1 industrialization samuel bassetto – w04/2007 management lessons

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1

Industrialization

Samuel Bassetto – W04/2007

Management lessons

2

Foreword

Industrial Point of view

3

Production system architecture

Design management

Industrial development strategy

Operational management & logistics

Industrialization

RexRex

Product/process integration

Supply chain definition

Foreword

Industrial Point of view

4

A Product production lifecycle

Product production

Foreword

Industrial Point of view

Product design

Product industrialization

Production dismantelment

5

ForewordC

ust

omer

s

Req

uir

emen

ts

Cu

stomer

Satisfaction

Offer creation process

Internalservices

Strategical vision process

Offer building process

HR

ISystem

Financial

Ressources

Extract from norm AFNOR X50-176

Change and continuous improvement process

Industrial Point of view

6

Offer creation process

Offer building process

Industrialization

Problems, methods and tools for mastering this transfert

Foreword

Industrial Point of view

7

Foreword, Small survey (1/2) – about french lessons… (1/2)

Lessons about industrialization

UTC –> more focused on quality

Produit-process

Télécom

Industrialization engineer is in charge of definition and optimization of the product manufacturing plan so as achieving cost, cycle time, quantity and quality objectives.

Academic Point of view

8

Foreword, Small survey – about employment… (2/2)

• Turbo méca SERAP

Coordinate, master non conformities, project leader,

methodologic support, be the quality referent…

Industrial project, industrial assessment, process

definition, supply chain definition, coordination

W52-06Cadremploi : 19636 Jobs& 228 for ‘industrialisation’Industrialization has a real impact as key word.

Ressources POV

9

Foreword A multi competences man !

• Being able to dialog with several partners: Control risks, @ the interface of production, process, planification, supply chain, quality marketing (for demand analysis).

• Required to know how to manage a project, design an organization and drive it

• Personal behavior : manage the complexity, be the interface man !

Ressources

10

Foreword, a multiple scope domain

• Several views about industrialization

New product ramp-up

Project management

Quality management

Supply chain management

Logistic Mgt

Information system

Management

Facilities layout

Environment Mgt

Cycle time Mgt

Risk Mgt Eco.Industrialization

11

Outline – WOQIE

What is industrialization ?

Organization and industrialization

Quality and industrialization

Information systems and industrialization

Engineering for industrializationRisk management :

the red line of

this presentation

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What is industrialization ?

• The massive deployment with same caracteristics.

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What is industrialization ?

• The massive deployment with same caracteristics.

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What is industrialization ?

• Some numbers in metallurgy industries:– The COREX process (Kohl Reduction)

• Laboratory researches : 1977-1981• Pilot plant: 1981 – 1986 (5-> 10T/h but not continuous

process)• Prototype pilot plant: 1987 – 1999 (2000t/day)• 1995 -2001: 6 plant (Korea, South africa, India)• C3000 plant for bulgaria

1 process – full test and deployment: 24 years & 10 plants !

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What is industrialization ?

• Some numbers in service organisation:– A law is adopted : each person can benefit

of the RMI (french accronym for Minimal Social Income)

• Grow up from 0 to 17000 peoples in a dep. 79 ~ peoples to help per working day (217d/y in France)

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What is industrialization ?

• Some numbers in cinematography industry:– 1 Best seller film: ~15M€ -’part vite reviens tard’

• 3MP see it in 3 Months • Mean projection room size : 300seats 3334 rooms

associated to this film to achieve this goal and produce :• CA = ~21M€• η = 40% of benefits in 3 months

How to pass from 0 to 3334 rooms, attract and manage 3MP ?

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What is industrialization ?

• Some numbers in semiconductor industries:– A new technology each 2 years. – 1 technology cost ~ 1b$– 1 technology involve ~500 engineers in

project mode– Production window: from only 2y up to 5 years.– Yield of the first silicon: less than 50%– Reach a stable prod @ a scrap rate : 2% + yield

@ 75%– Decrease wafer from 10k$ to 0,5k$

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What is industrialization ?

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What is industrialization ?

industrialization

Production size

Launch, 1 year

Maturation 1 year

Production, 2 years

Stop, 3 years

Time

YieldProduction volume max

100 %

Stakes

Launch Maturation Production Transfert and stop

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Some curves in semiconductor industries

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What is industrialization ?

