world class manufacturing module 5 MBA kerala university 2014 scheme

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Unit V: World Class Manufacturing - International Scenario and Indian Scenario,
manufacturing innovations, quick response manufacturing, agile manufacturing, lean
manufacturing, rapid prototyping, concurrent engineering
Evolution of WCM
• WCM was pioneered by Toyota in Japan, where they called it the Toyota Production
System.
• This was largely developed by Taiichi Ohno who rose from a foreman to become a vice
president in Toyota and Shigeo shingo who was an industrialist
• Ohno: all we are doing is looking at the timeline from the moment customer gives us an
order to the point when we collect the cash and we are reducing the time line by
removing the non value added wastes.
• Shingo has identified seven kinds of wastes which are to be eliminated .the seventh being
the deadliest.
1. Waste of waiting
2. Waste of transportation
3. Waste of processing itself
4. Waste of stocks
5. Waste of motion
6. Waste of making defective parts
7. Waste of OVER PRODUCTION
Monden 1983
• Monden provides a a different view on the basics of WCM
• They include:
1. Quality control which enables the system to adapt to daily and monthly fluctuations in
demand in terms of quantities and variety
2. Quality assurance which assures that each process will supply only good units to
subsequent process
3. Respect humanity
In short mission of WCM is to bring manufacturing close to market by eliminating wastes.
• Single-Minute Exchange of Die (SMED) is one of the many lean production methods
for reducing waste in a manufacturing process. It provides a rapid and efficient way of
converting a manufacturing process from running the current product to running the next
product. This rapid changeover is key to reducing production lot sizes and thereby
improving flow (Mura).
• The phrase "single minute" does not mean that all changeovers and startups should take
only one minute, but that they should take less than 10 minutes (in other words, "single-
digit minute").Closely associated is a yet more difficult concept, One-Touch Exchange
of Die, (OTED), which says changeovers can and should take less than 100 seconds. A

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die is a tool used in manufacturing. However SMED's utility of is not limited to
manufacturing
Value Stream Mapping
• Value stream mapping is a lean-management method for analyzing the current state and
designing a future state for the series of events that take a product or service from its
beginning through to the customer. At Toyota, it is known as "material and information
flow mapping". It can be applied to nearly any value chain.
Hines and Rich (1997) defined seven value stream mapping tools they are:
• Process Activity Mapping
• Supply chain responsiveness matrix
• Product Variety Funnel
• Quality filter mapping
• Forrester effect mapping
• Decision point analysis
• Overall Structure Maps
Business process mapping
• Business process mapping refers to activities involved in defining what a business entity
does, who is responsible, to what standard a business process should be completed, and
how the success of a business process can be determined.
• The main purpose behind business process mapping is to assist organizations in
becoming more efficient. A clear and detailed business process map or diagram allows
outside firms to come in and look at whether or not improvements can be made to the
current process.
• Business process mapping takes a specific objective and helps to measure and compare
that objective alongside the entire organization's objectives to make sure that all
processes are aligned with the company's values and capabilities.

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Root cause analysis
1. WHY?
2. WHY?
3. WHY?
4. WHY?
5. WHY?
• Why did the machine stop? Overload
• Why was there an overload? Bearing was not lubricated
• Why it was not lubricated sufficiently? Lubrication pump was not pumping correctly
• Why lubrication pump was not pumping sufficiently? Because the pump shaft was
broken
• Why was the pump shaft broken? There was no strainer attached
Shingo 1989…
3 principles behind World Class Manufacturing
• Just in Time or Lean Manufacturing
• total quality
• total preventative maintenance
Explanations:
1. The step by step elimination of waste. Waste in this sense is defined as any activity that
adds cost but not value to the end product such as excess production, stock, idle work in
progress, unnecessary movement and scrap.
2. A culture of intolerance to defects both in the processes and also information such as bills
of material and stock records. Total quality is often these days called Six Sigma which
uses total quality and lean manufacturing techniques to attempt to reduce rejects to 3.4
per million parts produced.
3. A preventative maintenance programme means that unplanned stoppages due to
equipment failure are minimised.
Seven keys to becoming a world-class manufacturer
The keys to success, in no particular order, are:
1) Reduce lead times
2) Speed time-to-market
3) Cut operations costs
4) Exceed customer expectations
5) Manage the global enterprise
6) Streamline outsourcing processes
7) Improve business performance visibility
The Issues

