3. Reading Financial Statements

4. Studying an Expansion Project
of Utilities Plants
Sameh Mohamed
Process Improvement Department
………………………. Co., Egypt
e-mail: ……………..
January 2001

6. Outline
 Introduction
 Glass Making Process
 Problem
 Model Building
 Results & Discussion
 Conclusion

12. (1,900)
700
(150)
40
420
(130)

13. Animation

16. Waiting Time Importance
Temperature
Waiting Waiting
Min. Temperature
Time
Less waiting time  less heat loss  less heating time

18. Lead Time Components
Purchase of Manufacturing Delivery
Raw Material
23 Days 41 Days 32 Days
Total Lead Time = 95 Days
0 20 40 60 80 100
Days

19. Products' Profitability vs. Sales Volume in 1995
250
200
None ?!
Profitability (LE/ton)
150 Low Sales + High Sales +
High Profit/ton High Profit/ton
Low Sales + High Sales +
100
Low Profit/ton Low Profit/ton
50
0
0 20 40 60 80 100 120 140 160 180
Thousands
Sales Volume (ton)

20. Stock Quantity Increased by 15%
15%
December December
2001 2002

22. 1,350,000 1,830,000
523,480 794,400
12.92 19.86
773,000 1,050,000
3,490,000 3,500,000
4,063,000 4,550,000
310,100 333,200
745,000 890,000
1,055,100 1,223,200
3,007,900 3,326,800

25. Conclusion
• The simulation model helped analyzing several issues
related to the upgrading project.
• The existing cranes is a bottleneck.
• The new routing strategy that can give 2% increase in
the productivity ($2 million of sales).
• The analysis of the waiting time using this model
improved the production scheduling.