• In electrical industry:– One new product generation– 2 years of development (Engineering)– 30 Development engineers– Ramp-up after prototype tests.

Cf lessons provided by schneider …

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What is industrialization ?

Some characteristics:

• A massive deployment

• A project from design to full production

Some questions:

• A process ? (processus in french)

• A Workflow ?

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What is industrialization ?

Litterature review:

• French authors:– Auroy, processus d’industrialisation– Dal Pont, l’entreprise industrielle(techniques de l’ingénieur)

• International contributors: – Terwiesch & al : International product tranfert and production

ramp up: a case study from data storage industry(R&D Management)– Lieven, Demeester, Mei Qi, Managing learning ressources

for consecutive product generations(Int. Journal of Production Economics)

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What is industrialization ?

Our definition, in this lesson:

Industrialization is the transfert process from the offer design business process to the offer realisation business process

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Cu

stom

ers

Req

uir

emen

ts

Cu

stomer

Satisfaction

Offer creation process

Internalservices

Strategical vision process

Offer building process

HR

ISystem

Financial

Ressources

Extract from norm AFNOR X50-176

Change and continuous improvement process

Offer creation process

Offer building process

I ndustrialization

Problems, methods and tools for masteringthis transfert

I ndustrialization

Problems, methods and tools for masteringthis transfert

24

What is industrialization ?

A particular process:– In chemical industries:

– In metallurgical industries:(1) Assess the issue of the innovation versus existing process(2) Define and validate the process on small scale.(3) Select technologies(4) Monitor industrial pilot with integrated steps(5) Monitor process on a demonstration unit(6) Install and adjust the target production facility

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Offer creation process

Offer building process

I ndustrialization

Problems, methods and tools for masteringthis transfert

I ndustrialization

Problems, methods and tools for masteringthis transfert

25

What is industrialization ?

A particular process:– In automotive suppliers industry:

• P4: Concept• P3: Prototype• P2: Process Plan - proto• P1: Industrial Developement• Production – P0

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Offer creation process

Offer building process

I ndustrialization

Problems, methods and tools for masteringthis transfert

I ndustrialization

Problems, methods and tools for masteringthis transfert

26

What is industrialization ?

A particular process:– In automotive suppliers industry:

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Offer creation process

Offer building process

I ndustrialization

Problems, methods and tools for masteringthis transfert

I ndustrialization

Problems, methods and tools for masteringthis transfert

P3

P2

P1

P0

Development of« products and standard generic designs »

Realization of« customer specific applications»

Production...

« Technical investigation »About a predefined theme.

27

What is industrialization ?

• Semiconductor industries

Blank wafers Mask production

Front-End Manufacturing:

• Integrated circuit

• Intermediate tests

Back-End Manufacturing :

• Assembly

• Final tests

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Offer creation process

Offer building process

I ndustrialization

Problems, methods and tools for masteringthis transfert

I ndustrialization

Problems, methods and tools for masteringthis transfert

28

What is industrialization ?

Volume production – Productio

transfert

Prototypes & risked production

Process plan frozen

Progressive stop

Our intervention area

Preliminary analysis

Launch Maturation Production Stop

Technology life cycle

Development Validation Qualification

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–In semiconductor industries:

Tests - DOE

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• Other possibles designations for maturation stage: – Project inition– Feasability studies– Preliminary projects– Base engineering

• Maturation industrialization

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What is industrialization ?

30

What is industrialization ?

• The path from the stabilised idea, product detail design to its mass production.

• Several stakes:– Cost– Quality– Cycle time manuf

& delivery– Environment– Ethics

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What is industrialization ?

• Management principle:– Drive with the final, operational dash board

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ECycle time, Delivery Quality, non conformities…

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What is industrialization ?

• Management principle:– Achieve targets, changing mentality and behavior

at least toward the product by ramping the production up.

– A systematic approach declined for each indicator:• Cycle time: attacking each pocket of wasted time during

the production.• Quality: their is no more place for raw quality, non quality• Cost: each island of spending has to be reduce• Environment: No ecological fingerprint is allowable• Ethic: Each behavior must be in line with organization

ethical principle.

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Risk management :

the red line of

this presentation

What is industrialization ?

