systems, 47 Gibson, John E., 19, 80 Goals to adopt foundations of world-class manufacturing systems, 82 for education, 154–157 metrics to define, 51 short- and long-term, 29 of world-class manufacturers, 4, 28–30 Goodman, Benny, 243 H Hall, Jim, 239 Hanson, William C., 28–30, 33, 37, 40, 74, 158 Hayes, R. H., 202 Heim, Joseph A., 107 Herman, Woody, 243 Hewlett–Packard, 46–48 Historical time series graphs, 227 Holland, Dave, 239 House, C. H., 48 I Imai, Masaaki, 233–234 Improvement determining limits for, 55, 57 organizational ability for, 61 Incentives, 41 Industrial operations engineering, 172 Information-based organizations, 65 Information management systems, communication barriers and, 176–179 Integrated enterprise framework for, 159–161 future of, 164–165 leadership in, 163–164 manufacturing as, 158–159 measures in order to attain, 33 organizational strategy and, 162–164 principles of, 161–162 Intel, 193, 194 Involvement. See Employee involvement J Japanese manufacturing, 32, 134 change in, 233

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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE product introduction in, 169 quality control in, 144 relationship with supplier and purchaser in, 37 vendor dealings of, 145 Jazz, as metaphor for high-performance teams, 238–244 Johnson, H. T., 49 Just-in-time inventory, 45 Just-in-time manufacturing, 228 K Kaizen, Kaplan, R. S., 49 Kelvin, Lord, 43 Knowledge corporate memory and, 200 experience-based vs. theory-based, 25 power and, 234–236 Krupka, Dan C., 19, 53, 57–58, 76–77 L Labor strikes, 145 Lardner, James F., 32–33, 58, 60, 74, 173 Laws. See also Manufacturing laws empirical models vs., 182–185 explanation of, 51–52 physical, 181–182 tautologies vs., 180–182 Leadership in integrated enterprise, 163–164 knowledge and qualities of successful, 78–79 organization size and, 40 people, 161 product quality and, 41 technology, 161 Lean production, metrics used for, 45 Learning foundations related to, 62–68 organizational, 61, 199–203 performance improvement as result of, 7 Learning curve conclusions regarding, 114–115 observations regarding, 111–113, 182–183, 186 related to costs, 109–110 related to quality, 110–111 Learning curve models, 50, 53 Learning organization, strategic control in, 199–203 Learning process, 62–64, 66 Limits engineering, 57 recognition of technological, 71 theoretical, 57 Linear programming, duality in, 185 Little, John D. C., 52–53, 55, 180, 222 Long-term goals, 29 Long-term investors, 139, 142 Loucks, Vernon R., Jr., 78 M Magnetic resonance imaging (MRI) systems, 47 Malcolm Baldrige National Quality Award, 39 Management future vision in, 203 hierarchical and autocratic trends in, 175 impact of short-range investors on, 138–139 implementation of changes in senior, 91–92

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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE in integrated enterprise, 162–164 Japanese leadership in, 32 need for future vision in, 197–198 and process of change, 234–235 responsibility of, 6 strategic planning and, 58 traditional vs. change-driven, 197, 198 understanding tasks of, 38, 40, 42 Management accounting systems, 49 Manne, Shelley, 239 Manufacturers. See also World-class manufacturers characteristics of post-WorldWar II, 85–86 goals and objectives of, 4 measures for rating, 117–118 realistic goals for, 55, 57 Manufacturing conflicting interests in, 27–28 cooperation between research and, 140–141 coordination between engineering and, 144 future of competitive, 25, 160, 164–165 key terms used in, 176 life cycle and business cycle in, 189 management in future, 65 product definition and, 133 science of, 16 Taylorism as obstacle to, 150–153. See also Taylorism Manufacturing executives education for, 178–179 questions asked by security analysts of, 142–148 Manufacturing foundations. See also World-class manufacturers audience, 24, 26 benefits of, 23–24, 26 explanation and importance of, 20–23 Manufacturing laws empirical models vs., 182–185 outlook for, 185–186 tautologies vs., 180–182 Manufacturing opportunity, 230–231 Manufacturing process technologies, 56 Manufacturing processes complexity of, 215 diagrams of, 168–169 performance forcasting, 227–231 use of models to understand, 208 Manufacturing resource planning (MRP II), 206, 212 Manufacturing systems. See also Integrated enterprise determining optimal strategy for, 43–44 development of theories in, 75 enhancement of scientific method for understanding, 75–77 explanation of, 15–20 identification of laws of, 52 identification of variables of, 57–58 interdependencies of, 7, 15, 17, 79, 149 modeling of, 186–188, 205 study of, 14–15 transformation of U.S., 9–10 Manufacturing unit, 218–220 Marketing responsibilities, 132–133 Marsalis, Wynton, 238–239 Marsing, David B., 36, 40, 46, 72, 189 Mathematical models, simulation used in, 75–76 Mathematical tautologies, 180