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World Class Manufacturing is a process-driven approach to improving manufacturing
operations. It is often confused to mean standards of quality and image such as Rolls-Royce or
Rolex.
• It is in direct conflict with traditional capacity-driven manufacturing mentality found in
western culture. The implementation will often surface resistance to change and "we've
always done it this way" arguments.
• The worse resistance is usually found in lower and middle management, but can also can
be found in the mindset of workers as well.
• A case for change has to be created along with high employee involvement.
• Capitalization is also a major issue when new equipment is required for quick
changeover, faster cycle times, and flexibility in operations.
WCM DEFINITION:
World Class Manufacturing: It is an operational strategy that, if implemented properly, will
provide a new dimension to competing: quickly introducing new customerized high quality
products and delivering them with unprecedented lead times, swift decisions, and manufacturing
products with high velocity.
Five levels that lead to world-class operations
• level 1: business and operations strategy
• level 2: organization design, human resources, technology, and performance
measurement
• level 3: information systems, management direction, and operations capabilities
• level 4: quality
• level 5: customer service
• level 6: ??????? WCM…
World Class Manufacturing - International Scenario and Indian Scenario
India represents an economic opportunity on a massive scale: China and India are likely
to be the world’s two biggest economies by mid-century, and although India has
underperformed in the first lap of the growth race, there is a strong possibility that India
may well move ahead. Although India is still seen by industrial investors as an economy
where risk is higher and the business environment more problematic than in rival Asian
investment locations, India also offers some advantages in the region. The legal
framework that protects investment is one of the best in Asia. The economy offers an
abundance of technical and managerial talent, often with international experience.
Geopolitical risk is diminishing consistently, in contrast with some of India’s emerging
economy rivals in Asia. And above all, India has a demographic advantage that should
see its working age population continue to grow well into the century, increasing wealth
and reducing cost.

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The companies range from Bharat Forge, Bajaj, and Tata in the auto sector to Larsen &
Toubro and Godrej & Boyce in specialist engineering, Ballapur Industries in paper, and others in
pharmaceuticals and textiles, as well as Moser Baer. And they are showing that India is
beginning to shrug off its reputation for appalling quality and reliability, and that it can compete
internationally.
India is also emerging as an outsourcing design and production base for
manufacturing, as it has been for software, with most of the world's autos companies - and many
others such as Finland's Nokia and Taiwan's Foxconn in mobile phones - sourcing components
and assembling products.
After the IT boom, a manufacturing revolution has been well underway in the Indian
economy, spurred on by the increasing presence of multinationals, scaling up of operations by
the domestic companies and expanding domestic market. Consequently, manufacturers from
across the world are transforming India--which has all the required skills in process, product, and
capital engineering, thanks to its long manufacturing history and higher-education system--into a
potential manufacturing powerhouse.
"Every major company has India on its radar screen," says Wharton Professor of Management,
Saikat Chaudhuri. And the number of companies, spanning diverse industries, planning to make
India their global hub for host of operations has only been increasing by the day.
Manufacturing Excellence
Indian companies are also becoming renowned for their adherence to global quality standards.
Already, India is amongst the countries with the highest tally for 2007 with total TPM
Excellence Awards -- conferred by the Japan Institute of Plant Maintenance –winners standing at
111. It can also proudly claim to have 15 Deming award-winning companies (amongst the
highest tallies worldwide outside Japan), and one Japan Quality Medal winner.
The industry has also been on the path of continuously increasing its productivity levels.
In the changed globalize business environment, it is no more feasible to compete only on the
basis of costs without paying attention to the real customer preferences represented by other
product dimensions. Consequently, many new manufacturing approaches have emerged over the
recent time mostly as the reaction to dynamically changing situation on the market place, where
increased competition and market globalization greatly affected the distribution of the market
share and the profit margins. These new approaches to manufacturing are based on a pragmatic
philosophy distilled from worldwide experience in manufacturing. Manufacturing Excellence
could be attained by a combination of several approaches to manufacturing such as the following
Hall, 1987).
i) Value-added manufacturing, which means do nothing that does not add value to the product or
to the customer.
ii) Continuous Improvement manufacturing, which suggests that every aspect of manufacturing
is dedicated to making it better in ways great and small; and
iii) Just-in-time (JIT / TOTAL Quality Control)
World class manufacturing was the goal of achieving and /or sustaining world class
competitiveness through manufacturing excellence attained through best practices. In this