• Management principle:– Manage risks, each failure mode producing the

non achievement of each goal.– The CARAS method:

• Collect.• Analyse off line. • manage Risks.• Analyse on Line. • Synthetis.

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What is industrialization ?

• Management principle:– Adopt a breaktrhough method: PDCA /

DMAICS

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Abb. 1 Kroll, © Heinz-Werner Engel, Brüssel

35

Outline – WOQIE

What is industrialization ?

Organization and industrialization

Quality and industrialization

Information systems and industrialization

Engineering for industrialization Risk management :

the red line of

this presentation

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Organization & industrialization

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One leader Group dedicated for the maturation (sometime reduced

@ leader) Project organization

Launch Maturation Production Stop

Technology n life cycle

Organization realistic

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• Structure of the engineering staff in project mode– A project leader– A product leader– An industrialization group

• Main scope: get the process more robust for achieving operational goals (time, cycle time, quality)

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Organization & industrialization

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Organization & industrialization

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Leader recognized person in the orga (charismatic?), transversal function

Groupe member; able to follow methods, like to work in group, positive action in the group

Launch Maturation Production Stop

Technology n life cycle

Member profile

39

• Members skills:– Product– Process– Quality (DOC +Control & measurement )– Reliability– Supply chain– Risk management– Cost

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Organization & industrialization

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Organization & industrialization

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Transfert sustained by the organization Poor tooling

Shuffle information sharing !

Launch Maturation Production Stop

Launch Maturation Production Stop

Technology n life cycle

Launch Maturation Production Stop

Technology n+2 life cycle

Launch Maturation ProductionPossible organization :

Technology n+1 life cycle

41

Organization & industrialization

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Launch Maturation Production Stop

Launch Maturation Production Stop

Technology n life cycle

Launch Maturation Production Stop

Technology n+2 life cycle

Launch Maturation Production

Possible organization: essaim in the organization, the industrialization group

Technology n+1 life cycle

42

• Organizational learning– Main question: how organize the fine

tuning of process/product/ressources so as achieving quickly operational goals.

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Organization & industrialization

© Christian Terwiesch

43

• Feedback organization: how to reuse event (positive and negative ones) to improve p-p-r)

For negative events– Preliminary Risk Analysis– Bad Event data collection– Risk reevaluation– Action management driven by risk analysis

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Organization & industrialization

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Organization & industrialization

• Knowledge update

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UpdateFAB IN PROCESS

FAB EVENTS : * CHANGES* CORRECTIVE ACTIONS REQUEST* Process Control Issue

Risk analysis

Action plan

Control Plan

Risk documents

-FMEA-udate

Applies on

control

Information on risks

Reading sens

45

Risk management processes audit (1/3)

Organization & industrialization

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Risk management processes audit (2/3)

Organization & industrialization

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Risk management processes audit (3/3)

Organization & industrialization

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• Audit Conclusions:• 5 procedures of risks managment held by 5 different

organizationsIntegration, quality, production, engineering, maintenance

• 5 structrures based on the same model: Collect/Record the risk, Manage the risk investigate, synthesis

• All these procedures are isolated from each others insterad of being linked !

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Organization & industrialization

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• Experts are thinking that

Extract from the Preliminary analysis of a tool

1 occurrence MAX par an !

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Organization & industrialization

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Organization and Industrialization

• Facts Underline an other reality for the « Wafer aligner » element

3 occurrences over 13 weeks 12 per year: If FMEA have been updated RPN ranking

grow up from 10 to 25

‘OCC’ will pass from 2 to 5

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Organization & industrialization

• Knowledge update

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UpdateFAB IN PROCESS

FAB EVENTS : * CHANGES* CORRECTIVE ACTIONS REQUEST* Process Control Issue

Risk analysis

Action plan

Control Plan

Risk documents

-FMEA-udate

Applies on

control

Information on risks

Reading sens

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• Feedback organization: how to reuse event (positive and negative ones) to improve p-p-r)

For positive events– Preliminary best practice analysis– Good news data collection– Analysis & best practice update– Practice Update => trims software – chk lst

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Organization & industrialization

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• Trims exampleW

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Organization & industrialization

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• Trims exampleW

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Organization & industrialization

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• Trims exampleW

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Organization & industrialization

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• Trims exampleW

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Organization & industrialization

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• Change Management organization– Each change must be systematically

analysed– Validation group– One member sign for one operational goal– Risk analysis for the change

– Objective : decrease the number of changes

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Organization & industrialization

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• Change Management organization– @ least : a check list

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Organization & industrialization

31 Quality32 Cost33 Cycle Time34 Environment35 Other (safety, facilities)

41Can the change be or induce a failure mode ofthe object ?