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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE Matsushita, Konosuke, 187–188 Metrics choice of fundamental, 119 to define goals and performance expectations, 51 to define speed of learning, 64 direct, 45–46 to evaluate product plan, 135 evaluation of competitors, 29 explanation of, financial, 48–50 interactions between, 106 as operational guidelines, 50–51 for professional education, 154–155 proxy, 45 sources for, 44 taxonomy for, 45–46 use of appropriate, 46–48 Mitchell, Grover, 242 Mize, Joe H., 34–35, 58, 63–64, 196 Model calibration, 200 Modeling facilitation of, 205 growth in use of, 75 of manufacturing systems, 205 Models as basis for decisions and performance prediction, 58–60 conditional relations in manufacturing system, 75–76 dangers in use of, 216–217 empirical, 52–54, 182–185 explanation of, 52, 204–205 power of simple, 217–223 and understanding of critical variables, 57–58 used for exploration of strategic alternatives, 58 used to formalize organizational knowledge, 66–68 user understanding of, 54–55 Motivation, employee, 141, 236–237 N Nadler, G., 59 National Center for Manufacturing Sciences (NCMS), 11 National Critical Technologies Panel, 69 Nonfinancial metrics, 49–50 O Objectives importance of short-term, 30 of world-class manufacturers, 4, 28–30 Organization charts, 162, 163 Organization size and access to technology, 81–82 advantages of small, 87 leadership and, 40 Organizational behavior, 160 Organizational culture, 116 Organizational development model, 89 Organizational knowledge, 66–68 Organizational structure criteria relevant to, 117–118 as organizational barrier, 160 Organizations dissatisfaction with functional, 116, 117 employees as asset of, 5 impact of, 31–35 information-based, 65 renewal of, 62 transition process in, 192–193 P Participative management of education enterprise, 156 high-performance teams in, 238–244

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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE implementation of, 90–91 People leadership, 161. See also Leadership Performance aggregated measures of, 104 metric of time, 171–172 Performance evaluation explanation of, 44 process of, 6 Pestillo, Peter, 89 Physical laws, 181–182, 205 Power, knowledge and, 234–236 Price, R. L., 48 Pritsker, A. Alan B., 59, 66–67, 204 Problem-solving methods, 193 Process control systems, 193 Process improvement programs, 221 Process introduction empirical observations for, 94–99 requirements for, 93 Process performance, forecasting, 227–229 Product definition, 132–133 Product introduction empirical observations for, 94–99 requirements for, 93 time as element in, 169, 172 Product performance metrics, 101–102 Product plan checks regarding, 1136 customer satisfaction and, 132–135 implementation of, 136 Product quality, 41 Product unit, 218 Production learning curves and, 111 quality index and cumulative volume of, 114 use of simulation for control over, 206 Production process transfer of responsibility to operators of equipment for, 193–194 use of statistical metrics in, 46 Profitability nonfinancial indicators and longterm, 49 as proxy metric, 45 Prospect theory, 184–185 Proxy metrics, 45 Q Quality assessment of trends in, 108 definitions of, 108 importance of, 107–108 learning curve related to, 110–111 measures of, 108–109 Quality circles, 88 Quality control personnel, 144–145 Quality function deployment (QFD) approach, 127, 132 Quality index (QI), 111–114 Queueing models, 169–172 Queueing systems, 180–181 Queueing theory, 52 Quinn, James Brian, 27, 41 R Research and development cooperation between manufacturing and, 140–141 dominant role in U.S. of, 134 Research community, study of manufacturing foundations by, 26 Response flow checklists (RFCs), 193–194 Rewards, 41

