Sonys Implementation ofProduction Innovation Equipment andManufacturing System SolutionsChapter 11Introduction1.1 Shift in production needs1.2 Importance of demand oriented production1.3 Production innovations 3 main types of loss1.4 Cell production methodShift in Production NeedsDiversification of NeedsSpecializationSevere EconomicalEnvironmentWorst post-war economic slumMulti-functionalDrastic MarketChangeFall of ProductPricesMass production Many types, small qty Various types, various quantitiesDecline of ConsumptionNetwork AgeTelecommunication RevolutElectronic CommerceWell-sold products change quicklySurplus of inventory due to the fall of product pricesProtection ofDemand OrientedProductionGlobalizationNo BordersGlobal Standardsthe EnvironmentDigitalizationLess EnergyLess Resources, RecyclingLSIMechanical SoftwareImportance of Demand Oriented ProductionSell what is producedProduce according to demandLarge module type production lineVarious demand-oriented cell production lines Line change-over, model changed e cfBatch-type production line Lead-time, Inventory, etc.baProducts which cannot be soldChange-over lossWIP lossLead timeHandling lossThe Ultimate Production SystemCost Investment Lead time Inventory SpaceChange-over loss Rejected products BreakdownZeroImplementation ofProduction InnovationOnly make the required products at the required timeProduction Innovations 3 main types of loss1. Handling loss2. Transportation loss3. Stagnation lossMinimization of non-value added resourcesProgress by Production Innovation (1)Production styleProductionLarge qtySmall Lot ProductionTarget:based on forecastproductionLarge inventory qtyInnovationZero InventoryCustomersReduced funds turnoverRequired products Reduced spaceRequired timeRequired qtyReduced control costsFlow-oriented production, informationMixed flowIndividual islandsInnovationFlow-orientedIn-lineReduction of WIP Reduction of handling Simplified quality trackingProgress by Production Innovation (2)Inventory Reduction by Logistic ImprovementsLarge Order/Delivery of PartsPush style provisionInputStockParts InventoryInnovationSmall qty order/deliveryDeliver only what is usedKanbanDirectReduction ofRaw materialsWIPOutputProvisionProduction lineRefrigeratorProduction lineManufacturing equipmentLarge-sizeHigh speedHigh performanceHigh priceSmall sizeLow-medium speedFunctionalLow priceWIP reduction by production levelingInnovationProgress by Production Innovation (3)From single operation to multi-operationDivided labor conveyor production style due to single operationMulti-operation and Cell production methodInnovationMulti-operation(Multi-skilled workers)WIP reduction by production levelingConveyor lineCellControl comprehensive for anyoneData management by computer10000 pcs.Select&OrderFixed placeFixed qtyFixed markingVisual managementstorage XXShould be in storage ? There should be pcs?InnovationMax(XXpcsMin(pcs)Part ABy seeing the abnormality, a quick response is possibleAbnormal !Example of Benefits of Production Innovation: Reduction of Manpower(Actual factory example)120010008006004002000（persons）94/3 9 95/3 9 96/3 997/3 9 98/3 9Example of Benefits of Production Innovation: Reduction of Space(Actual factory example)m21400012000100008000600040002000094/3 9 95/3 9 96