42Can the change be or induce a failure causeof the object ?

43Can the change modify the detection ofobject's risks ?

44For each of these points evaluate risksranking with {Q,Ct,C,E} grids

What are risks linked andinduced by the change ? /evaluation through the look at :

Description of the concernedobject

Description of the change

How will the change modifycurrents object's risks and theirranking ?

(before / after analysis)4

1

2

3

Obj

Risks

Obj

Risks before

Obj

Risksafter

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• Change Management organizationW

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Organization & industrialization

What are risks linked and induced by the change ? / evaluation through the look at :

3) Put new risks induced by the change. Evaluate risks for at least :Quality, Cycle time, Cost, Environment.

0

Current Controls Detection =

What can detect the failure mode or effect

?

DET

RPN

Actual risk

Item/Function

(Potential) Failure Mode =

Way the function goes wrong

(Potential) Effects of Failure =

Impact of malfunction

SEV

(Potential Cause) Mechanism of Failure =

Root cause

OCC

Type (quality, cycle time, cost, environemental,

…)

Current Controls Prevention =

What prevent the root cause to occur ?

Risks

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• Change Management organizationW

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Organization & industrialization

What are risks linked and induced by the change ? / evaluation through the look at :

4) If a risk analysis exists, please, put a copy in this form and put the mention "Before"

5) For each of these line, evaluate risks after the change will occurs and put the mention "After"

Evaluate risks for at least : 41 Can the change be or induce a failure mode of the object ?

Quality, Cycle time, Cost, Environment. 42 Can the change be or induce a failure cause of the object ?43 Can the change modify the detection of object's risks ?44 For each of these points evaluate risks ranking with {Q,Ct,C,E} grids

0

0

Actual risk

Before or after change

?

Type (quality, cycle time, cost, environemental,

…)

Item/Function

(Potential) Failure Mode =

Way the function goes wrong

(Potential) Effects of Failure =

Impact of malfunction

(Potential Cause) Mechanism of Failure =

Root cause

OCC

DET

RPN

Current Controls Prevention =What prevent the root cause

to occur ?

Current Controls Detection = What can detect the failure

mode or effect ?

SEV

Obj

Risks before

Obj

Risksafter

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• Change Management organizationW

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Organization & industrialization

SEV

OCC

DET

RPN

Responsible & Target

Completion Date

Forcasted Risk actions

Actions taken& Effective Date

Recommended Actions (Action

complete ?)

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• Operation management;– Drive with final dashboard – Cpk !

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Organization & industrialization

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• Operation management;– Drive with final dashboard – OOC !

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Organization & industrialization

FAB OOC PERCENTAGE

0

0,5

1

1,5

2

2,5

3

3,5

4

W12 W13 W14 W15 W16 W17 W18 W19 W20 W21 W22 W23 W24 W25 W26 W27 W28 W29

Total

Action

plantarge

t

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TIME LINE• On a daily basis

– Exploitation Meeting– Production meeting– Non conformity management– Operational goal analysis & review

• On a weekly basis– Non conformity management– Scrap management – review and analysis– Customer claim review and analysis– Change management review– Operational goal review (more synthetic) – OOC, CT– Industrialization project review (in technical group)

• On a monthly basis - Management– Operational Goal monthly agregated – Cpk, CT, SCRAP…– Industrialization process status

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Organization & industrialization

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Outline – WOQIE

What is industrialization ?