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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE Risk ability to handle, 195 avoidance of, 189 as consequence of change, 190 control methodology and, 194 and effective use of people, 190–191 and planning for change, 191–193 statistics, problem solving and, 193–194 Robinson, G. H., 59 S S–curve phenomena, 228 Satisfaction, 130–131 Scheduling execution and dispatching in, 211 management of, 210–211 use of simulation for, 206, 210, 211 Schneiderman, A. M., 111 Scientific management principles, 22 Scientific method, 75–77 Securities and Exchange Commission, 101, 139 SEMATECH, 11 Short-range investors, 138–139 Short-term goals, 29 Simon, Herbert A., 74–75, 205 Simulation large-scale, 186 of manufacturing systems, 60, 205 in mathematical models, 75–76 as mechanism for explaining and distributing complex rules and policies , 59 for scheduling purposes, 206, 210, 211 use of, 60, 75, 206 Simulation languages availability of, 75 to build and analyze manufacturing models, 205 Simulation modeling, 60 Simultaneous engineering, 18 requirements of, 72 as team concept, 127 Single-loop learning, 62, 63 Size. See Organization size Small manufacturers, 81–82 Solberg, James J., 25, 55, 75, 215 Stacy, Jess, 243 Statistical process control (SPC) charts used for, 193–194 explanation of, 108, 109 Statistical quality control explanation of, 143 success of, 142 Statistics need for working knowledge of, 193 status presentation and, 211 Stock market investors importance of manufacturing division to, 139–141 types of, 137–139 Strategic analysis, 224 at Alcoa, 225 data in, 225–226 and development of forecasts, 226–229 participation and, 231–232 summarizing forecasts and interpreting opportunities in, 230–231 Strategic control, 199–202 Strategic planning to create planned crisis, 191–192 early process of, 199, 200 management and, 58 Student empowerment, 155

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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE Student work practices, 155–156 Subsystem interfaces, 72–74 Subsystem research, 70, 72 Subsystem unit functioning, 122–124 Suppliers barriers between purchasers and, 5–6 relationship with, 37–38 System dynamics, 186–187 System operational metrics, 103–104 System research, 74–75 System/subsystem structure difference between function and, 124–125 functioning of, 122–124 T Taguchi's paradigm application of, 120–124 explanation of, 119–120 Tautologies, 180–182 Taylor, Frederick Winslow, 22, 117, 150–151 Taylorism appropriateness of application of, 153–154 and education, 154–157 elements of, 150–153 explanation of, 150 Teams creativity in, 240 large high-performance, 241–244 product development and cross-functional, 172 responsibility needed by, 191 small high-performance, 239–244 trust as element of, 159–160 use of statistics and problem-solving methods by, 193 Technical work force capabilities, 50–51 Technology acceptance of changes in, 25 assessing developments in, 105 foundations related to, 68, 70–77 Japanese, 32 as key to competitive advantage, 68, 81 leadership in, 161 national critical, 69 recognition of limits to, 71 use of, 7–8, 61, 77 Theoretical limits, 57 Time as critical metric, 76–77, 166–168 as detector of inefficiencies, 171–172 as diagnostic tool and driver ofquality and cost, 168–169 and queueing models, 169–172 Total capacity management (TCM) architecture of, 212–213 as concept, 214 explanation of, 204 functions in, 208–211 overview of, 206–208 schedule execution and dispatching and, 211 Total quality control (TQC), 235 Transport unit, 219, 220 Transportation technology, 10 Turnbull, G. Keith, 49, 55, 57, 62, 64, 70, 224 U Union membership, 145 Unit operation metrics, 102–103 United States ability to take emotional risks and a competitive advantage for, 195 goals to adopt foundations of

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MANUFACTURING SYSTEMS: FOUNDATIONS OF WORLD-CLASS PRACTICE world-class manufacturing systems, 82 manufacturing gap in, 73 V Validity-check model, 55 Vendors barriers between purchasers and, 5–6 number of and relationships with, 145–146 relationship with, 37–38 Visioning ability of managers to apply, 197 explanation of, 200 Visualization graphics methods, 75 W Wall Street investors importance of manufacturing division to, 139–141 types of, 137–139 Welliver, Albertus D., 36, 38, 63, 64–65, 233 Wheelwright, S. C., 202 Wilson, Richard C., 36, 40, 80, 238 Work force capabilities, 50–51 Work teams. See Teams World-class manufacturers common model as basis for achievement of, 208 elimination of barriers within organizations by, 35 employee involvement and empowerment by, 35–37, 80 goals and objectives of, 4, 28–30 leadership provided by, 164 meaning of, 28–29 and method of acquiring knowledge, 67–68 models as tools used by, 60 and relationship with customers, 4, 28–33 relationship with suppliers and vendors, 37–38 role of management for, 42 use of metrics to help define goals and performance expectations, 51 view and use of technology by, 77