OPERATIONS MANAGEMENT

ASSIGNMENT

Group - 4

SUBMITTED TO: SUBMITED

BY:
Dr. Minakshi Kumari YASH KHANNA (084)
SHEFALI GARG (085)
AYUSH KHAITAN (086)
ASHUTOSH RAWAT (087)
GIRI SANKAR S (088)
GAURI SRIVASTAVA (089)
PRASHANT SINGH (081)
Q1. BMW is a high-end flagship car company. Compare the TQM of BMW with a mass
consumer-based car manufacturing firm.

Total Quality Management at BMW (High end car company)

Exceptional people

The performance capability of the BMW Group's production network depends on the special
commitment, identification, and know-how of its employees. In addition to future-oriented
technologies and the most modern equipment, their employees are the central element in the
manufacture of premium products. Systematic linking of internal and external partners as well
as targeted knowledge transfer ensures both today and, in the future, that the customer will
obtain his dream automobile by the agreed-upon delivery date and in the high quality expected
of all "made by BMW Group" vehicles.
Flexible working hours

The over 70,000 employees of the worldwide production network are united in their
common enthusiasm for all of the concern's vehicles, their quest to achieve highest quality
results in all working processes, and their will to make a significant contribution to the BMW
Group's success now and in the future. Innovative forms of work are important factors for
stimulating performance, creativity, and gratification in the workplace. The BMW Group
uses over 300 successful work-schedule models. These enable the corporation to utilize its
plants flexibly and react to customer as well as market demands – and at the same time, to
respond to the needs of its employees.
Eco Friendly
To improve efficient use of resources (material, energy, water) by products as well as during
production, a precise balance between ecological and economic issues must be sought after.
Exceptional people
The performance capability of the BMW Group's production network depends on the special
commitment, identification, and know-how of its employees. In addition to future-oriented
technologies and the most modern equipment, their employees are the central element in the
manufacture of premium products. Systematic linking of internal and external partners as well
as targeted knowledge transfer ensures both today and, in the future, that the customer will
obtain his dream automobile by the agreed-upon delivery date and in the high quality expected
of all "made by BMW Group" vehicles.
Flexible working hours
The over 70,000 employees of the worldwide production network are united in their
common enthusiasm for all of the concern's vehicles, their quest to achieve highest quality
results in all working processes, and their will to make a significant contribution to the BMW
Group's success now and in the future. Innovative forms of work are important factors for
stimulating performance, creativity, and gratification in the workplace. The BMW Group
uses over 300 successful work-schedule models. These enable the corporation to utilize its
plants flexibly and react to customer as well as market demands – and at the same time, to
respond to the needs of its employees.
Eco Friendly
To improve efficient use of resources (material, energy, water) by products as well as during
production, a precise balance between ecological and economic issues must be sought after.
Quantum leap in flexibility and throughput time
Customer Oriented Sales and Production Process (KOVP) gives customers new dimensions
of service: simple, online ordering processes at the dealer's, immediate, binding order
confirmation and delivery date, flexibility when changes are desired, information on order
status, and on-time delivery.
Continuous Improvement
Total Quality Management requires a never-ending process of continuous improvement that
covers people, equipment, suppliers, materials, and procedures. The basis of the philosophy is
that every aspect of an operation can be improved. The end goal is perfection, which is never
achieved but always sought.

Total Quality Management at FORD (Mass Manufacturer)

TQM in Ford Motor Company:

When an invasion of Japanese imports threatened the American automobile industry, the
Ford Motor Company led a quality revival based on the management philosophy of W.
Edwards Deming, who was controversial then and is out of fashion now.

The results of the movement, known as Total Quality Management, were stunning at Ford.
After racking up $3 billion in losses between 1979 and 1982, Ford hit a series of home runs,
including the aerodynamic Taurus-Sable cars, and by 1986 had become the most profitable
American auto company.

Ford motor company tries to use all the application of TQM to ensure the overall quality of
their product.

Product design & continuous improvement:

Product design is one of the most important things for a company to have satisfied customers.
Ford motor company always tries to provide the best quality product to their customers. They
always come up with something new & advanced. For example- fuel efficiency, high speed,
attractive look, advanced safety system, entertainment facilities etc. Every car goes through
multi-level of inspection before going to the market.
Problem solving:

Ford Motor Company is currently using the 8D problem solving tool. It is a disciplined way
to solve a problem.

The Ford Motor Company developed the 8D (8 Disciplines) Problem Solving Process, and
published it in their 1987 manual, "Team Oriented Problem Solving (TOPS)." In the mid-90s,
Ford added an additional discipline, D0: Plan. The process is now Ford's global standard and
is called Global 8D.

Ford created the 8D Process to help teams deal with quality control and safety issues; develop
customized, permanent solutions to problems; and prevent problems from recurring.
Although the 8D Process was initially applied in the manufacturing, engineering, and
aerospace industries; it's useful and relevant in any industry.