Organization and industrialization

Quality and industrialization

Information systems and industrialization

Engineering for industrialization Risk management :

the red line of

this presentation

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The control system - a complex system

Control system

Product

ToolsManufactu

ring process

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Quality and industrialization

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Several aspects of the control

Control system

Production control exist Non connected tools

Indicator manageme

nt

Change management

Investigations

Automation and measures

Statistical Control

Risks analysis

Product

ToolsManufactu

ring process

Status :

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Control system

Indicator manageme

nt

Change management

Investigations

Automation and measures

Statistical Control

Risks analysis

Product

ToolsManufactu

ring process

Complex interactions

Links not mastered Links control done project after projects

Status :

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Quality & industrialization

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What we know

• To have a control by expertise poles• To structure and monitor the life cycle of a technology• To control the technology transfer with the organization• To be Reactive

Improvement ways

• To have a big picture of interactions• Support:

– interactions – Process control evolutions– Transfert master from a technology to another

• Be Proactive

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Quality & industrialization

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• Specification limits & configuration– 1 technology T => several products, A, B– 1 specification set for 1 technology T– Several product configurations => Cpk

Degradation, need to update specs @ each configuration

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• Specification limits & configurationW

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Quality & industrialization

Same specifications than T however

specific distributions A & B

Cp = 1,33

Cpk = 1,24

Cp = 4

Cpk = 0,78

Cp = 9

Cpk = -0,74

Config A

Config B

Techno T

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• Specification limits & regular reviewW

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Quality & industrialization

Same specifications during industrialization, no regular review:

No prevention of drift, better understanding the process but no prevention of drifts

Cp = 1,33

Cpk = 1,24

FL: First lot Milestone 2 Milestone 3 Milestone 4

Cpk = 2 Cpk = 6 Cpk = 10,56

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• Specification limits & regular reviewW

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Quality & industrialization

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• ∞ failure modes number :• Failure modes come from a preliminary risk analysis

(PRA)

This is the Production point of view

Actual risk

Potential Cause/ Mechanism of Failure

OCC

Item/Function Potential Failure Mode Potential Effects of

Failure Recommended Actions

Current Controls Prevention

Current Controls Detection

DET

RPN

SEV

CLASS

Risk actions

Prod operation

Thickness too low

Yield loss Equipment drift

2 SPC, PT Parameter

PM

FDC on tool

6

All steps Defectivity

Residues and/or particles affecting via or line continuity--> Yield loss

6 RF 4Bi-weekly monitoring

In-line defectivity after every CMP level (line continuityES25 inspection after M2 CMP (via continuity)

4 96

All steps Defectivity

Residues and/or particles affecting via or line continuity--> Yield loss

6 Temperature 2Bi-weekly monitoring

In-line defectivity after every CMP level (line continuityES25 inspection after M2 CMP (via continuity)

4 48

All steps UnderetchVia resistance OOSYield loss

6 C

Metalic contamination due to gasket corrosion 4 None 8 192

1/ Gasket wo Nickel2/ APC implemented

All steps UnderetchVia resistance OOSYield loss

6

Metalic contamination due to gasket corrosion 2

Gasket without Nickel

1/ Gasket wo Nickel2/ APC implemented 6 72

FDC to be implemented on lot

FMEAFMEA

Quality & industrialization

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• Control main issue

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Expression in the risk template : for SPC approach

• For 1 item function : 3 associated failure modes :– Variable too low

– Variable too high

– Variable gradien (temporal or surfacic) Toward an AUTOMATIC RISK ANALYSIS UPDATE

This is the Designer point of view

Actual risk

Potential Cause/ Mechanism of Failure

OCC

Item/Function Potential Failure Mode Potential Effects of

Failure Recommended Actions

Current Controls Prevention

Current Controls Detection

DET

RPN

SEV

CLASS

Risk actions

PT Variable to control

OOC Product impact, increase scrap rate

7 Tbd ?

Cpk V

alue

TBD PT 6

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Quality & industrialization

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Main issue for linking risks and manufacturing ctrl plan

Analysis is not performed Link does not exist between product FMEA and product control plan Customers get quality parameters and poduct risks analysis and can

challenge on that point

SEV

OCC

DET

RPN

Actual risk

Potential Cause/ Mechanism of Failure

OCC

Item/Function Potential Failure Mode Potential Effects of

Failure Recommended Actions

Responsible & Target

Completion Date

Forcasted

Current Controls Prevention

Current Controls Detection

DET

RPN

SEV

CLASS

Risk actions

Prod operation Thickness too low

Yield loss Equipment drift

2 SPC, PT Parameter

PM

FDC on tool

16 12

SEV

OCC

DET

RPN

Actual risk

Potential Cause/ Mechanism of Failure

OCC

Item/Function Potential Failure Mode Potential Effects of

Failure Recommended Actions

Responsible & Target

Completion Date

Forcasted

Current Controls Prevention

Current Controls Detection

DET

RPN

SEV

CLASS

Risk actions

PT Variable to control

OOC Product impact, increase scrap rate

7 Tbd ?

Cpk V

alue

TBD PT 6

Are our control plan coherent toward customers needs ?