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context, different experts have expressed the goal and necessary practices for world class
manufacturing differently but always with the implicit goal of sustained competitiveness in the
global market place.
AGENDA FOR INDIAN MANUFACTURING SECTOR
Based on current assessment of Problems of Indian manufacturers, the Infrastructure available in
the country, the Indian industry experiences and capability and national economical priorities, it
would be appropriate to work on following lines:
- Substantial increase in R &D expenditure to the tune of 5% of GDP with matching investments
from Indian manufacturing sector (over next 3 years)
- Privatization of Research in India and dismantling of University research in its present form,
which is worthless. Opening of Several IIT like Institutes, Increasing capacity to five times of the
present.
- Strengthening of Tool Room sector and Specific Industrial Product development and testing
centers, to strengthen SMEs base which is important both for exports and employment
generation
- Expeditious privatization of Power Sector and raising National power generation load factor to
90%
- Focus on following sectors in first phase of 10 years: Textiles and Garment Industry,
Pharmaceuticals, Machine tools, Automobiles (Passengers and Commercial), Software products
(not development contracts), Leather Industry, Food processing and Horticulture, Primary
metallurgy including Steel and Aluminum, Defense equipment and Jewellary.
- Strategic marketing alliances with world class trading companies with pro active role of
Ministry of commerce
- Right combination of Indigenous technology and the Bought out technology, with the former
having at least 25% component (Eventually to become 75% and 25% respectively)
- Developing product based industrial clusters with international level facilities and Regulations
in place of present mixed and diluted economic zones like SEZs and EPZs.
- Intensified investment in infrastructure sector taking the benefits to B class city level.
- Encourage movement of Skilled Labor and technologists into and out of the country

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QRM
 Quick response manufacturing (QRM) is an approach to manufacturing which
emphasizes the beneficial effect of reducing internal and external lead times.
Quick Response Manufacturing (QRM) is a companywide strategy to cut lead times in all phases
of manufacturing and office operations. It can bring your products to the market more quickly
and help you compete in a rapidly changing manufacturing arena. It will increase profitability by
reducing cost, enhance delivery performance and improve quality.
QRM's overarching focus on time as the guiding management strategy is ideally suited for
companies offering high-mix, low-volume and custom-engineered products.

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How Does QRM Work?
QRM builds on the basic principles of eliminating waste and improving efficiency, while also
incorporating principles unique to QRM. These include:
 Laser-like focus on lead time reduction in manufacturing.
o Rethinking the manufacturing process and equipment decisions, to put the focus
on lead time reduction.
o Focusing all aspects of the organization, from the shop floor to the front office,
and including vendors in the supply chain, on quick responses and reducing lead
times.
 Training managers on using time-based strategies.
o Linking business strategies to functional strategies.
o Measuring performance in ―time‖ units instead of monetary units.
o Using the principles of system dynamics to achieve quick response.
 Cell-based system of manufacturing.
o Implementing the Paired-Cell Overlapping Loops of Cards with Authorization
(POLCA) planning and control method.
 A focus on implementation and sustaining changes that reduce lead times.
 Using Manufacturing Critical-path Time (MCT) to measure lead times.
Benefits of Quick Response Manufacturing
There are a number of significant benefits resulting from implementing quick Response
Manufacturing. Three of the most important are:
1. Increased customer satisfaction - We're in a highly competitive world in which waiting
time is wasted time. If you can reliably deliver the products the customer wants, and do
so quickly, you'll have happier customers who return to buy from you again.
2. Increased cash flow – By delivering products to customers quicker, you get paid quicker
and your overall cash flow increases. This gives you more flexibility and a greater ability
to respond to market changes.
3. Beating the competition – Quick Response Manufacturing drives innovation and prevents
a company from resting on its laurels while a competitor innovates and steals away
customers. The relentless focus on further decreasing lead times pushes an organization
to continually be innovating, which results in improved quality, new product features,
and a focus on being close to and serving customers.

