Managing Capacity In Job Shops

Learning Module 1:  Orientation and Key Concepts

The overall objective is to show how actionable perspectives and concepts are used to drive continuous improvement in job shops.  It outlines why job shops are so difficult to manage, and some background on Vincent Bozzone who designed the program.  Some of the actionables delivered include:

• Recognizing a job shop is not a factory (avoid mass production improvement programs) 
• Job shop characteristics (clarity of business types)
• Examples of types of shops (challenges the machine shop stereotype)
• Why so difficult to manage?
• Structure-process comparison (actionable perspective)
• Horizontal management (actionable perspective)
• Conversion processes (actionable concept)
• Program design logic (insight)
• Return on investment (small improvement leverages net profit)
• Job shops as service businesses (actionable perspective)

Although there is no charge to view this module, it is an integral part of Job Shop 360.

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Learning Module 3:  Managing with Data

Are you managing with data or by the seat of your pants?  Would you like to have accurate, timely data on your key metrics delivered to you and your management team on a weekly basis?

This module will show you how to design and implement a Weekly Performance Report (WPR) based on an Excel® spreadsheet, an absolute necessity for managing a job shop business (or any business for that matter).  This includes selecting the proper metrics as well as a method for collecting and reporting performance on these metrics weekly. The WPR also graphs each metrics so you can see trends over time. 

Here’s what a few long-time users have to say:

I don’t know how you can manage a business without one. Richard B. Hardy, Chairman and CEO, Hyde Tools, Southbridge Massachusetts

It focuses us on the things that are important, and has been very helpful in educating myself and my entire staff. We’re really pleased with the results. Jim Carter, General Partner, Digital Machining Systems, Duson, Louisiana 

The Weekly Performance Report enables us to see our entire business all at once. This perspective lets us move more quickly, make better decisions, and act with confidence. In addition, it focuses each of our key players on their part of the business which assures accountability and results. Al Choiniere, President, Superion, Inc., Xenia, Ohio

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Learning Module 5: Capacity Management and Scheduling

“Chaos on the floor means profits out the door.”  Judging by the number of people who complain about it, scheduling must be one of the most challenging problems in the job shop world. Schedule changes add cost but these costs are hidden. There is no line on your income statement that says “Cost of rescheduling orders in production.”

This module shows you how to avoid chaos and increase on-time ship performance. There are any number of schedule interruptions…customers changing requirements, changing dates, quoting too short lead times, lack of capacity management,  and emergency orders among other things.

• This module will show you the need to link sales to estimating and production.  
• It shows how to avoid over selling capacity.  
• It shows how to reduce disruptions and rescheduling jobs in production.

This module provides a blueprint for a scheduling system, as well as describes the  organizational relationships required to move work through the shop smoothly.

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Learning Module 6: Pre-production and Production

Pre-production is one of the most difficult areas to manage in a job shop.  There is no department of pre-production, and all the necessary activities are independent of each other (e.g., engineering, purchasing, materials management, routing, quality checks, production planning, scheduling, and specialized training). The objective of this module is to show you how to look at production and pre-production together, and how to coordinate pre-production activities in order to increase the volume of work through the shop (capacity improvement). Expect better on time ship performance as well.

This learning module also illustrates different types of waste and delay, and how to combat them. 

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Learning Module 2: How to Reduce Lead Time

Cutting lead time is the single most powerful strategy you can use improve performance and profitability of your shop.  This module shows you three different methods for cutting lead time, as well as the perspectives and concepts required to be successful.  Reducing lead time results in a variety improvements, and will:

• Increase Sales
• Reduce Costs
• Improve Margins
• Accelerate Cash Flow
• Increase Effective Production Capacity
• Improve Quality
• Enhance reliability and on time delivery

A lead time calculator is included that will enable you to measure and graph progress.

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