pull vs. push production
DESCRIPTION
Production System is a collection of people, equipment and procedures organized to perform the manufacturing operation of the company or organization. Two Type Of Production System: ○Push Production System ○Pull Production SystemTRANSCRIPT
Presented & Prepared By: Ramsha Arif Zara Tariq
MIS (Management Information System)
:
Time fora short break
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Presented & Prepared By: Ramsha Arif Zara Tariq
MIS (Management Information System)
CONTENTS
I. Basics of Production System--------------------------- 3II. MRP (Manufacturing resource planning) ----------------- 26III. JIT (Just-In-Time) ------------------------------------------ 37IV. Push Production System ------------------------------ 46V. Pull Production System ------------------------------- 54VI. MRP in PUSH --------------------------------------------- 61VII. JIT in PULL ------------------------------------------------ 85VIII. Example Of PUSH ---------------------------------------- 115IX. Example Of PULL ---------------------------------------- 164X. PUSH Vs. PULL -------------------------------------------- 180
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Basics of
Production System
Production System:• It is a collection of people, equipment and procedures
organized to perform the manufacturing operation of the company or organization.
• Two Type Of Production System:1. Push Production System2. Pull Production System
Production Strategy:• Product Strategy is perhaps the most important function
of a company. It must take in account the capabilities in terms
of engineering, production, distribution (sales) existing in the company or of time to acquire them (by hiring or by mergers). It must evaluate the customers expectations at the time of delivery.
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Process Of Production
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MRP (Materials Requirements
Planning)
MRP (Materials Requirements Planning)
• Material requirements planning (MRP) is a production planning and inventory control system used to manage manufacturing processes. Most MRP systems are software based
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JIT (Just-In-Time)
JIT (Just-In-Time)
• Just-in-time manufacturing is a strategy used in the manufacturing industry to reduce costs by reducing the in-process inventory level. It is driven by a series of signals that tell the product line to make the next piece for the product and when it is needed.
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PUSH Production
PUSH Production
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Schedule work releases based on demand.inherently due-date driven control release rate.
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PULL Production
PULL Production
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Authorize work releases based on system status. It is a process that works on customer’s demand in order to reduce wasting and stocks all along logistics chain..
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MRP in
PUSH Production
MRP in PUSH Production
• MRP is the classic push system. The MRP system computes production schedules for all levels based on forecasts of sales of end items. Once produced, subassemblies are pushed to next level whether needed or not.
• Allows Managers to manage – that is, plan and Control things
• Can lead to economies of scale in purchasing and production
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JIT in
PULL Production
JIT in PULL Production
• JIT is the classic pull system. The basic mechanism is that production at one level only happens when initiated by a request at the higher level. That is, units are pulled through the system by request.
• Limited and known Final Inventory• Worker only consume their time & Raw Materials on
what is actually needed• Quality MUST be High – each piece has a definite
place to go – else immediate feedback is given
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Advantages & Disadvantages of Pull in JIT
Advantages Disadvantages
JIT PULL
Limited and known Final Inventory Every job is a ‘High Stress’ Rush order
Worker only consume their time & Raw Materials on what is actually needed
Balanced systems MUST be in place
Quality MUST be High – each piece has a definite place to go – else immediate feedback is given
Setup times will greatly impact throughout
Any problem will lead to unhappy customers (either internal or external)
Advantages & Disadvantages of Push in MRP
Advantages Disadvantages
MRP PUSH
Allows Managers to manage – that is, plan and control things
Can lead to large inventories
Requires intricate knowledge of Production Times & Product Flow
Can generate large quantities of scrap before errors are discovered
Can lead to economies of scale in purchasing and production
Requires diligence to maintain effective product flow
Allows for the planning and completion of complex assemblies
Requires maintenance of large and complex databases
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Example - Custom Taco Production Line
Cooking Assembly Packaging Sales
Pull
Push/Pull Interface
Push
Refrigerator
Customer
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Example - Quick Taco Production Line
Cooking Assembly Packaging Sales
PullPush/Pull Interface
Push
Refrigerator
WarmingTable
Customer
Push vs. Pull System
Push system
• In a Push, production and distribution decisions are based on long term forecasts
• Effective in dealing with fluctuating demand.
• Also known as the "producer-centric" approach
• Goods are manufactured in anticipation of customer orders.
Pull system
• In a Pull, production and distribution are demand drive
• Effective in dealing with Stable demand.
• Also known as "customer-centric" system
• Goods are manufactured in anticipation of customer needs.
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Push and Pull Examples
• Are the following systems essentially push or essentially pull?– “Pure” MRP system:
– Soda vending machine:
– Photocopy shop:
– Supermarket (goods on shelves):
– Order entry server at Amazon.com:
– Doctor’s office:
PUSH
PULL
PUSH
PUSH – into office, PULL – into exam room
PULL
PUSH
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T h e E n dThanks! For Your Valuable Attent ion . .