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AGILE MANUFACTURING
Agile manufacturing is a term applied to an organization that has created the processes,
tools, and training to enable it to respond quickly to customer needs and market changes
while still controlling costs and quality.
An enabling factor in becoming an agile manufacturer has been the development of
manufacturing support technology that allows the marketers, the designers and the
production personnel to share a common database of parts and products, to share data on
production capacities and problems—particularly where small initial problems may have
larger downstream effects. It is a general proposition of manufacturing that the cost of
correcting quality issues increases as the problem moves downstream, so that it is cheaper to
correct quality problems at the earliest possible point in the process.
Agile manufacturing is seen as the next step after lean manufacturing in the evolution of
production methodology.[citation needed]
The key difference between the two is like between a
thin and an athletic person, agile being the latter. One can be neither, one or both. In
manufacturing theory, being both is often referred to as leagile. According to Martin
Christopher, when companies have to decide what to be, they have to look at the customer
order cycle (COC) (the time the customers are willing to wait) and the leadtime for getting
supplies. If the supplier has a short lead time, lean production is possible. If the COC is short,
agile production is beneficial.
Agile manufacturing is an approach to manufacturing which is focused on meeting the needs
of customers while maintaining high standards of quality and controlling the overall costs
involved in the production of a particular product. This approach is geared towards
companies working in a highly competitive environment, where small variations in
performance and product delivery can make a huge difference in the long term to a
company's survival and reputation among consumers

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4 Principles Within Agile Manufacturing
Consumer Enrichment
While lean is more waste oriented, agile is more customer oriented. One of the most important
principles within agile is enriching the customer through various factors such as identification,
monitoring, and understanding factors such as Quality Function Deployment. Satisfying
consumer demands is a key component within agile manufacturing.
Competitive Enhancement
Having all departments on board for agile methodology can ensure for a much more efficient and
competitive atmosphere. This is by partnering with firms that have the same ideas and mindset
about the production. This is how you can set yourself a step above competitors and adopt a
much more flexible and adaptable supply chain.
Organization
Proper organization within the operation is one of the most important aspect of an agile
manufacturing operation. This is due to swift changes in circumstances such as consumer
preference, demand, and production. This allows production to be flexible and be prepared for a
change at a moment’s notice.
Leveraging Impact
People are essential within agile operations, which is why it is important to constantly monitor
the impact of human capital. This is because humans possess skill, information, and the drive to
enhance productivity and improve the manufacturing process. Locating potential leaders that can

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take production in the right direction can bring extreme benefit to an agile operation. It is also
extremely important to keep up with current manufacturing trends and advancements in
technology, which can improve your manufacturing operation tremendously.
Advanced Planning and Scheduling Software (APS)
Advanced planning and scheduling software (APS) can enhance agile manufacturing operations
with ease. As the software is able to be easily integrated with ERP or MRP operations, it offers
various benefits and capabilities that can optimize production tremendously. Various benefits of
the software include the following:
 Improved Delivery Performance
 Profit Boosts
 Reduction in Inventory and Cost
 Six Month ROI
KEY ELEMENTS
There are four key elements for agile manufacturing:
 Modular Product Design (designing products in a modular fashion that enables them to
serve as platforms for fast and easy variation)
 Information Technology (automating the rapid dissemination of information throughout
the company to enable lightning fast response to orders)
 Corporate Partners (creating virtual short-term alliances with other companies that enable
improved time-to-market for selected product segments)
 Knowledge Culture (investing in employee training to achieve a culture that supports
rapid change and ongoing adaptation)

