OM 1

Jigar Jain
Executive Shirt Company
Process Flow Diagram
Raw
Material
Laying
Sheets
Cutting
Sheets
Make
Cuffs
Make
Sleeves
Make
Collar
Make
Front
Make
Back
Join
Shoulder
Attach
Collars
Attach
Sleeves
Attach
Cuffs
Stitch
Sleeves
Sew Side
Seam
Hem
Bottom
Inspect
Shirts
Iron
Shirts
Fold
Package
90 30
30 19.5 29.25 25 25.5
18 24.75 23.25
19.5
27 23.25
25.5 25.5 29.25 26.25
Objective
Current
Process
Mikes Plan Ike - Regular Ike - Custom
Cycle Time
(mins)
0.6 0.53 0.67 4.8
MLT (days) 14.7 2.2 12.58 0.45
WIP Inv
(shirts)
11760 1980 9060 45
Prod Cap
(shirts / day)
960 960 720 123
Cap Utilization
(%)
0.83 0.94 1 0.81
DL Content
(Mins)
26.51 27.01 26.51 26.01
DL Utilization
(%)
0.69 0.78 0.81 0.33
DL Cost ($) 3.84 3.46 3.49 7.68
Calculations
Actual Cycle Time
480 (Minutes Available Per Day) / Production Per day

Manufacturing Lead Time
WIP * Cycle Time

Work In Process
No. of WIP Batch * Batch Size

Production Capacity
480 (Minutes Available Per Day) / Theoretical Cycle Time
(Calculated from Bottleneck)
Calculations
Capacity Utilization
Production Per Day / Production Capacity

Direct Labor Content
Total time taken for a shirt in entire process

Direct Labor Cost
Total Employee * Wage Rate * Hours per Day / Production per Day

Direct Labor Utilization
Direct Labor Content / Minutes Available Per Shirt (= Employees *
Hours Per Day * Batch Size / Production)
I Cant Cope
Mr Sane
Activity Activity Time (Seconds) Immediate Predecessor
1 30 None
2 50 None
3 40 1
4 50 1
5 20 2
6 10 3
7 10 4,5
8 20 2
9 10 6
10 40 9
11 20 7
12 30 7
13 50 9
14 50 10
15 10 11
16 40 8,12
Mr Sane - Grouping
Activity Activity Time (Seconds) Immediate Predecessor
1, 3 30 + 40 = 70 None, 1
2, 5 50 + 20 = 70 None, 2
4, 8 50 + 20 = 70 1, 2
6, 9, 13 10 + 10 + 50 = 70 3, 6, 9
7, 10, 11 10 + 40 + 20 = 70 4, 5, 9, 7
14, 15 50 + 10 = 60 10, 11
12, 16 30 + 40 7, 8, 12
With New Order
Requirement = 420 units / day
Available Time = 7 hours
Required Cycle Time = 7 * 60 / 420 = 60
seconds
Existing Cycle Time = 70 seconds
New process Grouping Requirement:
1 person = 60 seconds
2 persons = 120 seconds
And so on
New Grouping 8 people
Activity Activity Time (Seconds) Immediate Predecessor
1, 2, 3 30 + 50 + 40 = 120 (2 people) None, None, 1
4, 5, 6, 7, 8, 9 50 + 20 + 10 + 10 + 20 + 10 =
120 (2 people)
1, 2, 3, 4, 5, 6
10, 11, 14, 15 40 + 20 + 50 + 10 = 120 (2
people)
9, 7, 10, 11
12, 13, 16 30 + 50 + 40 = 120 (2 people) 7, 9, 8, 12
Total 8 People
** There are other groupings possible
Uma
Activity Activity Time (Seconds) Immediate Predecessor
A 40 None
B 50 None
C 70 A
D 20 A
E 50 A
F 40 B, c
G 60 E
H 30 D, f, g
Mr Sane - Grouping
Activity Activity Time (Seconds) Immediate Predecessor
A, b, c, d 40 + 50 + 70 + 20 = 180 None, none, a, a
E, f, g, h 50 + 40 + 60 + 30 = 180 A, b, c, e, d, f, g
With New Order
Requirement = 210 units / day
Available Time = 7 hours
Required Cycle Time = 7 * 60 / 210 = 120
seconds
Existing Cycle Time = 180 seconds
New process Grouping Requirement:
1 person = 180 seconds
2 persons = 90 seconds
And so on
New Grouping 8 people
Activity Activity Time (Seconds) Immediate Predecessor
A, b 40 + 50 = 90 (1 people) None, None
C, d 70 + 20 = 90 (1 people) A
E, f 50 + 40 = 90 (1 people) A, b, c
G, h 60 + 30 = 90 (1 people) E, d, f, g
Total 4 People
** There are other groupings possible
Thank You