Peter Almström

The productivity potential assessment method: Assessing and benchmarking the improvement potential in manufacturing systems at shop‐floor level

Purpose – The papers aim is to focus on the productivity potential assessment (PPA) method which has been developed to measure and assess the productivity potentials at shop‐floor level in Swedish manufacturing industry.Design/methodology/approach – A study was carried out in one day by two certified analysts using a highly standardised work process. The focus is on a selected bottleneck area of a factory. Measurement from the selected area is combined with a broad data collection to make an assessment of the potential for increasing the productivity in the factory. The results were fed back to the factory management orally on the same day and in a written report.Findings – The paper shows that the PPA method was not designed to be a research method. It is a practical method that is based on a systems perspective where as many factors affecting the productivity and productivity development are gathered in one day.Research limitations/implications – A consecutive article will present the result from the s...

Sustainable Production Indicators at Factory Level

Purpose - Sustainable production (SP) is a very broad area and the awareness and communication of the concept differ between varying levels in a company. The supposition is that the awareness and improvement of sustainability on shop floor level would improve, if a suitable set of indicators for measuring sustainability was available. The purpose of this paper is therefore to identify a list of performance indicators relevant for a production manager. Design/methodology/approach - This paper presents a two-step analysis, where the first step is a literature review with the purpose of compiling a gross list of sustainability indicators relevant on shop floor level. In the second phase, the relevance of this list for production managers in Swedish small- And medium-sized enterprises (SMEs) is tested in a questionnaire survey. Findings - The conclusion from the survey is that 27 out of 52 proposed indicators were relevant with statistical significance and that another 20 indicators were supported by at least 50 percent of the respondents. The respondents found the economic indicators to be most relevant for their purpose. However, the economic field seems to need more indicators in order to be more useful for daily operation. Practical implications - This set of indicators may be beneficial for companies seeking relevant indicators to drive sustainability improvements. Originality/value - This paper takes a new perspective on SP, as it focusses on shop floor production, which is possible to influence for a production manager.

A model for linking shop floor improvements to manufacturing cost and profitability

Manufacturing units in the so called high-cost countries are struggling under fierce competition on the global market. In order to survive, the factory needs to generate profit to its owners. Profitability can be reached in many different ways apart from only lowering the employees’ salaries. It can be improved through increased profit margins (sales in relation to costs) or with an increased capital turnover rate. Finding ways to free capacity and to improve flexibility in order to increase sales is often more interesting to the manufacturing companies than cutting the direct salary costs. A model for analysing profitability of a manufacturing unit is proposed. It is found on a production system analysis and combines in-depth production engineering analysis with economical accounting analysis of the factory. The manual work tasks are of special interest and the productivity of selected bottleneck work areas are analysed thoroughly. The model is intended for use by two industrial analysts during a one-week study. Simulation of different improvement scenarios is carried out and presented to the factory management at the end of the profitability study. A software implementation is required in order to generate the model, collect data and make simulation within the intended time. The implementation is made in spread sheet software using Visual Basic to program interfaces and automatic functions. The primary area of application is the electronics industry in Sweden where the model is used in a research project to strengthen the competitiveness of that industry.

Productivity Measurement and Improvements: A Theoretical Model and Applications from the Manufacturing Industry

At many companies, workers associate productivity or efficiency increase with something negative, it is interpreted as an increase in speed and the “sweat factor”. Productivity is not only made up of the speed factor, but these misconceptions and lack of knowledge tend to put “a wet blanket” on all attempts to increase productivity. It is therefore important to clarify what productivity is and especially how it can be improved.

A state of the art system for managing time data in manual assembly

Valid time data, a prerequisite for the efficient use of manufacturing resources, directly influence planning and control quality. However, access to time data that capture real shop-floor operations in general and manual operations in particular is often assumed by both academics and practitioners. This has led to a mismatch between reality and the data found in systems for production planning and control, causing operational inefficiencies and negatively affecting decision-making in manufacturing companies. This article addresses the importance of updated and valid time data in planning and controlling production and considers how they relate to manufacturing system performance and improvement. The focus is on how to determine, utilise, and sustain valid time data for manual assembly operations through integrating enterprise information systems. The article builds on a case study performed at a large manufacturing enterprise that operates a state of the art system for managing time data in manual assembly. Findings from the case study reveal how standalone system applications can be integrated with the organisational functions of an enterprise to achieve updated and valid operation times.