Steps in applying this method are-

1. Plan
2. Build the team
3. Describe the problem
4. Implement a temporary fix
5. Identify and Eliminate the Root Cause
6. Verify the solution
7. Implement a permanent solution
8. Prevent the Problem from Recurring
9. Celebrate team success

Employee engagement:

Their employees are also their customers, and they can be strong ambassadors for their
products. In Michigan, information sessions called “Go Further Employee Events” are held to
give employees the opportunity to view, learn about and test drive yet-to-be-released
vehicles. This lets the employees see how our products are meeting the needs of customers,
while providing information about the vehicles. Their employees can then promote the
vehicles to their friends and families, which, in turn, can increase sales and help to strengthen
the Ford brand.

The company’s Employee Resource Groups also conduct several events and initiatives each
year to engage the employees, provide product insights and reach out to the community.

The company believes it’s important to engage their people within the communities in which
they operate. Each year, Ford offer ways for thousands of their employees and retirees to
participate in volunteer programs. They see these programs as not only critical to helping
those in need, but pivotal to inspiring and energizing our employees around volunteerism and
community service. Through these community initiatives, they support teamwork and build a
sense of shared purpose and commitment.
Process design:

In the process design Ford faces many challenges. Such as-

Modern automotive vehicles use a large number of stamped sheet metal parts in their
construction. Understanding the dynamic behaviour of sheet metals during transfer from one
die station to another becomes an urgent task in the tooling design phase to achieve optimum
transfer motion, avoid high cost equipment damage and improve overall production uptime.

To get a better understanding of this critical process and to improve the productivity of the
tooling design and stamping process, Ford looked for external input to complement its own
internal experience and expertise.

Solution to these problems are-

Having worked on many previous projects together, Ford selected Altair Product Design to
assist in this process. The newly developed Altair Hyper Die Dynamics (HDD), a unique tool
to analyse sheet metal transfer and dynamic behaviour, was implemented within Ford's
design process. By introducing flexible body blank representations and a virtual model of the
stamping press line, Altair Product Design and Ford users could easily conduct a panel
transfer dynamic analysis, visualizing the in-motion blank deflections, accelerations, and
resultant forces.

To fully understand the complex nature of the stamping process, Altair Product Design
created a reduced model representing a single press station along with several types of real
parts to be simulated in order to validate the virtual press model and improve the robustness
of the solution.

Result of this method is-

The implementation of the highly customized software and newly formulated design process
in partnership with Altair Product Design had a number of positive results for Ford: Ford
engineers could successfully predict dynamic panel transfer behaviour (displacement, forces,
stresses, etc. faster and crucially more accurately than was previously possible. Material
behaviour could be predicted with greater accuracy thus avoiding interference during panel
transfer and reducing part or die damage.

Q2. Highlight the tools used like Poka Yoke, Kanban and Kaizen and elaborate on how
they are being used from manufacturing to delivery of a typical BMW unit.

Tools used At BMW are

Poka Yoke

Some examples of Poka Yoke at BMW

High-mix, high-volume production challenges BMW’s engineers to ensure that the right parts
are installed in the right vehicles at the correct specifications. To error-proof the fastening
process, BMW uses a radio frequency identification (RFID) system from Ubisense, cordless
tools from Bosch Production Tools, and computer-controlled DC electric tools from Atlas
Copco Tools and Assembly Systems LLC.

The Line operator lays a bar-coded decal on the roof of each of the BMW vehicles that move
through the plant. The decal carries the vehicle's assembly specifications. When the assembly
technician picks up the ECM for installation, he or she first runs the module under a scanner.
If it is the wrong unit, a red light begins flashing at the workstation. If it is right, a green light
tells the technician to proceed.

Inexpensive electronic sensors are the backbone of many new solutions. At the plant's
engine-assembly line, technician install bearings into a four-cylinder engine's crankshaft. The
line turns out engines with five different bearing combinations, and the assembler must reach
into a wall of cubbyholes to select the right bearings as the engine comes together.

As the engine moves into position, a TV monitor displays four colored parts. A small light
goes on at each of the four cubbyholes that contains the right bearing part. Each light is one
of the four colours on the monitor.

Kanban

Kanban has helped, become a tool at BMW to operate a pull production system. It ensures the
transfer of information between processes and automatically orders parts. Each object or box
of objects flowing through the manufacturing process has its own kanban.

The method developed by Toyota and further adopted by BMW has, therefore, become a
sign-based scheduling system that activates the logistics chain and keeps it at an optimal
level. It’s like a JIT supply system that harmonizes stock levels with actual consumption.

This process has the advantages of avoiding disruptions in the delivery pace, but also a last-
minute rush. In order to organize the teamwork well, it is necessary to prepare a system in
which production will be based solely and exclusively on the kanban signal located between
different production locations. These signals can be e.g. sound/light signals, kanban cards,
empty process pallets or containers.

Kanban for BMW means, among other things, less loss and waste, making the production
system more flexible and resistant to external interference

Kanban system ensures that unnecessary delivery cycles are eliminated without disrupting the
organisation of material flows. Therefore, it allows to reduce costs and minimize working
time. It allows to reduce blockages and downtime on production lines and to reduce the level
of pre- and inter-operational stock at workstations to a minimum.