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WHY IS IT EFFECTIVE?
Why is agile manufacturing an effective strategy?
Consumers love instant gratification. They are increasingly getting used to it and they are often
willing to pay for it. For example, have you ever ordered a product with overnight
shipping…waiting in eager anticipation?
Consumers love choice. They prefer to get a product exactly as they want it…without
compromise.
Consumers are fickle. Their interests shift and move in unpredictable ways.
Agile is effective because it directly addresses these issues. It acknowledges the realities of the
modern marketplace and transforms them into a competitive advantage.
Agile is of particular value for manufacturers in countries with large, well-developed local
markets and high labor costs (e.g. the United States). It leverages proximity to the market by
delivering products with an unprecedented level of speed and personalization, which simply
cannot be matched by offshore competitors. It turns local manufacturing into a competitive
advantage.
LEAN MANUFACTURING
Lean manufacturing is a methodology that focuses on minimizing waste
within manufacturing systems while simultaneously maximizing productivity.
Also known as lean production, or just lean, the integrated socio- technical
approach is based on the Toyota Production System and is still used by that company, as well as
myriad others, including Caterpillar Inc. and Nike.
Lean manufacturing or lean production, often simply "lean", is a systematic method for waste
minimization ("Muda") within a manufacturing system without sacrificing productivity, which
can cause problems. Lean also takes into account waste created through overburden ("Muri") and
waste created through unevenness in workloads ("Mura"). Working from the perspective of the
client who consumes a product or service, "value" is any action or process that a customer would
be willing to pay for.
Lean manufacturing makes obvious what adds value, by reducing everything else (which is not
adding value). This management philosophy is derived mostly from the Toyota Production
System (TPS) and identified as "lean" only in the 1990s. TPS is renowned for its focus on
reduction of the original Toyota seven wastes to improve overall customer value, but there are
varying perspectives on how this is best achieved. The steady growth of Toyota, from a small
company to the world's largest automaker, has focused attention on how it has achieved this
success.

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 Five principles of lean manufacturing
A widely referenced book, Lean Thinking: Banish Waste and Create Wealth in Your
Corporation, which was published in 1996, laid out five principles of lean, which many in the
field reference as core principles. They are value, the value stream, flow, pull and perfection.
These are now used as the basis for lean implementation.
1. Identify value from the customer's perspective. Value is created by the producer, but it is
defined by the customer. In other words, companies need to understand the value the customer
places on their products and services, which, in turn, can help them determine how much money
the customer is willing to pay.
The company must strive to eliminate waste and cost from its business processes so that the
customer's optimal price can be achieved at the highest profit to the company.
2. Map the value stream. This principle involves recording and analyzing the flow of
information or materials required to produce a specific product or service with the intent of
identifying waste and methods of improvement. The value stream encompasses the product's
entire lifecycle, from raw materials through to disposal.
Companies must examine each stage of the cycle for waste -- or muda in Japanese. Anything that
does not add value must be eliminated. Lean thinking recommends supply chain alignment as
part of this effort.
3. Create flow. Eliminate functional barriers and identify ways to improve lead time to ensure
the processes are smooth from the time an order is received through to delivery. Flow is critical
to the elimination of waste. Lean manufacturing relies on preventing interruptions in the
production process and enabling a harmonized and integrated set of processes in which activities
move in a constant stream.
4. Establish a pull system. This means you only start new work when there is demand for it.
Lean manufacturing uses a pull system instead of a push system.
With a push system, used by manufacturing resource planning (MRP) systems, inventory needs
are determined in advance and the product is manufactured to meet that forecast. However,
forecasts are typically inaccurate, which can result in swings between too much inventory and
not enough, as well as subsequent disrupted schedules and poor customer service.
In contrast to MRP, lean manufacturing is based on a pull system in which nothing is bought or
made until there is demand. Pull relies on flexibility and communication.