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Quality & industrialization

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Main issue for linking risks and manufacturing ctrl planW

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Quality & industrialization

• What is f ?

Process

Measured Inputs: I

(Prod operation)

Measured Outputs: O

(Product parameters)

Measured Internal Variables: V

(control parameters)O = f(I,V)

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• Control limits– In the ramp up phase, contradiction with

configurations management and control sets

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Quality & industrialization

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• Design of experiment– Need to employ Design of experiment to

define :• Key characteristics• Set points

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Quality & industrialization

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• Sampling plan– Sampling size by lot (number of lot

between 2 measures)– Sampling size within a lot (number of

product measures in a lot)– Sampling size for a measurement on a

product (number of measures on a product)

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Quality & industrialization

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• Non conform production & customer claim control– At least set an organization:

• to record• to analyze• to perform action plan

– Sometimes add also the• Action control

?? PDCA ?? Improvement way ?

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Quality & industrialization

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• A systematic resolution problem methodEg : 8D– 1D: Define the team– 2D: Describe the problem– 3D: Secure the « customer » – 4D: Find Root causes (5 why + Bibliography)– 5D: List possibles actions– 6D: Choose actions– 7D: Perform Actions and control it– 8D: Close, share knowledge and thank the group

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Quality & industrialization

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• Configuration management, diversity and quality

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Quality & industrialization

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• Management rules:– Be in a paranoïac mode !– Implement CARAS-A

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Quality & industrialization

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Outline – WOQIE

What is industrialization ?

Organization and industrialization

Quality and industrialization

Information systems and industrialization

Engineering for industrialization Risk management :

the red line of

this presentation

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• Several level of information management:– Non conformities– Customer reclaim– Scrap management– Manufacturing process plan– Operational recipes– Change requests & orders– Problem solving methods

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Information system & industrialization

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• Information pattern for non conformities management

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Information system & industrialization

Non conformity detection

•Product number

•Lot number

•Date

•Operator

•Tool involved / Workshop / Area

•Description

•Category

•Type

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• Information pattern for Scrap management

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Information system & industrialization

•Product number

•Lot number

•Date of scrap

•Operator - engineer

•Tool involved / Workshop / Area

•Description

•Category

89

• From non conformity to scrap a product state…

W

O

Q

I

E

Information system & industrialization

Non conform productEvent

(tool break down, detection, OOS…)

Minor faultMajor fault

Analysis

Scrap

Customer agreement

Production release

END

no

yes

90

• Information pattern for Customer claimsW

O

Q

I

E

Information system & industrialization

1st AnalysisClaims recording

Action Plan Analysis

Financial feedback

Customer report

Agreement END

91

• Automatic management of manufacturing process plan Manufacturing Execution System

W

O

Q

I

E

Information system & industrialization

92

• MES:W

O

Q

I

E

Information system & industrialization

93

• Automatic management of operation recipes

W

O

Q

I

E

Information system & industrialization

Without Recipe

management

Automatic recipe

loading, based on a local setting and storage

1) recipe for validation

2) Local modification without control

3) Loading of an uncontrolled recipe

94

• Automatic management of operation recipes

W

O

Q

I

E

Information system & industrialization

300Works BrookAutom

ation

WorkStream…

Automatic recipe

loading, based on a

remote setting and

storage1) recipe for validation

2) Local modification without control

3) Loading of an remote controlled recipe

4) Local mode for tests only !!!!

95

• Automatic management of operation recipes

W

O

Q

I

E

Information system & industrialization

Any remote change need a validation

cycle !!

96

Outline – WOQIE

What is industrialization ?