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5. Pursue perfection with continual process improvement or kaizen. Lean manufacturing
rests on the concept of continually striving for perfection, which entails targeting the root causes
of quality issues and ferreting out and eliminating waste across the value stream.
 The eight wastes of lean production
The Toyota Production System laid out seven wastes, or processes and resources, that don't add
value for the customer. These seven wastes are:
 unnecessary transportation;
 excess inventory;
 unnecessary motion of people, equipment or machinery;
 waiting, whether it is people waiting or idle equipment;
 over-production of a product;
 over-processing or putting more time into a product than a customer needs, such as designs
that require high-tech machinery for unnecessary features; and
 Defects, which require effort and cost for corrections.
Although not originally included in the Toyota Production system, many lean practitioners point
to an eighth waste:
 Waste of unused talent and ingenuity.
 Seven lean manufacturing tools and concepts
Lean manufacturing requires a relentless pursuit of reducing waste. Waste is anything that
customers do not believe adds value and for which they are not willing to pay. This requires
continuous improvement, which lies at the heart of lean manufacturing.
Other important concepts and processes lean relies on include:
 Heijunka: production leveling or smoothing that seeks to produce a continuous flow of
production, releasing work to the plant at the required rate and avoiding interruptions.
 Kanban: a signal -- either physical, such as tag or empty bin, or electronically sent through a
system -- used to streamline processes and create just-in-time delivery.
Kanban relies on visual signals to control inventory. A kanban card can be
placed in a visible area to signal when inventory needs to be replenished. With this process,

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products are assembled only when there is demand from the consumer, which allows companies
to reduce inventory and waste. The kanban method is highly responsive to customers because
products can be manufactured by responding to customer needs instead of trying to predict their
future needs
 Jidoka: A method of providing machines and humans with the ability to detect an
abnormality and stop work until it can be corrected.
 Andon: A visual aid, such as a flashing light, that alerts workers to a problem.
 Poka-yoke: A mechanism that safeguards against human error, such as an indicator light that
turns on if a necessary step was missed, a sign given when a bolt was tightened the correct
number of times or a system that blocks a next step until all the previous steps are completed.
 5S: A set of practices for organizing workspaces to create efficient, effective and safe areas
for workers and which prevent wasted effort and time. 5S emphasizes organization and
cleanliness.
The 5S system is an organizational method that stems from five Japanese
words: seiri, seiton, seiso, seiketsu and shitsuke. These words translate to sort, set in order, shine,
standardize and sustain. They represent a five-step process to reduce waste and increase
productivity and efficiency. The first step, sort, involves eliminating clutter and unnecessary
items from the workspace. Next, workers must set in order by ensuring that there is a place for
everything and everything is in its place. The shine step entails cleaning the workspace and
regularly maintaining this state. Standardizing should be done to make all work processes
consistent so any worker can step in and perform a job if necessary. The final step, sustain,
involves maintaining and reinforcing the previous four steps.
 Cycle time: How long it takes to produce a part or complete a process.