Organization and industrialization

Quality and industrialization

Information systems and industrialization

Engineering for industrializationRisk management :

the red line of

this presentation

W

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97

• No normalized approach• Several practices, linked @ engineering

societies (SETEC, SAMES, BTP societes…) – 3, 4, 5 phases…

• Several actors :– Prime Contractor / , Suppliers, Process

Licence

W

O

Q

I

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The engineering project

98

• Main milestones:– Supplier choice in an international context– Financial investment: THE DO decision– Project financial control– Project review

• Main issues for you:– Coordinates contractors– Perform contract

W

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The engineering project

99

• Definitions:– Basic Engineering for a plant project is the

information set about process and project planning so that an senior prime contractor can detail and drive the project until the first run of the production unit.

W

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The engineering project

100

• At the end of the Basic Engineering stage: 1 document• Possible Structure /

– Introduction• Goals of the document• Langage and standard units• Contractuel boundaries

– Main work• Process description and particular operation conditions• Operatory conditions• Building sketch• List of process equipments• Piping, water, air, energy• Facilities layout• Control, regulation, electricity• Civil engineering drawing & plan• Operatory manual• Security sketch• Environmental sketch

W

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The engineering project

101

– Basic Engineering

• Milestone : Decision of investment ! -> no way to get back again

– Detailled Engineering• Complete study and final implantation

W

O

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I

E

The engineering project

102

– A process in the chemical industry:W

O

Q

I

E

The engineering project

Process block diagram

Process functional block diagram

103

– A process in the chemical industry:W

O

Q

I

E

The engineering project

Process functional block diagram

Functional Process Specifications

104

– A process in the chemical industry:W

O

Q

I

E

The engineering project

Process functional block diagram

Process Time based diagram

105

– Process detailled designW

O

Q

I

E

The engineering project

Start from Basic

engineering doc

106

– Process detailled designW

O

Q

I

E

The engineering project

Detail each process

measures, control and

flow

107

– Process detailled designW

O

Q

I

E

The engineering project

Detailled design for each part

108

– Detailled implementation design and plansW

O

Q

I

E

The engineering project

Facility layout

2D implementatio

n plans

109

– Detailled implementation design and plansW

O

Q

I

E

The engineering project

Isometric Piping

Isometric view of

the installati

on

110

– Risks analysis MUST be done jointly with the process development

W

O

Q

I

E

The engineering project

111

• A possible time lineW

O

Q

I

E

The engineering project

Process licence

MOA

MOE

Eqt Supplier

Assembly

Exploit.

Full Built OutAssembly & 1st run

Detailed Engineering

Basic engineering

prime contractor=MOE

Contracting Owner =MOA

112

• Our point of view:– Schematic design– Basic engineering– Detail Engineering– Full Built Out– Tests & plant project closure

W

O

Q

I

E

The engineering project

113

• A possible project plant site organisation:W

O

Q

I

E

The engineering project

Contracting owner

PrimeContractor

Project Manager

Project Manager

Plant site

Quality

Planning

Process Eng.

Spe. Studies

Design

Logistic

Suppliers

Site

Process

Cost

Site.

Quality

Security

Logistic

Planing

114

• Contract types:W

O

Q

I

E

The engineering project

Responsability of contracting

owner

Responsabilityh of the Prime Contractor

Fixed

price

contract

Joined

developmentPeople

@

disposition

Project case

115

• Enterprise collaboration– Horizontal: integration between project

manager and contracting owner (Join Venture, Economic Cluster (GIE in French…)

– Vertical: integration with a process owner

W

O

Q

I

E

The engineering project

116

• Industrialization : From work preparation and a two stage learning

program

• A facility installation program– Preparation of work – Off line learning (R&D, Engineering training…)

• A learning environment to create– On line learning (Operational Goals risks prevention &

mitigation)

• Multi point of view issues

S

U

M

M

A

R

Y

Thank you for the audienceOffer creation process

Offer building process

I ndustrialization

Problems, methods and tools for masteringthis transfert

I ndustrialization

Problems, methods and tools for masteringthis transfert

117

B

O

N

U

S

BONUS

118

Outline – WOQIE

What is industrialization ?