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Kaizen
Kaizen is a business practice that focuses on making continuous improvements. With kaizen,
there is always room for improvement, and workers should constantly look to improve the
workplace. This philosophy also emphasizes that each individual's ideas are important and that
all employees should be involved in the process to better the company. An organization that
practices kaizen welcomes and never criticizes suggestions for improvement at all levels. This
helps to create an environment of mutual respect and open communication.
RAPID PROTOTYPING
Rapid prototyping is a group of techniques used to quickly fabricate a scale model of a physical
part or assembly using three-dimensional computer aided design (CAD) data. Construction of the
part or assembly is usually done using 3D printing or "additive layer manufacturing" technology.
 Rapid prototyping automates the making of a prototype. It builds a prototype part from a
three-dimensional (3-D) CAD model.
 Other terms used for rapid prototyping:
o 3D Printing
o Additive manufacturing
o Free-form fabrication
Rapid prototyping is the speedy creation of a full-scale model. The word prototype comes from
the Latin words proto (original) and typus (model).
Rapid Prototyping has also been referred to as solid free-form manufacturing; computer
automated manufacturing, and layered manufacturing.
In manufacturing, rapid prototyping is used to create a three-dimensional
model of a part or product. In addition to providing 3-D visualization for digitally rendered
items, rapid prototyping can be used to test the efficiency of a part or product design before it is
manufactured in larger quantities. Testing may have more to do with the shape or size of a
design, rather than its strength or durability, because the prototype may not be made of the same
material as the final product. Today, prototypes are often created with additive layer
manufacturing technology, also known as 3-D printing. Direct metal laser sintering (DMLS) may
also be used to create aluminum, stainless steel or titanium prototypes. This process uses laser
beams to melt and fuse metal powders into solid parts.
In network design, rapid prototyping can be used to map the architecture for a
new network. A rapid prototype tool called Mininet, for example, allows the user to quickly
create, interact with, customize and share a software-defined network (SDN) prototype on a
single computer which simulates a network topology that uses Openflow switches.

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In software development, when a small team quickly builds a working software
program for users to review, it is also called rapid prototyping. It may also be called rapid
application development (RAD).
The reasons of Rapid Prototyping are
 To increase effective communication.
 To decrease development time.
 To decrease costly mistakes.
 To minimize sustaining engineering changes.
 To extend product lifetime by adding necessary features and eliminating redundant
features early in the design
 Advantages of Rapid Prototyping
Opportunities for Innovation
Rapid prototyping opens new opportunities for innovation by eliminating the restrictions of
conventional prototyping, which requires production of prototype tooling and physical
components to exacting tolerances.. Designers can create models incorporating complex shapes
and surfaces that would be difficult or impossible to reproduce by conventional prototyping.
Time Savings
By eliminating the time needed to produce molds, patterns and special tools required for
conventional modeling, rapid prototyping reduces time between initial design and analysis. An
accurate model is quickly available for testing form, features, performance and usability. Rapid
prototyping is a highly automated process that enables designers to quickly modify products in

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line with feedback. The time savings can help organizations gain competitive advantage by
bringing new products to market quickly, ahead of competitors.
Cost Reduction
Rapid prototyping helps to reduce the costs of product development. There is no need to develop
special tools for each new product. Rapid prototyping uses the same CAD and printing
equipment each time. The automated prototyping process also reduces staff costs. The costs of
waste are lower, because the prototyping technique only adds modeling material where needed.
Conventional prototyping techniques create waste through cut-off material or chippings as the
tools create the finished model.
Easier Visualization
The ability to create a realistic three-dimensional scale model helps designers present new
product concepts to stakeholders, such as board members, clients or investors who need to
understand and approve the development program. Designers can also gain feedback from
potential users and customers that is based on physical products, rather than concepts, enabling
them to incorporate realistic usability data into the later stages of development.
Lower Risk
By enabling detailed physical analysis at an early stage in the development program, rapid
prototyping can reduce the risk of costly errors. The development team can identify design faults
or usability problems and make any modifications quickly. The iterative process provides a
precise model for production tooling, reducing the risk of later manufacturing problems.
Support for Customization
Rapid prototyping is an iterative process, so it is easy to incorporate individual customers’
requirements and create customized products cost effectively. Development teams do not have to
design each customized product from scratch. Customization can provide a strong competitive
advantage by offering customers greater choice and flexibility.
CONCURRENT ENGINEERING
Concurrent engineering is a management and engineering philosophy for improving quality and
reducing costs and lead time from product conception to product development for new products
and product modifications.
Concurrent engineering, also known as simultaneous engineering, is a method of
designing and developing products, in which the different stages run simultaneously, rather than