Organization and industrialization

Quality and industrialization

Information systems and industrialization

Engineering for industrialization

Learning curves Risk management :

the red line of

this presentation

W

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Q

I

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L

119

Learning Curves

• When new productions are set up:– Bad first lots– Production time decrease with time (sooner or

later) through a learning process– Learning curves captures this wishdom in roughly

following equation:

W

O

Q

I

E

L

Nttn 1

ti = time to produce the nth lot

N: number of cumulated product

Alpha: process specific parameter

120

Learning Curves

• Main issues:– Define learning speed– Predict learning shape– Find influent factors

W

O

Q

I

E

L

121

Learning Curves

• Several scenarios for quality managment:

W

O

Q

I

E

L

WIP

NC

t

volu

me

WIP

NC

t

volu

me

WIP

NC

t

volu

me

WIP

NC

tvolu

me

Case 1Case 2

Case 3 Case 4

122

Learning Curves

• A more realistic scenario:W

O

Q

I

E

L

WIP

NC

t

volu

me

Case 6

People empowerme

nt

NC management

system Continuous improvement

groupe

Huge scrap

Decrease of

workload

123

Learning Curves

• Litterature review:– An old, but still active research way:

• 1st study in 1930’s in the airframe industry:T.P. Wright, Factors affecting the cost of airplanes, Journal of the Aeronautical

Sciences 3 (1936) 122–128.• 5 general categories:

– Learning curves researches– Function-based learning studies– Analytical learning theories– Learning microstructures qstudies– Organizational learning theory

David M. Upton (a), Bowon Kim (b) Alternative methods of learning and process improvement in Manufacturing Journal of Operations Management 16 (1998) 1-20

a Harvard Business School, Soldiers Field, Boston, MA 02163, USAb Grad. School of Mgmt., Korea Advanced Institute of Science and Technology,

Seoul 130-012, Korea

W

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L

124

Learning Curves

• Stakes in an international competition:– Need to learn faster than competitors– Stakholders go to the more profitable in a short

term period !– Customers preferences goes to the cheaper, faster

and best in quality !

Eg. NXP stakholders strategy… compete with TSMC & CR2 Alliance => TSMC is best in class => joint venture with it.

W

O

Q

I

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L

125

Outline – WOQIE

What is industrialization ?

Organization and industrialization

Quality and industrialization

Information systems and industrialization

Engineering for industrialization

Learning curves

Layouts

Risk management :

the red line of

this presentation

W

O

Q

I

E

L

126

4 majors layout issues

• Facilities location• Facility layout (department placement)• Department (workshop) layout• Office layout

W

O

Q

I

E

L

L

127

4 majors layout issues

• Facilities locationW

O

Q

I

E

L

L

Which is the best position for maximizing 'incomes' – delivery, service... ?

128

4 majors layout issues

• Facility layoutW

O

Q

I

E

L

L

KE F J

D

C LG I M

HO N

BQ P

A R S T U

p il ie r

zone de p rob lèm e

129

4 majors layout issues

• Department layout:– Facilities pattern (U-shape, O-shape Job

shop, Flow shop)

W

O

Q

I

E

L

L

M agasin L ivra isons

Z one d 'essa is R écep t ion

C om m + L iv

S tock p rodu its f in is

L igne A v ions p lanneurs

R ebus

L igne U F O

Z one de pause

L igne H é licop tè res

sens des tou rnées M A D C

130

4 majors layout issues

• Department layout:– Facilities pattern (U-shape, O-shape Job

shop, Flow shop)

W

O

Q

I

E

L

L

Z one d 'essa is R écep t ion M agas in L ivra isons R ebusC om m + L iv S tock s p rodu its

f in is

A ssem b lage A graphageP liage 1 P liage 3

P liage 2 P liage 4Z one de pause

P e in tu re C o llage / S co tch B ancs de test

Z one des ou t i ls

E m p lacem en t K A N B A N

sens des tou rnées M A D C

131

4 majors layout issues

• Workoffice layoutW

O

Q

I

E

L

L

132

Outline – WOQIE

What is industrialization ?

Organization and industrialization

Quality and industrialization

Information systems and industrialization

Engineering for industrialization

Learning curves

Layouts

Supply Chain design

Risk management :

the red line of

this presentation

W

O

Q

I

E

L

S

133

Supply chain design

• Supply chain designW

O

Q

I

E

L

L

suppliers

manufacture stock custome

r

contracting supplier / Location / intermediate & final stocks/ transport mode (frequency, quantity, ways,...)

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