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consecutively. It decreases product development time and also the time to market, leading to
improved productivity and reduced costs.
 CE means that the design and development of the product, the associated manufacturing
equipment and processes, and the repair tools and processes are handled concurrently.
The concurrent engineering idea contrasts sharply with current industry sequential practices,
where the product is first designed and developed; the manufacturing approach is then
established. And finally the approach to repair is determined.
What is concurrent engineering?
Concurrent engineering is a systematic approach to the integrated, concurrent design of
products and their related processes, including manufacture and support. This approach is
intended to cause the developers from the outset, to consider all elements of the product life
cycle from conception to disposal, including quality, cost, schedule, and user requirements.
The concurrent engineering approach is based on five key elements:
 a process
 a multidisciplinary team
 an integrated design model
 a facility
 a software infrastructure

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FIG: iterative development method in concurrent
engineering
Why concurrent engineering?
 Increasing product variety and technical complexity that prolong the product development
process and make it more difficult to predict the impact of design decisions on the functionality
and performance of the final product.
 Increasing global competitive pressure that results from the emerging concept of
reengineering.
The need for rapid response to fast-changing consumer demand.
The need for shorter product life cycle.
 Large organizations with several departments working on developing numerous products at
the same time.
New and innovative technologies emerging at a very high rate, thus causing the new product
to be technological obsolete within a short period.
A characteristic curve representing cost incurred and committed during the product life
cycle

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Summarized the results of a survey that include the following improvements to specific product
lines by the applications of concurrent engineering.
1. Development and production lead times
2. Measurable quality improvements
3. Engineering process improvements
4. Cost reduction
1. Development and production lead times
Product development time reduced up to 60%.
Production spans reduced 10%.
 AT&T reduced the total process time for the ESS programmed digital switch by 46% in 3
years.
Deere reduced product development time for construction equipment by60%.
 ITT reduced the design cycle for an electronic countermeasures system by33% and its
transition-to-production time by 22%.
2. Measurable quality improvements
Yield improvements of up to four times.
Field failure rates reduced up to 83%.
AT&T achieved a fourfold reduction in variability in a polysilicon deposition process for very
large scale integrated circuits and achieved nearly two orders of magnitude reduction in
surface defects.
 AT&T reduced defects in the ESS programmed digital switch up to 87% through a
coordinated quality improvement program that included product and process design.
Deere reduced the number of inspectors by two-thirds through emphasis on process control
and linking the design and manufacturing processes.
3. Engineering process improvements
Engineering changes per drawing reduced up to 15 times
Early
 Concurrent Engineering Advantages
1. Faster Time to Market
A major advantage that concurrent engineering offers is that it allows companies to deliver their
products to market in a much shorter time frame. When product development stages run
consecutively, the workers on prototyping stage must wait until those on design phase have
completed their tasks, those on testing phase must wait until those in prototyping phase are
finished, and so on. All of this waiting can delay product releases. Concurrent engineering allows
workers on several stages to work simultaneously, shortening the time to market.

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2. Enhanced Quality
Concurrent engineering practices also enable workers and managers to discover any production
issues earlier in the process, which leads to a higher-quality product. These practices also reduce
design revisions, unworkable prototypes and excessive testing to arrive at the highest-quality
product in the shortest time. In the auto manufacturer example, any issues involving the
aerodynamics of the car are uncovered earlier in the process by the testing team, which allows
the design and prototyping teams to work toward solving the problem.
3. Lower Development Costs
The bulk of a company's costs associated with creating a new product involve the design and
development processes. Managers can use concurrent engineering as a powerful tool for
reducing those early development costs. Since concurrent engineering practices decrease the time
spent in the design and development phases, companies can deliver a product faster, better and
cheaper than their competitors. In the auto manufacturer example, concurrent engineering
practices allow the design, prototyping and testing teams to produce a factory-ready car design in
much less time and at a lower cost to the company.
4. Increased Productivity
While consecutive engineering requires that workers on a later stage wait for those in earlier
stages, concurrent engineering allows workers the opportunity to be productive immediately and
throughout the process. This process allows workers to focus on the project as a whole, rather
than focus solely on their area of specialty. In the auto manufacturer example, the design,
prototyping and testing teams all work together on the same problem at the same time to find the
best solution.
 Disadvantages of CE
 higher development risk due to open issues
 need for assumptions in design and development